BORROWMONEY.COM, INC. The following information specifies certain forward-looking statements of management of the Company. Forward-looking statements are statements that estimate the happening of future events are not based on historical fact. Forward-looking statements may be identified by the use of forward-looking terminology such as, "may," "shall," "could," "expect," "estimate," "anticipate," "predict," "probable," "possible," "should," "continue," or similar terms, variations of those terms or the negative of those terms. The forward-looking statements specified in the following information have been complied by our management and considered by management to be reasonable. Our future operating results, however, are impossible to predict and no representation, guaranty, or warranty is to be inferred from those forward-looking statements.
The assumptions used for purposes of the forward-looking statements specified in the following information represent estimates of future events and are subject to uncertainty as to possible changes in economic, legislative, industry and other circumstances. As a result, the identification and interpretation of data and other information and their use in developing and selecting assumptions from and among reasonable alternatives require the exercise of judgment. To the extent that the assumed events do not occur, the outcome may vary substantially from anticipated or projected results, and accordingly, no opinion is expressed on the achievability of these forward-looking statements. No assurance can be given that any of the assumptions relating to the forward-looking statements specified in the following information are accurate, and we assume no obligation to update any such forward-looking statements.
Overview
We also serve as a valued partner to lenders seeking an efficient, scalable and flexible source of customer acquisition with directly measurable benefits, by matching the consumer inquiries we generate with these lenders.
Our
In addition to operating our core mortgage inquiry and Leads business, we are focused on growing our non-mortgage lending businesses and developing new product offerings and enhancements to improve the experiences that consumers and lenders have as they interact with us. By expanding our portfolio of loans and other product offerings, we are growing and diversifying our business and sources of revenue. We intend to capitalize on our expertise in performance marketing, product development and technology, and to leverage the widespread recognition of the BorrowMoney.com brand to affect this strategy.
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We believe the consumer and small business financial services industry is in the early stages of a fundamental shift to online product offerings, similar to the shift that started in retail and travel many years ago and is now well established. We believe that like retail and travel, as consumers continue to move towards online shopping and transactions for financial services, suppliers will increasingly shift their product offerings and advertising budgets toward the online channel. We believe the strength of our brands and of our lender network place us in a strong position to continue to benefit from this market shift.
We are an "emerging growth company," as defined in Section 2(a) of the Securities Act, as modified by the Jumpstart Our Business Startups Act of 2012, or the JOBS Act. As such, we are eligible to take advantage of certain exemptions from various reporting requirements that are applicable to other public companies that are not "emerging growth companies" including, but not limited to, not being required to comply with the auditor attestation requirements of Section 404 of the Sarbanes-Oxley Act of 2002, or the Sarbanes-Oxley Act, reduced disclosure obligations regarding executive compensation in our periodic reports and proxy statements, and exemptions from the requirements of holding a non-binding advisory vote on executive compensation and stockholder approval of any golden parachute payments not previously approved. If some investors find our securities less attractive as a result, there may be a less active trading market for our securities and the prices of our securities may be more volatile.
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 intend to take advantage of the benefits of this extended transition period until we are no longer an "emerging growth company."
We will remain an emerging growth company until the earlier of (1) the last day
of the fiscal year (a) following the fifth anniversary of the completion of an
offering completed on May, 2017, (b) in which we have total annual gross revenue
of at least
Limited Operating History
We have not previously demonstrated that we will be able to expand our business through an increased investment in our product line and/or marketing efforts. We cannot guarantee that the expansion efforts described in this report will be successful. Our business is subject to risks inherent in growing an enterprise, including limited capital resources and possible rejection of our products and/or sales methods.
Plan of Operations
During the next 12 months, we expect to take the following steps in connection with the further growth of our business in the implementation of a plan of operations:
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We are presently operational with respect to our technology and are ready to
obtain agreements with lenders for geographic areas and ZIP Codes. We expect to
spend the next 12 months obtaining agreements with lenders, maintaining our
Internet-based platform, and begin generating revenues for our marketplace
services. Over the next 12 months, our growth is designed to attract a modest
level of business aimed at reaching a breakeven point and create consumer and
lender awareness of the Company as a reliable and credible Internet-based loan
marketplace. The budget for the next 12 months is estimated to be
ACCOUNTING SERVICE$ 23,000 AMAZON (AWS) WEB HOSTING SERVICE, AND MAINTENANCE 7,000 4 EMPLOYEES BASIC EXPENSE COMMISSION BASE ON 1099 20,000 AOL BACK UP EMAIL SERVICE 120 IT UPDATE MAINTENANCE AND SERVICE 10,000
GODADDY, DOMAIN NAMES HOSTING. SERVICE. AND MAINTENANCE 2,500
550
EDGAR FEES 3,500
LEGAL FEES 15,000
LIVE CHAT INC , WEB SITE SERVICE 250
MARKETING MATERIAL 5,000
NETFLIX .COM, DOWNLOAD SERVICE 100
OFFICE SUPPLY 1,000
PERSOLVENT INC, CREDIT CARDS MAINTENANCE SERVICE 220
PUBLIC STORAGE, RENT FOR COMPUTERS AND OFFICE SUPPLY 1,100 QUICK BOOKS ONLINE ACCOUNTING SERVICE
550
OFFICE SPACE RENT 15,000
TELEPHONE SERVICE 3,800
THE FINANCIAL SERVICE, RATES UPDATE SERVICE 600
VSTOCK TRANSFER LLC 1,200
TOTAL $ 110,490 Revenues are expected to be minimal as the volume of lender agreements during this initial stage of operation is expected to be low. We expect to operate at a loss during our initial growth/operating period. No salary is planned to be paid to the President, Directors, or other executive officers until the Company has completed 12 months of operations. Only our contract part time employees will be compensated. We currently have no part time employees.
Contingent upon the successful completion of our next 12 months of operation, we plan to aggressively expand our operation and business. Our expansion would be accompanied by an increase in the number of employees to obtain lender agreements for ever-expanding geographic areas.
Sources of Revenue
Channels of Distribution; Marketing Costs
Results of Operations
Three Months ended
The Company had
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Total operating expenses for the three month period ended
Nine Months ended
The Company had
Total operating expenses for the nine month period ended
Financial Position, Liquidity and Capital Resources
As of
Critical Accounting Policies
Our critical accounting policies, including the assumptions and judgments underlying them, are disclosed in the Notes to the Consolidated Financial Statements. We have consistently applied these policies in all material respects. We do not believe that our operations to date have involved uncertainty of accounting treatment, subjective judgment, or estimates, to any significant degree.
Going Concern
The accompanying consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. Because we have suffered recurring losses from operations and negative operating cash flows, there is substantial doubt about the Company's ability to continue as a going concern. The ability to continue as a going concern is dependent on Management's plans, which include potential asset acquisitions, mergers, or business combinations with other entities, further implementation of its business plan and continuing to raise funds through debt or equity raises. The consolidated financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.
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