Document and Entity Information
Document and Entity Information | 6 Months Ended |
Jun. 30, 2017shares | |
Document and Entity Information: | |
Entity Registrant Name | Frontier Digital Media Group, Inc. |
Document Type | 10-Q |
Document Period End Date | Jun. 30, 2017 |
Trading Symbol | fdmg |
Amendment Flag | false |
Entity Central Index Key | 1,643,542 |
Current Fiscal Year End Date | --12-31 |
Entity Common Stock, Shares Outstanding | 5,504,400 |
Entity Filer Category | Smaller Reporting Company |
Entity Current Reporting Status | Yes |
Entity Voluntary Filers | No |
Entity Well-known Seasoned Issuer | No |
Document Fiscal Year Focus | 2,017 |
Document Fiscal Period Focus | Q2 |
Frontier Digital Media Group, I
Frontier Digital Media Group, Inc. - Condensed Consolidated Balance Sheets - USD ($) | Jun. 30, 2017 | Dec. 31, 2016 | |
Current Assets: | |||
Cash and cash equivalents | $ 9,753 | $ 10,031 | |
Accounts and other receivables | 982 | 870 | |
Total Currents Assets | 10,735 | 10,901 | |
Total Assets | 10,735 | 10,901 | |
Current Liabilities: | |||
Accounts payable | 2,408 | ||
Accrued liabilities | 3,345 | 5,160 | |
Notes payable, related parties | 25,122 | 25,122 | |
Current Liabilities | 28,467 | 32,690 | |
Total Liabilities | 28,467 | 32,690 | |
Stockholders' Deficit | |||
Common stock | [1] | 5,480 | 5,077 |
Additional paid-in capital | 30,740 | 10,973 | |
Accumulated deficit | (53,952) | (37,839) | |
Total Stockholders' Deficit | (17,732) | (21,789) | |
Total Liabilities and Stockholders' Deficit | $ 10,735 | $ 10,901 | |
[1] | $0.001 par value; 100,000,000 shares authorized; 5,480,400 and 5,077,000 shares issued and outstanding as of June 30, 2017, and December 31, 2016 |
Statement of Financial Position
Statement of Financial Position - Parenthetical - $ / shares | Jul. 31, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 |
Statement of Financial Position | ||||
Common Stock, Shares Authorized | 100,000,000 | 100,000,000 | 100,000,000 | |
Common Stock, Shares Issued | 24,000 | 5,480,400 | 5,077,000 | |
Common Stock, Shares Outstanding | 5,480,400 | 5,077,000 | ||
Common Stock, Par Value | $ 0.001 | $ 0.001 | $ 0.001 |
Frontier Digital Media Group, 4
Frontier Digital Media Group, Inc. - Condensed Consolidated Statements of Operations - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | ||
Income Statement | |||||
Revenue | $ 14,963 | $ 1,830 | $ 23,798 | $ 4,181 | |
Revenue, related parties | 960 | 1,000 | |||
Total revenues | 14,963 | 1,830 | 24,758 | 5,181 | |
Operating Expenses: | |||||
Cost of Sales | 4,074 | 186 | 4,101 | 186 | |
Related party compensation | 9,522 | 22,332 | |||
General and administrative | 5,352 | 7,092 | 14,438 | 11,235 | |
Total operating expenses | 18,948 | 7,278 | 40,871 | 11,421 | |
Loss from operations | (3,985) | (5,448) | (16,113) | (6,240) | |
Provision for income taxes | |||||
Net loss | $ (3,985) | $ (5,448) | $ (16,113) | $ (6,240) | |
Net loss per common share basic and diluted | [1] | $ 0 | $ 0 | $ 0 | $ 0 |
Weighted average shares outstanding basic and diluted | 5,398,971 | 5,047,681 | 5,266,087 | 5,033,357 | |
[1] | Denotes net loss per common share of less than $0.01 per share. |
Frontier Digital Media Group, 5
Frontier Digital Media Group, Inc. - Condensed Consolidated Statements of Cash Flows - USD ($) | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Cash flows from operating activities: | ||
Net loss | $ (16,113) | $ (6,240) |
Changes in operating assets and liabilities: | ||
Accounts and other receivables, increase decrease | (112) | 872 |
Accounts payable, increase decrease | (2,408) | |
Accrued liabilities, increase decrease | (1,815) | 3,401 |
Accrued liabilities, related party, increase decrease | (4,000) | |
Net cash used in operating activities | (20,448) | (5,967) |
Cash flows from investing activities: | ||
Net cash provided by (used in) investing activities | ||
Cash flows from financing activities: | ||
Proceeds from the sale of common stock | 20,170 | 2,950 |
Proceeds from the issuance of notes payable, related party | 7,622 | |
Repayment of notes payable, related party | (2,600) | |
Net cash provided by financing activities | 20,170 | 7,972 |
Net increase (decrease) in cash and cash equivalents | (278) | 2,005 |
Cash and cash equivalents at beginning of period | 10,031 | 3,809 |
Cash and cash equivalents at end of period | 9,753 | 5,814 |
Supplemental disclosure of cash flow information: | ||
Cash paid during the period for interest | ||
Cash paid during the period for income taxes | ||
Supplemental schedule of non-cash financing activities: | ||
Professional fees paid by related party - contributed capital | $ 7,200 |
Note 1 - Interim Financial Stat
Note 1 - Interim Financial Statements | 6 Months Ended |
Jun. 30, 2017 | |
Notes | |
Note 1 - Interim Financial Statements | Note 1 Interim Financial Statements The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) for interim financial information and with the rules and regulations of the U.S. Securities and Exchange Commission (SEC). Accordingly, these condensed consolidated financial statements do not include all of the information and footnotes required for audited annual financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary to make the condensed consolidated financial statements not misleading have been included. The balance sheet at December 31, 2016, has been derived from the Companys audited consolidated financial statements as of that date. The unaudited condensed consolidated financial statements included herein should be read in conjunction with the audited consolidated financial statements and the notes thereto that are included in the Companys Annual Report on Form 10-K for the year ended December 31, 2016, that was filed with the SEC on March 28, 2017. The results of operations for the three and six months ended June 30, 2017, are not necessarily indicative of the results to be expected for the full year. The unaudited condensed consolidated financial statements include the accounts of the Company and Smile Producer, Inc., its wholly owned subsidiary. Intercompany balances and transactions have been eliminated in consolidation. Certain reclassifications of amounts previously reported have been made to the accompanying condensed consolidated financial statements in order to maintain consistency and comparability between the periods presented. The following reclassification was made to the fiscal year 2016 financial statements to be consistent with the fiscal year 2017 financial statements presented: · |
Note 2 - Going Concern
Note 2 - Going Concern | 6 Months Ended |
Jun. 30, 2017 | |
Notes | |
Note 2 - Going Concern | Note 2 Going Concern The Companys financial statements have been prepared on a going concern basis, which contemplates the realization of assets and settlement of liabilities and commitments in the normal course of business. The Company is in the development stage with limited trading history, has yet to achieve sustained profitability, does not have the existing financial resources to fully implement its business plan and is consequently dependent on outside sources of financing for continuation of its operations. These conditions raise substantial doubt about the ability of the Company to continue as a going concern for a reasonable period. The Company plans to improve its financial condition through raising capital, however, there is no assurance that the Company will be successful in accomplishing this objective. Management believes that this plan provides an opportunity for the Company to continue as a going concern. The Company cannot give any assurances regarding the success of its managements plans. The Companys financial statements do not include adjustments relating to the recoverability of recorded assets or liabilities that might be necessary should it be unable to continue as a going concern. |
Note 3 - Summary of Significant
Note 3 - Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2017 | |
Notes | |
Note 3 - Summary of Significant Accounting Policies | Note 3 Summary of Significant Accounting Policies The significant accounting policies followed by the Company for interim reporting are consistent with those included in the Companys Annual Report on Form 10-K for the year ended December 31, 2016. There were no material changes to our significant accounting policies during the interim period ended June 30, 2017. Recent Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (the FASB) issued guidance to clarify the principles for recognizing revenue. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The guidance provides a comprehensive framework for revenue recognition that supersedes current general revenue guidance and most industry-specific guidance. In addition, the guidance requires improved disclosures to help users of financial statements better understand the nature, amount, timing, and uncertainty of revenue that is recognized. The guidance is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017. Early adoption is permitted. However, entities reporting under U.S. GAAP are not permitted to adopt the standard earlier than the original effective date of December 15, 2016. An entity should apply the guidance either retrospectively to each prior reporting period presented or retrospectively with the cumulative adjustment at the date of the initial application. The Company is currently in the process of evaluating the impact of adoption of the new accounting guidance on its consolidated financial statements and has not determined the impact of adoption on its consolidated financial statements. |
Note 4 - Notes Payable - Relate
Note 4 - Notes Payable - Related Parties | 6 Months Ended |
Jun. 30, 2017 | |
Notes | |
Note 4 - Notes Payable - Related Parties | Note 4 Notes Payable Related Parties In September 2015, the Company issued a non-convertible promissory note payable to Venture Vest Capital Corporation, a related party, in the total amount of $8,000 to replace convertible notes payable issued in January 2015 and March 2015 to the same related party. The non-convertible promissory note had a maturity date of December 31, 2016, and was interest free until December 31, 2016. In January 2017, the promissory note was amended to extend the maturity date and the interest-free period to December 31, 2017. In August 2015, the Company issued a promissory note payable to Patrick Dunda, the Companys President and Chief Executive Officer, for $2,200. The promissory note had a maturity date of December 31, 2016, and paid zero interest through May 31, 2016, at which point an annual interest rate of 6% would have become effective until maturity. In March 2016, the Company repaid this promissory note payable in full. In September 2015, the Company issued a second non-convertible promissory note payable to Venture Vest Capital Corporation for $6,500. The promissory note had a maturity date of December 31, 2016, and was interest free until December 31, 2016. In January 2017, the promissory note was amended to extend the maturity date and the interest-free period to December 31, 2017. In March 2016, the Company issued a non-convertible promissory note payable to Terayco Enterprises, a related party, for $7,622. The promissory note had a maturity date of December 31, 2016, and was interest free until December 31, 2016. In January 2017, the promissory note was amended to extend the maturity date and the interest-free period to December 31, 2017. In August 2016, the Company issued a promissory note payable to Patrick Dunda, the Companys President and Chief Executive Officer, for $3,000. The promissory note has a maturity date of December 31, 2017, and pays zero interest through October 31, 2017, at which point an annual interest rate of 6% becomes effective until maturity or repayment. |
Note 5 - Other Related Party Tr
Note 5 - Other Related Party Transactions | 6 Months Ended |
Jun. 30, 2017 | |
Notes | |
Note 5 - Other Related Party Transactions | Note 5 Other Related Party Transactions Related party revenue The Company provides services to certain customers that the Company has determined to be related parties. The president of these customers (VentureVest Capital Corporation, Terayco, Americans for Truth, and Carriage House) is the father of Janel Dunda, a principal of the Company. Revenues, generated from website design services, from these related parties were $960 and $1,000 for the six months ended June 30, 2017 and 2016, respectively. As of June 30, 2017, and December 31, 2016, there were no accounts receivable due from related parties. Related party compensation An employee of the Company, Janel Dunda, is considered a related party as she is the spouse of the President and the majority shareholder of the Company. During the six months ended June 30, 2017 and 2016, the Company incurred compensation expense of $22,332 and $0, respectively, for payroll expenses associated with Mrs. Dunda. Professional fees paid by related party In August 2015 and January 2016, $7,622 of our legal expenses were paid by Terayco Enterprises, a company owned and operated by the father of Janel Dunda, a principal of the Company. In March 2016, the Company issued a note payable, discussed above in Note 4, to Terayco Enterprises in the amount of $7,622 to cover the legal expenses paid by Terayco Enterprises on behalf of the Company. |
Note 6 - Stockholder Equity
Note 6 - Stockholder Equity | 6 Months Ended |
Jun. 30, 2017 | |
Notes | |
Note 6 - Stockholder Equity | Note 6 Stockholder Equity Common Stock The Company is authorized to issue 100,000,000 shares of common stock, par value $0.001 per share. All shares of the Companys common stock have equal rights and privileges with respect to voting, liquidation and dividend rights. Each share of Common Stock entitles the holder thereof to: a) One non-cumulative vote for each share held of record on all matters submitted to a vote of the stockholders; b) To participate equally and to receive any and all such dividends as may be declared by the Board of Directors out of funds legally available therefore; and c) To participate pro rata in any distribution of assets available for distribution upon liquidation. Stockholders have no pre-emptive rights to acquire additional shares of common stock or any other securities. Common shares are not subject to redemption and carry no subscription or conversion rights. All outstanding shares of common stock are fully paid and non-assessable. In 2015, the Company filed an S-1 Registration Statement to register 1,000,000 shares of the Companys common stock to be sold to the public at the price of $0.05 per share for a total of $50,000. The Registration Statement became effective on December 30, 2015. During the six months ended June 30, 2017 and 2016, the Company sold 403,400 and 59,000 shares, respectively, at $0.05 per share for gross proceeds of $20,170 and $2,950, respectively. The shares were sold by the officers and Directors of the Company and no broker commissions were paid as a result of the sales. As of June 30, 2017, 480,400 shares of common stock have been sold pursuant to the S-1 Registration Statement at $0.05 per share for total gross proceeds of $24,020. There can be no assurances that additional shares of common stock will be sold on the S-1 offering or that a trading market will develop for the shares. As of June 30, 2017, 5,480,400 shares of common stock were issued and outstanding. |
Note 7 - Subsequent Events
Note 7 - Subsequent Events | 6 Months Ended |
Jun. 30, 2017 | |
Notes | |
Note 7 - Subsequent Events | Note 7 Subsequent Events In July 2017, the Company sold 24,000 shares of common stock at $0.05 per share for gross proceeds of $1,200. The Company has evaluated subsequent events through the date of the filing of this interim report on Form 10-Q. Other than the common stock sale disclosed above, the Company did not identify any significant subsequent events that would have a material effect on the consolidated financial statements, which would require an adjustment and/or additional disclosure. |
Note 4 - Notes Payable - Rela13
Note 4 - Notes Payable - Related Parties (Details) - USD ($) | 1 Months Ended | |||
Aug. 31, 2016 | Mar. 31, 2016 | Sep. 30, 2015 | Aug. 31, 2015 | |
Venturevest Capital Corporation | ||||
Notes Payable | $ 8,000 | |||
Debt Instrument, Maturity Date | Dec. 31, 2016 | |||
Venturevest Capital Corporation | Second Non-Convertible Promissory Note | ||||
Notes Payable | $ 6,500 | |||
Debt Instrument, Maturity Date | Dec. 31, 2016 | |||
President and Chief Executive Officer | ||||
Notes Payable | $ 3,000 | $ 2,200 | ||
Debt Instrument, Maturity Date | Dec. 31, 2017 | Dec. 31, 2016 | ||
Debt Instrument, Interest Rate, Stated Percentage | 6.00% | |||
Terayco Enterprises | ||||
Notes Payable | $ 7,622 | |||
Debt Instrument, Maturity Date | Dec. 31, 2016 |
Note 5 - Other Related Party 14
Note 5 - Other Related Party Transactions (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||
Mar. 31, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | Aug. 31, 2015 | |
Revenue, related parties | $ 960 | $ 1,000 | ||||
Janel Dunda | ||||||
Officers' Compensation | $ 22,332 | $ 0 | ||||
Terayco Enterprises | ||||||
Notes Payable | $ 7,622 | |||||
Legal Fees | $ 7,622 |
Note 6 - Stockholder Equity (De
Note 6 - Stockholder Equity (Details) - USD ($) | Jul. 31, 2017 | Jul. 31, 2017 | Jun. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2015 | Mar. 31, 2017 | Dec. 31, 2016 |
Common Stock, Shares Authorized | 100,000,000 | 100,000,000 | 100,000,000 | ||||
Common Stock, Par Value | $ 0.001 | $ 0.001 | $ 0.001 | ||||
Stock Issued During Period, Shares, New Issues | 1,000,000 | ||||||
Sale of Stock, Price Per Share | $ 0.05 | $ 0.05 | $ 0.05 | $ 0.05 | |||
Sale of Stock, Consideration Received on Transaction | $ 1,200 | $ 1,200 | $ 20,170 | $ 2,950 | $ 50,000 | ||
Sale of Stock, Number of Shares Issued in Transaction | 403,400 | 59,000 | |||||
Common Stock, Shares Issued | 24,000 | 24,000 | 5,480,400 | 5,077,000 | |||
Common Stock, Shares Outstanding | 5,480,400 | 5,077,000 | |||||
As of June 30 2017 | |||||||
Sale of Stock, Price Per Share | $ 0.05 | ||||||
Sale of Stock, Consideration Received on Transaction | $ 24,020 | ||||||
Common Stock, Shares Issued | 480,400 |
Note 7 - Subsequent Events (Det
Note 7 - Subsequent Events (Details) - USD ($) | Jul. 31, 2017 | Jul. 31, 2017 | Jun. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2015 | Dec. 31, 2016 |
Details | ||||||
Common Stock, Shares Issued | 24,000 | 24,000 | 5,480,400 | 5,077,000 | ||
Sale of Stock, Price Per Share | $ 0.05 | $ 0.05 | $ 0.05 | $ 0.05 | ||
Sale of Stock, Consideration Received on Transaction | $ 1,200 | $ 1,200 | $ 20,170 | $ 2,950 | $ 50,000 |