The following discussion should be read in conjunction with our financial
statements, including the notes thereto, appearing elsewhere in this Report. The
following discussion contains forward-looking statements that reflect our plans,
estimates and beliefs. Our actual results could differ materially from those
discussed in the forward- looking statements. Factors that could cause or
contribute to such differences include, but are not limited to those discussed
below and elsewhere in this Report. Our audited financial statements are stated
in United States Dollars and are prepared in accordance with United States
Generally Accepted Accounting Principles.
Trans Global Group, Inc. (the "Company") was formed in the State of Delaware on
December 31, 1993 as Teletek, Inc. On October, 2007, the Company changed its
name to Trans Global Group, Inc., its current name. The Company's purpose is to
seek, investigate and, if such investigation warrants, acquire an interest in
business opportunities presented to it by persons or firms who or which desire
to seek the perceived advantages of an issuer who has complied with the Exchange
Act. The Company will not restrict its search to any specific business,
industry, or geographical location and the Company may participate in a business
venture of virtually any kind or nature and we have not established any
particular criteria upon which we consider a business opportunity. This
discussion of the proposed business herein is purposefully general and is not
meant to be restrictive of the Company's virtually unlimited discretion to
search for and enter into potential business opportunities. Management
anticipates that it may be able to participate in only one potential business
venture because the Company has nominal assets and limited financial resources.
Results of Operations
During the three months ended March 31, 2022 and 2021, we generated no revenues.
Our operating expenses for the same periods were comprised of operating expenses
of $4,234 and $10,820, respectively, resulting in net loss of $4,234 for the
three months ended March 31, 2022 compared to a net loss of $$10,820 for the
three months ended March 31, 2021. Our operating expenses consisted of mainly
professional fees for the three months ended March 31, 2022 and 2021,
respectively. The decrease of operating expenses was mainly due to the decrease
of professional fees.
Our total assets as of March 31, 2022 were $Nil.
As of March 31, 2022, the Company had 20,665,578,306 shares of common stock
issued and outstanding.
On January 30, 2020, the Company exchanged 1,200,000 shares of old series AA
preferred stock for 200,000 shares of new series AA preferred stock. On
September 20, 2020, the Company issued 800,000,000 shares of common stock to VS
Services, LLC for conversion of note and accrued interests. On September 22,
2020, the Company issued 20,000 shares of series B preferred stock to Chen Ren.
On March 7, 2022, 200,000 shares of series AA preferred stock were converted
into 12,000,000,000 shares of common stock.
7
Liquidity and Capital Resources
For the three months ended March 31, 2022 and 2021, the Company had a negative
cash flow of $4,234 and $10,820 respectively. The Company's principal sources
and uses of funds were as follows:
For the three months ended March 31, 2021, the Company used $4,234 in cash for
operations as compared to $10,820 for the three months ended March 31, 2021.
Such decrease was primarily due to lower net loss in three months ended March
31, 2022. The net cash provided by the financing activities for the three months
ended March 31, 2022 was $4,234 as compared to $10,820 for the three months
ended March 31, 2021. Such decrease was a result of less advances from the
related parties.
The Company's financial statements have been prepared on a going-concern basis
which contemplates the realization of assets and the settlement of liabilities
and commitments in the normal course of business. The Company's liquidity and
capital needs relate primarily to working capital and other general corporate
requirements. The Company's operations do not currently provide cash flow. To
date, the Company has funded its operations by advances from related parties.
The business will require significant amounts of capital in the near term to
sustain operations and make the investments it needs to continue operations and
execute its longer-term business plan.
As of March 31, 2022 we had cash of $Nil and there were outstanding liabilities
of $82,404. The working capital deficits were $82,404 as of March 31, 2022.
These factors raise substantial doubt about our ability to continue as a going
concern as discussed in the footnotes to our financial statements. To continue
as a going concern the Company will have to obtain financing in the near term to
meet the needs of our on-going operations, generate future revenue from
operations and/or obtain the necessary financing to meet our obligations and
repay our liabilities arising from normal business operations when they come
due. In order to implement its business plan, management's plan includes raising
capital by equity and/or debt financing. However, management cannot provide any
assurances that the Company will be successful in accomplishing any of its
plans. If we issue equity or equity equivalents to raise additional funds, our
existing stockholders will experience dilution and the new holders of securities
may have rights, preferences and privileges senior to those of our existing
stockholders. Management also cannot provide any assurance that unforeseen
circumstances will not increase the need for the Company to raise additional
capital on an immediate basis. There can be no assurance that we will be able to
continue to raise funds if at all, or on terms acceptable to the Company in
which case the Company may be unable to continue its operations or to meet its
obligations. If adequate capital is not available when needed, we will be
required to significantly modify our business plan or cease operations.
Chen Ren, our Chief Executive Officer, is financing our operations by making
advances of funds to cover our expenses. The advances are repayable upon demand
and the obligations do not bear interest. We expect that Chen Ren will continue
to fund our operations until he sells his interest in the Company, and that we
will continue to require additional financing to maintain our existence as a
shell company for the next twelve months. Our management is not required to fund
our operations by any contract or other obligation. In the event that we
undertake to complete an acquisition that requires financing, we will likely
depend on an outside source for such financing. However, we have not identified
any debt or equity financing sources that can be relied upon to provide such
financing.
It is unlikely that we will be able to raise financing through a public offering
of debt or equity.
On March 11, 2020 the World Health Organization declared the novel strain of
coronavirus (COVID-19) a global pandemic and recommended containments and
mitigation measures worldwide. The Company is monitoring this closely, and
although operations have not been materially affected by the coronavirus
outbreak to date, the ultimate severity of the outbreak is uncertain. Operations
of the Company are ongoing. Further the uncertain nature of the spread of
COVID-19 globally may impact our business operations due to the quarantine of
employees, customers, and third-party service providers.
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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