Forward Looking Statements
This management's discussion and analysis should be read in conjunction with the financial statements and notes included elsewhere in this registration statement.
This management's discussion and analysis, as well as other sections of this
registration statement, may contain "forward-looking statements" that involve
risks and uncertainties, including statements regarding our plans, future
events, objectives, expectations, estimates, forecasts, assumptions or
projections. Any statement that is not a statement of historical fact is a
forward-looking statement, and in some cases, words such as "believe,"
"estimate," "project," "expect," "intend," "may," "anticipate," "plan," "seek,"
and similar expressions identify forward-looking statements. These statements
involve risks and uncertainties that could cause actual outcomes and results to
differ materially from the anticipated outcomes or results, and undue reliance
should not be placed on these statements. These risks and uncertainties include,
but are not limited to, the matters discussed under the caption "Risk Factors"
in Item 1A of this registration statement.
For the period ended
Overview
The Company qualifies as an "emerging growth company" as defined in the
Jumpstart Our Business Startups Act which became law in
Overview of the Business
The Company commenced jewelry sales on
Jewelry is a traditional industry, inventory can be held huge capital, sales profit is low. Since 2021, JS has implemented the transformation plan. After building its own web-famous platform, JS has eliminate the inventory and used the new modern sales model to create a new sales platform base and realize a new model of sales.
Market Opportunity
In recent years, in the Chinese market, web-celebrity with goods sales model, no
inventory, no stores, using web-celebrity effect, often create new sales
records. JS company has built its own web-celebrity platform and has signed more
than 150 web-celebrity stars to achieve sales performance. Business benefit web
celebrity sales, in
Marketing and Distribution
Marketing will be done through a variety of channels, including the Internet, networking, trade shows, social media, and influencer marketing. In addition, print advertising will target carefully chosen audiences. The distribution channels will be retail branch locations and online through the We Chat platform.
12 Target Market
? Men between 30 and 44 Years - Management believes that this market has a high interest in the purchase of high-end jade jewelry. ? Luxury Market - Luxury jewelry sales. ?Junior Buyers - According to Chinese traditions, people give longevity locks, bracelets, and necklaces to children as goodwill tokens and as a way of wishing them a healthy and happy life. ? Wedding Market - It is estimated that more than 50% of sales are related to weddings. ? Festival Market - Jewelry sales influenced by festivals and anniversaries. Most people buy jewelry as a gift to celebrate birthdays and festivals, especially theLunar New Year and Qixi Festival (the Chinese equivalent ofValentine's Day ). Potential Acquisitions
As an adjunct to its business strategy, the Company will also seek to identify
potential acquisitions which are involved in the operation of jewelry
manufacturing facilities and jewelry retailers in
Capital Formation
The company was formed on
The Company filed a Registration Statement in 2019 to register 1,000,000 IPO
shares together with 456,425 selling shareholder shares. At
During fiscal year 2020, the Company sold an additional 420,000 shares of common
stock in a private placement with gross proceeds of 420,000 (
During fiscal year 2021, the Company sold an additional 412,931 shares of common
stock in a private placement with gross proceeds of
During the remainder of fiscal year 2021, the Company may require additional funding for ongoing operations. There is no guarantee that we will be able to raise any additional capital and have no current arrangements for any such financing.
Results of Operations
Three Months Ended
The following table summarizes the results of our operations during the three
months ended
Percentage Increase Increase Line Item 9/30/2021 9/30/2020 (Decrease) (Decrease) Revenues$ 95,441 $ 80,838 $ 14,603 18.1 % Operating expenses 48,519 79,813 (31,294 ) (39.2 )% Net profit (loss) 34,909 (53,572 ) 88,481 165.2 % Profit (Loss) per share of common stock 0.01 (0.02 ) 0.03 150.0 % 13
We recorded a net profit of
Nine Months Ended
The following table summarizes the results of our operations during the nine
months ended
Percentage Increase Increase Line Item 9/30/2021 9/30/2020 (Decrease) (Decrease) Revenues$ 111,531 $ 309,694 $ (198,163 ) (64.0 )% Operating expenses 167,195 179,216 (12,021 ) (6.7 )% Net profit (loss) (82,722 ) (17,518 ) (65,204 ) (372.2 )% Profit (Loss) per share of common stock (0.03 ) (0.01 ) (0.02 ) (200.0 )%
We recorded a net loss of
Liquidity and Capital Resources
As of
Management believes that the Company's cash on hand will be sufficient to fund all Company obligations and commitments for the next twelve months. Historically, we have depended on loans from our principal shareholders and their affiliated companies to provide us with working capital as required. There is no guarantee that such funding will be available when required and there can be no assurance that our stockholders, or any of them, will continue making loans or advances to us in the future.
At
Coronavirus Pandemic
The outbreak of COVID-19 coronavirus in
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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 or capital expenditures or capital resources that is material to an investor in our securities.
Contractual Obligations and Commitments
None. Seasonality
Our operating results are not affected by seasonality.
Inflation
Our business and operating results are not affected in any material way by inflation.
Critical Accounting Policies Use of estimates
The preparation of our financial statements requires management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Estimates and judgments used are based on management's experience and the assumptions used are believed to be reasonable given the circumstances that exist at the time the financial statements are prepared. Actual results may differ from these estimates.
Emerging Growth Company
The Company has made an election to be an emerging growth company as defined
under the Jumpstart Our Business Startups Act of 2012 ("Jobs Act"). Included
with this election, the Company has also irrevocably elected to use the
provisions within the Jobs Act that allow companies that go public to continue
to use the private company adoption date rules for new accounting policies. In
this regard, the Company has made an irrevocable election to use the extended
transition period provided in Securities Act Section 7(a)(2)(B) for complying
with new or revised accounting standards. Should the Company obtain revenues in
excess of
Other
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