We have audited the accompanying balance sheets of Private Secretary, Inc. (A Development Stage Company) as of September 30, 20102011 and 2009,2010, and the related statements of operations, stockholders’ equity (deficit), and cash flows for the years ended September 30, 20102011 and 2009,2010, and from inception on July 22, 2008 through September 30, 2010. These2011. Private Secretary, Inc.’s management is responsible for these financial statements are the responsibility of the Company’s management.statements.  Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States).  Those standards require that we plan and perform the auditaudits to obtain reasonable assurance about whether the financial statements are free of material misstatement.  The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting.  Our audit included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the company’s internal control over financial reporting.  Accordingly we express no such opinion.  An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements.  An audit also includesstatements, assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation.  We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Private Secretary, Inc. (A Development Stage Company) as of September 30, 20102011 and 2009,2010, and the related statements of operations, stockholders’ equity (deficit), and cash flows for the years ended September 30, 20102011 and 2009,2020, and from inception on July 22, 2008 through September 30, 2010,2011, in conformity with accounting principles generally accepted in the United States of America.

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern.  As discussed in Note 3 to the financial statements, the Company has had a lossno revenues, has negative working capital at September 30, 2011, has incurred recurring losses and recurring negative cash flow from operations of $16,435,operating activities, and has an accumulated deficit of $33,767, working capital deficit of $23,767 and has earned no revenues since inception, which raises substantial doubt about its ability to continue as a going concern.  Management’s plans concerning these matters are also described in Note 3.  The financial statements do not include any adjustments that might result from the outcome of this uncertainty.

Seale and Beers, CPAs

Las Vegas, Nevada

The Company was incorporated in the State of Nevada as a for-profit Company on July 22, 2008 and established a fiscal year end of September 30. We are a development-stage Company organized to enter into the software market with a program that will allow for automatic call processing through VoIP technology.

The financial statements present the balance sheet, statements of operations, stockholders' equity (deficit) and cash flows of the Company. These financial statements are presented in United States dollars and have been prepared in accordance with accounting principles generally accepted in the United States.

Advertising costs are expensed as incurred.  As of September 30, 20102011 and 2009,2010, no advertising costs have been incurred

The Company does not own or rent any property.  The office space is provided by the president at no charge.

Preparation of the financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect certain reported amounts and disclosures.  Accordingly, actual results could differ from those estimates

The Company considers all highly liquid investments with maturity of three months or less to be cash equivalents.

The Company follows the liability method of accounting for income taxes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax balances.  Deferred tax assets and liabilities are measured using enacted or substantially enacted tax rates expected to apply to the taxable income in the years in which those differences are expected to be recovered or settled.  

PRIVATE SECRETARY, INC.

(A Development Stage Enterprise)

NOTES TO THE  FINANCIAL STATEMENTS

September 30, 2011

NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)

Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized.  The effect on deferred tax asset sassets and liabilities of a change in tax rates is recognized in income in the period that includes the date of enactment or substantive enactment.

Basic loss per share includes no dilution and is computed by dividing loss available to common stockholders by the weighted average number of common shares outstanding for the period.  Dilutive loss per share reflects the potential dilution of securities that could share in the losses of the Company.  Because the Company does not have any potentially dilutive securities, the accompanying presentation is only of basic loss per share.

The Company has evaluated all new accounting pronouncements and does not believe that any will have a material impact on its financial statements.

The Company’s financial statements are prepared in accordance with generally accepted accounting principles applicable to a going concern.  This contemplates the realization of assets and the liquidation of liabilities in the normal course of business. Currently, the Company has a working capital deficit of $23,767,$46,352, an accumulated deficit of $33,767$62,752 and net loss from operations since inception of $33,767.$62,752.   The Company does not have a source of revenue sufficient to cover its operation costs giving substantial doubt for it to continue as a going concern. The Company will be dependent upon the raising of additional capital through placement of our common stock in order to implement its business plan, or merge with an operating company.  There can be no assurance that the Company will be successful in either situation in order to continue as a going concern.  The Company is funding its initial operations by way of issuing Founder’s shares.

The Company has received $21,147 and $7,107 as a loanin loans from a related partyparties at September 30, 2011 and 2010, respectively, of which $107$6,857 was paid directly to suppliers of services. The Company received $0 from a related party at September 30, 2009.   The loan is payable on dem anddemand and without interest.

The Company provides for income taxes under ASC Topic 740 which requires the use of an asset and liability approach in accounting for income taxes. We did not provide any current or deferred U.S. federal income tax provision or benefit for any of the periods presented because we have experienced operating losses since inception. Accounting for Uncertainty in Income Taxes when it is more likely than not that a tax asset cannot be realized through future income the Company must allow for this future tax benefit.  

We provided a full valuation allowance on the net deferred tax asset, consisting of net operating loss carry forwards, because management has received $7,107determined that it is more likely than not that we will not earn income sufficient to realize the deferred tax assets during the carry forward period.

The components of the Company’s deferred tax asset and reconciliation of income taxes computed at the statutory rate to the income tax amount recorded as a loan from a related party atof September 30, 2011 and September 30, 2010 of which $107 was paid directly to suppliers of services. The Company received $0 from a related party at September 30, 2009.   The loan is payable on dem and and without interest.

Our management is responsible for establishing and maintaining adequate internal control over financial reporting asfor the company (as defined under Rulein Rules 13a-15(f) and Rule 15d-15(f) under the Securities Exchange ActAct).  Internal control over financial reporting is to provide reasonable assurance regarding the reliability of 1934. our financial reporting for external purposes in accordance with accounting principles generally accepted in the United States of America. Internal control over financial reporting includes maintaining records that in reasonable detail accurately and fairly reflect our transactions; providing reasonable assurance that transactions are recorded as necessary for preparation of our financial statements; providing reasonable assurance that receipts and expenditures of company assets are made in accordance with management authorization; and providing reasonable assurance that unauthorized acquisition , use or disposition of company assets that could have a material effect on our financial statements would be prevented or detected.

As of January 31, 2010 our CEO/CFOSeptember 30, 2011, management assessed the effectiveness of the Company’s internal control over financial reporting based on the criteria for effective internal control over financial reporting established in SEC guidance on conducting such assessments.  Based on this evaluation under the COSO Framework, our management concluded that our internal control over financial reporting is not effective as of September 30, 2011.  In making this assessment, our management used the criteria set forth in the report entitled “Internal Control — Integrated Framework” published by the Committee of Sponsoring Organizations (“COSO”) of the Treadway Commission.Commission (“COSO”) in Internal Control-Integrated Framework.  Based on that evaluation, our CEO/CFOwe concluded that, during the period covered by this report,as of September 30, 2011, such internal controls and procedures were not effective to detect the inappropriate application of US GAAP rul esrules as more fully described below. This was due to deficiencies that existed in the design or operation of our internal control over financial reporting that adversely affected our internal controls and that may be considered to be material weaknesses.

The matters involving internal controls and procedures that the Company’s CEO/CFOmanagement considered to be material weaknesses under the standards of the Public Company Accounting Oversight Board were: (1) lack of a functioning audit committee and lack of a majority of outside directors on the Company's board of directors, resulting in ineffective oversight in the establishment and monitoring of required internal controls and procedures; (2) inadequate segregation of duties consistent with control objectives; (3) insufficient written policies and procedures for accounting and financial reporting with respect to the requirements and application of US GAAP and SEC disclosure requirements; and (4) ineffective controls over period end financial disclosure and reporting processes. The aforementioned material weaknesses were identified by the Company's CEO/CFOChief Financial Officer in connection with histhe review of our financial statements as of September 30, 2010.

Management believes that the material weaknesses set forth in items (2), (3) and (4) above did not have an effect on the Company's financial results. However, our CEO/CFOmanagement believes that the lack of a functioning audit committee and lack of a majority of outside directors on the Company's board of directors, resultsresulting in ineffective oversight ofin the establishment and monitoring of required internal controls and procedures.

We are committed to improving our financial organization. As part of this commitment, we will create a position to  segregate duties consistent with control objectives and will increase our personnel resources and

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technical accounting expertise within the accounting function when funds are available to the Company: i) Appointing one or more outside directors to our board of directors who shall be appointed to the audit committee of the Company resulting in a fully functioning audit committee who will undertake the oversight in the establishment and monitoring of required internal controls and procedures; and ii) Preparing and implementing sufficient written policies and checklists which will set forth procedures for accounting and financial reporting with respect to the requirements and application of US GAAP and SEC disclosu redisclosure requirements.

Management believes that the appointment of more outside directors, who shall be appointed to a fully functioning audit committee, will remedy the lack of a functioning audit committee and a lack of a majority of outside directors on the Company's Board. In addition, our CEO/CFOmanagement believes that preparing and implementing sufficient written policies and checklists will remedy the following material weaknesses (i) insufficient written policies and procedures for accounting and financial reporting with respect to the requirements and application of US GAAP and SEC disclosure requirements; and (ii) ineffective controls over period end financial close and reporting processes. Further, our CEO/CFOmanagement believes that the hiring of additional personnel who have the technical expertise and knowledge will result in the proper segregation of duties and provid eprovide more checks and balances within the Company.department. Additional personnel will also provide the cross training needed to support the Company if personnel turn overturn-over issues within the Companydepartment occur. This coupled with the appointment of additional outside directors will greatly decrease any control and procedure issues the company may encounter in the future.

We will continue to monitor and evaluate the effectiveness of our internal controls and procedures and our internal controls over financial reporting on an ongoing basis and are committed to taking further action and implementing additional enhancements or improvements, as necessary and as funds allow.

There have been no significant changes in our internal controls over financial reporting that occurred during the quarterperiod ended September 30, 20102011 that have materially affected or are reasonably likely to materially affect, our internal controls over financial reporting.

This annual report does not include an attestation report of the Company’s independent registered public accounting firm regarding internal control over financial reporting.  Management’s report was not subject to attestation by the Company’s independent registered public accounting firm pursuant to temporary rules of the Securities and Exchange Commission that permit the Company to provide its management report in the Annual Report.

None

Our directors serve until their respective successors are elected and qualified. Maureen Frances Cotton has been elected by the Board of Directors to a term of one (1) year and serves until her successor is duly elected and qualified, or until she is removed from office. The Board of Directors has no nominating or compensation committees. The Company’s current Audit Committee consists solely of Maureen Frances Cotton, the Company’ sole officer and director.

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The names, addresses, ages and positions of our present sole officer and our directors are set forth below:

Maureen Frances Cotton was born in Toronto, Ontario on April 25th, 1942. Her childhood was spent in Milton, Ontario, raised on a dairy farm, inuntil 1952 untilwhen her family movesmoved to Etobicoke, Ontario, which is now part of the greater Toronto area.

She graduated from Royal York Collegiate Institute in 1959 with a commercial diploma. During 1959 to 1962, she worked in Toronto at Phoenix of Hartford Insurance Co. as a secretary and switchboard operator/receptionist.

Her career choice changed in 1962 when she became a full time stay at home mother to three sons born in 1962, 1964, and 1968. While away from the outside work employment, she cared and nurtured her own family as well as caring for friends children, she worked part-time at a nursery school  from 1971-1975.

In the period of 1976 to 1993, she decided to go back into paid employment, in 1976 at the Mississauga Assoc. for the Mentally Retarded, where she was employed as an Executive Assistant to the Director of Preschool Services serving mentally challenged children 2yrs.-5yrs. In 1993 she chose to join her husband in early retirement, and they moved up north to fulfill their dream of living in the country, close to Georgian Bay at their cottage.

Mrs. Cotton has served as our sole executive officer and director since inception being July 22, 2008. For the 5 year5-year period prior to Companythe Company’s inception, Mrs. Cotton hashad been retired. Private Secretary is Mrs. Cotton’s only active business interest.

The Company does not, at present, have any employees other than the current officer and director. We have not entered into any employment agreements, as we currently do not have any employees other than the current officer and director.

There are no family relationships among the Directors and Officers of Private Secretary, Inc.

No executive Officer or Director of the Company has been convicted in any criminal proceeding (excluding traffic violations) or is the subject of a criminal proceeding that is currently pending.

No Executive Officer or Director of the Company is involved in any bankruptcy petition by or against any business in which they are a general partner or executive officer at this time or within two years of any involvement as a general partner, executive officer, or Director of any business.

Our current executive officer and director has not and does not receive any compensation and has not received any restricted shares awards, options or any other payouts. As such, we have not included a Summary Compensation Table.

There are no current employment agreements between the Company and its executive officer and director. Our executive officer and director has agreed to work without remuneration until such time as we receive revenues that are sufficiently necessary to provide proper salaries to the officer and compensate the directorcompensation to any future directors for their participation. Our executive officer and director has the responsibility of determining the timing of remuneration programs for key personnel based upon such factors as positive cash flow, shares sales, product sales, estimated cash expenditures, accounts receivable, accounts payable, notes payable, and a cash balances.  At this time, management cannot accurately estimate when sufficient revenues will occur to implement this compensation, or the exact amount of compensation.

There are no annuity, pension or retirement benefits proposed to be paid to officers, directors or employees of the corporation in the event of retirement at normal retirement date pursuant to any presently existing plan provided or contributed to by Company.

Currently, there are no contemplated transactions that the Company may enter into with our officers, directors or affiliates. If any such transactions are contemplated we will file such disclosure in a timely manner with the Commission on the proper form making such transaction available for the public to view.

The Company has no formal written employment agreement or other contracts with our current officer and director and there is no assurance that the services to be provided by her will be available for any specific length of time in the future.  Mrs. Cotton isanticipates devoting at a minimum of ten to fifteen percent of her

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available time to the Company’s affairs.  The amounts of compensation and other terms of any full time employment arrangements would be determined if and when such arrangements become necessary.

For the fiscal year ended September 30, 20102011 we expect to incurhave incurred approximately $4,750$3,500 in fees to our principal independent accountants for professional services rendered in connection with the audit of financial statements. Forstatements as compared to $4750 during the fiscal year ended September 30, 2010, and review of the financial statements for the period ended June 30, 2010; we incurred approximately $6,500 in fees to our independent accountants.

During the fiscal yearyears ended September 30, 2011 and 2010 respectively, we did not incur any other fees for professional services rendered by our principal independent accountants for all other non-audit services which may include, but not limited to, tax related services, actuarial services or valuation services.