Document and Entity Information
Document and Entity Information - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Jun. 30, 2018 | |
Document and Entity Information: | ||
Entity Registrant Name | Crucial Innovations, Corp. | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2019 | |
Trading Symbol | none | |
Amendment Flag | false | |
Entity Central Index Key | 0001766016 | |
Current Fiscal Year End Date | --12-31 | |
Entity Common Stock, Shares Outstanding | 1,600,000 | |
Entity Public Float | $ 0 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Current Reporting Status | Yes | |
Entity Voluntary Filers | Yes | |
Entity Well-known Seasoned Issuer | No | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q1 |
Balance Sheets
Balance Sheets - USD ($) | Mar. 31, 2019 | Dec. 31, 2018 |
Assets, Current | ||
Cash and Cash Equivalents, at Carrying Value | $ 500 | $ 500 |
Other Assets, Current, website development | 0 | 0 |
Assets, Current | 500 | 500 |
Assets, Noncurrent | ||
Website development, Noncurrent | 14,000 | 14,000 |
Assets | 14,500 | 14,500 |
Liabilities, Current | ||
Accounts Payable, Current | 14,000 | 14,000 |
Accrued Liabilities, Current | 1,500 | 5,000 |
Liabilities, Noncurrent | ||
Related Party loan, Noncurrent | 12,500 | 8,750 |
Liabilities | 36,133 | 28,523 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | ||
Common Stock, Value, Issued | 160 | 160 |
Additional Paid in Capital, Common Stock | 490 | 490 |
Retained Earnings (Accumulated Deficit) | (22,283) | (14,673) |
Stock subscription Receivable | 0 | 0 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | $ (21,633) | $ (14,023) |
Stockholders' Equity, Number of Shares, Par Value and Other Disclosures | ||
Common Stock, Shares Authorized | 75,000,000 | 75,000,000 |
Common Stock, Shares Issued | 1,600,000 | 1,600,000 |
Common Stock, Shares Outstanding | 1,600,000 | 1,600,000 |
Liabilities and Equity | $ 14,500 | $ 14,500 |
Balance Sheet - Parenthetical
Balance Sheet - Parenthetical - $ / shares | Mar. 31, 2019 | Dec. 31, 2018 |
Balance Sheets | ||
Common Stock, Par Value | $ 0.001 | $ 0.001 |
Common Stock, Shares Authorized | 75,000,000 | 75,000,000 |
Common Stock, Shares Issued | 1,600,000 | 1,600,000 |
Statement of Operations
Statement of Operations - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Operating Expenses | ||
General and Administrative Expense | $ 7,610 | $ 923 |
Business Licenses and Permits, Operating | 0 | 0 |
Total Operating Expenses | 7,610 | 923 |
Net loss from operations | (7,610) | (923) |
Interest and Debt Expense | ||
Provision for Income Taxes (Benefit) | 0 | 0 |
Net Income (Loss) | $ (7,610) | $ (923) |
Earnings Per Share | ||
Weighted Average Number of Shares Outstanding, Diluted | 1,600,000 | 1,600,000 |
Earnings Per Share, Basic and Diluted | $ 0 | $ 0 |
Statements of Cash Flows
Statements of Cash Flows - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Net Cash Provided by (Used in) Operating Activities | ||
Net loss for the period | $ (7,610) | $ (923) |
Increase (Decrease) in Operating Liabilities | ||
Increase (Decrease) in Accrued Liabilities | (3,500) | |
Increase (Decrease) in Accounts Payable and Accrued Liabilities | 3,750 | |
Net Cash Provided by (Used in) Operating Activities | (7,360) | (923) |
Net Cash Provided by (Used in) Investing Activities | ||
Prepaid expenses | 0 | 0 |
Net Cash Provided by (Used in) Investing Activities | 0 | 0 |
Net Cash Provided by (Used in) Financing Activities | ||
Repayment of Notes Receivable from Related Parties | 0 | |
Proceeds from director loans | 7,360 | 773 |
Net Cash Provided by (Used in) Financing Activities | 7,360 | $ 773 |
Cash and Cash Equivalents, at Carrying Value | 500 | |
Cash and Cash Equivalents, at Carrying Value | $ 500 |
Note 1 - Organization and Basis
Note 1 - Organization and Basis of Presentation | 3 Months Ended |
Mar. 31, 2019 | |
Notes | |
Note 1 - Organization and Basis of Presentation | NOTE 1 ORGANIZATION AND BASIS OF PRESENTATION Crucial Innovations, Corp. (referred as the Company, we, our) was incorporated in the State of Nevada and established on February 28, 2018. We are a development-stage company formed to commence operations related to the teaching of English. Our office is located at Xibahe Beili 25 , Beijing, China 100096 |
Note 2 - Going Concern
Note 2 - Going Concern | 3 Months Ended |
Mar. 31, 2019 | |
Notes | |
Note 2 - Going Concern | NOTE 2 GOING CONCERN The Companys financial statements have been prepared assuming that it 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 financial statements, the Company had an accumulated deficit of $22,283 at March 31, 2019, a net loss of $7,610 for the period ended March 31, 2019. The Company has a cash balance of $500 at March 31, 2019. These factors raise substantial doubt about the Companys ability to continue as a going concern. The Company is attempting to commence operations and generate sufficient revenue; however, the Companys cash position may not be sufficient to support the Companys daily operations. Management intends to raise additional funds by way of a private or public offering. While the Company believes in the viability of its strategy to commence operations and generate sufficient revenue 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 Companys ability to further implement its business plan and generate sufficient revenue and its ability to raise additional funds by way of a public or private offering. The financial statements do not include any adjustments related to the recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern. |
Note 3 - Summary of Signifcant
Note 3 - Summary of Signifcant Accounting Policies | 3 Months Ended |
Mar. 31, 2019 | |
Notes | |
Note 3 - Summary of Signifcant Accounting Policies | NOTE 3 SUMMARY OF SIGNIFCANT 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. The Companys year-end is December 31 . Development Stage Company The Company is a development stage company as defined in ASC 915 Development Stage Entities.. The Company is devoting substantially all of its efforts on establishing the business and its planned principal operations have not commenced. All losses accumulated since inception have been considered as part of the Company's development stage activities. The Company has elected to adopt application of Accounting Standards Update No. 2014-10, Development Stage Entities (Topic 915): Elimination of Certain Financial Reporting Requirements. Upon adoption, the Company no longer presents or discloses inception-to-date information and other remaining disclosure requirements of Topic 915. 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 the financial statements and the reported amount of revenues and expenses during the reporting period. Actual results could differ from those estimates. Cash and Cash Equivalents The Company considers all highly liquid investments with the original maturities of three months or less to be cash equivalents. The Company entered a Trust Agreement with the director and set up Related Party Trust Account for holding funds in relation to issuing shares for stock consideration of $500. The Company has $500 cash as of March 31 , 2019. Property, Plant and Equipment The Company records depreciation and amortization when appropriate using straight-line balance method over the estimated useful life of the assets. The estimated useful lives as follows: Capitalized software development 3 years Expenditures for maintenance and repairs are charged to expense as incurred. Additions, major renewals and replacements that increase the property's useful life are capitalized. Property sold or retired, together with the related accumulated depreciation is removed from the appropriated accounts and the resultant gain or loss is included in net income. We evaluate the recoverability of our long-lived assets whenever changes in circumstances or events may indicate that the carrying amounts may not be recoverable. An impairment loss is recognized in the event the carrying value of the assets exceeds the future undiscounted cash flows attributable to such assets. Fair Value of Financial Instruments 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 used in measuring fair value are observable in the market. These tiers include: Level 1: defined as observable inputs such as quoted prices in active 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 exists, therefore requiring an entity to develop its own assumptions. The carrying value of cash and the Companys loan from shareholder approximates its fair value due to their short-term maturity. 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 differences 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 amount of deferred tax assets that, based on available evidence, are not expected to be realized. 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 potential common shares if their effect is anti-dilutive. As of December 31 , 2018, there were no potentially dilutive debt or equity instruments issued or outstanding. Stock-Based Compensation Stock-based compensation is accounted for at fair value in accordance with ASC Topic 718. To date, the Company has not adopted a stock option plan and has not granted any stock options. Recent Accounting Pronouncements Management does not believe that any recently issued, but not yet effective accounting pronouncements, when adopted, will have a material effect on the accompanying financial statements. |
Note 4 - Property, Plant and Eq
Note 4 - Property, Plant and Equipment | 3 Months Ended |
Mar. 31, 2019 | |
Notes | |
Note 4 - Property, Plant and Equipment | Note 4 PROPERTY, PLANT AND EQUIPMENT Property, Plant and Equipment December 31, 2018 Website Development $14,000 Amortization - Equipment and furniture, net $14,000 Amortization expense for the quarter ended March 31, 2019 was immaterial. Initial phases of design and development of the website have been completed and placed in service. |
Note 5 - Loan From Director
Note 5 - Loan From Director | 3 Months Ended |
Mar. 31, 2019 | |
Notes | |
Note 5 - Loan From Director | Note 5 LOAN FROM DIRECTOR As of March 31 , 2019, the Company owed $8,133 to the Companys sole director, Reinis Kosins for the Companys working capital purposes. The amount is outstanding and payable upon request. |
Note 6- Trust Account
Note 6- Trust Account | 3 Months Ended |
Mar. 31, 2019 | |
Notes | |
Note 6- Trust Account | Note 6- TRUST ACCOUNT The Company is utilizing a trust account in RMB currency; it fluctuates immaterial amounts each day and is converted to USD for reporting currency on financial statements. The foreign currency exchange difference is immaterial to these financial statements |
Note 7 - Common Stock
Note 7 - Common Stock | 3 Months Ended |
Mar. 31, 2019 | |
Notes | |
Note 7 - Common Stock | Note 7 COMMON STOCK The Company has 75,000,000, $0.0001 par value shares of common stock authorized. On March 2, 2018 the Company issued 1,500,000 shares of common stock to a director for services rendered estimated to be $150 at $0.0001 per share. On September 20, 2018 the Company issued 100,000 shares of common stock to a shareholder for $500 at $0.005 per share. There were 1,600,000 shares of common stock issued and outstanding as of March 31 , 2019. |
Note 8 - Commitments and Contin
Note 8 - Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2019 | |
Notes | |
Note 8 - Commitments and Contingencies | Note 8 COMMITMENTS AND CONTINGENCIES Our sole officer and director, Reinis Kosins, has agreed to provide his own premise under office needs. He will not take any fee for these premises, it is for free use. |
Note 9 - Income Taxes
Note 9 - Income Taxes | 3 Months Ended |
Mar. 31, 2019 | |
Notes | |
Note 9 - Income Taxes | Note 9 INCOME TAXES On December 22, 2017, the President of the United States signed into law the Tax Cuts and Jobs Act (Tax Reform Act). The legislation significantly changes U.S. tax law by, among other things, lowering corporate income tax rates, implementing a territorial tax system and imposing a transition tax on deemed repatriated earnings of foreign subsidiaries. The Tax Reform Act permanently reduces the U.S. corporate income tax rate from a maximum of 35% to a flat 21% rate, effective January 1, 2018. As a result of the reduction in the U.S. corporate income tax rate from 34% to 21% under the Tax Reform Act, the Company revalued its ending net deferred tax assets. The reconciliation of income tax benefit (expenses) at the U.S. statutory rate at 21% for the period ended as follows: March 31, 2019 Tax benefit (expenses) at U.S. statutory rate $ (4,679) Change in valuation allowance 4,679 Tax benefit (expenses), net $ - The tax effects of temporary differences that give rise to significant portions of the net deferred tax assets are as follows: March 31, 2019 Net operating loss $ 1,598 Valuation allowance (1,598) Deferred tax assets, net $ - The tax effects of temporary differences that give rise to significant portions of the net deferred tax assets are as follows: March 31, 2019 Balance-Beginning $ - Increase/(Decrease) in Valuation allowance 3,081 Balance-Ending $ 3,081 The Company has accumulated approximately $22,283 of net operating losses (NOL) carried forward to offset future taxable income up to 20 years, if any, in future years which begin to expire in year 2038. In assessing the realization of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment. Based on the assessment, management has established a full valuation allowance against all of the deferred tax asset relating to NOLs for every period because it is more likely than not that all of the deferred tax asset will not be realized. |
Note 10 - Subsequent Events
Note 10 - Subsequent Events | 3 Months Ended |
Mar. 31, 2019 | |
Notes | |
Note 10 - Subsequent Events | Note 10 SUBSEQUENT EVENTS In accordance with ASC 855-10 the Company has analyzed its operations subsequent to March 31 , 2019 to 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. |