Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2020 | Jul. 22, 2020 | |
Document and Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2020 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q2 | |
Entity Registrant Name | CHARMT, INC. | |
Entity Central Index Key | 0001765048 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Common Stock, Shares Outstanding | 3,870,600 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | No | |
Entity Shell Company | true | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | true |
Balance Sheets (Unaudited)
Balance Sheets (Unaudited) - USD ($) | Jun. 30, 2020 | Dec. 31, 2019 |
Current Assets | ||
Cash | $ 6,550 | $ 70 |
Subscription receivable from sole officer and director | 0 | 0 |
Service Deposit | 126 | 126 |
Total Current Assets | 6,676 | 196 |
TOTAL ASSETS | 6,676 | 196 |
Current Liabilities | ||
Accounts Payable | 6,552 | 1,537 |
Advances payable to sole officer and director (non-interest bearing and due on demand) | 9,066 | 9,066 |
Total Current Liabilities | 15,618 | 10,603 |
Total Liabilities | $ 15,618 | $ 10,603 |
Stockholders` Equity | ||
Common stock, $0.001 par value, 75,000,000 shares authorized; 3,870,600 and 3,000,000 shares issued and outstanding as of June 30, 2020 and December 31, 2019 respectively | 3,871 | 3,000 |
Additional paid in capital | $ 20,854 | |
Accumulated deficit | (33,667) | $ (13,407) |
Total Stockholders` Equity | (8,942) | (10,407) |
TOTAL LIABILITIES AND STOCKHOLDERS` EQUITY | $ 6,676 | $ 196 |
Balance Sheets (Unaudited) (Par
Balance Sheets (Unaudited) (Parenthetical) - USD ($) | Jun. 30, 2020 | Dec. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Common stock par value | $ 0.001 | $ 0.001 |
Common stock shares authorized | 75,000,000 | 75,000,000 |
Common stock shares issued and outstanding | 3,870,600 | 3,000,000 |
Statements of Operations (Unaud
Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Income Statement [Abstract] | ||||
REVENUES | $ 0 | $ 0 | $ 0 | $ 0 |
OPERATING EXPENSES | ||||
General and Administrative Expenses | 13,256 | 2,030 | 20,260 | 7,643 |
TOTAL OPERATING EXPENSES | 13,256 | 2,030 | 20,260 | 7,643 |
LOSS FROM OPERATIONS | (13,256) | (2,030) | (20,260) | (7,643) |
Provision for income taxes | 0 | 0 | 0 | 0 |
NET LOSS | $ (13,256) | $ (2,030) | $ (20,260) | $ (7,643) |
NET LOSS PER SHARE: BASIC AND DILUTED | $ 0 | $ 0 | $ 0 | $ 0 |
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING: BASIC AND DILUTED | 3,848,279 | 3,000,000 | 3,527,514 | 3,000,000 |
Statements of Changes in Stockh
Statements of Changes in Stockholders' Equity (Unaudited) - USD ($) | Total | Common Stock | Additional Paid-in Capital | Accumulated Deficit |
Balance at Dec. 31, 2018 | $ 1,168 | $ 3,000 | $ (1,832) | |
Balance (in shares) at Dec. 31, 2018 | 3,000,000 | |||
Net loss for the six months | (7,643) | (7,643) | ||
Balance at Jun. 30, 2019 | (6,475) | $ 3,000 | (9,475) | |
Balance (in shares) at Jun. 30, 2019 | 3,000,000 | |||
Balance at Dec. 31, 2019 | (10,407) | $ 3,000 | (13,407) | |
Balance (in shares) at Dec. 31, 2019 | 3,000,000 | |||
Sales of common stock at $0.025 per share | 21,725 | $ 871 | $ 20,854 | |
Sales of common stock at $0.025 per share (in shares) | 870,600 | |||
Net loss for the six months | (20,260) | (20,260) | ||
Balance at Jun. 30, 2020 | $ (8,942) | $ 3,871 | $ 20,854 | $ (33,667) |
Balance (in shares) at Jun. 30, 2020 | 3,870,600 |
Statements of Changes in Stoc_2
Statements of Changes in Stockholders' Equity (Parenthetical) | Jun. 30, 2020$ / shares |
Statement of Stockholders' Equity [Abstract] | |
Sales of common stock, dividends per share | $ 0.025 |
Statements Of Cash Flows (Unaud
Statements Of Cash Flows (Unaudited) - USD ($) | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
OPERATING ACTIVITIES | ||
Net Loss | $ (20,260) | $ (7,643) |
Changes in operating assets and liabilities: | ||
Accounts payable | 5,015 | 1,083 |
Prepaid Rent | 0 | (154) |
Net cash used in Operating Activities | (15,245) | (6,714) |
FINANCING ACTIVITIES | ||
Collection of subscription receivable from sole officer and director | 0 | 3,000 |
Advances from sole officer and director | 0 | 4,310 |
Sales of common stock | 21,725 | 0 |
Net cash provided by Financing Activities | 21,725 | 7,310 |
Net cash increase for period | 6,480 | 596 |
Cash at beginning of period | 70 | 100 |
Cash at end of period | 6,550 | 696 |
Cash payments For: | ||
Interest | 0 | 0 |
Income taxes | $ 0 | $ 0 |
- Nature of Business
- Nature of Business | 6 Months Ended |
Jun. 30, 2020 | |
- Nature of Business [Abstract] | |
- Nature of Business | Note 1 - Nature of Business Charmt, Inc. (the “Company”) was incorporated in the State of Nevada on August 2, 2018. The Company is developing a messenger application. It is being designed to provide a chance to alter the speaker's voice while talking with other people and full functionality of similar messaging apps. The Company intends to develop and publish mobile applications on the iOS, Google Play, Amazon and Ethereum platforms. Charmt, Inc. also plans to maintain a portfolio of its products and track download statistics. The Company intends to generate revenues through the sale of branded advertisements and via consumer transactions, including in-app purchases. The management of the Company plans to distribute the application all over the world using various platforms. The Company's registration address is Hobujaama 4, Tallinn, Estonia, 10151 . The Company conducted a public offering of up to 5,000,000 shares of its common stock at a price of $0.025 per share or $125,000 total. The related registration statement was declared effective by the Securities and Exchange Commission on April 12, 2019 and provided an offering period of 90 days. No shares of common stock were sold in the 90-day offering period ended on July 11, 2019. On October 23, 2019, the Company filed a new prospectus under Rule 424(b)(1) to provide for an offering period of 360 days from the effective date of the prospectus. |
- Going Concern
- Going Concern | 6 Months Ended |
Jun. 30, 2020 | |
- Going Concern [Abstract] | |
- Going Concern | Note 2 - Going Concern The accompanying financial statements have been prepared assuming that the Company will continue as a going concern, which contemplates the realization of assets and satisfaction of liabilities in the normal course of business. As of June 30, 2020, the Company had cash of $6,550 and negative working capital of $(8,942). For the six months ended June 30, 2020, the Company had no revenues and a net loss of $20,260. These factors raise substantial doubt regarding the Company`s ability to continue as a going concern. Management anticipates that the Company will be dependent, for the near future, on additional investment capital to fund operating expenses. There is no assurance that the Company will be successful in this or any of its endeavors or become financially viable and continue as a going concern. The financial statements do not include any adjustments that might result from the outcome of this uncertainty. |
- Summary of Significant Accoun
- Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2020 | |
- Summary of Significant Accounting Policies [Abstract] | |
- Summary of Significant Accounting Policies | Note 3 - Summary of Significant Accounting Policies Basis of Presentation The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America and are presented in US dollars. Fair Value of Financial Instruments The Company's financial instruments consist of cash, accounts payable, and advances payable to sole officer and director. The carrying amounts of these financial instruments approximates fair value because of the short period of time between the origination of such instruments and their expected realization. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. 9 Charmt, Inc. Notes to the Financial Statements For the six months ended June 30, 2020 (Unaudited) Cash and Cash Equivalents The Company considers all highly liquid investments with original maturities of three months or less to be cash equivalents. Net Income (Loss) per Common Share Net income (loss) per common share is computed pursuant to FASB Accounting Standards Codification (“ASC”) 260, “Earnings Per Share”. Basic net income (loss) per common share is computed by dividing net income (loss) by the weighted average number of shares of common stock outstanding during the period. Diluted net income (loss) per common share is computed by dividing net income (loss) by the weighted average number of shares of common stock and potentially dilutive outstanding shares of common stock during the period to reflect the potential dilution that could occur from common shares issuable through contingent share arrangements, stock options and warrants. There were no potentially dilutive common shares outstanding for the periods presented. Revenue Recognition The Company's revenue recognition policies will follow FASB 606, “Revenue from Contracts with Customers”. The core principle of ASC 606 is that an entity recognizes 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. An entity recognizes revenue in accordance with that core principle by applying the following steps: Step 1: Identify the contract(s) with a customer. Step 2: Identify the performance obligations in the contract. Step 3: Determine the transaction price. Step 4: Allocate the transaction price to the performance obligations in the contract. Step 5: Recognize revenue when (or as) the entity satisfies a performance obligation. An entity must also disclose sufficient information to enable users of financial statements to understand the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers, including qualitative and quantitative information about contracts with customers, significant judgments and changes in judgments, and assets recognized from the costs to obtain or fulfill a contract. Income Taxes The Company follows the asset and liability method of accounting for income taxes under FASB ASC 740, “Income Taxes.” Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statements carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected to be realized. Foreign Currency The Company's functional and reporting currency is the U.S. dollar. Transactions may occur in foreign currencies and management follows ASC 830, “Foreign Currency Matters”. Monetary assets and liabilities denominated in foreign currencies are translated using the exchange rate prevailing at the balance sheet date. Non-monetary assets and liabilities denominated in foreign currencies are translated at rates of exchange in effect at the date of the transaction. Average monthly rates are used to translate revenues and expenses. Gains and losses arising on translation or settlement of foreign currency denominated transactions or balances are included in the Statement of Operations. 10 Charmt, Inc. Notes to the Financial Statements For the six months ended June 30, 2020 (Unaudited) Recent Accounting Pronouncements Certain accounting pronouncements have been issued by the FASB and other standard setting organizations which are not yet effective and therefore have not yet been adopted by the Company. The impact on the Company`s financial position and results of operations from adoption of these standards is not expected to be material. |
- Capital Stock
- Capital Stock | 6 Months Ended |
Jun. 30, 2020 | |
- Capital Stock [Abstract] | |
- Capital Stock | Note 4 - Capital Stock The Company has 75,000,000, $0.001 par value shares of common stock authorized. On August 2, 2018, the Company issued 3,000,000 shares of common stock to Gediminas Knyzelis at $0.001 per share for $3,000. The payment for the shares, which was due within 180 days upon the execution of the respective agreement, was collected on January 15, 2019. From February 6, 2020 to June 30, 2020, the Company sold a total of 870,600 shares of its common stock in its public offering to 29 investors at a price of $0.025 per share for proceeds of $21,725. There were 3,870,600 shares of common stock issued and outstanding as of June 30, 2020. |
- Commitments and Contingencies
- Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2020 | |
- Commitments and Contingencies [Abstract] | |
- Commitments and Contingencies | Note 5 - Commitments and Contingencies Service Agreement On June 27, 2018, Gediminas Knyzelis executed a Virtual Office Service Agreement on behalf of the Company for address and telephone service in Estonia. The agreement had an original term of one year from July 1, 2018 to June 30, 2019 and was renewed for an additional year to June 30, 2020. The agreement and its renewal are for a monthly service cost of 55 EUR (excluding VAT), or approximately $64 per the exchange rate as of June 30, 2020. For the six months ended June 30, 2020 and 2019, the Company incurred expenses of $601 and $462, respectively, under this service agreement. Compensation Agreement To date, the Company has not entered into any compensation agreements with Gediminas Knyzelis or others. |
- Income Taxes
- Income Taxes | 6 Months Ended |
Jun. 30, 2020 | |
- Income Taxes [Abstract] | |
- Income Taxes | Note 6 - Income Taxes The provision for (benefit from) income taxes differs from the amount of income tax determined by applying the United States federal income tax rate of 21% to pretax income (loss) for the three and six months ended June 30, 2020 and 2019 as follows: Three Months Ended June 30, 2020 Three Months Ended June 30, 2019 Six Months Ended June 30, 2020 Six Months Ended June 30, 2019 Expected income tax (benefit) at 21% statutory rate (2,784) (426) (4,255) (1,605) Increase in valuation allowance 2,784 426 4,255 1,605 Provision for income taxes - - - - 11 Charmt, Inc. Notes to the Financial Statements For the six months ended June 30, 2020 (Unaudited) At June 30, 2020, the Company has a net operating loss carryforward of $33,667. Based on management's present assessment, the Company has not yet determined it to be more likely than not that a deferred tax asset of $7,071 attributable to the future utilization of the $33,667 net operating loss carryforward will be realized. Accordingly, the Company has recorded a 100% valuation allowance against the deferred tax asset at June 30, 2020. At June 30, 2020 and December 31, 2019, deferred tax assets consist of: June 30, 2020 December 31, 2019 Net operating loss carryforward $ 7,071 $ 2,816 Less valuation allowance (7,071) (2,816) Net deferred tax assets $ - $ - All tax periods are subject to examination by taxing authorities. Current United States income tax laws limit the amount of loss available to be offset against future taxable income when a substantial change in ownership occurs. Therefore, the amount available to offset future taxable income may be limited. The Company has had no tax positions since inception. 12 |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2020 | |
Significant Accounting Policies (Policies) [Abstract] | |
Basis of Presentation | Basis of Presentation The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America and are presented in US dollars. Fair Value of Financial Instruments The Company's financial instruments consist of cash, accounts payable, and advances payable to sole officer and director. The carrying amounts of these financial instruments approximates fair value because of the short period of time between the origination of such instruments and their expected realization. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. 9 Charmt, Inc. Notes to the Financial Statements For the six months ended June 30, 2020 (Unaudited) Cash and Cash Equivalents The Company considers all highly liquid investments with original maturities of three months or less to be cash equivalents. Net Income (Loss) per Common Share Net income (loss) per common share is computed pursuant to FASB Accounting Standards Codification (“ASC”) 260, “Earnings Per Share”. Basic net income (loss) per common share is computed by dividing net income (loss) by the weighted average number of shares of common stock outstanding during the period. Diluted net income (loss) per common share is computed by dividing net income (loss) by the weighted average number of shares of common stock and potentially dilutive outstanding shares of common stock during the period to reflect the potential dilution that could occur from common shares issuable through contingent share arrangements, stock options and warrants. There were no potentially dilutive common shares outstanding for the periods presented. Revenue Recognition The Company's revenue recognition policies will follow FASB 606, “Revenue from Contracts with Customers”. The core principle of ASC 606 is that an entity recognizes 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. An entity recognizes revenue in accordance with that core principle by applying the following steps: Step 1: Identify the contract(s) with a customer. Step 2: Identify the performance obligations in the contract. Step 3: Determine the transaction price. Step 4: Allocate the transaction price to the performance obligations in the contract. Step 5: Recognize revenue when (or as) the entity satisfies a performance obligation. An entity must also disclose sufficient information to enable users of financial statements to understand the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers, including qualitative and quantitative information about contracts with customers, significant judgments and changes in judgments, and assets recognized from the costs to obtain or fulfill a contract. Income Taxes The Company follows the asset and liability method of accounting for income taxes under FASB ASC 740, “Income Taxes.” Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statements carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected to be realized. Foreign Currency The Company's functional and reporting currency is the U.S. dollar. Transactions may occur in foreign currencies and management follows ASC 830, “Foreign Currency Matters”. Monetary assets and liabilities denominated in foreign currencies are translated using the exchange rate prevailing at the balance sheet date. Non-monetary assets and liabilities denominated in foreign currencies are translated at rates of exchange in effect at the date of the transaction. Average monthly rates are used to translate revenues and expenses. Gains and losses arising on translation or settlement of foreign currency denominated transactions or balances are included in the Statement of Operations. 10 Charmt, Inc. Notes to the Financial Statements For the six months ended June 30, 2020 (Unaudited) Recent Accounting Pronouncements Certain accounting pronouncements have been issued by the FASB and other standard setting organizations which are not yet effective and therefore have not yet been adopted by the Company. The impact on the Company`s financial position and results of operations from adoption of these standards is not expected to be material. |
- Income Taxes (Tables)
- Income Taxes (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
- Income Taxes (Tables) [Abstract] | |
The provision for (benefit from) | The provision for (benefit from) income taxes differs from the amount of income tax determined by applying the United States federal income tax rate of 21% to pretax income (loss) for the three and six months ended June 30, 2020 and 2019 as follows: Three Months Ended June 30, 2020 Three Months Ended June 30, 2019 Six Months Ended June 30, 2020 Six Months Ended June 30, 2019 Expected income tax (benefit) at 21% statutory rate (2,784) (426) (4,255) (1,605) Increase in valuation allowance 2,784 426 4,255 1,605 Provision for income taxes - - - - |
At June 30, 2020 and December 31, 2019, deferred tax assets consist | At June 30, 2020 and December 31, 2019, deferred tax assets consist of: June 30, 2020 December 31, 2019 Net operating loss carryforward $ 7,071 $ 2,816 Less valuation allowance (7,071) (2,816) Net deferred tax assets $ - $ - |
- Nature of Business (Details T
- Nature of Business (Details Text) | Apr. 12, 2019shares |
Nature Of Business Details [Abstract] | |
The Company conducted a public offering of up to 5,000,000 shares of its common stock at a price of $0.025 per share or $125,000 total | 125,000 |
- Going Concern (Details Text)
- Going Concern (Details Text) | Jun. 30, 2020USD ($) |
Going Concern Details [Abstract] | |
As of June 30, 2020, the Company had cash of $6,550 and negative working capital of $(8,942) | $ 6,550 |
- Capital Stock (Details Text)
- Capital Stock (Details Text) - USD ($) | Jun. 30, 2020 | Feb. 06, 2020 | Aug. 02, 2018 |
Stockholders' Equity Note [Abstract] | |||
On August 2, 2018, the Company issued 3,000,000 shares of common stock to Gediminas Knyzelis at $0.001 per share for $3,000 | $ 3,000 | ||
From February 6, 2020 to June 30, 2020, the Company sold a total of 870,600 shares of its common stock in its public offering to 29 investors at a price of $0.025 per share for proceeds of $21,725. | $ 21,725 | ||
There were 3,870,600 shares of common stock issued and outstanding as of June 30, 2020. | 3,870,600 |
- Commitments and Contingenci_2
- Commitments and Contingencies (Details Text) - USD ($) | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Commitments And Contingencies Details_ [Abstract] | ||
The agreement and its renewal are for a monthly service cost of 55 EUR (excluding VAT), or approximately $64 per the exchange rate as of June 30, 2020 | $ 64 | |
For the six months ended June 30, 2020 and 2019, the Company incurred expenses of $601 and $462, respectively, under this service agreement. | $ 601 | $ 462 |
- Income Taxes (Details 1)
- Income Taxes (Details 1) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Income Taxes Details_ [Abstract] | ||||
Expected income tax (benefit) at 21% statutory rate | $ (2,784) | $ (426) | $ (4,255) | $ (1,605) |
Increase in valuation allowance | 2,784 | 426 | 4,255 | 1,605 |
Provision for income taxes | $ 0 | $ 0 | $ 0 | $ 0 |
- Income Taxes (Details 2)
- Income Taxes (Details 2) - USD ($) | Jun. 30, 2020 | Dec. 31, 2019 |
Income Taxes__ [Abstract] | ||
Net operating loss carryforward | $ 7,071 | $ 2,816 |
Less valuation allowance | (7,071) | (2,816) |
Net deferred tax assets | $ 0 | $ 0 |
- Income Taxes (Details Text)
- Income Taxes (Details Text) | Jun. 30, 2020USD ($) |
Income Tax Expense (Benefit), Continuing Operations [Abstract] | |
At June 30, 2020, the Company has a net operating loss carryforward of $33,667 | $ 33,667 |