Sirrus 10-Q 20 Jul 17 2017 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	May 31, 2017	Jul. 12, 2017
Document and Entity Information [Abstract]
Entity Registrant Name	SIRRUS CORP.
Entity Central Index Key	1,622,767
Trading Symbol	srup
Current Fiscal Year End Date	--08-31
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		35,763,339
Document Type	10-Q
Document Period End Date	May 31, 2017
Amendment Flag	false
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q3

Balance Sheets (Unaudited)

Balance Sheets (Unaudited) - USD ($)	May 31, 2017	Aug. 31, 2016
Current Assets
Cash and cash equivalents	$ 15,563	$ 139
Total Current Assets	15,563	139
TOTAL ASSETS	15,563	139
Current Liabilities
Accounts payable and accrued liabilities	121,249	9,404
Accrued interest	2,847
Due to related parties	127,250
Due to previous shareholder		17,319
Short term notes	84,410
Total Current Liabilities	335,756	26,723
STOCKHOLDERS' DEFICIT
Preferred stock, par value $0.00001 per share, 100,000,000 shares authorized, no shares issued and outstanding
Common stock, par value $0.00001 per share, 200,000,000 shares authorized, 35,763,339 shares issued and outstanding	358	358
Additional paid-in capital	74,251	56,932
Accumulated deficit	(394,802)	(83,874)
Total stockholders' deficit	(320,193)	(26,584)
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT	$ 15,563	$ 139

Balance Sheets (Unaudited) (Par

Balance Sheets (Unaudited) (Parentheticals) - $ / shares	May 31, 2017	Aug. 31, 2016
Statement of Financial Position [Abstract]
Preferred stock par value (in dollars per share)	$ 0.00001	$ 0.00001
Preferred stock, shares authorized	100,000,000	100,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock par value (in dollars per share)	$ 0.00001	$ 0.00001
Common stock, shares authorized	200,000,000	200,000,000
Common stock, shares issued	35,763,339	35,763,339
Common stock, shares outstanding	35,763,339	35,763,339

Statements of Operations (Unaud

Statements of Operations (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	May 31, 2017	May 31, 2016	May 31, 2017	May 31, 2016
OPERATING EXPENSES
General and administrative	$ 180,450	$ 13,499	$ 308,081	$ 20,403
OPERATING LOSS	(180,450)	(13,499)	(308,081)	(20,403)
Interest expense	(1,573)		(2,847)
NET LOSS	$ (182,023)	$ (13,499)	$ (310,928)	$ (20,403)
Basic and Diluted Loss per Common Share (in dollars per share)	$ (0.01)	$ 0	$ (0.01)	$ 0
Basic and Diluted Weighted Average Common Shares Outstanding (in shares)	35,763,339	35,763,339	35,763,339	35,763,339

Statement of Cash Flows (Unaudi

Statement of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	May 31, 2017	May 31, 2016
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss	$ (310,928)	$ (20,403)
Changes in operating assets and liabilities:
Prepaid expenses		937
Accounts payable and accrued liabilities	111,845	(4,169)
Accrued interest	2,847
Due to related parties	127,250
Net cash used in operating activities	(68,986)	(23,635)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from related party advances		15,519
Repayments of related party advances		(386)
Issuance of short term notes	84,410
Net cash provided by financing activities	84,410	15,133
Net increase (decrease) in cash and cash equivalents	15,424	(8,502)
Cash and cash equivalents - beginning of period	139	12,452
Cash and cash equivalents - end of period	15,563	3,950
Supplemental Cash Flow Disclosures
Cash paid for interest
Cash paid for income taxes
Non-cash financing transactions
Debt assumed by previous related party	$ 17,319

NATURE OF BUSINESS AND CONTINUA

NATURE OF BUSINESS AND CONTINUANCE OF OPERATIONS	9 Months Ended
	May 31, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
NATURE OF BUSINESS AND CONTINUANCE OF OPERATIONS	NOTE 1 - NATURE OF BUSINESS AND CONTINUANCE OF OPERATIONS Sirrus Corp. (the “Company”) was formed on May 7, 2014 in Nevada. The Company was originally engaged in the business of designing, marketing and distributing electronic cigarettes (“e-cigarette”) in East Africa. As of October 14, 2016, a change of control of the Company occurred, the Company now focuses on cyber security. These financial statements have been prepared on a going concern basis which assumes the Company will continue to realize it assets and discharge its liabilities in the normal course of business. As of May 31, 2017, the Company has incurred losses totaling $394,802 since inception, has not yet generated revenue from operations, and will require additional funds to maintain our operations. These factors raise substantial doubt regarding the Company’s ability to continue as a going concern. The Company’s ability to continue as a going concern is dependent upon its ability to generate future profitable operations and/or obtain the necessary financing to meet its obligations and repay its liabilities arising from normal business operations when they become due. The Company intends to finance operating costs over the next twelve months through continued financial support from its shareholders and private placements of common stock. These financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	May 31, 2017
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation of Interim Financial Statements The accompanying interim unaudited financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and in accordance with the instructions to Form 10-Q and Article 8 of Regulation S-X. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. Operating results for the nine months ended May 31, 2017 are not necessarily indicative of the results that may be expected for the year ending August 31, 2017. Notes to the unaudited interim financial statements that would substantially duplicate the disclosures contained in the audited consolidated financial statements for fiscal year 2017 have been omitted. This report should be read in conjunction with the audited financial statements and the footnotes thereto for the fiscal year ended August 31, 2016 included in the Company’s Form 10-K as filed with the Securities and Exchange Commission on December 14, 2016. Use of Estimates and Assumptions The preparation of financial statements in conformity with United States generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company regularly evaluates estimates and assumptions related to deferred income tax asset valuation allowances. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from the Company's estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected. Cash and Cash Equivalents The Company considers all highly liquid instruments with a maturity of three months or less at the time of issuance to be cash equivalents. As of May 31, 2017, and August 31, 2016 the Company had $15,563 and $139 cash and cash equivalents, respectively. Earnings (Loss) Per Common Share ("EPS") Basic EPS is computed by dividing net income (loss) available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method and convertible preferred stock using the if-converted method. In computing diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants. Diluted EPS excludes all dilutive potential shares if their effect is anti-dilutive. At May 31, 2017, the Company had no potentially dilutive securities outstanding. Income Taxes The Company accounts for income taxes using the asset and liability method. The asset and liability method provides that deferred tax assets and liabilities are recognized for the expected future tax consequences of temporary differences between the financial reporting and tax bases of assets and liabilities, and for operating loss and tax credit carry forwards. Deferred tax assets and liabilities are measured using the currently enacted tax rates and laws that will be in effect when the differences are expected to reverse. The Company records a valuation allowance to reduce deferred tax assets to the amount that is believed more likely than not to be realized. Subsequent Events The Company has evaluated all transactions through the financial statement issuance date for subsequent disclosure consideration. Recently Issued Accounting Pronouncements The Company has reviewed recently issued, but not yet effective, accounting pronouncements and does not believe the future adoption of any such pronouncements may be expected to cause a material impact on our financial statements.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	9 Months Ended
	May 31, 2017
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	NOTE 3 - RELATED PARTY TRANSACTIONS As of May 31, 2017, and August 31, 2016, the Company owed $0 and $17,319, respectively, to its former president and director, for incorporation fees, product purchases, transfer agent fees, and travel expenses that they paid for on the Company’s behalf. The total amount is unsecured, non-interest bearing, and has no specific terms for repayment. On October 18, 2016, the total amounts owing to the former president and director of $17,319 was assumed by a related party. During the nine months ended May 31, 2017, the Company incurred expenses with two related parties for $139,000. As of May 31, 2017, amount owing to these related parties are $127,250.

PROMISSORY NOTES

PROMISSORY NOTES	9 Months Ended
	May 31, 2017
Debt Disclosure [Abstract]
PROMISSORY NOTES	NOTE 4 - PROMISSORY NOTES On October 14, 2016, the Company entered into a promissory note agreement for $25,000. The promissory note bears interest at 8%, and matures one year after issuance. As of May 31 2017, an amount of $1,255 of interest has been accrued. On November 7, 2016, the Company entered into a promissory note agreement for $3,000. The promissory note bears interest at 8%, and matures one year after issuance. As of May 31, 2017, an amount of $135 of interest has been accrued. On December 9, 2016, the Company entered into a promissory note agreement for $3,810. The promissory note is non-interest bearing and matures in June 2017. On January 18, 2017, the Company entered into a promissory note agreement for $50,000. The promissory note bears interest at 8%, and matures one year after issuance. As of May 31, 2017, an amount of $1,457 of interest has been accrued. On May 11, 2017, the Company entered into a promissory note agreement for $1,500. The promissory note is non-interest bearing and matures in June 2017. On May 31, 2017, the Company entered into a promissory note agreement for $1,100. The promissory note is non-interest bearing and matures in June 2017.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	9 Months Ended
	May 31, 2017
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	NOTE 5 – SUBSEQUENT EVENTS Subsequent to May 31, 2017 and through the date that these financials were made available, the Company had the following subsequent events: On July 6, 2017, the Company entered into a securities purchase agreement for two convertible promissory notes in the aggregate principal amount of $52,500. Each note bears interest at the rate of 10% per annum, and are due on July 6, 2018. The first note was funded on July 10, 2017 for $26,250. Interest will be paid by the Company in common stock. The second $26,250 note is a Back-End Note. In connection with the Back-End Note, the lender issued a secured recourse promissory note to the Company to offset the Back-End Note. During the first six-month period after the first note is issued, the Company may redeem the First Note by paying to an amount equal to 135% of the face amount plus any accrued interest during the first 90 days after issuance; 145% of the face amount plus any accrued interest from the 91st day through the 150th day after issuance; and 150% of the face amount plus any accrued interests from the 151st day through the 180th day after issuance. The first note may not be prepaid after the 180th day after issuance. The Back-End Note may not be prepaid. The holder of the notes may convert all or any amount the principal face amount of the Notes then outstanding and accrued interest into shares of the Company's Common Stock at a price per share equal to 50% of the lesser of the lowest closing bid or the lowest trading price: (i) twenty prior trading days, including the day upon which a Notice of Conversion is received by the Company or (ii) the twenty prior trading days immediately preceding the issuance date of the Notes. On May 8, 2017 (the "Effective Date"), Sirrus Security, Inc. ("Sirrus Security"), a Georgia corporation and wholly-owned subsidiary of the Company, entered into a Strategic Partnership Agreement with RelifyTime, LLC, a Nevada limited liability company ("Relify"), pursuant to which Relify has engaged Sirrus Security to develop and design a software applications program and hosting platform to be known as "Relify Time". As consideration for the development and use of the Product, Relify has agreed to pay Sirrus Security a royalty fee in an amount equal to 40% of the gross profit (gross sales less cost of goods sold), commencing on the date when Relify first sells licensed services incorporating the Product until an aggregate of $500,000 has been paid to Sirrus Security.

SUMMARY OF SIGNIFICANT ACCOUN11

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	May 31, 2017
Accounting Policies [Abstract]
Basis of Presentation of Interim Financial Statements	The accompanying interim unaudited financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and in accordance with the instructions to Form 10-Q and Article 8 of Regulation S-X. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. Operating results for the nine months ended May 31, 2017 are not necessarily indicative of the results that may be expected for the year ending August 31, 2017. Notes to the unaudited interim financial statements that would substantially duplicate the disclosures contained in the audited consolidated financial statements for fiscal year 2017 have been omitted. This report should be read in conjunction with the audited financial statements and the footnotes thereto for the fiscal year ended August 31, 2016 included in the Company’s Form 10-K as filed with the Securities and Exchange Commission on December 14, 2016.
Use of Estimates and Assumptions	The preparation of financial statements in conformity with United States generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The Company regularly evaluates estimates and assumptions related to deferred income tax asset valuation allowances. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from the Company's estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected.
Cash and Cash Equivalents	The Company considers all highly liquid instruments with a maturity of three months or less at the time of issuance to be cash equivalents. As of May 31, 2017, and August 31, 2016 the Company had $15,563 and $139 cash and cash equivalents, respectively.
Earnings (Loss) Per Common Share ("EPS")	Basic EPS is computed by dividing net income (loss) available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method and convertible preferred stock using the if-converted method. In computing diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants. Diluted EPS excludes all dilutive potential shares if their effect is anti-dilutive. At May 31, 2017, the Company had no potentially dilutive securities outstanding.
Income Taxes	The Company accounts for income taxes using the asset and liability method. The asset and liability method provides that deferred tax assets and liabilities are recognized for the expected future tax consequences of temporary differences between the financial reporting and tax bases of assets and liabilities, and for operating loss and tax credit carry forwards. Deferred tax assets and liabilities are measured using the currently enacted tax rates and laws that will be in effect when the differences are expected to reverse. The Company records a valuation allowance to reduce deferred tax assets to the amount that is believed more likely than not to be realized.
Subsequent Events	The Company has evaluated all transactions through the financial statement issuance date for subsequent disclosure consideration.
Recently Issued Accounting Pronouncements	The Company has reviewed recently issued, but not yet effective, accounting pronouncements and does not believe the future adoption of any such pronouncements may be expected to cause a material impact on our financial statements.

NATURE OF BUSINESS AND CONTIN12

NATURE OF BUSINESS AND CONTINUANCE OF OPERATIONS (Detail Textuals) - USD ($)	9 Months Ended
	May 31, 2017	Aug. 31, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
State of Incorporation	Nevada
Entity incorporation date	May 7, 2014
Accumulated deficit	$ (394,802)	$ (83,874)

SUMMARY OF SIGNIFICANT ACCOUN13

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Detail Textuals) - USD ($)	May 31, 2017	Aug. 31, 2016	May 31, 2016	Aug. 31, 2015
Accounting Policies [Abstract]
Cash and cash equivalents	$ 15,563	$ 139	$ 3,950	$ 12,452

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Detail Textuals)	1 Months Ended	9 Months Ended
	Oct. 18, 2016USD ($)	May 31, 2017USD ($)Related_Party	May 31, 2016USD ($)	Aug. 31, 2016USD ($)
Related Party Transaction [Line Items]
Due to former president and director				$ 17,319
Repayment to related party			$ 386
Related parties expenses		139,000
Due to related parties		$ 127,250
Number of related parties | Related_Party		2
President and director
Related Party Transaction [Line Items]
Repayment to related party	$ 17,319

PROMISSORY NOTES (Detail Textua

PROMISSORY NOTES (Detail Textuals) - USD ($)	May 11, 2017	Dec. 09, 2016	Nov. 07, 2016	Oct. 14, 2016	May 31, 2017	Jan. 18, 2017
Short-term Debt [Line Items]
Accrued interest					$ 2,847
Promissory Notes | October 14, 2016
Short-term Debt [Line Items]
Promissory note amount				$ 25,000
Interest rate				8.00%
Maturity period				1 year
Accrued interest					1,255
Promissory Notes | November 7, 2016
Short-term Debt [Line Items]
Promissory note amount			$ 3,000
Interest rate			8.00%
Maturity period			1 year
Accrued interest					135
Promissory Notes | December 9, 2016
Short-term Debt [Line Items]
Promissory note amount		$ 3,810
Maturity date		Jun. 30, 2017
Promissory Notes | January 18, 2017
Short-term Debt [Line Items]
Promissory note amount						$ 50,000
Interest rate						8.00%
Maturity period						1 year
Accrued interest					1,457
Promissory Notes | May 11, 2017
Short-term Debt [Line Items]
Promissory note amount	$ 1,500
Maturity date	Jun. 30, 2017
Promissory Notes | May 31, 2017
Short-term Debt [Line Items]
Promissory note amount					$ 1,100
Maturity date					Jun. 30, 2017

SUBSEQUENT EVENTS (Detail Textu

SUBSEQUENT EVENTS (Detail Textuals)	Jul. 06, 2017USD ($)Promissory_NoteDay	May 08, 2017USD ($)	Jul. 10, 2017USD ($)
Sirrus Security, Inc | RelifyTime, LLC
Subsequent Event [Line Items]
Royalty revenue in percentage of the gross profit		40.00%
Amount of royalty revenue		$ 500,000
Subsequent Event | Convertible Promissory Notes
Subsequent Event [Line Items]
Number of convertible promissory notes | Promissory_Note	2
Aggregate principal amount	$ 52,500
Interest rate	10.00%
Maturity date	Jul. 6, 2018
Subsequent Event | Convertible Promissory Notes | First note
Subsequent Event [Line Items]
Aggregate principal amount			$ 26,250
Subsequent Event | Convertible Promissory Notes | Back-End Note
Subsequent Event [Line Items]
Aggregate principal amount	$ 26,250
Threshold percentage of stock price trigger	50.00%
Threshold trading days | Day	20
Subsequent Event | Convertible Promissory Notes | First 90 days after issuance
Subsequent Event [Line Items]
Percentage of principal amount redeemed	135.00%
Subsequent Event | Convertible Promissory Notes | From the 91st day through the 150th day after issuance
Subsequent Event [Line Items]
Percentage of principal amount redeemed	145.00%
Subsequent Event | Convertible Promissory Notes | From the 151st day through the 180th day after issuance
Subsequent Event [Line Items]
Percentage of principal amount redeemed	150.00%