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EXCEL - IDEA: XBRL DOCUMENT - GLOBALINK, LTD. | Financial_Report.xls |
EX-31 - EXHIBIT 31 - GLOBALINK, LTD. | globalink10k13ex31.htm |
EX-32 - EXHIBIT 32 - GLOBALINK, LTD. | globalink10k13ex32.htm |
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-K
[X] ANNUAL REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the fiscal year ended December 31, 2013
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the transition period from to
Commission file number: 333-133961
Globalink, Ltd.
(Exact name of registrant as specified in its charter)
Nevada |
| 06-1812762 |
(State or other jurisdiction of incorporation or organization) |
| (I.R.S. Employer Identification Number) |
#210-4751 Garden City Road |
|
|
Richmond, BC, V6X 3M7 |
| (604) 828-8822 |
(Address of Principal Executive Offices) |
| (Registrant's telephone number) |
Securities registered pursuant to Section 12(b) of the Act: None
Securities registered pursuant to Section 12(g) of the Act: None
Indicate by check mark if the registrant is a well-known seasoned issuer, as defined by Rule 405 of the Securities Act.
[ ] Yes [x] No
Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or 15(d) of the Act. [ ] Yes [x] No
Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Website, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (section 232.406 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes [ ] No [ ]
1
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 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.
[x] Yes [ ] No
Indicate by checkmark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K (229.405 of this chapter) is not contained herein, and will not be contained, to the best of registrants knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. [x]
Indicate by checkmark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.
Large accelerated filer [ ] |
| Accelerated filer [ ] |
Non-accelerated filer [ ] |
| Smaller reporting company [x] |
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes [ ] No [x]
State the aggregate market value of the voting and non-voting common equity held by non-affiliates computed by reference to the price at which the common equity was last sold, or the average bid and asked price of such common equity, as of the last business day of the registrants most recently completed second fiscal quarter. The market value of the registrants voting common stock held by non-affiliates of the registrant was approximately $0.
Indicate the number of shares outstanding of each of the registrants classes of common stock, as of the latest practicable date. The number of shares outstanding of the registrant's only class of common stock, as of March 31, 2014 was 24,785,000 shares of its common stock.
No documents are incorporated into the text by reference.
2
Table of Contents
|
| Page |
PART I |
| 4 |
Item 1. Business |
| 4 |
Item 1A. Risk Factors |
| 6 |
Item 2. Properties |
| 6 |
Item 3. Legal Proceedings |
| 6 |
Item 4. Mine Safety Disclosures |
| 6 |
|
|
|
PART II |
| 7 |
Item 5. Market for Common Equity, Related Stockholder Matters, and Issuer Purchases of Equity Securities |
| 7 |
Item 6. Selected Financial Data |
| 7 |
Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations |
| 7 |
Item 7A. Quantitative and Qualitative Disclosures about Market Risk |
| 10 |
Item 8. Financial Statements and Supplementary Data |
| 11 |
Item 9. Changes In and Disagreements with Accountants on Accounting and Financial Disclosures |
| 26 |
Item 9A. Controls and Procedures |
| 26 |
Item 9B. Other Information |
| 27 |
|
|
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PART III |
| 28 |
Item 10. Directors and Executive Officers, Promoters, Control Persons, and Corporate Governance |
| 28 |
Item 11. Executive Compensation |
| 30 |
Item 12. Security Ownership of Certain Beneficial Owners and Management |
| 30 |
Item 13. Certain Relationships and Related Transactions, and Director Independence |
| 32 |
Item 14. Principal Accountant Fees and Services |
| 32 |
|
|
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PART IV |
| 33 |
Item 15. Exhibits, Financial Statement Schedules |
| 33 |
Signatures |
| 35 |
3
PART I
ITEM 1. BUSINESS
The registrant was incorporated in the state of Nevada on February 3, 2006. The registrant has focused its efforts in the Internet Hotel booking services arena. The registrant has developed a proprietary online hotel booking program for connecting users with available rooms in hotels across the world.
In order to gain the access to the hotels, the registrant acquired OneWorld Hotel Destination Service Inc in Vancouver, B.C. Canada on October 31, 2008. OneWorld Hotel Destination Service Inc is a hotel booking company which has established strong relationships with major hotel chains such as Radisson, Hilton and Sheraton. Its clients include travel agents in major cities such as Vancouver, Toronto, Calgary, and Montreal. After the acquisition the Company has put the OneWorld operations into the online platform.
Our hotel travel booking web site for the business-to-business stage was completed and officially launched in 2012. The initial 39,000 available hotel rooms in our database have now been increased to 75,000 and uploaded to the site. The site now facilitates travel agencies to book rooms directly via the internet without having to personally call the office for booking. The web site facilitates the companys travel agency customers, who already have or will set up accounts with us (B to B).
B to B is defined as business interactions between one business entity (OneWorld) to other business entities (the travel agencies in the travel industry). Our next stage of the web site development will be to facilitate non-business customers such that any individuals wishing to book rooms themselves may do so from our web site instead of booking through their travel agencies (B to C). B to C is defined as business interactions between a business entity (OneWorld) and the individual customers, be they an individual or corporation, whose business is not related to the travel industry. This web site is currently in the process of being developed stage by stage. The complexity and the size of the website and its functionality will increase as OneWorld's business volume increases.
In the last quarter of 2013, the management of Globalink Ltd. (the Company) felt that the Company may enlarge its visions to explore other fields of endeavor in order to provide more flexibility for business development. To this end, management has had numerous discussions and negotiations with 2 potential benefactors who have vast high-level connections to businesses and technologies in the Asia arena, as well as in the travel industry.
The final result is that both these persons, Messrs. Hin Kwong Sheung and Jia Charles Yao, agreed on January 15, 2014, to extend the Company initial demand loans of US$200,000 each. We do not rule out the possibility that both of them may convert these loans into company stock in the future. The conditions for the loans are that both to become directors of the Company and that Mr. Sheung to become the CEO of the Company. These conditions have been satisfied in February 1, 2014 and the proceeds of the loans deposited into the Company's bank account in the month of February 2014.
4
With this new injection of capital into the Company, and it is expected that these demand loans would be increased by another US$300,000 or more in the first and second quarters of 2014, the Company website will also be developed in order to provide a company profile, anticipated implementation of Company business plans, management and contact information, as well as providing a name brand and higher exposure to the public.
One of the other field of endeavor that the Company has been considering is to develop a natural health maintenance system derived from Gingko leaves, among the well-known, is the Gingko Biloba. The Company is currently in the process of acquiring 20% of the world's supply of the raw material and also completing purchase agreements with wholesalers and retailers for the purchase and distribution rights of our finished products. Once all paperwork is in place, the Company would implement its plans to raise further capital for setting up the processing facilities for the Gingko system of health maintenance products.
Competition
Competition is inevitable in any type of industry. This is particularly so for services using the internet to convey the products to the end users. The online commerce market, particularly over the Internet, is rapidly evolving and intensely competitive, and we expect that the competition will intensify in the future. Barriers to entry are minimal, and current and new competitors can launch new websites at a relatively low cost.
We believe that while we currently may have disadvantages in this market, the growth of this market is able to allow us to take a market share if we can maintain reliable, fast response, and quality service to our customers and hotel suppliers.
We intend to use our expertise in North America and China markets and a user-friendly website to compete with the major competitors in this field. We will compete on the basis of ease of use, pricing and customer preference. Our competitors are well established, substantially larger and have substantially greater market recognition, greater resources and broader capabilities than we have. There can be no assurance that we will be able to compete successfully against current and future competitors, and competitive pressures faced by the registrant may have a material adverse effect on our business, prospects, financial condition and results of operations.
In the case of the Gingko system of health maintenance products, it is a known fact that the world population of people over the age of 60 is rapidly increasing year by year. In the country of China, there are 200 million people over the age of 60. The demand for Gingko Biloba products way surpasses the current supply. This situation resulted from no public exposure to the Gingko products through media advertisements or the internet. There are many existing similar health maintenance products in the market in China and in the world.
We will use our business acumen, our business connections and access to high level of technological expertise to carve out a world market share in this specialty health enhancement and maintenance field. There can be no assurance that we will be able to compete successfully against current and future competitors.
5
ITEM 1A. RISK FACTORS
Not applicable to smaller reporting companies.
ITEM 2. PROPERTIES
Our offices consist of approximately 1,200 square feet and are located at #210-4751 Garden City Road, Richmond, BC, V6X 3M7.
The registrant leases its administrative offices for US$1,432 per month. Under the previous lease, which expired in July 2013, the registrant leased office space for $1,733 per month. The operating lease expense for the year ended December 31, 2013 was $21,275 and $20,793 for December 31, 2012.
ITEM 3. LEGAL PROCEEDINGS.
The registrant is aware of no pending or threatened litigation.
ITEM 4. MINE SAFETY DISCLOSURES
Not applicable.
6
PART II
ITEM 5. MARKET FOR COMPANY'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES.
Item 5(a)
a) Market Information. Not applicable.
b) Holders. At March 31, 2014, there were approximately 49 shareholders of the registrant.
c) Dividends. Holders of the registrant's common stock are entitled to receive such dividends as may be declared by its board of directors. No dividends on the registrants common stock have ever been paid, and the registrant does not anticipate that dividends will be paid on its common stock in the foreseeable future.
d) Securities authorized for issuance under equity compensation plans. No securities are authorized for issuance by the registrant under equity compensation plans.
e) Performance graph. Not applicable.
f) Sale of unregistered securities. None.
Item 5(b) Use of Proceeds. Not applicable.
Item 5(c) Purchases of Equity Securities by the issuer and affiliated purchasers. None.
ITEM 6. SELECTED FINANCIAL DATA.
Not applicable to a smaller reporting company.
ITEM 7. MANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Trends and Uncertainties
During 2008, we started generating revenue upon completion of the acquisition of OneWorld Hotel Destination Services, Inc. We acquired all of the common shares of OneWorld for 2,000,000 common shares and a promissory note in the amount of $150,000. In addition, we are seeking to expand our revenue base by adding new customers and increasing our marketing and advertising.
7
Due to the recession in 2009, the registrant halted the plan to raise extra capital which is for the completion of the online hotel room reservation web site and the expansion of the Hotel booking business. The registrant decided to allocate the majority cash flow to maintain the operation of OneWorld because of the recession in 2009. The officers and directors also agreed not to receive cash compensation for their management work in the registrant including the continuation of the development of the website in-house by the directors, the defraying of marketing, promotion and travel.
While the economy is gradually recovering today, One World currently generates sufficient cash flow to maintain its own daily operations. However, in order to realize effective marketing and promotion, the registrant will need to raise additional capital through the sale of capital stock in the future. The use of funds would be rationed for marketing and promotion purposes, expansion of the OneWorld operation and working capital needs.
There are several known trends that are reasonably likely to have a material effect on our net sales or revenues alongside our income from continuing operations and profitability.
We expect to experience significant fluctuations in our future operating results due to a variety of factors, many of which are outside our control. Factors that may adversely affect our operating results include but are not limited to:
- Our ability to develop and complete the hotel booking website;
- Our ability to attract customers to use our website and maintain user satisfaction;
- Our ability to attract hotel suppliers to provide their hotel rooms in our website;
- Our ability to hire and train qualified personnel;
- Our ability to resolve any technical difficulties and system downtime or internet disconnection;
- Governmental regulations on use of Internet as a tool to conduct business transaction;
- Change of customers acceptance to use Internet to book hotel rooms.
We may also incur losses for the foreseeable future due to costs and expenses related to:
- The implementation of our hotel booking website business model;
- Marketing and other promotional activities;
- Competition;
- The continued development of our website;
- High costs to maintain the hotel booking website; and
- Hiring and training new staff for customer services.
We cannot be sure that we will be successful in addressing these risks and uncertainties and our failure to do so could have a materially adverse effect on our financial condition. In addition, our operating results are dependent to a large degree upon factors outside of our control. There are no assurances that we will be successful in addressing these risks, and failure to do so may adversely affect our business.
8
Capital and Sources of Liquidity.
For the year ended December 31, 2013, Globalink received advances from shareholders of $12,171. As a result, we had total cash provided by financing activities of $12,171 for the year ended December 31, 2013.
Comparatively, for the year ended December 31, 2012, Globalink received advances from shareholders of $6,603 and received $10,000 from private demand loan. As a result, we had cash flows provided by financing activities of $16,603 for the year ended December 31, 2012.
For the year ended December 31, 2013, Globalink spent $2,548 on the acquisition of fixed assets, resulting in total cash used in investing activities of $2,548 for the year. We did not conduct any investing activities during the year ended December 31, 2012.
Results of Operations
For the year ended December 31, 2013, Globalink received revenues of $292,332. We paid salaries and benefits of $252,652 and other general and administrative expenses of $109,428. We paid income taxes of $21,364. We had a loss of $7,528 from the exchange difference on translating foreign operations. As a result, we had comprehensive loss of $98,640 for the year ended December 31, 2013.
For the year ended December 31, 2012, Globalink received revenues of $421,790. We paid salaries and benefits of $249,556 and other general and administrative expenses of $140,198. We paid income taxes of $12,875, and had income of $46,992 due to the exchange difference on translating foreign operations. As a result, we had comprehensive income of $66,153 for the year ended December 31, 2012.
We managed to keep most of our operating expenses comparable between the two years, and managed to reduce our other general and administrative expenses by $30,770, or 21.9% for the year ended December 31, 2013 compared to the year ended December 31, 2012. Our loss due to the exchange difference on translating foreign operations as well as our reduced revenue resulted in the $164,793 decrease in comprehensive loss between the years ended December 31, 2013 and 2012.
Although there are signs of gradual stability, management believes that the effects of the recent economic crisis are a long way from being over. However, our OneWorld operation has been well-established over the past ten years that we are capable of continuously sustain our existence during the current crisis.
Off-Balance Sheet Arrangements
The registrant had no material off-balance sheet arrangements as of December 31, 2013.
Contractual Obligations
The registrant has no material contractual obligations
9
New Accounting Pronouncements
The registrant has adopted all recently issued accounting pronouncements. The adoption of the accounting pronouncements, including those not yet effective, is not anticipated to have a material effect on the financial position or results of operations of the registrant.
ITEM 7A. Quantitative and Qualitative Disclosures About Market Risk.
The registrant does not have any significant market risk exposures.
10
ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA
Globalink, Ltd.
Index to
Financial Statements
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| Page |
Reports of Independent Registered Public Accounting Firm |
| 12-13 |
|
|
|
Audited Consolidated Balance Sheets of December 31, 2013 and 2012 |
| 14 |
|
|
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Audited Consolidated Statements of Operations for the Years ended December 31, 2013 and 2012 |
| 15 |
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Audited Consolidated Statement of Changes in Shareholders' Equity |
| 16 |
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Audited Consolidated Statements of Cash Flows for the Years ended December 31, 2013 and 2012 |
| 17 |
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Notes to Consolidated Financial Statements |
| 18 |
11
12
THOMAS J. HARRIS
CERTIFIED PUBLIC ACCOUNTANT
3901 STONE WAY N., SUITE 202
SEATTLE, WA 98103
206.547.6050
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
To the Board of Directors
Globalink, Ltd
I have audited the balance sheet of GLOBALINK, LTD AND SUBSIDIARY, as of DECEMBER 31, 2012, the statements of earnings and deficit, stockholders deficiency and cash flows for the period then ended These financial statements are the responsibility of the companys management. My responsibility is to express an opinion on these financial statements based on my audit.
I conducted my audit in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. I believe my audit provides reasonable basis for my opinion.
In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of GLOBALINK LTD. AND SUBSIDIARY, as of December 31, 2012, and the results of their operations and their cash flows for the year then ended in conformity with generally accepted accounting principles in the United States of America.
Seattle, Washington
April 16, 2013
13
GLOBALINK, LTD. and Subsidiary
Consolidated Balance Sheets
December 31, 2013 and 2012
(Expressed in U.S. Dollars)
|
2013 |
2012 |
| $ | $ |
|
|
|
Assets |
|
|
Current assets |
|
|
Cash and cash equivalents | 426,088 | 446,846 |
Accounts receivable | 189,682 | 163,488 |
Other current assets (note 3) | 33,296 | 37,113 |
Total current assets | 649,066 | 647,447 |
| | |
Fixed assets | 4,797 | 3,818 |
Goodwill | 274,449 | 274,449 |
Total assets | 928,312 | 925,714 |
Liabilities | | |
Current liabilities | | |
Accounts payable and accrued liabilities (note 4) | 610,393 | 528,496 |
Other current liabilities (note 5) | 21,549 | 14,379 |
Advances from shareholders (note 6) | 62,297 | 50,126 |
Subscription received in advance (note 7) | 10,000 | 10,000 |
Total current liabilities | 704,239 | 603,001 |
| | |
Shareholders equity | | |
Common shares, $0.0002 par value; Authorized - 500,000,000 shares; shares issued and outstanding 24,785,000 (note 7) | 4,957 | 4,957 |
Additional paid-in-capital | 403,243 | 403,243 |
Accumulated other comprehensive loss | (9,303) | (1,775) |
Deficit | (174,824) | (83,712) |
Total shareholders equity | 224,073 | 322,713 |
Total liabilities and shareholders equity | 928,312 | 925,714 |
The accompanying notes are an integral part of these statements
14
GLOBALINK, LTD. And Subsidiary
Consolidated Statements of Operations
For the year ended December 31, 2013 and 2012
(Expressed in U.S. Dollars)
|
2013 | 2012 |
| $ | $ |
| | |
Revenue (note 8) | 292,332 | 421,790 |
General and administrative expenses |
|
|
Salaries and benefits | 252,652 | 249,556 |
Other general and administrative expenses | 109,428 | 140,198 |
Total general and administrative expenses | (362,080) | (389,754) |
|
|
|
Income (loss) from operations | (69,748) | 32,036 |
|
|
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Other income | - | 46,992 |
|
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Income (loss) before income taxes | (69,748) | 79,028 |
|
|
|
Income taxes (note 10) | (21,364) | (12,875) |
|
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Net income (loss) for the year | (91,112) | 66,153 |
|
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|
Other comprehensive income (loss) |
|
|
Exchange difference on translating foreign operations | (7,528) | - |
Comprehensive income (loss) | (98,640) | 66,153 |
Basic and diluted weighted average number of common shares outstanding | 24,785,000 | 24,785,000 |
Basic and diluted earnings (loss) per share | (0.00) | 0.00 |
The accompanying notes are an integral part of these statements
15
GLOBALINK, LTD. And Subsidiary
Consolidated Statements of Changes in Shareholders' Equity
(Expressed in U.S. Dollars)
| Common shares | Additional paid-in-capital | Accumulated other comprehensive income (loss) | Deficit | Total | |
| # | $ | $ | $ | $ | $ |
December 31, 2011 | 24,785,000 | 4,957 | 403,243 | 45,217 | (149,865) | 303,552 |
Net income for the year | - | - | - | - | 66,153 | 66,153 |
Foreign currency translation difference | - | - | - | (46,992) | - | (46,992) |
December 31, 2012 | 24,785,000 | 4,957 | 403,243 | (1,775) | (83,712) | 322,713 |
Net loss for the year | - | - | - | - | (91,112) | (91,112) |
Foreign currency translation difference | - | - | - | (7,528) | - | (7,528) |
December 31, 2013 | 24,785,000 | 4,957 | 403,243 | (9,303) | (174,824) | 224,073 |
The accompanying notes are an integral part of these statements
16
GLOBALINK, LTD.
Consolidated Statements of Cash Flows
For the year ended December 31, 2013 and 2012
(Expressed in U.S. Dollars)
| 2013 | 2012 |
| $ | $ |
| | |
Cash provided by (used in): | | |
Operating activities | | |
Net income (loss) for the year | (91,112) | 66,153 |
Non-cash items: | | |
Amortization Other income | 1,247 | 2,361 (46,992) |
Changes in non-cash working capital: | | |
Increase in accounts receivable | (26,194) | (19,126) |
Decrease (increase) in other current assets | 3,817 | (1,743) |
Increase in accounts payable and accrued liabilities | 81,897 | 42,298 |
Increase in other current liabilities | 7,170 | 3,838 |
Total cash provided by (used in) operating activities | (23,175) | 46,789 |
Investing activities |
| |
Acquisition of fixed assets | (2,548) | - |
Total cash used in investing activities | (2,548) | - |
Financing activities | | |
Advances from shareholders | 12,171 | 6,603 |
Share subscription received in advance | - | 10,000 |
Total cash provided by financing activities | 12,171 | 16,603 |
Increase (decrease) in cash and cash equivalents | (13,552) | 63,392 |
Effect of exchange rate changes on balance of cash held in foreign currencies | (7,206) | - |
Cash and cash equivalents, beginning of the year | 446,846 | 383,454 |
Cash and cash equivalents, end of the year | 426,088 | 446,846 |
Supplemental information on cash flows | | |
Income taxes paid | 10,716 | 12,875 |
Interest paid | - | - |
The accompanying notes are an integral part of these statements
17
GLOBALINK LTD. And Subsidiary
Notes to the Consolidated Financial Statements
December 31, 2013
(Expressed in U.S. Dollars)
1.
NATURE OF OPERATIONS
Globalink, Ltd. (the Company) was incorporated in the State of Nevada on February 3, 2006. The Company has focused its efforts on internet hotel booking services. The Company has developed a proprietary online hotel booking program for connecting users with available rooms in hotels across the world. In order to gain access to hotels, the Company acquired OneWorld Hotel Destination Service Inc. (OneWorld or the Subsidiary) in Vancouver, British Columbia, Canada on October 31, 2008. OneWorld is a hotel booking company which has established relationships with major hotel chains. Since the acquisition, OneWorld became a wholly-owned subsidiary of the Company.
2.
SIGNIFICANT ACCOUNTING POLICIES
Statement of presentation and consolidation
These consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (US GAAP). The consolidated financial statements include the financial statements of the Company and its subsidiary. All inter-company transactions and balances between the Company and its subsidiary have been eliminated upon consolidation.
The Subsidiary is consolidated from the date on which control is transferred to the Company and will cease to be consolidated from the date on which control is transferred out of the Company.
Certain comparative figures have been reclassified to conform to the current years presentation.
Continuance of operation
These consolidated financial statements prepared in conformity with US GAAP contemplate continuation of the Company as a going concern. As of December 31, 2013, the Company has an accumulated deficit of $174,824 since inception and a working capital deficiency of $55,173. Its ability to continue as a going concern depends upon whether it develops profitable operations and continues to raise adequate financing. However, management believes that the Company has sufficient working capital to meet its projected minimum financial obligations for the next fiscal year. The accompanying financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classification of liabilities that may result from the possible inability of the Company to continue as a going concern.
18
Use of estimates
The preparation of consolidated financial statements in conformity with US GAAP requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amount of assets, liabilities and provisions, income and expenses and the disclosure of contingent assets and liabilities at the date of these financial statements. Estimates are used for, but not limited to, the selection of the useful lives of fixed assets, provision necessary for contingent liabilities, allowance for doubtful debt associated with accounts receivable, fair values, revenue recognitions, and taxes. Management believes that the estimates utilized in preparing its consolidated financial statements are reasonable and prudent. Actual results may differ from these estimates.
Foreign currency translation
The Companys financial information is presented in United States dollars (US dollars). The functional currency of the Company is the US dollar. The functional currency of the Companys subsidiary is the Canadian dollars (CAD). Transactions by the Companys subsidiary which are denominated in currencies other than CAD are remeasured into CAD at the exchange rate prevailing at the date of the transactions. Exchange gains and losses resulting from transactions denominated in a currency other than CAD are included in the consolidated statements of operations as exchange gain or loss. The financial statements of the Subsidiary are translated into US dollars in accordance with ASC830, Foreign Currency Matters. The financial information is first presented in CAD and then is translated into US dollars at year-end exchange rates as to assets and liabilities and average exchange rates as to revenue and expenses. Capital accounts are translated at their historical exchange rates when the capital transactions occurred.
Cash and cash equivalents
Cash and cash equivalents include cash and guaranteed investment certificates (GICs) with a term of 1 year or less. These investments are redeemable at any time at the option of the Company.
Accounts receivable
Trade receivables are carried at original invoice amount. Accounts receivable are written off to bad debt expense using the direct write-off method. Receivables past due for more than 120 days are considered delinquent. Management determines uncollectible accounts by regularly evaluating individual customer receivables and considering a customers financial condition, credit history, and current economic conditions and by using historical experience applied to an aging of accounts. Recoveries of trade receivables previously written off are recorded when received.
19
Fixed assets
Furniture, fixtures and equipment are recorded at cost less accumulated amortization. Amortization is computed using the declining balance method, other than leasehold improvements which is computed using the straight line method over the lease term. Estimated rates of amortization are as follows:
Computer equipment
30%, declining balance
Computer equipment
45% declining balance
Furniture and equipment
20%, declining balance
Leasehold improvements
5 years, straight-line
Fair Value
The Company measures the fair values in accordance with accounting guidance that defines fair value, provides guidance for measuring fair value and requires certain disclosures. The guidance also discusses valuation techniques, such as the market approach (comparable market prices), the income approach (present value of future income or cash flow) and the cost approach (cost to replace the service capacity of an asset or replacement cost). The guidance establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. The following is a brief description of those three levels:
-
Level 1: Observable inputs such as quoted prices (unadjusted) in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities.
-
Level 2: Inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active.
-
Level 3: Unobservable inputs that reflect the reporting entitys own assumptions.
The inputs used in the fair value measurement should be from the highest level available. In instances where the measurement is based on inputs from different levels of the fair value hierarchy, the fair value measurement will fall within the lowest level input that is significant to the fair value measurement in its entirety.
As at December 31, 2013, the Companys financial instruments comprised cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities, other current liabilities, advances from shareholders and share subscription received in advance. With the exception of cash and cash equivalents, all financial instruments held by the Company are measured at amortized cost. The fair values of these financial instruments approximate their carrying value due to their short-term maturities. Cash is measured using level 1 input of the fair value hierarchy.
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Goodwill
The Company recognizes goodwill in accordance with ASC 805 Business Combination. Goodwill represents the excess of the purchase price over the fair value of assets acquired and liabilities assumed, if any. The goodwill impairment test compares the fair value of a reporting unit with its carrying amount, including goodwill. If the carrying amount of a reporting unit exceeds its fair value, goodwill of the reporting unit would be considered impaired. To measure the amount of the impairment loss, the implied fair value of a reporting unit's goodwill is compared to the carrying amount of that goodwill. If the carrying amount of a reporting unit's goodwill exceeds the implied fair value of that goodwill, an impairment loss is indicated. The Company concluded that there were no indicators of impairment with respect to the Company's goodwill as of December 31, 2012 and 2013.
Impairment Reviews for Long-Lived Assets
Long-lived assets such as property and equipment are reviewed for impairment whenever facts and circumstances indicate that the carrying value may not be recoverable. When required impairment losses on assets to be held and used are recognized based on the fair value of the asset. The fair value is determined based on estimates of future cash flows, market value of similar assets, if available, or independent appraisals, if required. If the carrying amount of the long-lived asset is not recoverable from its undiscounted cash flows, an impairment loss is recognized for the difference between the carrying amount and fair value of the asset. When fair values are not available, the Company estimates fair value using the expected future cash flows discounted at a rate commensurate with the risk associated with the recovery of the assets. We did not recognize any impairment losses for any periods presented.
Revenue Recognition
The Company recognizes revenue once the service is rendered and all the significant risks and rewards of the service have been transferred to the customer. As a result, revenue from hotel booking services are recognized when customers check in the hotels. Amounts received from customers for services not yet rendered are included in current liabilities as unearned revenue.
In accordance with the ASC 605 Revenue Recognition, the Company reports its revenue as an agent, on the net amount retained, which is the amount billed to a customer less the amount paid to a hotel.
Income Taxes
The Company accounts for income taxes following the deferral method in accordance with the ASC 740 Income Taxes. Under such method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the consolidated financial statement carrying amounts of existing assets and liabilities and their respective tax bases. The Company applies the accounting guidance issued to address the accounting for uncertain tax
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positions. This guidance clarifies the accounting for income taxes, by prescribing a minimum recognition threshold a tax position is required to meet before being recognized in the financial statements as well as provides guidance on derecognition, measurement, classification, interest and penalties, accounting in interim periods, disclosure and transition. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years that the asset is expected to be recovered or the liability settled.
Earnings (Loss) per Common Share
Basic earnings (loss) per share is determined by dividing earnings (loss) by the weighted average shares of common stock outstanding during the year. Diluted earnings (loss) per share is determined by dividing earnings (loss) by the diluted weighted average shares outstanding. Diluted weighted average shares reflects the dilutive effect, if any, of potentially dilutive common shares, such as stock options and warrants calculated using the treasury stock method. In periods with reported net operating losses, all common stock options and warrants are deemed anti-dilutive such that basic net loss per share and diluted net loss per share are equal.
Recently Adopted Accounting Pronouncements
In February 2013, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2013-02 which requires additional disclosures regarding the reporting of reclassifications out of accumulated other comprehensive income. ASU 2013-02 requires an entity to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income but only if the amount reclassified is required under GAAP to be reclassified to net income in its entirety in the same reporting period. This guidance is effective for reporting periods beginning after December 15, 2012. The Company adopted this guidance effective January 1, 2013. The Companys adoption of this standard did not have a material impact on its consolidated financial statements.
In March 2013, the FASB issued ASU 2013-05, which permits an entity to release cumulative translation adjustments into net income when a reporting entity (parent) ceases to have a controlling financial interest in a subsidiary or group of assets that is a business within a foreign entity. Accordingly, the cumulative translation adjustment should be released into net income only if the sale or transfer results in the complete or substantially complete liquidation of the foreign entity in which the subsidiary or group of assets had resided, or, if a controlling financial interest is no longer held. The revised standard is effective for fiscal years beginning after December 15, 2013; however, early adoption is permitted. The Company does not expect adoption of this ASU to materially impact its consolidated financial statements.
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3.
OTHER CURRENT ASSETS
The items comprising the Companys other current assets are summarized below:
| December 31, 2013 | December 31, 2012 |
| $ | $ |
Deposits to hotels | 24,476 | 26,259 |
Other deposits to suppliers | 4,038 | 7,983 |
Credit card receivable | 4,782 | 2,871 |
Total other current assets | 33,296 | 37,113 |
4.
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES
Accounts payable and accrued liabilities mainly consist of trade payables to hotels and travel service suppliers.
5.
OTHER CURRENT LIABILITIES
The items comprising the Companys other current liabilities are summarized below:
| December 31, 2013 | December 31, 2012 |
| $ | $ |
Unearned revenue Corporate taxes payable | 9,687 9,852 | 13,175 - |
Sales tax refundable | 2,010 | 1,204 |
Total other current liabilities | 21,549 | 14,379 |
6.
ADVANCES FROM SHAREHOLDERS
Advances from shareholders of $62,297 (2012 - $50,126) consist of cash contributed by three principal shareholders or expenses paid by them on behalf of the Company. The advances have no fixed term of repayment and bear no interest.
7.
SHAREHOLDERS EQUITY
Share capital
Authorized
- 500,000,000 of common voting shares with $0.0002 par value.
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Issued and outstanding
As of December 31, 2012 and 2013, the Company has 24,785,000 shares issued and outstanding. There were no share issuances during the years ended December 31, 2012 and 2013.
During the year ended December 31, 2012, the Company received $10,000 for share subscriptions. As of December 31, 2012 and 2013, the shares are not issued, and the $10,000 was recorded as share subscription received in advance.
The Company has no options or warrants outstanding as of December 31, 2012 and 2013. There were no option or warrant transactions during the years ended December 31, 2012 and 2013.
8.
REVENUE
The Company reports its revenue as an agent on a net basis. The following table shows the gross amount the Company received from customers and the booking costs during the years ended December 31, 2012 and 2013:
For the year ended | December 31, 2013 | December 31, 2012 |
| $ | $ |
Gross amount received | 3,411,951 | 3,211,108 |
Costs | (3,119,619) | (2,789,318) |
Revenue | 292,332 | 421,790 |
9.
SEGMENTED INFORMATION
The Company currently operates in one business segment, which is the internet hotel booking service. Accordingly, the Company does not have separately reportable segments.
10.
INCOME TAXES
A reconciliation of income taxes at statutory rates with the reported taxes is as follows:
For the years ended December 31, | 2013 | 2012 |
| $ | $ |
Income (loss) before income taxes | (69,748) | 79,028 |
Expected income tax expenses (recovery) Adjustment of prior year income tax expense Application of current year loss to prior periods Change in statutory, foreign exchange rates and other | (17,960) 20,568 16,131 5,864 | 20,350 - - - |
Change in unrecognized deductible temporary differences | (3,239) | (7,475) |
Total income tax expense | 21,364 | 12,875 |
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The significant components of the Companys unrecorded deferred tax assets and liabilities are as follows:
| December 31, 2013 | December 31, 2012 |
| $ | $ |
Non-capital losses available for future periods | 31,000 | 34,000 |
Deferred tax assets | 31,000 | 34,000 |
Valuation allowance | (31,000) | (34,000) |
Deferred tax assets | - | - |
10.
INCOME TAXES (Continued)
The significant components of the Companys temporary differences and unused tax losses are as follows:
| December 31, 2013 | Expiry date range | December 31, 2012 | Expiry date range |
Temporary Differences |
|
|
|
|
Non-capital losses available for future periods - USA | $ 91,000 | 2020-2033 | $ 100,000 | 2020-2032 |
Tax attributes are subject to review, and potential adjustment, by tax authorities.
11. SUBSEQUENT EVENTS
On February 1, 2014, the Company elected Hin Kwok Sheung and Jia Charles Yao to the board of directors. In addition, Hin Kwok Sheung was elected to the position of chairman of the board. Each director extended a demand loan to the Company for $200,000 with an annual interest rate of 2%.
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ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE
None
ITEM 9A. CONTROLS AND PROCEDURES
Controls and Procedures.
Evaluation of Disclosure Controls and Procedures:
We maintain disclosure controls and procedures, as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act that are designed to insure that information required to be disclosed in the reports we file or submit under the Exchange Act is recorded, processed, summarized and reported within the periods specified in the Securities and Exchange Commissions rules and forms and that such information is accumulated and communicated to our management, including our chief executive officer and chief financial officer, or the persons performing similar functions, to allow timely decisions regarding required disclosure.
Under the supervision and with the participation of our CEO and CFO, or the persons performing similar functions, our management has evaluated the effectiveness of our disclosure controls and procedures as of the end of the period covered by this annual report. Based on that evaluation, our CEO and CFO, or the persons performing similar functions, concluded that our disclosure controls and procedures were not effective as of December 31, 2013.
Managements Annual Report on Internal Control over Financial Reporting:
Our management is responsible for establishing and maintaining adequate internal control over financial reporting, as such term is defined in Rule 13a-15(f) and 15d-15(f) under the Exchange Act, for the Company. Our internal control over financial reporting is the process designed by and under the supervision of our CEO and CFO, or the persons performing similar functions, to provide reasonable assurance regarding the reliability of our financial reporting and the preparation of our financial statements for external reporting in accordance with accounting principles generally accepted in the United States of America.
Management recognizes that there are inherent limitations in the effectiveness of any system of internal control, and accordingly, even effective internal control can provide only reasonable assurance with respect to financial statement preparation and may not prevent or detect material misstatements. In addition, effective internal control at a point in time may become ineffective in future periods because of changes in conditions or due to deterioration in the degree of compliance with our established policies and procedures.
Management has evaluated the effectiveness of our internal control over financial reporting using the criteria established in Internal Control Integrated Framework (1992) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO).
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The matters involving internal control over financial reporting that our management considered to be material weaknesses were:
-
Lack of segregation of duties as we have an inadequate number of personnel to properly implement control procedures.
The aforementioned material weaknesses were identified by our chief executive officer and chief financial officer in connection with the review of our consolidated financial statements as of December 31, 2013.
Management believes that the material weaknesses set forth above did not have an effect on our financial results. However, management believes that the lack of a functioning audit committee, the inadequate accounting personnel results in ineffective oversight in the monitoring of required internal controls over financial reporting, which weaknesses could result in a material misstatement in our financial statements in future periods.
Managements Remediation Initiatives
In an effort to remediate the identified material weaknesses and enhance our internal controls over financial reporting, the Company plans to make the necessary improvements to remediate these deficiencies.
This annual report does not include an attestation report of our independent registered public accounting firm regarding internal control over financial reporting. We were not required to have, nor have we, engaged our independent registered public accounting firm to perform an audit of internal control over financial reporting pursuant to the rules of the Commission that permit us to provide only managements report in this annual report.
Evaluation of Changes in Internal Control over Financial Reporting:
Under the supervision and with the participation of our CEO and CFO, or those persons performing similar functions, our management has evaluated changes in our internal controls over financial reporting that occurred during the year ended December 31, 2013. Based on that evaluation, our CEO and CFO, or those persons performing similar functions, did not identify any change in our internal control over financial reporting that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.
ITEM 9B. OTHER INFORMATION
None
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PART III
ITEM 10. DIRECTORS AND EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE.
Our bylaws provide that the number of directors who shall constitute the whole board shall be such number as the board of directors shall at the time have designated. We confirm that the number of authorized directors has been set at three (3) pursuant to our bylaws. Each director shall be selected for a term of one year and until his successor is elected and qualified. Vacancies are filled by a majority vote of the remaining directors then in office with the successor elected for the unexpired term and until the successor is elected and qualified.
The directors and executive officers are as follows:
NAME AGE POSITIONS HELD SINCE
Robin Young 70 President/Director Inception to
Present
Ben Choi 58 Treasurer/Director Inception to
Present
Daniel Lo 47 Secretary/Director Inception to
Present
Business Experience of Officers and Directors
Robin Young, President and Director, has been the principal of Young Engineering Corporation, an engineering consulting firm for the building industry since 1975. He has also been the president of Landtek Properties Ltd., a development company since 1994 and Coreng Construction Corporation, a company providing project and construction management as well as general contracting from 1976 to 1990. Mr. Young was listed in the Whos Who in British Columbia and International Whos Who of Professionals. Mr. Young received a bachelor of applied science degree in civil engineering from the University of British Columbia in 1963. He conducted his post-graduate studies both at McGill University and at Concordia University and received his masters degree in civil and structural engineering in 1970 from Concordia University.
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Ben Choi, Treasurer and Director, is a software development consultant. From 2001 to present, Mr. Choi has been project manager of NewViews Health Care Consultants Ltd., a company which develops health care software programs. He has also been the project leader of developing Pharmacy Claims Adjudicate Software, a Health Canada, Non-Insurance Health Benefit Pilot project & Medical Transportation Software for Alberta Regional Health Department. Mr. Choi has extensive consulting experience in the technology fields including network services, hardware and software sales and implementation. Mr. Choi received a Bachelor of Science degree from the University of Winnipeg in 1976. In 1988, he took courses in computer programming and data processing at the University of Alberta.
Daniel Lo, Secretary and Director, has been the president of LCF Advanced Technology Ltd. which is a leading computer hardware solution company in Western Canada since 1996. LCF is an Intel Premier Partner and Microsoft Certified partner. In 1998, Mr. Lo led LCF to become an ISO 2002 company and upgraded the company into the new ISO 2001:2000 standard in 2003. The ISO 2001:2000 standard is an international quality management system which ensures consistency and improvement of working practices. In 1986, Mr. Lo received his business administration degree in finance from Simon Fraser University, BC.
Section 16(a) Beneficial Ownership Reporting Compliance
Under Section 16(a) of the Securities Exchange Act of 1934, as amended, an officer, director, or greater-than-10% shareholder of the registrant must file a Form 4 reporting the acquisition or disposition of registrant's equity securities with the Securities and Exchange Commission no later than the end of the second business day after the day the transaction occurred unless certain exceptions apply. Transactions not reported on Form 4 must be reported on Form 5 within 45 days after the end of the registrant's fiscal year. Such persons must also file initial reports of ownership on Form 3 upon becoming an officer, director, or greater-than-10% shareholder. To our knowledge, based solely on a review of the copies of these reports furnished to it, the officers, directors, and greater than 10% beneficial owners have complied with all applicable Section 16(a) filing requirements during 2013.
Code of Ethics Policy
The registrant has prepared but has not yet adopted a code of ethics that applies to our principal executive officer, principal financial officer, principal accounting officer or controller or persons performing similar functions.
Corporate Governance
There have been no changes in any state law or other procedures by which security holders may recommend nominees to our board of directors. In addition to having no nominating committee for this purpose, we currently have no specific audit committee and no audit committee financial expert. Based on the fact that our current business affairs are simple, any such committees are excessive and beyond the scope of our business and needs.
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ITEM 11. EXECUTIVE COMPENSATION
Since inception in February 2006, we have issued 375,000 shares of the companys securities to each of the president, secretary and treasurer as compensation for their services performed to and on behalf of the Company. No executive compensation in cash has been made. We may elect to award a cash bonus to key employees, directors, officers and consultants based on meeting individual and corporate planned objectives.
Directors Compensation.
We do not have any standard arrangements by which directors are compensated for any services provided as a director. No cash has been paid to the directors in their capacity as such.
On January 2, 2008 the Board of Directors approved a motion to extend to three Directors options to purchase 100,000 shares of common stock (pre 5:1 split) at $.10 per share to expire on January 2, 2010. On December 23, 2009 the Directors extended the options to January 2, 2012. No expense has been added as a result of the issuance of these options because the stock was trading and still is trading below the option price.
On March 30, 2010 the Board of Directors authorized an additional 400,000 shares of common stock each to three directors. The options expired on March 31, 2012 and had a strike of $0.01 per share.
ITEM 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDERS MATTERS
The following table sets forth, as of March 31, 2014, the number and percentage of outstanding shares of the registrants common stock owned by (i) each person known to us to beneficially own more than 5% of its outstanding common stock, (ii) each director, (iii) each named executive officer, and (iv) all officers and directors as a group.
30
Name of Beneficial Owners
Common Stock
Beneficially Owned
Percentage (1)
Robin Young (2)
3,502,150 14.13%
426 Main Street
Suite #202
Vancouver, B.C. V6A 2T4
Ben Choi
3,750,000 15.13%
426 Main Street
Suite #202
Vancouver, B.C. V6A 2T4
Daniel Lo
3,750,000 15.13%
333 - 13988 Cambie Road
Richmond, B.C. Canada V6V 2K4
Hin Kwok Sheung
0
0.00%
426 Main Street
Suite #202
Vancouver, B.C. V6A 2T4
Jia CharlesYao
0
0.00%
426 Main Street
Suite #202
Vancouver, B.C. V6A 2T4
Directors and Officers,
as a group(5 persons)
11,002,150 44.39%
Barry Phillips
3,750,000 15.13%
7903 - 93a Ave.
Edmonton, Alberta T6C 1V2
Petula Wong
3,750,000 15.13%
Rm C 12/F 55 Tong Mi Road
Kowloon, Hong Kong
Vincent Au
2,100,000 8.07%
426 Main Street
Suite #202
Vancouver, B.C. V6A 2T4
(1) Based upon 24,785,000 issued and outstanding as of March 31, 2014.
(2) Owned by Fidelity Clearing Canada ULC, controlled by Robin Young. Fidelity Clearing Canada ULC is located at 483 Bay Street, Suite 200, South Tower, Toronto, ON M5G 2N7.
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ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS AND DIRECTOR INDEPENDENCE
Shareholder Advances
Advances from shareholders are for the reimbursement of expenses incurred on behalf of the company by the three principal shareholders and they bear no interest. These notes are short term advances which are paid generally within one year. The balance at December 31, 2013 is $62,297 and $55,694 at December 31, 2012.
Director Independence
The registrants board of directors consists of Robin Young, Ben Choi and Daniel Lo. None of them is independent as such term is defined by a national securities exchange or an inter-dealer quotation system. During the fiscal year ended December 31, 2013, there were no transactions with related persons other than as described in the section above entitled Item 11. Executive Compensation.
ITEM 14. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
Audit Fees
We incurred aggregate fees and expenses of $15,000 from Thomas J. Harris, CPA, for the 2012 fiscal year. We have not incurred fees and expenses from Davidson & Company LLP, Chartered Accountants for the 2013 fiscal year. Fees included work completed for our annual audit and for the review of our financial statements included in our Forms 10-K and 10-Q.
Tax Fees
We did not incur any aggregate tax fees and expenses from Thomas J. Harris, CPA for the 2012 fiscal year. We have not incurred tax fees and expenses from Davidson & Company LLP, Chartered Accountants for the 2013 fiscal year for professional services rendered for tax compliance, tax advice, and tax planning.
All Other Fees
We did not incur any audit related fees from Thomas J. Harris, CPA during the 2012 fiscal year and from Davidson & Company LLP, Chartered Accountants during the 2013 fiscal year. The Board of Directors, acting as the Audit Committee considered whether, and determined that, the auditor's provision of non-audit services was compatible with maintaining the auditor's independence. All of the services described above for fiscal years 2013 and 2012 were approved by the Board of Directors pursuant to its policies and procedures. We intend to continue using Davidson & Company LLP, Chartered Accountants solely for audit and audit-related services, tax consultation and tax compliance services, and, as needed, for due diligence in acquisitions.
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ITEM 15. EXHIBITS, FINANCIAL STATEMENT SCHEDULES
(a)(1) List of Financial statements included in Part II hereof
Report of Independent Registered Public Accounting Firm
Balance Sheet:
December 31, 2013 and 2012
Statements of Operations:
For the years ended December 31, 2013 and 2012
Statements of Changes in Shareholders Equity (Deficit)
For the years ended December 31, 2013 and 2012
Statements of Cash Flows:
For the years ended December 31, 2013 and 2012
Notes to Financial Statements
For the years ended December 31, 2013 and 2012
(a)(2) List of Financial Statement schedules included in Part IV hereof: None
(a)(3) Exhibits
The following exhibits are included herewith:
Exhibit No. | Description |
31 | Certification of Chief Executive Officer and Chief Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 |
32 | Certification of Chief Executive Officer and Chief Financial Officer Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 |
101.INS* | XBRL Instance Document |
101.SCH* | XBRL Taxonomy Extension Schema Document |
101.CAL* | XBRL Taxonomy Extension Calculation Linkbase Document |
101.DEF* | XBRL Taxonomy Extension Definition Linkbase Document |
101.LAB* | XBRL Taxonomy Extension Label Linkbase Document |
101.PRE* | XBRL Taxonomy Extension Presentation Linkbase Document |
*XBRL (Extensible Business Reporting Language) information is furnished and not filed or a part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, is deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and otherwise is not subject to liability under these sections.
Following are a list of exhibits which we previously filed in other reports which we filed with the SEC, including the Exhibit No., description of the exhibit and the identity of the Report where the exhibit was filed.
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NO. | DESCRIPTION | FILED WITH | DATE FILED |
|
|
|
|
3.1 | Articles of Incorporation | Form SB-2 | May 10, 2006 |
3.2 | Bylaws | Form SB-2 | May 10, 2006 |
4 | Specimen Stock Certificate | Form SB-2 | May 10, 2006 |
10 | Share Exchange Agreement | Form 8-K | March 6, 2009 |
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SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this Report to be signed on its behalf by the undersigned duly authorized person.
Dated: March 31, 2014
/s/Robin Young
By: Robin Young, President/CEO
In accordance with the requirements of the Securities Exchange Act of 1934, as amendment, this report has been signed by the following persons in the capacities and on the dates stated.
Globalink, Inc.
(Registrant)
By: /s/Robin Young Dated: March 31, 2014
Robin Young
Chief Financial Officer, Controller and Director
Director, Chief Executive Officer
(As a duly authorized officer on behalf of the registrant and as Principal Executive Officer)
By: /s/Ben Choi Dated: March 31, 2014
Ben Choi
Chief Financial Officer, Controller and Director
By: /s/Daniel Lo Dated: March 31, 2014
Daniel Lo
Director
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