Company Quick10K Filing
Quick10K
C&C Tours
10-K 2018-12-31 Annual: 2018-12-31
10-Q 2018-09-30 Quarter: 2018-09-30
10-Q 2018-06-30 Quarter: 2018-06-30
10-Q 2018-03-31 Quarter: 2018-03-31
10-K 2017-12-31 Annual: 2017-12-31
10-Q 2017-09-30 Quarter: 2017-09-30
10-Q 2017-06-30 Quarter: 2017-06-30
10-Q 2017-03-31 Quarter: 2017-03-31
10-K 2016-12-31 Annual: 2016-12-31
10-Q 2016-09-30 Quarter: 2016-09-30
10-Q 2016-06-30 Quarter: 2016-06-30
10-Q 2016-03-31 Quarter: 2016-03-31
10-K 2015-12-31 Annual: 2015-12-31
10-Q 2015-09-30 Quarter: 2015-09-30
10-Q 2015-06-30 Quarter: 2015-06-30
10-Q 2015-03-31 Quarter: 2015-03-31
10-K 2014-12-31 Annual: 2014-12-31
10-Q 2014-09-30 Quarter: 2014-09-30
10-Q 2014-06-30 Quarter: 2014-06-30
10-Q 2014-03-31 Quarter: 2014-03-31
10-K 2013-12-31 Annual: 2013-12-31
8-K 2018-01-23 Accountant, Exhibits
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RTLR Rattler Midstream Partners 0
UB Mufg Americas Holdings 0
SRVA Sirva 0
TPCS Techprecision 0
USVR US VR Global.com 0
OMVS On The Move Systems 0
ALPLT Alp Liquidating Trust 0
PL Protective Life 0
CCT 2018-12-31
Part I
Item 1. Business
Item 1A. Risk Factors
Item 2. Properties
Item 3. Legal Proceedings
Item 4. Mine Safety Disclosure
Part II
Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities
Item 6. Selected Financial Data
Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations
Item 8. Financial Statements and Supplementary Data
Note 1 - Organization and Summary of Significant Accounting Policies
Note 2 - Going Concern
Note 3 - Income Taxes
Note 4 - Common Stock Transactions
Note 5 - Loans Payable
Note 6 - Fair Value of Financial Instruments
Note 7 - Recent Pronouncements
Note 8 - Commitments and Contingincies
Note 9 - Subsequent Events
Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure
Item 9A. Controls and Procedures
Item 9B. Other Information
Part III
Item 10. Directors, Executive Officers and Corporate Governance
Item 11. Executive Compensation
Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters
Item 13. Certain Relationships and Related Transactions, and Director Independence
Item 14. Principal Accounting Fees and Services
Part IV
Item 15. Exhibits, Financial Statement Schedules
EX-31.1 cct_ex311.htm
EX-31.2 cct_ex312.htm
EX-32.1 cct_ex321.htm

C&C Tours Earnings 2018-12-31

CCT 10K Annual Report

Balance SheetIncome StatementCash Flow

10-K 1 cct_10k.htm FORM 10-K cct_10k.htm

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 10-K

 

x

ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

 

 

For the fiscal year ended December 31, 2018

 

or

 

¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES AND EXCHANGE ACT OF 1934

 

 

 

For transition period ________ to ________

 

Commission file number: 000-54847

 

C & C TOURS, INC.

(Exact name of registrant as specified in its charter)

 

Wyoming

 

87-0463118

(State or other jurisdiction of incorporation or organization) 

 

(I.R.S. Employer Identification No.)

 

 

 

2157 S. Lincoln Street, Salt Lake City, Utah

 

84106

(Address of principal executive offices)

 

(Zip code)

 

Registrant’s telephone number, including area code: (801) 323-2395

 

Securities registered under Section 12(b) of the Act: None

 

Securities registered under Section 12(g) of the Act: Common Stock

 

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes ¨ No x

 

Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or 15(d) of the Exchange Act. Yes ¨ No x

 

Indicate by check mark whether the registrant (1) 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. Yes x No ¨

 

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). Yes x No ¨

 

Indicate by check mark if disclosure of delinquent filers pursuant to item 405 of Regulation S-K is not contained herein, and will not be contained, to the best of registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. x

 

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,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

 

Large accelerated filer

¨

Accelerated filer

¨

Non-accelerated filer

¨

Smaller reporting company

x

 

 

Emerging growth company

x

 

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 x No ¨

 

The registrant did not have an active trading market for its common stock as of the last business day of its most recently completed second fiscal quarter; therefore, an aggregate market value of shares of voting and non-voting common equity held by non-affiliates cannot be determined.

 

The number of shares outstanding of the registrant’s common stock as of March 20, 2019 was 2,937,000.

 

Documents incorporated by reference: None

 

 
 
 

  

TABLE OF CONTENTS 

 

PART I

Item 1.

Business

 

4

 

Item 1A.

Risk Factors

 

8

 

Item 2.

Properties

 

8

 

Item 3.

Legal Proceedings

 

8

 

Item 4.

Mine Safety Disclosure

 

8

 

 

 

 

 

PART II

Item 5.

Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

 

9

 

Item 6.

Selected Financial Data

 

9

 

Item 7.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

 

9

 

Item 8.

Financial Statements and Supplementary Data

 

12

 

Item 9.

Changes in and Disagreements with Accountants on Accounting and Financial Disclosure

 

22

 

Item 9A.

Controls and Procedures

 

22

 

Item 9B.

Other Information

 

22

 

 

 

 

 

PART III

Item 10.

Directors, Executive Officers and Corporate Governance

 

23

 

Item 11.

Executive Compensation

 

24

 

Item 12.

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

 

25

 

Item 13.

Certain Relationships and Related Transactions, and Director Independence

 

25

 

Item 14.

Principal Accounting Fees and Services

 

26

 

 

 

 

 

PART IV

Item 15.

Exhibits, Financial Statement Schedules

 

27

 

Signatures

 

28

 

 
2
 
 

  

In this annual report references to “C & C Tours,” “the Company,” “we,” “us,” and “our” refer to C & C Tours, Inc.

  

FORWARD-LOOKING STATEMENTS

 

There are statements in this annual report that are not historical facts. These “forward-looking statements” can be identified by use of terminology such as “believe,” “hope,” “may,” “anticipate,” “should,” “intend,” “plan,” “expect,” “estimate,” “project,” “positioned,” “strategy” and similar expressions. You should be aware that these forward-looking statements are subject to risks and uncertainties that are beyond our control. In light of these risks and uncertainties, there can be no assurance that the results and events contemplated by the forward-looking statements contained in this annual report will in fact transpire. You are cautioned to not place undue reliance on these forward-looking statements, which speak only as of the date of this filing. We do not undertake any obligation to update or revise any forward-looking statements.

 

 
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PART I

 

ITEM 1. BUSINESS

 

Historical Development

 

C & C Tours, Inc. was incorporated in the state of Nevada on March 18, 1989. The Company was organized as a charter bus business specializing in Nevada tours. After approximately 28 months of unsuccessful charter bus operations, the Company discontinued those operations in 1991. On June 12, 2012 the Company filed Articles of Continuance in the state of Wyoming effecting a change of domicile from Nevada to Wyoming.

 

Our Business Plan

 

Our business purpose is to investigate and, if such investigation warrants, acquire a target company or business seeking the perceived advantages of being a publicly held corporation. Our principal business objective for the next 12 months and beyond will be to achieve long-term growth potential through a combination with a business opportunity, rather than immediate, short-term earnings. Our search for a business opportunity will not be limited to any particular geographical area or industry, including both U.S. and international companies. Our management has unrestricted discretion in seeking and participating in a business opportunity, subject to the availability of such opportunities, economic conditions and other factors. Our management believes that companies who desire a public market to enhance liquidity for current stockholders or plan to acquire additional assets through issuance of securities rather than for cash will be potential merger or acquisition candidates.

 

Based upon the Company’s startup history and the extent of our initial operations the Company was a startup company for at least the initial 28 months of operations. After we ceased our charter business operations we became a "blank check" company based upon our proposed business activities. The U.S. Securities and Exchange Commission (the “SEC”) defines those companies as any company that has no specific business plan or purpose, or has indicated that its business plan is to merge with an unidentified company or companies and is issuing a penny stock, within the meaning of Section 3(a)(51) of the Exchange Act. Under SEC Rule 12b-2, we also qualify as a “shell company” because we have no or nominal assets and operations. Many states have enacted statutes, rules and regulations limiting the sale of securities of "blank check" companies in their respective jurisdictions. Management does not intend to undertake any efforts to cause a market to develop in our securities, either debt or equity, until we have successfully concluded a business combination.

 

The analysis of new business opportunities will be undertaken by or under the supervision of our management. As of the date of this filing, we have not entered into any definitive agreement with any party, nor have there been any specific discussions with any potential business combination candidate regarding business opportunities for the Company. We have unrestricted flexibility in seeking, analyzing and participating in potential business opportunities. In our efforts to analyze potential acquisition targets, we intend to consider the following factors:

 

 

· Potential for growth, indicated by new technology, anticipated market expansion or new products;

 

 
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· Competitive position as compared to other firms of similar size and experience within the industry segment as well as within the industry as a whole;

 

 

 

 

· Strength and diversity of management, either in place or scheduled for recruitment;

 

 

 

 

· Capital requirements and anticipated availability of required funds, to be provided by the Company or from operations, through the sale of additional securities, through joint ventures or similar arrangements or from other sources;

 

 

 

 

· The cost of participation by the Company as compared to the perceived tangible and intangible values and potentials;

 

 

 

 

· The extent to which the business opportunity can be advanced;

 

 

 

 

· The accessibility of required management expertise, personnel, services, professional assistance and other required items; and

 

 

 

 

· Other relevant factors.

 

In applying the foregoing criteria, no one of which will be controlling, management will attempt to analyze all factors and circumstances and make a determination based upon reasonable investigative measures and available data. Potentially available business opportunities 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. Due to our limited capital available for investigation, we may not thoroughly discover all facts, whether adverse or favorable, about the opportunity to be acquired. In addition, we will be competing against other entities that possess greater financial, technical and managerial capabilities for identifying and completing business combinations.

 

In evaluating a prospective business combination, management will conduct as extensive a due diligence review of potential targets as possible; however, none of our management are professional business analysts. (See “Item 10. Directors, Executive Officers and Corporate Governance,” below.) Our executive officers have limited experience with mergers and acquisitions of business opportunities and they have not been involved with an initial public offering. Potential investors must recognize that due to our management’s inexperience with business combinations we may not adequately evaluate a potential business opportunity.

 

We are unable to predict the time as to when, and if we may ever actually participate in any specific business endeavor. We anticipate that proposed business ventures will be made available to us through personal contacts of our directors, executive officers and principal stockholders, professional advisors, broker dealers in securities, venture capital personnel, members of the financial community and others who may present unsolicited proposals. In certain cases, we may agree to pay a finder’s fee or to otherwise compensate the persons who submit a potential business endeavor in which we eventually participate. Such persons may include our directors, executive officers and beneficial owners of our securities or their affiliates. In that event, such fees may become a factor in negotiations regarding any potential venture and, accordingly, may present a conflict of interest for such individuals.

 

 
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In addition, certain conflicts of interest exist or may develop between C & C Tours and our officers and directors. Our management has other business interests to which they currently devote attention, which include their primary employment and management of other public companies. In addition, our Secretary, Mr. J. William Peters, may consider the interests of another blank check company he is affiliated with rather than the best interests of C & C Tours and our stockholders. (See Item10, below.) They may be expected to continue to devote their attention to these other business interests although management time should be devoted to our business. In the process of negotiations for an acquisition or merger our management may be influenced towards a business opportunity that may provide them with some personal pecuniary benefit. If we determine in the future that a transaction with an affiliate would be in our best interest, we are permitted by Wyoming law to enter into such a transaction if certain conflicts of interest standards are satisfied.

 

We expect that our due diligence will encompass, among other things, meetings with incumbent management of the target business and inspection of its facilities, as necessary, as well as a review of financial and other information which is made available to the Company. This due diligence review will be conducted either by our management or by third parties we may engage. Our limited funds and the lack of full-time management may likely make it impracticable to conduct a complete and exhaustive investigation and analysis of a target business before we consummate a business combination. We anticipate that we will rely upon funds provided by advances and/or loans from management and significant stockholders to conduct investigation and analysis of any potential target companies or businesses. We may also rely upon the issuance of our common stock in lieu of cash payments for services or expenses related to any analysis. Management decisions, therefore, will likely be made without detailed feasibility studies, independent analysis, market surveys and the like, which, if the Company had more capital available it would be better in our due diligence process. We will be particularly dependent in making decisions upon information provided by the promoters, owners, sponsors or other persons associated with the target business seeking our participation.

 

The time and costs required to select and evaluate a target business and to structure and complete a business combination cannot presently be ascertained with any degree of certainty. Any costs incurred with respect to the indemnification and evaluation of a prospective business combination that is not ultimately completed may result in a loss to the Company. Also, fees may be paid in connection with the completion of all types of acquisitions, reorganizations or mergers. These fees are usually used to pay legal costs, accounting costs, finder’s fees, consultant’s fees and other related expenses. In the event that any such fees are paid, they may become a factor in negotiations regarding any potential acquisition or merger by us. We have no present arrangements or understandings respecting any of these types of fees.

 

Our common stock is not publicly traded at this time and we cannot assure that a market will develop or that a stockholder ever will be able to liquidate an investment without considerable delay, if at all. If a market develops, our shares will likely be subject to the rules of the Securities Enforcement Remedies and Penny Stock Reform Act of 1990. The liquidity of penny stock is affected by specific disclosure procedures required by these rules to be followed by all broker-dealers, including but not limited to, determining the suitability of the stock for a particular customer, and obtaining a written agreement from the customer to purchase the stock. These rules may affect the ability of broker-dealers to sell our securities and may affect the ability of purchasers to sell our securities in any future market.

 

Form of Acquisition

 

The manner in which we participate in an opportunity will depend upon the nature of the opportunity, the respective needs and desires of the Company and the promoters of the business opportunity, and the relative negotiating strength of the Company and such promoters.

 

 
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It is likely that we will acquire our participation in a business opportunity through the issuance of our common stock or other securities. Although the terms of any such transaction cannot be predicted, it should be noted that in certain circumstances the criteria for determining whether or not an acquisition is a so-called "tax free" reorganization under Section 368(a) (1) of the Internal Revenue Code of 1986, as amended (the "Code") depends upon whether the owners of the acquired business own 80% or more of the voting stock of the surviving entity. If a transaction were structured to take advantage of these provisions rather than other "tax free" provisions provided under the Code, all prior stockholders would in such circumstances retain 20% or less of the total issued and outstanding shares of the surviving entity. Under other circumstances, depending upon the relative negotiating strength of the parties, prior stockholders may retain substantially less than 20% of the total issued and outstanding shares of the surviving entity. This could result in substantial additional dilution to the equity of those persons who were our stockholders prior to such reorganization. Our present stockholders will likely not have control of a majority of the voting securities of the Company following a reorganization transaction. In addition, as part of such a transaction, all or a majority of our directors may resign, and one or more new directors may be appointed, without any vote by stockholders.

 

In the case of an acquisition, the transaction may be accomplished upon the sole determination of management without any vote or approval by stockholders. In the case of a statutory merger or consolidation directly involving the Company, it will likely be necessary to call a stockholders' meeting and obtain the approval of the holders of a majority of the outstanding securities. The necessity to obtain such stockholder approval may result in delay and additional expense in the consummation of any proposed transaction and will also give rise to certain appraisal rights to dissenting stockholders.

 

It is anticipated that the investigation of specific business opportunities and the negotiation, drafting and execution of relevant agreements, disclosure documents and other instruments will require substantial management time and attention and substantial cost for accountants, attorneys and others. If a decision is made not to participate in a specific business opportunity, the costs incurred in the related investigation might not be recoverable. Furthermore, even if an agreement is reached for the participation in a specific business opportunity, the failure to consummate that transaction may result in the loss to the Company of the related costs incurred.

 

In addition, Form 8-K under SEC regulations regarding shell companies and transactions with shell companies requires the filing within four business days of the closing of any transaction of all information about an acquired company that would have been required to have been filed had any such company filed a Form 10 Registration Statement with the SEC, including required audited, interim and pro forma financial statements. This requirement may eliminate many of the perceived advantages of these types of transactions. These regulations also deny the use of Form S-8 for the registration of securities of a shell company, and limit the use of Form S-8 to a reorganized shell company until the expiration of 60 days from when any such entity is no longer considered to be a shell company. This prohibition could further restrict opportunities for us to acquire companies that may already have stock option plans in place that cover numerous employees. In such an instance, there may be no exemption from registration for the issuance of securities in any business combination to these employees, thereby necessitating the filing of a registration statement with the SEC to complete any such reorganization, and incurring the time and expense costs that are normally avoided by reverse reorganizations.

 

Competition

 

Additionally, we are in a highly competitive market for a small number of business opportunities which could reduce the likelihood of consummating a successful business combination. We are, and will continue to be, an insignificant participant in the business of seeking mergers with, joint ventures with and acquisitions of small private and public entities. A large number of established and well-financed entities, including small public companies and venture capital firms, are active in mergers and acquisitions of companies that may be desirable target candidates for the Company. Nearly all these entities have significantly greater financial resources, technical expertise and managerial capabilities than we do; consequently, we will be at a competitive disadvantage in identifying possible business opportunities and successfully completing a business combination. These competitive factors may reduce the likelihood of our identifying and consummating a business combination.

 

 
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Effect of Existing or Probable Governmental Regulations on Business

 

We are subject to the Exchange Act and the Sarbanes-Oxley Act of 2002. The Exchange Act will require the Company to file annual reports on Form 10-K and quarterly reports on Form 10-Q with the SEC on a regular basis, and we will be required to timely disclose certain material events (e.g., changes in corporate control; acquisitions or dispositions of a significant amount of assets other than in the ordinary course of business; and bankruptcy) in a Current Report on Form 8-K. The Sarbanes-Oxley Act creates a strong and independent accounting oversight board to oversee the conduct of auditors of public companies and to strengthen auditor independence. It also requires steps be taken to enhance the direct responsibility of senior members of management for financial reporting and for the quality of financial disclosures made by public companies; it establishes clear statutory rules to limit, and to expose to public view, possible conflicts of interest affecting securities analysts; it creates guidelines for audit committee members’ appointment, and compensation and oversight of the work of public companies’ auditors; it prohibits certain insider trading during pension fund blackout periods; and it establishes a federal crime of securities fraud, among other provisions.

 

We will also be subject to Section 14(a) of the Exchange Act which requires all companies with securities registered pursuant to Section 12(g) of the Exchange Act to comply with the rules and regulations of the SEC regarding proxy solicitations, as outlined in Regulation 14A. Matters submitted to our stockholders at a special or annual meeting thereof or pursuant to a written consent will require us to provide our stockholders with the information outlined in Schedules 14A or 14C of Regulation 14A; preliminary copies of this information must be submitted to the SEC at least 10 days prior to the date that definitive copies of this information are forwarded to our stockholders.

 

Employees

 

We currently do not have employees. Our directors and officers are engaged in outside business activities and anticipate that they will devote limited time to our business until a business opportunity has been identified. We expect no significant changes in the number of our employees other than such changes, if any, incident to a business combination.

 

Available Information

 

We currently do not have a Company website.

 

ITEM 1A. RISK FACTORS

 

We are a smaller reporting company as defined by Rule 12b-2 of the Securities Exchange Act of 1934 and, as such, we are not required to provide the information for this Item.

 

ITEM 2. PROPERTIES

 

We neither rent nor own any properties. We utilize the office space and equipment of our executive officers without charge. We currently have no policy with respect to investments or interests in real estate, real estate mortgages or securities of, or interests in, persons primarily engaged in real estate activities.

 

ITEM 3. LEGAL PROCEEDINGS

 

We are not a party to any legal proceedings as of the date of this filing.

 

ITEM 4. MINE SAFETY DISCLOSURE

 

Not applicable to our operations.

 

 
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PART II

 

ITEM 5. MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES

 

Market Information

 

Our common stock is not listed or quoted to trade on any public trading market. We do not have any outstanding options or warrants to purchase our securities or securities convertible into our common stock.

 

Holders

 

We have 95 stockholders of record holding 2,937,000 shares of our common stock as of March 20, 2019.

 

Dividends

 

We have not declared dividends on our common stock and do not anticipate paying dividends on our common stock in the foreseeable future. We anticipate that any funds available for payment of dividends will be re-invested into the Company to further its business strategy.

 

Recent Sales of Unregistered Securities

 

None.

 

Issuer Purchase of Securities

 

None.

 

ITEM 6. SELECTED FINANCIAL DATA

 

Not applicable to smaller reporting companies.

 

ITEM 7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

 

Executive Overview

 

We are currently an emerging growth company and have not recorded revenues from operations to date. We have not established an ongoing source of revenues sufficient to cover our operating costs. These conditions raise substantial doubt about our ability to continue as a going concern. We are currently devoting our efforts to obtain capital from management, significant stockholders or third parties to cover minimal expenses; however, there is no assurance that additional funding will be available. Our ability to continue as a going concern during the long term is dependent upon our ability to find a suitable company and acquire or enter into a merger with such company.

 

The type of business opportunity which we acquire or merge with will affect our profitability for the long term. We may consider 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 through a public offering.

 

 
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Our management has not had any contact or discussions with any representative of any other entity regarding a business combination with us. Management anticipates that we 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.

 

Liquidity and Capital Resources

 

We have not recorded revenues from operations since inception. We have not established an ongoing source of revenue sufficient to cover our operating costs and we have relied primarily upon third parties to provide and pay for professional expenses and loans. At December 31, 2018, we had $275 in cash compared to $675 at December 31, 2017. Our total liabilities increased to $205,938 for 2018 compared to $180,830 for 2017. This increase in liabilities primarily represents a $5,700 loan from a third party during 2018, accounts payable of $7,900, plus accrued interest of $11,508 on notes payable and accounts payable.

 

We intend to obtain capital from management, significant stockholders and third parties to cover minimal operations; however, there is no assurance that additional funding will be available. Our ability to continue as a going concern during the long term is dependent upon our ability to find a suitable business opportunity and acquire or enter into a merger with such company. The type of business opportunity which we acquire or merge with will affect our profitability for the long term.

 

During the next 12 months we anticipate incurring additional costs related to the filing of Exchange Act reports. We believe we will be able to meet these costs through advances and loans provided by management, significant stockholders or third parties. We may also rely on the issuance of our common stock in lieu of cash to convert debt or pay for expenses.

 

Results of Operations

 

We had no revenues during 2018 and 2017. General and administrative expense decreased to $14,000 for 2018 compared to $14,289 for 2017. The decrease in general and administrative expense in 2017 reflects reduced professional and consulting fees required to maintain our operations.

 

Total other expense increased to $11,508 for 2018 compared to $7,403 for 2017 and represents interest expense on loans payable.

 

Our net loss increased to $25,508 for 2018 compared to $21,692 for 2017. Management expects net losses to continue until we acquire or merge with a business opportunity.

 

Commitments and Obligations

 

At December 31, 2018, we reported loans payable totaling $152,940 representing services received, as well as cash advances received from third parties. All of the loans payable are non-collateralized, carry interest at 8% and are due on demand. The Company borrowed $5,700 from third parties during 2018 and $6,500 from third parties during 2017. No payments on principal or interest have been made to date.

 

 
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Interest expense related to these loans payable totaled $11,508 and $7,403 for the years ended December 31, 2018 and 2017, respectively, resulting in accrued interest of $45,098 and $33,590 at December 31, 2018 and 2017, respectively. No payments on principal or interest have been made to date.

 

A third party consultant has provided professional services, paid for legal, accounting and administrative services on our behalf and/or provided advances to cover our operating costs. These accumulated services total $7,900 as of December 31, 2018 are not formally documented, have no repayment terms and thus we have recognized them as accounts payable. On December 31, 2018 accumulated services owed to this third party totaled $14,500 and $6,600 of the accumulated services were converted to a note payable that is non-collateralized, carries interest at 8% and is due on demand. On December 31, 2017 accumulated services owed to this third party totaled $51,500 and $44,900 of the accumulated services were converted to a note payable that is non-collateralized, carries interest at 8% and is due on demand.

 

Off-Balance Sheet Arrangements

 

We have not entered into any 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 and would be considered material to investors.

 

Emerging Growth Company

 

We qualify as an emerging growth company as that term is used in the Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”). A company qualifies as an emerging growth company if it has total annual gross revenues of less than $1.07 billion during its most recently completed fiscal year and, as of December 8, 2011, had not sold common equity securities under a registration statement. Under the JOBS Act we are permitted to, and intend to, rely on exemptions from certain disclosure requirements

 

In addition, Section 107 of the JOBS Act also provides that an emerging growth company can take advantage of the extended transition period provided in Section 7(a)(2)(B) of the Securities Act for complying with new or revised accounting standards. In other words, an emerging growth company can delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. We have elected to take advantage of the benefits of this extended transition period. Our financial statements may therefore not be comparable to those of companies that comply with such new or revised accounting standards.

 

Tax Cuts and Jobs Act

 

The Company has evaluated Staff Accounting Bulletin No. 118 regarding the impact of the decreased tax rates of the Tax Cuts & Jobs Act. See “Note 3 – Income Taxes” in the notes to our financial statements for schedules that describe the new rates adjusted in the period enacted.

 

 
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ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

 

C & C TOURS, INC. 

Financial Statements 

December 31, 2018 and 2017

 

INDEX 

 

Report of Independent Registered Public Accounting Firm

13

 

Balance Sheets

14

 

Statements of Operations

15

 

Statement of Shareholders’ Equity (Deficit)

16

 

Statements of Cash Flows

17

 

Notes to the Financial Statements

18 – 21

 

 
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Pinnacle Accountancy Group of Utah

(a DBA of Heaton & Co., PLLC)

1438 N. Hwy 89, Ste. 120

Farmington, UT 84025

Ph. 801-447-9572

___________________________________________________________________________________________

 

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

 

To the Board of Directors and Stockholders

C&C Tours, Inc.

Salt Lake City, Utah

 

Opinion on the Financial Statements

 

We have audited the accompanying balance sheets of C&C Tours, Inc. (the Company) as of December 31 2018 and 2017, and the related statements of operations, stockholders’ deficit, and cash flows for the years then ended, and the related notes (collectively referred to as the financial statements). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2018 and 2017, and the results of its operations and its cash flows for the years then ended, in conformity with accounting principles generally accepted in the United States of America.

  

Basis for Opinion

 

These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Company’s financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

 

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audit, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

 

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.

 

Emphasis of Matter

 

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. The Company has suffered recurring losses and has no operations which raise substantial doubt about its ability to continue as a going concern. Management’s plans in regard to these matters are described in Note 2. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.

 

/s/ Pinnacle Accountancy Group of Utah

 

We have served as the Company’s auditor since 2017.

 

Pinnacle Accountancy Group of Utah

Farmington, Utah

March 12, 2019

 

 
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C & C TOURS, INC.

Balance Sheets

 

 

 

DEC 31,

2018

 

 

DEC 31,

2017

 

ASSETS

 

 

 

 

 

 

CURRENT ASSETS

 

 

 

 

 

 

Cash

 

$ 275

 

 

$ 675

 

Total current assets

 

 

275

 

 

 

675

 

 

 

 

 

 

 

 

 

 

TOTAL ASSETS

 

$ 275

 

 

$ 675

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)

 

 

 

 

 

 

 

 

CURRENT LIABILITIES

 

 

 

 

 

 

 

 

Accounts payable

 

$ 7,900

 

 

$ 6,600

 

Loans payable - current

 

 

152,940

 

 

 

140,640

 

Accrued interest

 

 

45,098

 

 

 

33,590

 

Total current liabilities

 

 

205,938

 

 

 

180,830

 

TOTAL LIABILITIES

 

 

205,938

 

 

 

180,830

 

 

 

 

 

 

 

 

 

 

STOCKHOLDERS' EQUITY (DEFICIT)

 

 

 

 

 

 

 

 

Common stock, 20,000,000 shares authorized at $.001 par value, 2,937,000 shares issued and outstanding at December 31, 2018 and December 31, 2017

 

 

2,937

 

 

 

2,937

 

Additional paid-in capital

 

 

34,970

 

 

 

34,970

 

Accumulated deficit

 

 

(243,570 )

 

 

(218,062 )

Total stockholders' equity (deficit)

 

 

(205,663 )

 

 

(180,155 )

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)

 

$ 275

 

 

$ 675

 

 

The accompanying notes are an integral part of these financial statements.

 

 
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C & C TOURS, INC.

Statements of Operations

 

 

 

FOR THE YEAR ENDED

DEC 31,

2018

 

 

FOR THE YEAR ENDED

DEC 31,

2017

 

 

 

 

 

 

 

 

Revenues

 

$ --

 

 

$ --

 

 

 

 

 

 

 

 

 

 

Expenses

 

 

 

 

 

 

 

 

General and administrative

 

 

14,000

 

 

 

14,289

 

Total expenses

 

 

14,000

 

 

 

14,289

 

 

 

 

 

 

 

 

 

 

Net operating loss before other expense

 

 

(14,000 )

 

 

(14,289 )

 

 

 

 

 

 

 

 

 

Other income (expense), non-operating

 

 

 

 

 

 

 

 

Interest expense

 

 

(11,508 )

 

 

(7,403 )

Total other income (expense)

 

 

(11,508 )

 

 

(7,403 )

 

 

 

 

 

 

 

 

 

Loss from operations before income taxes

 

 

(25,508 )

 

 

(21,692 )

 

 

 

 

 

 

 

 

 

Income taxes

 

 

--

 

 

 

--

 

 

 

 

 

 

 

 

 

 

Net loss

 

$ (25,508 )

 

$ (21,692 )

 

 

 

 

 

 

 

 

 

Basic and diluted net loss per share

 

$ (0.01 )

 

$ (0.01 )

 

 

 

 

 

 

 

 

 

Weighted average shares outstanding

 

 

2,937,000

 

 

 

2,937,000

 

 

The accompanying notes are an integral part of these financial statements.

 

 
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C & C TOURS, INC.

Statement of Shareholders’ Equity (Deficit)

For the Years Ended December 31, 2017 and 2018

 

 

 

Common Stock

 

 

Additional

Paid-in

 

 

Accumulated

 

 

Total

Shareholders’

 

 

 

Shares

 

 

Amount

 

 

Capital

 

 

Deficit

 

 

Deficit

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance December 31, 2016

 

 

2,937,000

 

 

$ 2,937

 

 

$ 34,970

 

 

$ (196,370 )

 

$ (158,463 )

Net loss for the year ended December 31, 2017

 

 

--

 

 

 

--

 

 

 

--

 

 

 

(21,692 )

 

 

(21,692 )

Balance December 31, 2017

 

 

2,937,000

 

 

 

2,937

 

 

 

34,970

 

 

 

(218,062 )

 

 

(180,155 )

Net loss for the year ended December 31, 2018

 

 

--

 

 

 

--

 

 

 

--

 

 

 

(25,508 )

 

 

(25,508 )

Balance December 31, 2018

 

 

2,937,000

 

 

$ 2,937

 

 

$ 34,970

 

 

$ (243,570 )

 

$ (205,663 )

 

The accompanying notes are an integral part of these financial statements.

 

 
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C & C TOURS, INC.

Statements of Cash Flows

 

 

 

FOR THE YEAR ENDED

DEC 31, 2018

 

 

FOR THE YEAR ENDED

DEC 31, 2017

 

 

 

 

 

 

 

 

Cash Flows from Operating Activities

 

 

 

 

 

 

Net loss

 

$ (25,508 )

 

$ (21,692 )

Adjustments to reconcile net loss to net cash used by operating activities:

 

 

 

 

 

 

 

 

Accounts payable

 

 

7,900

 

 

 

6,600

 

Accrued interest

 

 

11,508

 

 

 

7,403

 

Net cash used by operating activities

 

 

(6,100 )

 

 

(7,689 )

 

 

 

 

 

 

 

 

 

Cash Flows from Investing Activities

 

 

 

 

 

 

 

 

Net cash provided (used) by investing activities

 

 

--

 

 

 

--

 

 

 

 

 

 

 

 

 

 

Cash Flows from Financing Activities

 

 

 

 

 

 

 

 

Proceeds from loans payable

 

 

5,700

 

 

 

6,500

 

Net cash provided by financing activities

 

 

5,700

 

 

 

6,500

 

 

 

 

 

 

 

 

 

 

Net Decrease in Cash

 

 

(400 )

 

 

(1,189 )

 

 

 

 

 

 

 

 

 

Cash at Beginning of Period

 

 

675

 

 

 

1,864

 

 

 

 

 

 

 

 

 

 

Cash at End of Period

 

$ 275

 

 

$ 675

 

 

 

 

 

 

 

 

 

 

Supplemental Cash Flow Information:

 

 

 

 

 

 

 

 

Cash paid for interest

 

$ --

 

 

$ --

 

Cash paid for income taxes

 

$ --

 

 

$ --

 

 

 

 

 

 

 

 

 

 

Conversion of Accounts Payable to Notes Payable

 

$ 6,600

 

 

$ 44,900

 

 

The accompanying notes are an integral part of these financial statements

 

 
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C & C Tours, Inc.

Notes to the Financial Statements

December 31, 2018 and December 31, 2017

 

NOTE 1 - ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

 

Organization and Description of Business

 

The Company was organized under the laws of the State of Nevada on February 22, 1989. The Company was organized as a charter bus business specializing in Nevada tours. In 1991, after about 28 months of unsuccessful charter bus business, the operations were discontinued. On June 12, 2012 the Company filed Articles of Continuance in the State of Wyoming effecting a change in domicile from Nevada to Wyoming. The Company is actively seeking potential business opportunities or potential mergers with existing operating companies.

 

Significant Accounting Policies

 

A summary of the significant accounting policies consistently applied in the preparation of the accompanying financial statements are as follows:

 

a. Accounting Method

 

The Company’s financial statements are prepared using the accrual method of accounting. The Company has elected a December 31 year-end.

 

b. Use of Estimates

 

The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and revenues and expenses during the reporting period. Actual results could differ from those estimates.

 

c. Cash and Cash Equivalents

 

The Company considers all highly liquid investments with maturities of three months or less to be cash equivalents.

 

d. Basic and Fully Diluted Income (Loss) Per Share

 

In accordance with ASC 260, Earnings Per Share (“ASC 260”), the computations of basic loss per share of common stock are based on the weighted average number of common shares outstanding during the period of the financial statements.

 

The computations of fully diluted loss per share of common stock are based on the weighted average number of common shares outstanding during the period of the financial statements, plus the common stock equivalents, which would arise from the exercise of stock options and warrants outstanding during the period, or the exercise of convertible debentures. As of December 31, 2018 and 2017, all common stock activity has been included and there were no items considered to be anti-dilutive.

 

 
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Following is a reconciliation of the loss per share for the years ended December 31, 2018 and 2017, respectively:

 

 

 

For the Years Ended

December 31,

 

 

 

2018

 

 

2017

 

 

 

 

 

 

 

 

Net (loss) available to common shareholders

 

$ (25,508 )

 

$ (21,692 )

Weighted average shares

 

 

2,937,000

 

 

 

2,937,000

 

Basic and fully diluted loss per share (based on weighted average shares)

 

$ (0.01 )

 

$ (0.01 )

 

e. Concentration of Credit Risk

 

Financial instruments, which potentially subject us to concentrations of credit risk, consist principally of cash. Our cash balances are maintained in accounts held by major banks and financial institutions located in the United States. The Company does not maintain amounts on deposit with a financial institution that are in excess of the federally insured limit of $250,000. The Company had $0 of cash balances in excess of federally insured limits at December 31, 2018 and 2017.

 

NOTE 2 - GOING CONCERN

 

As shown in the accompanying financial statements, the Company incurred a net loss of $25,508 and $21,692 during the years ended December 31, 2018 and 2017, respectively. This factor, as well as the uncertain conditions that the Company faces relative to capital raising activities, create substantial doubt as to the Company’s ability to continue as a going concern. The ability of the Company to continue as a going concern is dependent on the Company obtaining adequate capital to fund operating losses until it becomes profitable. If the Company is unable to obtain adequate capital, it could be forced to cease operations.

 

In order to continue as a going concern, the Company will need, among other things, additional capital resources. Management's plan is to obtain such resources for the Company by obtaining capital from management and significant shareholders sufficient to meet its minimal operating expenses and seeking equity and/or debt financing. However, management cannot provide any assurances that the Company will be successful in accomplishing any of its plans.

 

The ability of the Company to continue as a going concern is dependent upon its ability to successfully accomplish the plans described in the preceding paragraph and eventually secure other sources of financing and attain profitable operations. The accompanying financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.

 

NOTE 3 - INCOME TAXES

 

Deferred taxes are provided on a liability method whereby deferred tax assets are recognized for deductible temporary differences and operating loss and tax credit carry-forwards and deferred tax liabilities are recognized for taxable temporary differences. Temporary differences are the differences between the reported amounts of assets and liabilities and their tax basis. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment.

 

 
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The Company currently has no issues creating timing differences that would mandate deferred tax expense. Net operating losses would create possible tax assets in future years. Due to the uncertainty of the utilization of net operating loss carry forwards. A valuation allowance has been made to the extent of any tax benefit that net operating losses may generate. A provision for income taxes has not been made due to net operating loss carry forwards of $243,570 and $218,062 as of December 31, 2018 and 2017 respectively, which may be offset against future taxable income through 2037. No tax benefit has been reported in the financial statements.

 

The Company has evaluated Staff Accounting Bulletin No. 118 regarding the impact of the decreased tax rates of the Tax Cuts & Jobs Act. The schedules below reflect the Federal tax provision, deferred tax asset and valuation allowance using the new rates adjusted in the period of enactment.

 

Deferred tax assets and the valuation account are as follows:

 

 

 

For the Years Ended

December 31,

 

 

 

2018

 

 

2017

 

Net operating loss carryforward (at 21%)

 

$ 51,150

 

 

$ 45,793

 

Valuation allowance

 

 

(51,150 )

 

 

(45,793 )

Deferred tax asset

 

$ --

 

 

$ --

 

 

A reconciliation of amount obtained by applying the Federal tax rate of 21% to pre-tax income to income tax benefit is as follows:

 

 

 

For the Years Ended

December 31,

 

 

 

2018

 

 

2017

 

 

 

 

 

 

 

 

Federal tax benefit (at 21% and 15%)

 

$ 5,357

 

 

$ 4,555

 

Change in valuation allowance

 

 

(5,357 )

 

 

(16,090 )

Effect of rate change on Deferred Tax Asset

 

 

--

 

 

 

11,535

 

 

 

$ --

 

 

$ --

 

 

Due to the change in ownership provisions of the Tax Reform Act of 1986, net operating loss carryforwards for Federal income tax reporting purposes are subject to annual limitations. Should a change in ownership occur, net operating loss carryforwards may be limited as to use in future years.

 

The Company did not have any tax positions for which it is reasonably possible that the total amount of unrecognized tax benefits will significantly increase or decrease within the next 12 months.

 

The Company includes interest and penalties arising from the underpayment of income taxes in the statements of operations in the provision for income taxes. As of December 31, 2018, and 2017, the Company had no accrued interest or penalties related to uncertain tax positions.

 

The tax years that remain subject to examination by major taxing jurisdictions are those for the years ended December 31, 2018, 2017, 2016, and 2015.

 

NOTE 4 - COMMON STOCK TRANSACTIONS

 

There were no stock issuances in 2018 or 2017.

 

 
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NOTE 5 - LOANS PAYABLE

 

Loans payable consists of legal and accounting fees and out-of-pocket costs incurred through third parties. The Company received loan proceeds of $5,700 and $6,500, and converted $6,600 and $44,900 of accounts payable to loans payable during the years ended December 31, 2018 and 2017, respectively, resulting in loans payable of $152,940 and $140,640 at December 31, 2018 and 2017, respectively. These payables are non-collateralized, bear interest at 8%, and are due on demand. As such, these loans are classified as current on the Company’s Balance Sheet. Interest expense for the years ended December 31, 2018 and 2017 totaled $11,508 and $7,403, respectively, resulting in accrued interest of $45,098 and $33,590 at December 31, 2018 and 2017, respectively. No payments on principal or interest have been made to date.

 

NOTE 6 - FAIR VALUE OF FINANCIAL INSTRUMENTS

 

If required by authoritative literature, the Company would account for certain assets and liabilities at fair value.

 

The cash, accounts payable, notes payable and accrued interest have fair values that approximate their carrying values due to the short term nature of these instruments.

 

NOTE 7 - RECENT PRONOUNCEMENTS

 

The Company has evaluated Recent Accounting Pronouncements and has determined that all such pronouncements either do not apply or their impact is insignificant to the financial statements.

 

NOTE 8 - COMMITMENTS AND CONTINGINCIES

 

The Company has not entered into or been engaged in any commitments or contingencies during the years ended December 31, 2018 and 2017. As such, no liability has been recorded on the financial statements for any contingent liability or commitment. The Company has read and addressed SAB Topic 5T and believes all contributed services provided have been accounted for.

 

NOTE 9 - SUBSEQUENT EVENTS

 

The Company has evaluated subsequent events pursuant to ASC No. 855 and determined there are not any material subsequent events occurring after the date of the balance sheet through the date these financial statements were issued requiring disclosure.

 

 
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ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE

 

On July 27, 2017, KLJ & Associates, LLP resigned as C & C Tours, Inc. independent registered public accounting firm. KLJ & Associates, LLP had audited our financial statements for the fiscal years ended December 31, 2016 and 2015.

 

On July 31, 2017, the Company engaged Pritchett Siler & Hardy, P.C., Certified Public Accountants, as our independent registered public accounting firm and they resigned on January 23, 2018. Pritchett Siler & Hardy, P.C. did not complete an audit for any fiscal year.

 

On January 23, 2018, the Company engaged Heaton & Company, PLLC, dba Pinnacle Accountancy Group of Utah, as our independent registered public accounting firm and they audited our financial statements for the fiscal year ended December 31, 2018 and 2017.

 

There were no disagreements between the Company and our independent registered public accounting firms related to accounting principles or practices, financial statement disclosure, internal controls or auditing scope or procedures during the last two fiscal years.

 

ITEM 9A. CONTROLS AND PROCEDURES

 

Disclosure Controls and Procedures

 

We maintain disclosure controls and procedures that are designed to ensure that information required to be disclosed in our filings under the Exchange Act is recorded, processed, summarized and reported within the periods specified in the rules and forms of the SEC. This information is accumulated to allow timely decisions regarding required disclosure. Our President, who serves as our principal executive officer and principal financial officer, evaluated the effectiveness of our disclosure controls and procedures as of the end of the period covered by this report and he determined that our disclosure controls and procedures were ineffective due to a control deficiency. During the period we did not have additional personnel to allow segregation of duties to ensure the completeness or accuracy of our information. Due to the size and operations of the Company we are unable to remediate this deficiency until we acquire or merge with another company.

 

Management’s Annual Report on Internal Control over Financial Reporting

 

Our management is responsible to establish and maintain adequate internal control over financial reporting. Our principal executive officer is responsible to design or supervise a process to be effected by our board of directors that provides reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. The policies and procedures include:

 

 

· maintenance of records in reasonable detail to accurately and fairly reflect the transactions and dispositions of assets,

 

 

 

 

· provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures are being made only in accordance with authorizations of management and directors, and

 

 

 

 

· provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of assets that could have a material effect on our financial statements.

  

For the year ended December 31, 2018, management has relied on the Committee of Sponsoring Organizations of the Treadway Commission (COSO), “Internal Control - Integrated Framework,” to evaluate the effectiveness of our internal control over financial reporting. Based upon that framework, management has determined that our internal control over financial reporting is ineffective due to the lack of additional personnel to allow segregation of duties to ensure the completeness or accuracy of our information.

 

Our management determined that there were no changes made in our internal controls over financial reporting during the fourth quarter of 2018 that have materially affected, or are reasonably likely to materially affect our internal control over financial reporting.

 

ITEM 9B. OTHER INFORMATION

 

None.

 

 
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PART III

 

ITEM 10. DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE

 

Directors and Executive Officers

 

Our directors and executive officers and their respective ages, positions, and biographical information are set forth below. Our bylaws require not less than three directors and our current directors serve until our next annual meeting or until each is replaced by a qualified director. We currently have one vacancy on our board of directors. Our executive officers are chosen by our board of directors and serve at its discretion. There are no existing family relationships between our executive officers or directors.

 

Name

 

Age

 

Position Held

 

Term of Director

Brett D. Taylor

 

57

 

Director, President

 

April 2012 until next annual meeting

J. William Peters

 

67

 

Director, Secretary/Treasurer

 

April 2012 until next annual meeting

 

Brett D. Taylor: Mr. Taylor was appointed as our Director and President on April 25, 2012. Since 2006 he has been employed by Codale Electric Supply as an operations manager. In this position he manages logistics for product delivery, the company safety program, and operations for Idaho, Utah, Nevada, Oregon, Arizona and Wyoming. Prior to working for Codale, he owned and operated Moab Cyclery and Kaibab Tours for 12 years. These companies provided recreational equipment and services to visitors to southern Utah.

 

The Board believes his experience as an owner of small private companies providing services to the public may provide valuable insights during the investigation of business opportunities.

 

J. William Peters: Mr. Peters was appointed as our Director and Secretary/Treasurer on April 10, 2012. Mr. Peters retired in December 2012. Prior to his retirement, Mr. Peters was employed as an office manager and worked in a property management company. During the past ten years Mr. Peters has served as a director and executive officer of Cancer Capital Corp.; a company that has a class of securities registered with the SEC pursuant to Section 12. Mr. Peters studied business administration at Long Beach Community College and California Polytechnic State University in San Luis Obispo, California.

 

The Board believes Mr. Peters’ experience serving in management positions for private companies and public reporting companies may prove significant in our search for a business opportunity. The Board also believes his experience with public reporting companies may be critical to our operations moving forward.

 

 
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Involvement in Legal Proceedings

 

During the past ten years none of our executive officers have been involved in any legal proceedings that are material to an evaluation of their ability or integrity; namely: (1) filed a petition under federal bankruptcy laws or any state insolvency laws, nor had a receiver, fiscal agent or similar officer appointed by a court for the business or property of such person, or any partnership in which he was a general partner at or within two years before the time of such filing, or any corporation or business association of which he was an executive officer at or within two years before the time of such filing; (2) been convicted in a criminal proceeding or named subject to a pending criminal proceeding (excluding traffic violations and other minor offenses); (3) been the subject of any order, judgment or decree, not subsequently reversed, suspended or vacated, of any court of competent jurisdiction, permanently or temporarily enjoining him from or otherwise limiting his involvement in any type of business, securities or banking activities; or (4) been found by a court of competent jurisdiction in a civil action, by the SEC or the Commodity Futures Trading Commission to have violated any federal or state securities law, and the judgment in such civil action or finding by the SEC has not been subsequently reversed, suspended, or vacated.

 

Compliance with Section 16(a) of the Exchange Act

 

Section 16(a) of the Securities Exchange Act of 1934 requires our directors, executive officers and persons who own more than ten percent of a registered class of our equity securities, to file with the SEC initial reports of ownership and reports of changes in ownership of common stock and our other equity securities. Officers, directors and greater than ten percent beneficial owners are required by SEC regulations to furnish us with copies of all Section 16(a) reports they file. We believe no reports were required to be filed for the year ended December 31, 2018.

 

Code of Ethics

 

Since we have only two persons serving as directors and executive officers and because we have minimal operations, we have not adopted a code of ethics for our principal executive and financial officers. Our board of directors will revisit this issue in the future to determine if adoption of a code of ethics is appropriate. In the meantime, our management intends to promote honest and ethical conduct, full and fair disclosure in our reports to the SEC, and comply with applicable governmental laws and regulations.

 

Corporate Governance

 

We are a smaller reporting company with minimal operations and only two directors and officers. As a result, we do not have a standing nominating committee for directors, nor do we have an audit committee with an audit committee financial expert serving on that committee. Our entire board of directors acts as our nominating and audit committee.

 

ITEM 11. EXECUTIVE COMPENSATION

 

Executive Officer Compensation

 

Our current principal executive officers did not receive compensation during the past fiscal year ended December 31, 2018. None of our named executive officers received any cash or non-cash compensation during the past two years, nor did any executive officers have outstanding equity awards at year end. We currently have no employment contracts with our executive officers and their compensation, if any, will be determined at the discretion of our board of directors. In accordance with SAB Topic 5T, the Company believes all services and expenses contributed by management have been accounted for in the Company’s financials.

  

We do not offer retirement benefit plans to our executive officers, nor have we entered into any contract, agreement, plan or arrangement, whether written or unwritten, that provides for payments to a named executive officer at, or in connection with, the resignation, retirement or other termination of a named executive officer, or a change in control of the company or a change in the named executive officer’s responsibilities following a change in control.

 

 
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Director Compensation

 

We have not paid compensation to any directors during the past two fiscal years. We do not have any arrangement for compensation of our directors for any services provided as director, including services for committee participation or for special assignments.

 

ITEM 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS

 

Securities Under Equity Compensation Plans

 

None.

 

Beneficial Ownership

 

The following table sets forth the beneficial ownership of our outstanding common stock by our management. We are not aware of any person or group that beneficially owns more than 5% of our outstanding common stock. Beneficial ownership is determined in accordance with Rule 13d-3 under the Exchange Act, and generally includes voting or investment power with respect to the securities. Except as indicated by footnote, the persons named in the table below have sole voting power and investment power with respect to all shares of common stock shown as beneficially owned by them. The percentage of beneficial ownership is based on 2,937,000 shares of common stock outstanding as of March 20, 2019.

 

MANAGEMENT

Name of beneficial owner

 

Amount and nature

of beneficial ownership

 

 

Percent

of class

 

J. William Peters

 

 

140,000 (1)

 

 

4.8 %

Directors and officers as a group

 

 

140,000

 

 

 

4.8 %

_______ 

(1) Represents shares held by Liberty Partners, LLC of which Mr. Peters is an affiliate.

  

ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE

 

Transactions with Related Parties

 

During the past two fiscal we have not engaged in nor do we propose to engage in any transactions involving our executive officers, directors, more than 5% stockholders, or immediate family members of these persons.

 

Director Independence

 

None of our directors are independent directors as defined by NASDAQ Stock Market Rule 5605(a)(2). This rule defines persons as “independent” who are neither officers nor employees of the company and have no relationships that, in the opinion of the board, would interfere with the exercise of independent judgment in carrying out their responsibilities as directors.

 

 
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ITEM 14. PRINCIPAL ACCOUNTING FEES AND SERVICES

 

Auditor Fees

 

The following table presents the aggregate fees billed by our principal accounting firms, Pinnacle Accountancy Group of Utah, Pritchett Siler & Hardy, P.C. and KLJ & Associates, LLP, for each of the last two fiscal years in connection with the audit of our financial statements and other professional services.

 

 

 

Pinnacle Accountancy Group of Utah

 

 

Pritchett Siler & Hardy, P.C.

 

 

KLJ & Associates, LLP

 

 

 

2018

 

 

2017

 

 

2017

 

Audit fees

 

$ 5,400

 

 

$ 1,600

 

 

$ 3,600

 

Audit-related fees

 

 

0

 

 

 

0

 

 

 

0

 

Tax fees

 

 

0

 

 

 

0

 

 

 

0

 

All other fees

 

$ 0

 

 

$ 0

 

 

$ 0

 

 

Audit fees represent fees for professional services rendered by our principal accountant for the audit of our annual financial statements and review of the financial statements included in our Forms 10-Q or services that are normally provided by our principal accountant in connection with statutory and regulatory filings or engagements.

 

Audit-related fees represent professional services rendered for assurance and related services by the accounting firm that are reasonably related to the performance of the audit or review of our financial statements that are not reported under audit fees.

 

Tax fees represent professional services rendered by the accounting firm for tax compliance, tax advice, and tax planning.

 

All other fees represent fees billed for products and services provided by the accounting firm, other than the services reported for the other three categories.

 

Pre-approval Policies

 

We do not have an audit committee currently serving and as a result our board of directors performs the duties of an audit committee. Our board of directors will evaluate and approve in advance the scope and cost of the engagement of an auditor. All services rendered by our principal accountant are performed pursuant to a written engagement letter between us and the principal accountant. We do not rely on pre-approval policies and procedures.

 

 
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PART IV

 

ITEM 15. EXHIBITS, FINANCIAL STATEMENT SCHEDULES

 

(a)(1) Financial Statements

 

The audited financial statements of C & C Tours, Inc. are included in this report under Item 8 on pages 12 through 21.

 

(a)(2) Financial Statement Schedules

 

All financial statement schedules are included in the footnotes to the financial statements or are inapplicable or not required.

 

(a)(3) Exhibits

 

The following documents have been filed as part of this report.

 

Exhibit No. 

 

Description

3(i).1

 

Articles of Incorporation of C & C Tours, dated February 2, 1989 (Incorporated by reference to exhibit 3(i).1 to Form 10, filed November 8, 2012)

 

 

 

3(i).2

 

Wyoming Articles of Continuance of C & C Tours, dated June 12, 2012 (Incorporated by reference to exhibit 3(i).2 to Form 10, filed November 8, 2012)

 

 

 

3(ii)

 

Bylaws of C & C Tours, dated May 20, 2012 (Incorporated by reference to exhibit 3(ii) to Form 10, filed November 8, 2012)

 

 

 

31.1

 

Principal Executive Officer Certification 

 

 

 

31.2

 

Principal Financial Officer Certification 

 

 

 

32.1

 

Section 1350 Certification

 

 

 

101.INS*

 

XBRL Instance Document

 

 

 

101.SCH*

 

XBRL Taxonomy Extension Schema Document

 

 

 

101.CAL*

 

XBRL Taxonomy Calculation Linkbase Document

 

 

 

101.DEF*

 

XBRL Taxonomy Extension Definition Linkbase Document

 

 

 

101.LAB*

 

XBRL Taxonomy Label Linkbase Document

 

 

 

101.PRE*

 

XBRL Taxonomy Presentation Linkbase Document

___________

* XBRL (Extensible Business Reporting Language) information is furnished and not filed or a part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, is deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and otherwise is not subject to liability under these sections. 

 

 
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SIGNATURES

 

Pursuant to the requirements of the Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, there unto duly authorized

 

C & C TOURS, INC.

     
By: /s/ Brett D. Taylor

 

Brett D. Taylor

 
 

President

 
     

Date: March 20, 2019

 

  

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

 

By: /s/ Brett D. Taylor

 

Brett D. Taylor

 
 

Principal Executive Officer 

Principal Financial and Accounting Officer

 
  Director and President  

 

 

 

Date: March 20, 2019

 

 

 

 

By:

/s/ J. William Peters

 

 

J. William Peters

 

 

Director and Secretary/Treasurer

 

 

 

 

Date: March 20, 2019

 

 

 

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