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
10-Q 2020-07-31 Filed 2021-02-10
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10-K 2018-10-31 Filed 2020-03-27
10-Q 2018-07-31 Filed 2020-02-12
10-Q 2018-04-30 Filed 2018-06-19
10-Q 2018-01-31 Filed 2018-03-06
10-K 2017-10-31 Filed 2018-02-13
10-Q 2017-07-31 Filed 2017-09-14
10-Q 2017-04-30 Filed 2017-05-23
10-Q 2017-01-31 Filed 2017-03-17
10-K 2016-10-31 Filed 2017-02-14
10-Q 2016-07-31 Filed 2016-09-14
10-Q 2016-04-30 Filed 2016-06-01
10-Q 2016-01-31 Filed 2016-03-01
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
Note 2
Note 3
Note 4
Note 5
Note 6
Note 7
Note 8
Note 9
Note 10
Note 11
Note 12
Note 13
Item 2. Management's Discussion and Analysis or Plan of Operation.
Item 3. Quantitative and Qualitative Disclosures About Market Risk
Item 4. Controls and Procedures.
Part II. Other Information
Item 1. Legal Proceedings
Item 1A. Risk Factors
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
Item 3. Defaults Upon Senior Securities
Item 4. Mine Safety Disclosures
Item 5. Other Information
Item 6. Exhibits.
EX-31.1 exhibit_31-1.htm
EX-31.2 exhibit_31-2.htm
EX-32.1 exhibit_32-1.htm
EX-32.2 exhibit_32-2.htm

Quest Management Earnings 2018-07-31

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_20180731-10q.htm QUARTERLY REPORT

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, 2018

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)

797 South First Street

Fulton, NY 13069

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

 

(315) 701-1031
(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     Emerging growth company  
(Do not check if a smaller reporting company)     

 

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 [   ] NO [ X ]

State the number of shares outstanding of each of the issuer's classes of common equity, as of the latest practicable date: 61,055,120 shares as of February 7, 2020

 
 

QUEST MANAGEMENT INC.

July 31, 2018

FORM 10-Q

 

TABLE OF CONTENTS

 

Item # Description

Page

Numbers

     
  PART I  
     
ITEM 1 UNAUDITED FINANCIAL STATEMENTS AND NOTES TO FINANCIAL STATEMENTS

1-10

 

     
ITEM 2 MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS 11
     
ITEM 3 QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK 14
     
ITEM 4 CONTROLS AND PROCEDURES 14
     
  PART II  
     
ITEM 1 LEGAL PROCEEDINGS 15
     
ITEM 1A RISK FACTORS 15
     
ITEM 2 UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS 15
     
ITEM 3 DEFAULTS UPON SENIOR SECURITIES 15
     
ITEM 4 MINE SAFETY DISCLOSURES 15
     
ITEM 5 OTHER INFORMATION 15
     
ITEM 6 EXHIBITS 16
     
  SIGNATURES 16

 

ITEM 1.     FINANCIAL STATEMENTS

QUEST MANAGEMENT INC.
(A Development Stage Company)
Balance Sheets (Unaudited)
       
      (Audited)
   As at July 31, 2018  As at October 31, 2017
       
ASSETS
       
Current Assets      
      Cash  $5,332   $1,640 
           
           
Total Current Assets   5,332    1,640 
           
Fixed Assets          
       Property (Net)   7,173    7,321 
           
           
Total Fixed Assets   7,173    7,321 
           
           
           
Total Assets  $12,505   $8,961 
           
           
LIABILITIES & STOCKHOLDERS' EQUITY
           
Current Liabilities          
      Accounts Payable   —      —   
      Promissory Note Payable   1,605    1,605 
      Accrued Interest (Promissory Note Payable)   373    325 
      Loan Payable - Related Party   4,066    4,066 
           
           
Total Current Liabilities   6,044    5,996 
           
Stockholders' Equity          
           
Common stock, ($0.001 par value, 750,000,000 shares          
  authorized; 61,055,120 shares issued and outstanding          
  as of July 31, 2018 and October 31, 2017  $20,000   $20,000 
Additional Paid-In Capital   39,000    39,000 
Net profit/ (loss) accumulated during development stage   (52,539)   (56,034)
           
           
Total Stockholders' Equity   6,461    2,966 
       Total Liabilities &          
             Stockholders' Equity  $12,505   $8,961 

 

1

 

 
 

QUEST MANAGEMENT INC.
(A Development Stage Company)
Statements of Operations (Unaudited)
                
                
               October 12, 2014
   Three Months  Three Months  Nine Months  Nine Months  (inception)
   Ended  Ended  Ended  Ended  through
   July 31, 2018  July 31, 2017  July 31, 2018  July 31, 2017  July 31, 2018
                
Revenues               
                          
Merchandise Sales  $13,775   $9,168   $36,443   $30,668   $271,576 
Cost of Goods Sold   (7,078)   (5,984)   (20,958)   (24,271)   (221,158)
                          
                          
Gross Profit   6,697    3,185    15,485    6,396    50,418 
                          
Expenses                         
                          
General and Administration   6,669    —      11,794    14,619    86,996 
Interest Expense   16    —      48    —      373 
Depreciation   49    49    148    148    742 
Research & Development   —      —      —      —      14,846 
                          
                          
Total Expenses   6,735    49    11,990    14,767    102,957 
                          
                          
Net Income (Loss)  $(38)  $3,135   $3,495   $(8,371)  $(52,539)
                          
Net Loss Per Basic and                         
Diluted share   (0.00)   0.00    0.00    (0.00)     
                          
                          
Weighted average number of Common Shares outstanding   61,055,120    61,055,120    61,055,120    61,055,120      

 

2

 

 
 
QUEST MANAGEMENT INC.
(A Development Stage Company)
Statements of Cash Flows (Unaudited)
          
         October 12, 2014
   Nine Months  Nine Months  (inception)
   Ended  Ended  through
   July 31, 2018  July 31, 2017  July 31, 2018
          
CASH FLOWS FROM OPERATING ACTIVITIES         
          
    Net gain (loss)  $3,460   $(8,371)  $(52,574)
    Adjustments to reconcile net loss to net cash               
       provided by / (used in) operating activities:               
                
    Changes in operating assets and liabilities:               
     Accounts Payable   35    (5,000)   35 
     Accrued Interest - Promissory Note Payable   48    —      373 
     Promissory Note Payable   —      1,605    1,605 
     Loan Payable - Related Party   —      —      4,066 
                
                
     Net cash provided by (used in) operating activities   3,543    (11,766)   (46,495)
                
CASH FLOWS FROM INVESTING ACTIVITIES               
                
     Property   —      —      (7,915)
     Depreciation   148    148    742 
                
                
     Net cash provided by (used in) investing activities   148    148    (7,173)
                
CASH FLOWS FROM FINANCING ACTIVITIES               
                
     Issuance of common stock   —      15,000    59,000 
                
                
     Net cash provided by (used in) financing activities   —      —      59,000 
                
    Net increase (decrease) in cash   3,691    3,383    5,332 
    Cash at beginning of period   1,640    301    —   
                
                
    Cash at end of period  $5,332   $3,685   $5,332 
                
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION               
                
Cash paid during year for :               
                
     Interest  $—     $—     $—   
                
     Income Taxes  $—     $—     $—   

3

 

 
 

QUEST MANAGEMENT INC.

NOTES TO THE FINANCIAL STATEMENTS

JULY 31, 2018

 

Note 1

 

ORGANIZATION AND BASIS OF PREPARATION

 

Quest Management Inc. (the “Company”) is a for profit corporation established under the corporate laws of the State of Nevada on October 12, 2014 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.

 

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.

 

Note 2

 

SIGNIFICANT ACCOUNT POLICIES

 

2.1 Interim Financial Statements

The accompanying unaudited financial statements have been prepared in accordance with the instructions from Regulation S-X and do not include all of the information and disclosures required by generally accepted accounting principles for complete financial statements. All adjustments which are, in the opinion of management, necessary for a fair presentation of the results of operations for the interim period(s), and to make the financial statements not misleading, have been made and are of a recurring nature unless otherwise disclosed herein. The results of operations for such interim period(s) are not necessarily indicative of operations for a full year.

 

2.2 Use of Estimates and Assumptions

The preparation of 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 and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the period. Actual results could differ from those estimates.

 

Due to the limited level of operations, the Company has not had to make material assumptions or estimates other than the assumption that the Company is a going concern.

 

2.3 Fair Value of Financial Instruments

ASC 825, “Disclosures about Fair Value of Financial Instruments”, requires disclosure of fair value information about financial instruments. ASC 820, “Fair Value Measurements” defines fair value, establishes a framework for measuring fair value in generally accepted accounting principles, and expands disclosures about fair value measurements. Fair value estimates discussed herein are based upon certain market assumptions and pertinent information available to management as of July 31, 2018.

 

The respective carrying values of certain on-balance-sheet financial instruments approximate their fair values. These financial instruments include cash, accounts payable and related party loan payable. Fair values were assumed to approximate carrying values for these financial instruments since they are short term in nature and their carrying amounts approximate fair value.

 

2.4 Cash & Cash Equivalents

The Company considers all highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents.

 

4

 

 
 

  

 

QUEST MANAGEMENT INC.

NOTES TO THE FINANCIAL STATEMENTS

JULY 31, 2018

 

2.5 Revenue Recognition

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.

 

2.6 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.

 

2.7 Basic and Diluted Loss Per Share

The Company computes earnings (loss) per share in accordance with ASC 260-10-45 “Earnings per Share”, which requires presentation of both basic and diluted earnings per share on the face of the statement of operations. Basic earnings (loss) per share is computed by dividing net earnings (loss) available to common stockholders by the weighted average number of outstanding common shares during the period. Diluted earnings (loss) per share gives effect to all dilutive potential common shares outstanding during the period. Dilutive earnings (loss) per share excludes all potential common shares if their effect is anti-dilutive. The Company has no potential dilutive instruments, and therefore, basic and diluted earnings (loss) per share are equal.

 

2.8 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, 2018.

 

5

 

 
 

QUEST MANAGEMENT INC.

NOTES TO THE FINANCIAL STATEMENTS

JULY 31, 2018

Note 3

 

RECENT ACCOUNTING PRONOUNCEMENT

 

The Company has adopted all recent accounting pronouncements as applicable and will continue to review and adopt those applicable as released within the timeframe required.

 

Note 4

 

CONCENTRATIONS

 

Initial sales are concentrated with one client. Sales are made without collateral, and the credit-related losses are insignificant or non-existent. Accordingly, there is no provision made to include an allowance for doubtful accounts.

 

 

Note 5

 

FIXED ASSETS

 

Fixed assets are stated at cost, net of accumulated depreciation and accumulated impairment losses, if any. The cost comprises purchase price, borrowing costs, if capitalization criteria are met and directly attributable cost of bringing the asset to its working condition for the intended use. Any subsidy/reimbursement/contribution received for installation and acquisition of any fixed assets is shown as deduction in the year of receipt. Capital work- in progress is stated at cost.

 

Subsequent expenditure related to an item of fixed assets is added to its book value only if it increases the future benefits from the existing asset beyond its previously assessed standard of performance. All other expenses on existing fixed assets, including day-to-day repairs and maintenance expenditure and cost of replacing parts, are charged to the Statement of Profit and Loss for the period during which such expenses are incurred.

 

Gains or losses arising from de-recognition of fixed assets are measured as the difference between the net disposal proceeds and the carrying amount of the assets derecognized.

 

We purchased our principal executive offices at 1 Kalnu iela, Malta, LV-4630 Latvia, on October 30, 2014 for $7,915. 

 

The Company depreciates its property using straight-line depreciation over the estimated useful life of 40 years.

 

For the three months ended July 31, 2018 the company recorded $49 in depreciation expense. From inception (October 12, 2014) through July 31, 2018 the company has recorded a total of $742 in depreciation expense.

 

Note 6

 

LOAN PAYABLE - RELATED PARTY

 

The Director and President of the Company has loaned the company for operations from time to time on need basis. The balance as of July 31, 2018 of $4,066 is being carried as a loan payable. The loan is non-interest bearing, unsecured and payable upon demand.

 

 

 

6

 

 
 

QUEST MANAGEMENT INC.

NOTES TO THE FINANCIAL STATEMENTS

JULY 31, 2018

Note 7

 

PROMISSORY NOTE PAYABLE

 

On May 31, 2016, the Company issued a Convertible Promissory Note in the principal amount of $16,605 to Peak Marine Holdings LLC, a Florida limited liability company (“Peak”). This Convertible Promissory Note (the “Note”) was issued in consideration of advances and loans made by Peak to the Company.

 

Pursuant to the terms of the Note, the holder has the right to convert any portion of the principal amount thereof at the par value of the Company’s common stock. The holder also has the right to assign any portion of the Note, or assign the shares to be issued upon any conversion of the Notes, to other parties. During the month of December 2016, Peak sold all its interest in the Note to five (5) independent third parties (the “Holders”).

 

During the month of January 2017, the Holders provided notices of election to convert a total of $15,000 of the

Note into shares, which totaled 15,000,000 shares of common stock. The remaining balance on the Note is $1,605.

To date the Company has recorded $373 in accrued interest payable on the Note.

 

Note 8

 

COMMON STOCK AND ISSUANCE

 

The Company has authorized 750,000,000 common shares at $0.001 par value, of which 61,055,120 shares are issued and outstanding as of July 31, 2018.

 

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.

 

500,000 shares were issued to our sole director for services on February 1, 2016.

 

On February 2, 2016, Quest Management Inc. (the "Company") filed Articles of Amendment with the Nevada SOS whereby it authorized a forward split at a ratio of ten-for-one share (10:1) of the Company's issued and outstanding shares of Common Stock. The Company also increased the authorized number of shares of Common Stock from 75,000,000 shares to 750,000,000 at a par value of $0.001.

 

On February 10, 2016, the Company filed an Issuer Company-Related Action Notification Form with FINRA requesting the forward split at a ratio of ten-for-one share be effected in the market on February 22, 2016.

 

On October 7, 2016, the Company filed Articles of Amendment to its Articles of Incorporation with the Nevada Secretary of State whereby it amended its Articles of Incorporation by decreasing the Company’s total issued and outstanding shares of common stock by conducting a reverse split of such shares at the rate of one (1) share for every one thousand (1,000) shares issued and outstanding. The reverse split resulted in the balance of 55,120 shares of issued and outstanding shares, including 120 shares issued in lieu of fractional shares.

 

46,000,000 shares were issued to our sole director for services on December 8, 2016.

 

During the month of January 2017, the Holders of a Promissory Note (see Note 7) provided notices of election to convert a total of $15,000 of the Note into shares, which totaled 15,000,000 shares.

 

7

 

 
 

  

 

QUEST MANAGEMENT INC.

NOTES TO THE FINANCIAL STATEMENTS

JULY 31, 2018

Note 9

 

INCOME TAXES

 

We use 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. There was no income tax expense for the years ended October 31, 2017 and 2016. The rate was as follow;

 

Federal   34%
State   5%
    39%

 

The significant components of deferred tax assets and liabilities are as follows:

        FROM INCEPTION
   OCTOBER  OCTOBER  (OCTOBER 12, 2014)
   31,  31,  TO
   2017  2016  OCTOBER 31, 2017
Deferred tax assets         
Net operating losses  $—     $(14,283)  $(56,034)
 Deferred tax liability               
Net deferred tax assets  $—     $5,570   $21,853 
Less valuation allowance  $—     $(5,570)  $(21,853)
Deferred tax asset - net valuation allowance  $—     $—     $—   

 

8

 

 
 

 

QUEST MANAGEMENT INC.

NOTES TO THE FINANCIAL STATEMENTS

JULY 31, 2018

 

Note 10

 

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. On February 1, 2016, 500,000 shares were issued to our sole director for services. On December 8, 2016, 46,000,000 shares were issued to our sole director for services. The director currently holds 46,045,000 shares of our common stock.

 

The Director and President of the Company has loaned the company operating funds from time to time. The balance as of July 31, 2018 of $4,066 is being carried as a loan payable. The loan is non-interest bearing, unsecured and payable 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 11

 

LEGAL MATTERS

 

On December 2, 2019, one of the Company’s shareholders made a motion and application to be appointed as custodian of the Company based on prior management abandoning its responsibilities to continue making filings at the Nevada Secretary of State’s office and for failing to hold a shareholders’ meeting in over 2 years and otherwise failing to keep current in its obligations to the Company.  Upon motion and application to the District Court, Clark County Nevada, the Court granted the shareholder’s request and the shareholder was appointed as custodian for the Company (“Custodian”). As Custodian of the Company, the shareholder was ordered to file an amendment to the Company’s articles of incorporation which was filed in conformity with N.R.S. 78.347(4) and the shareholder was ordered to have the Company’s charter reinstated in Nevada, to notice and hold a shareholder meeting; to provide a report to the Court of the actions taken at the shareholder meeting; to identify and name a new registered agent in the State of Nevada; to reinstate the Company in the State of Nevada; and the Custodian. In addition to the aforementioned items set forth in the Order Appointing the Custodian, the Custodian was given the power and authority to take any action it deemed reasonable and for the benefit of the Company and its shareholders.  The Custodian is now in the process of meeting all of the requirements set forth in the Court Order and filing a motion to terminate its services.  Upon granting the motion, the Court will issue an Order acknowledging that the Custodian has performed all of the duties that had been required of it and the management of the Company will revert exclusively to the officers and directors appointed by the Custodian.

 

 

9

 

 
 

 

QUEST MANAGEMENT INC.

NOTES TO THE FINANCIAL STATEMENTS

JULY 31, 2018

 

Note 12

 

GOING CONCERN

 

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

 

The Company had limited operations during the period from October 12, 2014 (date of inception) to July 31, 2018 with a net loss of $52,574. 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 has funded operations of the Company through the proceeds from its 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 operation 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 obtaining additional funding would be detrimental to the Company.

 

 

Note 13

 

SUBSEQUENT EVENTS

The Company has evaluated events subsequent through the date these financial statements have been issued on July 13, 2018 and the date of filing on February 7, 2020 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 event it was determined that no subsequent events occurred that require recognition or disclosure in the financial statements. 

 

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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, 2018 were $12,505, which was comprised of $5,332 cash in the bank and $7,173 (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.

 

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.

 

500,000 shares were issued to our sole director for services on February 1, 2016.

 

On February 2, 2016, Quest Management Inc. (the "Company") filed Articles of Amendment with the Nevada SOS whereby it authorized a forward split at a ratio of ten-for-one share (10:1) of the Company's issued and outstanding shares of Common Stock. The Company also increased the authorized number of shares of Common Stock from 75,000,000 shares to 750,000,000 at a par value of $0.001.

 

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On February 10, 2016, the Company filed an Issuer Company-Related Action Notification Form with FINRA requesting the forward split at a ratio of ten-for-one share be affected in the market on February 22, 2016.

 

On October 7, 2016, the Company filed Articles of Amendment to its Articles of Incorporation with the Nevada Secretary of State whereby it amended its Articles of Incorporation by decreasing the Company’s total issued and outstanding shares of common stock by conducting a reverse split of such shares at the rate of one (1) share for every one thousand (1,000) shares issued and outstanding. The reverse split resulted in the balance of 55,120 shares of issued and outstanding shares, including 120 shares issued in lieu of fractional shares.

 

46,000,000 shares were issued to our sole director for services on December 8, 2016.

 

During the year October 31, 2017, the Company issued a Convertible Promissory Note in the principal amount of $16,605 to Peak Marine Holdings LLC, a Florida limited liability company (“Peak”). This Convertible Promissory Note (the “Note”) was issued in consideration of advances and loans made by Peak to the Company.

Pursuant to the terms of the Note, the holder has the right to convert any portion of the principal amount thereof at the par value of the Company’s common stock. The holder also has the right to assign any portion of the Note or assign the shares to be issued upon any conversion of the Notes, to other parties. During the month of December 2016, Peak sold all its interest in the Note to five (5) independent third parties (the “Holders”).

During the month of January 2017, the Holders provided notices of election to convert a total of $15,000 of the Note into shares, which totaled 15,000,000 shares of common stock. The remaining balance on the Note at July 31, 2018 is $1,605.

Our revenues for the three months ended July 31, 2018 and 2017 was $13,775 and $9,168, respectively. Our cost of goods sold for the three months ended July 31, 2018 and 2017 was $7,078 and $5,984 resulting in gross profit of $6,697 and $3,185, respectively. Our operating expenses for the three months ended July 31, 2018 and 2017 were $6,735 and $49 resulting in net income (loss) of $(38) and $3,135, respectively.

 

Our revenues for the nine months ended July 31, 2018 and 2017 was $36,443 and $30,668, respectively. Our cost of goods sold for the nine months ended July 31, 2018 and 2017 was $20,958 and $24,271 resulting in gross profit of $15,485 and $6,396, respectively. Our operating expenses for the nine months ended July, 2018 and 2017 were $11,990 and $14,767 resulting in net income (loss) of $3,495 and $(8,371), respectively.

 

As of July 31, 2018, there is a total of $4,066 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, 2018. For detailed financial information, see the financial statements included in this report.

 

Balance Sheet Data: 7/31/2018
    
Cash  $5,332 
Total assets  $12,505 
Total liabilities  $6,044 
Stockholder’s equity  $6,461 

 

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Plan of Operation for the next 12 months

 

Our cash balance is $5,332 as of July 31, 2018. 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.

 

Over the next twelve months we plan to engage in the following activities to expand our business operations if revenues will support the expense:

 

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 

 

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.

 

Liquidity and Capital Resources

 

At July 31, 2018 the Company had $5,332 in cash and there were outstanding liabilities of $6,079. 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.

 

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ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

 

Smaller reporting companies are not required to provide the information required by this item.

 

 

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 Yamilka Veras, 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 Yamilka Veras, 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, 2018 and as of the date of filing on February 7, 2020.

 

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, 2018, 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 1. LEGAL PROCEEDINGS

 

On December 2, 2019, one of the Company’s shareholders made a motion and application to be appointed as custodian of the Company based on prior management abandoning its responsibilities to continue making filings at the Nevada Secretary of State’s office and for failing to hold a shareholders’ meeting in over 6 years and otherwise failing to keep current in its obligations to the Company.  Upon motion and application to the District Court, Clark County Nevada, the Court granted the shareholder’s request and the shareholder was appointed as custodian for the Company (“Custodian”). As Custodian of the Company, the shareholder was ordered to file an amendment to the Company’s articles of incorporation which was filed in conformity with N.R.S. 78.347(4) and the shareholder was ordered to have the Company’s charter reinstated in Nevada, to notice and hold a shareholder meeting; to provide a report to the Court of the actions taken at the shareholder meeting; to identify and name a new registered agent in the State of Nevada; to reinstate the Company in the State of Nevada; and the Custodian. In addition to the aforementioned items set forth in the Order Appointing the Custodian, the Custodian was given the power and authority to take any action it deemed reasonable and for the benefit of the Company and its shareholders.  The Custodian is now in the process of meeting all of the requirements set forth in the Court Order and filing a motion to terminate its services.  Upon granting the motion, the Court will issue an Order acknowledging that the Custodian has performed all of the duties that had been required of it and the management of the Company will revert exclusively to the officers and directors appointed by the Custodian.

 

There were no other legal proceedings threatened or otherwise. 

 

ITEM 1A. RISK FACTORS

 

Smaller reporting companies are not required to provide the information required by this item.

 

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

 

None.

 

ITEM 3. DEFAULTS UPON SENIOR SECURITIES

 

None.

 

ITEM 4. MINE SAFETY DISCLOSURES

 

N/A

 

ITEM 5. OTHER INFORMATION

 

None.

 

 

 

 

 

 

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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

 

 

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: February 11, 2020

By /s/ Yamilka Veras

 

Yamilka Veras

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


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