Attached files
| file | filename |
|---|---|
| EX-32.1 - CERTIFICATION BY CHIEF EXECUTIVE OFFICER PURSUANT TO 18 U.S.C. 1350, AS ADOPTED - STRONG SOLUTIONS INC. | f10q0620ex32-1_strong.htm |
| EX-31.1 - CERTIFICATION BY CHIEF EXECUTIVE OFFICER PURSUANT TO RULE 13A-14(A) AND RULE 15D - STRONG SOLUTIONS INC. | f10q0620ex31-1_strong.htm |
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2020
☐ 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: 000-55819
STRONG SOLUTIONS, INC.
(Exact name of Registrant as specified in its charter)
| Nevada | 38-3942046 | |
| (State of incorporation) | (IRS Employer ID Number) |
| 102 N. Curry Street, Carson City, NV | 89703 | |
| (Address of Principal Executive Offices) | Zip Code |
775-434-4451
(Registrant’s telephone number)
Not Applicable
(Former name, former address and former fiscal year, if changed since last report)
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.
Yes ☒ No ☐
Indicate by check mark whether the registrant has submitted every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).
Yes ☒ No ☐
Indicate by check mark whether the Registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See definitions of “large accelerated filer,” “accelerated filer” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
| Large accelerated filer | ☐ | Accelerated filer | ☐ |
| Non-accelerated filer | ☐ | Smaller reporting company | ☐ |
| Emerging Growth Company | ☒ |
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
Yes ☐ No ☒
As of June 30, 2020, there were 36,693,000 shares of our authorized common stock issued and outstanding.
TABLE OF CONTENTS
i
BALANCE SHEETS
AS OF JUNE 30, 2020 (UNAUDITED) AND DECEMBER 31, 2019 (AUDITED)
| June
30, 2020 | December 31,
2019 | |||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 2,248 | $ | 1,770 | ||||
| Construction equipment from related party, net of depreciation | $ | 25,000 | $ | 25,000 | ||||
| Accumulated Depreciation | $ | (7,500 | ) | $ | (5,000 | ) | ||
| Total Current Assets | $ | 17,500 | $ | 20,000 | ||||
| Total Assets | $ | 19,748 | $ | 21,770 | ||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
| Current Liability | ||||||||
| Related Party Accrued Shareholder Salary | $ | 137,500 | $ | 131,500 | ||||
| Accounts Payable Loan from related party | $ | 3,000 | $ | 0 | ||||
| Total Liabilities | $ | 140,500 | $ | 131,500 | ||||
| Stockholders’ Equity: | ||||||||
| Common stock, $0.0001 par value; 75,000,000 shares authorized; 36,693,000 shares and 36,293,000 shares issued and outstanding as of June 30,2020 and December 31, 2019 respectively | $ | 3,669 | $ | 3,629 | ||||
| Additional paid in capital | $ | 348,261 | $ | 344,301 | ||||
| Accumulated deficit | $ | (472,682 | ) | $ | (457,660 | |||
| Total stockholders’ equity | $ | (120,752 | ) | $ | (109,730 | |||
| Total Liabilities and Stockholders’ Equity | $ | 19,748 | $ | 21,770 | ||||
1
STATEMENTS OF OPERATIONS (UNAUDITED)
FOR THE THREE MONTHS ENDED JUNE 30, 2020 AND JUNE 30, 2019
FOR THE SIX MONTHS ENDED JUNE 30, 2020 AND JUNE 30, 2019
| For the three months ended June 30, 2020 | For the three months ended June 30, 2019 | For the six months ended June 30, 2020 | For the six months ended June 30, 2019 | |||||||||||||
| Commissions revenue | $ | 1,100 | $ | 2,580 | $ | 3,630 | $ | 4,670 | ||||||||
| Operating expenses: | ||||||||||||||||
| General and administration expense | $ | 4,324 | $ | 3,974 | $ | 11,752 | $ | 18,819 | ||||||||
| Related Party office rent, equipment rent and salary expense | $ | 3,450 | $ | 4,950 | $ | 3,900 | $ | 9,900 | ||||||||
| Loan from Related Party | $ | 0 | $ | 0 | $ | 3,000 | $ | 0 | ||||||||
| Total operating expenses | $ | 7,774 | $ | 8,924 | $ | 18,652 | $ | 28,719 | ||||||||
| Net (loss) from operations before income taxes | $ | (6,674 | ) | $ | (6,344 | ) | $ | (15,022 | ) | $ | (24,049 | ) | ||||
| Income tax | $ | 0 | $ | 0 | $ | 0 | $ | 0 | ||||||||
| Net income (loss) | $ | (6,674 | ) | $ | (6,344 | ) | $ | (15,022 | ) | $ | (24,049 | ) | ||||
| Profit (Loss) per common share | $ | (0.00 | ) | $ | (0.00 | ) | $ | (0.00 | ) | $ | (0.00 | ) | ||||
| Weights average of shares outstanding | 36,693,000 | 36,293,000 | 36,693,000 | 36,293,000 | ||||||||||||
2
STATEMENTS OF STOCKHOLDERS’ EQUITY (UNAUDITED)
ON DECEMBER 31, 2019 AND JUNE 30, 2020
| Common Stock | Accumulated | Total Stockholders’ | ||||||||||||||||||
| Shares | Par | APIC | Deficit | Equity | ||||||||||||||||
| Balance December 31, 2019 | 36,293,000 | $ | 3,629 | $ | 344,301 | $ | (457,660 | ) | $ | (109,730 | ) | |||||||||
| Stocks for cash from NV Share Service | 400,000 | $ | 40 | $ | 3,960 | $ | 4,000 | |||||||||||||
| Net Loss | $ | (15,022 | ) | $ | (15,022 | ) | ||||||||||||||
| Balance, June 30, 2020 | 36,693,000 | $ | 3,669 | $ | 348,261 | $ | (472,682 | ) | $ | (120,752 | ) | |||||||||
STRONG SOLUTIONS, INC.
STATEMENTS OF STOCKHOLDERS’ EQUITY (UNAUDITED)
ON DECEMBER 31, 2018 JUNE 30, 2019
| Common Stock | Accumulated | Total Stockholders’ | ||||||||||||||||||
| Shares | Par | APIC | Deficit | Equity | ||||||||||||||||
| Balance, December 31, 2018 | 36,293,000 | 3,629 | $ | 344,301 | $ | (422,725 | ) | $ | (74,795 | ) | ||||||||||
| Net Loss | $ | (24,049 | ) | $ | (24,049 | ) | ||||||||||||||
| Balance, June 30, 2019 | 36,293,000 | 3,629 | $ | 344,301 | $ | (446,774 | ) | $ | (98,844 | ) | ||||||||||
3
STATEMENTS OF CASH FLOWS (UNAUDITED)
FOR THE SIX MONTHS ENDED JUNE 30, 2020 AND JUNE 30, 2019
| For the six months ended June 30, 2020 | For the six months ended June 30, 2019 | |||||||
| Cash flows from operating activities: | ||||||||
| Net income (loss) | $ | (15,022 | ) | $ | (24,049 | ) | ||
| Changes in Operating Assets and Liabilities: | ||||||||
| Increase/(Decrease) in Accounts Payable | $ | 9,000 | $ | 9,000 | ||||
| Depreciation | $ | 2,500 | $ | 2,500 | ||||
| Net cash used in operating activities | $ | (3,522 | ) | $ | (12,549 | ) | ||
| Cash flows from investing activities: | ||||||||
| Net cash used in investing activities | $ | 0 | $ | 0 | ||||
| Cash flows from financing activities: | ||||||||
| Proceeds from sale of common stock | $ | 4,000 | $ | 0 | ||||
| Net cash provided by financing activities | $ | 4,000 | $ | 0 | ||||
| Net change in cash | $ | 478 | $ | (12,549 | ) | |||
| Cash, beginning of the period | $ | 1,770 | $ | 13,705 | ||||
| Cash, end of the period | $ | 2,248 | $ | 1,155 | ||||
| Supplemental Disclosures regarding cash flows information | ||||||||
| Interest paid | $ | 0 | $ | 0 | ||||
| Income taxes paid | $ | 0 | $ | 0 | ||||
4
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
NOTE 1 – DESCRIPTION OF BUSINESS
Strong Solutions, Inc. (the “Company”) was incorporated under the laws of the State of Nevada on June 18, 2014 for engagement in business of real estate management, maintenance and rehabilitation and construction equipment rental in Ukraine. The Company provides this service for companies and for individuals outside of the United States of America.
As a development-stage enterprise, the Company had limited operating revenues through June 30, 2020. Recorded Commission Revenue was generated from Ukrainian clients. The Company is currently devoting substantially all of its present efforts to securing and establishing a new business in the real estate sector in the United States. On May 18, 2020 the Board of Directors appointed Eric Stevenson Secretary for the Company and changed its address to 102 N. Curry Street Carson City, NV 89703 in keeping with its plan to secure and establish a new business in the real estate sector within the United States.
NOTE 2 – GOING CONCERN
The financial statements have been prepared assuming that the Company will continue as a going concern. Currently, the Company has a cash balance of $2,248 as of June 30, 2020 and net loss from operation of $6,674 for the three months ended June 30, 2020. These factors raise substantial doubt about the Company’s ability to continue as a going concern. Management believes that the Company’s capital requirements will depend on many factors including the success of our development efforts and our efforts to raise capital. Management also believes the Company needs to raise additional capital for working purposes. There is no assurance that such financing will be available in the future. The financial statements of the Company do not include any adjustments relating to the recoverability and classification of recorded assets, or the amounts and classifications of liabilities that might be necessary should the Company be unable to continue as a going concern.
NOTE 3 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Use of estimates
The preparation of the financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from these estimates.
Revenue recognition
We base our judgment on guidance ASC 606. Accounting Standards Update 2016-08.
All revenues appear in current periods to be recognized as gross, so, there is no net revenue recognized in current periods.
FASB’s new single, principle-based approach to accounting for revenue from contracts with customers. As the entity, we involved in providing a good and provide service to the customers. In those circumstances, Topic 606 requires us to determine whether the nature of our promise is to provide that good or service to the customers (that is, the entity is a principal) or to arrange for the good or service to be provided to the customers by the other party (that is, the entity is an agent). This determination is based upon whether we control the good or the service before it is transferred to the customer. Some indicators help in this evaluation.
1. We identify obligations in the contract with firm Markus. A contract includes promises to transfer temporary right to use construction equipment in their business for profit.
2. We determine the transaction price $500 in a month. The transaction price is the reasonable amount of which we and firm Markus were agree. The transaction price in 2nd quarter was a fixed amount.
3. We recognize revenue when the firm Markus obtains control of that equipment and we received the payment.
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4. The transaction price also can include variable consideration or consideration in a form other than cash. In our property management service with Protel Management we received changeable revenue. If the consideration is variable, we estimate the amount of consideration to which we will be entitled in exchange for the services. The estimated amount of variable consideration will be included in the transaction price only to the extent that it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved.
The Company considered recognizes the revenue on the accrual basis, revenue is recognized when earned and services have been performed. We are principal, and recognize the gross amount received from the customer as revenue. Revenues are reported on the income statement when the services have been performed. Our revenue includes the gross amounts that come from Client for the Property Management and Rent Service.
Cash equivalents
The Company considers all highly liquid instruments and tries to work in cash equivalent segment. The Company’s funds are deposited in insured institutions.
Income Taxes
We are subject to income taxes in the U.S. For present time we don’t have any current income tax obligations.
The Company accounts for income taxes under the provisions of ASC Topic 740, “Income Taxes.” The method of accounting for income taxes under ASC 740 is an asset and liability method.
The asset and liability method require the recognition of deferred tax liabilities and assets for the expected future tax consequences of temporary differences between tax bases and financial reporting bases of other assets and liabilities. Deferred tax asset would be the net operating loss carryforward value at tax rates. Our net (loss) from operations before income taxes for the three months ended June 30, 2020 was $6,674 and for the three months ended June 30, 2019 was $6,344
Income tax assets and liabilities are computed annually for differences between financial statement and tax bases of assets and liabilities that will result in taxable or deductible amounts in the future based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. Income tax expense is the tax payable or refundable for the period plus or minus the change during the period in deferred tax assets and liabilities.
NOTE 4 – COMMON STOCK ISSUED AND OUTSTANDING
The company authorized 75,000,000 Common shares $0.0001 par value.
For the period from January 1, 2020 to June 30, 2020 there were some changes in common stock.
As of June 30, 2020, the Company had issued and outstanding 36,693,000 shares of common stock.
We issued 1,293,000 common shares for cash at a purchase price of $0.01 per share to 31 nonaffiliated shareholders.
We issued 5,000,000 common shares for cash at a purchase price of $0.002 per share to our director Mr.Guzii.
We issued 400,000 common shares for cash at a purchase price of $0.01 per share to NV Share Services LLC.
6
30,000,000 shares were issued to our director Mr.Guzii for repayment of accrued salary on $30,000 and $270,000 of stock compensation value at $0.01 per share. This value was determined based on the previous sale of stock to unrelated parties at 0.01 per share.
Mr. Guzii sold his 35,000,00 shares of common stock for $3,500 to NV Share Services LLC on May 18, 2020. On May 18, 2020, the company sold 400,000 shares of common stock to NV Share Services, LLC for $4,000.00.
NOTE 5 – FAIR VALUE OF FINANCIAL INSTRUMENTS
The carrying amounts of cash and cash equivalents approximate their fair values due to their short-term nature.
NOTE 6 – CONCENTRATION OF CREDIT RISK
The Company maintains cash balances at a Wells Fargo financial institution. The balance, at any given time, may exceed Federal Deposit Insurance Corporation (“FDIC”) insurance limits of $250,000 per institution. Our cash balances at June 30, 2020 were within FDIC insured limits.
Concentration of revenues.
The Company has only two business clients from which we receive the income: Protel Management and firm Markus. It shows our dependence from them and in present time we can’t diversify in order to mitigate the risks. We can have the potential for serious impact that can result from a complete or partial loss of business from our clients and as a consequence of the change in income.
NOTE 7 – COMMITMENTS AND CONTINGENCIES
The Company is not currently a party to any material legal proceedings, nor is we aware of any other pending or threatened litigation that would have a material adverse effect on our business, operating results, cash flows or financial condition should such litigation be resolved unfavorable.
NOTE 8 – RELATED PARTY TRANSACTIONS
Mr. Guzii is ours CEO. He represented the company and provided the services on our behalf to our clients firm Markus and Protel Management. We used his construction equipment to make our business with firm Markus from 2015 to 2018. End of the 2018 we put this equipment on the balance sheet since it is already our property.
Also, we rent office from Mr. Guzii. We paid him the office rent fee $150 per month.
We booked expense $450 for office rent from this related party for the three months ended June 30, 2020, and we count rental expense on our books.
NOTE 9 – STOCKHOLDERS’ EQUITY
From our inception on June 18, 2014 through June 30, 2020, the Company issued 36,693,000 shares of common stock. 35,000,000 for our founder, 1,293,000 for non-affiliated investors for cash, received proceeds of $12,930 sold at $0.01 per share. On May 18, 2020 NV Share Services LLC purchased 35,000,000 shares of Common Stock of the Company from Andrii Guzii for $3,500.00 in cash. May 18, 2020 Strong Solutions Inc. sold 400,000 common shares to NV Share Services LLC for $4,000.
NOTE 10 – SUBSEQUENT EVENTS
In accordance with ASC 855 the Company’s management reviewed all material events through the date these financial statements were available to be issued, and there are no material subsequent events.
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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.
Operating results for the three months ended June 30, 2020, are not necessarily indicative of results that may occur in future interim periods or for the full fiscal year.
As used in this Form 10-Q, references to the Company,” “we,” “our” or “us” refer to Strong Solutions, Inc. a Nevada Corporation unless the context otherwise indicates.
Forward-Looking Statements
Our Form 10 contains “forward–looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 and such statements are intended to enjoy the benefit of that act. Unless the context is otherwise, we use words such as “anticipate”, “assumption”, ” believe”, “could”, “estimate”, “expect”, “forecast”, “intend”, “may”, “objective”, “outlook”, “plan” and “plans”, “potential”, “predict”, project” and “projection”, “seek”, “should”, “will continue”, “will result” and “would”, or other such words, whether nouns or pronouns and verbs or adverbs in the future tense and words and phrases that convey similar meaning and uncertainty of and information about future events or outcomes and statements about performance that is not an historical fact to identify these forward–looking statements. Such words and statements involve estimates, assumptions and uncertainties, which could cause actual results to differ materially from those expressed in them. Any forward–looking statements are qualified in their entirety by reference to the factors discussed throughout this document. All forward-looking statements concerning economic conditions, rates of growth, rates of income or values as may be included in this document are based on information available to us on the dates noted, and we assume no obligation to update any such forward–looking statements. It is important to note that our actual results may differ materially from those anticipated in such forward-looking statements due to fluctuations in interest rates, inflation, government regulations, economic conditions and competitive product and pricing pressures in the geographic and business areas in which we conduct operations, including our plans, objectives, expectations and intentions and other factors discussed elsewhere in this registration statement.
There are a number of important factors beyond our control that could cause actual results to differ materially from the results anticipated by these forward–looking statements. While we make these forward–looking statements based on our beliefs and on various factors and using numerous assumptions using information available at the time we make these statements. Forward-looking statements are neither predictions nor guaranties of future events or circumstances, and the assumptions, beliefs, expectations, forecasts and projections about future events may differ materially from actual results. You have no assurance the factors and assumptions we have used as a basis for forward–looking statements will prove to be materially accurate when the events they anticipate actually occur in the future; and, you should not place undue reliance on any such forward–looking statements. We undertake no obligation to publicly update any forward–looking statement to reflect developments occurring after the date of this registration statement.
8
Business Overview
Mr. Guzii founded the Company to engage in real estate management and consulting, maintenance and rehabilitation, and construction equipment rental business in Ukraine. At the date of this report, we have one client (Protel Management) for whom we provide property management service for real estate located in Ukraine and we have one client (firm Markus) for whom we provide construction equipment rental service. From both clients, we received income in this quarter. It has been the only source of our revenue.
We are committed to expanding the scope of services offered. We will offer rehabilitation of properties with equipment rental services useful in appropriate maintenance and repair. For Protel Management, we provide real estate management in Ukraine.
The services we provide include identifying suitable opportunities for future real estate development and construction, oversight of development and construction of real estate managed by Protel Management, and the management of residential and commercial real estate, represented by Protel Management to consumers residing in and outside of Ukraine.
Since our inception we have engaged in the following significant operating activities:
Company set up:
| a. | Incorporate the company in the state of Nevada |
| b. | Establish an office in Ukraine |
| c. | Open a bank account for the company |
| Secured initial capital by a contribution from our founder, Chief Executive Officer and Director. Commenced significant other operational activities, such as: | |
| a. | Have researched and identified potential clients |
| b. | Have arranged for and met with various potential clients |
| c. | Have drafted and began production of various marketing materials |
As of the date of this form, we have written agreements for our services with:
Protel Management, LLC and Firm Markus
The services what we contribute to Protel Management include: Manage the property, find the tenants for lease, assist work directly with tenants about make the payments in time, handling maintenance, watch that all equipment’s as: elevators, fire and gas alarms, sewerage, phone lines, refrigerators, etc., work properly. If repair is required, then contact with services to fix it. We didn’t provide the service in April and May 2020 because we followed “Stay home” mandatory policy issued by Ukrainian government to reduce the spread COVID-19. Below we provide 6 months -to-6 months comparisons:
| For the 2nd quarter of 2020 | $ | 600 | For the 1st quarter of 2020 | $ | 1,530 | |||||
| Six months 2020 | $ | 2,130 | ||||||||
| For the 2nd quarter of 2019 | $ | 1,580 | For the 1st quarter of 2019 | $ | 1,590 | |||||
| Six months 2019 | $ | 3,170 |
We provide long term rental of construction equipment to firm Markus. This equipment includes:
Scaffoldings and Rafters for outside and inside work. We received $500 in this quarter from firm Markus as a payment for this construction equipment in 2nd quarter 2020. Firm Markus didn’t use construction equipment in April and May 2020.
We don’t have insurance to cover accidental damage but our agreement with firm Markus obligates them to pay the collateral value of $25,000 in case of total loss. Below we provide 6 months -to-6 months comparisons:
| For the 2 nd quarter of 2020 | $ | 500 | For the 1st quarter of 2020 | $ | 1,000 | |||||
| For the six months 2020 | $ | 1,500 | ||||||||
| For the 2 nd quarter of 2019 | $ | 1,000 | For the 1st quarter of 2019 | $ | 500 | |||||
| For the six months 2019 | $ | 1,500 |
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Liquidity
We don’t know about trends or any demands, commitments, events or uncertainties that will result to our liquidity increasing or decreasing in any material way.
Capital resources
We have fixed assets on our balance: Construction equipment net of depreciation $17,500.
Results of Operations for the six months period ended June 30, 2020 and for the six months period ended June 30, 2019
For the six months period ended June 30, 2020 we generated $3,630 in revenues. We generated $2,130 from Protel Management, $1,500 from firm Markus. Our cash balance was $2,248.
For the six months period ended June 30, 2020 we had $18,652 company expenses consist of $11,752 general and administration expense and $3,900 include accrued amount salary for shareholder and $450 payment for office rent. Our loss from operations was $15,022.
For the six months period ended June 30, 2019 we generated $4,670 in revenues. We generated $3,170 from Protel Management and $1,500 from firm Markus. Our cash balance was $1,155.
For the six months period ended June 30, 2019 we had $28,719 company expenses consist of $18,819 general and administration expense and $9,900 include accrued amount salary for shareholder and $450 payment for office rent. Our loss from operations was $24,049
Our cash balances were not sufficient to fund our limited levels of operations for any period of time without further revenue or proceeds. In order to implement our plan of operations in the next twelve months, we need to raise at least $30,000 in addition to the costs of becoming a reporting company. Being a development stage company, we have a limited operating history but have meaningfully commenced business operations based upon the amount of revenue we have been able to generate.
At the present time, we have not made any arrangements to raise additional cash. If we unable to raise additional cash, we will either have to suspend operations until we do raise the cash, or cease operations entirely.
During start up period, our operations will be limited due to the limited amount of funds on hand. Our specific goal is to profitably market and rent our construction equipment and sell related property management and property rehabilitation services.
Liquidity and Capital Resources at June 30, 2020
| Cash | $ | 2,248 | ||
| Total liabilities and stockholders' equity | $ | 19,748 |
Going Concern Consideration
While management of the Company believes that the Company will be successful in its planned operating activities, there can be no assurance that the Company will be successful in the development this business or services that will generate sufficient revenues to earn a profit and sustain the operations of the Company. The accompanying financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which contemplate continuation of the Company as a going concern. The Company has incurred an operating expense since inception, had small working capital as of June 30, 2020 and the cash resources of the Company were insufficient to meet its planned business objectives. These factors raise substantial doubt about the Company’s ability to continue as a going concern. 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.
Liquidity and Capital Resources
As of June 30, 2020, and June 30, 2019 we had cash of $2,248 and $1,155 respectively. We have fixed assets on our balance Construction Equipment net of depreciation total 17,500, Scaffolding and Rafters.
Off Balance Sheet Arrangements
None
Item 3. Quantitative and Qualitative Disclosures about Market Risk
An Emerging Growth company, as defined on form 10 is not required to provide the information required by this item.
An emerging growth company is also exempt from Section 404(b) of the Sarbanes-Oxley Act which requires that the registered accounting firm shall, in the same report, attest to and report on the assessment on the effectiveness of the internal control structure and procedures for financial reporting. Similarly, as a Smaller Reporting Company we are exempt from Section 404(b) of the Sarbanes-Oxley Act and our independent registered public accounting firm will not be required to formally attest to the effectiveness of our internal control over financial reporting until such time as we cease being a Smaller Reporting Company.
As an emerging growth company, we are exempt from Section 14A (a) and (b) of the Securities Exchange Act of 1934 which require the shareholder approval of executive compensation and golden parachutes.
10
Section 107 of the JOBS Act provides that an emerging growth company can take advantage of the extended transition period provided in Section 7(a)(2)(B) of the Securities Act for complying with new or revised accounting standards. In other words, an emerging growth company can delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. We have elected to take advantage of the benefit of this extended transition period. Our financial statements may therefore not be comparable to those of companies that comply with such new or revised accounting standards. We would cease to be an emerging growth company upon the earliest of:
| ● | the first fiscal year after our annual gross revenues are $1 billion or more; |
| ● | the date on which we have, during the previous three-year period, issued more than $1 billion in non-convertible debt securities; |
| ● | as of the end of any fiscal year in which the market value of our common stock held by non-affiliates exceeded $700 million as of the end of the second quarter of that fiscal year. |
Item 4. Controls and Procedures
Laws and regulations use controls, disclosure obligations and other restrictions that affect to the property management development. Such laws and regulations tend to discourage rent and leasing activities. Transactions in which we are involved may be delayed or abandoned as a result of these restrictions.
We are implementing procedures to control advertising and promotions. These procedures are necessary to assure our proper representation and include review of all advertising material and restrictions on how our clients and others can advertise using our brand.
Changes in Internal Control Over Financial Reporting
On May 18, 2020 NV Share Services LLC purchased 35,000,000 shares of Common Stock of the Company from Andrii Guzii for $3,500.00 in cash. On June 24, 2020 NV Share Services LLC filed Form 13D with the Securities and Exchange Commission.
11
PART II
OTHER INFORMATION
The Company is not currently a party to any material legal proceedings, nor is we aware of any other pending or threatened litigation that would have a material adverse effect on our business, operating results, cash flows or financial condition should such litigation be resolved unfavorable.
Because we are classified as an Emerging Growth Company under the federal securities laws, we are not required to include risk factors in this 10Q report. The risk factors included in our form 10.
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
The Company sold 400,000 unregistered securities during the quarter ended June 30,2020 to NV Share Services LLC. for $0.01 per share for a total cash consideration of $4,000.
Purchases of equity securities by the issuer and affiliated purchasers
During the quarter ended June 30,2020 there were no purchases of equity securities by us or affiliated purchasers.
Use of Proceeds
$4,000 received after selling 400,000 common shares was to cover our quarterly expenses.
Item 3. Defaults Upon Senior Securities
We have no senior securities outstanding.
Item 4. Mine Safety Disclosures
Not Applicable.
An occurrence of an uncontrollable event such as the COVID-19 pandemic has negatively affected our operations and financial results. Because of the uncertainty surrounding the COVID-19 outbreak, the financial impact related to the outbreak, cannot be reasonably estimated at this time, but our results for the second quarter and also for full year 2020 be affected. There is no guarantee that our revenues will grow or remain at a similar level as a year ago.
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Item 6. Exhibits
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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.
| August 21, 2020 | Strong Solutions Inc. | |
| By: | /s/ Andrii Guzii | |
| President, CEO | ||
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