SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

þ		QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

o		TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission File No. 0-53030

WESTMOUNTAIN ASSET MANAGEMENT, INC.

(Exact Name of Issuer as specified in its charter)

Colorado		26-1315305
(State or other jurisdiction		(IRS Employer File Number)
of incorporation)
123 North College Avenue, Ste 200
Fort Collins, Colorado		80524
(Address of principal executive offices)		(zip code)

(970) 212-4770
(Registrant’s telephone number, including area code)

Indicate by check mark whether the registrant: (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 past 90 days. Yes þ No o

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(Section 232.405 of this chapter) during the preceding 12 months(or such shorter period that the registrant was required to submit and post such files. Yes o No o

Indicate by check mark whether the registrant is a large accelerated filer, a non-accelerated filer, or a smaller reporting company. See definitions of “large accelerated filer,” “accelerated filer,” and “small reporting company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer o		Accelerated filer o		Non-accelerated filer o		Smaller reporting company þ
				(Do not check if a smaller reporting company)

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act) Yes o No þ

The number of shares outstanding of the registrant’s common stock, as of the latest practicable date, May 11, 2011, was 9,061,750.

 

 

FORM 10-Q
WestMountain Asset Management, Inc.

TABLE OF CONTENTS

PART I FINANCIAL INFORMATION
Item 1. Financial Statements
Condensed Consolidated Balance Sheets (Unaudited) at March 31, 2011 and December 31, 2010			3
Condensed Consolidated Statements of Operations (Unaudited) for the three months ended March 31, 2011 and 2010, and for the period October 18, 2007 (inception) through March 31, 2011			4
Condensed Consolidated Statement of Changes in Shareholders’ Equity (Unaudited) for the period from October 18, 2007 (inception) through March 31, 2011			5
Condensed Consolidated Statements of Cash Flows (Unaudited) for the three months ended March 31, 2011 and 2010 and for the period October 18, 2007 (inception) through March 31, 2011			6
Notes to the Condensed Consolidated Financial Statements			7
Item 2. Management’s Discussion and Analysis and Plan of Operation			14
Item 3. Quantitative and Qualitative Disclosures About Market Risk			16
Item 4. Controls and Procedures			16
Item 4T. Controls and Procedures			16
PART II OTHER INFORMATION
Item 1. Legal Proceedings			16
Item 1A. Risk Factors			16
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds			20
Item 3. Defaults Upon Senior Securities			20
Item 4. Submission of Matters to a Vote of Security Holders			20
Item 5. Other Information			20
Item 6. Exhibits			20
Signatures			21
Exhibit 31.1
Exhibit 32.1

PART I FINANCIAL INFORMATION

For purposes of this report, unless otherwise indicated or the context otherwise requires, all references herein to “WestMountain Asset Management,” “we,” “us,” and “our,” refer to WestMountain Asset Management, Inc, a Colorado corporation, and our wholly-owned subsidiaries WestMountain Business Consulting, Inc., WestMountain Valuation Services, Inc., and WestMountain Allocation Analysis, Inc.

ITEM 1.		FINANCIAL STATEMENTS

WestMountain Asset Management, Inc.
(A Development Stage Company)

Condensed Consolidated Balance Sheets

		March 31,				December 31,
		2011				2010
		(unaudited)				(audited)
Assets
Cash and cash equivalents (note 1 and note 9)		$	318,005			$	402,152
Certificates of deposit (note 2)			11,803				11,800
Accounts receivable, related parties (note 7)			22,417				22,417
Note receivable			90,000				90,000
Prepaid expenses			2,156				1,601
Computers, net (note 3 )			3,107				3,896
Intangibles, net (note 4 )			5,867				6,858
Investment, at fair value (note 1 note 9 note 10 note 11)			8,173,635				10,808,319
Deferred tax asset, net (note 5)			24,664				23,947
Deposit (note 10)			—				—
Total assets		$	8,651,654			$	11,370,990
Liabilities and Shareholders’ Equity
Liabilities:
Accounts payable		$	—			$	433
Income tax payable (note 5)			12,174				24,775
Note payable, related parties (note 7)			500,000				500,000
Interest payable, related parties (note 7)			12,329				37,178
Accrued liabilities			9,764				14,523
Accrued liabilities, related parties (note 7)			500				525
Deferred tax liability (note 5)			2,848,234				3,839,311
Total liabilities			3,383,001				4,416,745
Shareholders’ Equity: (note 6)
Preferred stock, $.10 par value; 1,000,000 shares authorized, -0- shares issued and outstanding for 2011 and 2010			—				—
Common stock, $.001 par value; 50,000,000 shares authorized, 9,061,750 shares issued and outstanding for 2011 and 2010			9,062				9,062
Additional paid-in-capital			362,253				362,253
Earnings accumulated during development stage			90,943				93,059
Other comprehensive income, net (note 11)			4,806,395				6,489,871
Total shareholders’ equity			5,268,653				6,954,245
Total liabilities and shareholders’ equity		$	8,651,654			$	11,370,990

The accompanying notes are an integral part of these condensed consolidated financial statements.

WestMountain Asset Management, Inc.
(A Development Stage Company)

Condensed Consolidated Statements of Operations (unaudited)
For the quarters ended March 31, 2011 and 2010 and for the
period October 18, 2007 (inception) through March 31, 2011

										October 18, 2007
		For the quarters ended								(Inception)
		March 31,								Through March 31,
		2011				2010				2011
Revenue: (note 1 and note 7)
Advisory/consulting fees, related parties		$	—			$	82,482			$	132,717
Management fees, related parties			22,417				22,425				341,451
Total revenue			22,417				104,907				474,168
Operating expenses: (note 8)
Sales, general and administrative expenses			13,008				26,980				262,419
Total sales, general and administraive expenses			13,008				26,980				262,419
Net income from operations			9,409				77,927				211,749
Other income/(expense)
Interest income			87				281				13,288
Interest expense			(12,329	)			(3,699	)			(56,708	)
Loss on investment			—				—				(50,000	)
Total other income/(expense)			(12,242	)			(3,418	)			(93,420	)
Net income before income taxes			(2,833	)			74,509				118,329
Provision for income taxes (note 5)			(717	)			15,846				27,386
Net income		$	(2,116	)		$	58,663			$	90,943
Basic and diluted income per share		$	(0.00	)		$	0.01
Basic and diluted weighted average common shares outstanding			9,061,750				9,061,750

The accompanying notes are an integral part of these condensed consolidated financial statements.

WestMountain Asset Management, Inc.
(A Development Stage Company)

Condensed Statement of Changes in Shareholders’ Equity (unaudited)
For the period from October 18, 2007 (inception) through March 31, 2011

																						Earnings
																						Accumulated
		Preferred Stock								Common Stock								Additional				During				Unrealized
						Par								Par				Paid-in				Development				Holdings
		Shares				Value				Shares				Value				Capital				Stage				Gain/(Loss)				Total
Balance at October 18, 2007			—			$	—				—			$	—			$	—			$	—			$	—			$	—
November 19, 2007 common stock shares sold at $0.001 per share			—				—				290,000				290				—				—				—				290
November 20, 2007 common stock shares sold at $0.01 per share			—				—				235,000				235				2,115				—				—				2,350
November 28, 2007 common stock shares sold at $0.04 per share			—				—				8,050,000				8,050				311,950				—				—				320,000
November 30, 2007 common stock shares sold at $0.10 per share			—				—				486,750				487				48,188				—				—				48,675
Net loss, October 18, 2007 (inception) through December 31, 2007			—				—				—				—				—				(29,460	)			—				(29,460	)
Balance at December 31, 2007			—				—				9,061,750				9,062				362,253				(29,460	)			—				341,855
Net income, for the year ended December 31, 2008			—				—				—				—				—				916				—				916
Balance at December 31, 2008			—				—				9,061,750				9,062				362,253				(28,544	)			—				342,771
Other comprehensive income for the year ended December 31, 2009							—				—				—				—				—				12,566,353				12,566,353
Net income, for the year ended December 31, 2009			—				—				—				—				—				74,274				—				74,274
Balance at December 31, 2009			—				—				9,061,750				9,062				362,253				45,730				12,566,353				12,983,398
Other comprehensive income for the year ended December 31, 2010			—				—				—				—				—				—				(6,076,482	)			(6,076,482	)
Net income, for the year ended December 31, 2010			—				—				—				—				—				47,329				—				47,329
Balance at Dectember 31, 2010			—			$	—				9,061,750			$	9,062			$	362,253			$	93,059			$	6,489,871			$	6,954,245
Other comprehensive income for the quarter ended March 31, 2011			—				—				—				—				—				—				(1,683,476	)			(1,683,476	)
Net loss, for the quarter ended March 31, 2011			—				—				—				—				—				(2,116	)			—				(2,116	)
Balance at March 31, 2011			—			$	—				9,061,750			$	9,062			$	362,253			$	90,943			$	4,806,395			$	5,268,653

The accompanying notes are an integral part of these condensed consolidated financial statements.

WestMountain Asset Management, Inc.
(A Development Stage Company)

Condensed Statements of Cash Flows (unaudited)
For the quarters ended March 31, 2011 and 2010 and for the
period October 18, 2007 (inception) through March 31, 2011

										October 18, 2007
		For the quarters ended								(Inception)
		March 31,								through March 31,
		2011				2010				2011
Cash flows from operating activities:
Net income		$	(2,116	)		$	58,663			$	90,943
Adjustments to reconcile net income to net cash used by operating activities:
Depreciation and amortization (note 3 and 4)			1,780				3,348				20,929
Stock received for advisory fees (note 7)			—				(72,483	)			(122,717	)
Changes in operating assets and operating liabilities:
Prepaid expenses			(555	)			(1,924	)			(2,156	)
Accounts receivable, related parties (note 7)			—				8,011				(22,417	)
Accounts payable and accrued liabilities			(30,066	)			13,684				22,593
Income tax payable (note 5)			(13,318	)			(4,174	)			(12,490	)
Net cash (used in)provided by operating activities			(44,275	)			5,125				(25,315	)
Cash flows from investing activities:
Purchases of property and equipment (note 3 and 4)			—				(1,792	)			(29,903	)
Payments for investments (note 10)			(39,869	)			(2,000	)			(396,289	)
Notes receivable			—				—				(90,000	)
Payments for and proceeds from certificates of deposit (note 2)			(3	)			(277	)			(11,803	)
Net cash (used in) investing activities			(39,872	)			(4,069	)			(527,995	)
Cash flows from financing activities:
Payments for notes payable, related parties (note 7)							—				—
Proceeds from notes payable, related parties (note 7)			—				—				500,000
Proceeds from sale of common stock (note 6)			—				—				371,315
Net cash provided by financing activities			—				—				871,315
Net change in cash			(84,147	)			1,056				318,005
Cash and cash equivalents, beginning of period			402,152				70,328				—
Cash and cash equivalents, end of period		$	318,005			$	71,384			$	318,005
Supplemental disclosure of cash flow information:
Cash paid during the period for:
Income tax		$	13,000			$	20,000			$	25,867
Interest		$	—			$	—			$	7,200
Non cash investing activities
Unrealized gains on investments		$	(2,674,553	)		$	(1,524,249	)		$	7,654,629
Deferred income taxes		$	(991,077	)		$	(999,541	)		$	(2,848,234	)

The accompanying notes are an integral part of these condensed consolidated financial statements.

WestMountain Asset Management, Inc.
(A Development Stage Company)

Notes to the Condensed Consolidated Financial Statements
(Unaudited)

(1) Nature of Organization and Summary of Significant Accounting Policies

Nature of Organization and Basis of Presentation

WestMountain Asset Management, Inc. was incorporated in the state of Colorado on October 18, 2007 and on this date approved its business plan and commenced operations.

The Company is a development stage enterprise in accordance with AFC 915 “Accounting and Reporting by Development Stage Enterprises” formerly SFAS No. 7. The Company’s plan is to act as an investment asset manager by raising, investing and managing private equity and direct investment funds for third parties including high net worth individuals and institutions.

Unaudited Financial Information

The accompanying financial information as of March 31, 2011 and for the three months ended March 31, 2011 and 2010, and the period from October 18, 2007 (inception) through March 31, 2011, is unaudited. In the opinion of management, all normal and recurring adjustments which are necessary to provide a fair presentation of the Company’s financial position at March 31, 2011 and its operating results for the three months ended March 31, 2011 and 2010 and the period from October 18, 2007 (inception) through March 31, 2011, have been made. Certain information and footnote data necessary for a fair presentation of financial position and results of operations in conformity with accounting principles generally accepted in the United States of America have been condensed or omitted. It is therefore suggested that these financial statements be read in conjunction with the summary of significant accounting policies and notes to financial statements included in the Company’s annual Report on Form 10-K filed with the Securities and Exchange Commission (the “SEC”) for the year ended December 31, 2010. The results of operations for the three months ended March 31, 2011 is not necessarily an indication of operating results to be expected for the year.

Use of Estimates

The preparation of financial statements in accordance with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Cash Equivalents

The Company considers all highly liquid securities with original maturities of three months or less when acquired to be cash equivalents. As of March 31, 2011 and December 31, 2010, there were $102,653 and $102,571 cash equivalents respectively.

Accounts Receivable

Accounts receivable consists of amounts due from management fees. The Company considers accounts more than 30 days old to be past due. The Company uses the allowance method for recognizing bad debts. When an account is deemed uncollectible, it is written off against the allowance. Management records reasonable allowances to fairly represent accounts receivable amounts that are collectable. For the quarters ended March 31, 2011 and 2010, the company did not record any allowance against our accounts receivable balance.

Revenue

The Company generates revenue by raising, investing and managing private equity and direct investment funds for high net worth individuals and institutions. Revenue is recognized through management fees based on the size of the funds that are managed and incentive income based on the performance of these funds.

Revenue is recognized under the full accrual method. Under the full accrual method, profit may be realized in full when funds are invested and managed, provided (1) the profit is determinable and (2) the earnings process is virtually complete (the Company is not obligated to perform significant activities).

WestMountain Asset Management, Inc.
(A Development Stage Company)
Notes to Condensed Consolidated Financial Statements

Fair Value of Financial Instruments

On January 1, 2008, the Company adopted ASC 820 Fair Value Measures, formerly SFAS 157. ASC 820 defines fair value, establishes a framework for measuring fair value and enhances disclosures about fair value measures required under other accounting pronouncements, but does not change existing guidance as to whether or not an instrument is carried at fair value. The Company’s estimates of fair value for financial assets and financial liabilities are based on the framework established in SFAS 157. The framework is based on the inputs used in valuation and gives the highest priority to quoted prices in active markets and requires that observable inputs be used in the valuations when available. The disclosure of fair value estimates in the ASC 820 hierarchy is based on whether the significant inputs into the valuation are observable. In determining the level of the hierarchy in which the estimate is disclosed, the highest priority is given to unadjusted quoted prices in active markets and the lowest priority to unobservable inputs that reflect the Company’s significant market assumptions. The three levels of the hierarchy are as follows: The Company’s assets measured at fair value on a recurring basis subject to the disclosure requirements of ASC 820 at March 31, 2011, were as follows:

Level 1: Unadjusted quoted market prices for identical assets or liabilities in active markets that the Company has the ability to access.

Level 2: Quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets in inactive markets; or valuations based on models where the significant inputs are observable (e.g., interest rates, yield curves, default rates, etc.) or can be corroborated by observable market data.

Level 3: Valuations based on models where significant inputs are not observable. The unobservable inputs reflect the Company’s own assumptions about the assumptions that market participants would use.

The determination of where assets and liabilities fall within this hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The carrying amounts of financial assets require to be measured at fair value on a recurring basis including our major assets that approximates fair value as determined by using the future expected net cash flows on the sale of the investments. The valuations of the majority of the assets are considered Level 1 fair value measures under ASC 820.

We adopted the remaining provisions of ASC-820 for non-financial assets and liabilities beginning January 1, 2009. Financial Accounting Standards Board (“FASB”) Staff Position (“FSP”) FAS 157-2 deferred the effective date of ASC-820 for one year relative to nonfinancial assets and liabilities that are measured at fair value, but are recognized or disclosed at fair value on a nonrecurring basis. This deferral applied to such items as indefinite-lived intangible assets and nonfinancial long-lived asset groups measured at fair value for impairment assessments. The adoption of the remaining provisions of ASC-820 did not have a material impact on our consolidated results of operations or financial condition.

The following methods and assumptions were used to estimate the fair value of each class of financial instruments:

	1.		Cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities: The carrying amounts approximate fair value because of the short maturity of these instruments.
	2.		Investments: Available-for-sale securities are recorded at fair value based on unadjusted quoted market prices. Unrealized holding gains and losses on available-for-sale securities are excluded from earnings and are reported as a separate component of other comprehensive income (loss) until realized. Realized gains and losses from the sale of available-for-sale securities are determined on a specific identification basis.

A decline in the market value of any available-for-sale security below cost that is deemed to be other than temporary results in a reduction in carrying amount to fair value. The impairment is charged to earnings and a new cost basis for the security is established. Premiums and discounts are amortized or accreted over the life of the related available-for-sale security as an adjustment to yield using the effective interest method. Dividend and interest income are recognized when earned.

Available-for-sale securities are accounted for on a specific identification basis. As of March 31, 2011, we held available-for-sale securities with an aggregate fair value of $8,173,634, including $4,806,395 of net unrealized gains recorded in accumulated other comprehensive income. As of March 31, 2011, all of our available-for-sale securities were invested in publically traded equity holdings. Available-for-sale securities were classified as current based on the percentage of the equity controlled by the Company as well as our intended use the assets. (See Note 9 for details of available for sale investments).

3.

Note payable to related parties: The carrying value of our debt is presented as the face amount of the note due to the short term maturity of the instrument.

WestMountain Asset Management, Inc.
(A Development Stage Company)
Notes to Condensed Consolidated Financial Statements

Assets and Liabilities Measured at Fair Value on a Recurring Basis as of March 31, 2011

Quoted Prices in

Significant

Active Markets for

Other

Significant

Identical Assets and

Observable

Unobservable

Balance as of

Liabilities

Inputs

Inputs

March 31,

Description

(Level 1)

(Level 2)

(Level 3)

2011

Assets:

Available-for-sale securities

$

6,512,184

$

1,661,450

$

—

$

8,173,634

(2) Certificates of Deposit

The company has made it a policy to invest funds over and above its forecasted operating expenses in certificates of deposit. The terms on the certificates have ranged from three to six months.

(3) Computers

The Company currently has three computers that are being depreciated over three years. One computer was place in service in 2008 in the amount of $4,800. An additional computer was purchased in October 2009 in the amount of $3,738. The last computer was purchased in February 2010 in the amount of $935. Depreciation for the quarter ended March 31, 2011 and 2010 was $789 and $763 respectively.

(4) Intangibles

The Company purchased a software program in 2007 in the amount of $8,550. In 2009, additional purchases were made to upgrade the software program in the amount of $402. The software and upgrades are amortized over three years. In the third and fourth quarters of 2009 the Company implemented a website. Total costs recorded for the year ended December 31, 2009 was $10,622. In March 2010 we had additional work done on the website in the amount of $858. We amortize the website costs over a three year period of time. Amortization for the quarters ended March 31, 2011 and 2010 was $990 and $2,584 respectively.

(5) Income Taxes

The Company accounts for income taxes using the asset and liability method of accounting for deferred income taxes. Deferred tax assets and liabilities are recognized for the future tax consequence attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis, operating losses and tax credit carryforwards.

A valuation allowance is required to the extent it is more likely than not that a deferred tax asset will not be realized. 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 operations in the period that includes the enactment date.

In assessing the realization of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the projected future taxable income and tax planning strategies in making this assessment.

(6) Stockholders Equity

On November 19, 2007 the Company sold 290,000 shares of its common stock for $290 or $0.001 per share.

On November 20, 2007 the Company sold 235,000 shares of its common stock for $2,350 or $0.01 per share.

On November 28, 2007 the Company sold 8,050,000 shares of its common stock to WestMountain Blue, LLC, an affiliate, for a cash price of $320,000 or $0.04 per share. The stock transaction made WestMountain Blue, LLC the Company’s majority shareholder.

On November 30, 2007 the Company sold 486,750 shares of its common stock for $48,675 or $0.10 per share. The stock sale was made in reliance on an exemption from registration of a trade in the United States under Rule 504 and/or Section 4(6) of the Act. The Company relied upon exemptions from registration believed by it to be available under federal and state securities laws in connection with the offering.

WestMountain Asset Management, Inc.
(A Development Stage Company)
Notes to Condensed Consolidated Financial Statements

A total of 9,061,750 shares were issued for a total cash price of $371,315. As of December 31, 2007, the common stock issued and outstanding at par is $9,062 or $0.001 per share. The amount over and above the $0.001 par value per share is recorded in the additional paid-in capital account in the amount of $362,253.

There were no changes in common stock and additional paid in capital for the quarters ended March 31, 2011 and 2010.

(7) Related Parties

Bohemian Companies, LLC and BOCO Investments, LLC are two companies under common control. Mr. Klemsz, our President, has been the Chief Investment Officer of BOCO Investments, LLC since March 2007. Since there is common control between the two companies and a relationship with our Company President, we are considering all transactions with Bohemian Companies, LLC and BOCO Investments, LLC, related party transactions.

On January 1, 2008, we entered into a Service Agreement with Bohemian Companies, LLC to provide us with certain defined services. These services include financial, bookkeeping, accounting, legal and tax matters, as well as cash management, custody of assets, preparation of financial documents, including tax returns and checks, and coordination of professional service providers as may be necessary to carry out the matters covered by the Service Agreement. We compensate Bohemian Companies, LLC by reimbursing this entity for the allocable portion of the direct and indirect costs of each employee of Bohemian Companies, LLC that performs services on our behalf. We receive invoices monthly from Bohemian Companies, LLC. This Service Agreement matures on December 31, 2011. Total expenses incurred with Bohemian Companies were $3,000 for each quarter ending March 31, 2011 and 2010. As of March 31, 2011 the Company did not have a balance due to Bohemian Companies, LLC.

For the three months ended March 31, 2011 and 2010 the Company recorded $22,417 and $22,425 in revenue for management fees charged to WestMountain Prime, LLC, a related party. For the period October 18, 2007 (inception) through March 31, 2011 the Company recorded $341,451 in management fees. The Company earns management fees based on the size of the funds managed, and incentive income based on the performance of the funds.

For the three months ended March 31, 2011 and 2010 the Company recorded $-0- and $82,482, respectively, in revenue for advisory fees charged to CapTerra Financial Group, Inc. and Accredited Members, Inc. “AMI”, formerly Across America Real Estate Exchange, Inc., both are related parties. For the period October 18, 2007 (inception) through March 31, 2011 the Company recorded a total of $132,717 in advisory fees.

As of March 31, 2011 and 2010, the Company recorded $22,417 and 22,425 as an accounts receivable. The accounts receivable balance, for both years, represent fourth quarter management fees that were due from WestMountain Prime, LLC. Both amounts were paid off in the following respective first quarters.

On October 15, 2008, the Company signed a promissory note in the amount of $75,000 from BOCO Investments, Inc. The interest rate on the note was 12%. All principal and interest of this note was paid in full in 2009. On September 15, 2009 the Company signed a promissory note with BOCO Investments, Inc. (BOCO), a related party, in the amount of $150,000. The note matured in March 2010 and has been extended to March 2011. On June 30, 2010 the Company entered into a new note for $500,000 with an interest rate of 10% and a maturity date of June 30, 2011. The September 15, 2009 note for $150,000 was canceled and the principal and interest was rolled into the new note. As of March 31, 2011 the full amount of the note and related accrued interest, in the amount of $512,329 is outstanding.

The Company entered into an agreement with SP Business Solutions (“SP”) to provide accounting and related services for the Company. The owner, Joni Troska, was appointed Secretary of WestMountain Asset Management, Inc on March 19, 2010, and is considered to be a related party. As of March 31, 2011 an accrual of $500 has been recorded for unpaid services.

In December 2009 the Company formed three new companies, WestMountain Business Consulting, Inc., WestMountain Allocation Analytics, Inc. and WestMountain Valuation Services, Inc. that are included in our consolidated financial statements. We transferred $2,000 into each checking account in December 2009. As of March 31, 2011, no other activity has been recorded.

On September 29, 2010 CapTerra Financial Group, Inc. merged with Nexcore Group LP. The Company provided advisory services related to the transaction and for those services received 1,645,000 warrants. In December the warrants were exercised and the resulting investment in equity securities have been recorded at a fair value of $2,451,050 as of December 31, 2010. The equity securities have been restricted and cannot be sold for two years.

WestMountain Asset Management, Inc.
(A Development Stage Company)
Notes to Condensed Consolidated Financial Statements

(8) Operating Expenses

The total administrative expense recorded on the financials for the period October 18, 2007 through March 31, 2011 was $262,419. For the quarter ended March 31, 2011 and 2010 operating expenses were $13,008 and $26,980 respectively. Most of the operating expenses consist of professional and legal fees charged to the Company.

(9) Concentration of Credit Risk

Cash

The Company has concentrated its credit risk for cash by maintaining deposits in financial institutions, which may at times exceed the amounts covered by insurance provided by the United States Federal Deposit Insurance Corporation (“FDIC”). As of March 31, 2011 the Company had $40,389 for the excess of the deposit liabilities reported by the financial institution over the amount that would have been covered by FDIC. The Company has not experienced any losses in such accounts and believes it is not exposed to any significant credit risk to cash.

Investments

The Company’s investment in Omni Bio Pharmaceutical, Inc. currently makes up approximately 59% of the Company’s assets as of March 31, 2011. The investment in Omni Bio Pharmaceutical, Inc. consists of the original cost, exercise of the options from GDBA Investments, Inc. and the valuation of the investment that is based on the quoted market price as of March 31, 2010. Since the Company bases this investment on market price, the amount reflected on the balance sheet will change based on the market price on the date of the balance sheet.

(10) Investments and Deposits

The Company invested in two companies in the fourth quarter of 2008. The investments are Marine Exploration and Omni Bio Pharmaceutical, Inc. (OMNI, formerly Across America Financial Services, Inc. In February 2010 the Company paid $2,000 for 200,000 warrants of Accredited Members, Inc. (AMI, formerly Across America Real Estate Exchange, Inc.)

In 2008 the Company invested $50,000 for 175,000,000 shares of common stock in Marine Exploration. The Company recorded this long-term investment using the equity method of accounting for investments. Any net income or net loss must be recorded against the Company’s investment, not to exceed the original investment of $50,000. Marine Exploration lost significantly more than $50,000 in 2008. This loss was significantly over and above the Company’s percentage ownership of the loss. In 2008, the Company recorded the loss at the amount of the total investment, or $50,000. On August 24, 2010, Marine Exploration authorized a reverse split of 1 new share for 500 old shares of their common stock. As of this date, the Company has less than 20% ownership in Marine Exploration.

WestMountain Asset Management, Inc.
(A Development Stage Company)
Notes to Condensed Consolidated Financial Statements

In the year 2008 the Company’s other investment was in Omni, formerly Across America Financial Services, Inc., that is recorded at the cost of the original investment plus the exercise price of the option from GDBA Investments, Inc. The ownership in Omni continues to be less than 20%. The original cost of $6,072, is a noncash transaction that represents the fair value of services performed by the Company in exchange for shares of common stock of Omni. In 2009 an additional noncash transaction in the amount of $27,713 was recorded as part of the investment. This cost represents the fair value of services performed by the Company in exchange for shares of common stock of Omni. As of March 31, 2011 the fair value of Omni stock was $3.00. The Company booked an unrealized loss of $1.7M based on the change in the market value from December 31, 2010 of $4.00.

A deposit of $35,078 was paid to GDBA Investments, LLC in the 4th quarter of 2008 for an option to purchase 1,169,250 shares of common stock in Across America Financial Services for $122,771 or $0.105 per share. The option may be exercised beginning 91 days after the date GDBA Investments, LLC ceases to be an affiliate of the Company and continues to be exercisable for 180 days thereafter. In October 2009 the option was exercised and is included as part of the Company’s investment in Omni.

A deposit of $35,077 was paid to GDBA Investments, LLC in the 4th quarter of 2008 for an option to purchase 1,169,250 shares of common stock in Across America Real Estate Exchange for $122,771.25 or $0.105 per share. The option may be exercised beginning 91 days after the date GDBA Investments, LLC ceases to be an affiliate of the Company and continues to be exercisable for 180 days thereafter. This option was extended for an additional year. A payment of $35,077 was made in October 2009 for this extension. 1,169,250 shares represent 64.6% ownership in Across America Real Estate Exchange. On February 24, 2010 Across America Real Estate Exchange merged with AMI. In addition, the Company received 329,463 shares at a cost of $0.22 per share or $72,482 as part of the investment. This cost represents the value of services performed by the Company in exchange for shares of common stock of AMI. In March 2010, after the merger, the Company paid $2,000 for 200,000 warrants of AMI. As of March 31, 2011, the fair value of AMI stock was $0.80. The Company booked an unrealized loss of $170K based on the change in the market value from December 31, 2010 of $0.90.

WestMountain Asset Management, Inc.
(A Development Stage Company)
Notes to Condensed Consolidated Financial Statements

On September 29, 2010 CapTerra Financial Group, Inc. merged with Nexcore Group LP, now called NexCore Healthcare Capital Corp (NexCore). The Company provided advisory services related to the transaction and for those services received 1,625,000 warrants. As of March 31, 2011 the fair value of the warrants was $1.01. The Company booked an unrealized loss of $790K based on the change in the market value from December 31, 2010 of $1.49. The warrants have been restricted and cannot be exercised for two years.

(11) Comprehensive Income

Comprehensive income (loss) is comprised of net income (loss) and other comprehensive income (loss). Other comprehensive income (loss) includes an unrealized gain of marketable equity securities. The details of comprehensive income are as follows:

		For the quarter ended				For the quarter ended
		March 31,				March 31,
		2011				2010
Net Income, as reported		$	(2,116	)		$	58,663
Other Comprehensive Income(loss):
Unrealized gain of marketable equity securities			4,806,395				11,042,104
Comprehensive Income		$	4,804,279			$	11,100,767

(12) Subsequent Events

On May 12, 2011 the market price of Omni is $2.15 per share, a decrease of $0.85 from $3.00 as of March 31, 2011. Based on this net change in market price, the value of the investments would decrease by $1,451,040.

On May 12, 2011 the market price of Accredited Members is $0.31 per share, a decrease of $0.49 from $0.80 as of March 31, 2011. Based on this net change in market price, the value of the investments would decrease by $832,369.

On May 12, 2011 the market price of CapTerra Financial Group is $0.70 per share, a decrease of $0.31 from $1.01 as of March 31, 2011. Based on this net change in market price, the value of the investments would decrease by $509,950. The determination of this investment is measured on a recurring basis using Level 2 valuation measures. See Footnote 1 for further details on fair value measurements.

On May 12, 2011 the market price of Silver Verde May Mining Co. is $0.23 per share, a decrease of $0.05 from $0.28 as of March 31, 2011. Based on this net change in market price, the value of the investments would decrease by $5,696.

ITEM 2.		MANAGEMENT’S DISCUSSION AND ANALYSIS AND PLAN OF OPERATION

The following discussion of our financial condition and results of operations should be read in conjunction with, and is qualified in its entirety by, the consolidated financial statements and notes thereto included in, Item 1 in this Quarterly Report on Form 10-Q. This item contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from those indicated in such forward-looking statements.

Forward-Looking Statements

This Quarterly Report on Form 10-Q and the documents incorporated herein by reference contain forward-looking statements. Such forward-looking statements are based on current expectations, estimates, and projections about our industry, management beliefs, and certain assumptions made by our management. Words such as “anticipates,” “expects,” “intends,” “plans,” “believes,” “seeks,” “estimates,” variations of such words, and similar expressions are intended to identify such forward-looking statements. These statements are not guarantees of future performance and are subject to certain risks, uncertainties, and assumptions that are difficult to predict; therefore, actual results may differ materially from those expressed or forecasted in any such forward-looking statements. Unless required by law, we undertake no obligation to update publicly any forward-looking statements, whether as a result of new information, future events, or otherwise. However, readers should carefully review the risk factors set forth herein and in other reports and documents that we file from time to time with the Securities and Exchange Commission, particularly Annual Reports on Form 10-K, Quarterly reports on Form 10-Q and any Current Reports on Form 8-K.

General

We act as an investment asset manager by raising, investing and managing private equity and direct investment funds for third parties including high net worth individuals and institutions. We are currently generating revenues. As is the industry practice, we earn management fees based on the size of the funds that we manage and incentive income based on the performance of these funds. We do not focus on any particular industry but will look at any and all opportunities. We will screen investments with emphasis towards finding opportunities with long term potential.

To date, we have never had any discussions with any possible acquisition candidate nor have we any intention of doing so.

Our principal business address is 123 North College Avenue, Suite 200, Fort Collins, Colorado 80524. We operate out of one office in Colorado. We have no specific plans at this point for additional offices. On January 1, 2008, we entered into a Service Agreement with Bohemian Companies, LLC to provide us with certain defined services. These services include financial, bookkeeping, accounting, legal and tax matters, as well as cash management, custody of assets, preparation of financial documents, including tax returns and checks, and coordination of professional service providers as may be necessary to carry out the matters covered by the Service Agreement. We will compensate Bohemian Companies, LLC by reimbursing this entity for the allocable portion of the direct and indirect costs of each employee of Bohemian Companies, LLC who performs services on our behalf. We will receive invoices not less than quarterly from Bohemian Companies, LLC. This Service Agreement matures on December 31, 2011. Total expenses incurred with Bohemian Companies were $3,000 for the quarter ending March 31, 2011. As of March 31, 2011 the Company had no balance due to Bohemian Companies, LLC.

We have not been subject to any bankruptcy, receivership or similar proceeding.

Results of Operations

The following discussion involves our results of operations for the quarter ended March 31, 2011 and 2010. For the quarter ended March 31, 2011 we had revenues of $22,417 compared to $104,907 for the quarter ended March 31, 2010. Our revenues are associated with advisory services and management fees.

Operating expenses, consisting primarily of selling, general and administrative costs were $13,008 for the quarter ended March 31, 2011, compared to $26,980 for the quarter ended March 31, 2010. We do not anticipate professional fees to be significant in the future. However we believe that our selling, general and administrative costs will increase as we grow our business activities going forward.

We had a net loss of $2,116 for the quarter ended March 31, 2011, compared to net income of $58,663 for the quarter ended March 31, 2010.

Liquidity and Capital Resources

Our cash or cash equivalents on March 31, 2011 were $318,005, compared to cash or cash equivalents on March 31, 2010 of $275,328.

Cash flows used in operating activities were $44,275 for the three months ended March 31, 2011, compared to cash flows provided by operating activities of $5,125 for the three months ended March 31, 2010. Most of the variance was due to an increase in net income.

Net cash used in investing activities was $39,872 for the three months ended March 31, 2011, compared to net cash used investing activities of $4,069 for the three months ended March 31, 2010.

Cash flows provided by financing activities were $-0- for the three months ended March 31, 2011 and March 31, 2010. We had $871,315 from our inception on October 18, 2007 through March 31, 2011.

Over the next twelve months we do not expect any material our capital costs for our operations. We plan to buy office equipment to be used in our operations.

Because we do not pay salaries, and our major professional fees have been paid for the year, operating expenses are expected to remain fairly constant.

Currently, we believe that we have sufficient capital to implement our business operations or to sustain them at our present level indefinitely. To date, we have never had any discussions with any possible acquisition candidate nor have we any intention of doing so.

We operate out of one office in Colorado. We have no specific plans at this point for additional offices.

Off-Balance Sheet Arrangements

We have no off-balance sheet arrangements with any party.

Critical Accounting Policies

Our discussion and analysis of results of operations and financial condition are based upon our consolidated financial statements, which have been prepared in accordance with accounting principles generally accepted in the United States of America. The preparation of these consolidated financial statements requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses, and related disclosure of contingent assets and liabilities. We evaluate our estimates on an ongoing basis, including those related to provisions for uncollectible accounts receivable, inventories, valuation of intangible assets and contingencies and litigation. We base our estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions.

We adopt changes issued by ASC 855 — “Subsequent Events”, formerly FASB 165, which establishes general standards for accounting for and disclosure of events that occur after the balance sheet date but before the financial statements are issued or are available to be issued. The pronouncement requires the disclosure of the date through which an entity has evaluated subsequent events and the basis for that date, whether that date represents the date the financial statements were issued or were available to be issued. In conjunction with the preparation of these financial statements, an evaluation of subsequent events was performed through May 12, 2011, which is the date the financial statements were issued.

The Company accounts for income taxes under the provisions of ASC 740 — “Accounting for Income Taxes”, formerly SFAS 109 and FIN 48. ASC 740 requires recognition of deferred tax liabilities and assets for the expected future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred tax liabilities and assets are determined based on the difference between the financial statement and tax bases of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse.

On January 1, 2008, the Company adopted ASC 820 Fair Value Measures, formerly SFAS 157. ASC 820 defines fair value, establishes a framework for measuring fair value and enhances disclosures about fair value measures required under other accounting pronouncements, but does not change existing guidance as to whether or not an instrument is carried at fair value. The Company’s estimates of fair value for financial assets and financial liabilities are based on the framework established in SFAS 157. The framework is based on the inputs used in valuation and gives the highest priority to quoted prices in active markets and requires that observable inputs be used in the valuations when available. The disclosure of fair value estimates in the ASC 820 hierarchy is based on whether the significant inputs into the valuation are observable. In determining the level of the hierarchy in which the estimate is disclosed, the highest priority is given to unadjusted quoted prices in active markets and the lowest priority to unobservable inputs that reflect the Company’s significant market assumptions. The three levels of the hierarchy are as follows: The Company’s assets measured at fair value on a recurring basis subject to the disclosure requirements of ASC 820 at March 31, 2011, were as follows:

Level 1: Unadjusted quoted market prices for identical assets or liabilities in active markets that the Company has the ability to access.

Level 2: Quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets in inactive markets; or valuations based on models where the significant inputs are observable (e.g., interest rates, yield curves, default rates, etc.) or can be corroborated by observable market data.

Level 3: Valuations based on models where significant inputs are not observable. The unobservable inputs reflect the Company’s own assumptions about the assumptions that market participants would use.

The determination of where assets and liabilities fall within this hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The carrying amounts of financial assets require to be measured at fair value on a recurring basis including our major assets that approximates fair value as determined by using the future expected net cash flows on the sale of the investments. The valuations of the majority of the assets are considered Level 1 fair value measures under ASC 820.

ITEM 3.		QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.

None.

ITEM 4.		CONTROLS AND PROCEDURES

Not applicable

ITEM 4T.		CONTROLS AND PROCEDURES

As of the end of the period covered by this report, based on an evaluation of our disclosure controls and procedures (as defined in Rules 13a -15(e) and 15(d)-15(e) under the Exchange Act), our Chief Executive Officer and the Chief Financial Officer has concluded that our disclosure controls and procedures are effective to ensure that information required to be disclosed by us in our Exchange Act reports is recorded, processed, summarized, and reported within the applicable time periods specified by the SEC’s rules and forms.

There were no changes in our internal controls over financial reporting that occurred during our most recent fiscal quarter that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

This report does not include an attestation report of the company’s registered public accounting firm regarding internal control over financial reporting. Identified in connection with the evaluation required by paragraph (d) of Rule 240.13a-15 or Rule 240.15d-15 of this chapter that occurred during the registrant’s last fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

PART II. OTHER INFORMATION

ITEM 1.		LEGAL PROCEEDINGS

There are no legal proceedings, to which we are a party, which could have a material adverse effect on our business, financial condition or operating results.

ITEM 1A.		RISK FACTORS

You should carefully consider the risks and uncertainties described below; and all of the other information included in this document. Any of the following risks could materially adversely affect our business, financial condition or operating results and could negatively impact the value of your investment.

The occurrence of any of the following risks could materially and adversely affect our business, financial condition and operating result. In this case, the trading price of our common stock could decline and you might lose all or part of your investment.

Risks Related to Our Business and Industry

We have limited operating history, and may never sustain a profit. If we cannot operate profitably, we could go out of business.

We were formed as a Colorado business entity in October, 2007. While we have been profitable in our last two fiscal years, there can be no guarantee that we will be able to sustain our history of profitability. We were not profitable in our most recent fiscal quarter. If we cannot sustain profitability, we could go out of business.

Our lack of substantial operating history makes it difficult for us to evaluate our future business prospects and make decisions based on those estimates of our future performance. An investor could lose his entire investment.

We have a limited operating history. An investor has no frame of reference to evaluate our future business prospects. This makes it difficult, if not impossible, to evaluate us as an investment. An investor could lose his entire investment if our future business prospects do not result in our ever sustaining profitability.

If we do not generate adequate revenues to finance our operations, our business may fail.

We generate revenues and have been profitable, although we were not profitable in our most recent fiscal quarter. As of March 31, 2011, we had a cash position of $318,005. We had certificates of deposit of $11,803. We anticipate that operating costs will be approximately $50,000 for the fiscal year ending December 31, 2011. These operating costs include insurance, taxes, utilities, maintenance, contract services and all other costs of operations. We will use contract employees who will be paid on an hourly basis as each investment transaction is evaluated. However, the operating costs and expected revenue generation are difficult to predict. We expect to generate revenues in the next twelve months from making investments and receiving fees for the placement of capital. Since there can be no assurances that revenues will be sufficient to cover operating costs for the foreseeable future, it may be necessary to raise additional funds. Due to our lack of substantial operating history, raising additional funds may be difficult.

Competition in the investment industry is intense.

Our business plan involves acting as an investment manager. This business is highly competitive. There are numerous similar companies providing such services in the United States of America. Our competitors will have greater financial resources and more expertise in this business. Our ability to develop our business will depend on our ability to successfully market our services in this highly competitive environment. We cannot guarantee that we will be able to do so successfully.

The share control position of WestMountain Blue, LLC will limit the ability of other shareholders to influence corporate actions.

Our largest shareholder, WestMountain Blue, LLC owns 8,050,000 shares and thereby controls approximately 90% of our outstanding shares. Because WestMountain Blue, LLC individually beneficially controls more than a majority of the outstanding shares, other shareholders, individually or as a group, will be limited in their ability to effectively influence the election or removal of our directors, the supervision and management of our business or a change in control of or sale of our company, even if they believed such changes were in the best interest of our shareholders generally.

Our future success depends, in large part, on the continued service of our Chief Executive Officer and President

We depend almost entirely on the efforts and continued employment of Mr. Brian L. Klemsz, our Chief Executive and Financial Officer and sole Director and Mr. Steve Anderson, our President. Mr. Anderson is our primary executive officer, and we will depend on him for nearly all aspects of our operations. We do not have an employment contract with Mr. Anderson or Mr. Klemsz, and we do not carry key person insurance on the life of either gentleman. The loss of the services of either Mr. Klemsz or Mr. Anderson through incapacity or otherwise, would have a material adverse effect on our business. It would be very difficult to find and retain qualified personnel such as either Mr. Klemsz or Mr. Anderson.

Our revenue and profitability fluctuate, particularly inasmuch as we cannot predict the timing of realization events in our business, which may make it difficult for us to achieve steady earnings growth on a quarterly basis and may cause volatility in the price of our shares.

We may experience significant variations in revenues and profitability during the year and among years because we are paid incentive income from certain funds only when investments are realized, rather than periodically on the basis of increases in the funds’ net asset values. The timing and receipt of incentive income generated by our funds is event driven and thus highly variable, which contributes to the volatility of our revenue, and our ability to realize incentive income from our funds may be limited. We cannot predict when, or if, any realization of investments will occur. If we were to have a realization event in a particular quarter, it may have a significant impact on our revenues and profits for that particular quarter which may not be replicated in subsequent quarters. In addition, our investments are adjusted for accounting purposes to fair value at the end of each quarter, resulting in revenue attributable to our principal investments, even though we receive no cash distributions from our funds, which could increase the volatility of our quarterly earnings.

Difficult market conditions can adversely affect our funds in many ways, including by reducing the value or performance of the investments made by our funds and reducing the ability of our funds to raise or deploy capital, which could materially reduce our revenue and results of operations.

If economic conditions are unfavorable our funds may not perform well and we may not be able to raise money in existing or new funds. Our funds are materially affected by conditions in the global financial markets and economic conditions throughout the world. The global market and economic climate may deteriorate because of many factors beyond our control, including rising interest rates or inflation, terrorism or political uncertainty. In the event of a market downturn, our businesses could be affected in different ways. Our funds may face reduced opportunities to sell and realize value from their existing investments, and a lack of suitable investments for the funds to make. In addition, adverse market or economic conditions as well as a slowdown of activities in a particular sector in which portfolio companies of these funds operate could have an adverse effect on the earnings of those portfolio companies, and therefore, our earnings.

A general market downturn, or a specific market dislocation, may cause our revenue and results of operations to decline by causing:

	•		the net asset value of the assets under management to decrease, lowering management fees;
	•		lower investment returns, reducing incentive income;
	•		material reductions in the value of our fund investments in portfolio companies which reduce our “surplus” and, therefore, our ability to realize incentive income from these investments; and
	•		investor redemptions, resulting in lower fees.

Furthermore, while difficult market conditions may increase opportunities to make certain distressed asset investments, such conditions also increase the risk of default with respect to investments held by our funds with debt investments.

The success of our business depends, in large part, upon the proper selection of investments, which may be difficult to find, acquire and develop.

We believe that the identification, acquisition and development of appropriate investments are key drivers of our business. Our success depends, in part, on our ability to obtain these investments under favorable terms and conditions and have them increase in value. We cannot assure you that we will be successful in our attempts to find, acquire, and/or develop appropriate investments, will not be challenged by competitors which may put us at a disadvantage. Further, we cannot assure you that others will not independently develop similar or superior programs or investments, which may imperil our profitability.

Risks Related to an Investment in Our Common Stock

The lack of a broker or dealer to create or maintain a market in our stock could adversely impact the price and liquidity of our securities.

We have no agreement with any broker or dealer to act as a market maker for our securities and there is no assurance that we will be successful in obtaining any market makers. Thus, no broker or dealer will have an incentive to make a market for our stock. The lack of a market maker for our securities could adversely influence the market for and price of our securities, as well as your ability to dispose of, or to obtain accurate information about, and/or quotations as to the price of, our securities.

We have limited experience as a public company.

We have only operated as a public company since 2008. Thus, we have limited experience in complying with the various rules and regulations which are required of a public company. As a result, we may not be able to operate successfully as a public company, even if our operations are successful. We plan to comply with all of the various rules and regulations which are required of a public company. However, if we cannot operate successfully as a public company, your investment may be materially adversely affected. Our inability to operate as a public company could be the basis of your losing your entire investment in us.

We may be required to register under the Investment Company Act of 1940, or the Investment Advisors Act, which could increase the regulatory burden on us and could negatively affect the price and trading of our securities.

Because our business involves the identification, acquisition and development of investments, we may be required to register as an investment company under the Investment Company Act of 1940 or the Investment Advisors Act and analogous state law. While we believe that we are currently either not an investment company or an investment advisor or are exempt from registration as an investment company under the Investment Company Act of 1940 or the Investment Advisors Act and analogous state law, either the SEC or state regulators, or both, may disagree and could require registration either immediately or at some point in the future. As a result, there could be an increased regulatory burden on us which could negatively affect the price and trading of our securities.

Our stock has a limited public trading market on the OTC Bulletin Board and there is no guarantee an active trading market will ever develop for our securities.

There has been, and continues to be, a limited public market for our common stock. We trade under the symbol WASM. An active trading market for our shares has not, and may never develop or be sustained. If you purchase shares of common stock, you may not be able to resell those shares at or above the initial price you paid. The market price of our common stock may fluctuate significantly in response to numerous factors, some of which are beyond our control, including the following:

	*		actual or anticipated fluctuations in our operating results;
	*		changes in financial estimates by securities analysts or our failure to perform in line with such estimates;
	*		changes in market valuations of other companies, particularly those that market services such as ours;
	*		announcements by us or our competitors of significant innovations, acquisitions, strategic partnerships, joint ventures or capital commitments;
	*		introduction of product enhancements that reduce the need for the products our projects may develop;
	*		departures of key personnel.

Of our total outstanding shares as of March 31, 2011, a total of 8,325,000, or approximately 91.9%, will be restricted from immediate resale but may be sold into the market in the near future. This could cause the market price of our common stock to drop significantly, even if our business is doing well.

As restrictions on resale end, the market price of our stock could drop significantly if the holders of restricted shares sell them or are perceived by the market as intending to sell them.

Applicable SEC rules governing the trading of “Penny Stocks” limit the liquidity of our common stock, which may affect the trading price of our common stock.

Our common stock currently trades well below $5.00 per share. As a result, our common stock is considered a “penny stock” and is subject to SEC rules and regulations that impose limitations upon the manner in which our shares can be publicly traded. These regulations require the delivery, prior to any transaction involving a penny stock, of a disclosure schedule explaining the penny stock and the associated risks. Under these regulations, certain brokers who recommend such securities to persons other than established customers or certain accredited investors must make a special written suitability determination for the purchaser and receive the written purchaser’s agreement to a transaction prior to purchase. These regulations have the effect of limiting the trading activity of our common stock and reducing the liquidity of an investment in our common stock.

The over-the-counter market for stock such as ours is subject to extreme price and volume fluctuations.

The securities of companies such as ours have historically experienced extreme price and volume fluctuations during certain periods. These broad market fluctuations and other factors, such as new product developments and trends in the our industry and in the investment markets generally, as well as economic conditions and quarterly variations in our operational results, may have a negative effect on the market price of our common stock.

Buying low-priced penny stocks is very risky and speculative.

Our shares are defined as a penny stock under the Securities and Exchange Act of 1934, and rules of the Commission. The Exchange Act and such penny stock rules generally impose additional sales practice and disclosure requirements on broker-dealers who sell our securities to persons other than certain accredited investors who are, generally, institutions with assets in excess of $5,000,000 or individuals with net worth in excess of $1,000,000 or annual income exceeding $200,000, or $300,000 jointly with spouse, or in transactions not recommended by the broker-dealer. For transactions covered by the penny stock rules, a broker-dealer must make a suitability determination for each purchaser and receive the purchaser’s written agreement prior to the sale. In addition, the broker-dealer must make certain mandated disclosures in penny stock transactions, including the actual sale or purchase price and actual bid and offer quotations, the compensation to be received by the broker-dealer and certain associated persons, and deliver certain disclosures required by the Commission. Consequently, the penny stock rules may affect the ability of broker-dealers to make a market in or trade our common stock and may also affect your ability to resell any shares you may purchase in the public markets.

Issuances of our stock could dilute current shareholders and adversely affect the market price of our common stock, if a public trading market develops.

We have the authority to issue up to 50,000,000 shares of common stock, 1,000,000 shares of preferred stock, and to issue options and warrants to purchase shares of our common stock without stockholder approval. Although no financing is planned currently, we may need to raise additional capital to fund operating losses. If we raise funds by issuing equity securities, our existing stockholders may experience substantial dilution. In addition, we could issue large blocks of our common stock to fend off unwanted tender offers or hostile takeovers without further stockholder approval.

The issuance of preferred stock by our board of directors could adversely affect the rights of the holders of our common stock. An issuance of preferred stock could result in a class of outstanding securities that would have preferences with respect to voting rights and dividends and in liquidation over the common stock and could, upon conversion or otherwise, have all of the rights of our common stock. Our board of directors’ authority to issue preferred stock could discourage potential takeover attempts or could delay or prevent a change in control through merger, tender offer, proxy contest or otherwise by making these attempts more difficult or costly to achieve.

Colorado law and our Articles of Incorporation protect our directors from certain types of lawsuits, which could make it difficult for us to recover damages from them in the event of a lawsuit.

Colorado law provides that our directors will not be liable to our company or to our stockholders for monetary damages for all but certain types of conduct as directors. Our Articles of Incorporation require us to indemnify our directors and officers against all damages incurred in connection with our business to the fullest extent provided or allowed by law. The exculpation provisions may have the effect of preventing stockholders from recovering damages against our directors caused by their negligence, poor judgment or other circumstances. The indemnification provisions may require our company to use our assets to defend our directors and officers against claims, including claims arising out of their negligence, poor judgment, or other circumstances.

We do not expect to pay dividends on common stock.

We have not paid any cash dividends with respect to our common stock, and it is unlikely that we will pay any dividends on our common stock in the foreseeable future. Earnings, if any, that we may realize will be retained in the business for further development and expansion.

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

None

ITEM 3.		DEFAULTS UPON SENIOR SECURITIES

None

ITEM 4.		SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

None

ITEM 5.		OTHER INFORMATION

None

ITEM 6.		EXHIBITS

Exhibit
Number				Description
	3.1	*		Articles of Incorporation
	3.2	*		Bylaws
	10.1	**		Service Agreement With Bohemian Companies, LLC
	31.1			Certification of CEO/CFO pursuant to Sec. 302
	32.1			Certification of CEO/CFO pursuant to Sec. 906

Reports on Form 8-K

No reports were filed under cover of Form 8-K for the fiscal quarter ended March 31, 2011.

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 May 17, 2011.