Forward-looking Statements
There are "forward-looking statements" contained in this quarterly report. All
statements that express expectations, estimates, forecasts or projections are
forward-looking statements. In addition, other written or oral statements which
constitute forward-looking statements may be made by us or on our behalf. Words
such as "expect," "anticipate," "intend," "plan," "believe," "seek," "estimate,"
"project," "forecast," "may," "should," and variations of such words and similar
expressions are intended to identify such forward-looking statements. These
statements are not guarantees of future performance and involve risks,
uncertainties and assumptions which are difficult to predict. Therefore, actual
outcomes and results may differ materially from what is expressed or forecasted
in or suggested by such forward-looking statements. We undertake no obligation
to update or revise any of the forward-looking statements after the date of this
quarterly report to conform forward-looking statements to actual results.
Important factors on which such statements are based are assumptions concerning
uncertainties, including but not limited to, uncertainties associated with the
following:
? Inadequate capital and barriers to raising the additional capital or to
obtaining the financing needed to implement our business plans;
? Our failure to earn revenues or profits;
? Inadequate capital to continue business;
? Volatility or decline of our stock price;
? Potential fluctuation in quarterly results;
? Rapid and significant changes in markets;
? Litigation with or legal claims and allegations by outside parties; and
? Insufficient revenues to cover operating costs.
The following discussion should be read in conjunction with the financial
statements and the notes thereto which are included in this quarterly report.
This discussion contains forward-looking statements that involve risks,
uncertainties and assumptions. Our actual results may differ substantially from
those anticipated in any forward-looking statements included in this discussion
as a result of various factors.
OVERVIEW
United States Basketball League, Inc. (OTC: USBL) is an emerging diversified
investment vehicle focused on participating in and acquiring interests that are
leading edge in their respective market niches, and that have expectations of
enhancing shareholder values. Based in Tampa, Florida, the Management, Advisors,
and the Board of the Company are currently engaged in evaluating and assessing
new business opportunities.
Results of Operations
The three months ended August 31,2022 compared to the three months ended August
31, 2021
Professional Fees
For the three months ended August 31, 2022, the company incurred $3,340 of
professional fees compared to $247 for the three months ended August 31, 2021,
an increase of $3,093. Professional fees generally consist of audit, legal,
accounting and transfer agent fees expense.
General and Administrative Expense
For the three months ended August 31, 2022, the company incurred $6,854 of
general and administrative expense ("G&A") compared to $80,096 for the three
months ended August 31, 2021, a decrease of $73,242 or 91.4% In the prior period
we incurred $66,400 more of consulting expense for stock issued for services.
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Other Income/Expense
We had no other income or expense for three months ended August 31, 2022. During
the three months ended August 31, 2021, the Company recognized a related party
loss on conversion of debt of $127,480 and $2,000 of other income.
Net Loss
For the three months ended August 31, 2022, we had a net loss of $10,194
compared to $205,823 for the three months ended August 31, 2021. We had a
decrease of our net loss due to the reasons discussed above.
The six months ended August 31, 2022 compared to the six months ended August 31,
2021
Professional Fees
For the six months ended August 31, 2022, the company incurred $10,840 of
professional fees compared to $12,272 for the six months ended August 31, 2021,
a decrease of $1,432 or 11.7%. Professional fees generally consist of audit,
legal, accounting and transfer agent fees expense. The decrease in the current
period is mainly due to a decrease of transfer agent fees.
General and Administrative Expense
For the six months ended August 31, 2022, the company incurred $37,755 of G&A
expense compared to $105,466 for the six months ended August 31, 2021, a
decrease of $67,711 or 64.2% In the prior period we incurred $66,400 more of
consulting expense for stock issued for services.
Director Compensation
For the six months ended August 31, 2022, the company incurred $0 of director
compensation expense compared to $48,000 for the six months ended August 31,
2021. During the prior period we issued common stock to two of our directors for
total non-cash stock compensation of $48,000.
Other Income/Expense
We had no other income or expense for six months ended August 31, 2022. During
the six months ended August 31, 2021, the Company recognized a related party
loss on conversion of debt of $127,480, $2,000 of other income and a gain on
forgiveness of debt of $66,147.
Net Loss
For the six months ended August 31, 2022, we had a net loss of $48,585 compared
to $224,471 for the six months ended August 31, 2021. We had a decrease of our
net loss due to the reasons discussed above.
Liquidity and Capital Resources
Operating Activities
For the six months ended August 31, 2022, the company used $33,087 in operating
activities compared to $82,065 for the six months ended August 31, 2021.
Financing Activities
During the six months ended August 31, 2022, we neither received nor used any
funds for financing activities. During the six months ended August 31, 2021, we
received $240,000 from the sale of common stock. We received a cash advance from
our CEO of $3,000, $28,870 from another related party and $39,994 from members
of the prior management. We also received $3,581 from another party to assist
with general operating expenses.
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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 are material to investors.
Critical Accounting Policies
The preparation of financial statements in conformity with accounting principles
generally accepted in the United States of America requires management to make
estimates and assumptions that affect the reported amounts of assets and
liabilities and the disclosure of contingent assets and liabilities of the date
of the financial statements and the reported amounts of revenues and expenses
during the reporting period. Note 2 to the Financial Statements describes the
significant accounting policies and methods used in the preparation of the
Financial Statements. Estimates are used for, but not limited to, contingencies
and taxes. Actual results could differ materially from those estimates. The
following critical accounting policies are impacted significantly by judgments,
assumptions, and estimates used in the preparation of the Financial Statements.
Recent Accounting Pronouncements
We have reviewed other recently issued accounting pronouncements and plan to
adopt those that are applicable to us. We do not expect the adoption of any
other pronouncements to have an impact on our results of operations or financial
position.
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