Cover
Cover - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Jun. 09, 2020 | Jun. 30, 2019 | |
Cover [Abstract] | |||
Entity Registrant Name | DOUBLE DOWN HOLDINGS INC. | ||
Entity Central Index Key | 0001570279 | ||
Document Type | 10-K | ||
Amendment Flag | false | ||
Entity Voluntary Filers | No | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well Known Seasoned Issuer | No | ||
Entity Small Business | true | ||
Entity Shell Company | false | ||
Entity Emerging Growth Company | true | ||
Entity Current Reporting Status | Yes | ||
Document Period End Date | Dec. 31, 2019 | ||
Entity Filer Category | Non-accelerated Filer | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2019 | ||
Entity Ex Transition Period | false | ||
Entity Common Stock Shares Outstanding | 53,779,701 | ||
Entity Public Float | $ 3,750,000 | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Entity Interactive Data Current | Yes |
BALANCE SHEETS
BALANCE SHEETS - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
CURRENT ASSETS | ||
Cash | $ 140,007 | $ 4,394 |
Accounts Receivable | 11,700 | 0 |
Inventory | 34,864 | 0 |
Prepaid Expenses | 9,825 | 0 |
Total Current Assets | 196,396 | 4,394 |
FIXED ASSETS | ||
Machinery and Equipment | 50,654 | |
Total Fixed Assets | 50,654 | |
TOTAL ASSETS | 247,050 | 4,394 |
Current Liabilities: | ||
Accounts Payable and Accrued Expenses | 8,671 | 3,400 |
Interest Payable | 140 | 54,247 |
Notes payable | 5,600 | 293,617 |
Due to Related Party | 7,730 | 0 |
Total Current Liabilities | 22,141 | 351,264 |
Long Term Liabilities: | ||
Royalty Agreement Payable | 225,907 | 0 |
TOTAL LIABILITIES | 248,048 | 351,264 |
Commitments & Contingencies | 0 | 0 |
STOCKHOLDERS' EQUITY (DEFICIT) | ||
Common stock: authorized 100,000,000; $0.001 par value; 53,779,701 and 48,000,000 shares issued and outstanding at December 31, 2019 and December 31, 2018 | 53,780 | 48,000 |
Paid in capital | 524,570 | 34,500 |
Shares to be Issued | 1,000 | |
Treasury Shares | (18,000) | |
Accumulated deficit | (562,348) | (429,370) |
Total Stockholders' Equity (Deficit) | (998) | (346,870) |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 247,050 | $ 4,394 |
BALANCE SHEETS (Parenthetical)
BALANCE SHEETS (Parenthetical) - $ / shares | Dec. 31, 2019 | Dec. 30, 2019 | Dec. 23, 2019 | Oct. 20, 2019 | Jul. 18, 2019 | Jul. 01, 2019 | Dec. 31, 2018 |
STOCKHOLDERS' DEFICIT | |||||||
Common stock, par value | $ 0.001 | $ 0.001 | |||||
Common stock, shares authorized | 100,000,000 | 100,000,000 | |||||
Common stock, shares issued | 53,779,701 | 48,000,000 | |||||
Common stock, shares outstanding | 53,779,701 | 48,000,000 |
STATEMENTS OF OPERATIONS
STATEMENTS OF OPERATIONS - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
STATEMENTS OF OPERATIONS | ||
REVENUES | $ 11,700 | $ 175 |
TOTAL REVENUES | 11,700 | 175 |
COST OF GOODS SOLD | ||
Merchant Account Fees | 324 | 670 |
Purchases - Resale Tickets | 7,863 | 0 |
TOTAL COST OF GOODS SOLD | 8,187 | 670 |
GROSS PROFIT | 3,513 | (495) |
OPERATING EXPENSES: | ||
General and administrative | 30,893 | 5,139 |
Professional Fees | 94,091 | 24,069 |
Total Expenses | 124,984 | 29,208 |
Net loss from operations | (121,471) | (29,703) |
Other Income/Expense | ||
Interest Expense | (11,507) | (25,914) |
Total Other Income/Expense | (11,507) | (25,914) |
Provision for taxes | 0 | 0 |
Net Income (loss) | $ (132,978) | $ (55,617) |
Net loss per share: | ||
Basic and diluted | $ (0.002) | $ (0.001) |
Weighted average number of shares outstanding: | ||
Basic and diluted | 53,789,701 | 48,000,000 |
STATEMENTS OF CHANGES IN SHAREH
STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Treasury Shares Bought Back [Member] | Shares to be Issued [Member] | Accumulated Deficit [Member] |
Balance, shares at Dec. 31, 2017 | 48,000,000 | |||||
Balance, amount at Dec. 31, 2017 | $ (291,254) | $ 48,000 | $ 34,500 | $ 0 | $ 0 | $ (373,753) |
Net loss | $ (55,617) | $ 0 | $ 0 | $ 0 | $ 0 | $ (55,617) |
Balance, shares at Dec. 31, 2018 | 48,000,000 | |||||
Balance, amount at Dec. 31, 2018 | $ (346,870) | $ 48,000 | $ 34,500 | $ 0 | $ 0 | $ (429,370) |
Net loss | (132,978) | 0 | 0 | 0 | 0 | $ (132,978) |
Treasury Shares bought back | (18,000) | 0 | $ (18,000) | |||
Shares to be issued @ $0.10 per share | 1,000 | 0 | $ 1,000 | |||
Common Stock shares issued in 2019:Issued December 2019 @ $0.10 per share, Amount | 22,000 | $ 220 | 21,780 | |||
Common Stock shares issued in 2019:Issued December 2019 @ $0.10 per share, Shares | 220,000 | |||||
Common Stock shares issued in 2019: Issued October 2019 @ $0.10 per share, Amount | 66,000 | $ 660 | 65,340 | |||
Common Stock shares issued in 2019: Issued October 2019 @ $0.10 per share, Shares | 660,000 | |||||
Common Stock shares issued in 2019: Issued July 2019 @ $0.10 per share, Amount | 280,000 | $ 2,800 | 277,200 | |||
Common Stock shares issued in 2019: Issued July 2019 @ $0.10 per share, Shares | 2,800,000 | |||||
Common Stock shares issued in 2019:Issued for cancellation of Notes Payable, Shares | 2,099,701 | |||||
Common Stock shares issued in 2019:Issued for cancellation of Notes Payable, Amount | $ 127,850 | $ 2,100 | $ 125,750 | |||
Balance, shares at Dec. 31, 2019 | 53,779,701 | |||||
Balance, amount at Dec. 31, 2019 | $ (998) | $ 53,780 | $ 524,570 | $ (18,000) | $ 1,000 | $ (562,348) |
STATEMENTS OF CASH FLOWS
STATEMENTS OF CASH FLOWS - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Operating activities | ||
Net loss | $ (132,978) | $ (55,617) |
Changes in assets and liabilities: | ||
Accounts Receivable | (11,700) | 0 |
Inventory | (34,864) | 0 |
Prepaid Expenses | (9,825) | 0 |
Accounts Payable | 5,272 | (73,245) |
Accounts Payable - Related Parties | 2,230 | 0 |
Interest | 11,507 | 25,914 |
Net cash used in operating activities | (170,358) | (102,948) |
Investing activities: | ||
Machinery and Equipment | (50,654) | 0 |
Net cash used in investing activities | (50,654) | 0 |
Financing activities: | ||
Note Payable - Rheingrover | 5,625 | 103,517 |
Repurchase of Common Stock | (18,000) | 0 |
Shares sold in Private Placement | 368,000 | 0 |
Shares to be Issued | 1,000 | 0 |
Net cash provided by financing activities | 356,625 | 103,517 |
Net increase in cash | 135,613 | 569 |
Cash, beginning of period | 4,394 | 3,824 |
Cash, end of period | 140,007 | 4,394 |
Cash paid during the period | ||
Taxes | 0 | 0 |
Interest | 0 | $ 0 |
Supplemental Non-Cash Investing and Financing Information: | ||
Debt converted to Capital Stock | 127,850 | |
Debt converted to Royalty Agreement | $ 225,907 |
ORGANIZATION AND DESCRIPTION OF
ORGANIZATION AND DESCRIPTION OF BUSINESS | 12 Months Ended |
Dec. 31, 2019 | |
ORGANIZATION AND DESCRIPTION OF BUSINESS | |
NOTE 1. ORGANIZATION AND DESCRIPTION OF BUSINESS | Double Down Holdings Inc. (the “Company”) was incorporated under the laws of the State of Nevada on January 17, 2013 as Ticket Corp. The Company was formed to become a provider of tickets, merchandise and social media communications driven primarily through its mobile application technology in the United States and a provider of premium seats and entrance to concerts, sporting events, theatre and entertainment, including corporate and group ticketing, special events and promotions worldwide. Double Down Holdings Inc. (the Company) was incorporated under the laws of the State of Nevada on January 17, 2013 as Ticket Corp. The Company was formed to become a provider of tickets, merchandise and social media communications driven primarily through its mobile application technology in the United States and a provider of premium seats and entrance to concerts, sporting events, theatre and entertainment, including corporate and group ticketing, special events and promotions worldwide. The Company is expanding its offerings into non ticketing product markets. In order to facilitate the changes Ticket Corp has changed its name from Ticket Corp to Double Down Holdings Inc. This name change will allow us to add different product lines to our company umbrella. The next area Double Down Holdings Inc will be focusing on is the natural herbal oil and extract market with our product to be sold through the standard channels of distribution for the vertical market. The Company is in an active and operational stage. Its activities to date include but is not limited to capital formation, organization, application development, beta testing and launch as well as developing relationships with key product merchandisers and have populated the mobile app with available tickets and authentic merchandise to most major live events. The company is in the early stages of collecting revenue but is selling tickets and merchandise on its mobile application. In 2019, as the secondary market for live event commerce enters a declining stage, the Company diversified its business operations to make its ticketing and event-based product offerings as a secondary business and shifted its primary focus to other high growth markets. The Company is looking to markets that can leverage its infrastructure, data gathering and geolocating technology platform the Company previously developed for its ticketing business. The first new market the Company has entered is essential oils and extracts particularly as it relates to wellness. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2019 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | Basis of Accounting The accompanying audited financial statements of Double Down Holdings Inc. (the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) and the rules of the Securities and Exchange Commission. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of financial position and the results of operations for the periods presented have been reflected herein. Basic Loss per Share ASC No. 260, “Earnings per Share”, specifies the computation, presentation and disclosure requirements for earnings (loss) per share for entities with publicly held common stock. The Company has adopted the provisions of ASC No. 260. Basic net loss per share amounts is computed by dividing the net loss by the weighted average number of common shares outstanding. Diluted loss per share is the same as basic loss per share because the consideration of these shares would be anti-dilutive in periods of loss. Cash Equivalents The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. Use of Estimates and Assumptions The preparation of financial statements in conformity with generally accepted accounting principles 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 revenues and expenses during the reporting period. Actual results could differ from those estimates. In accordance with ASC No. 250 all adjustments are normal and recurring. Income Taxes Income taxes are provided in accordance with ASC No. 740, Accounting for Income Taxes. A deferred tax asset or liability is recorded for all temporary differences between financial and tax reporting and net operating loss carry-forwards. Deferred tax expense (benefit) results from the net change during the year of deferred tax assets and liabilities. 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. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. Revenue The Company has implemented ASU 2015-04, Revenue from Contracts with Customers (Accounting Standards Codification Topic 606, “ASC 606”), using modified retrospective method, which required the company to apply the new guidance retrospectively to revenue transactions completed on or after the effective date. Pursuant to ASC 606, in contracts with customers, an entity should recognize revenue in a way that depicts the amount and timing of consideration received for transferring goods or services. To achieve this, an entity should apply the five-step approach outlined in the new revenue standard: · Step 1: Identify the contract with a customer · Step 2: Identify the performance obligations in the contract · Step 3: Determine the transaction price · Step 4: Allocate the transaction price to the performance obligations in the contract · Step 5: Recognize revenue when (or as) the entity satisfies a performance obligation Adopting this new standard had no material financial impact on our financial statements but did result in enhanced presentation and disclosures. Our revenue consists substantially of product sales. The Company reports product sales net of discounts and recognize them at the point in time when control transfers to the customer, which occurs when shipment is confirmed. Upon adoption of ASC 606, the Company has elected the following accounting policies and practical expedients: The Company recognizes shipping and handling expense as fulfilment activities (rather than as a promised good or service) when the activities are performed even if those activities are performed after the control of the good has been transferred. Accordingly, the Company records the expenses for shipping and handling activities at the same time the Company recognizes revenue. The Company excludes from the measurement of the transaction price all taxes imposed on and concurrent with a specific revenue- producing transaction and collected by the entity from a customer, including sales, use, excise, value-added, and franchise taxes (collectively referred to as sales taxes). The Company does not adjust revenue for the effects of any financing components if the contract has a duration of one year or less, as the Company receives payment from the customer within one year from when it transferred control of the related goods. The Company offers its products through its website and well as through distributors and resellers. Property and Equipment Property and equipment are stated at cost, net of accumulated depreciation. Depreciation expense is provided for on a straight-line basis over the estimated useful life of the asset and range from three to five years. When assets are sold or otherwise disposed of, the cost and related accumulated depreciation are removed from the accounts and the resulting gain or loss, if any, is included in operations. Maintenance and repairs are charged to operations as incurred. Inventories Inventories are stated at the lower of cost or market value. Cost is determined using the first-in, first-out method. Inventory quantities on-hand will be regularly reviewed, and where necessary, reserves for excess and unusable inventories will be recorded. Inventory will consist of finished goods, work in progress and related packaging materials. Reclassification Certain balances from prior periods have been reclassified in these audited financial statements to conform to current period presentation. This had no impact on prior reported assets, equity, or operations. Software Development Costs The company expenses software development costs in accordance with FASB ASC 985-20-25. All costs incurred to establish the technological feasibility of a computer software product to be sold, leased, or otherwise marketed are research and development costs. Once technological feasibility has been reached, but not before it is released to the public, the cost incurred for software development can be capitalized and amortized after release. The company incurred no software development costs during the fiscal years ended December 31, 2019 and 2018. Advertising Costs The company expenses advertising costs as they are incurred. The company incurred no advertising costs during the fiscal years ended December 31, 2019 and 2018. |
RECENT ACCOUNTING PRONOUCEMENTS
RECENT ACCOUNTING PRONOUCEMENTS | 12 Months Ended |
Dec. 31, 2019 | |
RECENT ACCOUNTING PRONOUCEMENTS | |
NOTE 3. RECENT ACCOUNTING PRONOUNCEMENTS | The Financial Accounting Standards Board (“FASB”) periodically issues new accounting standards in a continuing effort to improve standards of financial accounting and reporting. The Company has reviewed the recently issued pronouncements. On June 20, 2018, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2018-07, Compensation—Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting Revenue from Contracts with Customers We are an “Emerging Growth Company,” as defined in the Jumpstart our Business Startups Act of 2012, and we may take advantage of certain exemptions from various reporting requirements that are applicable to other public companies. Emerging Growth Companies can delay adopting new or revised accounting standards until such time as those standards apply to private companies. We have elected to avail ourselves to this exemption from new or revised accounting standards, which includes the adoption of ASU 2014-09. |
GOING CONCERN
GOING CONCERN | 12 Months Ended |
Dec. 31, 2019 | |
GOING CONCERN | |
NOTE 4. GOING CONCERN | The accompanying financial statements are presented on a going concern basis. The Company had limited operations during the period from January 17, 2013 (date of inception) through December 31, 2019 and a deficit of $562,348, or $0.01 per share. This condition raises substantial doubt about the Company’s ability to continue as a going concern. Management believes that the Company’s current cash of $140,007, anticipated revenues and loans from our director when needed will be sufficient to cover the expenses they will incur during the next twelve months in a limited operations scenario. Management believes that by following through with the Company’s plan of operation for the next 12 months that the revenue will increase to a point to support operations without loans from the director of the Company. |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Dec. 31, 2019 | |
RELATED PARTY TRANSACTIONS | |
NOTE 5. RELATED PARTY TRANSACTIONS | The sole officer and two directors of the Company may, in the future, become involved in other business opportunities as they become available, they may face a conflict in selecting between the Company and their other business opportunities. The Company has not formulated a policy for the resolution of such conflicts. As of December 31, 2019, $13,330 is owed to Russell Rheingrover, CEO. (i) $100 of the funds were loaned by him to the Company to open the bank account and is non-interest bearing with no specific repayment terms. (ii) $5,375 of the funds were for payment of an outstanding balance to DDC for software development. (iii) $2,750 of the funds were for payment of an outstanding balance to the Company’s auditor. (iv) $5,600 of the funds are the result of a 10% Convertible Note issued on March 25, 2019. Under the terms of the note the principal sum and interest is to be repaid to Mr. Rheingrover by March 24, 2020 or is convertible at the conversion price of $0.10 per common stock share. The conversion price was considered by management to be a fair price. The accrued interest on the convertible note as of December 31, 2019 was $140. (v) There was a ($495) adjustment of the funds to correct for a reimbursement to Mr. Rheingrover made in error, in a prior period. On May 22, 2019 the Company entered into a Note Cancellation and Royalty Agreement with Russell Rheingrover, it’s CEO and director, whereby Mr. Rheingrover agreed to cancel certain then-existing convertible promissory notes issued from September 8, 2016 to December 22, 2018 in the principal and interest amount of $225,907 in exchange for a royalty on future sales of essential oil products by the Company in the amount of $0.05/30ml up to $225,907. On June 19, 2019 the Company issued 2,099,701 restricted common stock shares to Russell Rheingrover as a result of the conversion of the following notes: 1. A $35,000 10% Convertible Note issued on September 3, 2015, convertible at the conversion price of $0.05 per common stock share. The interest accrued on this note was $13,031. The conversion price was considered by management to be a fair price. 2. A $25,000 10% Convertible Note issued on October 5, 2015, convertible at the conversion price of $0.05 per common stock share. The interest accrued on this note was $9,089. The conversion price was considered by management to be a fair price. 3. A $35,000 10% Convertible Note issued on April 30, 2016, convertible at the conversion price of $0.10 per common stock share. The interest accrued on this note was $10,729. The conversion price was considered by management to be a fair price. Mr. Rheingrover, who currently owns 37% of our outstanding voting stock, is also the Chief Executive Officer of Jiffy Tickets, a national reseller of concert, theater, sporting and event tickets. He currently devotes approximately 40 hours per week of his business time to our affairs and 5 hours per week to Jiffy Tickets. He owes a fiduciary duty of loyalty to us, but also owes similar fiduciary duties to Jiffy Tickets. Due to his responsibilities to serve both companies, there is potential for conflicts of interest. He will use every effort to avoid material conflicts of interest generated by his responsibilities to both companies, but no assurance can be given that material conflicts will not arise which could be detrimental to our operations and financial prospects. |
INVENTORY
INVENTORY | 12 Months Ended |
Dec. 31, 2019 | |
INVENTORY | |
NOTE 6. INVENTORY | During the year ended December 31, 2019, Double Down entered into an agreement with MKJ Enterprises (Rogue Valley Naturals) to purchase 146 pounds of flower which was paid in full and will be stored and shipped to Double Down as needed for production purposes. Double Down also has an option for an additional 146 pounds at the 2019 price point. Inventory at December 31, 2019 consisted solely of raw materials in the amount of $34,864. There was no inventory at December 31, 2018. |
PROPERTY PLANT AND EQUIPMENT
PROPERTY PLANT AND EQUIPMENT | 12 Months Ended |
Dec. 31, 2019 | |
PROPERTY PLANT AND EQUIPMENT | |
NOTE 7. PROPERTY, PLANT AND EQUIPMENT | Property, Plant and Equipment at December 31, 2019 consisted solely of machinery and equipment in the amount of $50,654. This amount was an initial payment on the purchase price for equipment paid in December 2019 but the equipment was not delivered until January 2020, thus no depreciation was recorded until the first quarter of 2020. There was no Property, Plant or Equipment asset at December 31, 2018. |
STOCK TRANSACTIONS
STOCK TRANSACTIONS | 12 Months Ended |
Dec. 31, 2019 | |
STOCK TRANSACTIONS | |
NOTE 8. STOCK TRANSACTIONS | On January 31, 2013, the Company issued a total of 33,000,000 shares of common stock to its sole officer Russell Rheingrover for cash in the amount of $0.001 per share for a total of $33,000. The company’s Registration Statement on Form S-1 was declared effective on July 25, 2014. In October 2014 the company sold 15,000,000 shares of common stock to 50 independent shareholders at a price of $0.033 per share for total proceeds of $49,500, pursuant to the Registration Statement. On July 1, 2019 the Company sold 2,500,000 shares of common stock to an investor at a price of $0.10 per share for total proceeds of $250,000. On July 18, 2019 the Company sold 300,000 shares of common stock to an investor at a price of $0.10 per share for total proceeds of $30,000. On June 19, 2019 the Company issued 2,099,701 shares of common stock to Russell Rheingrover as a result of the conversion of three Convertible Notes in the amount of $127,850. On September 13, 2019, the Company placed $18,000 in an escrow account for the purposes of effecting a possible buy-back of shares of outstanding common stock. As of December 31, 2019 the funds had been dispersed and the Transfer Agent is in the process of finalizing the paperwork to return the shares to the treasury. On October 20, 2019 the Company sold 660,000 shares of common stock to four (4) investors at a price of $0.10 per share for total proceeds of $66,000. On December 23, 2019 the Company sold 220,000 shares of common stock to two (2) investors at a price of $0.10 per share for total proceeds of $22,000. On December 30, 2019 the Company sold 10,000 shares of common stock to one (1) investor at a price of $0.10 per share for total proceeds of $1,000. The shares were not issued until January 2020. As of December 31, 2019, the Company had 53,779,701 shares of common stock issued and outstanding. |
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY | 12 Months Ended |
Dec. 31, 2019 | |
STOCKHOLDERS' EQUITY | |
NOTE 9. STOCKHOLDERS' EQUITY | The stockholders’ equity section of the Company contains the following classes of capital stock as of December 31, 2019: Common stock, $ 0.001 par value: 100,000,000 shares authorized; 53,779,701 shares issued and outstanding. On September 13, 2019, the Company placed $18,000 in an escrow account for the purposes of effecting a possible buy-back of shares of outstanding common stock. As of December 31, 2019 the funds had been dispersed and the Transfer Agent is in the process of finalizing the paperwork to return the shares to the treasury. |
PROVISION FOR INCOME TAXES
PROVISION FOR INCOME TAXES | 12 Months Ended |
Dec. 31, 2019 | |
PROVISION FOR INCOME TAXES | |
NOTE 10. PROVISION FOR INCOME TAXES | Realization of deferred tax assets is dependent upon sufficient future taxable income during the period that deductible temporary differences and carry-forwards are expected to be available to reduce taxable income. As the achievement of required future taxable income is uncertain, the Company recorded a valuation allowance. As of December 31, 2019, the Company had a net operating loss carry-forward of approximately $562,348. Net operating loss carry-forward, expires twenty years from the date the loss was incurred. The Company is subject to United States federal and state income taxes at an approximate rate of 21%. The reconciliation of the provision for income taxes at the United States federal statutory rate compared to the Company’s income tax expense as reported is as follows: December 31, December 31, 2019 2018 Accumulated loss before income taxes per financial statements $ 132,978 $ 55,617 Income tax rate 21 % 21 % Income tax recovery (27,925 ) (11,680 ) Permanent differences - - Temporary differences - - Valuation allowance change 27,925 11,680 Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Deferred income taxes arise from temporary differences in the recognition of income and expenses for financial reporting and tax purposes. The significant components of deferred income tax assets and liabilities at December 31, 2019 are as follows: December 31, December 31, 2019 2018 Net operating loss carryforward $ 118,244 $ 90,138 Valuation allowance (118,244 ) (90,138 ) Net deferred income tax asset - - The Company has recognized a valuation allowance for the deferred income tax asset since the Company cannot be assured that it is more likely than not that such benefit will be utilized in future years. The valuation allowance is reviewed annually. When circumstances change and which cause a change in management’s judgment about the realizability of deferred income tax assets, the impact of the change on the valuation allowance is generally reflected in current income. The Tax Cuts and Jobs Act enacted on December 22, 2017, reduced the U.S. federal corporate tax rate from 35% to 21%. The Company has not yet completed its full accounting for the effect of the Act and is therefore providing an estimate of the anticipated effect. The most substantial impact is the reduction of the existing deferred tax benefit by $31,400 as of December 31, 2017 due to the decrease in future tax rates. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2019 | |
SUBSEQUENT EVENTS | |
NOTE 11. SUBSEQUENT EVENTS | The Company evaluated all other events or transactions that occurred after December 31, 2019 up through date the Company issued these financial statements, June 9, 2020, and found no subsequent event that needed to be reported. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Basis of Accounting | The accompanying audited financial statements of Double Down Holdings Inc. (the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) and the rules of the Securities and Exchange Commission. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of financial position and the results of operations for the periods presented have been reflected herein. |
Basic Loss per Share | ASC No. 260, “Earnings per Share”, specifies the computation, presentation and disclosure requirements for earnings (loss) per share for entities with publicly held common stock. The Company has adopted the provisions of ASC No. 260. Basic net loss per share amounts is computed by dividing the net loss by the weighted average number of common shares outstanding. Diluted loss per share is the same as basic loss per share because the consideration of these shares would be anti-dilutive in periods of loss. |
Cash Equivalents | The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. |
Use of Estimates and Assumptions | The preparation of financial statements in conformity with generally accepted accounting principles 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 revenues and expenses during the reporting period. Actual results could differ from those estimates. In accordance with ASC No. 250 all adjustments are normal and recurring. |
Income Taxes | Income taxes are provided in accordance with ASC No. 740, Accounting for Income Taxes. A deferred tax asset or liability is recorded for all temporary differences between financial and tax reporting and net operating loss carry-forwards. Deferred tax expense (benefit) results from the net change during the year of deferred tax assets and liabilities. 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. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. |
Revenue | The Company has implemented ASU 2015-04, Revenue from Contracts with Customers (Accounting Standards Codification Topic 606, “ASC 606”), using modified retrospective method, which required the company to apply the new guidance retrospectively to revenue transactions completed on or after the effective date. Pursuant to ASC 606, in contracts with customers, an entity should recognize revenue in a way that depicts the amount and timing of consideration received for transferring goods or services. To achieve this, an entity should apply the five-step approach outlined in the new revenue standard: · Step 1: Identify the contract with a customer · Step 2: Identify the performance obligations in the contract · Step 3: Determine the transaction price · Step 4: Allocate the transaction price to the performance obligations in the contract · Step 5: Recognize revenue when (or as) the entity satisfies a performance obligation Adopting this new standard had no material financial impact on our financial statements but did result in enhanced presentation and disclosures. Our revenue consists substantially of product sales. The Company reports product sales net of discounts and recognize them at the point in time when control transfers to the customer, which occurs when shipment is confirmed. Upon adoption of ASC 606, the Company has elected the following accounting policies and practical expedients: The Company recognizes shipping and handling expense as fulfilment activities (rather than as a promised good or service) when the activities are performed even if those activities are performed after the control of the good has been transferred. Accordingly, the Company records the expenses for shipping and handling activities at the same time the Company recognizes revenue. The Company excludes from the measurement of the transaction price all taxes imposed on and concurrent with a specific revenue- producing transaction and collected by the entity from a customer, including sales, use, excise, value-added, and franchise taxes (collectively referred to as sales taxes). The Company does not adjust revenue for the effects of any financing components if the contract has a duration of one year or less, as the Company receives payment from the customer within one year from when it transferred control of the related goods. The Company offers its products through its website and well as through distributors and resellers. |
Property and Equipment | Property and equipment are stated at cost, net of accumulated depreciation. Depreciation expense is provided for on a straight-line basis over the estimated useful life of the asset and range from three to five years. When assets are sold or otherwise disposed of, the cost and related accumulated depreciation are removed from the accounts and the resulting gain or loss, if any, is included in operations. Maintenance and repairs are charged to operations as incurred. |
Inventories | Inventories are stated at the lower of cost or market value. Cost is determined using the first-in, first-out method. Inventory quantities on-hand will be regularly reviewed, and where necessary, reserves for excess and unusable inventories will be recorded. Inventory will consist of finished goods, work in progress and related packaging materials. |
Reclassification | Certain balances from prior periods have been reclassified in these audited financial statements to conform to current period presentation. This had no impact on prior reported assets, equity, or operations. |
Software Development Costs | The company expenses software development costs in accordance with FASB ASC 985-20-25. All costs incurred to establish the technological feasibility of a computer software product to be sold, leased, or otherwise marketed are research and development costs. Once technological feasibility has been reached, but not before it is released to the public, the cost incurred for software development can be capitalized and amortized after release. The company incurred no software development costs during the fiscal years ended December 31, 2019 and 2018. |
Advertising Costs | The company expenses advertising costs as they are incurred. The company incurred no advertising costs during the fiscal years ended December 31, 2019 and 2018. |
PROVISION FOR INCOME TAXES (Tab
PROVISION FOR INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
PROVISION FOR INCOME TAXES | |
Schedule of reconciliation of income tax expense at the statutory rate to actual income tax expense | December 31, December 31, 2019 2018 Accumulated loss before income taxes per financial statements $ 132,978 $ 55,617 Income tax rate 21 % 21 % Income tax recovery (27,925 ) (11,680 ) Permanent differences - - Temporary differences - - Valuation allowance change 27,925 11,680 |
Schedule of tax effects of temporary differences related to deferred taxes shown on the consolidated balance sheets | December 31, December 31, 2019 2018 Net operating loss carryforward $ 118,244 $ 90,138 Valuation allowance (118,244 ) (90,138 ) Net deferred income tax asset - - |
ORGANIZATION AND DESCRIPTION _2
ORGANIZATION AND DESCRIPTION OF BUSINESS (Details Narrative) | 12 Months Ended |
Dec. 31, 2019 | |
ORGANIZATION AND DESCRIPTION OF BUSINESS | |
State of incorporation | Nevada |
Date of incorporation | Jan. 17, 2013 |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) | 12 Months Ended |
Dec. 31, 2019 | |
Minimum [Member] | |
Property plant and equipment useful life | 3 years |
Maximum [Member] | |
Property plant and equipment useful life | 5 years |
GOING CONCERN (Details Narrativ
GOING CONCERN (Details Narrative) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
GOING CONCERN | ||
Accumulated deficit | $ (562,348) | $ (429,370) |
Deficit per share (in dollars per share) | $ 0.01 | |
Cash | $ 140,007 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($) | 1 Months Ended | 12 Months Ended | ||||||||||||||
May 22, 2019 | Dec. 31, 2019 | Mar. 25, 2019 | Dec. 31, 2018 | Dec. 22, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 30, 2018 | Oct. 03, 2017 | Jul. 03, 2017 | Jan. 06, 2017 | Oct. 26, 2016 | Sep. 08, 2016 | Apr. 30, 2016 | Oct. 05, 2015 | Sep. 03, 2015 | |
Debt Conversion Converted Instrument, amount | $ 95,000 | |||||||||||||||
Debt conversion converted amount, accrued interest | $ 32,850 | |||||||||||||||
Debt Conversion Converted Instrument, shares issued | 2,099,701 | |||||||||||||||
Due to related party | $ 7,730 | $ 0 | ||||||||||||||
Convertible Note [Member] | ||||||||||||||||
Convertible notes, accrued interest | 140 | |||||||||||||||
Due to related party | 13,330 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | |||
Amount loaned to open bank account | 100 | |||||||||||||||
Payment of outstanding balance software development | 5,375 | |||||||||||||||
Outstanding balance | $ 2,750 | |||||||||||||||
Ownership percentage hold by related party | 37.00% | |||||||||||||||
Reimbursement funds | $ 495 | |||||||||||||||
Mr. Rheingrover [Member] | March 24, 2020 [Member] | ||||||||||||||||
Conversion price (in dollars per share) | $ 0.10 | |||||||||||||||
Royalty Agreement [Member] | Mr. Rheingrover [Member] | ||||||||||||||||
Convertible notes | $ 5,600 | $ 4,668 | $ 3,599 | $ 36,876 | $ 53,000 | $ 5,000 | $ 10,000 | $ 30,000 | $ 30,000 | $ 20,000 | $ 35,000 | $ 25,000 | $ 35,000 | |||
Rate of convertible note issued | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | |||
Conversion price (in dollars per share) | $ 0.15 | $ 0.15 | $ 0.15 | $ 0.15 | $ 0.15 | $ 0.15 | $ 0.15 | $ 0.15 | $ 0.15 | $ 0.15 | $ 0.10 | $ 0.05 | $ 0.05 | |||
Convertible notes, accrued interest | $ 10,729 | $ 9,089 | $ 13,031 | |||||||||||||
Shares to be [Member] | ||||||||||||||||
further sales of oils, Description | on future sales of essential oil products by the Company in the amount of $0.05/30ml up to $225,907. | |||||||||||||||
Debt Conversion Converted Instrument, amount | $ 193,143 | |||||||||||||||
Debt conversion converted amount, accrued interest | 32,764 | |||||||||||||||
Royalty Agreement Payable | $ 225,907 | $ 0 |
INVENTORY (Details Narrative)
INVENTORY (Details Narrative) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
INVENTORY | ||
Terms of agreement | Double Down entered into an agreement with MKJ Enterprises (Rogue Valley Naturals) to purchase 146 pounds of flower which was paid in full and will be stored and shipped to Double Down as needed for production purposes. Double Down also has an option for an additional 146 pounds at the 2019 price point. | |
Inventory Raw materials | $ 34,864 | $ 0 |
PROPERTY PLANT AND EQUIPMENT (D
PROPERTY PLANT AND EQUIPMENT (Details Narrative) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
PROPERTY PLANT AND EQUIPMENT | ||
Property, plant and equipment | $ 50,654 | $ 0 |
STOCK TRANSACTIONS (Details Nar
STOCK TRANSACTIONS (Details Narrative ) | 1 Months Ended | ||||||||||
Dec. 30, 2019USD ($)$ / sharesshares | Dec. 23, 2019USD ($)$ / sharesshares | Oct. 20, 2019USD ($)$ / sharesshares | Jul. 18, 2019USD ($)$ / sharesshares | Jul. 01, 2019USD ($)$ / sharesshares | Jun. 19, 2019USD ($)shares | Oct. 31, 2014USD ($)integer$ / sharesshares | Jan. 31, 2013USD ($)$ / sharesshares | Dec. 31, 2019shares | Sep. 13, 2019USD ($) | Dec. 31, 2018shares | |
Common stock, shares issued | 53,779,701 | 48,000,000 | |||||||||
Escrow deposit | $ | $ 18,000 | ||||||||||
Common stock, shares outstanding | 53,779,701 | 48,000,000 | |||||||||
Mr. Rheingrover [Member] | |||||||||||
Value of shares issued | $ | $ 49,500 | ||||||||||
Number of shares issued | 15,000,000 | ||||||||||
Per share amount of shares issued (in dollars per share) | $ / shares | $ 0.033 | ||||||||||
Number of independent shareholders | integer | 50 | ||||||||||
Convertible Note [Member] | Mr. Rheingrover [Member] | |||||||||||
Value of shares issued | $ | $ 1,000 | $ 22,000 | $ 66,000 | $ 30,000 | $ 250,000 | $ 127,850 | $ 33,000 | ||||
Number of shares issued | 10,000 | 220,000 | 660,000 | 300,000 | 2,500,000 | 2,099,701 | 33,000,000 | ||||
Per share amount of shares issued (in dollars per share) | $ / shares | $ 0.10 | $ 0.10 | $ 0.10 | $ 0.10 | $ 0.10 | $ 0.001 |
STOCKHOLDERS EQUITY (Details Na
STOCKHOLDERS EQUITY (Details Narrative) - USD ($) | Dec. 31, 2019 | Dec. 30, 2019 | Dec. 23, 2019 | Oct. 20, 2019 | Sep. 13, 2019 | Jul. 18, 2019 | Jul. 01, 2019 | Dec. 31, 2018 |
STOCKHOLDERS' EQUITY | ||||||||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 | ||||||
Common stock, shares authorized | 100,000,000 | 100,000,000 | ||||||
Common stock, shares issued | 53,779,701 | 48,000,000 | ||||||
Common stock, shares outstanding | 53,779,701 | 48,000,000 | ||||||
Escrow deposit | $ 18,000 |
PROVISION FOR INCOME TAXES (Det
PROVISION FOR INCOME TAXES (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
PROVISION FOR INCOME TAXES | ||
Accumulated loss before income taxes per financial statements | $ 132,978 | $ 55,617 |
Income tax rate | 21.00% | 21.00% |
Income tax recovery | $ (27,925) | $ (11,680) |
Permanent differences | 0 | 0 |
Temporary differences | 0 | 0 |
Valuation allowance change | $ 27,925 | $ 11,680 |
PROVISION FOR INCOME TAXES (D_2
PROVISION FOR INCOME TAXES (Details 1) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
PROVISION FOR INCOME TAXES | ||
Net operating loss carryforward | $ 118,244 | $ 90,138 |
Valuation Allowance | (118,244) | (90,138) |
Net deferred income tax asset | $ 0 | $ 0 |
PROVISION FOR INCOME TAXES (D_3
PROVISION FOR INCOME TAXES (Details Narrative ) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2017 | |
PROVISION FOR INCOME TAXES | ||
Net operating loss carry-forward | $ 562,348 | |
Net operating loss carry-forward expiration term | Twenty years from the date the loss was incurred | |
Reduction in deferred tax benefit due to change in tax rate | $ 31,400 | |
Tax rate description | The Tax Cuts and Jobs Act enacted on December 22, 2017, reduced the U.S. federal corporate tax rate from 35% to 21%. |