This part of this Form 10-Q features a quantity of forward-looking statements
that mirror our present views with respect to future occasions and monetary
efficiency. Forward-looking statements are sometimes recognized by phrases like
imagine, count on, estimate, anticipate, intend, undertaking and related expressions,
or phrases which, by their nature, seek advice from future occasions. You shouldn’t place
undue certainty on these forward-looking statements. These forward-looking
statements are topic to sure dangers and uncertainties that might trigger
precise outcomes to vary materially from our predictions.
Business Overview
CocoLuv Inc. (“CocoLuv Inc.” or the “Company”) was included within the State of
Nevada. We are an early stage firm that plans to begin operations as an
on-line retailer providing was included within the State of Nevada as a for-profit
Company on September 13, 2017 and established a fiscal 12 months finish of May 31. The
Company intends to fabricate market and promote a product line of 5 hair care
merchandise derived from Virgin Coconut Oil. The preliminary 5 merchandise will likely be 3 for
girls and 2 for males.
CocoLuv Inc. is an rising development stage firm which intends to fabricate
market and promote a proposed product line of 5 hair care merchandise derived from
Virgin Coconut Oil. We at present haven’t any product to promote, however we intend to
create a haircare line of that may initially consist of 5 merchandise; 3 for girls
and 2 for males. Our proposed merchandise will likely be of superior high quality in that they
may have a base of Virgin Coconut Oil. CocoLuv Inc. CocoLuv Inc. anticipates
that it’ll derive its earnings from the sale of its meant merchandise as
follows: Hair Shine (for girls), Curl Balm (for girls), Hair Treatment (for
girls), Hair Pomade (for males’s hair, beards, moustaches) and Hair Cream (for
males). We don’t anticipate revenues till such time as we enter into retail
operations. Since we’re presently within the growth stage of our enterprise, we
can present no assurance that we are going to efficiently convey retail on-line gross sales to
fruition.
We haven’t earned any revenues to this point. Our impartial registered public
accountant has issued an audit opinion which features a assertion expressing
substantial doubt as to our capacity to proceed as a going concern.
Results of Operations Three and Nine-month intervals
For the three-month intervals ended August 31, 2021 and August 31, 2020, we had no
income. Expenses for the three-month interval ended August 31, 2021 totaled
$8,224 leading to a web loss of $8,244, The web loss for the three-month
interval ended August 31, 2021 is a consequence of workplace and normal expense of
$8,244; comprised primarily of skilled charges of $6,645; submitting charges of $573;
phone bills of $27; switch agent bills: $460; hire bills of $486;
and financial institution service prices of $33. Expenses for the three-months ended August 31,
2020 totaled $6,762 leading to a web loss of $6,762. The web loss for the
three-month interval ended August 31, 2020 is a consequence of workplace and normal
bills of $6,782; comprised primarily of skilled charges of $6,000; submitting
charges of $500; phone bills of $28; hire expense of $201; and financial institution service
prices of $33. The enhance in bills for the three-month interval ended August
31, 2021 in comparison with August 31, 2020 is primarily as a consequence of a rise in
skilled charges and switch agent bills.
Capital Resources and Liquidity
There is substantial doubt that we are able to proceed as an on-going enterprise for the
subsequent twelve months until we acquire further capital. No substantial revenues
are anticipated till we’ve got carried out our plan of operations. With the
exception of money advances from our sole Officer and Director, our solely supply
for money presently is investments by others by method of personal placements.
Since inception, we’ve got raised $18,900 by means of the sale of Company’s frequent
inventory. We should elevate extra money to implement our technique and keep in
enterprise.
As of August 31, 2021, we had $319 of money in comparison with $352 of money as of May
31, 2021. We anticipate that our present money and money equivalents and money
generated from financing actions will likely be inadequate to fulfill our
liquidity necessities for the following 12 months. To date, the Company has incurred
working losses since inception of $92,366. As at August 31, 2021, the Company
has working capital deficit of $73,476.
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Table of Contents
The Company requires further funding to satisfy its ongoing obligations and to
fund anticipated working losses. Our auditor has expressed substantial doubt
about our capacity to proceed as a going concern. The capacity of the Company to
proceed as a going concern relies on elevating capital to fund its preliminary
marketing strategy and in the end to realize worthwhile operations. These monetary
statements don’t embrace any changes referring to the recoverability and
classification of recorded asset quantities or quantities and classification of
liabilities which may consequence from this uncertainty.
We count on to incur advertising, skilled, and administrative bills as effectively
bills related to sustaining our filings with the Commission. We will
require further funds throughout this time and will search to lift the mandatory
further capital. If we’re unable to acquire further financing, we could also be
required to scale back the scope of our enterprise growth actions, which might
hurt our enterprise plans, monetary situation and working outcomes. Additional
funding is probably not accessible on favorable phrases, if in any respect. The Company intends
to proceed to fund its enterprise by method of fairness or debt financing and advances
from associated events. Any incapability to lift capital as wanted would have a
materials hostile impact on our enterprise, monetary situation and outcomes of
operations.
If we can not elevate further funds, we must stop enterprise operations.
As a consequence, buyers within the Company’s frequent inventory would lose all of their
funding.
Off-balance sheet preparations
Other than the scenario described within the part titled Capital Recourses and
Liquidity, the corporate has no off-balance sheet preparations which have or are
moderately more likely to have a present or future impact or change on the corporate’s
monetary situation, revenues or bills, outcomes of operations, liquidity,
capital expenditures or capital sources which are materials to buyers. The
time period “off-balance sheet association” typically means any transaction, settlement
or different contractual association to which an entity unconsolidated with the
firm is a celebration, below which the corporate has (i) any obligation arising below
a assure contract, by-product instrument or variable curiosity; or (ii) a
retained or contingent curiosity in property transferred to such entity or related
association that serves as credit score, liquidity or market danger help for such
property
Critical Accounting Policies and Estimates
The Company has carried out all new accounting pronouncements which are in impact
and which will impression its monetary statements and doesn’t imagine that there are
some other new accounting pronouncements which have been issued which may have a
materials impression on its monetary place or outcomes of operations.
Risks
As a “smaller reporting firm,” as outlined in Rule 12b-2 of the Exchange Act,
we’re not required to supply the knowledge referred to as for by this Item.© Edgar Online, supply Glimpses
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