Energy Conversion Services 10-K 20 Jun 19 2018 FY Annual report Financial data

Document and Entity Information

Document and Entity Information	12 Months Ended
	May 31, 2018USD ($)shares
Document And Entity Information
Entity Registrant Name	Energy Conversion Services, Inc.
Entity Central Index Key	0001719323
Document Type	10-K
Document Period End Date	May 31, 2018
Amendment Flag	false
Current Fiscal Year End Date	--05-31
Is Entity a Well-known Seasoned Issuer?	No
Is Entity a Voluntary Filer?	No
Is Entity's Reporting Status Current?	Yes
Is Entity Emerging Growth Company?	true
Elected Not To Use the Extended Transition Period	false
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Shell Company	false
Entity Public Float | $	$ 0
Entity Common Stock, Shares Outstanding | shares	15,000,000
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2018

Balance Sheet

Balance Sheet - USD ($)	May 31, 2018	May 31, 2017
CURRENT ASSETS
Cash in Bank	$ 116	$ 2,350
Investment: 2,500,000 shares of restricted common stock at $0.04 per share	19,000	0
TOTAL ASSETS	19,116	2,350
CURRENT LIABILITIES
Interest Payable	613	0
Note Payable - Related Party	7,879	0
TOTAL CURRENT LIABILITIES	8,492	0
LONG TERM LIABILITIES
Convertible Debentures: 12% Interest, maturity 24 mo's, conversion price equal to 50% of avg. closing price of common stock 20 prior trading days prior to conversion, with a floor price of $0.15 per share	0	0
Debt Discount - BCF Accreted over 24 months based on the proposed maximum offering price.	2,559	0
TOTAL LONG TERM LIABILITIES	2,559	0
Total Liabilities	11,051	0
STOCKHOLDERS' DEFICIT:
Common stock: .001 Par Value, 50,000,000, 15,000 shares issued and outstanding as of May 31, 2018	15,000	15,000
Common stock issuable: Subscription agreements for 1,555,000 shares at $0.10 as of May 31, 2018	15,500	0
Preferred stock: 0.001 par value 25,000,000 authorized 0 shares issued and outstanding as of May 31, 2018	0	0
CS-Conus Stock	8	0
Additional paid-in capital	139,500	0
APIC - Bonus Stock	771	0
APIC - Debt Discount (for BCF)	31,662	0
Deficit accumulated during develeopmental stage	(194,376)	(12,650)
Total stockholders' deficit	8,065	2,350
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT	$ 19,116	$ 2,350

Balance Sheet (Parenthetical)

Balance Sheet (Parenthetical) - $ / shares	May 31, 2018	May 31, 2017
Statement of Financial Position [Abstract]
Common stock, par value (in dollars per share)	$ .001	$ 0.001
Common stock, shares authorized	50,000,000	50,000,000
Common stock, shares issued	15,000	15,000
Common stock, shares outstanding	15,000	15,000
Preferred stock, par value per share	$ 0.001	$ 0.001
Preferred stock, shares authorized	25,000,000	25,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0

Unaudited Statement Of Operatio

Unaudited Statement Of Operations - USD ($)	12 Months Ended
	May 31, 2018	May 31, 2017
Income Statement [Abstract]
REVENUE	$ 0	$ 0
EXPENSES
General and Administrative	110,283	150
Professional Fees	70,830	12,500
Total Expenses	181,113	12,650
Net Operating Income	(181,113)	(12,650)
OTHER INCOME (EXPENSE)
Interest Expense	613	0
TOTAL OTHER INCOME (EXPENSE)	613	0
Net Loss	$ (181,113)	$ (12,650)
Net loss per common share - basic	$ (0.001)	$ (0.001)
Weighted average of common shares outstanding - basic	12,478,992	12,478,992

Unaudited Statement Of Stockhol

Unaudited Statement Of Stockholders Equity - USD ($)	Common Stock	Preferred Stock	Additional Paid-In Capital	Common Stock Issuable	Accumulated Deficit	Total
Balance, at beginning at Apr. 07, 2017
Balance, at beginning (in shares) at Apr. 07, 2017
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net Loss					(12,650)	(12,650)
Balance, at end at May. 31, 2017	$ 15,000				(12,650)	2,350
Balance, at end (in shares) at May. 31, 2017
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common Stock			139,500	15,500		155,000
Net Loss					(181,726)	181,726
Balance, at end at May. 31, 2018	$ 15,000		$ 139,500	$ 15,500	$ (194,376)	$ 8,065
Balance, at end (in shares) at May. 31, 2018

Statement Of Cash Flows

Statement Of Cash Flows - USD ($)	12 Months Ended
	May 31, 2018	May 31, 2017
Cash Flows from Operating Activites:
Net Loss	$ 181,726	$ 12,650
Adjustments to reconcile net loss to net cash used in operating activities:
Increase in Interest Payable	613	0
Increase in Note Payable - Related party	7,879	0
Net cash provided by operating activities	173,234	12,650
Cash Flows from Investing Activities:
Increase in Investement	19,000	0
Net cash provided by investing activities	19,000	0
Cash Flows from Financing Activities:
Proceeds from issuance of common stock	0	15,000
Cash from convertible debentures	35,000	0
Cash from sale of common stock	155,000	0
Net cash provided by financing activities	190,000	15,000
Net cash increase for period	2,234	2,350
Cash at beginning of period	2,350	0
Cash at end of period	$ 116	$ 2,350

ORGANIZATION AND NATURE OF BUSI

ORGANIZATION AND NATURE OF BUSINESS	12 Months Ended
	May 31, 2018
Accounting Policies [Abstract]
ORGANIZATION AND NATURE OF BUSINESS	NOTE 1 – ORGANIZATION AND NATURE OF BUSINESS Energy Conversion Services (“the Company”, “we”, “us” or “our”) was incorporated on April 8,2017 in the State of Wyoming. We are a development-stage company formed for the purpose of using portable generating equipment to generate electricity from natural gas, methane, landfill gas, syngas, etc. The resulting product would be sold to an end user o an Electrical Utility. We have the ability to create, or purchase equipment to generate electricity from 250 kilowatts to 2 megawatts. Our systems are clean, quiet and unobtrusive. Our executive offices are located at 2724 Otter Creek Ct 101, Las Vegas, Nevada 89122

GOING CONCERN

GOING CONCERN	12 Months Ended
	May 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
GOING CONCERN	NOTE 2 – GOING CONCERN The accompanying financial statements have been prepared in conformity with generally accepted accounting principles, which contemplate continuation of the Company as a going concern. As a development-stage company, the Company had limited revenues and incurred losses as of May 31, 2018. The Company currently has limited working capital and has not completed its efforts to establish a stabilized source of revenues sufficient to cover operating costs over an extended period of time. Management anticipates that the Company will be dependent, for the near future, on the investment capital to fund operating expenses. The Company intends to position itself so that it will be able to raise additional funds through the capital markets. In light of management’s efforts, there are no assurances that the Company will be successful in this or any of its endeavors or become financially viable and continue as a going concern.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	May 31, 2018
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 3 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of presentation The accompanying financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America, pursuant to the rules and regulations of the Securities and Exchange Commissions (the “SEC”) and reflect all adjustments, consisting of normal recurring adjustments, which management believes are necessary to fairly present the financial position, results of operations and cash flows of the Company for the period June 1, 201 to May 23, 2018. Cash and Cash Equivalents The Company considers all highly liquid developments with the original maturities of these months or less to be cash equivalents. The Company had $116.25 of cash as of May 31, 2018. Income Taxes Income taxes are computed using the asset and liability method. Under the asset and liability method, deferred income tax assets and liabilities are determined based on the difference between the financial reporting and tax bases of assets and liabilities and are measured using the currently enacted tax rates and laws. A valuation allowance is provided for the among of deferred tax assets that, are based on available evidence, are not expected to be realized. Revenue Recognition The Company will recognize revenue in accordance with ASC topic 605 “Revenue Recognition”. The Company recognizes revenue when products are fully delivered or services have been provided and collection is reasonably assured. Use of Estimates The preparation of financial statements is 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 the financial statements and the reported amount of revenues and expenses during the reporting period. Actual results could differ from their estimates. Fair Value of Financial Investments AS topic 820 “Fair Value Measurements and Disclosures” establishes a three-tier fair value hierarchy, which prioritizes the inputs in measuring fair value. The hierarchy prioritizes the inputs into three levels based on the extent to which inputs and measuring fair value are observable in the market. These tiers include: Level 1 - defined as observable inputs such as quoted prices in markets, Level 2 – defined as inputs other than quoted prices in active markets that are either directly or indirectly observable, and Level 3 – defined as unobservable inputs in which little or no market data exits, therefore requiring an entity to develop its own assumptions. The carrying value of cash approximates its fair value due to its short-term maturity. Stock-Based Compensation Stock-based compensation is accounted for at fair value in accordance with ASO Topic 718. To date, the Company has not adopted a stock option plan and has not granted any stock options. Basic Income (Loss) Per Share The Company computes income (loss) per share in accordance with FASB ASC 260 “Earnings per Share”. Basic loss per share is computed by dividing net income (loss) available to common shareholders by the weighted average number of outstanding common shares during the period. Diluted income (loss) per share gives effect to all dilutive potential common shares outstanding during the period. Dilutive loss per share excludes all the potential commons shares if their effect is antidulitive. There were no potentially dilutive debt or equity instruments issued or outstanding as of May 31, 2018. Comprehensive Income Comprehensive income is defined as changes in stockholder’s deficit, exclusive of transactions with owners, such as capital investments. Comprehensive income includes net income or loss, changes in certain assets and liabilities that are reported directly in equity such as translation adjustments on investments in foreign subsidiaries and unrealized gains (losses) on available – for – sale securities. As of May 31, 2018, there were no differences between our comprehensive loss and net loss. Recent Accounting Pronouncements We have reviewed all the recently issued, but not yet effective, accounting pronouncements and we do not believe any of the pronouncements will have a material impact on the Company.

STOCKHOLDER'S EQUITY

STOCKHOLDER'S EQUITY	12 Months Ended
	May 31, 2018
Equity [Abstract]
STOCKHOLDER'S EQUITY	NOTE 4 – STOCKHOLDER’S EQUITY The Company has 50,000,000, $0.001 par value shares of common stock and 25,000,000 of preferred stock authorized. The preferred stock has the terms and conditions designated by the board of directors at the time of the issuance. On May 31, 2017 the company issued a total of 15,000,000 common shared to its founder for a cash contribution of $15,000. There were 15,000,000 shares of common stock issued and outstanding as of May 31, 2018.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	12 Months Ended
	May 31, 2018
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	NOTE 5 – COMMITMENTS AND CONTINGENCIES Company has no commitments and contingencies as of May 31, 2018.

INCOME TAXES

INCOME TAXES	12 Months Ended
	May 31, 2018
Income Tax Disclosure [Abstract]
INCOME TAXES	NOTE 6 – INCOME TAXES As of May 31, 2017, the Company had a net operating loss of approximately $12,650 and as of May 2018 a loss of approximately $181,726 and that may be available to reduce future years’ taxable income varying amounts. Future tax benefits which may arise as a result of these losses have not been recognized in these financial statements, as their realization is determined not likely to occur and accordingly. The provision for federal income tax consists of the following: May 31, May 31, 2017 2018 Federal income tax benefit attributable to: Current Operations. $ 2,656 $ 38,162 Less: valuation (2,656 ) (38,162 ) Net provision for Federal income taxes $ 0 $ 0 The cumulative tax effect at the expected rate of 21% of significant items compromising our net deferred tax amount is as follows: May 31, May 31, 2017 2018 Deferred tax asset attributable to: Net operating loss carryover $ 2,656 $ 38,162 Less: valuation allowance (2,656 ) (38,162 ) Net deferred tax asset $ 0 $ 0 Due to the change in ownership provisions of the Tax Reform Act of 1986, net operating loss carry forwards of approximately $2,657 as of December 31, 2017 and $38,162 as of December 31, 2018 for Federal Income Tax reporting purposes are subject to annual limitations. Should a change in ownership occur net operating loss carry forwards may be limited as to use in future years.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	12 Months Ended
	May 31, 2018
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	NOTE 7 – SUBSEQUENT EVENTS In accordance with ASC 855-10 the Company has analyzed its operations from May 31, 2016 to May 29, 2019, the date these financial statements were issued, and has determined that it does not have any material subsequent events to disclose in these financial statements.

CONVERTIBLE DEBENTURES

CONVERTIBLE DEBENTURES	12 Months Ended
	May 31, 2018
Notes to Financial Statements
CONVERTIBLE DEBENTURES	NOTE 8 - CONVERTIBLE DEBENTURES "From April 6, 2018 to August 1, 2018, the Company sold eight convertible debentures (the “Convertible Debentures”) to private investors (the “Creditors”) and received $300,000 in gross proceeds. The Convertible Debentures have identical terms, including interest of 12.0% payable quarterly in advance, maturity in 24 months from the date of purchase and are convertible into shares of common stock at a conversion price equal to 50% of the average closing price of our common stock during the 20 prior trading days prior to conversion with a conversion floor price of $0.015 per share. The conversion right becomes effective on the first trading day subsequent to the Company's 20th trading day on the OTC. Additionally, the Creditors received a stock bonus as part of their Convertible Debenture purchase (the ""Bonus Stock""). In total the Company issued 97,000 shares of Bonus Stock. The Company reviewed the terms and conditions of the Convertible Debentures and determined that the conversion feature meets the scope exception under ASC 815 and that the guidance under ASC 470-20 is appropriate. As of May 31, 2018, the Company determined the relative fair value allocation of the proceeds received for the first two Convertible Debentures and allocated the proceeds to the components of the Convertible Debentures, including the Bonus Stock ($875), the Beneficial Conversion Feature ($34,221) and the Convertible Debenture ($0). Since the Company is newly formed with no stock trading history, or stock related transactions, the stock price employed for the fair value allocation calculations was based on the proposed maximum offering price as disclosed in the Companys Form S-1 originally filed with the SEC on October 13, 2017 pursuant to which sales of common stock have occured at a price of $0.10 per share. The intrinsic value of the beneficial conversion feature was computed as the difference between the fair value of the common stock issuable upon conversion of the Convertible Debentures and the total price to convert based on the effective conversion price on the date of issuance. The calculated intrinsic value was $35,779. As this amount resulted in a debt discount that exceeded the Convertible Debentures proceeds, the amount recorded for the beneficial conversion feature was limited to the principal amount of the Convertible Debentures. The resulting $35,000 discount is being accreted over the 24 month term of Convertible Debentures. The Convertible Debentures were sold pursuant to exemptions from the registration requirements afforded by, among others, Rule 506(c) of Regulation D ("Regulation D") and Regulation S ("Regulation S"), as promulgated under the Securities Act of 1933, as amended. Accordingly, the Offering will be available only to investors who reasonably verify to the Company that they are "accredited investors," as such term is defined in Rule 501(a) of Regulation D or who are not U.S. Persons, as such term is defined in Rule 902 of Regulation S.

INVESTMENTS

INVESTMENTS	12 Months Ended
	May 31, 2018
Schedule of Investments [Abstract]
INVESTMENTS	NOTE 9 - INVESTMENTS On April 12, 2018 Energy Conversion Services subscribed for 2,500,000 shares of restricted common stock in Seven Hundred Seventy 7, Inc. at $0.04 per share. The total subscription prce is $100,000, $19,000 of the $100,000 has been paid out in cash as of May 31, 2018.

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	May 31, 2018
Accounting Policies [Abstract]
Basis of presentation	Basis of presentation The accompanying financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America, pursuant to the rules and regulations of the Securities and Exchange Commissions (the “SEC”) and reflect all adjustments, consisting of normal recurring adjustments, which management believes are necessary to fairly present the financial position, results of operations and cash flows of the Company for the period June 1, 201 to May 23, 2018.
Cash and Cash Equivalents	Cash and Cash Equivalents The Company considers all highly liquid developments with the original maturities of these months or less to be cash equivalents. The Company had $116.25 of cash as of May 31, 2018.
Income Taxes	Income Taxes Income taxes are computed using the asset and liability method. Under the asset and liability method, deferred income tax assets and liabilities are determined based on the difference between the financial reporting and tax bases of assets and liabilities and are measured using the currently enacted tax rates and laws. A valuation allowance is provided for the among of deferred tax assets that, are based on available evidence, are not expected to be realized.
Revenue Recognition	Revenue Recognition The Company will recognize revenue in accordance with ASC topic 605 “Revenue Recognition”. The Company recognizes revenue when products are fully delivered or services have been provided and collection is reasonably assured.
Use of Estimates	Use of Estimates The preparation of financial statements is 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 the financial statements and the reported amount of revenues and expenses during the reporting period. Actual results could differ from their estimates.
Fair Value of Financial Investments	Fair Value of Financial Investments AS topic 820 “Fair Value Measurements and Disclosures” establishes a three-tier fair value hierarchy, which prioritizes the inputs in measuring fair value. The hierarchy prioritizes the inputs into three levels based on the extent to which inputs and measuring fair value are observable in the market. These tiers include: Level 1 - defined as observable inputs such as quoted prices in markets, Level 2 – defined as inputs other than quoted prices in active markets that are either directly or indirectly observable, and Level 3 – defined as unobservable inputs in which little or no market data exits, therefore requiring an entity to develop its own assumptions. The carrying value of cash approximates its fair value due to its short-term maturity.
Stock-Based Compensation	Stock-Based Compensation Stock-based compensation is accounted for at fair value in accordance with ASO Topic 718. To date, the Company has not adopted a stock option plan and has not granted any stock options.
Basic Income (Loss) Per Share	Basic Income (Loss) Per Share The Company computes income (loss) per share in accordance with FASB ASC 260 “Earnings per Share”. Basic loss per share is computed by dividing net income (loss) available to common shareholders by the weighted average number of outstanding common shares during the period. Diluted income (loss) per share gives effect to all dilutive potential common shares outstanding during the period. Dilutive loss per share excludes all the potential commons shares if their effect is antidulitive. There were no potentially dilutive debt or equity instruments issued or outstanding as of May 31, 2018.
Comprehensive Income	Comprehensive Income Comprehensive income is defined as changes in stockholder’s deficit, exclusive of transactions with owners, such as capital investments. Comprehensive income includes net income or loss, changes in certain assets and liabilities that are reported directly in equity such as translation adjustments on investments in foreign subsidiaries and unrealized gains (losses) on available – for – sale securities. As of May 31, 2018, there were no differences between our comprehensive loss and net loss.
Recent Accounting Pronouncements	Recent Accounting Pronouncements We have reviewed all the recently issued, but not yet effective, accounting pronouncements and we do not believe any of the pronouncements will have a material impact on the Company.

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	May 31, 2018
Income Tax Disclosure [Abstract]
Schedule of provision for federal income tax	The provision for federal income tax consists of the following: May 31, May 31, 2017 2018 Federal income tax benefit attributable to: Current Operations. $ 2,656 $ 38,162 Less: valuation (2,656 ) (38,162 ) Net provision for Federal income taxes $ 0 $ 0
Schedule of deferred tax	The cumulative tax effect at the expected rate of 21% of significant items compromising our net deferred tax amount is as follows: May 31, May 31, 2017 2018 Deferred tax asset attributable to: Net operating loss carryover $ 2,656 $ 38,162 Less: valuation allowance (2,656 ) (38,162 ) Net deferred tax asset $ 0 $ 0

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)	May 31, 2018	May 31, 2017	May 31, 2016
Accounting Policies [Abstract]
Cash	$ 116	$ 2,350	$ 0

STOCKHOLDER_S EQUITY (Details N

STOCKHOLDER’S EQUITY (Details Narrative) - USD ($)	12 Months Ended
	May 31, 2017	May 31, 2018
Equity [Abstract]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	25,000,000	25,000,000
Common stock, par value	$ 0.001	$ .001
Common stock, shares authorized	50,000,000	50,000,000
Common stock, shares issued	15,000	15,000
Common Stock, shares outstanding	15,000	15,000
Number of shares issued to founder, Shares	15,000,000
Cash contribution	$ 15,000

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details Narrative)	May 31, 2018USD ($)
Commitments and Contingencies Disclosure [Abstract]
Commitments and contingencies	$ 0

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($)	12 Months Ended
	May 31, 2018	May 31, 2017
Federal income tax benefit attributable to
Current Operations	$ 2,656	$ 38,162
Less: valuation	(2,656)	(38,162)
Net provision for Federal income taxes	$ 0	$ 0

INCOME TAXES (Details 1)

INCOME TAXES (Details 1) - USD ($)	May 31, 2018	May 31, 2017
Deferred tax asset attributable to:
Net operating loss carryover	$ 2,656	$ 38,162
Less: valuation allowance	(2,656)	(38,162)
Net deferred tax asset	$ 0	$ 0

INCOME TAXES (Details Narrative

INCOME TAXES (Details Narrative) - USD ($)	12 Months Ended
	May 31, 2018	Dec. 31, 2018	Dec. 31, 2017	May 31, 2017
Income Tax Disclosure [Abstract]
Net operating loss	$ 12,650	$ 38,162	$ 2,657	$ 181,726
Income tax rate	21.00%

CONVERTIBLE DEBENTURES (Details

CONVERTIBLE DEBENTURES (Details Narrative) - USD ($)	4 Months Ended	12 Months Ended
	Aug. 01, 2018	May 31, 2018
Notes to Financial Statements
Proceeds from convertible debentures	$ 300,000
Conversion Price	$ 0.015
Ineterst rate		12.00%
Number of bonus stock		97,000
Bonus Stock		$ 875
Beneficial Conversion Feature		34,221
Convertible Debenture		0
Intrinsic value of the beneficial conversion feature		35,779
Discount accreated		$ 35,000

INVESTMENTS (Details Narrative)

INVESTMENTS (Details Narrative)	Apr. 12, 2018USD ($)$ / sharesshares
Schedule of Investments [Abstract]
Restricted common stock subscribed | shares	2,500,000
Stock price | $ / shares	$ 0.04
Subscription price | $	$ 100,000