UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON,Washington, D.C. 20549

Form 10-Q

(Mark One)

FORM 10-Q☒

☒ QUARTERLY REPORT PURSUANT TOUNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended DecemberFOR THE QUARTERLY PERIOD ENDED:  March 31, 2017

or2020

☐TRANSITION REPORT PURSUANT TOUNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ______to______.__________ to __________

Commission File Number: 333-171636________________

Inspired Builders, Inc.INSPIRED BUILDERS, INC.

(Exact name of registrant as specified in its Charter)charter)

(786) 323-79003445 Lawrence Ave., Oceanside, NY 11572

 (Address of principal executive offices, Zip Code)

(646) 768-8417

(Registrant’s telephone number, including area code)

N/A

(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 electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted 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 and post 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 the definitions of “large accelerated filer,” “accelerated filer,”filer”, “smaller reporting company,”company”, and “emerging growth company” in Rule 12b-2 of the Exchange Act.

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.  Act☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes☒   No☐

IndicateSecurities registered pursuant to Section 12(b) of the Act:

The number of shares outstanding of each of the issuer’s classes of common equity: 101,125,525 shares of the registrant’s common stock par value of $0.001 per share, were outstanding as of January 26, 2018.April 27, 2020 was 1,011,254.

Inspired Builders, Inc.FORM 10-Q

INSPIRED BUILDERS, INC.

Quarterly Report on Form 10-QMarch 31, 2020

December 31, 2017

TABLE OF CONTENTS

FORWARD LOOKING STATEMENTS

PART I - FINANCIAL INFORMATIONThis report contains forward-looking statements regarding our business, financial condition, results of operations and prospects. Words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” and similar expressions or variations of such words are intended to identify forward-looking statements, but are not deemed to represent an all-inclusive means of identifying forward-looking statements as denoted in this report. Additionally, statements concerning future matters are forward-looking statements.

Item 1 –Although forward-looking statements in this report reflect the good faith judgment of our management, such statements can only be based on facts and factors currently known by us. Consequently, forward-looking statements are inherently subject to risks and uncertainties and actual results and outcomes may differ materially from the results and outcomes discussed in or anticipated by the forward-looking statements. Factors that could cause or contribute to such differences in results and outcomes include, without limitation, those specifically addressed under the headings “Risks Factors” and “Management’s Discussion and Analysis of Financial StatementsCondition and Results of Operations” in our report on Form 10-K which was filed with the SEC on November 12, 2019 (the “10-K”), in “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in this Form 10-Q and information contained in other reports that we file with the SEC. You are urged not to place undue reliance on these forward-looking statements, which speak only as of the date of this report.

We file reports with the SEC. The following unaudited interim financialSEC maintains a website (www.sec.gov) that contains reports, proxy and information statements, and other information regarding issuers that file electronically with the SEC, including us. You can also read and copy any materials we file with the SEC at the SEC’s Public Reference Room at 100 F Street, NE, Washington, DC 20549. You can obtain additional information about the operation of Inspired Builders, Inc. (referredthe Public Reference Room by calling the SEC at 1-800-SEC-0330.

We undertake no obligation to hereinrevise or update any forward-looking statements in order to reflect any event or circumstance that may arise after the date of this report, except as required by law. Readers are urged to carefully review and consider the “Company,” “we,” “us” or “our”) are included invarious disclosures made throughout the entirety of this quarterly report, on Form 10-Q:which are designed to advise interested parties of the risks and factors that may affect our business, financial condition, results of operations and prospects.

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements.

INSPIRED BUILDER, INCBUILDERS, INC.

CONDENSED BALANCE SHEETS

SeeThe accompanying notes toare an integral part of these unaudited condensed financial statementsstatements.

INSPIRED BUILDERS, INC.

CONDENSED STATEMENTS OF OPERATIONS

(UNAUDITED)

See accompanying notes to financial statements

INSPIRED BUILDERS, INCINC.

CONDENSED STATEMENTS OF OPERATIONS

(Unaudited)

CONDENSED STATEMENTS OF CASH FLOWS

(UNAUDITED)(Unaudited)

SeeThe accompanying notes toare an integral part of these unaudited condensed financial statements

statements.

Inspired Builders, Inc.INSPIRED BUILDERS, INC.

NOTES TO CONDENSED INTERIM FINANCIAL STATEMENTS

DecemberFOR THE SIX MONTH PERIOD ENDED MARCH 31, 20172020

(Unaudited)

NOTE 1. GENERAL ORGANIZATION AND BUSINESSNote 1 – Organization and basis of accounting

Basis of Presentation and Organization

Inspired Builders, Inc. (the “Company”) was incorporated in the State of Nevada in February 2010. Until August 15, 2017 the Company was directing it’sits focus on acquiring, investing in, developing and managing real estate properties and related investments. On August 15, 2017, pursuant to a change in control transaction, we relocated to Miami, Florida and ceased all operations as a real estate company. On February 15, 2018, Inspired Builders (the “Company”), the majority shareholders of the Company (the “Sellers”) and JJL Capital Management,Santa Alba, LLC (the “Purchaser”) entered into a stock purchase agreement (the “Stock Purchase Agreement”), whereby the Purchaser purchased from the Sellers 5,643,979956,440 shares of common stock, par value $0.001 per share, of the Company (the “Shares”), representing approximately 50.73%94.58% of the issued and outstanding shares of the Company, for an aggregate purchase price of $564.39$300,000 (the “Purchase Price”). On August 16, 2017,February 15, 2018, the closing of the transaction occurred (“Closing Date”). Pursuant to the change in control transaction, we relocated to Miami, Florida and ceased all operations as a real estate company. Also, in connection therewith, Matthew Nordgren,Scott Silverman, the Company’s sole officer and Director, resigned from his positions and named Scott SilvermanKai Ming Zhao as sole director and to the positions of CEO, CFO, Chief Accounting Officer and Secretary.

On January 16, 2020, Santa Alba, LLC sold the 956,440 shares of common stock to Custodian Ventures, LLC for an aggregate purchase price of $145,000. At this point there was a change of control of the Company and Kai Ming Zhao resigned as President, Secretary, Treasurer and Director and David Lazar was appointed as President, Secretary, Treasurer and Director.

The Company's current business objective is to seek a business combination with an operating company. We intend to use the Company's limited personnel and financial resources in connection with such activities. The Company will utilize its capital stock, debt or a combination of capital stock and debt, in effecting a business combination. It may be expected that entering into a business combination will involve the issuance of restricted shares of capital stock.

The accompanying unaudited condensed financial statements have been prepared in accordance with accounting principles generally accepted in The United States of America and the rules and regulations of the Securities and Exchange Commission for interim financial information. Accordingly, they do not include all of the information necessary for a comprehensive presentation of financial position and results of operations. The unaudited interimcondensed financial statements should be read in conjunction with the financial statements and related notes included in our Annual Report on form 10-K for the year ended September 30, 2017,2019, filed with the SEC on November 11, 2017.12, 2019. The interim results for the period ended DecemberMarch 31, 20172020 are not necessarily indicative of expected results for the full fiscal year. It is management’s opinion, however that all material adjustments (consisting of normal recurring adjustments) have been made which are necessary for a fair financial statements presentation.

Note 2 – Summary of significant accounting policies

NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Use of Estimates

The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Such estimates and assumptions impact, among others, the following; estimates of the probability and potential magnitude of contingent liabilities, the valuation allowance for deferred tax assets due to continuing operating losses, valuation of shares issued in connection with the purchase of real estate, the valuation of the real estate and the evaluation of any impairment on the real estate.

Making estimates requires management to exercise significant judgment. It is at least reasonably possible that the estimate of the effect of a condition, situation or set of circumstances that existed at the date of the financial statements, which management considered in formulating its estimate could change in the near term due to one or more future confirming events. Accordingly, the actual results could differ significantly from our estimates.

Cash and Cash Equivalents

CashFor purposes of reporting within the statements of cash flows, the Company considers all cash on hand, cash accounts not subject to withdrawal restrictions or penalties, and cash equivalents are reported in the balance sheet at cost, which approximates fair value. For the purpose of the financial statements cash equivalents include all highly liquid investmentsdebt instruments purchased with an originala maturity of three months or less when purchased. There were noto be cash equivalents at December 31, 2017 and 2016, respectively.cash equivalents.

Earnings (Loss) per Share

In accordance with accounting guidance now codified as FASB ASC Topic 260, “Earnings per Share,” basic earnings (loss) per share is computed by dividing net income (loss) by weighted average number of shares of common stock outstanding during each period. Diluted earnings (loss) per share is computed by dividing net income (loss) by the weighted average number of shares of common stock, common stock equivalents and potentially dilutive securities outstanding during the period. TheAs of March 31, 2020 and 2019, the Company has 0 and 20,833 shares issuable upon conversion of convertible notes payable that weredid not included in the computation ofhave any outstanding dilutive loss per share because their inclusion is anti-dilutive for the periods ended December 31, 2017 and September 30, 2017,securities, respectively.

Inspired Builders, Inc.

NOTES TO CONDENSED INTERIM FINANCIAL STATEMENTS

December 31, 2017

(Unaudited)

Income Taxes

The Company accounts for income taxes in accordance with generally accepted accounting principles, which requires an asset and liability approach to financial accounting and reporting for income taxes. Deferred incomeadopted FASB ASC 740, Income Taxes, at its inception. Under FASB ASC 740, deferred tax assets and liabilities are computed annuallyrecognized for the future tax consequences attributable to differences between the financial statement and income tax basescarrying amounts of existing assets and liabilities that will result inand their respective tax bases. Deferred tax assets, including tax loss and credit carryforwards, and liabilities are measured using enacted tax rates expected to apply to taxable income or deductible expenses in the future based on enacted tax laws and rates applicable to the periodsyears in which thethose temporary differences are expected to affect taxable income. Valuation allowances are established when necessary to reducebe recovered or settled. The effect on deferred tax assets and liabilities toof a change in tax rates is recognized in income in the amount expected to be realized. Incomeperiod that includes the enactment date. Deferred income tax expense is the tax payable or refundable for the period adjusted forrepresents the change during the period in the deferred tax assets and deferred tax liabilities.

The Company followscomponents of the accounting requirements associated with uncertainty in income taxes using the provisions of Financial Accounting Standards Board (FASB) ASC 740, Income Taxes. Using that guidance,deferred tax positions initially need to be recognizedassets and liabilities are individually classified as current and non-current based on their characteristics. Deferred tax assets are reduced by a valuation allowance when, in the financial statements whenopinion of management, it is more likely than not that some portion or all of the positionsdeferred tax assets will not be sustained upon examination by therealized. No deferred tax authorities. It also provides guidance for derecognition, classification, interestassets or liabilities were recognized as of March 31, 2020 and penalties, accounting in interim periods, disclosure and transition. As of December 31, 2017, the Company has no uncertain tax positions that qualify for either recognition or disclosure in the financial statements. All tax returns from fiscal years 2010 to 2016 are subject to IRS audit.September 30, 2019 respectively.

Fair Value of Financial Investments

The fair value of cash and cash equivalents, accounts payable, accrued liabilities, and notes payable approximates the carrying amount of these financial instruments due to their short-term maturity.

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.

Revenue Recognition

Effective October 1, 2018, the Company adopted the guidance of ASC 606, Revenue from Contracts. The implementation of ASC 606 did not have a material impact on the Company’s financial statements. ASC 606 creates a five-step model that requires entities to exercise judgment when considering the terms of contracts, which includes (1) identifying the contracts or agreements with a customer, (2) identifying our performance obligations in the contract or agreement, (3) determining the transaction price, (4) allocating the transaction price to the separate performance obligations, and Cost Recognition(5) recognizing revenue as each performance obligation is satisfied. The Company only applies the five-step model to contracts when it is probable that the Company will collect the consideration it is entitled to in exchange for the services it transfers to its clients. The adoption of ASC 606 had no effect on previously reported balances.

We have no source of revenue as we are currently a shell company which is moving forward with the business of identifying and entering into a business combination with a privately held business or company. As such, we recognize no revenue.

Fair Value of Financial Investments

The Company has no current sourcefair value of revenue; therefore,cash and cash equivalents, accounts payable, accrued liabilities, and loans and notes payable approximates the Company has not yet adopted any policy regarding the recognitioncarrying amount of revenue or cost.these financial instruments due to their short-term maturity.

Recent accounting pronouncementsAccounting Pronouncements

In July 2018, the FASB issued accounting standard update (“ASU”) No. 2017-02, “Leases (Topic 842)”, (“ASU 2017-02”) and ASU 2018-10, “Leases (Topic 842)”, (“ASU 2018-10”), respectively. These ASU’s require that an entity should recognize assets and liabilities for leases with a maximum possible term of more than 12 months. A lessee would recognize a liability to make lease payments (the lease liability) and a right-of-use asset representing its right to use the leased asset (the underlying asset) for the lease term. This guidance also provides accounting updates with respect to lessor accounting under a lease arrangement. This new lease guidance is effective for fiscal years beginning after December 15, 2018. Entities have the option of using either a full retrospective or a modified approach (cumulative effect adjustment in period of adoption) to adopt the new guidance. Early adoption is permitted for all entities. The Company currently leases no equipment or property, and therefore, the adoption on October 1, 2019 of the new standard has reviewed the Accounting Standards Updates through ASU No. 2016-01 and these updates have no current applicability to the Company or their effect on the Company’s financial statements would not have been significant.statements.

NOTE 3. GOING CONCERNAccounting standards-setting organizations frequently issue new or revised accounting rules. We regularly review all new pronouncements to determine their impact, if any, on our financial statements.

Note 3 – Going Concern

As reflected in the accompanying financial statements, the Company has a net loss of $112,539$44,922, an accumulated deficit of $1,558,807 and a working capital deficit of $86,352$70,947 as of DecemberMarch 31, 2017.2020. In addition, the Company has not had construction revenues since May 2011 and has relied on the only prospectsupport of its Chief Executive Officer and majority shareholder. A withdrawal of this support, for positive cash flow is throughany reason, will have a material adverse effect on the issuance of common stock or debt.Company’s financial position and its operations. If the Company does not begin to generate sufficient revenue or raise additional funds through a financing, the Company may need to incur additional liabilities with certain related parties to sustain the Company’s existence. There are currently no plans or agreements in place to provide such funding. The Company will require additional funding to finance the growth of its future operations as well as to achieve its strategic objectives. This raises substantial doubt about its ability to continue as a going concern. The ability of the Company to continue as a going concern is dependent on the Company’s ability to raise additional capital and generate revenue. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.

The COVID-19 pandemic could have an impact on our ability to obtain financing to fund the operations.NOTE 4. LOAN PAYABLEThe Company is unable to predict the ultimate impact at this time.

Note 4 – RELATED PARTYRelated Party Transactions

On October 17, 2017, our CEO loanedJanuary 16, 2020, Santa Alba, LLC sold the 956,440 shares of common stock to Custodian Ventures, LLC for an aggregate purchase price of $145,000. At this point there was a change of control of the Company $14,300. Theand Kai Ming Zhao resigned as President, Secretary, Treasurer and Director and David Lazar was appointed as President, Secretary, Treasurer and Director.

During the period October 1, 2019 thru January 16, 2020, Kai Ming Zhao advanced a total of $6,079 to the Company to pay operating expenses. During the six months ended March 31, 2020, the loan balance of $9,341 was fully repaid. As of March 31, 2020, the Company had a loan payable remaining of $0 to Kai Ming Zhao.

During the period January 17, 2020 thru March 31, 2020, Custodian Ventures, LLC, a majority shareholder and an entity controlled by our Chief Executive Officer advanced a total of $67,360 to the Company to pay operating expenses. As of March 31, 2020, the Company had a loan payable remaining of $67,360 to Custodian Ventures, LLC. This loan is interest freeunsecured, non-interest bearing, and is payable onupon demand.

On October 20, 2017, our CEO loaned the Company $825. The loan is interest freeNote 5 – Loans and isNotes payable on demand.

Inspired Builders, Inc.

NOTES TO CONDENSED INTERIM FINANCIAL STATEMENTS

December 31, 2017

(Unaudited)

NOTE 5. NOTES PAYABLE – RELATED PARTIESRelated Parties

On January 13, 2012, the Company entered into a 12-month unsecured promissory note in the amount of $211,000. Interest accrues in arrears on the outstanding principal at the rate of ten percent (10.00%) per annum. Interest shall be payable on the last day of each quarter, commencing March 30, 2012, and continuing until the maturity date. Should the maker fail to pay the entire principal and accrued interest by the maturity date, the maker agrees that the interest rate shall increase to twelve percent (12.00%) per annum. On May 10, 2013, the Company and the related party agreed to extend the maturity of the loan for an additional year or until January 13, 2014. The loan maturity dates were further extended to January 13, 2016. On May 22, 2012, the Company borrowed an additional $32,714 from the related party, with the same terms, the loan maturity dates were extended to January 13, 2016. On September 17, 2012, the Company borrowed an additional $22,032 from the related party, with the same terms, the loan maturity dates were extended to January 13, 2016. On February 7, 2013, the Company borrowed an additional $28,773 from the related party, with the same terms, and on July 31, 2013, the Company borrowed an additional $30,000 from the related party, with the same terms. The loans maturity dates were further extended to February 7, 2016 and July 31, 2016, respectively. On December 20, 2013, the Company borrowed $2,500, on January 7, 2014, the Company borrowed $5,000, on February 6, 2014, the Company borrowed $5,520, the loans maturity dates were further extended to December 20, 2015 and January 7, 2016. On February 17, 2014, the Company borrowed $4,400 and on June 26, 2014, the Company borrowed $3,080, the loans maturity dates were further extended to February 6, 2016 and February 17, 2016, respectively. On November 15, 2016, the Company and the related party entered into a Release and Settlement Agreement whereby $342,519 in principal and $149,258 in accrued interest was forgiven. The transaction was accounted for as contributed capital. On December 31, 2019, the Company obtained a legal opinion that the note payable for $2,500 was no longer collectible under the statute of limitations in the State of California, the jurisdiction where the note was written. As a result, the principal amount of $2,500 and accrued interest of $694 was written off and accounted for as Cancellation of Debt Income. The total outstanding principal at March 31, 2020 and December 31, 2017 and September 30, 20172019 amounted to $2,500$0 and $2,500,$0, respectively. Accrued interest at March 31, 2020 and December 31, 2017 and September 30, 2017,2019, amounted to $505$0 and $473,$0, respectively.

NOTE 6. COMMITMENTS AND CONTINGENCIESDuring the period October 1, 2019 thru January 16, 2020, Kai Ming Zhao advanced a total of $6,079 to the Company to pay operating expenses. During the six months ended March 31, 2020, the loan balance of $9,341 was fully repaid. As of March 31, 2020, the Company had a loan payable remaining of $0 to Kai Ming Zhao.

From time to time,During the Company may become involved in various lawsuits and legal proceedings, which arise in the ordinary course of business. However, litigation is subject to inherent uncertainties,period January 17, 2020 thru March 31, 2020, Custodian Ventures, LLC, a majority shareholder and an adverse result in these or other matters may arise that may harm its business. The Company is currently not aware of any such legal proceedings or claims that they believe will have, individually or in the aggregate, a material adverse effect on its business, financial condition or operating results.

NOTE 7. SHAREHOLDERS’ EQUITY

On December 18, 2017, the Company increased its authorized common shares from 50,000,000 shares to 250,000,000.

On December 18, 2017, the Company issued 90,000,000 common shares with a fair value of $90,000 to JJL Capital Management, LLC, a company beneficially owned andentity controlled by our CEO for services renderedChief Executive Officer advanced a total of $67,360 to the Company by our CEO.to pay operating expenses. As of March 31, 2020, the Company had a loan payable remaining of $67,360 to Custodian Ventures, LLC. This loan is unsecured, non-interest bearing, and payable upon demand.

Note 6 – Commitments and Contingencies

NOTE 8. CONCENTRATION OF CREDIT RISKFrom time to time, the Company may become involved in various lawsuits and legal proceedings, which arise in the ordinary course of business. However, litigation is subject to inherent uncertainties, and an adverse result in these or other matters may arise that may harm its business. The Company is currently not aware of any such legal proceedings or claims that they believe will have, individually or in the aggregate, a material adverse effect on its business, financial condition or operating results.

Note 7 – Concentration of Credit Risk

The Company relies heavily on the support of its president and majority shareholder. A withdrawal of this support, for any reason, will have a material adverse effect on the Company’s financial position and its operations.

NOTE 9. RELATED PARTY TRANSACTIONSNote 8 – Common Stock

On January 13, 2012,As of March 31, 2020 1,011,254 shares of common stock with par value of $0.001 remains outstanding.

Note 9 – Subsequent Events

During April 2020, Custodian Ventures, LLC, a majority shareholder and an entity controlled by our Chief Executive Officer advanced a total of $1,000 to the Company entered into a 12-month unsecured promissory note in the amount of $211,000. Interest accrues in arrears on the outstanding principal at the rate of ten percent (10.00%) per annum. Interest shall be payable on the last day of each quarter, commencing March 30, 2012, and continuing until the maturity date. Should the maker fail to pay the entire principal and accrued interest by the maturity date, the maker agrees that the interest rate shall increase to twelve percent (12.00%) per annum. On May 10, 2013, the Company and the related party agreed to extend the maturity of the loan for an additional year or until January 13, 2014. The loan maturity dates were further extended to January 13, 2016. On May 22, 2012, the Company borrowed an additional $32,714 from the related party, with the same terms, the loan maturity dates were extended to January 13, 2016. On September 17, 2012, the Company borrowed an additional $22,032 from the related party, with the same terms, the loan maturity dates were extended to January 13, 2016. On February 7, 2013, the Company borrowed an additional $28,773 from the related party, with the same terms, and on July 31, 2013, the Company borrowed an additional $30,000 from the related party, with the same terms. The loans maturity dates were further extended to February 7, 2016 and July 31, 2016, respectively. On December 20, 2013, the Company borrowed $2,500, on January 7, 2014, the Company borrowed $5,000, on February 6, 2014, the Company borrowed $5,520, the loans maturity dates were further extended to December 20, 2015 and January 7, 2016. On February 17, 2014, the Company borrowed $4,400 and on June 26, 2014, the Company borrowed $3,080, the loans maturity dates were further extended to February 6, 2016 and February 17, 2016, respectively. On November 15, 2016, the Company and the related party entered into a Release and Settlement Agreement whereby $342,519 in principal and $149,258 in accrued interest was forgiven. The transaction was accounted for as contributed capital. The total outstanding principal at December 31, 2017 and September 30, 2017 amounted to $2,500 and $2,500, respectively. Accrued interest at December 31, 2017 and September 30, 2017, amounted to $505 and $473, respectively.

On October 17, 2017, our CEO loaned the Company $14,300. Theoperating expenses. This loan is interest freeunsecured, non-interest bearing, and is payable onupon demand.

On October 20, 2017,In March 2020, the World Health Organization categorized the novel coronavirus (COVID-19) as a pandemic, and it continues to spread throughout the United States and the rest of the world with different geographical locations impacted more than others. The outbreak of COVID-19 and public and private sector measures to reduce its transmission, such as the imposition of social distancing and orders to work-from-home, stay-at-home and shelter-in-place, have had a minimal impact on our CEO loaned the Company $825. The loan is interest free and is payable on demand.

On December 18, 2017, the Company issued 90,000,000 common shares with a fair value of $90,000day to JJL Capital Management, LLC, a company beneficially owned and controlled byday operations. However this could impact our CEO for services renderedefforts to the Company by our CEO.

NOTE 10. SUBSEQUENT EVENT

On January 8, 2018, our CEO entered into an unsecured note payable for $3,000 with an interest rate of 0% due upon demand by the holder.

On January 12, 2018, the Company enteredenter into a settlementbusiness combination as other businesses have had to adjust, reduce or suspend their operating activities. The extent of the impact will vary depending on the duration and release agreement with Anslow & Jaclin, LLPseverity of the economic and Richard Anslowoperational impacts of COVID-19. The Company is unable to settle an outstanding legal invoice for a total of $8,000 to be paid whenpredict the Company completes a change in control.

On January 25, 2018, our CEO entered into an unsecured note payable for $109, with an interest rate of 0% due upon demand by the holder.ultimate impact at this time.

ITEM 2.MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.Business Development

This quarterly report on Form 10-Q and other reports filed by Inspired Builders, Inc. (the “Company”) from time to time with the SEC (collectively, the “Filings”) contain or may contain forward-looking statements and information that are based upon beliefs of, and information currently available to, the Company’s management as well as estimates and assumptions made by Company’s management. Readers are cautioned not to place undue reliance on these forward-looking statements, which are only predictions and speak only as of the date hereof. When usedwas incorporated in the Filings, the words “anticipate,” “believe,” “estimate,” “expect,” “future,” “intend,” “plan,” or the negativeState of these terms and similar expressions as they relate to the Company or the Company’s management identify forward-looking statements. Such statements reflect the current view of the Company with respect to future events and are subject to risks, uncertainties, assumptions, and other factors, including the risks relating to the Company’s business, industry, and the Company’s operations and results of operations. Should one or more of these risks or uncertainties materialize, or should the underlying assumptions prove incorrect, actual results may differ significantly from those anticipated, believed, estimated, expected, intended, or planned.

Although the Company believes that the expectations reflectedNevada in the forward-looking statements are reasonable, the Company cannot guarantee future results, levels of activity, performance, or achievements. Except as required by applicable law, including the securities laws of the United States, the Company does not intend to update any of the forward-looking statements to conform these statements to actual results.

Our financial statements are prepared in accordance with accounting principles generally accepted in the United States (“GAAP”). These accounting principles require us to make certain estimates, judgments and assumptions. We believe that the estimates, judgments and assumptions upon which we rely are reasonable based upon information available to us at the time that these estimates, judgments and assumptions are made. These estimates, judgments and assumptions can affect the reported amounts of assets and liabilities as of the date of the financial statements as well as the reported amounts of revenues and expenses during the periods presented. Our financial statements would be affected to the extent there are material differences between these estimates and actual results. In many cases, the accounting treatment of a particular transaction is specifically dictated by GAAP and does not require management’s judgment in its application. There are also areas in which management’s judgment in selecting any available alternative would not produce a materially different result. The following discussion should be read in conjunction with our financial statements and notes thereto appearing elsewhere in this report.

Plan of Operations

Inspired Builders, Inc., a Nevada Corporation, was previously located in Boston, Massachusetts. On January 13, 2012, pursuant to the change of control transaction, we relocated to Santa Monica, California. Until the change of control transaction, we focused on repairing and providing home improvements for the homeowners.February 2010. Until August 15, 2017 the Company was focuseddirecting its focus on acquiring, investing in, developing and managing real estate properties and related investments. On August 15, 2017, pursuant to anothera change in control transaction, we relocated to Miami, Florida and ceased all operations as a real estate company. On February 15, 2018, Inspired Builders (the “Company”), the majority shareholders of the Company (the “Sellers”) and Santa Alba, LLC (the “Purchaser”) entered into a stock purchase agreement (the “Stock Purchase Agreement”), whereby the Purchaser purchased from the Sellers 956,440 shares of common stock, par value $0.001 per share, of the Company (the “Shares”), representing approximately 94.58% of the issued and outstanding shares of the Company, for an aggregate purchase price of $300,000 (the “Purchase Price”). On February 15, 2018, the closing of the transaction occurred (“Closing Date”). Also, in connection therewith, Scott Silverman, the Company’s sole officer and Director, resigned from his positions and named Kai Ming Zhao as sole director and to the positions of CEO, CFO, Chief Accounting Officer and Secretary.

Our principalOn January 16, 2020, Santa Alba, LLC sold the 956,440 shares of common stock to Custodian Ventures, LLC for an aggregate purchase price of $145,000. At this point there was a change of control of the Company and Kai Ming Zhao resigned as President, Secretary, Treasurer and Director and David Lazar was appointed as President, Secretary, Treasurer and Director.

The Company's current business objective foris to seek a business combination with an operating company. We intend to use the next 12 monthsCompany's limited personnel and beyondfinancial resources in connection with such timeactivities. The Company will be to achieve long-term growth potential throughutilize its capital stock, debt or a combination withof capital stock and debt, in effecting a business rather than immediate, short-term earnings. We are a shell company which is moving forward with the business of identifying andcombination. It may be expected that entering into a business combination with a privately held business or company, domiciled and operating in an emergingwill involve the issuance of restricted shares of capital stock. The issuance of additional shares of our capital stock:

Similarly, if we issued debt securities, it could result in:

The Company’s fiscal year end is seeking the advantages of being a publicly held corporation whose stock is traded on the OTC market place.  We will not restrict our potential candidate target companies to any specific business, industry or geographical location and, thus, may acquire any type of business.September 30.

We may considerIn March 2020, the World Health Organization categorized the novel coronavirus (COVID-19) as a business which has recently commenced operations, ispandemic, and it continues to spread throughout the United States and the rest of the world with different geographical locations impacted more than others. The outbreak of COVID-19 and public and private sector measures to reduce its transmission, such as the imposition of social distancing and orders to work-from-home, stay-at-home and shelter-in-place, have had a developing company in need of additional funds for expansionminimal impact on our day to day operations. However this could impact our efforts to enter into new products or markets, is seeking to develop a new product or service, or is an established business which may be experiencing financial or operating difficulties and is in need of additional capital. In the alternative, a business combination may involveas other businesses have had to adjust, reduce or suspend their operating activities. The extent of the acquisitionimpact will vary depending on the duration and severity of or merger with, a company which does not need substantial additional capital, but which desiresthe economic and operational impacts of COVID-19. The Company is unable to establish a public trading market for its shares, while avoiding, among other things,predict the time delays, significant expense, and loss of voting control which may occur in a public offering.ultimate impact at this time.

Our sole officer and director has indicated that he is willing to loan additional funds to the Company to cover any shortfalls, although there is no written agreement or guarantee of such actions.

Results of Operations

Results of OperationFor the Three months ended March 31, 2020 compared to the Three months ended March 31, 2019.

For the three months ended December 31, 2017 and 2016Operating Expenses

For the three months ended DecemberMarch 31, 2017,2020, we generated no revenueincurred operating expenses of $12,353 as compared to no revenue$13,333 for the samecomparable period ended December 31, 2016.in 2019, which remains fairly consistent year over year.

Expenses forNet Loss

For the three months ended DecemberMarch 31, 2017 totaled $112,539 resulting in2020 we incurred a net loss of $112,539. Expenses$12,353 as compared to $13,364 for the threecomparable period in 2019, which remains fairly consistent year over year.

For the Six months ended DecemberMarch 31, 2017 consisted2020 compared to the Six months ended March 31, 2019.

Operating Expenses

For the six months ended March 31, 2020, we incurred operating expenses of $112,507$48,116 as compared to $35,081 in general and administrative expenses and $32 in interest expense. In comparison,2019. Increase was attributable to increased costs related to the change of control transaction.

Net Loss

For the six months ended March 31, 2020 we incurred a net loss of $44,922 as compared to a net loss of $35,144 for the samecomparable period ended December 31, 2016 totaled $45,589 comprising of general and administrative expenses of $34,084 and $11,505 in interest expense. The increase in the expenses for the three months ended December 31, 2017 is mostly2019. Increase was attributable to increased costs related to the issuancechange of 90,000,000 of common stock to our sole officer and director as compensation for services rendered of $90,000.control transaction.

Liquidity and Capital Resources

As of DecemberMarch 31, 20172020, the Company has no business operations and no cash resources other than advances provided by a related party. As of March 31, 2020 we had $0 in cash and a working capital deficit of $70,947. We had a negative cash flow from operations of $64,699 during the six months ended March 31, 2020. We financed our negative cash flow from operations during the six months ended March 31, 2020 through advances made by a related party.

The Company does not currently engage in any business activities that provide cash flow. During the next 12 months we anticipate incurring costs related to:

We estimate that these costs will be in the range of twenty to twenty-five thousand dollars per year. The Company has not had revenues since May 2011 and to date, has relied on the support of its president and majority shareholder. A withdrawal of this support, for any reason, will have a material adverse effect on the Company’s financial position and its operations. If the Company does not begin to generate revenue or raise additional funds through a financing, the Company may need to incur additional liabilities with certain related parties to sustain the Company’s existence. There are currently no plans or agreements in place to provide such funding. The Company will require additional funding to finance the growth of its future operations as well as to achieve its strategic objectives. This raises substantial doubt about its ability to continue as a going concern. The ability of the Company to continue as a going concern is dependent on the Company’s ability to raise additional capital and generate revenue. Our unaudited condensed financial statements have been prepared on the basis that we didwill continue as a going concern. The financial statements do not maintaininclude any adjustments that might be necessary if the Company is unable to continue as a cash balancegoing concern. Our independent registered public accounting firm has included its audit report to the audited financial statements for the years ended September 30, 2019 and must rely2018 stating substantial doubt about our ability to continue as a going concern.

The COVID-19 pandemic could have an impact on an affiliateour ability to obtain financing to fund businessthe operations. We are actively pursuing merger opportunities as described herein.  The Company is unable to predict the ultimate impact at this time.

Subsequent Events

On January 8, 2018, the Company and our principal shareholder entered into a non-binding letter intent for the principal shareholder to sell their shares. A deposit of $30,000 has been placed into escrow subject to the completion of due diligence. The parties are currently negotiating a definitive agreement and there is no assurance that this transaction will close.

Off BalanceOff-Balance Sheet ArrangementArrangements

We dodid not have any off-balance sheet arrangements.arrangements as defined in Item 303(a)(4)(ii) of Regulation S-K promulgated under the Securities Act of 1934.

Contractual Obligations and Commitments

We did not have any contractual obligations.

Critical Accounting Policies

Our significant accounting policies are described in the notes to our condensed financial statements for the six months ended March 31, 2020, and are included elsewhere in this report.

ItemITEM 3.  Quantitative and Qualitative Disclosures About Market Risk.QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

We doare a smaller reporting company as defined by Rule 12b-2 of the Securities Exchange Act of 1934 and are not hold any derivative instruments and do not engage in any hedging activities.required to provide the information under this item. 

ItemITEM 4. CONTROLS AND PROCEDURES

Evaluation of Disclosure Controls and Procedures.Procedures

Our management is responsible for establishing and maintaining a system of disclosure controls and procedures (as defined in Rule 13a-15(e)) under the Exchange Act) that is designed to ensure that information required to be disclosed by the Company in the reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported, within the time specified in the Commission’s rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed by an issuer in the reports that it files or submits under the Exchange Act is accumulated and communicated to the issuer’s management, including its principal executive officer or officers and principal financial officer or officers, or persons performing similar functions, as appropriate to allow timely decisions regarding required disclosure.

Pursuant to Rule 13a-15(b) under the Securities Exchange Act, of 1934 (“Exchange Act”), the Company carried out an evaluation with the participation of the Company’s management, including the Company’s Chief Executive Officer (“CEO”) and the Company’s Chief Financial Officer (“CFO”) (the Company’s principal financial and accounting officer), of the effectiveness of the Company’s disclosure controls and procedures (as defined under Rule 13a-15(e) under the Exchange Act) as of the end of the period covered by this report.March 31, 2020. Based upon that evaluation, the Company’s CEO and CFO concluded that the Company’s disclosure controls and procedures arewere not effective as of DecemberMarch 31, 2017,2020 due to ensurethe Company’s limited internal resources and lack of ability to have segregation of duties and multiple levels of transaction review.

Management is in the process of determining how best to change our current system and implement a more effective system to insure that information required to be disclosed by the Company in the reports that the Company fileswe file or submitssubmit under the Exchange Act ishave been recorded, processed, summarized and reported withinaccurately. Our management intends to develop procedures to address the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicatedcurrent deficiencies to the Company’sextent possible given limitations in financial and manpower resources. While management includingis working on a plan, no assurance can be made at this point that the Company’s CEOimplementation of such controls and CFO, as appropriate, to allowprocedures will be completed in a timely decisions regarding required disclosure for the reason described below.manner or that they will be adequate once implemented.

Because of our limited operations, we have a limited number of employees which prohibits a segregation of duties. In addition, we lack a formal audit committee with a financial expert. As we grow and expand our operations we will engage additional employees and experts as needed. However, there can be no assurance that our operations will expand.Changes in Internal Control over Financial Reporting

There have been no changes in our internal controlcontrols over financial reporting that occurred during the period covered by this reportquarter ended March 31, 2020, that have materially affected, or are reasonably likely to materially affect, our internal controlcontrols over financial reporting.

PART II - OTHER INFORMATION

ItemITEM 1.  Legal Proceedings.LEGAL PROCEEDINGS

WeThere are currently not involvedno pending legal proceedings to which the Company is a party or in which any litigation that we believe could havedirector, officer or affiliate of the Company, any owner of record or beneficially of more than 5% of any class of voting securities of the Company, or security holder is a party adverse to the Company or has a material interest adverse effect on our financial condition or results of operations. There is no action, suit, proceeding, inquiry or investigation before or by any court, public board, government agency, self-regulatory organization or body pending or, to the knowledgeCompany.  The Company’s property is not the subject of the executive officers of our Company or any of our subsidiaries, threatened against or affecting our company, our common stock, any of our subsidiaries or of our companies or our subsidiaries’ officers or directors in their capacities as such, in which an adverse decision could have a material adverse effect.pending legal proceedings.

ItemITEM 1A. Risk Factors.RISK FACTORS 

Not applicable because weWe are a smaller reporting company.company as defined by Rule 12b-2 of the Securities Exchange Act of 1934 and are not required to provide the information under this item.

ItemITEM 2.  Unregistered Sales of Equity Securities and Use of Proceeds.UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

On December 18, 2017, the Company issued 90,000,000 common shares to JJL Capital Management, LLC, a company beneficially owned by Scott Silverman, the sole officer and director of the Company, for services rendered to the Company by Scott Silverman in reliance upon the exemption from registration contained in Section 4(a)(2) of the Securities Act of 1933, as amended..None

ItemITEM 3.  Defaults Upon Senior Securities.DEFAULTS UPON SENIOR SECURITIES

There were no defaults upon senior securities during the quarter ended December 31, 2017. None.

ItemITEM 4.  Mine Safety Disclosures.MINE SAFETY DISCLOSURES

Not applicable.

ItemITEM 5.  Other Information.OTHER INFORMATION

There is no other information required to be disclosed under this item which was not previously disclosed. None.

Item 6. Exhibits

Item 6. Exhibits.The following exhibits are included with this report.

SIGNATURESSIGNATURE

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.

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