[X] QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934
For the quarterly period ended July 31, 2002
[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT
For the transition period from ___________ to __________
Commission file number ______________________________
PREVENTION INSURANCE.COM
(Exact name of small business issuer as specified in its charter)
NEVADA
(State of other jurisdiction of (IRS Employer Identification No.)
incorporation or organization)
2770 So. Maryland PKWY. #403A, Las Vegas, NV 89109
(Address of principal executive offices)
(702) 732 - 2758
(Issuer's telephone number)
(Former name, former address and former fiscal year,
if changed since last report)
APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
PROCEEDINGS DURING THE PRECEDING FIVE YEARS
Check whether the registrant filed all documents and reports required to be
filed by Section 12, 13 or 15(d) of the Exchange Act after the distribution of
securities under a plan confirmed by a court. Yes [ ] No [ ]
PART II--OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS
None
ITEM 2. CHANGES IN SECURITIES
(a) Not applicable.
(b) Not applicable.
(c) Not applicable.
(d) Not applicable.
ITEM 3. DEFAULTS UPON SENIOR SECURITIES
(a) Not applicable.
(b) Not applicable.
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
Not applicable.
ITEM 5. OTHER INFORMATION
None
ITEM 6. EXHIBITS AND REPORTS on Form 8-K
(a) Not applicable.
(b) Not applicable.
MANAGEMENT DISCUSSIONS
Period May 1, 2002 - April 30, 2003
We have made good progress in completing our marketing plan. We will utilize
this plan to start acquiring agencies. We plan to finalize our first
acquisitions in this and the next quarter then we will begin to assemble the
sales force on a regional basis. We are going to capitalize the company's
marketing efforts for two years through a mezzanine round of financing. We have
started trading on the NASDAQ Bulletin Board. Our symbol is PVNC.
Management Discussion of Operations:
Prevention Insurance's primary focus will be to merger with or acquire or enroll
as many insurance agencies as possible. Our goal is to merge or enroll a minimum
14 agencies by the end of our fiscal year which is April 30, 2003.
Prevention Insurance's cash needs will be covered by the service fees, however,
we still intend to raise working capital of $5,000,000 for sufficient working
capital on hand to cover any expansion plans. Our plan is to have one year's
total operating expenses on hand and for any acquisitions that may require cash
as well as stock.
Discussion of Financial Condition & Results of Operations:
Our condition is at present under capitalized as we had elected not to finalize
mergers or membership contracts or receive fees for services from member
agencies until we were publicly traded. We have basically been able to pay off
all of our payables as agreed. Revenue to date has been provided by our
equipment sales division, Quick Pay Co., that is selling ATM machines to retail
outlets around the U.S. We have also received a small amount of seed capital
($27,000) from existing shareholders through stock sales. We will also be
seeking out venture capital or strategic partners as possible sources of
financing.
BALANCE SHEET
AS OF APRIL 30, 2002
APR 30, '02
--------------
ASSETS
CURRENT ASSETS
CHECKING/SAVINGS
BUSINESS BANK-QUICK PAY 254.25
BUSINESS BANK 289.32
--------------
TOTAL CHECKING/SAVINGS 543.57
--------------
TOTAL CURRENT ASSETS 543.57
--------------
TOTAL ASSETS 543.57
==============
LIABILITIES & EQUITY
LIABILITIES
CURRENT LIABILITIES
ACCOUNTS PAYABLE
ACCOUNTS PAYABLE 14,578.77
--------------
TOTAL ACCOUNTS PAYABLE 14,578.77
--------------
TOTAL CURRENT LIABILITIES 14,578.77
--------------
TOTAL LIABILITIES 14,578.77
EQUITY
ADDITIONAL PAID IN CAPITAL 3,417,447.78
COMMON STOCK 64,079.46
RETAINED EARNINGS (3,363,569.45)
TREASURY STOCK (52,954.10)
NET INCOME (79,038.89)
--------------
TOTAL EQUITY (14,035.20)
--------------
TOTAL LIABILITIES & EQUITY 543.57
==============
PROFIT & LOSS
MAY TROUGH JULY 2002
UNAUDITED
MAY - JUL '02
--------------
ORDINARY INCOME/EXPENSE
INCOME
COMMISSION INCOME 18,716.17
--------------
TOTAL INCOME 18,716.17
COST OF GOODS SOLD
COST OF GOODS SOLD 4,285.64
--------------
TOTAL COGS 4,285.64
--------------
GROSS PROFIT 14,430.53
EXPENSE
OFFICERS COMPENSATION 11,622.82
INTERNET EXPENSE 114.06
CREDIT CARD EXPENSES 1,283.81
CREDIT CARD CHARGES 1,312.90
PRINTING 128.16
OUTSIDE SERVICES 8,478.15
LICENSINSG AND TAXES 360.00
LEGAL FEES 683.60
ACCOUNTING AND BKPNG SVCS 500.00
FINANCIAL SERVICES 234.00
AUTOMOBILE EXPENSE 4,532.70
ADVERTISING-CO-OP 412.50
UTILITIES 143.04
TAXES AND LICENSES 170.86
RENT 1,700.00
PROFESSIONAL SERVICES 5,856.00
POSTAGE 365.67
OFFICE EXPENSE 585.71
BANK CHARGES 987.31
INSURANCE-GENERAL 894.95
DUES AND SUBSCRIPTIONS 14.43
TELEPHONE 1,554.10
--------------
TOTAL EXPENSE 41,934.77
--------------
NET ORDINARY INCOME (27,504.24)
OTHER INCOME/EXPENSE
OTHER INCOME
MISC INCOME-CLOSE A/P ACCT 14,578.77
--------------
TOTAL OTHER INCOME 14,578.77
--------------
NET OTHER INCOME 14,578.77
--------------
NET INCOME (12,925.47)
==============
PROFIT & LOSS
MAY THROUGH JULY 2001
UNAUDITED
MAY - JUL
'01
------------
ORDINARY INCOME/EXPENSE
EXPENSE
CREDIT CARD EXPENSES 2,167.62
OUTSIDE SERVICES 40.00
LICENSINSG AND TAXES 100.00
LEGAL FEES 375.00
PROFESSIONAL SERVICES 279.00
BANK CHARGES 26.82
COMMISSIONS-SALES 274.08
------------
TOTAL EXPENSE 3,262.52
------------
NET ORDINARY INCOME (3,262.52)
------------
NET INCOME (3,262.52)
============
BALANCE SHEET
AS OF JULY 31, 2002
UNAUDITED
JUL 31, '02
--------------
ASSETS
CURRENT ASSETS
CHECKING/SAVINGS
BUSINESS BANK-QUICK PAY 643.82
BUSINESS BANK (104.49)
--------------
TOTAL CHECKING/SAVINGS 539.33
--------------
TOTAL CURRENT ASSETS 539.33
--------------
TOTAL ASSETS 539.33
==============
LIABILITIES & EQUITY
EQUITY
ADDITIONAL PAID IN CAPITAL 3,417,447.78
COMMON STOCK 91,579.46
RETAINED EARNINGS (3,442,608.34)
TREASURY STOCK (52,954.10)
NET INCOME (12,925.47)
--------------
TOTAL EQUITY 539.33
--------------
TOTAL LIABILITIES & EQUITY 539.33
==============
BALANCE SHEET
AS OF JULY 31, 2001
UNAUDITED
JUL 31, '01
--------------
ASSETS
CURRENT ASSETS
CHECKING/SAVINGS
BUSINESS BANK (433.46)
--------------
TOTAL CHECKING/SAVINGS (433.46)
ACCOUNTS RECEIVABLE
ACCOUNTS RECEIVABLE 5,427.46
--------------
TOTAL ACCOUNTS RECEIVABLE 5,427.46
OTHER CURRENT ASSETS
INTERCO EXPENSES-QUICK PAY 1,750.00
--------------
TOTAL OTHER CURRENT ASSETS 1,750.00
--------------
TOTAL CURRENT ASSETS 6,744.00
OTHER ASSETS
1900 OFFICER SALARY ADVANCE 2,368.17
--------------
TOTAL OTHER ASSETS 2,368.17
--------------
TOTAL ASSETS 9,112.17
==============
LIABILITIES & EQUITY
LIABILITIES
CURRENT LIABILITIES
ACCOUNTS PAYABLE
ACCOUNTS PAYABLE 10,458.00
--------------
TOTAL ACCOUNTS PAYABLE 10,458.00
--------------
TOTAL CURRENT LIABILITIES 10,458.00
--------------
TOTAL LIABILITIES 10,458.00
EQUITY
ADDITIONAL PAID IN CAPITAL 3,350,015.78
COMMON STOCK 64,511.46
RETAINED EARNINGS (3,359,656.45)
TREASURY STOCK (52,954.10)
NET INCOME (3,262.52)
--------------
TOTAL EQUITY (1,345.83)
--------------
TOTAL LIABILITIES & EQUITY 9,112.17
==============
PREVENTION INSURANCE.COM
STATEMENT OF CASH FLOWS
Quarter Ending July 31, 2002
Cash Flow from Operating Activity
Gain from Operations (12,925.00)
Adjustment to Reconcile Net Gain to Cash
decrease in current liabilities (14,579.00)
Increase in Equity 27,500.00
Net Adjustment to reconcile cash
Net Change to Cash 12,921.00
Net Change to Cash (4.00)
Cash: Beginning of Year @ May 1, 2002 544.00
Add: Net change to Cash (4.00)
Cash: End of Quarter @ July 31, 2002 540.00
PREVENTION INSURANCE.COM
STATEMENT OF CHANGES IN STOCKHOLDERS EQUITY
Quarter Ending July 31, 2002
TOTAL
COMMON STOCK TREASURY ADD'TL PAID IN RETAINED STOCKHOLDERS
# OF SHARES PAR VALUE STOCK CAPITAL EARNINGS EQUITY
---------------------------------------------------------------------------
BALANCE, April 30, 2002 $6,407,951 $64,079 $(52,954) $3,417,448 $(3,442,608) $(14,035)
SHARES ISSUED $2,750,000 $27,500 $ 0
NET GAIN,QTR ENDED 7/31/2002 $ (12,925) $(12,925)
---------------------------------------------------------------------------
BALANCE, July 31, 2002 $9,157,951 $91,579 $(52,954) $3,417,448 $(3,455,533) $ 540
SIGNATURE PAGE
In accordance with the requirements of the Exchange Act, the registrant caused
this report to be signed on its behalf by the undersigned, thereunto duly
authorized.
Prevention Insurance.com Date: September 9, 2002
/s/ Scott Goldsmith
- ---------------------------------------
Name: Scott Goldsmith
Title: President