Shorepower (SPEV) 10-Q 10 Oct 18 2019 Q2 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	6 Months Ended
	Aug. 31, 2018	Oct. 05, 2018
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Aug. 31, 2018
Document Fiscal Year Focus	2,019
Document Fiscal Period Focus	Q2
Entity Registrant Name	UNITED STATES BASKETBALL LEAGUE INC
Entity Central Index Key	764,630
Current Fiscal Year End Date	--02-28
Entity Filer Category	Non-accelerated Filer
Trading Symbol	USBL
Entity Common Stock, Shares Outstanding		3,512,527
Entity Emerging Growth Company	false
Entity Small Business	true

BALANCE SHEETS

BALANCE SHEETS - USD ($)	Aug. 31, 2018	Feb. 28, 2018
CURRENT ASSETS:
Cash	$ 282	$ 330
Total current assets	282	330
Total assets	282	330
CURRENT LIABILITIES:
Accounts payable and accrued expenses	212,202	207,646
Credit card obligations	5,627	5,347
Due to related parties	2,125,879	2,094,129
Total current liabilities	2,343,708	2,307,122
Total liabilities	2,343,708	2,307,122
STOCKHOLDERS' DEFICIENCY
Common stock, $0.01 par value; 30,000,000 shares authorized; issued and outstanding 3,552,502 and 3,552,502 shares, respectively	35,525	35,525
Preferred stock, $0.01 par value; 2,000,000 shares authorized; 1,105,679 shares issued and outstanding	11,057	11,057
Additional paid-in-capital	2,679,855	2,679,855
Deficit	(5,027,409)	(4,990,775)
Treasury stock, at cost; 39,975 shares	(42,454)	(42,454)
Total stockholders' deficiency	(2,343,426)	(2,306,792)
Total liabilities and stockholders' deficiency	$ 282	$ 330

BALANCE SHEETS (Parenthetical)

BALANCE SHEETS (Parenthetical) - $ / shares	Aug. 31, 2018	Feb. 28, 2018
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	30,000,000	30,000,000
Common stock, shares issued	3,552,502	3,552,502
Common stock, shares outstanding	3,552,502	3,552,502
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	2,000,000	2,000,000
Preferred stock, shares issued	1,105,679	1,105,679
Preferred stock, shares outstanding	1,105,679	1,105,679
Treasury stock, shares	39,975	39,975

STATEMENTS OF OPERATIONS

STATEMENTS OF OPERATIONS - USD ($)	3 Months Ended		6 Months Ended
	Aug. 31, 2018	Aug. 31, 2017	Aug. 31, 2018	Aug. 31, 2017
REVENUES:	$ 0	$ 0	$ 0	$ 0
OPERATING EXPENSES:
Professional fees	10,400	2,500	17,625	3,550
Transfer agent and EDGAR agent fees	4,445	3,962	12,326	5,718
Rent	3,000	3,000	6,000	6,000
Travel and promotion	0	(12)	33	0
Other	139	96	475	521
Total operating expenses	17,984	9,546	36,459	15,789
Loss from operations	(17,984)	(9,546)	(36,459)	(15,789)
OTHER INCOME (EXPENSES):
Interest expense	0	(166)	(175)	(463)
Total other income (expenses), net	0	(166)	(175)	(463)
Loss before income taxes	(17,984)	(9,712)	(36,634)	(16,252)
Income taxes	0	0	0	0
NET LOSS	$ (17,984)	$ (9,712)	$ (36,634)	$ (16,252)
Earnings (loss) per common share:
Basic	$ (0.01)	$ 0	$ (0.01)	$ 0
Diluted	$ (0.01)	$ 0	$ (0.01)	$ 0
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING
Basic	3,512,527	3,512,527	3,512,527	3,512,527
Diluted	3,512,527	3,512,527	3,512,527	3,512,527

Statement of Stockholders' Equi

Statement of Stockholders' Equity Deficiency - 6 months ended Aug. 31, 2018 - USD ($)	Total	Common Stock	Preferred Stock	Additional Paid-in Capital	Deficit	Treasury Stock
Balance at Feb. 28, 2018	$ (2,306,792)	$ 35,525	$ 11,057	$ 2,679,855	$ (4,990,775)	$ (42,454)
Balance (in shares) at Feb. 28, 2018		3,552,502	1,105,679			39,975
Net (loss) (Unaudited)	(36,634)	$ 0	$ 0	0	(36,634)	$ 0
Balance at Aug. 31, 2018	$ (2,343,426)	$ 35,525	$ 11,057	$ 2,679,855	$ (5,027,409)	$ (42,454)
Balance (in shares) at Aug. 31, 2018		3,552,502	1,105,679			39,975

STATEMENTS OF CASH FLOWS

STATEMENTS OF CASH FLOWS - USD ($)	6 Months Ended
	Aug. 31, 2018	Aug. 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (36,634)	$ (16,252)
Changes in operating assets and liabilities:
Accounts payable and accrued expenses	4,556	10,523
Credit card obligations	280	(1,437)
Net cash used in operating activities	(31,798)	(7,166)
CASH FLOWS FROM FINANCING ACTIVITIES:
Increase (decrease) in due to related parties	31,750	7,835
Net cash provided by financing activities	31,750	7,835
NET INCREASE (DECREASE) IN CASH	(48)	669
CASH, beginning of period	330	280
CASH, end of period	282	949
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Interest paid	173	463
Income tax paid	$ 0	$ 0

Description of Business and Bas

Description of Business and Basis of Presentation	6 Months Ended
	Aug. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Business Description and Basis Of Presentation [Text Block]	1 Description of Business and Basis of Presentation United States Basketball League, Inc. (“USBL”) was incorporated in Delaware on May 29, 1984 as a wholly owned subsidiary of Meiseheimer Capital, Inc. (“MCI”) for the purpose of developing and managing a professional basketball league, the United States Basketball League (the “League”). Since the inception of the League, USBL has been primarily engaged in selling franchises and managing the League. From 1985 and up to the present time, USBL has sold a total of approximately forty active franchises (teams), a vast majority of which were terminated for non-payment of their respective franchise obligations. Seasons from 2008 through 2018, inclusive, have been cancelled. At the present time, USBL does not have any definitive plans as to the scheduling of a new season. USBL is currently in the process of exploring certain strategic alternatives, including the possible sale of the League. On October 30, 2014, USBL dissolved its wholly-owned subsidiary, Meisenheimer Capital Real Estate Holdings, Inc. (“MCREH”). MCREH owned a commercial building in Milford, Connecticut until June 19, 2014. At August 31, 2018, USBL had negative working capital of $2,343,426, and accumulated losses of $5,027,409. These factors, as well as the Company’s reliance on related parties (see Notes 3, 4, and 6), raise substantial doubt as to the Company’s ability to continue as a going concern. The Company is making efforts to raise equity capital, revitalize the league and market new franchises. However, there can be no assurance that the Company will be successful in accomplishing its objectives. The financial statements do not include any adjustments that might be necessary should the Company be unable to continue as a going concern. The accompanying unaudited financial statements have been prepared by the Company pursuant to the rules and regulations of the Securities and Exchange Commission. Accordingly, they may not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements. In the opinion of management, the unaudited financial statements reflect all adjustments, which include only normal recurring adjustments, necessary for a fair presentation. Operating results for the six-month period ended August 31, 2018 may not necessarily be indicative of the results that may be expected for the year ending February 28, 2019. The notes to the financial statements should be read in conjunction with the notes to the financial statements contained in the Company’s Form 10-K for the year ended February 28, 2018.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Aug. 31, 2018
Accounting Policies [Abstract]
Significant Accounting Policies [Text Block]	2 Summary of Significant Accounting Policies Fair value disclosures – Cash and cash equivalents - Revenue recognition - Income taxes As of February 28, 2018, USBL had a net operating loss carryforward of approximately $3,000,000 available to offset future taxable income. The carryforward expires in varying amounts from 2019 to 2038. Current United States income tax laws limit the amount of loss available to offset against future taxable income when a substantial change in ownership occurs. Therefore, the amount available to offset future taxable income may be limited. USBL files Federal and Connecticut income tax returns using a December 31 fiscal year. The last returns filed were for the year ended December 31, 2015. Estimates Stock-based compensation Earnings (loss) per share Comprehensive income

Accounts Payable and Accrued Ex

Accounts Payable and Accrued Expenses	6 Months Ended
	Aug. 31, 2018
Payables and Accruals [Abstract]
Accounts Payable and Accrued Liabilities Disclosure [Text Block]	3. Accounts Payable and Accrued Expenses Accounts payable and accrued expenses consisted of: August 31, ‎ 2018 February 28, ‎ 2018 (Unaudited) Legal and accounting services’ vendors $ 54,695 $ 55,070 Transfer agent and EDGAR agent 14,441 14,217 Rent due Genvest, LLC (an entity controlled by the two officers of USBL) 126,000 120,000 Accrued interest on MCREH note payable to president of USBL 13,562 13,562 Security deposit due CADCOM (an entity controlled by the two officers of USBL) 2,725 2,725 Other 779 2,072 Total $ 212,202 $ 207,646

Due to Related Parties

Due to Related Parties	6 Months Ended
	Aug. 31, 2018
Due to Related Parties [Abstract]
Due to Related Parties [Text Block]	4. Due to Related Parties Due to related parties consists of: August 31, ‎ 2018 February 28, ‎ 2018 (Unaudited) USBL loans payable to Spectrum Associates, Inc. (“Spectrum”), a corporation controlled by the two officers of USBL, interest at 6%, due on demand $ 1,308,289 $ 1,297,789 USBL loans payable to the two officers of USBL, interest at 6%, due on demand 555,517 534,017 USBL loans payable to Daniel T. Meisenheimer, Jr. Trust, a trust controlled by the two officers of USBL, non-interest bearing, due on demand 48,850 48,850 MCREH note payable to president of USBL, interest at 7%, due on demand 45,000 45,000 MCREH loan payable to Spectrum, non-interest bearing, due on demand 4,500 4,500 MCREH loan payable to president of USBL, non-interest bearing, due on demand 4,000 4,000 MCREH loan payable to Meisenheimer Capital, Inc. (“MCI”), non-interest bearing, due on demand 159,723 159,973 Total 2,125,879 2,094,129 For the six months ended August 31, 2018 and 2017, interest due under the related party loans was waived by the respective lenders.

Stockholders' Equity

Stockholders' Equity	6 Months Ended
	Aug. 31, 2018
Stockholders' Equity Note [Abstract]
Stockholders' Equity [Text Block]	5. Stockholders’ Equity Each share of common stock has one vote. Each share of preferred stock has five votes, is entitled to a 2% non-cumulative annual dividend, and is convertible at any time into one share of common stock.

Related Party Transactions

Related Party Transactions	6 Months Ended
	Aug. 31, 2018
Related Party Transactions [Abstract]
Related Party Transactions [Text Block]	6. Related Party Transactions For the three months ended August 31, 2018 and 2017 and the six months ended August 31, 2018 and 2017, USBL included in operating expenses, rent incurred to Genvest, LLC (an entity controlled by the two officers of USBL) totaling $3,000, $3,000, $6,000, and $6,000, respectively.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Aug. 31, 2018
Commitments and Contingencies Disclosure [Abstract]
Commitment and Contingencies [Text Block]	7. Commitments and Contingencies Occupancy Agreement In September 2007, the Company moved its office to a building owned by Genvest LLC, an entity controlled by the two officers of USBL. Improvements to the Company’s space there were completed in February 2008. Pursuant to a verbal agreement, the Company is to pay Genvest monthly rentals of $1,000 commencing March 2008. At August 31, 2018 and February 28, 2018, accounts payable and accrued expenses included accrued rent payable to Genvest totaling $126,000 and $120,000, respectively.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Aug. 31, 2018
Accounting Policies [Abstract]
Fair Value Measurement, Policy [Policy Text Block]	Fair value disclosures –
Cash and Cash Equivalents, Policy [Policy Text Block]	Cash and cash equivalents -
Revenue Recognition, Policy [Policy Text Block]	Revenue recognition -
Income Tax, Policy [Policy Text Block]	Income taxes As of February 28, 2018, USBL had a net operating loss carryforward of approximately $3,000,000 available to offset future taxable income. The carryforward expires in varying amounts from 2019 to 2038. Current United States income tax laws limit the amount of loss available to offset against future taxable income when a substantial change in ownership occurs. Therefore, the amount available to offset future taxable income may be limited. USBL files Federal and Connecticut income tax returns using a December 31 fiscal year. The last returns filed were for the year ended December 31, 2015.
Use of Estimates, Policy [Policy Text Block]	Estimates
Share-based Compensation, Option and Incentive Plans, Director Policy [Policy Text Block]	Stock-based compensation
Earnings Per Share, Policy [Policy Text Block]	Earnings (loss) per share
Comprehensive Income Policy [Policy Text Block]	Comprehensive income

Accounts Payable and Accrued _2

Accounts Payable and Accrued Expenses (Tables)	6 Months Ended
	Aug. 31, 2018
Payables and Accruals [Abstract]
Schedule of Accounts Payable and Accrued Liabilities [Table Text Block]	Accounts payable and accrued expenses consisted of: August 31, ‎ 2018 February 28, ‎ 2018 (Unaudited) Legal and accounting services’ vendors $ 54,695 $ 55,070 Transfer agent and EDGAR agent 14,441 14,217 Rent due Genvest, LLC (an entity controlled by the two officers of USBL) 126,000 120,000 Accrued interest on MCREH note payable to president of USBL 13,562 13,562 Security deposit due CADCOM (an entity controlled by the two officers of USBL) 2,725 2,725 Other 779 2,072 Total $ 212,202 $ 207,646

Due to Related Parties (Tables)

Due to Related Parties (Tables)	6 Months Ended
	Aug. 31, 2018
Due to Related Parties [Abstract]
Due To Related Parties [Table Text Block]	Due to related parties consists of: August 31, ‎ 2018 February 28, ‎ 2018 (Unaudited) USBL loans payable to Spectrum Associates, Inc. (“Spectrum”), a corporation controlled by the two officers of USBL, interest at 6%, due on demand $ 1,308,289 $ 1,297,789 USBL loans payable to the two officers of USBL, interest at 6%, due on demand 555,517 534,017 USBL loans payable to Daniel T. Meisenheimer, Jr. Trust, a trust controlled by the two officers of USBL, non-interest bearing, due on demand 48,850 48,850 MCREH note payable to president of USBL, interest at 7%, due on demand 45,000 45,000 MCREH loan payable to Spectrum, non-interest bearing, due on demand 4,500 4,500 MCREH loan payable to president of USBL, non-interest bearing, due on demand 4,000 4,000 MCREH loan payable to Meisenheimer Capital, Inc. (“MCI”), non-interest bearing, due on demand 159,723 159,973 Total 2,125,879 2,094,129

Description of Business and B_2

Description of Business and Basis of Presentation (Details Textual) - USD ($)	6 Months Ended
	Aug. 31, 2018	Feb. 28, 2018
Description Of Business And Basis Of Presentation [Line Items]
Entity Incorporation, Date Of Incorporation	May 29, 1984
Working Capital Deficit	$ 2,343,426
Accumulated losses	$ 5,027,409	$ 4,990,775

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details Textual) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Aug. 31, 2018	Aug. 31, 2017	Aug. 31, 2018	Aug. 31, 2017	Feb. 28, 2018
Summary Of Significant Accounting Policies [Line Items]
Deferred Tax Assets, Valuation Allowance					$ 630,000
Operating Loss Carryforwards					$ 3,000,000
Operating Losses Carryforward Expiration Date					2019 to 2038
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	1,105,679	1,105,679	1,105,679	1,105,679

Accounts Payable and Accrued _3

Accounts Payable and Accrued Expenses (Details) - USD ($)	Aug. 31, 2018	Feb. 28, 2018
Accounts Payable and Accrued Expenses [Line Items]
Legal and accounting services' vendors	$ 54,695	$ 55,070
Transfer agent and EDGAR agent	14,441	14,217
Rent due Genvest, LLC (an entity controlled by the two officers of USBL)	126,000	120,000
Accrued interest on MCREH note payable to president of USBL	13,562	13,562
Security deposit due CADCOM (an entity controlled by the two officers of USBL)	2,725	2,725
Other	779	2,072
Total	$ 212,202	$ 207,646

Due to Related Parties (Details

Due to Related Parties (Details) - USD ($)	Aug. 31, 2018	Feb. 28, 2018
Related Party Transaction [Line Items]
Total	$ 2,125,879	$ 2,094,129
USBL loans payable to Spectrum Associates, Inc. ("Spectrum"), a corporation controlled by the two officers of USBL, interest at 6%, due on demand
Related Party Transaction [Line Items]
Total	1,308,289	1,297,789
USBL loans payable to the two officers of USBL, interest at 6%, due on demand
Related Party Transaction [Line Items]
Total	555,517	534,017
USBL loans payable to Daniel T. Meisenheimer, Jr. Trust, a trust controlled by the two officers of USBL, non-interest bearing, due on demand
Related Party Transaction [Line Items]
Total	48,850	48,850
MCREH note payable to president of USBL, interest at 7%, due on demand
Related Party Transaction [Line Items]
Total	45,000	45,000
MCREH loan payable to Spectrum, non-interest bearing, due on demand
Related Party Transaction [Line Items]
Total	4,500	4,500
MCREH loan payable to president of USBL, non-interest bearing, due on demand
Related Party Transaction [Line Items]
Total	4,000	4,000
MCREH loan payable to Meisenheimer Capital, Inc. ("MCI"), non-interest bearing, due on demand
Related Party Transaction [Line Items]
Total	$ 159,723	$ 159,973

Due to Related Parties (Parenth

Due to Related Parties (Parenthetical) (Details)	Aug. 31, 2018	Feb. 28, 2018
USBL loans payable to Spectrum Associates, Inc. ("Spectrum"), a corporation controlled by the two officers of USBL, interest at 6%, due on demand
Related Party Transaction [Line Items]
Debt Instrument, Interest Rate, Stated Percentage	6.00%	6.00%
USBL loans payable to the two officers of USBL, interest at 6%, due on demand
Related Party Transaction [Line Items]
Debt Instrument, Interest Rate, Stated Percentage	6.00%	6.00%
MCREH note payable to president of USBL, interest at 7%, due on demand
Related Party Transaction [Line Items]
Debt Instrument, Interest Rate, Stated Percentage	7.00%	7.00%

Stockholders' Equity (Details T

Stockholders' Equity (Details Textual)	6 Months Ended
	Aug. 31, 2018
Class of Stock [Line Items]
Preferred Stock, Dividend Rate, Percentage	2.00%

Related Party Transactions (Det

Related Party Transactions (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
	Aug. 31, 2018	Aug. 31, 2017	Aug. 31, 2018	Aug. 31, 2017
Genvest Llc [Member]
Related Party Transaction [Line Items]
Other Cost and Expense, Operating	$ 3,000	$ 3,000	$ 6,000	$ 6,000

Commitments and Contingencies (

Commitments and Contingencies (Details Textual) - USD ($)	1 Months Ended
	Mar. 31, 2008	Aug. 31, 2018	Feb. 28, 2018
Genvest Llc [Member]
Loss Contingencies [Line Items]
Accrued Rent		$ 126,000	$ 120,000
Occupancy Agreement [Member]
Loss Contingencies [Line Items]
Proceeds from Rents Received	$ 1,000