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, 2019
☐
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)
|
2/13
Korolenko Str, Kharkov, Ukraine 61000
(Address
of Principal Executive Offices) Zip Code
011+380-993-87-5414
(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, 2019, there were 36,293,000 shares of our common stock authorized for issue and outstanding.
TABLE
OF CONTENTS
|
Page
|
Item 1. Financial Statements
|
|
Balance Sheets as of June 30, 2019 (Unaudited) and December 31, 2018 (Audited)
|
3
|
Statements of Operations for the three months ended June 30, 2019
and June 30, 2018 (Unaudited) and for the six months ended June 30, 2019 and June 30, 2018 (Unaudited)
|
4
|
Statements of Changes in Shareholders’ Equity for the six
months ended June 30, 2019 and 2018 (Unaudited)
|
5
|
Statements of Cash Flows for the three months ended June 30, 2019
and June 30, 2018 (Unaudited)
|
6
|
Notes to Financial Statements (Unaudited)
|
7 - 9
|
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations
|
10
|
Item 3. Quantitative and Qualitative Disclosures About Market Risk
|
13
|
Item 4. Controls and Procedures
|
13
|
PART II Other Information
|
|
Item 1. Legal Proceedings
|
14
|
Item 1A. Risk Factors
|
14
|
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
|
14
|
Item 3. Defaults Upon Senior Securities
|
14
|
Item 4. Mine Safety Disclosures
|
14
|
Item 5. Other Information, Exhibits
|
14
|
Item 6. Signatures
|
15
|
STRONG
SOLUTIONS, INC.
|
BALANCE
SHEETS
|
AS OF
JUNE 30, 2019(UNAUDITED) AND DECEMBER 31, 2018(UNAUDITED)
|
|
|
|
|
|
|
|
|
June
30,
2019
|
|
|
|
December
31,
2018
|
|
ASSETS
|
|
|
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
|
|
|
Cash
and cash equivalents
|
|
$
|
1,155
|
|
|
$
|
13,705
|
|
Total
Current Assets
|
|
$
|
1,155
|
|
|
$
|
13,705
|
|
Construction
equipment from related party
|
|
|
|
|
|
$
|
25,000
|
|
Construction
Equipment net of depreciation
|
|
$
|
22,500
|
|
|
$
|
—
|
|
Total
Assets
|
|
$
|
23,655
|
|
|
$
|
38,705
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
Liability
|
|
|
|
|
|
|
|
|
Related
Party Accrued Shareholder Salary
|
|
$
|
122,500
|
|
|
$
|
113,500
|
|
Total Liabilities
|
|
$
|
122,500
|
|
|
$
|
113,500
|
|
|
|
|
|
|
|
|
|
|
Stockholders’
Equity
|
|
|
|
|
|
|
|
|
Common
stock, $0.0001 par value; 75,000,000 shares authorized 36,293,000 and 36,293,000
shares issued and outstanding as of June 30, 2019 and December 31, 2018 respectively
|
|
$
|
3,629
|
|
|
$
|
3,629
|
|
Additional
paid in capital
|
|
$
|
344,301
|
|
|
$
|
344,301
|
|
Accumulated
deficit
|
|
$
|
(446,775
|
)
|
|
$
|
(422,725
|
)
|
Total
stockholders' equity
|
|
$
|
(98,845
|
)
|
|
$
|
(74,795
|
)
|
Total
Liabilities and Stockholders' Equity
|
|
$
|
23,655
|
|
|
$
|
38,705
|
|
See
accompanying notes to financial statements.
STRONG
SOLUTIONS, INC.
|
STATEMENTS OF OPERATIONS
|
FOR
THE THREE MONTHS ENDED JUNE 30, 2019 AND JUNE 30, 2018(Unaudited)
FOR
THE SIX MONTHS ENDED JUNE 30, 2019 AND JUNE 30, 2018(Unaudited)
|
|
|
For
the three months ended June 30,
2019
|
|
For
the three months ended June 30,
2018
|
|
For
the six months ended June 30,
2019
|
|
For
the six months ended June 30,
2018
|
Commissions
revenue
|
|
$
|
2,580
|
|
|
$
|
3,150
|
|
|
$
|
4,670
|
|
|
$
|
5,265
|
|
Operating expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
General
and administration expense
|
|
$
|
3,974
|
|
|
$
|
3,348
|
|
|
$
|
18,819
|
|
|
$
|
8,252
|
|
Related
Party office rent, equipment rent
and salary expense
|
|
$
|
4,950
|
|
|
$
|
5,100
|
|
|
$
|
9,900
|
|
|
$
|
16,050
|
|
Total
operating expenses
|
|
$
|
8,924
|
|
|
$
|
8,448
|
|
|
$
|
28,719
|
|
|
$
|
24,302
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (loss) from
operations before income taxes
|
|
$
|
(6,344
|
)
|
|
$
|
(5,298
|
)
|
|
$
|
(24,049
|
)
|
|
$
|
(19,037
|
)
|
Income
tax
|
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
0
|
|
Net
income (loss)
|
|
$
|
(6,344
|
)
|
|
$
|
(5,298
|
)
|
|
$
|
(24,049
|
)
|
|
$
|
(19,037
|
)
|
Profit (Loss)
per common share
|
|
$
|
(0.00
|
)
|
|
$
|
(0.00
|
)
|
|
$
|
(0.00
|
)
|
|
$
|
(0.00
|
)
|
Weights average
of shares outstanding
|
|
|
36,293,000
|
|
|
|
36,293,000
|
|
|
|
36,293,000
|
|
|
|
36,293,000
|
|
See
accompanying notes to financial statements.
STRONG
SOLUTIONS, INC.
|
STATEMENTS
OF STOCKHOLDERS' EQUITY (UNAUDITED)
|
FOR
THE PERIOD ENDING JUNE 30, 2019
|
|
|
Common
Stock
|
|
|
|
|
|
|
|
|
Shares
|
|
Par
|
|
APIC
|
|
Accumulated
Deficit
|
|
Total
Stockholders’ 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
|
|
|
$
|
(446,775
|
)
|
|
$
|
(98,845
|
)
|
STATEMENTS OF
STOCKHOLDERS' EQUITY (UNAUDITED)
|
FOR THE PERIOD
ENDING JUNE 30, 2018
|
|
|
Common
Stock
|
|
|
|
|
|
|
|
|
Shares
|
|
Par
|
|
APIC
|
|
Accumulated
Deficit
|
|
Total
Stockholders’
Equity
|
Balance,
December 31, 2017
|
|
|
36,293,000
|
|
|
|
3,629
|
|
|
|
319,301
|
|
|
$
|
(392,254
|
)
|
|
$
|
(69,324
|
)
|
Net
Loss
|
|
|
|
|
|
|
|
|
|
|
25,000
|
|
|
$
|
(19,037
|
)
|
|
$
|
(19,037
|
)
|
Balance, June
30, 2018
|
|
|
36,293,000
|
|
|
|
3,629
|
|
|
|
344,301
|
|
|
$
|
(411,291
|
)
|
|
$
|
(88,361
|
)
|
See
accompanying notes to financial statements.
STRONG
SOLUTIONS, INC.
|
STATEMENTS
OF CASH FLOWS
|
FOR THE
SIX MONTHS ENDED JUNE 30, 2019 AND JUNE 30, 2018(Unaudited)
|
|
|
|
|
|
|
|
|
For
the six months ended
June
30,
2019
|
|
|
|
For
the six months ended
June
30,
2018
|
|
Cash
flows from operating activities:
|
|
|
|
|
|
|
|
|
Net
income (loss)
|
|
$
|
(24,049
|
)
|
|
$
|
(19,037
|
)
|
Changes
in Operating Assets and Liabilities:
|
|
|
|
|
|
|
|
|
Increase/(Decrease)in
Accounts Payable
|
|
$
|
9,000
|
|
|
$
|
14,500
|
|
Depreciation
|
|
$
|
2,500
|
|
|
$
|
0
|
|
Net
cash used in operating activities
|
|
$
|
(12,549
|
)
|
|
$
|
(4,537
|
)
|
|
|
|
|
|
|
|
|
|
Cash
flows from investing activities:
|
|
|
|
|
|
|
|
|
Net
cash used in investing activities
|
|
$
|
0
|
|
|
$
|
0
|
|
|
|
|
|
|
|
|
|
|
Cash
flows from financing activities:
|
|
|
|
|
|
|
|
|
Proceeds
from sale of common stock
|
|
$
|
0
|
|
|
$
|
0
|
|
Net
cash provided by financing activities
|
|
$
|
0
|
|
|
$
|
0
|
|
|
|
|
|
|
|
|
|
|
Net
change in cash
|
|
$
|
(12,549
|
)
|
|
$
|
(4,537
|
)
|
Cash, beginning
of the period
|
|
$
|
13,705
|
|
|
$
|
20,676
|
|
Cash,
end of the period
|
|
$
|
1,155
|
|
|
$
|
16,138
|
|
|
|
|
|
|
|
|
|
|
Supplemental
Disclosures regarding cash flows information
|
|
|
|
|
|
|
|
|
Interest
paid
|
|
$
|
0
|
|
|
$
|
0
|
|
Income
taxes paid
|
|
$
|
0
|
|
|
$
|
0
|
|
See
accompanying notes to financial statements.
STRONG
SOLUTIONS INC.
NOTES
TO FINANCIAL STATEMENTS (UNAUDITED)
NOT
E
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, 2019. 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.
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 $1,155 as of June 30, 2019 and net loss from operation of $6,344 for the three months ended June 30, 2019. 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 – SUMMA
R
Y OF SIGNI
F
ICANT ACCOUNTING POLICI
ES
Us
e
of estimates
The
preparation of th
e
financial statem
e
nt
s
in conformit
y
with
g
enerall
y
accept
e
d accountin
g
principl
es
r
e
quire
s
m
a
n
ag
ement
to m
a
ke estim
a
te
s
and
a
ss
umptions th
at aff
ect certain r
e
ported
amounts and di
sc
lo
s
ures.
A
ccordingl
y
,
actual results could di
ffe
r 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 2
nd
quarter was a fixed amount.
3.We
recognize revenue when the firm Markus obtains control of that equipment and we received the payment.
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, 2019 was $6,344 and for the three months ended June 30, 2018 was $5,298.
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, 2019 to June 30, 2019 there were no changes in common stock.
As
of June 30, 2019, the Company had issued and outstanding 36,293,000 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.
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.
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, 2019 were
within FDIC insured limits.
Concentration
of revenues.
The
Company has only two 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 our controlling shareholder. He represents the company and provides 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, 2019, and we count rental expense
on our books.
NOTE
9 – STOCKHOLDERS’ EQUITY
From
our inception on June 18, 2014 through June 30, 2019, the Company issued 36,293,000 shares of common stock. 35,000,000 for our
founder and 1,293,000 for non-affiliated investors for cash, received proceeds of $12,930 sold at $0.01 per share.
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.
Item
2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.
Operating
results for the three months ended June 30, 2019, 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.
Business
Overview
Mr.
Guzii founded us to engage in real estate management and consulting, maintenance and rehabilitation, 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 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
company in state of Nevada
|
b.
|
|
Set
up main executive office in Ukraine
|
c.
|
|
Open
up 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.
Below we provide 6 months -to-6 months comparisons:
For the
2nd quarter of 2019
|
|
$
|
1,580
|
|
|
For the
1st quarter of 2019
|
|
$
|
1,590
|
|
Six months 2019
|
|
$
|
3,170
|
|
|
|
|
|
|
|
For the 2nd quarter
of 2018
|
|
$
|
1,650
|
|
|
For the 1st quarter
of 2018
|
|
$
|
1,615
|
|
Six months 2018
|
|
$
|
3,265
|
|
|
|
|
|
|
|
We
provide long term rental of construction equipment to firm Markus. This equipment includes:
Scaffoldings
and Rafters for outside and inside work. We received $1,000 in this quarter from firm Markus as a payment for this construction
equipment in 2
nd
quarter 2019.
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 2019
|
|
$
|
1,000
|
|
|
For the
1st quarter of 2019
|
|
$
|
500
|
|
For the six months
2019
|
|
$
|
1,500
|
|
|
|
|
|
|
|
For the 2 nd quarter
of 2018
|
|
$
|
1,500
|
|
|
For the 1st quarter
of 2018
|
|
$
|
500
|
|
For the six months
2018
|
|
$
|
2,000
|
|
|
|
|
|
|
|
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
In
December 2018 we put on our balance construction equipment received from our director Mr.Guzii, total $25,000. Scaffolding
cost $20,000 and Rafters $5,000.
Also,
from January 2019 we began count Depreciation Expense $1,250 for the three months. Total for 6 months $2,500. For now, we indicated
on our balance Construction Equipment net of depreciation $22,500.
Results
of Operations for the six months period ended June 30, 2019 and for the six months period ended June 30, 2018
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.
For
the six months period ended June 30, 2018 we generated $5,265 in revenues and our cash balance was $16,138.
For
the six months period ended June 30, 2018 we had $24,302 company expenses consist of general and administration expense $8,252
and accrued amount for equipment rental, office rent and salary for shareholder $16,050. Our loss from operations was $19,037.
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, 2019
Cash
|
|
$
|
1,155
|
|
Total liabilities and
stockholders' equity
|
|
$
|
23,655
|
|
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, 2019 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, 2019, and June 30, 2018 we had cash of $1,155 and $16,138 respectively.
We
have fixed assets on our balance Construction Equipment net of depreciation total 22,500, 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.
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
There
have been no changes in the Company’s internal control over financial reporting identified in connection with the evaluation
that occurred during the Company’s last fiscal quarter that has materially affected, or is reasonable likely to materially
affect, the Company internal control over financial reporting.
PART
II
OTHER
INFORMATION
Item
1. Legal Proceedings
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.
Item
1A. Risk Factors
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
We
did not sell unregistered securities during the quarter ended June 30,2019
Purchases
of equity securities by the issuer and affiliated purchasers
During
the quarter ended June 30,2019 there were no purchases of equity securities by us or affiliated purchasers.
Use
of Proceeds
None
Item
3. Defaults Upon Senior Securities
We
have no senior securities outstanding.
Item
4. Mine Safety Disclosures
Not
Applicable.
Item
5. Other Information.
None.
Item
6. Exhibits
Exhibit
No.
|
Description
|
31.1
|
Certification
by Chief Executive Officer pursuant to Rule 13a-14(a) and Rule 15d-14(a) of the Securities Exchange Act (filed hereto)
|
32.1
|
Certification
by Chief Executive Officer pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
(filed hereto)
|
SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf
by the undersigned thereunto duly authorized.
|
Strong Solutions Inc.
|
|
|
August 9, 2019
|
By:
|
/s/
Andrii Guzii
|
|
|
President,
CEO
|
Strong Solutions (CE) (USOTC:SGOU)
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