Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Feb. 29, 2016 | Mar. 29, 2016 | |
Document And Entity Information | ||
Entity Registrant Name | FairWind Energy Inc. | |
Entity Central Index Key | 1,603,345 | |
Document Type | 10-Q | |
Document Period End Date | Feb. 29, 2016 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --08-31 | |
Is Entity a Well-known Seasoned Issuer | No | |
Is Entity a Voluntary Filer | No | |
Is Entity's Reporting Status Current | Yes | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 5,992,406 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2,016 |
Balance Sheets
Balance Sheets - USD ($) | Feb. 29, 2016 | Aug. 31, 2015 |
Current Assets | ||
Cash | $ 6,947 | $ 13,195 |
Accounts receivable | ||
Inventory | ||
Prepayments and other current assets | ||
Total current assets | $ 6,947 | $ 13,195 |
Computer Equipment | ||
Computer equipment | 1,328 | 1,328 |
Accumulated depreciation | (528) | (396) |
Computer equipment, net | 800 | 932 |
Patent | ||
Patent | 3,814 | 3,814 |
Accumulated depreciation | (546) | (420) |
Patent, net | 3,268 | 3,394 |
Total assets | $ 11,015 | 17,521 |
Current Liabilities | ||
Accrued expenses | $ 5,053 | |
Accrued payroll | ||
Advances from customers | ||
Advances from stockholder | ||
Payroll liabilities | $ 870 | $ 2,318 |
Sales tax payable | ||
Total current liabilities | $ 870 | $ 7,371 |
Stockholders' Equity | ||
Preferred stock par value $0.001: 25,000,000 shares authorized; 0 issued or outstanding | ||
Common stock par value $0.001: 50,000,000 shares authorized; 5,992,406 shares issued and outstanding | $ 5,992 | $ 5,992 |
Additional paid-in capital | 436,409 | 436,409 |
Accumulated deficit | (432,256) | (432,251) |
Total stockholders' equity | 10,145 | 10,150 |
Total liabilities and stockholders' equity | $ 11,015 | $ 17,521 |
Balance Sheets (Parenthetical)
Balance Sheets (Parenthetical) - $ / shares | Feb. 29, 2016 | Aug. 31, 2015 |
Balance Sheets Parenthetical | ||
Preferred stock, par value | $ 0.001 | $ 0.001 |
Preferred stock, authorized | 25,000,000 | 25,000,000 |
Preferred stock, issued | 0 | 0 |
Preferred stock, outstanding | 0 | 0 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, authorized | 50,000,000 | 50,000,000 |
Common stock, issued | 5,992,406 | 5,992,406 |
Common stock, outstanding | 5,992,406 | 5,992,406 |
Statements of Operations (Unaud
Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Feb. 29, 2016 | Feb. 28, 2015 | Feb. 29, 2016 | Feb. 28, 2015 | |
Statements Of Operations | ||||
Revenue | $ 15,000 | $ 30,000 | ||
Costs of Goods Sold | ||||
Gross Margin | $ 15,000 | $ 30,000 | ||
Operating Expenses | ||||
Professional fees | 8,561 | $ 8,160 | 12,624 | $ 15,659 |
Research and development | 1,250 | 19,297 | 1,998 | 22,717 |
Salary, wages - officers | 1,940 | 38,213 | 9,117 | 75,809 |
General and administrative expenses | 2,905 | 11,031 | 6,266 | 20,618 |
Total operating expenses | 14,656 | 76,701 | 30,005 | 134,803 |
Income (Loss) before Income Tax Provision | $ 344 | $ (76,701) | $ (5) | $ (134,803) |
Income Tax Provision | ||||
Net Income (Loss) | $ 344 | $ (76,701) | $ (5) | $ (134,803) |
Earnings per share - Basic and Diluted | $ 0 | $ (0.01) | $ 0 | $ (0.02) |
Weighted average common shares outstanding - Basic and Diluted | 5,992,406 | 5,957,295 | 5,992,406 | 5,961,395 |
Statements of Cash Flows (Unaud
Statements of Cash Flows (Unaudited) - USD ($) | 6 Months Ended | |
Feb. 29, 2016 | Feb. 28, 2015 | |
Cash Flows from Operating Activities | ||
Net loss | $ (5) | $ (134,803) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation expense | 132 | 132 |
Amortization expense | 126 | 126 |
Changes in operating assets and liabilities: | ||
Accrued expenses | $ (5,053) | (5,741) |
Accrued payroll - officer | 9,786 | |
Payroll liabilities | $ (1,448) | (1,493) |
Net Cash Used in Operating Activities | $ (6,248) | (131,993) |
Cash Flows from Financing Activities | ||
Proceeds from sale of common shares | 38,300 | |
Net Cash Used by Financing Activities | 38,300 | |
Net Change in Cash | $ (6,248) | (93,693) |
Cash - beginning of reporting period | 13,195 | 134,815 |
Cash - end of reporting period | $ 6,947 | $ 41,122 |
Supplemental disclosure of cash flow information: | ||
Interest paid | ||
Income tax paid |
Organization and Operations
Organization and Operations | 6 Months Ended |
Feb. 29, 2016 | |
Notes to Financial Statements | |
Note 1 - Organization and Operations | FairWind Energy, Inc. FairWind Energy, Inc. (the "Company") was incorporated on April 18, 2013 under the laws of the State of Nevada. The Company engages in composite design, engineering and manufacturing to be used in solar/wind hybrid power systems, oil and gas industry pumping and civil engineering and infrastructure products. |
Significant and Critical Accoun
Significant and Critical Accounting Policies and Practices | 6 Months Ended |
Feb. 29, 2016 | |
Notes to Financial Statements | |
Note 2 - Significant and Critical Accounting Policies and Practices | The Management of the Company is responsible for the selection and use of appropriate accounting policies and the appropriateness of accounting policies and their application. Critical accounting policies and practices are those that are both most important to the portrayal of the Company's financial condition and results and require management's most difficult, subjective, or complex judgments, often as a result of the need to make estimates about the effects of matters that are inherently uncertain. The Company's significant and critical accounting policies and practices are disclosed below as required by generally accepted accounting principles. Basis of Presentation The accompanying unaudited interim financial statements and related notes have been prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP") for the interim financial information, and with the rules and regulations of the United States Securities and Exchange Commission ("SEC") to Form 10-Q and Article 8 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. The unaudited interim financial statements furnished reflect all adjustments (consisting of normal recurring accruals) which are, in the opinion of management, necessary to a fair statement of the results for the interim period presented. Unaudited interim results are not necessarily indicative of the results for the full fiscal year. These financial statements should be read in conjunction with the audited financial statements of the Company for the reporting period ended August 31, 2015 and notes thereto contained in the Company's Annual Report on Form 10-K. |
Going Concern
Going Concern | 6 Months Ended |
Feb. 29, 2016 | |
Notes to Financial Statements | |
Note 3 - Going Concern | The Company has elected to adopt early application of Accounting Standards Update No. 2014-15, "Presentation of Financial Statements—Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern ("ASU 2014-15") The Company's financial statements have been prepared assuming that it will continue as a going concern, which contemplates continuity of operations, realization of assets, and liquidation of liabilities in the normal course of business. As reflected in the financial statements, the Company had an accumulated deficit at February 29, 2016, a net loss and net cash used in operating activities for the three months then ended. These factors raise substantial doubt about the Company's ability to continue as a going concern. The Company is attempting to commence operations and generate sufficient revenue; however, the Company's cash position may not be sufficient to support its daily operations. While the Company believes in the viability of its strategy to commence operations and generate sufficient revenue and in its ability to raise additional funds, there can be no assurances to that effect. The ability of the Company to continue as a going concern is dependent upon its ability to further implement its business plan and generate sufficient revenue and its ability to raise additional funds by way of a public or private offering. The financial statements do not include any adjustments related to the recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern. |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Feb. 29, 2016 | |
Notes to Financial Statements | |
Note 4 - Related Party Transactions | Related Parties Related parties with whom the Company had transactions are: Related Parties Relationship Michael Winterhalter Chairman, CEO, significant stockholder and director Free Office Space The Company has been provided office space by its Chief Executive Officer at no cost. Management determined that such cost is nominal and did not recognize the rent expense in its financial statement. Stock Options Plan In February 2016, the Board of Directors approved the 2016 Stock Options Plan ("Plan") that provides for the granting of stock options to certain key employees. The Plan reserves 2,000,000 shares of common stock for this purpose. There is no provision for shares to be specifically granted to the CEO under his employment arrangement, either in the stock option plan or the employment agreement. Options under the Plan are to be granted at no less than fair market value of the shares at the date of grant. |
Subsequent Events
Subsequent Events | 6 Months Ended |
Feb. 29, 2016 | |
Notes to Financial Statements | |
Note 5 - Subsequent Events | Consulting Agreement On March 14, 2016, the Company entered into a consulting agreement with Steve Moore for consulting services related to develop business & advise management of technology, products and services used in the oil and gas exploration and production. This agreement combines commissions payable on gross profit, as well as a warrant of company stock. The cost of these benefits is estimated at $250,000 over 2 years. Stock Issuance On March 14, 2016, the Company approved the sale of 20,000 shares of its common stock at $.001 per share to directors of the Company. |
Significant and Critical Acco11
Significant and Critical Accounting Policies and Practices (Policies) | 6 Months Ended |
Feb. 29, 2016 | |
Significant And Critical Accounting Policies And Practices Policies | |
Basis of Presentation | The accompanying unaudited interim financial statements and related notes have been prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP") for the interim financial information, and with the rules and regulations of the United States Securities and Exchange Commission ("SEC") to Form 10-Q and Article 8 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. The unaudited interim financial statements furnished reflect all adjustments (consisting of normal recurring accruals) which are, in the opinion of management, necessary to a fair statement of the results for the interim period presented. Unaudited interim results are not necessarily indicative of the results for the full fiscal year. These financial statements should be read in conjunction with the audited financial statements of the Company for the reporting period ended August 31, 2015 and notes thereto contained in the Company's Annual Report on Form 10-K. |