The following discussion and analysis of our results of operations and financial
condition for fiscal years ended October 31, 2020 and 2019, should be read in
conjunction with our financial statements and the related notes and the other
financial information that are included elsewhere in this Annual Report. This
discussion includes forward-looking statements based upon current expectations
that involve risks and uncertainties, such as our plans, objectives,
expectations, and intentions. Forward-looking statements are statements not
based on historical information and which relate to future operations,
strategies, financial results, or other developments. Forward-looking statements
are based upon estimates, forecasts, and assumptions that are inherently subject
to significant business, economic, and competitive uncertainties and
contingencies, many of which are beyond our control and many of which, with
respect to future business decisions, are subject to change. These uncertainties
and contingencies can affect actual results and could cause actual results to
differ materially from those expressed in any forward-looking statements. Actual
results and the timing of events could differ materially from those anticipated
in these forward-looking statements as a result of a number of factors,
including those set forth under the Risk Factors, Special Note Regarding
Forward-Looking Statements, and Business sections in this Annual Report. We use
words such as "anticipate," "estimate," "plan," "project," "continuing,"
"ongoing," "expect," "believe," "intend," "may," "will," "should," "could," and
similar expressions to identify forward-looking statements.
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Results of Operations
The following summary of our results of operations should be read in conjunction
with our consolidated financial statements for the year ended October 31, 2020,
which are included herein.
Our operating results for the years ended October 31, 2020 and 2019 and the
changes between those periods for the respective items are summarized as
follows:
Year Ended
October 31,
2020 2019 Change
Operating expenses 36,001 126,097 (90,096 )
Interest expense 479 - 479
Net loss $ 36,480 $ 126,097 $ (89,617 )
During the years ended October 31, 2020 and 2019, no operating revenues were
recorded.
We had a net loss of $36,480 for the year ended October 31, 2020, and $126,097
for the year ended October 31, 2019. The decrease in net loss of $89,617 was
primarily due to a decrease in operating expenses of $90,096 and offset by an
increase in interest expenses of $479.
Operating expenses for the years ended October 31, 2020 and 2019 were $36,001
and $126,097, respectively.
During the year ended October 31,2020, the operating expenses, were primarily
attributed to professional fees of $35,101, for maintaining reporting status
with the Securities and Exchange Commission ("SEC") and general administrative
expenses of $900.
During the year ended October 31, 2019, the operation expenses were primarily
attributed to common stock-based compensation (former officer) of $100,000 and
professional fees and general administrative expenses of $26,097.
Interest expenses for the years ended October 31, 2020 and 2019, were $479 and
$0, respectively, represent interest expense to convertible note (former related
party) on funds advanced to the Company.
Balance Sheet Data:
October 31, October 31,
2020 2019 Change
Cash $ - $ - $ -
Current Assets - - -
Current Liabilities 19,472 21,097 (1,625 )
Working Capital (Deficiency) $ (19,472 ) $ (21,097 ) $ 1,625
As of October 31, 2020, our current assets were $0, and our current liabilities
were $19,472 which resulted in working capital deficiency of $19,472. As of
October 31, 2020, and 2019, current assets were comprised of $0 in cash.
As of October 31, 2020, current liabilities were comprised of $10,913 in
accounts payableand accrued liabilities and $8,559 in due to related party,
compared to $11,141 in accounts payable and accrued liabilities and $9,956
convertible note payable as of October 31, 2019.
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As of October 31, 2020, our working capital deficiency reduced by $1,623 from
$21,097 on October 31, 2019, to $19,742 on October 31, 2020, primarily due to a
decrease in current liabilities of $1,625.
Cash Flow Data:
Year Ended
October 31,
2020 2019 Change
Cash used in operating activities $ - $ - $ -
Cash provided by (used in) investing activities - - -
Cash provided by financing activities - - -
Net change in cash for period $ - $ - $ -
Cash Flows from Operating Activities
We have not generated positive cash flows from operating activities. For the
year ended October 31, 2020, net cash flows used in operating activities was $0,
consisting of a net loss of $36,480, reduced by an increase in accounts payable
and accrued liabilities of $251 and offset by expenses paid by related party of
$8,559 and expenses paid by a former related party of 27,670. For the year ended
October 31, 2019, net cash flows used in operating activities was $0, consisting
of a net loss of $126,097, reduced by stock-based compensation of $100,000 and
offset by expenses paid by related party of $14,956 and an increase in accounts
payable and accrued liabilities of $11,141.
Cash Flows used in Investing Activities
During the years ended October 31, 2020 and 2019, we had no cash used in
investing activities.
Cash Flows from Financing Activities
During the years ended October 31, 2020 and 2019, we had no cash used in
financing activities.
Going Concern
As of October 31, 2020, our Company had a net loss of $36,480 and has earned no
operating revenues. Our Company intends to fund operations through debt and/or
equity financing arrangements, which may be insufficient to fund its capital
expenditures, working capital and other cash requirements for the year ending
October 31, 2021. The ability of our Company to emerge from the development
stage is dependent upon, among other things, obtaining additional financing to
continue operations, and development of our business plan. In response to these
problems, management intends to raise additional funds through public or private
placement offerings or through debt financing. These factors, among others,
raise substantial doubt about our Company's ability to continue as a going
concern. The accompanying financial statements do not include any adjustments
that might result from the outcome of this uncertainty.
Off-Balance Sheet Arrangements
We have no off-balance sheet arrangements that have or are reasonably likely to
have a current or future effect on our financial condition, changes in financial
condition, revenues or expenses, results of operations, liquidity, capital
expenditures or capital resources that is material to stockholders.
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