Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2018 | May 14, 2018 | |
Document And Entity Information | ||
Entity Registrant Name | Greenpro Capital Corp. | |
Entity Central Index Key | 1,597,846 | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2018 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 53,233,960 | |
Trading Symbol | GRNQ | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2,018 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Current assets | ||
Cash and cash equivalents (including $172,261 and $166,610 of restricted cash as of March 31, 2018 and December 31, 2017, respectively) | $ 1,001,877 | $ 1,162,394 |
Accounts receivable, net | 326,917 | 345,734 |
Prepaids and other current assets (includes due from related parties of $1,785 and $1,761 as of March 31, 2018 and December 31, 2017, respectively) | 267,561 | 270,760 |
Deferred costs of revenue | 64,089 | 74,990 |
Total current assets | 1,660,444 | 1,853,878 |
Property and equipment, net | 3,348,384 | 3,266,829 |
Real Estate investments: | ||
Real estate held for sale | 3,430,641 | 3,430,641 |
Real estate held for investment, net | 901,421 | 868,984 |
Intangible assets, net | 229,025 | 251,655 |
Goodwill | 1,211,863 | 1,211,863 |
Other investments (includes investments in related party of $51,613) | 131,490 | 130,457 |
TOTAL ASSETS | 10,913,268 | 11,014,307 |
Current liabilities: | ||
Accounts payable and accrued liabilities | 668,936 | 768,994 |
Current portion of loans secured by real estate | 805,097 | 928,147 |
Due to related parties | 1,800,951 | 1,813,930 |
Income tax payable | 90,942 | 68,008 |
Deferred revenue | 350,400 | 345,000 |
Total current liabilities | 3,716,326 | 3,924,079 |
Long term portion of loans secured by real estate | 1,876,775 | 1,842,840 |
Total liabilities | 5,593,101 | 5,766,919 |
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 shares issued and outstanding | 5,323 | 5,323 |
Additional paid in capital | 8,465,294 | 8,465,294 |
Accumulated other comprehensive loss | 46,276 | (40,199) |
Accumulated deficit | (3,275,412) | (3,266,313) |
Total Greenpro Capital Corp. common shareholders’ equity | 5,241,481 | 5,164,105 |
Noncontrolling interests in consolidated subsidiaries | 78,686 | 83,283 |
Total Stockholders’ equity | 5,320,167 | 5,247,388 |
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ 10,913,268 | $ 11,014,307 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Statement of Financial Position [Abstract] | ||
Restricted cash | $ 172,261 | $ 166,610 |
Due from related parties | 1,785 | 1,761 |
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 | 53,233,960 |
Common stock, shares outstanding | 53,233,960 | 53,233,960 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
REVENUES: | ||
Service revenue (including $38,210 and $164,287 of service revenue from related parties, respectively) | $ 699,128 | $ 826,167 |
Rental revenue (including $4,516 of rental revenue from related parties in 2017) | 41,444 | 29,156 |
Total revenues | 740,572 | 855,323 |
OPERATING COSTS AND EXPENSES: | ||
Cost of service revenue | (183,563) | (197,024) |
Cost of rental revenue | (23,556) | (12,084) |
General and administrative | (793,976) | (784,508) |
Total operating costs and expenses | (1,001,095) | (993,616) |
LOSS FROM OPERATIONS | (260,523) | (138,293) |
OTHER INCOME (EXPENSE) | ||
Gain on sale of equity method investment | 300,000 | |
Other income | 14,004 | 2,354 |
Interest expense | (46,229) | (6,962) |
INCOME (LOSS) BEFORE INCOME TAX | 7,252 | (142,901) |
Income tax expense | (20,948) | (12,846) |
NET LOSS | (13,696) | (155,747) |
Net loss attributable to noncontrolling interest | 4,597 | 3,308 |
NET LOSS ATTRIBUTED TO COMMON SHAREHOLDERS OF GREENPRO CAPITAL CORP. | (9,099) | (152,439) |
Other comprehensive loss: | ||
- Foreign currency translation income | 86,475 | 4,014 |
COMPREHENSIVE INCOME (LOSS) | $ 77,376 | $ (148,425) |
NET LOSS PER SHARE, BASIC AND DILUTED | $ 0 | $ 0 |
WEIGHTED AVERAGE NUMBER OF COMMON STOCK OUTSTANDING, BASIC AND DILUTED | 53,233,960 | 51,963,755 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) (Parenthetical) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Income Statement [Abstract] | ||
Service revenue from related parties | $ 38,210 | $ 164,287 |
Rental revenue from related parties | $ 4,516 |
Condensed Consolidated Stateme6
Condensed Consolidated Statement of Changes in Stockholders' Equity (Unaudited) - 3 months ended Mar. 31, 2018 - 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, 2017 | $ 5,323 | $ 8,465,294 | $ (40,199) | $ (3,266,313) | $ 83,283 | $ 5,247,388 |
Balance beginning, shares at Dec. 31, 2017 | 53,233,960 | |||||
Foreign currency translation income (loss) | 86,475 | 86,475 | ||||
Net loss | (9,099) | (4,597) | (13,696) | |||
Balance ending at Mar. 31, 2018 | $ 5,323 | $ 8,465,294 | $ 46,276 | $ (3,275,412) | $ 78,686 | $ 5,320,167 |
Balance ending, shares at Mar. 31, 2018 | 53,233,960 |
Condensed Consolidated Stateme7
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Cash flows from operating activities: | ||
Net loss | $ (13,696) | $ (155,747) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization | 67,470 | 41,677 |
Provision for bad debts | (17,776) | |
Write off of other receivables | (1,033) | |
Increase in cash surrender value on life insurance | 194 | (815) |
Changes in operating assets and liabilities: | ||
Accounts receivable, net | 36,555 | 18,171 |
Prepaids and other current assets | 6,151 | (114,329) |
Deferred costs of revenue | 10,901 | 52,545 |
Accounts payable and accrued liabilities | (67,698) | (32,505) |
Income tax payable | 20,253 | 7,914 |
Deferred revenue | 5,400 | (80,000) |
Net cash provided by (used in) operating activities | 46,721 | (263,089) |
Cash flows from investing activities: | ||
Purchase of property and equipment | (109) | (4,503) |
Purchase of investments | (201,500) | |
Net cash used in investing activities | (109) | (206,003) |
Cash flows from financing activities: | ||
Proceeds from shares issued for cash | 916,183 | |
Principal payments of loans secured by real estate | (168,717) | (3,317) |
Repayment of advances from related parties | (52,473) | (7,833) |
Net cash provided by (used in) financing activities | (221,190) | 905,033 |
Effect of exchange rate changes in cash and cash equivalents | 14,061 | 2,316 |
NET CHANGE IN CASH, CASH EQUIVALENTS, AND RESTRICTED CASH | (160,517) | 438,257 |
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH, BEGINNING OF PERIOD | 1,162,394 | 1,021,351 |
CASH, CASH EQUIVALENTS, AND RESTRICTED CASH, END OF PERIOD | 1,001,877 | 1,459,608 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ||
Cash paid for income tax | ||
Cash paid for interest | $ 53,953 | $ 6,962 |
Organization and Summary of Sig
Organization and Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Summary of Significant Accounting Policies | NOTE 1 – ORGANIZATION 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. Our focus is on companies located in Asia and Southeast Asia including Hong Kong, Malaysia, China, Thailand, and Singapore. 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. Basis of presentation The accompanying unaudited condensed consolidated financial statements as of and for the three months ended March 31. 2018 and 2017, have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) that permit reduced disclosure for interim periods. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”) have been condensed or omitted. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the period ended March 31, 2018 are not necessarily indicative of the results that may be expected for the year ending December 31, 2018. The Condensed Consolidated Balance Sheet information as of December 31, 2017 was derived from the Company’s audited Consolidated Financial Statements as of and for the year ended December 31, 2017 included in the Company’s Annual Report on Form 10-K filed with the SEC on April 13, 2018. These financial statements should be read in conjunction with that report. The accompanying unaudited condensed 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. Intercompany transactions and balances were eliminated in consolidation. At March 31, 2018 and December 31, 2017, the consolidated financial statements include noncontrolling interests related to the Company’s ownership of 60% of Forward Win International Limited, Yabez (Hong Kong) Company Limited, Greenpro Wealthon Sdn Bhd, Billion Sino Holdings Limited, and Parich Wealth Management Limited, and to the Company’s ownership of 51% of Greenpro Capital Village Sdn Bhd and Greenpro Family Office Limited. 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. During the three months ended March 31, 2018, the Company incurred a loss from operations of $260,523 and at March 31, 2018, the Company had a working capital deficit of $2,055,882. 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. In addition, the Company’s independent registered public accounting firm, in its report on the Company’s December 31, 2017 financial statements, has expressed substantial doubt about the Company’s ability to continue as a going concern. 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 stockholders, in the case of equity financing. 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 were denominated in the following currencies at: As of March 31, 2018 As of December 31, 2017 (Unaudited) Cash, cash equivalents, and restricted cash Denominated in United States Dollars $ 157,507 $ 283,674 Denominated in Hong Kong dollars 553,305 568,008 Denominated in Chinese Renminbi 231,920 239,502 Denominated in Malaysian Ringgit 59,145 71,210 Cash, cash equivalents, and restricted cash $ 1,001,877 $ 1,162,394 At March 31, 2018 and December 31, 2017, cash included funds held by employees of $6,750 and $32,673, respectively, and was held to facilitate payment of expenses in local currencies and to facilitate third-party online payment platforms in which the Company had not set up corporate accounts (WeChat Pay and Alipay). Revenue recognition In 2014, the FASB issued guidance on revenue recognition (“ASC 606”), with final amendments issued in 2016. The underlying principle of ASC 606 is to recognize revenue to depict the transfer of goods or services to customers at the amount expected to be collected. ASC 606 creates a five-step model that requires entities to exercise judgment when considering the terms of contracts, which includes (1) identifying the contracts or agreements with a customer, (2) identifying our performance obligations in the contract or agreement, (3) determining the transaction price, (4) allocating the transaction price to the separate performance obligations, and (5) recognizing revenue as each performance obligation is satisfied. The Company only applies the five-step model to contracts when it is probable that the Company will collect the consideration it is entitled to in exchange for the services it transfers to its clients. The Company has concluded that the new guidance did not require any significant change to its revenue recognition processes. The Company’s revenue consists of revenue from providing business consulting and corporate advisory services (“service revenue”), revenue from the sale of real estate properties, and revenue from the rental of real estate properties. Revenue from services For certain of our service contracts providing assistance to clients in capital market listings (“IPO services”), our services provided are considered to be one performance obligation. Revenue and expenses are deferred until the performance obligation is complete and collectability of the consideration is probable. For service contracts where the performance obligation is not completed, deferred costs of revenue are recorded as incurred and deferred revenue is recorded for any payments received on such yet to be completed performance obligations. 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 services such as company secretarial, accounting financial analysis and related services (“Non-IPO services”), the Company’s performance obligations are satisfied, and the related revenue is recognized, as services are rendered. For contracts in which we act as an agent, the Company reports revenue net of expenses paid. The Company offers no discounts, rebates, rights of return, or other allowances to clients which would result in the establishment of reserves against service revenue. Additionally, to date, the Company has not incurred incremental costs in obtaining a client contract. The Company adopted the guidance of ASC 606 on January 1, 2018, and the implementation of ASC 606 did not have a material impact on the Company’s consolidated financial statements. Revenue from the sale of real estate properties Effective January 1, 2018, the Company adopted the guidance of ASC 610-20, Other Income - Gains and Losses from the Derecognition of Nonfinancial Assets (“ASC 610-20”), which applies to sales or transfers to noncustomers of nonfinancial assets or in substance nonfinancial assets. Generally, the Company’s sales of its real estate properties would be considered a sale of a nonfinancial asset as defined. Under ASC 610-20, the Company will derecognize the asset and recognize a gain or loss on the sale of the real estate when control of the underlying asset transfers to the buyer. During the three months ended March 31, 2018 and 2017, the Company had no revenue from the sale of real estate properties. As a result of the adoption of ASU 610-20, there was no impact to the Company’s consolidated financial statements. Revenue from the rental of real estate properties Rental revenue represents lease rental income from the Company’s tenants. The tenants pay monthly in accordance with lease agreements and the Company recognizes the income ratably over the lease term as this is the most representative of the pattern in which the benefit is expected to be derived from the underlying asset. Cost of revenues Cost of service revenue primarily consists of employee compensation and related payroll benefits, company formation costs, and other professional fees directly attributable to the services rendered. Cost of real estate properties sold primarily 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. 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. The following table provides information about disaggregated revenue based on revenue by service lines and revenue by geographic area: Three Months Ended March 31, 2018 2017 (Unaudited) (Unaudited, As Restated) Revenue by service lines: Corporate advisory – Non-IPO services $ 499,128 $ 616,167 Corporate advisory – IPO services 200,000 210,000 Rental of real estate properties 41,444 29,156 Total revenue $ 740,572 $ 855,323 Three Months Ended March 31, 2018 2017 (Unaudited) (Unaudited, As Restated) Revenue by geographic area: Hong Kong $ 538,946 $ 604,596 Malaysia 151,663 224,948 China 49,963 25,779 Total revenue $ 740,572 $ 855,323 Our contract balances include deferred costs of revenue and deferred revenue. Deferred Revenue For service contracts where the performance obligation is not completed, deferred revenue is recorded for any payments received in advance of the performance obligation. Changes in deferred revenue were as follows: Deferred Costs of Revenue For service contracts where the performance obligation is not completed, deferred costs of revenue are recoded for any costs incurred in advance of the performance obligation. Deferred revenue and deferred costs of revenue at March 31, 2018 and December 31, 2017 are classified as current assets or current liabilities and totaled: As of March 31, 2018 As of December 31, 2017 (Unaudited) Deferred revenue $ 350,400 $ 345,000 Deferred costs of revenue $ 64,089 $ 74,990 Accounts Receivable Accounts receivable as presented in the consolidated balance sheets are related to the Company’s contracts and are recorded when the right to consideration becomes unconditional at the amount management expects to collect. Accounts receivable do not bear interest, and payments are generally due within thirty to forty-five days of invoicing. The Company maintains an allowance for doubtful accounts receivable. The allowance reflects the Company’s best estimate of probable losses inherent in the accounts receivable balance. It is based upon historical experience and loss patterns, the number of days that billings are past due, an evaluation of the potential risk of loss associated with delinquent accounts and known delinquent accounts. The carrying value of accounts receivable approximates their fair value. As of March 31, 2018 (Unaudited) As of December 31, 2017 Accounts receivable, gross $ 385,400 $ 421,913 Less: Allowance for doubtful accounts (58,483 ) (76,179 ) Accounts receivable, net $ 326,917 $ 345,734 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 March 31, 2018 and December 31, 2017, there were no potentially dilutive shares outstanding. Foreign currency 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”), Chinese 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 three months ended March 31, 2018 2017 Period-end MYR : US$1 exchange rate 3.86 4.43 Period-average MYR : US$1 exchange rate 3.90 4.43 Period-end RMB : US$1 exchange rate 6.28 6.89 Period-average RMB : US$1 exchange rate 6.30 6.88 Period-end / average HK$ : US$1 exchange rate 7.75 7.75 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 March 31, 2018 or December 31, 2017. The Company believes the carrying amount reported in the balance sheet for cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities, deferred costs of revenue, deferred revenue, and due to related parties, approximate their fair values because of the short-term nature of these financial instruments. Concentrations of risks For the three months ended March 31, 2018, no customer accounted for 10% or more of the service revenue or accounts receivable at year-end. For the three months ended March 31, 2017, one customer that accounted for 10% or more of the service income is presented as follows: For the three months ended March 31, 2017 As of March 31, 2017 Revenues Percentage of revenues Trade accounts receivable Customer A (Related Party C) 91,032 11 % - Total: $ 91,032 11 % $ - For the three months ended March 31, 2018 and 2017, no vendor accounted for 10% or more of the Company’s cost of revenues, or accounts payable at quarter-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 People’s Republic of China (“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 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 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 November 2016, the FASB issued Accounting Standards Update No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash, which requires companies to include amounts generally described as restricted cash and restricted cash equivalents in cash and cash equivalents when reconciling beginning-of-period and end-of-period total amounts shown on the statements of cash flows. The Company adopted the guidance of ASU No. 2016-18 on January 1, 2018 and there was no effect to the Company’s consolidated financial statements. 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 Unaudited Condensed Consolidated Financial Statements | 3 Months Ended |
Mar. 31, 2018 | |
Accounting Changes and Error Corrections [Abstract] | |
Restatement of Previously Issued Unaudited Condensed Consolidated Financial Statements | NOTE 2 – RESTATEMENT OF PREVIOUSLY ISSUED UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS The financial statements for the three months ended March 31, 2017 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) Company Limited 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 $84,882 at March 31, 2017. The Company restated its consolidated financial statements as of and for the three months ended March 31, 2017 to reflect the correction of the error. The restatement resulted in the Company recording $22,663 of deferred costs of revenue, $135,000 of deferred revenue, $84,882 increase in accumulated deficit, $80,000 of additional service revenue, $52,545 of additional costs of service revenue, and additional net income of $27,455 for the three months ended March 31, 2017. (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 three months ended March 31, 2017, the Company determined that the incorrect exchange rate was used and corrected it. The Company restated its consolidated financial statements as of and for the three months ended March 31, 2017 to reflect the correction of the error and real estate held for investment was decreased by $202,325 and accumulated other comprehensive income was decreased $204,271. In addition, the Company erroneously calculated the noncontrolling interest of Yabez (Hong Kong) Company Limited 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 at March 31, 2017. There was no effect on net loss for 2017. (C) In September 2015, the Company acquired Yabez (Hong Kong) Company Limited and calculated goodwill using the partial goodwill method. The Company restated its consolidated financial statements as of and for the three months ended March 31, 2017 to reflect the full goodwill method as 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 March 31, 2017. There was no effect on net loss for 2017. (D) In preparing its financial statements for the three months ended March 31, 2017, 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 three months ended March 31, 2017 to reflect an allowance for uncollectible accounts and bad debts, and accounts receivable was decreased by $126,205, bad debt expense was increased by $71,406, and accumulated deficit was increased by $109,705. The following table presents the effect of the restatements on the Company’s previously issued consolidated balance sheet: As of March 31, 2017 (Unaudited) As Previously Reported Adjustments Notes As Restated Accounts Receivable, net $ 492,652 $ (126,205 ) D $ 366,447 Deferred costs related to revenue - 22,663 A 22,663 Real estate held for investment, net 1,010,630 (202,325 ) B 808,305 Goodwill 1,472,729 174,001 C 1,646,730 Deferred Revenue - 135,000 A 135,000 Additional paid in capital 7,543,095 1,943 B 7,545,038 Accumulated other comprehensive income 96,467 (204,721 ) B (107,804 ) Accumulated deficit (898,743 ) (235,451 ) A, B, D (1,134,194 ) Noncontrolling interests in consolidated subsidiaries $ 144,922 $ 170,912 B, C $ 315,834 The following table presents the effect of the restatements on the Company’s previously issued consolidated statement of operations and comprehensive loss: For the three months ended March 31, 2017 (Unaudited) As Previously Reported Adjustments Notes As Restated Service revenue $ 746,167 $ 80,000 A $ 826,167 Cost of service revenue (144,479 ) (52,545 ) A (197,024 ) General and administrative (710,748 ) (71,406 ) D (782,154 ) Net loss attribute to common shareholders (108,488 ) (43,951 ) (152,439 ) Foreign currency translation income (loss) (6,431 ) 10,445 B 4,014 Comprehensive loss $ (114,919 ) $ (33,506 ) $ (148,425 ) 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 cash flows: For the three months ended March 31, 2017 (Unaudited) As Previously Reported Adjustments Notes As Restated Cash flows from operating activities: Net (loss) income $ (111,796 ) $ (43,951 ) A $ (155,747 ) Changes in operating assets and liabilities: Accounts Receivable, net (53,235 ) 71,406 D 18,171 Deferred revenue - (80,000 ) A (80,000 ) Deferred costs - 52,545 A 52,545 The information herein amends and supersedes the information contained in our Quarterly Report on Form 10-Q for the three months ended March 31, 2017. 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. |
Property and Equipment, Net
Property and Equipment, Net | 3 Months Ended |
Mar. 31, 2018 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment, Net | NOTE 3 – PROPERTY AND EQUIPMENT, NET As of As of March 31, 2018 December 31, 2017 (Unaudited) Offices properties $ 3,312,313 $ 3,194,858 Furniture and fixtures 47,155 46,890 Office equipment 43,816 43,076 Leasehold improvement 41,340 41,340 3,444,634 3,326,164 Less: Accumulated depreciation and amortization (96,240 ) (59,335 ) Total $ 3,348,384 $ 3,266,829 Offices properties 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-year 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 $36,288 and $3,203 for the three months ended March 31, 2018 and 2017, respectively. At March 31, 2018, the Company’s office leasehold was pledged to banks as security collateral for loans of $1,398,362 (see Note 7). |
Real Estate Held For Sale
Real Estate Held For Sale | 3 Months Ended |
Mar. 31, 2018 | |
Real Estate [Abstract] | |
Real Estate Held For Sale | NOTE 4 - REAL ESTATE HELD FOR SALE At March 31, 2018 and December 31, 2017, real estate held for sale totaled $3,430,641. Real estate held for sale represents multiple units in a building located in Hong Kong. The property was developed for resale on a unit by unit basis andrepresents 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 March 31, 2018, the Company’s real estate held for sale was pledged to a non-banking lender as security collateral for loans of $645,161 (see Note 7). |
Real Estate Held For Investment
Real Estate Held For Investment | 3 Months Ended |
Mar. 31, 2018 | |
Real Estate Investment Property, Net [Abstract] | |
Real Estate Held For Investment | NOTE 5 - REAL ESTATE HELD FOR INVESTMENT As of As of March 31, 2018 December 31, 2017 (Unaudited) Office properties $ 891,227 $ 851,120 Furniture and fixtures 60,538 57,814 Office equipment 16,212 15,378 Leasehold improvement 78,754 75,210 1,046,731 999,522 Less: Accumulated depreciation and amortization (145,310 ) (130,538 ) Total $ 901,421 $ 868,984 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 $8,553 and $7,121 for the three months ended March 31, 2018 and 2017, respectively. At March 31, 2018, the Company’s real estate held for investment was pledged to banks as security collateral for loans of $638,349 (see Note 7). |
Due to Related Parties
Due to Related Parties | 3 Months Ended |
Mar. 31, 2018 | |
Due to Related Parties [Abstract] | |
Due to Related Parties | NOTE 6 - DUE TO RELATED PARTIES As of As of March 31, 2018 December 31, 2017 (Unaudited) Due to noncontrolling interests $ 1,520,467 $ 1,617,241 Due to shareholders 87,227 3,993 Due to directors 85,640 85,212 Due to related companies 107,617 107,484 Total $ 1,800,951 $ 1,813,930 At March 31, 2018 and December 31, 2017, $1,441,548, was due to the noncontrolling interest in Forward Win International Limited, and is unsecured, bears no interest, and is payable upon demand. At March 31, 2018 and December 31, 2017, $78,919 and $175,693, respectively, 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 | 3 Months Ended |
Mar. 31, 2018 | |
Debt Disclosure [Abstract] | |
Loans Secured by Real Estate | NOTE 7 – LOANS SECURED BY REAL ESTATE As of As of March 31, 2018 December 31, 2017 (Unaudited) (A) Standard Chartered Saadiq Berhad, Malaysia $ 378,416 $ 363,974 (B) United Overseas Bank (Malaysia) Berhad 259,933 249,459 (C) Bank of China Limited, Shenzhen, PRC 1,398,362 1,383,360 (D) Loan from non-banking lender, Hong Kong 645,161 774,194 2,681,872 2,770,987 Less: current portion (805,097 ) (928,147 ) Loans secured by real estate, net of current portion $ 1,876,775 $ 1,842,840 (A) Loan payable to Standard Chartered Saadiq Berhad, secured by two office units at Skypark One City, Selangor in Kuala Lumpur, Malaysia. The loan bears interest at the base lending rate less 2.1% per annum (6.95% at March 31, 2018) with 300 monthly installments of MYR9,287 (approximately $2,840) each and will mature in May 2038. The mortgage loan is secured by the property and various guarantees from officers of the Company. (B) Loan payable to United Overseas Bank (Malaysia) Berhad secured by an office unit at Northpoint, Mid Valley City in Kuala Lumpur, Malaysia. Mr. Lee Chong Kuang, the chief executive officer of the Company, obtained the loan for the Company. The loan bears interest at the base lending rate less 2.2% per annum (6.96% at March 31, 2018) with 360 monthly installments of MYR5,382 (approximately $1,645) each and will mature in August 2043. (C) Loan payable to Bank of China Limited secured by three office units at the Di Wang Building (Shun Hing Square), Shenzhen, China. The loan bears interest at a 25% premium above the 5-year-or-above RMB base lending rate per annum (6.125% at March 31, 2018) with 120 monthly installments and will mature in December 2027. The mortgage loan is secured by the property, a restricted-cash deposit of RMB 1,000,000 (approximately $153,707), the accounts receivable of Greenpro Management Consultancy (Shenzhen) Limited, and various guarantees from officers and employees of the Company. (D) Loan payable to 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. |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Mar. 31, 2018 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | NOTE 8 - RELATED PARTY TRANSACTIONS For the three months ended March 31, 2018 2017 Revenue from related parties is comprised of the following: Service revenue - Related party B 38,210 74,287 - Related party C - 90,000 Total $ 38,210 $ 164,287 Rental revenue - Related party A $ - $ 3,484 - Related party C - 1,032 Total $ - $ 4,516 Related party A is under common control of Mr. Loke Che Chan, Gilbert, a director of the Company. Related party B represent companies where Greenpro owns a certain percentage of their company shares. Related party C represents companies that we have determined that we can significantly influence based on our common business relationships. |
Segment Information
Segment Information | 3 Months Ended |
Mar. 31, 2018 | |
Segment Reporting [Abstract] | |
Segment Information | NOTE 9 - 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 three months ended March 31, 2018 (Unaudited) Real estate business Service business Corporate Total Revenues $ 41,444 $ 699,128 $ - $ 740,572 Cost of revenues (23,556 ) (159,563 ) (24,000 ) (207,119 ) Depreciation and amortization 8,553 54,836 4,081 67,470 Net income (loss) 7,358 (202,671 ) 181,617 (13,696 ) Total assets 3,546,437 7,259,827 107,004 10,913,268 Capital expenditures for long-lived assets $ - $ 109 $ - $ 109 For the three months ended March 31, 2017 (Unaudited, Restated) Real estate business Service business Corporate Total Revenues $ 29,156 $ 826,167 $ - $ 855,323 Cost of revenues (12,084 ) (197,024 ) - (209,108 ) Depreciation and amortization 7,121 34,556 41,677 Net income (loss) (739 ) (154,581 ) (427 ) (155,747 ) Total assets 3,772,547 5,040,228 235,322 9,048,097 Capital expenditures for long-lived assets $ - $ 4,503 $ - $ 4,503 (b) By Geography* For the three months ended March 31, 2018 (Unaudited) Hong Kong Malaysia China Total Revenues $ 538,946 $ 151,663 $ 49,963 $ 740,572 Cost of revenues (136,868 ) (70,251 ) (207,119 ) Depreciation and amortization 25,120 8,959 33,391 67,470 Net income (loss) 130,468 (51,923 ) (92,241 ) (13,696 ) Total assets 6,012,960 1,235,883 3,664,425 10,913,268 Capital expenditures for long-lived assets $ - $ 109 $ - $ 109 For the three months ended March 31, 2017 (Unaudited, Restated) Hong Kong Malaysia China Total Revenues $ 604,596 $ 224,948 $ 25,779 $ 855,323 Cost of revenues (161,477 ) (47,381 ) (250 ) (209,108 ) Depreciation and amortization 17,820 7,525 16,332 41,677 Net income (loss) (184,702 ) 86,238 (57,283 ) (155,747 ) Total assets 6,183,070 1,210,498 1,654,529 9,048,097 Capital expenditures for long-lived assets $ - $ 4,503 $ - $ 4,503 *Revenues and costs are attributed to countries based on the location of customers. |
Organization and Summary of S17
Organization and Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of presentation The accompanying unaudited condensed consolidated financial statements as of and for the three months ended March 31. 2018 and 2017, have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”) that permit reduced disclosure for interim periods. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“US GAAP”) have been condensed or omitted. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the period ended March 31, 2018 are not necessarily indicative of the results that may be expected for the year ending December 31, 2018. The Condensed Consolidated Balance Sheet information as of December 31, 2017 was derived from the Company’s audited Consolidated Financial Statements as of and for the year ended December 31, 2017 included in the Company’s Annual Report on Form 10-K filed with the SEC on April 13, 2018. These financial statements should be read in conjunction with that report. The accompanying unaudited condensed 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. Intercompany transactions and balances were eliminated in consolidation. At March 31, 2018 and December 31, 2017, the consolidated financial statements include noncontrolling interests related to the Company’s ownership of 60% of Forward Win International Limited, Yabez (Hong Kong) Company Limited, Greenpro Wealthon Sdn Bhd, Billion Sino Holdings Limited, and Parich Wealth Management Limited, and to the Company’s ownership of 51% of Greenpro Capital Village Sdn Bhd and Greenpro Family Office Limited. |
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. During the three months ended March 31, 2018, the Company incurred a loss from operations of $260,523 and at March 31, 2018, the Company had a working capital deficit of $2,055,882. 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. In addition, the Company’s independent registered public accounting firm, in its report on the Company’s December 31, 2017 financial statements, has expressed substantial doubt about the Company’s ability to continue as a going concern. 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 stockholders, in the case of equity financing. |
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, cash equivalents, and restricted cash were denominated in the following currencies at: As of March 31, 2018 As of December 31, 2017 (Unaudited) Cash, cash equivalents, and restricted cash Denominated in United States Dollars $ 157,507 $ 283,674 Denominated in Hong Kong dollars 553,305 568,008 Denominated in Chinese Renminbi 231,920 239,502 Denominated in Malaysian Ringgit 59,145 71,210 Cash, cash equivalents, and restricted cash $ 1,001,877 $ 1,162,394 At March 31, 2018 and December 31, 2017, cash included funds held by employees of $6,750 and $32,673, respectively, and was held to facilitate payment of expenses in local currencies and to facilitate third-party online payment platforms in which the Company had not set up corporate accounts (WeChat Pay and Alipay). |
Revenue Recognition | Revenue recognition In 2014, the FASB issued guidance on revenue recognition (“ASC 606”), with final amendments issued in 2016. The underlying principle of ASC 606 is to recognize revenue to depict the transfer of goods or services to customers at the amount expected to be collected. ASC 606 creates a five-step model that requires entities to exercise judgment when considering the terms of contracts, which includes (1) identifying the contracts or agreements with a customer, (2) identifying our performance obligations in the contract or agreement, (3) determining the transaction price, (4) allocating the transaction price to the separate performance obligations, and (5) recognizing revenue as each performance obligation is satisfied. The Company only applies the five-step model to contracts when it is probable that the Company will collect the consideration it is entitled to in exchange for the services it transfers to its clients. The Company has concluded that the new guidance did not require any significant change to its revenue recognition processes. The Company’s revenue consists of revenue from providing business consulting and corporate advisory services (“service revenue”), revenue from the sale of real estate properties, and revenue from the rental of real estate properties. Revenue from services For certain of our service contracts providing assistance to clients in capital market listings (“IPO services”), our services provided are considered to be one performance obligation. Revenue and expenses are deferred until the performance obligation is complete and collectability of the consideration is probable. For service contracts where the performance obligation is not completed, deferred costs of revenue are recorded as incurred and deferred revenue is recorded for any payments received on such yet to be completed performance obligations. 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 services such as company secretarial, accounting financial analysis and related services (“Non-IPO services”), the Company’s performance obligations are satisfied, and the related revenue is recognized, as services are rendered. For contracts in which we act as an agent, the Company reports revenue net of expenses paid. The Company offers no discounts, rebates, rights of return, or other allowances to clients which would result in the establishment of reserves against service revenue. Additionally, to date, the Company has not incurred incremental costs in obtaining a client contract. The Company adopted the guidance of ASC 606 on January 1, 2018, and the implementation of ASC 606 did not have a material impact on the Company’s consolidated financial statements. Revenue from the sale of real estate properties Effective January 1, 2018, the Company adopted the guidance of ASC 610-20, Other Income - Gains and Losses from the Derecognition of Nonfinancial Assets (“ASC 610-20”), which applies to sales or transfers to noncustomers of nonfinancial assets or in substance nonfinancial assets. Generally, the Company’s sales of its real estate properties would be considered a sale of a nonfinancial asset as defined. Under ASC 610-20, the Company will derecognize the asset and recognize a gain or loss on the sale of the real estate when control of the underlying asset transfers to the buyer. During the three months ended March 31, 2018 and 2017, the Company had no revenue from the sale of real estate properties. As a result of the adoption of ASU 610-20, there was no impact to the Company’s consolidated financial statements. Revenue from the rental of real estate properties Rental revenue represents lease rental income from the Company’s tenants. The tenants pay monthly in accordance with lease agreements and the Company recognizes the income ratably over the lease term as this is the most representative of the pattern in which the benefit is expected to be derived from the underlying asset. Cost of revenues Cost of service revenue primarily consists of employee compensation and related payroll benefits, company formation costs, and other professional fees directly attributable to the services rendered. Cost of real estate properties sold primarily 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. 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. The following table provides information about disaggregated revenue based on revenue by service lines and revenue by geographic area: Three Months Ended March 31, 2018 2017 (Unaudited) (Unaudited, As Restated) Revenue by service lines: Corporate advisory – Non-IPO services $ 499,128 $ 616,167 Corporate advisory – IPO services 200,000 210,000 Rental of real estate properties 41,444 29,156 Total revenue $ 740,572 $ 855,323 Three Months Ended March 31, 2018 2017 (Unaudited) (Unaudited, As Restated) Revenue by geographic area: Hong Kong $ 538,946 $ 604,596 Malaysia 151,663 224,948 China 49,963 25,779 Total revenue $ 740,572 $ 855,323 Our contract balances include deferred costs of revenue and deferred revenue. Deferred Revenue For service contracts where the performance obligation is not completed, deferred revenue is recorded for any payments received in advance of the performance obligation. Changes in deferred revenue were as follows: Deferred Costs of Revenue For service contracts where the performance obligation is not completed, deferred costs of revenue are recoded for any costs incurred in advance of the performance obligation. Deferred revenue and deferred costs of revenue at March 31, 2018 and December 31, 2017 are classified as current assets or current liabilities and totaled: As of March 31, 2018 As of December 31, 2017 (Unaudited) Deferred revenue $ 350,400 $ 345,000 Deferred costs of revenue $ 64,089 $ 74,990 |
Accounts Receivable | Accounts Receivable Accounts receivable as presented in the consolidated balance sheets are related to the Company’s contracts and are recorded when the right to consideration becomes unconditional at the amount management expects to collect. Accounts receivable do not bear interest, and payments are generally due within thirty to forty-five days of invoicing. The Company maintains an allowance for doubtful accounts receivable. The allowance reflects the Company’s best estimate of probable losses inherent in the accounts receivable balance. It is based upon historical experience and loss patterns, the number of days that billings are past due, an evaluation of the potential risk of loss associated with delinquent accounts and known delinquent accounts. The carrying value of accounts receivable approximates their fair value. As of March 31, 2018 (Unaudited) As of December 31, 2017 Accounts receivable, gross $ 385,400 $ 421,913 Less: Allowance for doubtful accounts (58,483 ) (76,179 ) Accounts receivable, net $ 326,917 $ 345,734 |
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 March 31, 2018 and December 31, 2017, there were no potentially dilutive shares outstanding. |
Foreign Currencies Translation | Foreign currency 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”), Chinese 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 three months ended March 31, 2018 2017 Period-end MYR : US$1 exchange rate 3.86 4.43 Period-average MYR : US$1 exchange rate 3.90 4.43 Period-end RMB : US$1 exchange rate 6.28 6.89 Period-average RMB : US$1 exchange rate 6.30 6.88 Period-end / average HK$ : US$1 exchange rate 7.75 7.75 |
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 March 31, 2018 or December 31, 2017. The Company believes the carrying amount reported in the balance sheet for cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities, deferred costs of revenue, deferred revenue, and due to related parties, approximate their fair values because of the short-term nature of these financial instruments. |
Concentrations of Risks | Concentrations of risks For the three months ended March 31, 2018, no customer accounted for 10% or more of the service revenue or accounts receivable at year-end. For the three months ended March 31, 2017, one customer that accounted for 10% or more of the service income is presented as follows: For the three months ended March 31, 2017 As of March 31, 2017 Revenues Percentage of revenues Trade accounts receivable Customer A (Related Party C) 91,032 11 % - Total: $ 91,032 11 % $ - For the three months ended March 31, 2018 and 2017, no vendor accounted for 10% or more of the Company’s cost of revenues, or accounts payable at quarter-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 People’s Republic of China (“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 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 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 November 2016, the FASB issued Accounting Standards Update No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash, which requires companies to include amounts generally described as restricted cash and restricted cash equivalents in cash and cash equivalents when reconciling beginning-of-period and end-of-period total amounts shown on the statements of cash flows. The Company adopted the guidance of ASU No. 2016-18 on January 1, 2018 and there was no effect to the Company’s consolidated financial statements. 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. |
Organization and Summary of S18
Organization and Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Cash, Cash Equivalents, and Restricted Cash | Cash, cash equivalents, and restricted cash were denominated in the following currencies at: As of March 31, 2018 As of December 31, 2017 (Unaudited) Cash, cash equivalents, and restricted cash Denominated in United States Dollars $ 157,507 $ 283,674 Denominated in Hong Kong dollars 553,305 568,008 Denominated in Chinese Renminbi 231,920 239,502 Denominated in Malaysian Ringgit 59,145 71,210 Cash, cash equivalents, and restricted cash $ 1,001,877 $ 1,162,394 |
Schedule of Disaggregated Revenue Based on Revenue by Service | The following table provides information about disaggregated revenue based on revenue by service lines and revenue by geographic area: Three Months Ended March 31, 2018 2017 (Unaudited) (Unaudited, As Restated) Revenue by service lines: Corporate advisory – Non-IPO services $ 499,128 $ 616,167 Corporate advisory – IPO services 200,000 210,000 Rental of real estate properties 41,444 29,156 Total revenue $ 740,572 $ 855,323 Three Months Ended March 31, 2018 2017 (Unaudited) (Unaudited, As Restated) Revenue by geographic area: Hong Kong $ 538,946 $ 604,596 Malaysia 151,663 224,948 China 49,963 25,779 Total revenue $ 740,572 $ 855,323 |
Schedule of Deferred Revenue and Deferred Costs of Revenue | Deferred revenue and deferred costs of revenue at March 31, 2018 and December 31, 2017 are classified as current assets or current liabilities and totaled: As of March 31, 2018 As of December 31, 2017 (Unaudited) Deferred revenue $ 350,400 $ 345,000 Deferred costs of revenue $ 64,089 $ 74,990 |
Schedule of Accounts Receivable | As of March 31, 2018 (Unaudited) As of December 31, 2017 Accounts receivable, gross $ 385,400 $ 421,913 Less: Allowance for doubtful accounts (58,483 ) (76,179 ) Accounts receivable, net $ 326,917 $ 345,734 |
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 three months ended March 31, 2018 2017 Period-end MYR : US$1 exchange rate 3.86 4.43 Period-average MYR : US$1 exchange rate 3.90 4.43 Period-end RMB : US$1 exchange rate 6.28 6.89 Period-average RMB : US$1 exchange rate 6.30 6.88 Period-end / average HK$ : US$1 exchange rate 7.75 7.75 |
Schedule of Concentrations of Risks | For the three months ended March 31, 2017, one customer that accounted for 10% or more of the service income is presented as follows: For the three months ended March 31, 2017 As of March 31, 2017 Revenues Percentage of revenues Trade accounts receivable Customer A (Related Party C) 91,032 11 % - Total: $ 91,032 11 % $ - |
Restatement of Previously Iss19
Restatement of Previously Issued Unaudited Condensed Consolidated Financial Statements (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
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 March 31, 2017 (Unaudited) As Previously Reported Adjustments Notes As Restated Accounts Receivable, net $ 492,652 $ (126,205 ) D $ 366,447 Deferred costs related to revenue - 22,663 A 22,663 Real estate held for investment, net 1,010,630 (202,325 ) B 808,305 Goodwill 1,472,729 174,001 C 1,646,730 Deferred Revenue - 135,000 A 135,000 Additional paid in capital 7,543,095 1,943 B 7,545,038 Accumulated other comprehensive income 96,467 (204,721 ) B (107,804 ) Accumulated deficit (898,743 ) (235,451 ) A, B, D (1,134,194 ) Noncontrolling interests in consolidated subsidiaries $ 144,922 $ 170,912 B, C $ 315,834 The following table presents the effect of the restatements on the Company’s previously issued consolidated statement of operations and comprehensive loss: For the three months ended March 31, 2017 (Unaudited) As Previously Reported Adjustments Notes As Restated Service revenue $ 746,167 $ 80,000 A $ 826,167 Cost of service revenue (144,479 ) (52,545 ) A (197,024 ) General and administrative (710,748 ) (71,406 ) D (782,154 ) Net loss attribute to common shareholders (108,488 ) (43,951 ) (152,439 ) Foreign currency translation income (loss) (6,431 ) 10,445 B 4,014 Comprehensive loss $ (114,919 ) $ (33,506 ) $ (148,425 ) 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 cash flows: For the three months ended March 31, 2017 (Unaudited) As Previously Reported Adjustments Notes As Restated Cash flows from operating activities: Net (loss) income $ (111,796 ) $ (43,951 ) A $ (155,747 ) Changes in operating assets and liabilities: Accounts Receivable, net (53,235 ) 71,406 D 18,171 Deferred revenue - (80,000 ) A (80,000 ) Deferred costs - 52,545 A 52,545 |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property, Plant and Equipment | As of As of March 31, 2018 December 31, 2017 (Unaudited) Offices properties $ 3,312,313 $ 3,194,858 Furniture and fixtures 47,155 46,890 Office equipment 43,816 43,076 Leasehold improvement 41,340 41,340 3,444,634 3,326,164 Less: Accumulated depreciation and amortization (96,240 ) (59,335 Total $ 3,348,384 $ 3,266,829 |
Real Estate Held For Investme21
Real Estate Held For Investment (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Real Estate Investment Property, Net [Abstract] | |
Schedule of Real Estate Held For Investment | As of As of March 31, 2018 December 31, 2017 (Unaudited) Office properties $ 891,227 $ 851,120 Furniture and fixtures 60,538 57,814 Office equipment 16,212 15,378 Leasehold improvement 78,754 75,210 1,046,731 999,522 Less: Accumulated depreciation and amortization (145,310 ) (130,538 Total $ 901,421 $ 868,984 |
Due to Related Parties (Tables)
Due to Related Parties (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Due to Related Parties [Abstract] | |
Schedule of Amounts Due to Related Parties | As of As of March 31, 2018 December 31, 2017 (Unaudited) Due to noncontrolling interests $ 1,520,467 $ 1,617,241 Due to shareholders 87,227 3,993 Due to directors 85,640 85,212 Due to related companies 107,617 107,484 Total $ 1,800,951 $ 1,813,930 |
Loans Secured by Real Estate (T
Loans Secured by Real Estate (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Debt Disclosure [Abstract] | |
Schedule of Long Term Bank Loans | As of As of March 31, 2018 December 31, 2017 (Unaudited) (A) Standard Chartered Saadiq Berhad, Malaysia $ 378,416 $ 363,974 (B) United Overseas Bank (Malaysia) Berhad 259,933 249,459 (C) Bank of China Limited, Shenzhen, PRC 1,398,362 1,383,360 (D) Loan from non-banking lender, Hong Kong 645,161 774,194 2,681,872 2,770,987 Less: current portion (805,097 ) (928,147 ) Loans secured by real estate, net of current portion $ 1,876,775 $ 1,842,840 (A) Loan payable to Standard Chartered Saadiq Berhad, secured by two office units at Skypark One City, Selangor in Kuala Lumpur, Malaysia. The loan bears interest at the base lending rate less 2.1% per annum (6.95% at March 31, 2018) with 300 monthly installments of MYR9,287 (approximately $2,840) each and will mature in May 2038. The mortgage loan is secured by the property and various guarantees from officers of the Company. (B) Loan payable to United Overseas Bank (Malaysia) Berhad secured by an office unit at Northpoint, Mid Valley City in Kuala Lumpur, Malaysia. Mr. Lee Chong Kuang, the chief executive officer of the Company, obtained the loan for the Company. The loan bears interest at the base lending rate less 2.2% per annum (6.96% at March 31, 2018) with 360 monthly installments of MYR5,382 (approximately $1,645) each and will mature in August 2043. (C) Loan payable to Bank of China Limited secured by three office units at the Di Wang Building (Shun Hing Square), Shenzhen, China. The loan bears interest at a 25% premium above the 5-year-or-above RMB base lending rate per annum (6.125% at March 31, 2018) with 120 monthly installments and will mature in December 2027. The mortgage loan is secured by the property, a restricted-cash deposit of RMB 1,000,000 (approximately $153,707), the accounts receivable of Greenpro Management Consultancy (Shenzhen) Limited, and various guarantees from officers and employees of the Company. (D) Loan payable to 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. |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Related Party Transactions [Abstract] | |
Schedule of Related Parties Transactions | For the three months ended March 31, 2018 2017 Revenue from related parties is comprised of the following: Service revenue - Related party B 38,210 74,287 - Related party C - 90,000 Total $ 38,210 $ 164,287 Rental revenue - Related party A $ - $ 3,484 - Related party C - 1,032 Total $ - $ 4,516 |
Segment Information (Tables)
Segment Information (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
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 three months ended March 31, 2018 (Unaudited) Real estate business Service business Corporate Total Revenues $ 41,444 $ 699,128 $ - $ 740,572 Cost of revenues (23,556 ) (159,563 ) (24,000 ) (207,119 ) Depreciation and amortization 8,553 54,836 4,081 67,470 Net income (loss) 7,358 (202,671 ) 181,617 (13,696 ) Total assets 3,546,437 7,259,827 107,004 10,913,268 Capital expenditures for long-lived assets $ - $ 109 $ - $ 109 For the three months ended March 31, 2017 (Unaudited, Restated) Real estate business Service business Corporate Total Revenues $ 29,156 $ 826,167 $ - $ 855,323 Cost of revenues (12,084 ) (197,024 ) - (209,108 ) Depreciation and amortization 7,121 34,556 41,677 Net income (loss) (739 ) (154,581 ) (427 ) (155,747 ) Total assets 3,772,547 5,040,228 235,322 9,048,097 Capital expenditures for long-lived assets $ - $ 4,503 $ - $ 4,503 (b) By Geography* For the three months ended March 31, 2018 (Unaudited) Hong Kong Malaysia China Total Revenues $ 538,946 $ 151,663 $ 49,963 $ 740,572 Cost of revenues (136,868 ) (70,251 ) (207,119 ) Depreciation and amortization 25,120 8,959 33,391 67,470 Net income (loss) 130,468 (51,923 ) (92,241 ) (13,696 ) Total assets 6,012,960 1,235,883 3,664,425 10,913,268 Capital expenditures for long-lived assets $ - $ 109 $ - $ 109 For the three months ended March 31, 2017 (Unaudited, Restated) Hong Kong Malaysia China Total Revenues $ 604,596 $ 224,948 $ 25,779 $ 855,323 Cost of revenues (161,477 ) (47,381 ) (250 ) (209,108 ) Depreciation and amortization 17,820 7,525 16,332 41,677 Net income (loss) (184,702 ) 86,238 (57,283 ) (155,747 ) Total assets 6,183,070 1,210,498 1,654,529 9,048,097 Capital expenditures for long-lived assets $ - $ 4,503 $ - $ 4,503 *Revenues and costs are attributed to countries based on the location of customers. |
Organization and Summary of S26
Organization and Summary of Significant Accounting Policies (Details Narrative) - USD ($) | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Incurred a loss from operations | $ (260,523) | $ (138,293) | |
Working capital deficiency | 2,055,882 | $ 2,070,201 | |
Funds held by employees | $ 6,750 | $ 32,673 | |
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% | 60.00% | |
Greenpro Capital Village Sdn Bhd and Greenpro Family Office Limited [Member] | |||
Percentage of holds of shareholdings | 51.00% | 51.00% |
Organization and Summary of S27
Organization and Summary of Significant Accounting Policies - Schedule of Cash, Cash Equivalents, and Restricted Cash (Details) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Property, Plant and Equipment [Line Items] | ||
Cash, cash equivalents, and restricted cash | $ 1,001,877 | $ 1,162,394 |
United States Dollars [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Cash, cash equivalents, and restricted cash | 157,507 | 283,674 |
Hong Kong Dollar [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Cash, cash equivalents, and restricted cash | 553,305 | 568,008 |
Renminbi [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Cash, cash equivalents, and restricted cash | 231,920 | 239,502 |
Malaysian Ringgit [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Cash, cash equivalents, and restricted cash | $ 59,145 | $ 71,210 |
Organization and Summary of S28
Organization and Summary of Significant Accounting Policies - Schedule of Disaggregated Revenue Based on Revenue by Service (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Total revenue | $ 740,572 | $ 855,323 |
Hong Kong [Member] | ||
Total revenue | 538,946 | 604,596 |
Malaysia [Member] | ||
Total revenue | 151,663 | 224,948 |
China [Member] | ||
Total revenue | 49,963 | 25,779 |
Corporate Advisory Non IPO Services [Member] | ||
Total revenue | 499,128 | 616,167 |
Corporate Advisory IPO Services [Member] | ||
Total revenue | 200,000 | 210,000 |
Rental of Real Estate Properties [Member] | ||
Total revenue | $ 41,444 | $ 29,156 |
Organization and Summary of S29
Organization and Summary of Significant Accounting Policies - Schedule of Deferred Revenue and Deferred Costs of Revenue (Details) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Accounting Policies [Abstract] | |||
Deferred revenue | $ 350,400 | $ 345,000 | |
Deferred costs of revenue | $ 64,089 | $ 74,990 | $ 22,663 |
Organization and Summary of S30
Organization and Summary of Significant Accounting Policies - Schedule of Accounts Receivable (Details) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Organization And Summary Of Significant Accounting Policies - Schedule Of Accounts Receivable Details | |||
Accounts receivable, gross | $ 385,400 | $ 421,913 | |
Less: Allowance for doubtful accounts | (58,483) | (76,179) | $ (126,205) |
Accounts receivable, net | $ 326,917 | $ 345,734 |
Organization and Summary of S31
Organization and Summary of Significant Accounting Policies - Schedule of Foreign Currencies Translation (Details) | Mar. 31, 2018 | Mar. 31, 2017 |
Period-End MYR : US$1 Exchange Rate [Member] | ||
Foreign Currency Exchange Rate, Translation | 3.86 | 4.43 |
Period-Average MYR : US$1 Exchange Rate [Member] | ||
Foreign Currency Exchange Rate, Translation | 3.90 | 4.43 |
Period-End RMB : US$1 Exchange Rate [Member] | ||
Foreign Currency Exchange Rate, Translation | 6.28 | 6.89 |
Period-Average RMB : US$1 Exchange Rate [Member] | ||
Foreign Currency Exchange Rate, Translation | 6.30 | 6.88 |
Period-End /Average HK$ : US$1 Exchange Rate [Member] | ||
Foreign Currency Exchange Rate, Translation | 7.75 | 7.75 |
Organization and Summary of S32
Organization and Summary of Significant Accounting Policies - Schedule of Concentrations of Risks (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2017 | |
Property, Plant and Equipment [Line Items] | ||||
Revenues | $ 740,572 | $ 855,323 | ||
Trade accounts receivable | $ 326,917 | $ 345,734 | ||
Sales Revenue, Net [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Revenues | $ 91,032 | |||
Percentage of revenues | 11.00% | |||
Sales Revenue, Net [Member] | Customer A (Related Party C) [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Revenues | $ 91,032 | |||
Percentage of revenues | 11.00% | |||
Accounts Receivable [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Trade accounts receivable | ||||
Accounts Receivable [Member] | Customer A (Related Party C) [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Trade accounts receivable |
Restatement of Previously Iss33
Restatement of Previously Issued Unaudited Condensed Consolidated Financial Statements (Details Narrative) - USD ($) | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Accounting Changes and Error Corrections [Abstract] | |||
Increase accumulated deficit | $ 3,275,412 | $ 1,134,194 | $ 3,266,313 |
Deferred costs of revenue | 64,089 | 22,663 | 74,990 |
Deferred revenue | 135,000 | ||
Additional service revenue | 826,167 | ||
Additional costs | 183,563 | 197,024 | |
Additional net income | (9,099) | (152,439) | |
Decrease real estate held for investment | (901,421) | (808,305) | (868,984) |
Decrease accumulated other comprehensive income | (46,276) | 107,804 | 40,199 |
Minority interest | 78,686 | 315,834 | 83,283 |
Increase decrease in stockholders' equity | 174,001 | ||
Increase goodwill | 1,211,863 | 1,646,730 | 1,211,863 |
Decreased in allowance for uncollectible accounts and bad debts and accounts receivable | $ 58,483 | 126,205 | $ 76,179 |
Bad debt expense increased | 71,406 | ||
Increase additional accumulated deficit | $ 109,705 |
Restatement of Previously Iss34
Restatement of Previously Issued Consolidated Financial Statements - Schedule of Restated Statements (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Accounts Receivable, net | $ 326,917 | $ 366,447 | $ 345,734 |
Deferred costs | 64,089 | 22,663 | 74,990 |
Real estate held for investment, net | 901,421 | 808,305 | 868,984 |
Goodwill | 1,211,863 | 1,646,730 | 1,211,863 |
Deferred costs related to revenue | 135,000 | ||
Additional paid in capital | 8,465,294 | 7,545,038 | 8,465,294 |
Accumulated other comprehensive income | 46,276 | (107,804) | (40,199) |
Accumulated deficit | (3,275,412) | (1,134,194) | (3,266,313) |
Non-controlling interests in consolidated subsidiaries | 78,686 | 315,834 | $ 83,283 |
Service revenue | 826,167 | ||
Cost of service revenue | (183,563) | (197,024) | |
General and administrative | (793,976) | (784,508) | |
Net loss attribute to common shareholders | (9,099) | (152,439) | |
Foreign currency translation income (loss) | 86,475 | 4,014 | |
Comprehensive loss | $ 77,376 | $ (148,425) | |
Net loss per share, basic and diluted | $ 0 | $ 0 | |
Net (loss) income | $ (13,696) | $ (155,747) | |
Accounts Receivable, net | 36,555 | 18,171 | |
Deferred Revenue | 5,400 | (80,000) | |
Deferred costs | $ 10,901 | 52,545 | |
Scenario, Previously Reported [Member] | |||
Accounts Receivable, net | 492,652 | ||
Deferred costs | |||
Real estate held for investment, net | 1,010,630 | ||
Goodwill | 1,472,729 | ||
Deferred costs related to revenue | |||
Additional paid in capital | 7,543,095 | ||
Accumulated other comprehensive income | 96,467 | ||
Accumulated deficit | (898,743) | ||
Non-controlling interests in consolidated subsidiaries | 144,922 | ||
Service revenue | 746,167 | ||
Cost of service revenue | (14,447) | ||
General and administrative | (710,748) | ||
Net loss attribute to common shareholders | (108,488) | ||
Foreign currency translation income (loss) | 6,431 | ||
Comprehensive loss | $ (114,919) | ||
Net loss per share, basic and diluted | $ 0 | ||
Net (loss) income | $ (111,796) | ||
Accounts Receivable, net | (53,235) | ||
Deferred Revenue | |||
Deferred costs | |||
Restatement Adjustment [Member] | |||
Accounts Receivable, net | (126,205) | ||
Deferred costs | 22,663 | ||
Real estate held for investment, net | (202,325) | ||
Goodwill | 174,001 | ||
Deferred costs related to revenue | 135,000 | ||
Additional paid in capital | 1,943 | ||
Accumulated other comprehensive income | (204,721) | ||
Accumulated deficit | (235,451) | ||
Non-controlling interests in consolidated subsidiaries | 170,912 | ||
Service revenue | 80,000 | ||
Cost of service revenue | (52,545) | ||
General and administrative | (71,406) | ||
Net loss attribute to common shareholders | (43,951) | ||
Foreign currency translation income (loss) | 10,445 | ||
Comprehensive loss | (33,506) | ||
Net (loss) income | (43,951) | ||
Accounts Receivable, net | 71,406 | ||
Deferred Revenue | (80,000) | ||
Deferred costs | $ 52,545 |
Property and Equipment, Net (De
Property and Equipment, Net (Details Narrative) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Depreciation expense, classify as operating expenses | $ 3,203 | |
Office leasehold pledged to banks as collateral security | $ 1,398,362 | |
Offices Properties [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 ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, Gross | $ 3,444,634 | $ 3,326,164 |
Less: Accumulated depreciation and amortization | (96,240) | (59,335) |
Total | 3,348,384 | 3,266,829 |
Offices Properties [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, Gross | 3,312,313 | 3,194,858 |
Furniture and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, Gross | 47,155 | 46,890 |
Office Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, Gross | 43,816 | 43,076 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, Gross | $ 41,340 | $ 41,340 |
Real Estate Held For Sale (Deta
Real Estate Held For Sale (Details Narrative) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Real Estate [Abstract] | ||
Real estate held for sale | $ 3,430,641 | $ 3,430,641 |
Real estate held for sale pledged as security collateral for loans | $ 645,161 |
Real Estate Held for Investme38
Real Estate Held for Investment (Details Narrative) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Real Estate Investment Property, Net [Abstract] | ||
Depreciation and amortization expense | $ 8,553 | $ 7,121 |
Real estate held for investment pledged to banks as security collateral | $ 638,349 |
Real Estate Held for Investme39
Real Estate Held for Investment - Schedule of Real Estate Held For Investment (Details) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Real estate investment property, Gross | $ 1,046,731 | $ 999,522 | |
Less: Accumulated depreciation and amortization | (145,310) | (130,538) | |
Real estate investment property, Net | 901,421 | 868,984 | $ 808,305 |
Offices Properties [Member] | |||
Real estate investment property, Gross | 891,227 | 851,120 | |
Furniture and Fixtures [Member] | |||
Real estate investment property, Gross | 60,538 | 57,814 | |
Office Equipment [Member] | |||
Real estate investment property, Gross | 16,212 | 15,378 | |
Leasehold Improvements [Member] | |||
Real estate investment property, Gross | $ 78,754 | $ 75,210 |
Due to Related Parties (Details
Due to Related Parties (Details Narrative) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Due to Related Parties [Abstract] | ||
Amount due to non-controlling interest | $ 1,441,548 | $ 1,441,548 |
Amount due to another non-controlling interest | $ 78,919 | $ 175,693 |
Due to Related Parties - Schedu
Due to Related Parties - Schedule of Amounts Due to Related Parties (Details) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Due to Related Parties [Abstract] | ||
Due to non-controlling interest | $ 1,520,467 | $ 1,617,241 |
Due to shareholders | 87,227 | 3,993 |
Due to directors | 85,640 | 85,212 |
Due to related companies | 107,617 | 107,484 |
Total | $ 1,800,951 | $ 1,813,930 |
Loans Secured by Real Estate -
Loans Secured by Real Estate - Schedule of Long Term Bank Loans (Details) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 | |
Bank loans from financial institutions | $ 2,681,872 | $ 2,770,987 | |
Less: current portion | (805,097) | (928,147) | |
Loans secured by real estate, net of current portion | 1,876,775 | 1,842,840 | |
Standard Chartered Saadiq Berhad [Member] | |||
Bank loans from financial institutions | [1] | 378,416 | 363,974 |
United Overseas Bank (Malaysia) Berhad [Member] | |||
Bank loans from financial institutions | [2] | 259,933 | 249,459 |
Bank of China Limited [Member] | |||
Bank loans from financial institutions | [3] | 1,398,362 | 1,383,360 |
Loan From Non Banking Lender [Member] | |||
Bank loans from financial institutions | [4] | $ 645,161 | $ 774,194 |
[1] | Loan payable to Standard Chartered Saadiq Berhad, secured by two leasehold office units at Skypark One City, Selangor in Kuala Lumpur, Malaysia. The loan bears interest at the base lending rate less 2.1% per annum (6.95% at March 31, 2018) with 300 monthly installments of MYR9,287 (approximately $2,840) each and will mature in May 2038. The mortgage loan is secured by the property and various guarantees from officers of the Company. | ||
[2] | Loan payable to United Overseas Bank (Malaysia) Berhad secured by a leasehold office unit at Northpoint, Mid Valley City in Kuala Lumpur, Malaysia. Mr. Lee Chong Kuang, the chief executive officer of the Company, obtained the loan for the Company. The loan bears interest at the base lending rate less 2.2% per annum (6.96% at March 31, 2018) with 360 monthly installments of MYR5,382 (approximately $1,645) each and will mature in August 2043. | ||
[3] | Loan payable to Bank of China Limited secured by leasehold office units at the Di Wang Building (Shun Hing Square), Shenzhen, China. The loan bears interest at a 25% premium above the 5-year-or-above RMB base lending rate per annum (6.125% at March 31, 2018) with 120 monthly installments and will mature in December 2027. The mortgage loan is secured by the property, a restricted-cash deposit of RMB 1,000,000 (approximately $153,707), the accounts receivable of Greenpro Management Consultancy (Shenzhen) Limited, and various guarantees from officers and employees of the Company. | ||
[4] | Loan payable to Laboratory JaneClare Limited, a non-banking lender located in Hong Kong. The loan is secured by the Company’s real estate held for sale, bears interest at 8.4% per annum, and is due September 12, 2018. |
Loans Secured by Real Estate 43
Loans Secured by Real Estate - Schedule of Long Term Bank Loans (Details) (Parenthetical) - USD ($) | 3 Months Ended | 12 Months Ended |
Mar. 31, 2018 | Dec. 31, 2017 | |
Standard Chartered Saadiq Berhad [Member] | ||
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 | 6.95% | 6.95% |
Standard Chartered Saadiq Berhad [Member] | MYR [Member] | ||
Monthly installment of bank loan | $ 9,287 | |
United Overseas Bank (Malaysia) Berhad [Member] | ||
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 | 6.95% | 6.95% |
United Overseas Bank (Malaysia) Berhad [Member] | MYR [Member] | ||
Monthly installment of bank loan | $ 5,382 | |
Bank of China Limited [Member] | ||
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 | |
Interest rate, effective percentage | 25.00% | |
Greenpro Management Consultancy (Shenzhen) Limited [Member] | Restricted-Cash Fixed Deposit [Member] | ||
Secured mortgage loan amount | $ 153,707 | |
Greenpro Management Consultancy (Shenzhen) Limited [Member] | RMB [Member] | Restricted-Cash Fixed Deposit [Member] | ||
Secured mortgage loan amount | $ 1,000,000 | |
Laboratory Jane Clare Limited [Member] | ||
Interest rate on bank loans | 8.40% | |
Bank loan mature date | Sep. 12, 2018 |
Related Party Transactions - Sc
Related Party Transactions - Schedule of Related Parties Transactions (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Business consulting and advisory service income | $ 38,210 | $ 164,287 |
Rental Revenue[Member] | ||
Business consulting and advisory service income | 4,516 | |
Related Party B [Member] | ||
Business consulting and advisory service income | 38,210 | 74,287 |
Related Party C [Member] | ||
Business consulting and advisory service income | 90,000 | |
Related Party C [Member] | Rental Revenue[Member] | ||
Business consulting and advisory service income | 1,032 | |
Related Party A [Member] | Rental Revenue[Member] | ||
Business consulting and advisory service income | $ 3,484 |
Segment Information (Details Na
Segment Information (Details Narrative) | 3 Months Ended |
Mar. 31, 2018OperatingSegments | |
Segment Reporting [Abstract] | |
Number of reportable operating segments | 2 |
Segment Information - Schedule
Segment Information - Schedule of Summarized Financial Information (Details) - USD ($) | 3 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | ||
Revenues | $ 740,572 | $ 855,323 | ||
Cost of revenues | 207,119 | (209,108) | ||
Depreciation and amortization | 67,470 | 41,677 | ||
Net (loss) income | (13,696) | (155,747) | ||
Total assets | 10,913,268 | 9,048,097 | $ 11,014,307 | |
Capital expenditures for long-lived assets | 109 | 4,503 | ||
Hong Kong [Member] | ||||
Revenues | [1] | 538,946 | 604,596 | |
Cost of revenues | [1] | (136,868) | (161,477) | |
Depreciation and amortization | [1] | 25,120 | 17,820 | |
Net (loss) income | [1] | 130,468 | (184,702) | |
Total assets | [1] | 6,012,960 | 6,183,070 | |
Capital expenditures for long-lived assets | [1] | |||
Malaysia [Member] | ||||
Revenues | [1] | 151,663 | 224,948 | |
Cost of revenues | [1] | (70,251) | (47,381) | |
Depreciation and amortization | [1] | 8,959 | 7,525 | |
Net (loss) income | [1] | (51,923) | 86,238 | |
Total assets | [1] | 1,235,883 | 1,210,498 | |
Capital expenditures for long-lived assets | [1] | 4,503 | ||
China [Member] | ||||
Revenues | [1] | 49,963 | 25,779 | |
Cost of revenues | [1] | (250) | ||
Depreciation and amortization | [1] | 33,391 | 16,332 | |
Net (loss) income | [1] | (92,241) | (57,283) | |
Total assets | [1] | 3,664,425 | 1,654,529 | |
Capital expenditures for long-lived assets | [1] | 190 | ||
Real Estate Business [Member] | ||||
Revenues | 41,444 | 29,156 | ||
Cost of revenues | (23,556) | (12,084) | ||
Depreciation and amortization | 8,553 | 7,121 | ||
Net (loss) income | 7,358 | (739) | ||
Total assets | 3,546,437 | 3,772,547 | ||
Capital expenditures for long-lived assets | ||||
Service Business [Member] | ||||
Revenues | 699,128 | 826,167 | ||
Cost of revenues | (159,563) | (197,024) | ||
Depreciation and amortization | 54,836 | 34,556 | ||
Net (loss) income | (202,671) | (154,581) | ||
Total assets | 7,259,827 | 5,040,228 | ||
Capital expenditures for long-lived assets | 109 | 4,503 | ||
Corporate Business [Member] | ||||
Revenues | ||||
Cost of revenues | (24,000) | |||
Depreciation and amortization | 4,081 | |||
Net (loss) income | 181,617 | (427) | ||
Total assets | 107,004 | 235,322 | ||
Capital expenditures for long-lived assets | ||||
[1] | Revenues and costs are attributed to countries based on the location of customers. |