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SEC POTENTIAL PERSONS WHO ARE TO RESPOND TO THE COLLECTION OF INFORMATION 2334
(6 CONTAINED IN THIS FORM ARE NOT REQUIRED TO RESPOND UNLESS THE FORM 00)
DISPLAYS A CURRENTLY VALID OMB CONTROL NUMBER.
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION WASHINGTON D.C. 20549
FORM 10-QSB
(Mark One)
[X] QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended 7/31/04
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[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT
For the transition period from May 1, 2004 to July 31, 2004
Commission file number _______________________
PREVENTION INSURANCE.COM
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(EXACT NAME OF SMALL BUSINESS ISSUER AS SPECIFIED IN ITS CHARTER)
NEVADA 88-0126444
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(STATE OR OTHER JURISDICTION OF (IRS EMPLOYER IDENTIFICATION NO.)
INCORPORATION OR ORGANIZATION)
2770 So. Maryland Pkwy. #416, Las Vegas, NV 89109
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(ADDRESS OF PRINCIPAL EXECUTIVE OFFICES)
(702) 732-2758
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(ISSUER'S TELEPHONE NUMBER)
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(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 conformed by a court. Yes [ ] No [ ]
MANAGEMENT DISCUSSIONS
PERIOD MAY 1, 2003 - JULY 31, 2004
We have made good progress in identifying insurance wholesalers in the senior
market that we would like to merge into Prevention Insurance. We plan to
finalize our first acquisitions by the end of the year. We currently are trading
on the NASDAQ Bulletin Board. Our symbol is PVNC. OB
MANAGEMENT DISCUSSION OF PREVENTION INSURANCE DIVISION OPERATIONS:
Prevention Insurance's primary focus will be to merge into or acquire private
insurance wholesalers that market senior products either regionally or
nationally. Their products are targeted to baby boomers age 50 and over. Their
primary products are long term care, med supplements, life insurance and
annuities, fixed and variable. Our goal is to acquire 2-4 profitable companies
by the end of our fiscal year which is April 30, 2005.
Prevention's Insurance's cash needs will be covered by periodic investments and
our ATM sales division, however, we still intend to raise additional working
capital to cover any expansion plans. Our plan is to have one year's total
operating expenses on hand and additional capitol 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. We have basically been able to
pay off all of our payables as agreed. Revenue to date has been provided by our
ATM equipment sales division, Quick Pay, that is selling ATM machines to retail
outlets around the U. S. We have also received a small amount of capital from
existing shareholders through periodic stock sales. We will also be seeking out
private equity capital or a strategic partner as possible sources of financing.
QUICK PAY ATM DIVISION
Our ATM division is growing. Our average number of ATM sales has increased.
Revenue is projected next year at $300,000 or more in sales. We anticipate
opening an additional sales office to boost sales further. We have also
introduced a new ATM insurance policy that provides coverage for both the ATM
machine and the cash inside up to $25,000. This has been well received and we
started issuing polices for customers who own blocks of ATM machines.
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, 2004
/s/ Scott Goldsmith
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Name: Scott Goldsmith
Title: President
PREVENTION INSURANCE.COM
FINANCIAL STATEMENTS
JULY 31, 2004
PREVENTION INSURANCE.COM
BALANCE SHEET
(UNAUDITED)
JULY 31, APRIL 30,
ASSETS 2004 2004
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Current assets:
Cash $ - $ -
----------- -----------
TOTAL CURRENT ASSETS - -
----------- -----------
$ - $ -
=========== ===========
LIABILITIES AND STOCKHOLDERS' (DEFICIT)
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Current liabilities:
Accounts payable $ 2,406 $ 5,175
Advance from officer/shareholder 17,700 21,372
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TOTAL CURRENT LIABILITIES 20,106 26,547
Commitments - -
Stockholders' (deficit):
Preferred stock, par value $ .01, 2,000,000 shares authorized,
no shares issued or outstanding - -
Common stock, $ .01 par value, 100,000,000 shares authorized,
14,313,067 shares issued and outstanding 143,146 120,498
Additional paid in capital 3,456,381 3,466,529
Accumulated (deficit) (3,566,678) (3,560,620)
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32,849 26,407
Less: Treasury stock, at cost (52,955) (52,954)
----------- -----------
(20,106) (26,547)
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$ - $ -
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PREVENTION INSURANCE.COM
STATEMENTS OF OPERATIONS
(UNAUDITED)
(UNAUDITED) (UNAUDITED)
THREE MONTHS THREE MONTHS
ENDED ENDED
JULY 31, 2004 JULY 31, 2003
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Commission income $ 51,618 $ 32,222
General and administrative 57,676 44,527
-------- --------
(Loss) from operations (6,058) (12,305)
Interest expense -
-------- --------
(Loss) before income taxes (6,058) (12,305)
Income taxes - -
-------- --------
Net (loss) $ (6,058) $(12,305)
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(Loss) per share $ (0.01) $ (0.01)
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PREVENTION INSURANCE.COM
STATEMENTS OF CASH FLOWS
(UNAUDITED)
FOR THE FOR THE
THREE MONTHS THREE MONTHS
ENDED ENDED
MARCH 31, 2004 MARCH 31, 2003
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Cash flows from operating activities:
Cash received from customers $ 51,618 $ 32,222
Cash paid to employees and vendors (64,118) (40,222)
Interest paid - -
-------- --------
NET CASH (USED BY) OPERATING ACTIVITIES (12,500) (8,000)
Cash flows from investing activities:
- -
-------- --------
Cash flows from financing activities:
Stock issued for cash 12,500 8,000
-------- --------
NET CASH PROVIDED BY FINANCING ACTIVITIES 12,500 8,000
Increase (decrease) in cash - -
Cash at beginning of year - -
-------- --------
Cash at end of year - $ -
======== ========
The following is a reconciliation of net (loss) to net cash (used by) operating activities
Net (loss) $ (6,058) $(12,305)
Items affecting cash flows:
Increase (Decrease) in accounts payable (2,769) 917
Increase (Decrease) in advances from officer/sharholder (3,673) 3,388
-------- --------
Net cash (used by) operating activities $(12,500) $ (8,000)
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SIGNATURES
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, 2004
/s/ Scott Goldsmith
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Name: Scott Goldsmith
Title: President