Filed Pursuant to Rule 424(b)(3)

                                                     Registration No. 333-125958

            PROSPECTUS SUPPLEMENT TO PROSPECTUS DATED AUGUST 3, 2005

                                 FTS GROUP, INC.

This prospectus supplement is part of and should be read in conjunction with the
prospectus  dated  August 3, 2005  relating  to the  resale of up to  47,501,563
shares of our common stock by  stockholders.  The information  presented  herein
updates certain information in the prospectus.  Unless otherwise defined herein,
capitalized   terms  have  the  meanings  given  to  them  in  the  accompanying
prospectus.

On September 28, 2005, our Board of Directors  reduced the exercise price of the
A warrants  from  $0.12 to $0.10.  Additionally,  on July 17,  2006 our Board of
Directors  reduced the exercise price of the A warrants from $0.10 to $0.045. As
of July 17, 2006 the total number of outstanding A warrants is 15,431,250.

The  shares  of  common  stock  are  being  offered  for  sale  by  the  selling
stockholders at prices established on the Over-the-Counter  Bulletin Board or in
negotiated  transactions  during the term of this offering.  Our common stock is
quoted on the Over-the-Counter Bulletin Board under the symbol FLIP.OB.

You should rely only on the information provided or incorporated by reference in
this  prospectus  supplement  and  the  accompanying  prospectus.  We  have  not
authorized  anyone to provide  you with  different  information.  You should not
assume that the  information in this prospectus  supplement or the  accompanying
prospectus  is accurate as of any date other than the date on the front of these
documents.

                  ---------------------------------------------

                 THIS INVESTMENT INVOLVES A HIGH DEGREE OF RISK.
     YOU SHOULD PURCHASE SECURITIES ONLY IF YOU CAN AFFORD A COMPLETE LOSS.
     SEE "RISK FACTORS" BEGINNING ON PAGE 2 OF THE ACCOMPANYING PROSPECTUS.

                      ------------------------------------

Neither  the  Securities  and  Exchange  Commission  nor  any  state  securities
commission has approved or disapproved of these securities or determined if this
prospectus  supplement  is  truthful  or  complete.  Any  representation  to the
contrary is a criminal offense.

            THE DATE OF THIS PROSPECTUS SUPPLEMENT IS JULY 17, 2006.