RBR Global : Period ending June 30 2022 and 2021 Financials I Compilation report

RBR GLOBAL INC.

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE SIX MONTHS ENDED

JUNE 30, 2022 AND 2021

Independent Accountant's Compilation Report	3
FINANCIAL STATEMENTS:
Consolidated Balance Sheets as of June 30, 2022, and 2021	4
Consolidated Statements of Operations for the Six Months Ended June 30, 2022
and 2021	5
Consolidated Statements of Changes in Stockholders' Equity (Deficit) as of
June 30, 2022, and 2021	6
Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2022
and 2021	7
Notes to the Consolidated Financial Statements	8 - 21

INDEPENDENT ACCOUNTANT'S COMPILATION REPORT

To the Stockholders of

RBR Global Inc. and Subsidiary

Lake Mary, FL

Management is responsible for the accompanying financial statements of RBR Global, Inc. and Subsidiary (the "Company"), which comprise the consolidated balance sheets as of June 30, 2022 and 2021, and the related statements of operations and changes in stockholders' equity, and cash flows for the six months ended June 30, 2022 and 2021, and the related notes to the financial statements in accordance with accounting principles generally accepted in the United States of America. We have performed a compilation engagement in accordance with Statements on Standards for Accounting and Review Services promulgated by the Accounting and Review Services Committee of the AICPA. We did not audit or review the financial statements nor were we required to perform any procedures to verify the accuracy or completeness of the information provided by management. Accordingly, we do not express an opinion, a conclusion, nor provide any form of assurance on these financial statements.

Net Loss, Working Capital Deficit and Management's Plan

As discussed in Note 1, the Company had a net loss for the six months ended June 30, 2022 of approximately $2,981,000 and a working capital deficit as of June 30, 2022 of approximately $8,218,000. In addition, as of June 30, 2022, the Company had a stockholders' deficit of approximately $10,109,000. In the event management's plans as described in Note 1 to the financial statements are not achieved, the Company's ability to meet its obligations in the normal course of business could be adversely impacted.

De La Hoz, Perez and Barbeito, PLLC

August 11, 2022

Coral Gables, Florida

RBR Global Inc

(f/k/a Channel Holdings Inc.)

and Subsidiary

Consolidated Balance Sheets

June 30,

(See Independent Accountant's Compilation Report)

ASSETS		2022			2021
Current assets
Cash	$	385,377	$	4,639,534
Merchant cash advances, net of allowance for
doubtful accounts of $3,638,655 and $1,915,294 at
June 30, 2022 and 2021, respectively.		6,605,889			5,706,487
Other current assets		636,904			-
Total current assets		7,628,170			10,346,021
Right of use asset		214,476			274,441
Security deposit		14,936			14,936
Total assets	$	7,857,582	$	10,635,398
LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)
Current liabilities
Accounts payable and accrued expenses		1,234,938			1,125,922
Derivative Liability		3,274,400			-
Convertible debt, net of discounts		7,564,706			7,900,000
Note payable		3,771,904			4,183,133
Total current liabilities		15,845,948			13,209,055
Notes payable, net of debt issuance costs of $301,481 and $424,721 at
June 30, 2022 and 2021, respectively		1,901,209			12,562,773
Lease liability		219,014			278,239
Total liabilities		17,966,171			26,050,067
Commitments and contingencies (Note 6)
Stockholders' equity (deficit)		177,396			93
Preferred stock, $0.001 par value, 10,000,000 shares authorized, 1
Additional paid-in capital		7,301,756			94,896
Accumulated deficit		(17,587,741)			(15,509,658)
Total stockholders' equity (deficit)		(10,108,589)			(15,414,669)
Total liabilities and stockholders' equity (deficit)	$	7,857,582	$	10,635,398

See accompanying notes to consolidated financial statements.

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RBR Global Inc

(f/k/a Channel Holdings Inc.)

and Subsidiary

Consolidated Statements of Operations

For the Six Months Ended June 30,

(See Independent Accountant's Compilation Report)

		2022			2021
MERCHANT CASH ADVANCE INCOME	$	4,507,214	$	3,611,365
OPERATING EXPENSES
Salaries and wages		1,531,192			1,732,977
General and administrative		2,651,153			2,722,713
Interest		1,039,593			1,208,709
Bad debt		1,223,621			1,202,650
Consulting fees		472,203			245,287
TOTAL OPERATING EXPENSES		6,917,762			7,112,336
LOSS FROM OPERATIONS		(2,410,548)			(3,500,971)
OTHER INCOME (EXPENSE)
Derivative liability loss		(614,200)			-
Foreign currency exchange income		175,350			404,642
Amortization of debt discount		(133,697)			-
Other income		1,978			-
TOTAL OTHER INCOME (EXPENSE), NET		(570,569)			404,642
NET LOSS	$	(2,981,117)	$	(3,096,329)

See accompanying notes to consolidated financial statements.

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