Company Quick10K Filing
Quest Management
Price-0.00 EPS0
Shares61 P/E-0
MCap-0 P/FCF0
Net Debt-0 EBIT0
TEV-0 TEV/EBIT-0
TTM 2018-04-30, in MM, except price, ratios
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10-K 2015-10-31 Filed 2016-01-29
10-Q 2015-07-31 Filed 2015-09-17
10-Q 2015-04-30 Filed 2015-06-08
10-Q 2015-01-31 Filed 2015-03-18
8-K 2020-06-04

QUEST 10Q Quarterly Report

Item 1. Financial Statements
Note 1 - Organization and Basis of Presentation
Note 2 - Going Concern
Note 3 - Recent Accounting Pronouncements
Note 4 - Property
Note 5 - Common Stock and Issuance
Note 6 - Debt
Note 7 - Related Party Transactions
Note 8 - Income Taxes
Note 9 - Subsequent Events
Item 2. Management's Discussion and Analysis or Plan of Operation.
Item 4. Controls and Procedures.
Part II. Other Information
Item 6. Exhibits.
EX-31.1 quest_ex311.htm
EX-31.2 quest_ex312.htm
EX-32.1 quest_ex321.htm
EX-32.2 quest_ex322.htm

Quest Management Earnings 2015-07-31

Balance SheetIncome StatementCash Flow
24255191541405389523851-12502014201520172019
Assets, Equity
3157015748-74-15896-31718-475402014201520172019
Rev, G Profit, Net Income
40000225125024-12464-29952-474402014201520172019
Ops, Inv, Fin

10-Q 1 quest_10q.htm FORM 10-Q quest_10q.htm

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 10-Q

 

x

QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

 

 

FOR THE QUARTERLY PERIOD ENDED JULY 31, 2015

 

Commission file number 333-201215

 

QUEST MANAGEMENT INC.

(Exact name of registrant as specified in its charter)

 

Nevada

(State or other jurisdiction of incorporation or organization)

 

1 Kalnu iela

Malta, LV-4630, Latvia

(Address of principal executive offices, including zip code.)

 

(702) 907-8836

(Telephone number, including area code)

 

Check whether the issuer (1) filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the past 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 last 90 days. YES x NO ¨

 

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted 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 and post such files). YES x NO ¨

 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of "large accelerated filer, "accelerated filer," "non-accelerated filer," and "smaller reporting company" in Rule 12b-2 of the Exchange Act.

 

Large accelerated filer

¨

Accelerated filer

¨

Non-accelerated filer

¨

Smaller reporting company

x

 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). YES ¨ NO x

 

State the number of shares outstanding of each of the issuer's classes of common equity, as of the latest practicable date: 5,000,000 shares as of July 31, 2015.

 

 

 

 

ITEM 1. FINANCIAL STATEMENTS

 

QUEST MANAGEMENT INC.

(A Development Stage Company)

Balance Sheet


   

 

 

(Unaudited)

 

 

(Audited)

 

 

 

As of

 

 

As of

 

 

 

July 31,

2015

 

 

October 31,

2014

 

 

 

 

 

 

 

 

ASSETS

Current Assets

 

 

 

 

 

 

Cash

 

$ 6,317

 

 

$ 4,632

 

 

 

 

 

 

 

 

 

 

Total Current Assets

 

 

6,317

 

 

 

4,632

 

 

 

 

 

 

 

 

 

 

Fixed Assets

 

 

 

 

 

 

 

 

Property

 

 

7,915

 

 

 

7,915

 

Accumulated Depreciation

 

 

(148 )

 

 

-

 

 

 

 

 

 

 

 

 

 

Total Fixed Assets

 

 

7,767

 

 

 

7,915

 

 

 

 

 

 

 

 

 

 

Total Assets

 

$ 14,083

 

 

$ 12,547

 

 

 

 

 

 

 

 

 

 

LIABILITIES & STOCKHOLDERS' EQUITY

Current Liabilities

 

 

 

 

 

 

 

 

Loan Payable - Related Party

 

$ 3,666

 

 

$ 450

 

Accounts Payable

 

 

5,000

 

 

 

-

 

 

 

 

 

 

 

 

 

 

Total Current Liabilities

 

 

8,666

 

 

 

450

 

 

 

 

 

 

 

 

 

 

Stockholders' Equity

 

 

 

 

 

 

 

 

Common stock, ($0.001 par value, 75,000,000 shares

 

 

 

 

 

 

 

 

authorized; 5,000,000 and 4,000,000 shares issued and

 

 

 

 

 

 

 

 

outstanding as of July 31, 2015 and October 31, 2014

 

$ 5,000

 

 

$ 4,000

 

Additional Paid-In Capital

 

 

39,000

 

 

 

-

 

Net profit (loss) accumulated during development stage

 

 

(38,583 )

 

 

8,097

 

 

 

 

 

 

 

 

 

 

Total Stockholders' Equity

 

 

5,417

 

 

 

12,097

 

 

 

 

 

 

 

 

 

 

Total Liabilities & Stockholders' Equity

 

$ 14,083

 

 

$ 12,547

 

 

See Notes to Financial Statements

 

 
2
 

 

QUEST MANAGEMENT INC.

(A Development Stage Company)

Statement of Operations (Unaudited)


   

 

 

Three Months

 

 

Nine Months

 

 

October 12, 2014

(inception)

 

 

 

ended

 

 

ended

 

 

through

 

 

 

July 31, 2015

 

 

July 31, 2015

 

 

July 31, 2015

 

 

 

 

 

 

 

 

 

 

 

Revenues

 

 

 

 

 

 

 

 

 

Merchandise Sales

 

$ 30,006

 

 

$ 92,848

 

 

$ 123,657

 

Cost of Goods Sold

 

 

(24,017 )

 

 

(77,810 )

 

 

(100,050 )
 

 

 

 

 

 

 

 

 

 

 

 

 

Gross Profit

 

 

5,988

 

 

 

15,038

 

 

 

23,607

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Expenses

 

 

 

 

 

 

 

 

 

 

 

 

General and Administration

 

 

30

 

 

 

127

 

 

 

199

 

Depreciation

 

 

49

 

 

 

148

 

 

 

148

 

Advertising

 

 

-

 

 

 

22,866

 

 

 

22,866

 

Research & Development

 

 

-

 

 

 

14,846

 

 

 

14,846

 

Professional Fees

 

 

17,057

 

 

 

24,131

 

 

 

24,131

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Expenses

 

 

17,136

 

 

 

62,118

 

 

 

62,190

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Income (Loss)

 

$ (11,148 )

 

$ (47,080 )

 

$ (38,583 )
 

 

 

 

 

 

 

 

 

 

 

 

 

Net Loss Per Basic and Dilited share

 

 

(0.00 )

 

 

(0.01 )

 

 

(0.01 )
 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average number of Common Shares outstanding

 

 

5,000,000

 

 

 

5,000,000

 

 

 

5,000,000

 

 

See Notes to Financial Statements

 

 
3
 

 

QUEST MANAGEMENT INC.

(A Development Stage Company)

Statement of Cash Flows (Unaudited)


  

 

 

 

 

 

October 12, 2014

 

 

 

Nine Months

 

 

(inception)

 

 

 

Ended

 

 

through

 

 

 

July 31, 2015

 

 

July 31, 2015

 

 

 

 

 

 

 

 

CASH FLOWS FROM OPERATING ACTIVITIES

 

 

 

 

 

 

Net income (loss)

 

$ (47,080 )

 

$ (38,583 )

Adjustments to reconcile net loss to net cash provided by (used in) operating activities:

 

 

 

 

 

 

 

 

Changes in operating assets and liabilities:

 

 

 

 

 

 

 

 

Increase (decrease) in Accounts Payable

 

 

5,000

 

 

 

5,000

 

Accumulated Depreciation

 

 

148

 

 

 

148

 

 

 

 

 

 

 

 

 

 

Net cash provided by (used in) operating activities

 

 

(41,931 )

 

 

(33,434 )
 

 

 

 

 

 

 

 

 

CASH FLOWS FROM INVESTING ACTIVITIES

 

 

 

 

 

 

 

 

Property

 

 

-

 

 

 

(7,915 )
 

 

 

 

 

 

 

 

 

Net cash provided by (used in) investing activities

 

 

-

 

 

 

(7,915 )
 

 

 

 

 

 

 

 

 

CASH FLOWS FROM FINANCING ACTIVITIES

 

 

 

 

 

 

 

 

Loan Payable - Related Party

 

 

3,616

 

 

 

3,666

 

Issuance of common stock

 

 

40,000

 

 

 

44,000

 

 

 

 

 

 

 

 

 

 

Net cash provided by (used in) financing activities

 

 

43,616

 

 

 

47,666

 

 

 

 

 

 

 

 

 

 

Net increase (decrease) in cash

 

 

1,685

 

 

 

6,317

 

 

 

 

 

 

 

 

 

 

Cash at beginning of period

 

 

4,632

 

 

 

-

 

 

 

 

 

 

 

 

 

 

Cash at end of period

 

$ 6,317

 

 

$ 6,317

 

 

 

 

 

 

 

 

 

 

SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION

 

 

 

 

 

 

 

 

Cash paid during year for :

 

 

 

 

 

 

 

 

Interest

 

 

 

 

 

$ -

 

 

 

 

 

 

 

 

 

 

Income Taxes

 

 

 

 

 

$ -

 

 

See Notes to Financial Statements

 

 
4
 

 

QUEST DEVELOPMENT INC.

(A DEVELOPMENT STAGE COMPANY)

NOTES TO FINANCIAL STATEMENTS

July 31, 2015

 

NOTE 1 – ORGANIZATION AND BASIS OF PRESENTATION

 

Quest Management Inc. was incorporated on October 12, 2014, under the laws of the State of Nevada, for the purpose of the development of marketing channels to distribute fitness equipment to the wholesale market in the US.

 

The Company has a year end of October 31st.

 

COMPANY

 

The Company is a development stage company as defined by the Financial Accounting Standards Board's Accounting Standards Codification Topic 915 related to Development Stage Entities. The Company qualifies as a development stage company as it has not generated significant revenues from operations.

 

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

 

INCOME TAXES

 

The Company follows the guidance of the Financial Accounting Standards Board's Accounting Standards Codification Topic 740 related to Income Taxes. According to Topic 740, deferred income taxes are recorded to reflect the tax consequences in future years of temporary differences between the tax basis of the assets and liabilities and their financial amounts at year-end.

 

For federal income tax purposes, substantially all expenses incurred prior to the commencement of operations must be deferred and then they may be written off over a 180-month period. Tax deductible losses can be carried forward for 20 years until utilized for federal tax purposes. The Company will provide a valuation allowance in the full amount of the deferred tax assets since there is no assurance of future taxable income.

 

The Company utilizes the Financial Accounting Standards Board's Accounting Standards Codification Topic 740 related to Income Taxes to account for the uncertainty in income taxes. Topic 740 for Income Taxes clarifies the accounting for uncertainty in income taxes by prescribing rules for recognition, measurement and classification in financial statements of tax positions taken or expected to be in a tax return. Further, it prescribes a two-step process for the financial statement measurement and recognition of a tax position. The first step involves the determination of whether it is more likely than not (greater than 50 percent likelihood) that a tax position will be sustained upon examination, based on the technical merits of the position. The second step requires that any tax position that meets the more likely than not recognition threshold be measured and recognized in the financial statements at the largest amount of benefit that is a greater than 50 percent likelihood of being realized upon ultimate settlement. This topic also provides guidance on the accounting for related interest and penalties, financial statement classification and disclosure. The Company's policy is that any interest or penalties related to uncertain tax positions are recognized in income tax expense when incurred. The Company has no uncertain tax positions or related interest or penalties requiring accrual at July 31, 2015.

 

 
5
 

 

QUEST DEVELOPMENT INC.

(A DEVELOPMENT STAGE COMPANY)

NOTES TO FINANCIAL STATEMENTS

July 31, 2015

  

CASH

 

Cash consists of our cash in bank. There was $6,317 in cash as of July 31, 2015.

 

REVENUE RECOGNITION POLICY

 

The Company recognizes revenues and the related costs when persuasive evidence of an arrangement exists, delivery and acceptance has occurred, the price is fixed or determinable, and collection of any resulting receivable is reasonably assured. Costs and expenses are recognized during the period in which they are incurred. Any revenues earned include sales of our exercise equipment. The Company recognizes these sales once delivery time is confirmed by the customer.

 

COST OF SALES

 

Amounts that will be recorded as cost of sales relate to direct expenses incurred in order to fulfill orders of our products. Such costs are recorded and allocated as incurred. Our cost of sales will consist primarily of the cost of product, packaging/labeling costs and shipping expenses.

 

PROPERTY

 

Property was stated at historical cost. Cost represents the purchase price of the asset and other costs incurred to bring the asset into its existing use. Additions and improvements are capitalized while routine repairs and maintenance are charged to expense as incurred. Upon sale or disposition, the historically recorded asset cost and any accumulated depreciation are removed from the accounts and the net amount less proceeds from disposal is charged or credited to other income or expense.

 

The Company utilizes straight-line depreciation over the estimated useful life of the asset.

 

Property – 40 years

Office Equipment – 7 years

 

NET INCOME (LOSS) PER COMMON SHARE

 

Basic income (loss) per common share is computed based upon the weighted average number of common shares outstanding during the period.

 

 
6
 

 

QUEST DEVELOPMENT INC.

(A DEVELOPMENT STAGE COMPANY)

NOTES TO FINANCIAL STATEMENTS

July 31, 2015

  

USE OF ESTIMATES

 

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

 

NOTE 2 - GOING CONCERN

 

The accompanying financial statements and notes have been prepared assuming that the Company will continue as a going concern.

 

For the period ended July 31, 2015, the Company had a net loss of $38,583. The Company’s ability to continue as a going concern is dependent upon the Company’s ability to generate sufficient revenues to operate profitably or raise additional capital through debt financing and/or through sales of common stock.

 

Management plans to fund operations of the Company through the proceeds from its recent offering pursuant to a Registration Statement on Form S-1, private placements of restricted securities or the issuance of stock in lieu of cash for payment of services until such a time as profitable operations are achieved. There are no written agreements in place for such funding or issuance of securities and there can be no assurance that such will be available in the future. Management believes that this plan provides an opportunity for the Company to continue as a going concern.

 

The failure to achieve the necessary levels of profitability or obtain the additional funding would be detrimental to the Company.

 

NOTE 3 - RECENT ACCOUNTING PRONOUNCEMENTS

 

Recent Accounting Pronouncements

 

In June 2014, the FASB issued Accounting Standards Update ("ASU") No. 2014- 10 ("ASU2014-10"), Development Stage Entities (Topic 915), Elimination of Certain Financial Reporting Requirements, Including an Amendment to Variable Interest Entities Guidance in Topic 810, Consolidation. The objective of the amendments in this Update is to improve financial reporting by reducing the cost and complexity associated with incremental reporting requirements for development stage entities. The amendments in this Update also eliminate an exception provided to development stage entities in Topic 810, Consolidation, for determining whether an entity is a variable interest entity on the basis of the amount of investment equity at risk. The amendments related to the elimination of inception-to-date information and the other remaining disclosure requirements of Topic 915 should be applied retrospectively except for the clarification to Topic 275, which shall be applied prospectively.

 

 
7
 

 

QUEST DEVELOPMENT INC.

(A DEVELOPMENT STAGE COMPANY)

NOTES TO FINANCIAL STATEMENTS

July 31, 2015

  

These amendments are effective for annual reporting periods beginning after December 15, 2014, and interim periods therein. The amendment eliminating the exception to the sufficiency-of-equity-at-risk criterion for development stage entities in paragraph 810-10-15-16 should be applied retrospectively for annual reporting periods beginning after December 15, 2015 and interim periods therein. Early application of each of the amendments is permitted for any annual reporting period or interim period for which the entity's financial statements have not yet been issued. The Company expects to adopt ASU 2014-10 in the fourth quarter of 2014 and does not expect this adoption to have a material impact on its financial condition, results of operations or cash flows.

 

In August 2014, the FASB issued Accounting Standards Update ("ASU") No. 2014-15 ("ASU 2014-15"), Presentation of Financial Statements-Going Concern (Subtopic 205-40), Disclosure of Uncertainties about an Entity's Ability to Continue as a Going Concern. The objective of the amendments in this Update is to provide guidance on determining when and how to disclose going-concern uncertainties in the financial statements. The new standard requires management to perform interim and annual assessments of an entity's ability to continue as a going concern within one year of the date the financial statements are issued. An entity must provide certain disclosures if "conditions or events raise substantial doubt about the entity's ability to continue as a going concern." The ASU applies to all entities and is effective for annual periods ending after December 15, 2016, and interim periods thereafter, with early adoption permitted. The Company is evaluating the impact of ASU 2014-15 on its financial condition, results of operations and cash flows.

 

NOTE 4 - PROPERTY

 

The Company’s principal offices are located at 1 Kalnu iela, Malta, LV-4630 Latvia. The property was purchased on October 30, 2014 for $7,915.

 

NOTE 5 - COMMON STOCK AND ISSUANCE

 

The Company has authorized 75,000,000 common shares at $0.001par value, of which 5,000,000 shares are issued and outstanding as of July 31, 2015.

 

4,000,000 shares were issued to our sole director for $4,000 on October 17, 2014.

 

The Company’s Registration Statement on Form S-1 with the U.S. Securities and Exchange Commission to register 2,000,000 shares of common stock was declared effective on February 25, 2015. During March 2015 the company sold a total of 1,000,000 shares of common stock to 30 independent shareholders, pursuant to the Registration Statement, at a price of $.04 per share for total proceeds of $40,000. The offering has been closed.

 

NOTE 6 - DEBT

 

The Director and President of the Company has loaned the company operating funds from time to time. The balance as of July 31, 2015 of $3,666 is being carried as a loan payable. The loan is non-interest bearing, unsecured and due upon demand.

 

 
8
 

 

QUEST DEVELOPMENT INC.

(A DEVELOPMENT STAGE COMPANY)

NOTES TO FINANCIAL STATEMENTS

July 31, 2015

  

NOTE 7 - RELATED PARTY TRANSACTIONS

 

On October 17, 2014, 4,000,000 shares of the Company’s common stock were issued to our sole director for $4,000.

 

The Director and President of the Company has loaned the company operating funds from time to time. The balance as of July 31, 2015 of $3,666 is being carried as a loan payable. The loan is non-interest bearing, unsecured and due upon demand.

 

The Company's sole officer and director is involved in other business activities and may in the future, become involved in other business opportunities as they become available.

 

NOTE 8 - INCOME TAXES

 

The Company uses the asset and liability method of accounting for income taxes in accordance with ASC Topic 740, “Income Taxes.” Under this method, income tax expense is recognized for the amount of: (i) taxes payable or refundable for the current year and (ii) deferred tax consequences of temporary differences resulting from matters that have been recognized in an entity’s financial statements or tax returns. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled.

 

The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the results of operations in the period that includes the enactment date. A valuation allowance is provided to reduce the deferred tax assets reported if based on the weight of the available positive and negative evidence, it is more likely than not some portion or all of the deferred tax assets will not be realized.

 

ASC Topic 740.10.30 clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements and prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. ASC Topic 740.10.40 provides guidance on de-recognition, classification, interest and penalties, accounting in interim periods, disclosure, and transition. We have no material uncertain tax positions for any of the reporting periods presented.

 

NOTE 9 - SUBSEQUENT EVENTS

 

The Company has evaluated events subsequent through the date these financial statements have been issued to assess the need for potential recognition or disclosure in this report. Such events were evaluated through the date these financial statements were available to be issued. Based upon this evaluation, it was determined that no subsequent events occurred that require recognition or disclosure in the financial statements. 

 
9
 

   

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION.

 

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

 

This report contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements relate to future events or our future financial performance. In some cases, you can identify forward-looking statements by terminology such as “may”, “should”, “expects”, “plans”, “anticipates”, “believes”, “estimates”, “predicts”, “potential” or “continue” or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors, including the risks in the section entitled “Risk Factors” and the risks set out below, any of which may cause our or our industry’s actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements.

 

Forward looking statements are made based on management’s beliefs, estimates and opinions on the date the statements are made and we undertake no obligation to update forward-looking statements if these beliefs, estimates and opinions or other circumstances should change. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. Except as required by applicable law, including the securities laws of the United States, we do not intend to update any of the forward-looking statements to conform these statements to actual results.

 

Our financial statements are stated in United States dollars ($US) and are prepared in accordance with United States Generally Accepted Accounting Principles.

 

In this report, unless otherwise specified, all references to "common stock" refer to the common shares in our capital stock.

 

As used in this annual report, the terms "we", "us", "our", “Quest" and “Quest Management” mean Quest Management Inc., unless the context clearly requires otherwise.

 

Results of Operations

 

Our total assets at July 31, 2015 were $14,083, which was comprised of $6,317 cash in the bank and $7,767 (net) in property. We currently anticipate that our legal and accounting fees over the next 12 months as a result of being a reporting company with the SEC, and will be approximately $9,000 per year.

 

We received the initial equity funding of $4,000 from our sole officer and director who purchased 4,000,000 shares of our common stock at $0.001 per share.

 

 
10
 

  

The Company’s Registration Statement on Form S-1 with the U.S. Securities and Exchange Commission to register 2,000,000 shares of common stock was declared effective on February 25, 2015. During March 2015 the company sold a total of 1,000,000 shares of common stock to 30 independent shareholders, pursuant to the Registration Statement, at a price of $.04 per share for total proceeds of $40,000. The offering has been closed.

 

Our revenue for the three months ended July 31, 2015 was $30,006. Our cost of goods sold for the three months ended July 31, 2015 was $24,017 resulting in a gross profit of $5,988. Our operating expenses for the three months ended July 31, 2015 were $17,136 resulting in a net income (loss) of $(11,148). As the Company was incorporated on October 12, 2014 there are no comparative numbers from the previous year.

 

Our revenue for the nine months ended July 31, 2015 was $92,848. Our cost of goods sold for the nine months ended July 31, 2015 was $77,810 resulting in a gross profit of $23,607. Our operating expenses for the nine months ended July 31, 2015 were $62,118 resulting in a net income (loss) of $(47,080). During the nine months ended July 31, 2015 the Company spent $22,866 on product for advertising and promotional purposes and $14,846 in product development. These are not expected to be recurring expenses.

 

Our revenue from inception through July 31, 2015 was $123,657. Our cost of goods sold for the same period was $100,050 resulting in a gross profit of $23,607. Our operating expenses for the same period were $62,190, resulting in a net income (loss) of $38,583, a net gain (loss) of $(.01) per share.

 

As of July 31, 2015, there is a total of $3,666 in a loan payable that is owed by the company to its officer and director for expenses that he has paid on behalf of the company. The loan payable is interest free and payable on demand.

 

The following table provides selected financial data about our Company for the period from the date of incorporation through July 31, 2015. For detailed financial information, see the financial statements included in this report.

 

Balance Sheet Data:

 

7/31/2015

 

 

 

 

 

Cash

 

$ 6,317

 

Total assets

 

$ 14,083

 

Total liabilities

 

$ 8,666

 

Stockholder’s equity

 

$ 5,417

 

 

Plan of Operation for the next 12 months

 

Because we were not able to raise sufficient capital to execute our full business plan, we are now engaged in discussions with third parties regarding alternative directions for the Company that could enhance shareholder value. As of the date of filing this Report on Form 10­Q, we have not entered into any definitive agreement to change our direction. The description of our business below assumes that we will continue with our business as originally planned. However, as noted above, we are in discussions that could lead to another direction for the Company.

 

 
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Our cash balance is $6,317 as of July 31, 2015. We do not believe that our cash balance is sufficient to fund our limited levels of operations beyond one year’s time unless additional revenues are generated.

 

Our independent registered public accountant has issued a going concern opinion. This means that there is substantial doubt that we can continue as an on-going business for the next twelve months unless we generate additional revenue sufficient to maintain operations or obtain additional capital to pay our bills. There is no assurance we will ever reach that stage.

 

Based upon the 50% completion of our recent offering, our plan of operations for the next twelve months is as follows:

 

Over the next twelve months we plan to engage in the following activities to expand our business operations:

 

Gross Proceeds from this Offering(1):

 

$ 40,000

 

 

 

 

 

 

Website Design

 

$ 5,000

 

Advertising

 

$ 15,000

 

Trade Shows/Travel

 

$ 5,500

 

Accounting/Auditing & Legal

 

$ 12,500

 

Office & Administration

 

$ 1,000

 

Working Capital

 

$ 1,000

 

 

 

 

 

 

Total Expenses

 

$ 40,000

 

 

(1)

Expenditures for the 12 months following the completion of this offering. The expenditures are categorized by significant area of activity.

 

Website design: This will include the cost of further developing our web site and Search Engine Optimization.

 

Advertising: This will include advertising our products in different venues including the web, industry specific magazines that are of interest to our target market.

 

Trade Shows: We plan on attending at least one trade show per year, the costs associated with this include booth rental, travel and meals.

 

Accounting/Auditing & Legal: Expenses for accounting will go primarily toward the preparation of financial statements. Expenses for auditing will go to our auditor for our year end audits and quarterly reviews. Expenses for legal fees will go primarily to our lawyer to ensure that all our filings are in order and we are in compliance with different regulatory authorities.

 

Office and Administration: This will be the cost of purchasing small office equipment such as a computer, printer/scanner/copier/fax, expenses such as telephone, electricity, office supplies, etc…

 

Working Capital: Items not accounted for elsewhere or that are difficult to predict such as bank fees, entertainment, software products and office equipment.

 

 
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Liquidity and Capital Resources

 

At July 31, 2015 the Company had $6,317 in cash and there were outstanding liabilities of $8,666. Our director has agreed, verbally, to continue to loan the company funds for operating expenses in a limited scenario, but he has no legal obligation to do so.

 

Off-Balance Sheet Arrangements

 

We do not have 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 that is material to investors.

 

ITEM 4. CONTROLS AND PROCEDURES.

 

Evaluation of Disclosure Controls and Procedures

 

Management maintains “disclosure controls and procedures,” as such term is defined in Rule 13a-15(e) under the Securities Exchange Act of 1934 (the “Exchange Act”), that are designed to ensure that information required to be disclosed in our Exchange Act reports is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission rules and forms, and that such information is accumulated and communicated to management, including our Chief Executive Officer and Chief Financial Officer, as appropriate, to allow timely decisions regarding required disclosure.

 

In connection with the preparation of this quarterly report on Form 10-Q, an evaluation was carried out by management, with the participation of the Chief Executive Officer and the Chief Financial Officer, of the effectiveness of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act) as of July 31, 2015.

 

Based on that evaluation, management concluded, as of the end of the period covered by this report, that our disclosure controls and procedures were effective in recording, processing, summarizing, and reporting information required to be disclosed, within the time periods specified in the Securities and Exchange Commission’s rules and forms.

 

Changes in Internal Controls over Financial Reporting

 

As of the end of the period covered by this report, there have been no changes in the internal controls over financial reporting during the quarter ended July 31, 2015, that materially affected, or are reasonably likely to materially affect, our internal control over financial reporting subsequent to the date of management’s last evaluation.

 

 
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PART II. OTHER INFORMATION

 

ITEM 6. EXHIBITS.

 

The following exhibits are included with this quarterly filing. Those marked with an asterisk and required to be filed hereunder, are incorporated by reference and can be found in their entirety in our Registration Statement on Form S-1, filed under SEC File Number 333-201215, at the SEC website at www.sec.gov:

 

Exhibit No.  

 

 Description

 

 

 

3.1

 

Articles of Incorporation*

 

3.2

 

Bylaws*

 

31.1

 

Sec. 302 Certification of Principal Executive Officer

 

31.2

 

Sec. 302 Certification of Principal Financial Officer

 

32.1

 

Sec. 906 Certification of Principal Executive Officer

 

32.2

 

Sec. 906 Certification of Principal Financial Officer

 

101

 

Interactive data files pursuant to Rule 405 of Regulation S-T

 

 
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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.

 

 

Quest Management Inc.

Registrant

 

       
Date September 16, 2015 By: /s/ Dmitrij Ozolins

 

 

 

Dmitrij Ozolins

 

 

 

(Principal Executive Officer, Principal Financial Officer, Principal Accounting Officer & Sole Director)

 

 

 

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