Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2017 | Aug. 21, 2017 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | MON SPACE NET INC. | |
Entity Central Index Key | 1,670,538 | |
Amendment Flag | false | |
Trading Symbol | MSNI | |
Current Fiscal Year End Date | --12-31 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q2 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 213,330,000 |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) | Jun. 30, 2017 | Dec. 31, 2016 |
Current assets | ||
Cash and cash equivalents | $ 24,274 | $ 65,700 |
Receivables - related party | 46,726 | 1,599 |
Other current assets | 210 | |
Total current assets | 71,210 | 67,299 |
Total assets | 71,210 | 67,299 |
Current liabilities | ||
Accounts payable and accrued liabilities | 2,625 | |
Note payable - related party | 11,476 | 11,476 |
Due to related party | 8,858 | |
Total current liabilities | 20,334 | 14,101 |
Total liabilities | 20,334 | 14,101 |
Stockholders' equity | ||
Common stock, $0.001 par value, 1,000,000,000 authorized, 213,330,000 shares issued and outstanding | 213,330 | 213,330 |
Additional paid-in capital | 21,217 | 18,592 |
Accumulated deficit | (183,927) | (178,724) |
Accumulated other comprehensive income | 256 | |
Total stockholders' equity | 50,876 | 53,198 |
Total liabilities and stockholders' equity | $ 71,210 | $ 67,299 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) (Unaudited) - $ / shares | Jun. 30, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued | 213,330,000 | 213,330,000 |
Common stock, shares outstanding | 213,330,000 | 213,330,000 |
Consolidated Statements of Oper
Consolidated Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Income Statement [Abstract] | ||||
Revenues | $ 39,763 | $ 39,763 | ||
Operating expenses | ||||
General and administrative | 30,809 | 5,700 | 44,966 | 18,217 |
Total operating expenses | 30,809 | 5,700 | 44,966 | 18,217 |
Income (loss) from operations | 8,954 | (5,700) | (5,203) | (18,217) |
Other income | 19 | |||
Net income (loss) | 8,973 | (5,700) | (5,203) | (18,217) |
Provision for income tax | ||||
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | 259 | 256 | ||
Comprehensive income (loss) | $ 9,232 | $ (5,700) | $ (4,947) | $ (18,217) |
Basic and diluted net income (loss) per common share | $ 0 | $ 0 | $ 0 | $ 0 |
Weighted average number of common shares outstanding | 213,330,000 | 213,330,000 | 213,330,000 | 10,904,231 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net loss | $ (5,203) | $ (18,217) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Receivables - related party | (45,127) | |
Other current assets | (210) | |
Accounts payable | (2,625) | 1,125 |
Net cash used in operating activities | (53,165) | (17,092) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Capital contributions | 2,625 | 17,092 |
Advance from related party | 8,858 | 201,476 |
Proceeds from sale of common stock | 8,330 | |
Net cash provided by financing activities | 11,483 | 226,898 |
Effect of exchange rate changes on cash and cash equivalents | 256 | |
Net change in cash and cash equivalents | (41,426) | 209,806 |
Cash and cash equivalents, beginning of period | 65,700 | |
Cash and cash equivalents, end of period | 24,274 | 209,806 |
SUPPLEMENTAL CASH FLOWS DISCLOSURE | ||
Cash paid for interest | ||
Cash paid for income tax |
Nature of Operations and Summar
Nature of Operations and Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2017 | |
Nature of Operations and Summary of Significant Accounting Policies [Abstract] | |
NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 1 – NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The Company Mon Space Net, Inc (the “Company”) was incorporated in the State of Nevada on December 31, 2015. The Company plans to offer an online marketplace to sell products and services using a business to business to consumer model. On March 28, 2017, the Company incorporated MSNI (M) Sdn. Bhd., a company formed under the laws of Malaysia, as a wholly owned subsidiary. The Company started generating revenue effective April 1, 2017 from the collaboration with Monspacemall Sdn Bhd for the e-commerce business. Basis of Presentation The consolidated financial statements and accompanying notes are prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) in all material respects. Certain information and note disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles in the United States of America have been condensed or omitted from these statements pursuant to such rules and regulations and, accordingly, they do not include all the information and notes necessary for comprehensive financial statements and should be read in conjunction with our audited consolidated financial statements for the year ended December 31, 2016. Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary, MSNI (M) Sdn. Bhd. Intercompany transactions and balances have been eliminated. Use of Estimates and Assumptions The preparation of consolidated financial statements in conformity with GAAP 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 consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Cash and Cash Equivalents Cash and cash equivalents include cash on hand and on deposit at banking institutions. Balances held by the Company are not typically in excess of FDIC insured limits. As of June 30, 2017, all of the Company’s cash was deposited in two banks. Revenue Recognition Revenues consist of profit sharing revenues from a collaboration agreement with Monspacemall Sdn Bhd (“MSMSB”). The Company recognizes revenue when it receives the monthly invoice and record from MSMSB showing products are shipped, and all risks and rewards of ownership have been transferred to third-party customers, minus the cost of production and related operating expenses incurred by MSMSB. Income (Loss) Per Common Share Loss per common share excludes dilution and is computed by dividing net loss by the weighted average number of common shares outstanding during the period. Diluted loss per common share reflect the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the net income of the entity. As of June 30, 2017, there are no outstanding dilutive securities. Foreign Currency The Company has determined that the functional currency of the Company is U.S. Dollars. Foreign currency transaction gains and losses are included in the statement of operations as other income (expense). MSNI (M) Sdn. Bhd.’s functional currency is the Malaysian Ringgit. The Company translates their financial statements from their functional currencies into the U.S. dollar. An entity’s functional currency is the currency of the primary economic environment in which it operates and is generally the currency in which the business generates and expends cash. MSNI (M) Sdn. Bhd., whose functional currency is the Malaysian Ringgit, translate their assets and liabilities into U.S. dollars at the exchange rates in effect as of the balance sheet date. Revenues and expenses are translated into U.S. dollars at the average exchange rates for the year. Translation adjustments are included in accumulated other comprehensive income (loss), a separate component of equity. Foreign exchange gains and losses included in net income result from foreign exchange fluctuations on transactions denominated in a currency other than an entity’s functional currency. Income taxes An asset and liability approach is used for financial accounting and reporting for income taxes. Deferred income taxes arise from temporary differences between income tax and financial reporting and principally relate to recognition of revenue and expenses in different periods for financial and tax accounting purposes and are measured using currently enacted tax rates and laws. In addition, a deferred tax asset can be generated by net operating loss carry forwards. If it is more likely than not that some portion or all of a deferred tax asset will not be realized, a valuation allowance is recognized. The Company has tax losses that may be applied against future taxable income. The potential tax benefit arising from these loss carryforwards are offset by a valuation allowance due to uncertainty of profitable operations in the future. Subsequent Events The Company has evaluated all transactions through the financial statement issuance date for subsequent event disclosure consideration. |
Going Concern
Going Concern | 6 Months Ended |
Jun. 30, 2017 | |
Going Concern [Abstract] | |
GOING CONCERN | NOTE 2 – GOING CONCERN The Company generated minimal revenue from the collaboration with Monspacemall Sdn Bhd and had an accumulated deficit of $183,927. These factors raise substantial doubt regarding the Company’s ability to continue as a going concern. The Company’s continuation as a going concern is dependent on its ability to execute its operational plan to generate sufficient cash flows from operations to meet its obligations and/or obtaining additional financing from its shareholders or other sources, as may be required. There can be no assurance that the necessary debt or equity financing will be available, or will be available on terms acceptable to our company. We estimate that based on current plans and assumptions, our available cash will not be sufficient to satisfy our cash requirements under our present operating expectations, without further financing, for up to 12 months. The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern; however, the above conditions raise substantial doubt about the Company’s ability to do so. The consolidated financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classifications of liabilities that may result should the Company be unable to continue as a going concern. We are attempting to generate sufficient revenue; however, our cash position may not be sufficient to support our daily operations. While we believe in the viability of our strategy to generate sufficient revenues in the future and in our ability to raise additional funds, there can be no assurances to that effect. The ability of our company to continue as a going concern is dependent upon our ability to further implement our business plan, generate sufficient revenue to cover operating expenses and in our ability to raise additional funds. |
Equity
Equity | 6 Months Ended |
Jun. 30, 2017 | |
Equity [Abstract] | |
EQUITY | NOTE 3 – EQUITY The Company is authorized to issue 1,000,000,000 shares of common stock. During March 2017, the Company recorded $2,625 in additional paid in capital for filing expenses paid on behalf of the Company from one of its directors, Low Koon Poh. |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2017 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | NOTE 4 – RELATED PARTY TRANSACTIONS Collaborative Arrangement In April 2017, the Company, through its wholly-owned subsidiary, MSNI (M) Sdn Bhd. (“MSNI”), entered into a collaboration agreement with Monspacemall Sdn Bhd (“MSMSB”) to develop, maintain and operate an e-commerce business. Lai Chai Suang, the Company’s Chief Executive Officer and Chief Financial Officer , is also a shareholder and director of MSMSB. MSMSB is responsible for the operation of the e-commerce platform and is also the principal in the end-customer product sales. MSMSB has the primary responsibility for order fulfillment, collection of receivables and handling of sales returns in all territories. MSNI contributed a consumer database up to a maximum of 500,000 persons in exchange for the profit sharing arrangement in an amount equal to 50% of the net profits from the collaboration agreement, which is included in net revenue. The agreement is initially valid for a year and automatically renews in one-year increments or whenever both parties agree to terminate it. Net revenue from this collaborative arrangement was $39,763 for the three months and six months ended June 30, 2017. As of June 30, 2017, the Company had a receivable from MSMSB of $40,127. Acquisition Agreement On April 7, 2017, the Company entered into an acquisition agreement with the shareholders of MSMSB pursuant to which the Company agreed to purchase a 100% equity interest, or 100,000 ordinary shares of MSMSB for an aggregate purchase price of $50,000. The consummation of the acquisition is subject to the completion of an audit of MSMSB. Other Related Party Transactions In January 2017, the Company paid certain general and administrative expenses on behalf of Mon Space Plantation Inc, a company whose directors include Lai Chai Suang, Low Koon Poh and Chan Foo Weng, in the amount of $6,599. The amounts are recorded as a receivable on the accompanying balance sheet. In June 2017, the Company’s director, Low Koon Poh, paid employees’ salaries and deposited cash to open a bank account on behalf of the Company of approximately $8,800. The Company has evaluated all transactions through the financial statement issuance date for subsequent event disclosure consideration. |
Nature of Operations and Summ10
Nature of Operations and Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2017 | |
Nature of Operations and Summary of Significant Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The consolidated financial statements and accompanying notes are prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) in all material respects. Certain information and note disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles in the United States of America have been condensed or omitted from these statements pursuant to such rules and regulations and, accordingly, they do not include all the information and notes necessary for comprehensive financial statements and should be read in conjunction with our audited consolidated financial statements for the year ended December 31, 2016. |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary, MSNI (M) Sdn. Bhd. Intercompany transactions and balances have been eliminated. |
Use of Estimates and Assumptions | Use of Estimates and Assumptions The preparation of consolidated financial statements in conformity with GAAP 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 consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include cash on hand and on deposit at banking institutions. Balances held by the Company are not typically in excess of FDIC insured limits. As of June 30, 2017, all of the Company’s cash was deposited in two banks. |
Revenue Recognition | Revenue Recognition Revenues consist of profit sharing revenues from a collaboration agreement with Monspacemall Sdn Bhd (“MSMSB”). The Company recognizes revenue when it receives the monthly invoice and record from MSMSB showing products are shipped, and all risks and rewards of ownership have been transferred to third-party customers, minus the cost of production and related operating expenses incurred by MSMSB. |
Income (Loss) Per Common Share | Income (Loss) Per Common Share Loss per common share excludes dilution and is computed by dividing net loss by the weighted average number of common shares outstanding during the period. Diluted loss per common share reflect the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the net income of the entity. As of June 30, 2017, there are no outstanding dilutive securities. |
Foreign Currency | Foreign Currency The Company has determined that the functional currency of the Company is U.S. Dollars. Foreign currency transaction gains and losses are included in the statement of operations as other income (expense). MSNI (M) Sdn. Bhd.’s functional currency is the Malaysian Ringgit. The Company translates their financial statements from their functional currencies into the U.S. dollar. An entity’s functional currency is the currency of the primary economic environment in which it operates and is generally the currency in which the business generates and expends cash. MSNI (M) Sdn. Bhd., whose functional currency is the Malaysian Ringgit, translate their assets and liabilities into U.S. dollars at the exchange rates in effect as of the balance sheet date. Revenues and expenses are translated into U.S. dollars at the average exchange rates for the year. Translation adjustments are included in accumulated other comprehensive income (loss), a separate component of equity. Foreign exchange gains and losses included in net income result from foreign exchange fluctuations on transactions denominated in a currency other than an entity’s functional currency. |
Income taxes | Income taxes An asset and liability approach is used for financial accounting and reporting for income taxes. Deferred income taxes arise from temporary differences between income tax and financial reporting and principally relate to recognition of revenue and expenses in different periods for financial and tax accounting purposes and are measured using currently enacted tax rates and laws. In addition, a deferred tax asset can be generated by net operating loss carry forwards. If it is more likely than not that some portion or all of a deferred tax asset will not be realized, a valuation allowance is recognized. The Company has tax losses that may be applied against future taxable income. The potential tax benefit arising from these loss carryforwards are offset by a valuation allowance due to uncertainty of profitable operations in the future. |
Subsequent Events | Subsequent Events The Company has evaluated all transactions through the financial statement issuance date for subsequent event disclosure consideration. |
Going Concern (Details)
Going Concern (Details) - USD ($) | Jun. 30, 2017 | Dec. 31, 2016 |
Going Concern (Textual) | ||
Accumulated deficit | $ (183,927) | $ (178,724) |
Equity (Details)
Equity (Details) - USD ($) | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2016 | |
Equity (Textual) | |||
Common stock, shares authorized | 1,000,000,000 | 1,000,000,000 | |
Capital contributions from Low Koon Poh | $ 2,625 | $ 17,092 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) | Apr. 07, 2017 | Jun. 30, 2017 | Jan. 31, 2017 | Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 |
Related Party Transactions (Textual) | |||||||
Revenue | $ 39,763 | $ 39,763 | |||||
Receivable from MSMSB | $ 40,126 | $ 40,126 | $ 40,126 | ||||
Collaboration agreement, description | MSNI contributed a consumer database up to a maximum of 500,000 persons in exchange for a profit sharing in an amount equal to 50% of the net profit from the collaboration agreement, which is included in net revenue. | ||||||
Employees' cash and deposited cash at bank | $ 8,800 | ||||||
MSMSB [Member] | |||||||
Related Party Transactions (Textual) | |||||||
Purchase equity interest | 100.00% | ||||||
Purchase of equity ordinary shares | 100,000 | ||||||
Purchase of equity ordinary shares value | $ 50,000 | ||||||
Directors [Member] | |||||||
Related Party Transactions (Textual) | |||||||
Company paid certain general and administrative expenses | $ 6,599 |