Forza Innovations (FORZ) 10-Q 14 Nov 19 2020 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Sep. 30, 2019	Nov. 05, 2019
Document And Entity Information
Entity Registrant Name	Genesys Industries, Inc.
Entity Central Index Key	0001683131
Document Period End Date	Sep. 30, 2019
Document Type	10-Q
Amendment Flag	false
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2020
Entity Filer Category	Non-accelerated Filer
Current Fiscal Year End Date	--06-30
Is Entity's Reporting Status Current?	Yes
Is Entity Small Business?	true
Is Entity Emerging Growth?	true
Extended transition period	true
Entity Common Stock, Shares Outstanding		18,000,000

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($)	Sep. 30, 2019	Jun. 30, 2019
Current assets:
Cash	$ 113,472	$ 170,205
Accounts receivable	94,678	52,811
Prepaids	8,065
Total current assets	216,215	223,016
Website development, net
Machinery and equipment, net	273,962	163,028
Real property & plant, net	236,171	239,377
Total Assets	726,348	625,421
Current Liabilities:
Accounts payable and accrued liabilities	43,867	25,137
Accrued interest, related party	6,751	5,463
Accrued compensation	4,937	3,642
Line of credit - current portion	36,168	42,071
Loans payable - current portion	31,598	24,329
Due to related party	102,129	102,129
Income tax accrual	41,286	38,484
Total current liabilities	266,736	241,255
Line of credit	98,332	101,192
Loans payable	242,381	184,556
Total liabilities	607,449	527,003
Stockholders' equity (deficit)
Class B Preferred stock, $0.001 par value, 25,000,000 shares authorized; 10,000,000 and 10,000,000 issued and outstanding, respectively	10,000	10,000
Common stock, $0.001 par value, 100,000,000 shares authorized; 18,000,000 and 17,870,000 shares issued and outstanding, respectively	18,000	17,870
Additional paid-in capital	114,000	101,130
Accumulated deficit	(23,101)	(30,582)
Total stockholders' equity (deficit)	118,899	98,418
Total liabilities and stockholders' equity (deficit)	$ 726,348	$ 625,421

Consolidated Balance Sheets (_2

Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Sep. 30, 2019	Jun. 30, 2019
Common Stock Shares Authorized	100,000,000	100,000,000
Common Stock Shares Issued	18,000,000	17,870,000
Common Stock Shares Outstanding	18,000,000	17,870,000
Common Stock Par Value	$ .001	$ 0.001
Preferred Stock Shares Authorized	25,000,000
Preferred Stock Par Value	$ 0.001
Class B Preferred Stock
Preferred Stock Shares Authorized	25,000,000	25,000,000
Preferred Stock Shares Issued	10,000,000	10,000,000
Preferred Stock Shares Outstanding	10,000,000	10,000,000
Preferred Stock Par Value	$ 0.001	$ 0.001

Consolidated Statements of Oper

Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Income Statement [Abstract]
Revenue	$ 140,951	$ 185,241
Cost of revenue	93,478	119,377
Gross Margin	47,473	65,864
Operating Expenses:
Professional fees	5,005	3,500
Payroll expense	6,789	7,628
General & administrative expenses	18,452	23,085
Total operating expenses	30,246	34,213
Income from operations	17,227	31,651
Other expense:
Interest expense	(6,944)	(3,034)
Total other expense	(6,944)	(3,034)
Income before income taxes	10,283	28,617
Provision for income taxes	(2,802)	(6,010)
Net income	$ 7,481	$ 22,607
Net Loss Per Common Share, basic	$ 0	$ 0
Net Loss Per Common Share, diluted	$ 0	$ 0
Weighted Common Shares Outstanding, basic	17,881,630	17,870,000
Weighted Common Shares Outstanding, diluted	17,881,630	17,870,000

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity (Deficit) (Unaudited) - USD ($)	Common Stock	Preferred Stock	Paid-In Capital	Accumulated Deficit	Total
Beginning Balance, Shares at Jun. 30, 2018	17,870,000	10,000,000
Beginning Balance, Amount at Jun. 30, 2018	$ 17,870	$ 10,000	$ 101,130	$ (133,325)	$ (4,325)
Net income				22,607	22,607
Ending Balance, shares at Sep. 30, 2018	17,870,000	10,000,000
Ending Balance, Amount at Sep. 30, 2018	$ 17,870	$ 10,000	101,130	(110,718)	18,282
Beginning Balance, Shares at Jun. 30, 2019	17,870,000	10,000,000
Beginning Balance, Amount at Jun. 30, 2019	$ 17,870	$ 10,000	101,130	(30,582)	$ 98,418
Common stock issued for services	130,000				130,000
Common stock issued for services; Value	$ 130		12,870		$ 13,000
Net income				7,481	7,481
Ending Balance, shares at Sep. 30, 2019	18,000,000	10,000,000
Ending Balance, Amount at Sep. 30, 2019	$ 18,000	$ 10,000	$ 114,000	$ (23,101)	$ 118,899

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($)	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Cash flows from operating activities:
Net Income (Loss)	$ 7,481	$ 22,607
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation expense	14,034	9,852
Stock compensation expense	4,935
Changes in operating assets and liabilities:
Accounts receivable	(41,867)	8,785
Inventory		(1,359)
Accounts payable and accruals	22,828	(5,293)
Accrued interest, related party	1,287	831
Net cash provided by (used in) operating activities	8,698	35,423
Cash flows from investing activities:
Purchase of property and equipment	(121,762)
Net cash used in investing activities	(121,762)
Cash flows from financing activities:
Repayments to a related party		(1,388)
Proceeds from loan payable	70,147
Payments on line of credit	(8,763)	(10,518)
Principal payment on mortgage	(2,487)	(3,134)
Principal payment on loan payable	(2,566)	(1,599)
Net cashprovided by (used in) financing activities	56,331	(16,639)
Net (decrease) increase in cash	(56,733)	18,784
Cash, beginning of period	170,205	17,866
Cash, end of period	113,472	36,650
Supplemental disclosure of cash flow information:
Cash paid for interest	2,166	2,202
Cash paid for taxes

Nature of Operations

Nature of Operations	3 Months Ended
	Sep. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of Operations	NOTE 1 - NATURE OF OPERATIONS Genesys Industries, Inc. (the “Company”), was incorporated on December 9, 2014 under the laws of the State of Florida. Genesys Industries is a diversified industrial manufacturer and supplier of precision products. The company is an on demand manufacturer and supplier of product. Some of the industries served include Automation, Automotive, Building Materials, Food Processing, Industrial, Medical, Railroad, Oil and Gas, Packaging, Semiconductor, Telecom, Textiles, Pulp Paper, Transportation and many more. We are a vertically integrated precision CNC manufacturing and fabrication company with core emphasis on product design, engineering and precision manufacturing of complex components and products. On February 5, 2018, the Company formed Genesys Industries, LLC as a wholly owned subsidiary in the state of Missouri. The Company’s headquarters are in Palmetto, Florida. The Company has adopted its fiscal year end to be June 30.

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Sep. 30, 2019
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying condensed consolidated financial statements have been prepared by the Company without audit. In the opinion of management, all adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position, results of operations, and cash flows at September 30, 2019 and for the related periods presented have been made. The results for the three months ended September 30, 2019 are not necessarily indicative of the results of operations for the full year. These financial statements and related footnotes should be read in conjunction with the consolidated financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the year ended June 30, 2019, filed with the Securities and Exchange Commission Use of estimates The preparation of financial statements in conformity with 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. Significant estimates include the estimated useful lives of property and equipment. Actual results could differ from those estimates. Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary, Genesys Industries, LLC, and been prepared in conformity with accounting principles generally accepted in the United States of America. All significant intercompany transactions and balances have been eliminated. Reclassifications Certain reclassifications have been made to the prior period financial information to conform to the presentation used in the financial statements for the three months ended September 30, 2019. Inventories Inventories are valued at the lower of cost or market. Management compares the cost of inventories with the market value and allowance is made for writing down their inventories to market value, if lower. Property, Plant and Equipment Property and equipment are carried at the lower of cost or net realizable value. Major betterments that extend the useful lives of assets are also capitalized. Normal maintenance and repairs are charged to expense as incurred. When assets are sold or otherwise disposed of, the cost and accumulated depreciation are removed from the accounts and any resulting gain or loss is recognized in operations. Website development Website development is carried at cost. Major betterments that would extend the useful life are capitalized. Normal maintenance and repairs are charged to expense as incurred. When assets are sold or otherwise disposed of, the cost and accumulated amortization are removed from the accounts and any resulting gain or loss is recognized in operations. Website development costs are being amortized on a straight-line basis over three years. Accounts Receivable Revenues that have been recognized but not yet received are recorded as accounts receivable. Losses on receivables will be recognized when it is more likely than not that a receivable will not be collected. An allowance for estimated uncollectible amounts will be recognized to reduce the amount of receivables to its net realizable value. The allowance for uncollectible amounts is evaluated quarterly. Revenue Recognition Revenue is recognized goods are shipped or services performed and is recognized in an amount that reflects the consideration that an entity expects to receive in exchange for those goods or services. In addition, the standard requires disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. The amount of revenue that is recorded reflects the consideration that the Company expects to receive in exchange for those goods. The Company applies the following five-step model in order to determine this amount: (i) identification of the promised goods in the contract; (ii) determination of whether the promised goods are performance obligations, including whether they are distinct in the context of the contract; (iii) measurement of the transaction price, including the constraint on variable consideration; (iv) allocation of the transaction price to the performance obligations; and (v) recognition of revenue when (or as) the Company satisfies each performance obligation. The Company only applies the five-step model to contracts when it is probable that the entity will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. Once a contract is determined to be within the scope of ASC 606 at contract inception, the Company reviews the contract to determine which performance obligations the Company must deliver and which of these performance obligations are distinct. The company recognizes revenue when all performance obligations are completed, and the risk of loss is transferred to the customer upon shipment. During the three months ended , 2019, the Company recognized $46,144 and $50,924 of sales from its two largest customers, representing 33%, and 37%, respectively, of total sales. During the three months ended September 30, 2018, the Company recognized $103,665 in sales from one customer. This represents 55.9% of total sales. Right of Return From time to time, the company in the normal course of business encounters product returns. The company policy is to identify the reason of return and to either replace product, rework product or cancel the order at the request of the customer. As of September 30, 2019 and June 30, 2019, there were no substantial claims for rework or replacement in the normal course of business. Recently issued accounting pronouncements The Company has implemented all new accounting pronouncements that are in effect. These pronouncements did not have any material impact on the financial statements unless otherwise disclosed, and the Company does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its financial position or results of operations.

Going Concern

Going Concern	3 Months Ended
	Sep. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Going Concern	NOTE 3 - GOING CONCERN The accompanying consolidated financial statements have been prepared assuming that the Company 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 accompanying consolidated financial statements, the Company has experienced a significant increase in revenue since commencing it operations in 2018. The accumulated deficit has decreased to only $23,101 and we received cash from operations of $8,698. Although the Company’s financial position is steadily improving our operations are still relatively new, circumstances may still occur that would raise substantial doubt about the Company’s ability to continue as a going concern. While the Company is successfully executing its growth strategy, its cash position may not still be sufficient to support the Company’s daily operations without additional financing. While the Company believes in the viability of its strategy to produce sales volume 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 the Company’s ability to further implement its business plan and generate sufficient revenues. The consolidated financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern. Management believes that the actions presently being taken to further implement its business plan and generate revenues provide the opportunity for the Company to continue as a going concern.

Property, Plant & Equipment

Property, Plant & Equipment	3 Months Ended
	Sep. 30, 2019
Property, Plant and Equipment [Abstract]
Property & Equipment	NOTE 4 – PROPERTY, PLANT & EQUIPMENT Long lived assets, including property and equipment and certain intangible assets to be held and used by the Company are reviewed for impairment whenever events or changes in circumstances indicate that the carrying value of the assets may not be recoverable. Impairment losses are recognized if expected future cash flows of the related assets are less than their carrying values. Measurement of an impairment loss is based on the fair value of the asset. Long-lived assets and certain identifiable intangibles to be disposed of are reported at the lower of carrying amount or fair value less cost to sell. Property and Equipment and intangible assets are first recorded at cost. Depreciation and/or amortization is computed using the straight-line method over the estimated useful lives of the various classes of assets between three and five years. Leasehold improvements are being depreciated over ten years, and the building over twenty years. Maintenance and repair expenses, as incurred, are charged to expense. Betterments and renewals are capitalized in plant and equipment accounts. Cost and accumulated depreciation applicable to items replaced or retired are eliminated from the related accounts with any gain or loss on the disposition included as income. Intangible assets stated at cost, less accumulated amortization consisted of the following: September 30, 2019 June 30, 2019 Website development $ 1,850 $ 1,850 Less: accumulated amortization (1,850 ) (1,850 ) Website development, net $ — $ — Amortization expense Amortization expense for the three months ended September 30, 2019 and 2018 was $0 and $0, respectively. Property, Plant and equipment stated at cost, less accumulated depreciation consisted of the following: September 30, 2019 June 30, 2019 Leasehold Improvements $ 72,820 $ 62,261 Machinery and Equipment 245,068 136,365 Furniture 2,500 — Real Property & Plant 256,443 256,443 Less: accumulated depreciation (66,698 ) (52,664 ) Fixed assets, net $ 510,133 $ 402,405

Line of Credit

Line of Credit	3 Months Ended
	Sep. 30, 2019
Debt Disclosure [Abstract]
Lines of Credit	NOTE 5 – LINES OF CREDIT The Company has established a line of credit with a commercial bank in the amount of $50,000. This is a revolving business line of credit (BLOC) and bears a fixed interest rate of 7%. The company has also established a corporate business credit card for use in travel related purposes. That line of credit is established at $20,000. The company has also established a renewable Bank Term Loan Facility in the approximate amount of $200,000 with a fixed interest rate of 5%. Total consolidated revolving credit available under all credit arrangements is approximately $270,000. On March 9, 2018, the Company obtained a $180,000 loan against the bank term loan. The loan has a term of five years and requires interest only payments of $600 until May 26, 2018, thereafter payments of principal and interest of $3,396.82. As of September 30, 2019 and June 30, 2019, the balance on the loan is $134,500 and $143,263, respectively. Future minimum payments of principal and interest for the fiscal years ended are as follows: Fiscal Year Amount 2020 31,553 2021 42,071 2022 42,071 Thereafter 31,150 Total $ 146,845

Loans Payable

Loans Payable	3 Months Ended
	Sep. 30, 2019
Debt Disclosure [Abstract]
Loan Payable	NOTE 6 – LOAN PAYABLE On February 28, 2018, the Company purchased certain real property and approximately 2 acres of land in Missouri. The total acquisition cost including all closing costs and fees was $256,443. The purchase price was partially financed with a $200,000 loan from the company’s primary bank. The loan has a term of 5-years, at an interest rate of 4.09% and requires monthly payments of interest and principal of $1,494.59 with a final payment of approximately $148,063 due March 1, 2023. As of September 30, 2019, and June 30, 2019, the balance on the loan is $184,168 and $186,655, respectively. Future minimum payments of principal and interest for the fiscal years ended are as follows: Fiscal Year Amount 2020 $ 13,451 2021 17,935 2022 17,935 2023 17,935 Thereafter 140,996 Total $ 208,252 In April 2018 the Company purchased equipment to be used in their operations for a total acquisition price of $32,792. The equipment was purchased with a combination of cash and loan financing. The Company obtained a loan for $27,500 from their primary bank. The loan, dated May 7, 2018, matures on May 7, 2023, bears interest at 6% per annum and requires monthly payments of interest and principal of $532.84. As of September 30, 2019 and June 30, 2019, the balance on the loan is $20,966 and $22,230, respectively. Future minimum payments of principal and interest for the fiscal years ended are as follows: Fiscal Year Amount 2020 $ 4,796 2021 6,394 2022 6,394 2023 5,869 Total $ 23,453 In September 2019 the Company purchased equipment to be used in their operations for a total acquisition price of $87,000. The equipment was purchased with a combination of cash and loan financing. The Company obtained a loan for $70,147. The loan, dated August 12, 2019, matures on August 12, 2024, bears interest at 6.6% per annum and requires monthly payments of interest and principal of $1,379.09. As of September 30, 2019 the balance on the loan is $68,845. Future minimum payments of principal and interest for the fiscal years ended are as follows: Fiscal Year Amount 2020 $ 12,412 2021 16,549 2022 16,549 2023 16,549 2024 9,654 Total $ 71,713

Stockholders' Equity

Stockholders' Equity	3 Months Ended
	Sep. 30, 2019
Equity [Abstract]
Stockholders' Equity	NOTE 7 - STOCKHOLDERS’ EQUITY Common stock Common stock includes 100,000,000 shares authorized at a par value of $0.001. During the three months ended September 30, 2019, the Company granted 130,000 shares of common stock for servicers to two individuals. The shares were valued at $0.10, for total non-cash expense of $13,000. The expense is being recognized over the term of the agreements. As of September 30, 2019, $4,935 has been expensed and $8,065 has been debited to prepaids. Preferred stock Preferred stock includes 25,000,000 shares of authorized at a par value of $0.001. Preferred stock includes 25,000,000 shares of Class B authorized at a par value of $0.001. The Preferred Stock constitutes a convertible stock in which (1) one Preferred Share is convertible into (5) five Common Shares. The Preferred Stock holders are entitled to vote on any matters on which the common stock holders are entitled to vote.

Related Party Transactions

Related Party Transactions	3 Months Ended
	Sep. 30, 2019
Related Party Transactions [Abstract]
Related Party Transactions	NOTE 8 - RELATED PARTY TRANSACTIONS On November 5, 2017, to fund its working capital requirements the Company obtained a Special Line of Credit (“LOC”) also recognized as a Blanket Secured Promissory Note for the total draw down amount of up to $500,000, from Twiga Capital Partners, LLC (“TCP”), an entity controlled by the Company’s sole officer and largest stockholder, Shefali Vibhakar. This Note is secured by all of the assets of the Company in accordance with the Security Agreement by and between the Company and the Holder dated as of November 5, 2017. The LOC bears interest at 5% per annum and is due on demand. As of September 30, 2019 and June 30, 2019, the Company owed $102,129 and $102,129 of principal and $6,751 and $5,463 of accrued interest on the LOC, respectively.

Commitments - Related Party

Commitments - Related Party	3 Months Ended
	Sep. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
Commitments	NOTE 9 – COMMITMENTS – RELATED PARTY On November 1, 2017, the Company entered into a lease agreement with TCP to lease certain premises located in Florida to be effective from November 1, 2017 to November 1, 2027. The 8,000 square feet premises was to be used by the Company for plant and offices. Monthly rent of $7,500 was to be paid on the first of each month. No payment was due for the first four months of the lease. A $7,500 deposit was required and was loaned to the Company by TCP. The $7,500 was added to the balance due under the line of credit with TCP but has since been returned. As of June 30, 2018, the Company has incurred $25,000 of rent expense. TCP determined that it is in the best interest of the Company to contribute the $25,000 of rented space to the Company; which has been credited to paid in capital, and to cancel the lease agreement.

Subsequent Events

Subsequent Events	3 Months Ended
	Sep. 30, 2019
Subsequent Events [Abstract]
Subsequent Events	NOTE 10 - SUBSEQUENT EVENTS In accordance with SFAS 165 (ASC 855-10) management has performed an evaluation of subsequent events through the date that the financial statements were available to be issued and has determined that it does not have any material subsequent events to disclose in these financial statements.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Sep. 30, 2019
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying condensed consolidated financial statements have been prepared by the Company without audit. In the opinion of management, all adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position, results of operations, and cash flows at September 30, 2019 and for the related periods presented have been made. The results for the three months ended September 30, 2019 are not necessarily indicative of the results of operations for the full year. These financial statements and related footnotes should be read in conjunction with the consolidated financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the year ended June 30, 2019, filed with the Securities and Exchange Commission.
Use of estimates	Use of estimates The preparation of financial statements in conformity with 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. Significant estimates include the estimated useful lives of property and equipment. Actual results could differ from those estimates.
Principles of Consolidation	Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary, Genesys Industries, LLC, and been prepared in conformity with accounting principles generally accepted in the United States of America. All significant intercompany transactions and balances have been eliminated.
Reclassifications	Reclassifications Certain reclassifications have been made to the prior period financial information to conform to the presentation used in the financial statements for the three months ended September 30, 2019.
Inventories	Inventories Inventories are valued at the lower of cost or market. Management compares the cost of inventories with the market value and allowance is made for writing down their inventories to market value, if lower.
Property, Plant and Equipment	Property, Plant and Equipment Property and equipment are carried at the lower of cost or net realizable value. Major betterments that extend the useful lives of assets are also capitalized. Normal maintenance and repairs are charged to expense as incurred. When assets are sold or otherwise disposed of, the cost and accumulated depreciation are removed from the accounts and any resulting gain or loss is recognized in operations.
Website development	Website development Website development is carried at cost. Major betterments that would extend the useful life are capitalized. Normal maintenance and repairs are charged to expense as incurred. When assets are sold or otherwise disposed of, the cost and accumulated amortization are removed from the accounts and any resulting gain or loss is recognized in operations. Website development costs are being amortized on a straight-line basis over three years.
Accounts Receivable	Accounts Receivable Revenues that have been recognized but not yet received are recorded as accounts receivable. Losses on receivables will be recognized when it is more likely than not that a receivable will not be collected. An allowance for estimated uncollectible amounts will be recognized to reduce the amount of receivables to its net realizable value. The allowance for uncollectible amounts is evaluated quarterly.
Revenue Recognition	Revenue Recognition Revenue is recognized goods are shipped or services performed and is recognized in an amount that reflects the consideration that an entity expects to receive in exchange for those goods or services. In addition, the standard requires disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. The amount of revenue that is recorded reflects the consideration that the Company expects to receive in exchange for those goods. The Company applies the following five-step model in order to determine this amount: (i) identification of the promised goods in the contract; (ii) determination of whether the promised goods are performance obligations, including whether they are distinct in the context of the contract; (iii) measurement of the transaction price, including the constraint on variable consideration; (iv) allocation of the transaction price to the performance obligations; and (v) recognition of revenue when (or as) the Company satisfies each performance obligation. The Company only applies the five-step model to contracts when it is probable that the entity will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. Once a contract is determined to be within the scope of ASC 606 at contract inception, the Company reviews the contract to determine which performance obligations the Company must deliver and which of these performance obligations are distinct. The company recognizes revenue when all performance obligations are completed, and the risk of loss is transferred to the customer upon shipment. During the three months ended , 2019, the Company recognized $46,144 and $50,924 of sales from its two largest customers, representing 33%, and 37%, respectively, of total sales. During the three months ended September 30, 2018, the Company recognized $103,665 in sales from one customer. This represents 55.9% of total sales.
Right of Return	Right of Return From time to time, the company in the normal course of business encounters product returns. The company policy is to identify the reason of return and to either replace product, rework product or cancel the order at the request of the customer. As of September 30, 2019 and June 30, 2019, there were no substantial claims for rework or replacement in the normal course of business.
Recent Accounting Standards	Recently issued accounting pronouncements The Company has implemented all new accounting pronouncements that are in effect. These pronouncements did not have any material impact on the financial statements unless otherwise disclosed, and the Company does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its financial position or results of operations.

Property, Plant & Equipment (Ta

Property, Plant & Equipment (Tables)	3 Months Ended
	Sep. 30, 2019
Property, Plant and Equipment [Abstract]
Intangible assets, less accumulated amortization	September 30, 2019 June 30, Website development $ 1,850 $ 1,850 Less: accumulated amortization (1,850 ) (1,850 ) Website development, net $ — $ —
Less accumulated depreciation	September 30, 2019 June 30, 2019 Leasehold Improvements $ 72,820 $ 62,261 Machinery and Equipment 245,068 136,365 Furniture 2,500 — Real Property & Plant 256,443 256,443 Less: accumulated depreciation (66,698 ) (52,664 ) Fixed assets, net $ 510,133 $ 402,405

Lines of Credit (Tables)

Lines of Credit (Tables)	3 Months Ended
	Sep. 30, 2019
Debt Disclosure [Abstract]
Future minimun payments of principal and interest	Fiscal Year Amount 2020 31,553 2021 42,071 2022 42,071 Thereafter 31,150 Total $ 146,845

Loans Payable (Tables)

Loans Payable (Tables)	3 Months Ended
	Sep. 30, 2019
Future minimun payments of principal and interest	Fiscal Year Amount 2020 31,553 2021 42,071 2022 42,071 Thereafter 31,150 Total $ 146,845
Real Property
Future minimun payments of principal and interest	Fiscal Year Amount 2020 17,935 2021 17,935 2022 17,935 2023 17,935 Thereafter 140,996 Total $ 212,736
Equipment
Future minimun payments of principal and interest	Fiscal Year Amount 2020 6,394 2021 6,394 2022 6,394 2023 5,869 Total $ 25,051
Equipment 2
Future minimun payments of principal and interest	Fiscal Year Amount 2020 $ 12,412 2021 16,549 2022 16,549 2023 16,549 2024 9,654 Total $ 71,713

Income Taxes (Tables)

Income Taxes (Tables)	3 Months Ended
	Sep. 30, 2018
Income Tax Disclosure [Abstract]
Net deferred tax assets	2019 2018 Deferred Tax Assets: NOL Carryover $ 6,400 $ 28,000 Deferred tax liabilities: Less valuation allowance (6,400 ) $ (28,000 ) Net deferred tax assets $ — $ —
Income tax provision	2019 2018 Federal income tax benefit attributable to: Current operations $ 29,700 $ 16,021 Less: Valuation allowance (29,700 ) (16,021 ) Net provision for Federal income taxes $ — $ —

Nature of Operations (Details n

Nature of Operations (Details narrative)	3 Months Ended
	Sep. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Date of incorporation	Dec. 9, 2014

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details Narrative) - USD ($)	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Customer 1 [Member]
Sales	$ 46,144	$ 103,665
Sales Percentage	33.00%	55.90%
Customer 2 [Member]
Sales	$ 50,924
Sales Percentage	37.00%

Going Concern (Details Narrativ

Going Concern (Details Narrative) - USD ($)	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Jun. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Accumulated Deficit	$ (23,101)		$ (30,582)
Cash received from operations	$ 8,698	$ 35,423

Property & Equipment - Intangib

Property & Equipment - Intangible assets, less accumulated amortization (Details) - USD ($)	Sep. 30, 2019	Jun. 30, 2019	Jun. 30, 2018
Less: accumulated amortization	$ (1,850)	$ (1,850)
Intangible assets
Website development
Intangible assets	$ 1,850		$ 1,850

Property & Equipment - Less acc

Property & Equipment - Less accumulated depreciation (Details) - USD ($)	Sep. 30, 2019	Jun. 30, 2019
Property, Plant and Equipment [Abstract]
Leasehold Improvements	$ 72,820	$ 62,261
Machinery and Equpment	245,068	136,365
Furniture	2,500
Real Property & Plant	256,443	256,443
Less: accumulated depreciation	(66,698)	(52,664)
Fixed assets, net	$ 510,133	$ 402,405

Property, Plant & Equipment (De

Property, Plant & Equipment (Details Narrative) - USD ($)	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Property, Plant and Equipment [Abstract]
Amortization expense	$ 0	$ 0
Depreciation Expense	$ 14,034	$ 9,852

Lines of Credit - Future minimu

Lines of Credit - Future minimum payments of principal and interest (Details) - USD ($)	12 Months Ended			55 Months Ended	60 Months Ended
	Feb. 28, 2022	Feb. 28, 2021	Feb. 28, 2020	Feb. 28, 2023	Feb. 28, 2023
Line of Credit
Principal and interest payments	$ 42,071	$ 42,071	$ 31,553	$ 31,150	$ 146,845

Line of Credit (Details Narrati

Line of Credit (Details Narrative) - USD ($)	3 Months Ended	56 Months Ended
	May 26, 2018	Mar. 09, 2023	Sep. 30, 2019	Jun. 30, 2019	Mar. 09, 2018
Consolidated revolving credit			$ 270,000	$ 270,000
Loan			134,500	$ 143,263
Commercial Bank
Consolidated revolving credit			$ 50,000
Interest rate			7.00%
Credit Card
Consolidated revolving credit			$ 20,000
Bank Term Loan Facility
Consolidated revolving credit			$ 200,000
Interest rate			5.00%
Loan					$ 180,000
Interest payments	$ 600
Principal and interest payments		$ 3,397

Loans Payable - Future minimum

Loans Payable - Future minimum payments of principal and interest (Details) - USD ($)	3 Months Ended	7 Months Ended		9 Months Ended	10 Months Ended	11 Months Ended	12 Months Ended				60 Months Ended
	Sep. 30, 2019	Sep. 30, 2023	May 07, 2020	Jun. 30, 2020	May 07, 2023	Jun. 30, 2020	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2021	Aug. 24, 2024	May 07, 2023	Feb. 28, 2023
Real Property
Principal and interest payments	$ 1,495	$ 140,996		$ 13,451				$ 17,935	$ 17,935	$ 17,935			$ 208,252
Equipment
Principal and interest payments	533		$ 4,796		$ 5,869				6,394	6,394		$ 23,453
Equipment 2
Principal and interest payments	$ 1,379					$ 12,412	$ 9,654	$ 16,549	$ 16,549	$ 16,549	$ 71,713

Loans Payable (Details Narrativ

Loans Payable (Details Narrative) - USD ($)	3 Months Ended	7 Months Ended		9 Months Ended	10 Months Ended	11 Months Ended	12 Months Ended				60 Months Ended
	Sep. 30, 2019	Sep. 30, 2023	May 07, 2020	Jun. 30, 2020	May 07, 2023	Jun. 30, 2020	Jun. 30, 2024	Jun. 30, 2023	Jun. 30, 2022	Jun. 30, 2021	Aug. 24, 2024	May 07, 2023	Feb. 28, 2023	Sep. 30, 2018
Real Property
Acquisition cost	$ 256,443
Loan	$ 200,000
Interest	4.09%
Interest and principal payments	$ 1,495	$ 140,996		$ 13,451				$ 17,935	$ 17,935	$ 17,935			$ 208,252
Final payment	148,063
Balance	184,168													$ 186,655
Equipment
Acquisition cost	32,792
Loan	$ 27,500
Interest	6.00%
Interest and principal payments	$ 533		$ 4,796		$ 5,869				6,394	6,394		$ 23,453
Balance	20,966													$ 22,230
Equipment 2
Acquisition cost	87,000
Loan	$ 70,147
Interest	6.60%
Interest and principal payments	$ 1,379					$ 12,412	$ 9,654	$ 16,549	$ 16,549	$ 16,549	$ 71,713
Balance	$ 68,845

Stockholders' Equity (Details N

Stockholders' Equity (Details Narrative) - USD ($)	3 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Jun. 30, 2019
Preferred stock shares authorized	25,000,000
Preferred stock par value	$ 0.001
Preferred stock conversion		<font style="font-size: 10pt">The Preferred Stock constitutes a convertible stock in which (1) one Preferred Share is convertible into (5) five Common Shares. The Preferred Stock holders are entitled to vote on any matters on which the common stock holders are entitled to vote.</font></p>" id="sjs-C5">&lt;p style="text-align: justify">&lt;font style="font-size: 10pt">The Preferred Stock constitutes a convertible stock in which (1) one Preferred Share is convertible into (5) five Common Shares. The Preferred Stock holders are entitled to vote on any matters on which the common stock holders are entitled to vote.&lt;/font>&lt;/p>
Common Stock Shares Authorized	100,000,000		100,000,000
Common Stock Par Value	$ .001		$ 0.001
Common stock sold	325,000
Common stock value	$ 32,500
Common stock issued for services	130,000
Common stock issued for services; par value	$ 0.10
Common stock issued for services; value	$ 13,000
Stock compensation expense	4,935
Prepaids	$ 8,065
Class B Preferred Stock
Preferred stock shares authorized	25,000,000		25,000,000
Preferred stock par value	$ 0.001		$ 0.001

Related Party Transactions (Det

Related Party Transactions (Details Narrative) - USD ($)	3 Months Ended	12 Months Ended
	Sep. 30, 2019	Jun. 30, 2019
Special Line of Credit Terms	<font style="font-size: 10pt">On November 5, 2017, to fund its working capital requirements the Company obtained a Special Line of Credit ("LOC") also recognized as a Blanket Secured Promissory Note for the total draw down amount of up to $500,000, from Twiga Capital Partners, LLC ("TCP"), an entity controlled by the Company's sole officer and largest stockholder, Shefali Vibhakar. This Note is secured by all of the assets of the Company in accordance with the Security Agreement by and between the Company and the Holder dated as of November 5, 2017. The LOC bears interest at 5% per annum and is due on demand. As of September 30, 2018, and June 30, 2018, the Company owed $65,911 and $67,299 of principal and $2,549 and $1,718 of accrued interest, respectively on the LOC.</font></p>" id="sjs-B3">&lt;p style="text-align: justify">&lt;font style="font-size: 10pt">On November 5, 2017, to fund its working capital requirements the Company obtained a Special Line of Credit ("LOC") also recognized as a Blanket Secured Promissory Note for the total draw down amount of up to $500,000, from Twiga Capital Partners, LLC ("TCP"), an entity controlled by the Company's sole officer and largest stockholder, Shefali Vibhakar. This Note is secured by all of the assets of the Company in accordance with the Security Agreement by and between the Company and the Holder dated as of November 5, 2017. The LOC bears interest at 5% per annum and is due on demand. As of September 30, 2018, and June 30, 2018, the Company owed $65,911 and $67,299 of principal and $2,549 and $1,718 of accrued interest, respectively on the LOC.&lt;/font>&lt;/p>
Loans payable	$ 31,598	$ 24,329
Accrued interest	$ 6,751
TCP
Loans payable		102,129
Accrued interest		$ 5,463

Commitments - Related Party (De

Commitments - Related Party (Details Narrative)	3 Months Ended
	Sep. 30, 2019USD ($)
Commitments and Contingencies Disclosure [Abstract]
Monthly rent	$ 7,500
Rent deposit	7,500
Contributed rent expense	$ 25,000