UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM
(Mark One)
For the quarterly period ended
OR
For the transition period from ________ to _________
Commission File Number:
(Exact name of registrant as specified in its charter) |
(State or Other Jurisdiction of Incorporation or Organization) | (I.R.S. Employer Identification No.) | |
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(Address of Principal Executive Offices) | (Zip Code) |
+
(Registrant’s telephone number, including area code)
n/a |
| n/a |
(Former Name, former address and former fiscal year, if changed since last report)
Securities registered under Section 12(b) of the Exchange Act: None
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” "non-accelerated filer," “smaller reporting company,” and “ emerging growth company ” in Rule 12b-2 of the Exchange Act. (Check all that apply):
Large accelerated filer | ☐ | Accelerated filer | ☐ |
☒ | Smaller reporting company | ||
Emerging growth company |
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If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes
As of April 7, 2022, there were
TABLE OF CONTENTS
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Management’s Discussion and Analysis of Financial Condition and Results of Operations | 11 | |
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| 2 |
| Table of Contents |
Part I
Item 1. Financial Statements.
PREVENTION INSURANCE.COM | |||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | |||||||||
(UNAUDITED) | |||||||||
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| January 31, |
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ASSETS |
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| Current Assets |
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| Cash |
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| Total Current Assets |
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| Other Assets |
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| Marketable security |
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| Total Assets |
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LIABILITIES AND STOCKHOLDERS' DEFICIT |
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| Current Liabilities |
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| Accounts payable and accrued liabilities |
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| Due to related parties |
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| Total Current Liabilities |
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| Total Liabilities |
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| Stockholders' Deficit |
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| Preferred Stock, $ |
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| Common Stock, $ |
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| Additional paid in capital |
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| Treasury stock, |
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| Accumulated deficit |
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| Total Stockholders' Deficit |
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| Total Liabilities and Stockholders' Deficit |
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See accompanying notes to these condensed consolidated unaudited financial statements | |||||||||
| 3 |
| Table of Contents |
PREVENTION INSURANCE.COM | ||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||||
(UNAUDITED) | ||||||||||||||||
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| For the Three Months Ended |
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| For the Nine Months Ended |
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| January 31 |
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| REVENUE |
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| General and administrative expenses |
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OPERATING LOSS |
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| NET LOSS |
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| Net Loss per Common Share: Basic and Diluted |
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| Weighted Average Common Shares Outstanding: Basic and Diluted |
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See accompanying notes to these condensed consolidated unaudited financial statements | ||||||||||||||||
| 4 |
| Table of Contents |
PREVENTION INSURANCE.COM | ||||||||||||||||||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' DEFICIT | ||||||||||||||||||||||||||||||||
(UNAUDITED) | ||||||||||||||||||||||||||||||||
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THREE MONTHS ENDED JANUARY 31, 2022 AND 2021 | ||||||||||||||||||||||||||||||||
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| Additional |
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| Preferred Stock |
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| Common Shares |
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| Paid-In |
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| Accumulated |
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| Shares |
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| Amount |
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| Shares |
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| Capital |
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| Deficit |
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| Total |
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| Balance at October 31, 2020 |
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| Net Loss for the period |
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| Balance at January 31, 2021 |
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| Balance at October 31, 2021 |
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| Net Loss for the period |
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| Balance at January 31, 2022 |
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NINE MONTHS ENDED JANUARY 31, 2022 AND 2021 | ||||||||||||||||||||||||||||||||
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| Balance at April 30, 2020 |
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| Issuance of common stock for |
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| cash - related party |
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| Net loss for the period |
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| Balance at January 31, 2021 |
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| Balance at April 30, 2021 |
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| Net loss for the period |
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| Balance at January 31, 2022 |
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See accompanying notes to these condensed consolidated unaudited financial statements | ||||||||||||||||||||||||||||||||
| 5 |
| Table of Contents |
PREVENTION INSURANCE.COM | ||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||||
(UNAUDITED) | ||||||||||||
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| For the Nine Months Ended |
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| Cash Flows from Operating Activities: |
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| Net Loss |
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| Adjustments to reconcile net loss to net cash used in operating activities: |
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| Changes in operating assets and liabilities: |
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| Cash Flows From Financing Activities: |
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| Net Change in Cash: |
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| Supplemental Disclosures of Cash Flow Information: |
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| Income taxes paid |
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| Interest paid |
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See accompanying notes to these condensed consolidated unaudited financial statements | ||||||||||||
| 6 |
| Table of Contents |
PREVENTION INSURANCE.COM NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS JANUARY 31, 2022 (Unaudited) |
NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND BASIS OF PRESENTATION
Nature of Business
Prevention Insurance.Com (the “Company”) was incorporated under the laws of the State of Nevada in 1975 as Vita Plus Industries, Inc. In March 1999, the Company sold its remaining inventory and changed its name to Prevention Insurance.Com. On September 19, 2019, the Company incorporated Paramount Capital, Inc. under the laws of the State of Wyoming as a wholly-owned subsidiary.
The Company’ s business is to pursue a business combination through acquisition, or merger with, an existing company. No assurances can be given that the Company will be successful in locating or negotiating with any target company.
Effective June 28, 2019 (“Closing Date”), a change of control occurred with respect to the Company. Pursuant to a Securities Purchase Agreement entered into by and among the Company, Metrowork Equity Sdn. Bhd (“Seller” or “Metrowork”), and Copper Hill Assets Inc., a British Virgin Island corporation (“Buyer” or “Copper Hill”) (the “Purchase Agreement”), Seller assigned, transferred and conveyed to Buyer (i)
On the closing of the above transaction, Mr. Chee Chau Ng, the sole officer of Seller, resigned in all officer capacities from the Company and Anthony Lococo was appointed Chief Executive Officer and Chief Financial Officer of the Company. In addition, Mr. Lococo was appointed a director of the Company.
Basis of Presentation
The summary of significant accounting policies is presented to assist in the understanding of the financial statements. These policies conform to accounting principles generally accepted in the United States of America (“GAAP”) and have been consistently applied.
Consolidated Financial Statements
These consolidated statements include the financial statements of the Company and its subsidiary company, Paramount Capital, Inc. All intercompany balances and transactions have been eliminated in consolidation.
Interim Financial Statements
The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with GAAP for interim financial information in accordance with Article 8 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In our opinion, all adjustments (consisting of normal recurring accruals) considered necessary for fair presentation have been included. While we believe that the disclosures presented herein are adequate and not misleading, these interim condensed financial statements should be read in conjunction with the audited financial statements and the footnotes thereto for the year ended April 30, 2021 included our Form 10-K filed on September 22, 2021. Operating results for the interim period presented are not necessarily indicative of the results for the full year
| 7 |
| Table of Contents |
Use of Estimates
The preparation of financial statements in conformity with GAAP 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 of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Fair Value of Financial Instruments
The fair value of cash, accounts payable and accrued liabilities and balance due to related parties approximates the carrying amount of these financial instruments due to their short maturity.
Related Party Transactions
A related party is generally defined as (i) any person that holds
Income Taxes
The provision for income taxes is computed using the asset and liability method, under which deferred tax assets and liabilities are recognized for the expected future tax consequences of temporary differences between the financial reporting and tax bases of assets and liabilities, and for operating losses and tax credit carry-forwards. Deferred tax assets and liabilities are measured using the currently enacted tax rates that apply to taxable income in effect for the years in which those tax assets are expected to be realized or settled. The Company records a valuation allowance to reduce deferred tax assets to the amount that is believed more likely than not to be realized.
Uncertain Tax Positions
The Company evaluates tax positions in a two-step process. The Company first determine whether it is more likely than not that a tax position will be sustained upon examination, based on the technical merits of the position. If a tax position meets the more-likely-than-not recognition threshold, it is then measured to determine the amount of benefit to recognize in the financial statements. The tax position is measured as the largest amount of benefit that is greater than 50% likely of being realized upon ultimate settlement. The Company classifies gross interest and penalties and unrecognized tax benefits that are not expected to result in payment or receipt of cash within one year as long-term liabilities in the financial statements.
Revenue Recognition:
Revenues are recognized when control of promised goods or services are transferred to a customer, in an amount that reflects the consideration that the Company expects to receive in exchange for those goods or services. The Company applies the following five steps in order to determine the appropriate amount of revenue to be recognized as it fulfills its obligations under each of its agreements:
Step 1: Identify the contract(s) with customers
Step 2: Identify the performance obligations in the contract
Step 3: Determine the transaction price
Step 4: Allocate the transaction price to performance obligations
Step 5: Recognize revenue when the entity satisfies a performance obligation
At this time, the Company has not identified specific planned revenue streams.
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During the nine months ended January 31, 2022 and 2021, the Company did not recognize any revenue.
Stock-Based Compensation
The cost of equity instruments issued to employees and non-employees in return for goods and services is measured by the grant date fair value of the equity instruments issued in accordance with ASC 718, Compensation – Stock Compensation. The related expense is recognized as services are rendered or vesting periods elapse.
Net Loss per Share Calculation
Basic net loss per common share is computed by dividing loss available to common stockholders by the weighted-average number of common shares outstanding for the period. Diluted earnings per share is computed by dividing net income by the weighted average shares outstanding, assuming all dilutive potential common shares were issued. Diluted earnings per share is not presented when their effect is anti-dilutive. No potential dilutive securities were issued and outstanding during the three and nine months ended January 31, 2022 or 2021.
COVID-19 Uncertainties
The COVID-19 pandemic could have an impact on our ability to obtain financing to fund the operations. The Company is unable to predict the ultimate impact at this time.
Recently Accounting Pronouncements
There were various accounting standards and interpretations issued recently, none of which are expected to a have a material impact on our financial position, operations or cash flows due to our status as a shell corporation.
NOTE 2. GOING CONCERN
The Company’s financial statements are prepared using accounting principles generally accepted in the United States of America applicable to a going concern, which contemplate the realization of assets and the liquidation of liabilities in the normal course of business. For the nine months ended January 31, 2022, the Company reported a net loss of $
NOTE 3. MARKETABLE SECURITY
On August 26, 2019, the Company acquired
Effective June 30, 2020,
As of January 31, 2022, it was determined that the historic cost of the marketable security equated to its fair market value as ACG has not commenced trading activities as yet.
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NOTE 4. ADVANCES DUE TO RELATED PARTIES
As of April 30, 2021, the Company owed a total of $
Mr. Anthony Lococo, our current sole officer and director, is a controlling party of Copper Hill.
Apple ISports, Inc. is a wholly-owned subsidiary of Copper Hill.
During the nine months ended January 31, 2022, the Company received a further advance of $
As of January 31, 2022, the Company owed a total of $
These advances where made to the Company to meet its working capital requirements and are unsecured, interest free and due on demand.
NOTE 5. STOCKHOLDERS’ DEFICIT
Preferred Stock
As of January 31, 2022, the Company was authorized to issue
No shares of preferred stock were issued or outstanding during the nine months ended January 31, 2022 and 2021.
Common Stock
As of January 31, 2022, the Company was authorized to issue
During the nine months ended January 31, 2022, no shares of common stock were issued.
During the nine months ended January 31, 2021, we made the following sales of common stock for cash:
On May 5, 2020, Locman Superannuation Fund (“Fund”) paid the Company the sum of $
On July 27, 2020, the Fund paid the Company the sum of $
As of both January 31, 2022 and April 30, 2021,
Treasury Stock
The Company’s treasury stock comprised one share of common stock acquired at a cost of $
NOTE 6. SUBSEQUENT EVENTS
The Company evaluated subsequent events after January 31, 2022, in accordance with FASB ASC 855 Subsequent Events, through the date of the issuance of these financial statements and has determined there have been no subsequent events for which disclosure is required.
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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.
Forward-Looking Statements
Certain statements made in this quarterly report on Form 10-Q are “forward-looking statements” (within the meaning of the Private Securities Litigation Reform Act of 1995) in regard to the plans and objectives of management for future operations. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements of the registrant to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. The forward-looking statements included herein are based on current expectations that involve numerous risks and uncertainties. The Company’s plans and objectives are based, in part, on assumptions involving the continued expansion of business. Assumptions relating to the foregoing involve judgments with respect to, among other things, future economic, competitive and market conditions and future business decisions, all of which are difficult or impossible to predict accurately and many of which are beyond the control of the Company. Although the Company believes its assumptions underlying the forward-looking statements are reasonable, any of the assumptions could prove inaccurate and, therefore, there can be no assurance the forward-looking statements included in this quarterly report will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by the registrant or any other person that the objectives and plans of the registrant will be achieved.
Substantial risks exist with respect to an investment in the Company. These risks include but are not limited to, those factors discussed in our Annual Report on Form 10-K for the fiscal year ended April 30, 2021, filed with the Securities and Exchange Commission (“Commission”) on September 22, 2021. More broadly, these factors include, but are not limited to:
● | We have incurred significant losses and expect to incur future losses; |
● | Our current financial condition and immediate need for capital; |
● | Potential significant dilution resulting from the issuance of new securities for any funding, debt conversion or any business combination; and |
● | We are a “penny stock” company. |
Description of Business
Prevention Insurance.com (“we,” “us,” “our,” or the “Company”) was incorporated in the State of Nevada on May 7, 1975, under the name Vita Plus, Inc. The name was later changed to Vita Plus Industries, Inc. and in 2000 the Company’s name was changed to its current name Prevention Insurance.com.
Effective June 28, 2019 (“Closing Date”), a further change of control occurred with respect to the Company. Pursuant to a Securities Purchase Agreement entered into by and among the Company, Metrowork Equity Sdn. Bhd (“Seller”), and Copper Hill Assets Inc., a British Virgin Island corporation (“Buyer”) (the “Purchase Agreement”), Seller assigned, transferred and conveyed to Buyer (i) 1,563,809 shares of common stock of Company (“Common Stock”) and (ii) a promissory note of the Company totaling $355,323.48 (“Promissory Note”). The total consideration paid by Buyer was $375,000, and Seller assumed all of the liabilities of the Company as of the closing date.
On the closing of the above transaction, Mr. Chee Chau Ng, the sole officer of Seller, resigned in all officer capacities from the Company and Anthony Lococo was appointed Chief Executive Officer and Chief Financial Officer of the Company. In addition, Mr. Lococo was appointed a director of the Company. Effective upon the 10th day after the mailing of the Company’s information statement on Schedule 14f-1 (the “Schedule 14f-1”) to the Company’s stockholders (the “Appointment Date”), Mr. Ng resigned as a director of the Company. On that same date, Mr. Lococo was appointed as the Company’s Chairman of the Board of the Company.
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The Company is a shell company as defined in Rule 12b-2 of the Securities Exchange Act of 1934 (the “Exchange Act”). Our principal business objective for the next 12 months and beyond such time will be to achieve long-term growth potential through a combination with a business rather than immediate, short-term earnings. The Company will not restrict our potential candidate target companies to any specific business, industry or geographical location and, thus, may acquire any type of business.
The Company currently does not engage in any business activities that provide cash flow. During the next twelve months we anticipate incurring costs related to:
| (i) | filing Exchange Act reports, and |
| (ii) | investigating, analyzing and consummating an acquisition. |
As of January 31, 2022, the Company has $5,251 in cash. In order to meet these ongoing costs, we may have to defer fees of certain service providers and receive additional amounts, as necessary, as loans or investments from our stockholders, management or other investors. There are no assurances that the Company will be able to secure any additional funding as needed. Currently, our ability to continue as a going concern is dependent upon our ability to obtain the necessary financing to meet our obligations and pay our liabilities arising from normal business operations when they come due. Our ability to continue as a going concern is also dependent on our ability to find a suitable target company and enter into a possible reverse merger with such company. Management’s plan includes obtaining additional funds by equity financing through a reverse merger transaction and/or related party advances; however, there is no assurance of additional funding being available.
The Company may consider acquiring a business which has recently commenced operations, is a developing company in need of additional funds for expansion into new products or markets, is seeking to develop a new product or service, or is an established business which may be experiencing financial or operating difficulties and is in need of additional capital. In the alternative, a business combination may involve the acquisition of, or merger with, a company which does not need substantial additional capital but which desires to establish a public trading market for its shares while avoiding, among other things, the time delays, significant expense, and loss of voting control which may occur in a public offering.
Our management has not entered into any agreements with any party regarding a business combination. Any target business that is selected may be a financially unstable company or an entity in its early stages of development or growth, including entities without established records of sales or earnings. In that event, we will be subject to numerous risks inherent in the business and operations of financially unstable and early stage or potential emerging growth companies. In addition, we may effect a business combination with an entity in an industry characterized by a high level of risk, and, although our management will endeavor to evaluate the risks inherent in a particular target business, there can be no assurance that we will properly ascertain or assess all significant risks. Our management anticipates that it will likely be able to effect only one business combination, due primarily to our limited financing and the dilution of interest for present and prospective stockholders, which is likely to occur as a result of our management’s plan to offer a controlling interest to a target business in order to achieve a tax-free reorganization. This lack of diversification should be considered a substantial risk in investing in us, because it will not permit us to offset potential losses from one venture against gains from another.
We will not acquire or merge with any entity which cannot provide audited financial statements at or within a reasonable period of time after closing of the proposed transaction. We are subject to all the reporting requirements included in the Exchange Act. Included in these requirements is our duty to file audited financial statements as part of our Form 8-K to be filed with the Securities and Exchange Commission upon consummation of a merger or acquisition, as well as our audited financial statements included in our annual report on Form 10-K. If such audited financial statements are not available at closing, or within time parameters necessary to ensure our compliance with the requirements of the Exchange Act, or if the audited financial statements provided do not conform to the representations made by the target business, the closing documents may provide that the proposed transaction will be voidable at the discretion of our present management.
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A business combination with a target business will normally involve the transfer to the target business of the majority of our common stock, and the substitution by the target business of its own management and board of directors.
The Company anticipates that the selection of a business combination will be complex and extremely risky. Because of general economic conditions, rapid technological advances being made in some industries and shortages of available capital, our management believes that there are numerous firms seeking the perceived benefits of becoming a publicly traded corporation. Such perceived benefits of becoming a publicly traded corporation include, among other things, facilitating or improving the terms on which additional equity financing may be obtained, providing liquidity for the principals of and investors in a business, creating a means for providing incentive stock options or similar benefits to key employees, and offering greater flexibility in structuring acquisitions, joint ventures and the like through the issuance of stock. Potentially available business combinations may occur in many different industries and at various stages of development, all of which will make the task of comparative investigation and analysis of such business opportunities extremely difficult and complex.
The Company’s ability to continue as a going concern is dependent upon its ability to develop additional sources of capital, locate and complete a merger with another company and ultimately achieve profitable operations. No assurances can be given that the Company will be successful in locating or negotiating with any target company.
Results of Operations
No revenue has been generated by the Company during the nine months ended January 31, 2022 and 2021. It is unlikely the Company will have any revenues unless it is able to effect an acquisition or merger with an operating company, of which there can be no assurance. It is management’s assertion that these circumstances may hinder the Company’s ability to continue as a going concern. The Company’s plan of operation for the next twelve months shall be to continue its efforts to locate suitable acquisition candidates.
For the three months ended January 31, 2022 and 2021
During the three months ended January 31, 2022 and 2021, the Company incurred a net loss of $8,615 and $2,989, respectively, comprised solely of general and administrative expenses, including consulting fees to implement our business plan, accounting and other professional service fees incurred in relation to the preparation and filing of the Company’s periodic reports on Form 10-K, Form 10-Q and other reporting requirements.
The $5,626 increase in general and administrative expenses between the two periods was principally due to increases in audit fees ($2,300) legal fees ($1,500), accounting fees ($1,500), SEC Edgar filing fees ($750) and other expenses ($76), partially offset by a decrease in consulting fees ($500) incurred in the three months ended January 31, 2022 as compared to the three months ended January 31, 2021.
For the nine months ended January 31, 2022 and 2021
During the nine months ended January 31, 2022 and 2021, the Company incurred a net loss of $40,940 and $40,262, respectively, comprised solely of general and administrative expenses, including consulting fees to implement our business plan, accounting and other professional service fees incurred in relation to the preparation and filing of the Company’s periodic reports on Form 10-K, Form 10-Q and other reporting requirements.
The $678 increase in general and administrative expenses between the two periods was principally due to increases in audit fees ($8,907), accounting fees ($7,500), SEC Edgar filing fees ($3,750) and other expenses ($71) substantially offset by reductions in legal fees ($11,650), consulting fees ($7,000) and tax preparation fees ($900) incurred in the nine months ended January 31, 2022 as compared to the nine months ended January 31, 2021.
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Liquidity and Capital Resources
As of January 31, 2022, the Company had current assets of $5,251 consisting of all cash. This compares with current assets of $342 consisting of all cash as of April 30, 2021. The Company’s current liabilities as of January 31, 2022 totaled $138,251: $29,950 relating to accounts payable and accrued liabilities and $108,301 of advances from related parties. This compares with current liabilities of $92,402 as of April 30, 2021, comprised of $28,650 of accounts payable and $63,752 due to related parties. The Company can provide no assurance that it can continue to satisfy its cash requirements for at least the next twelve months.
The following is a summary of the Company’s cash flows provided by (used in) operating, investing, and financing activities for the nine months ended January 31, 2022 and 2021:
|
| Nine Months Ended January 31, 2022 |
|
| Nine Months Ended January 31, 2021 |
| ||
Net Cash Used in Operating Activities |
| $ | (39,640 | ) |
| $ | (47,513 | ) |
Net Cash Used in Investing Activities |
|
| - |
|
|
| - |
|
Net Cash Provided by Financing Activities |
|
| 44,549 |
|
|
| 49,954 |
|
Net Change in Cash |
| $ | 4,909 |
|
| $ | 2,441 |
|
Operating Activities
During the nine months ended January 31, 2022, the Company incurred a net loss of $40,940 which, after adjusting for an increase in accounts payable of $1,300, resulted in net cash of $39,640 being used in operating activities during the period. By comparison, during the nine months ended January 31, 2021, the Company incurred a net loss of $40,262 which, after adjusting for a decrease in accounts payable of $7,251, resulted in net cash of $47,513 being used in operating activities during the period
Investing Activities
The Company neither generated nor used funds in investing activities during the nine months ended January 31, 2022 and 2021.
Financing Activities
During the nine months ended January 31, 2022, the Company received $44,549 from financing activities by way of a loan from a related party. By comparison, during the nine months ended January 31, 2021, we received $49,954 from financing activities in respect of $29,975 from the sale of shares for cash to a related party, $19,995 by way of a loan from a related party, less the payment of $16 of fees incurred in excess of our bank balance.
The Company is dependent upon the receipt of capital investment or other financing to fund its ongoing operations and to execute its business plan of seeking a combination with a private operating company. In addition, the Company is dependent upon certain related parties to provide continued funding and capital resources. No assurances can be given that the Company will be successful in locating or negotiating with any target company or that the related parties will continue to fund the Company’s working capital needs. As a result, there is substantial doubt about the Company’s ability to continue as a going concern.
Off-Balance Sheet Arrangements
The Company does not have any off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on the Company’s financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that is material to investors.
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Contractual Obligations
None.
Item 3. Quantitative and Qualitative Disclosures about Market Risk.
As a “smaller reporting company” as defined by Item 10 of Regulation S-K, the Company is not required to provide information required by this Item.
Item 4. Controls and Procedures.
Evaluation of Disclosure Controls and Procedures
In connection with the preparation of this quarterly report, an evaluation was carried out by the Company’s management, with the participation of the principal executive officer and the principal financial officer, of the effectiveness of the Company’s disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act (“Exchange Act”) as of October 31, 2021. Disclosure controls and procedures are designed to ensure that information required to be disclosed in reports filed or submitted under the Exchange Act is recorded, processed, summarized, and reported within the time periods specified in the Commission’s rules and forms, and that such information is accumulated and communicated to management, including the principal executive officer and the principal financial officer, to allow timely decisions regarding required disclosures.
Based on that evaluation, the Company’s management concluded, as of the end of the period covered by this report, that the Company’s disclosure controls and procedures were not effective in recording, processing, summarizing, and reporting information required to be disclosed, within the time periods specified in the Commission’s rules and forms, and that such information was not accumulated and communicated to management, including the principal executive officer and the principal financial officer, to allow timely decisions regarding required disclosures.
Changes in Internal Controls over Financial Reporting
During the quarter ended January 31, 2022, there has been no change in internal control over financial reporting that has materially affected or is reasonably likely to materially affect our internal control over financial reporting.
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PART II
OTHER INFORMATION
Item 1. Legal Proceedings.
There are presently no material pending legal proceedings to which the Company, any executive officer, any owner of record or beneficially of more than five percent of any class of voting securities is a party or as to which any of its property is subject, and no such proceedings are known to the Company to be threatened or contemplated against it.
Item 1A. Risk Factors.
As a “smaller reporting company” as defined by Item 10 of Regulation S-K, the Company is not required to provide information required by this Item.
Item 2. Unregistered Sale of Equity Securities and Use of Proceeds.
None.
Item 3. Defaults Upon Senior Securities.
None.
Item 4. Mine Safety Disclosures.
Not applicable to our Company.
Item 5. Other Information.
None
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Item 6. Exhibits.
Exhibit |
| Description |
|
|
|
| ||
|
|
|
| ||
|
|
|
101.INS |
| INLINE XBRL INSTANCE DOCUMENT (THE INSTANCE DOCUMENT DOES NOT APPEAR IN THE INTERACTIVE DATA FILE BECAUSE ITS XBRL TAGS ARE EMBEDDED WITHIN THE INLINE XBRL DOCUMENT).* |
|
|
|
101.SCH |
| INLINE XBRL TAXONOMY EXTENSION SCHEMA DOCUMENT* |
|
|
|
101.CAL |
| INLINE XBRL TAXONOMY CALCULATION LINKBASE DOCUMENT* |
|
|
|
101.DEF |
| INLINE XBRL TAXONOMY DEFINITION LINKBASE DOCUMENT* |
|
|
|
101.LAB |
| INLINE XBRL TAXONOMY LABEL LINKBASE DOCUMENT* |
|
|
|
101.PRE |
| INLINE XBRL TAXONOMY PRESENTATION LINKBASE DOCUMENT* |
|
|
|
104 |
| COVER PAGE INTERACTIVE DATA FILE (FORMATTED AS INLINE XBRL AND CONTAINED IN EXHIBIT 101).* |
+ In accordance with SEC Release 33-8238, Exhibit 32.1 is being furnished and not filed.
* | Filed herewith. |
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
| PREVENTION INSURANCE.COM |
|
|
|
|
Date: April 7, 2022 | /s/ Anthony Lococo |
|
| Anthony Lococo President and CEO (Principal Executive Officer, Principal Financial Officer, and Principal Accounting Officer) |
|
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