Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Dec. 31, 2017 | Feb. 13, 2018 | |
Document And Entity Information | ||
Entity Registrant Name | SEGUIN NATURAL HAIR PRODUCTS INC. | |
Entity Central Index Key | 1,642,363 | |
Document Type | 10-Q | |
Trading Symbol | SNHP | |
Document Period End Date | Dec. 31, 2017 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --03-31 | |
Entity a Well-known Seasoned Issuer | No | |
Entity a Voluntary Filer | No | |
Entity's Reporting Status Current | Yes | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 16,550,000 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2,018 |
Balance Sheets Unaudited
Balance Sheets Unaudited - USD ($) | Dec. 31, 2017 | Mar. 31, 2017 |
CURRENT ASSETS: | ||
Cash | $ 783 | $ 622 |
Total Current Assets | 783 | 622 |
Total Assets | 783 | 622 |
CURRENT LIABILITIES: | ||
Accrued expenses and other current liabilities | 17,731 | 2,249 |
Convertible note payable related party, net of unamortized discount | 38,506 | |
Convertible note payable | 10,000 | |
Promissory notes payable - related parties | 12,500 | |
Advances from stockholders | 236 | 236 |
Total Current Liabilities | 78,973 | 2,485 |
Total Liabilities | 78,973 | 2,485 |
COMMITMENTS AND CONTINGENCIES | ||
STOCKHOLDERS' DEFICIT: | ||
Common stock par value $0.0001: 500,000,000 shares authorized; 16,550,000 and 16,500,000 shares issued and outstanding as of December 31, 2017 and March 31, 2017; respectively | 1,655 | 1,650 |
Additional paid-in capital | 132,288 | 90,693 |
Accumulated deficit | (212,133) | (94,206) |
Total Stockholders' Deficit | (78,190) | (1,863) |
Total Liabilities and Stockholders' Deficit | $ 783 | $ 622 |
Balance Sheets Unaudited (Paren
Balance Sheets Unaudited (Parenthetical) - $ / shares | Dec. 31, 2017 | Mar. 31, 2017 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.0001 | $ 0.0001 |
Common stock, authorized | 500,000,000 | 500,000,000 |
Common stock, issued | 16,550,000 | 16,500,000 |
Common stock, outstanding | 16,550,000 | 16,500,000 |
Statements of Operations Unaudi
Statements of Operations Unaudited - USD ($) | 3 Months Ended | 9 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | |
Operating Expenses | ||||
Professional fees | $ 35,863 | $ 2,830 | $ 72,638 | $ 30,039 |
General and administrative expenses | 439 | 8,558 | 2,536 | 12,798 |
Total operating expenses | 36,302 | 11,388 | 75,174 | 42,837 |
Loss from Operations | (36,302) | (11,388) | (75,174) | (42,837) |
Other Expenses | ||||
Interest expense | (38,965) | (42,753) | ||
Total other expense | (38,965) | (42,753) | ||
Net Loss | $ (75,267) | $ (11,388) | $ (117,927) | $ (42,837) |
Net Loss per Common Share - Basic and Diluted (in dollars per share) | $ 0 | $ 0 | $ (0.01) | $ 0 |
Weighted average common shares outstanding: - basic and diluted (in shares) | 16,550,000 | 16,500,000 | 16,527,555 | 16,500,000 |
Statements of Cash Flows Unaudi
Statements of Cash Flows Unaudited - USD ($) | 9 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net loss | $ (117,927) | $ (42,837) |
Adjustments to reconcile net loss to net cash used in operating activities | ||
Stock based compensation | 5 | |
Amortization on debt discount | 37,306 | |
Changes in operating assets and liabilities: | ||
Prepaid Expenses | 2,280 | |
Accrued expenses and other current liabilities | 26,577 | |
Net cash used in operating activities | (54,039) | (40,557) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Proceeds from capital contribution | 1,000 | 19,330 |
Proceeds from related party convertible note | 30,700 | |
Proceeds from convertible note | 10,000 | |
Proceeds from promissory notes payable - related parties | 12,500 | |
Net cash provided by financing activities | 54,200 | 19,330 |
Net change in cash | 161 | (21,227) |
Cash at beginning of the reporting period | 622 | 21,781 |
Cash at end of the reporting period | 783 | 554 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOWS INFORMATION: | ||
Interest paid | ||
Income tax paid | ||
SUPPLIMENTAL DISCLOSURE OF NON-CASH TRANSACTIONS | ||
Debt discount recorded on convertible debt due to beneficial conversion feature | 40,595 | |
Expenses paid by related party on behalf of the company | $ 11,095 |
Organization
Organization | 9 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Organization | Note 1 - Organization Seguin Natural Hair Products Inc. Seguin Natural Hair Products Inc. (the “Company”) was incorporated on April 29, 2014 under the laws of the State of Nevada. Initial operations have included organization and incorporation, target market identification, marketing plans, capital formation and property acquisitions. A substantial portion of the Company’s activities has involved developing a business plan and establishing contacts and visibility in the marketplace. The Company has generated no revenues since inception. The Company intends to proceed in the business of developing, marketing, and selling shampoo, conditioner and other hair care products made from all-natural ingredients. |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Note 2 – Basis of Presentation The accompanying interim financial statements and related notes have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for the interim financial information, and with the rules and regulations of the United States Securities and Exchange Commission (“SEC”) to Form 10-Q and Article 8 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. The unaudited interim financial statements furnished reflect all adjustments (consisting of normal recurring accruals) which are, in the opinion of management, necessary to a fair statement of the results for the interim period presented. Unaudited interim results are not necessarily indicative of the results for the full fiscal year. These financial statements should be read in conjunction with the audited financial statements of the Company for the year ended March 31, 2017 and notes thereto contained in the Company’s Annual Report on Form 10-K filed with the SEC on July 13, 2017. |
Going Concern
Going Concern | 9 Months Ended |
Dec. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Going Concern | Note 3 – Going Concern The Company has elected to adopt early application of Accounting Standards Update No. 2014-15, “Presentation of Financial Statements—Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern (“ASU 2014-15”) The Company’s financial statements have been prepared assuming that it will continue as a going concern, which contemplates continuity of operations, realization of assets, and liquidation of liabilities in the normal course of business. As reflected in the financial statements, the Company had an accumulated deficit at December 31, 2017, a net loss and net cash used in operating activities for the reporting period then ended. These factors raise substantial doubt about the Company’s ability to continue as a going concern. The Company is attempting to commence operations and generate sufficient revenue; however, the Company’s cash position may not be sufficient to support its daily operations. While the Company believes in the viability of its strategy to commence operations and generate sufficient revenue and in its ability to raise additional funds, there can be no assurances to that effect. The ability of the Company to continue as a going concern is dependent upon its ability to further implement its business plan and generate sufficient revenue and in its ability to raise additional funds. The financial statements do not include any adjustments related to the recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern. |
Promissory Note - Related party
Promissory Note - Related party | 9 Months Ended |
Dec. 31, 2017 | |
Promissory Note - Related Party | |
Promissory Note - Related party | Note 4 – Promissory Note - Related party On October 31, 2017, the Company entered into a Promissory Note with an investor (the “Lender”) who has significant influence over the Company’s affairs for up to $1,400. Interest is 25% per annum and is payable on demand. There is no penalty for prepayment. On November 8, 2017, the Company entered into a Promissory Note with an investor who has significant influence over the Company’s affairs for $5,600. Interest is 25% per annum and is payable on demand. There is no penalty for prepayment. On December 11, 2017, the Company (the “Borrower”) entered into a Promissory Note Agreement (the “Note”) with an investor (the “Lender”) who has significant influence for up to $5,500 principal. The consideration of $5,500 with a 25% interest per annum is payable on demand. There is no penalty for prepayment. |
Convertible Note - Related part
Convertible Note - Related party | 9 Months Ended |
Dec. 31, 2017 | |
Convertible Note - Related Party | |
Convertible Note - Related party | Note 5 – Convertible Note - Related party On June 19, 2017, the Company (the “Borrower”) entered into a Promissory Note Agreement (the “Note”) with an investor (the “Lender”) who has significant influence for up to $7,000 principal. The consideration is $7,000 payable with a 60% interest per annum and will mature after one year from the date of the note. There is an interest penalty for prepayment before 180 days which ranges from 118%-148%. Conversion terms: From August 1 to Sep 30, 2017 the Company issued various promissory notes with an aggregate principal amount of $20,595, of which $11,095 was paid directly by the holder to pay for expenses on behalf of the Company. These borrowing were from an investor who has significant influence over the Company’s affairs. Interest is 25% per annum and is payable on demand. There is no penalty for prepayment. These promissory notes have since been modified to include conversion privileges, as per note 7 below. On October 9, 2017, the Company entered into a Promissory Note with an investor who has significant influence over the Company’s affairs for $3,000. Interest is 25% per annum and is payable on demand. There is no penalty for prepayment. Conversion terms: On November 14, 2017, the Company (the “Borrower”) entered into a Promissory Note Agreement (the “Note”) with an investor (the “Lender”) who has significant influence for up to $2,200. The consideration is $2,200 payable with a 12% interest per annum and payable on demand. In the event of any prepayment, the Borrower will pay to Lender 150% of the unpaid principal amount of this Note. Conversion terms: The Lender has the right at any time from time to time, following the 9 th ( Conversion Price . On November 20, 2017, the Company (the “Borrower”) entered into a Promissory Note Agreement (the “Note”) with an investor (the “Lender”) who has significant influence for up to $2,500. The consideration is $2,500 payable with a 12% interest per annum and payable on demand. In the event of any prepayment, the Borrower will pay to Lender 150% of the unpaid principal amount of this Note. Conversion terms: The Lender has the right at any time from time to time, following the 9 th ( Conversion Price On December 4, 2017, the Company (the “Borrower”) entered into a Promissory Note Agreement (the “Note”) with an investor (the “Lender”) who has significant influence for up to $6,500. The consideration is $6,500 payable with a 12% interest per annum and payable on demand. In the event of any prepayment, the Borrower will pay to Lender 150% of the unpaid principal amount of this Note. Conversion terms: The Lender has the right at any time from time to time, following the 9 th ( Conversion Price . The Company evaluated the convertible note for possible embedded derivatives and concluded that none exist. However, the Company concluded a portion of the note should be allocated to additional paid-in capital as a beneficial conversion feature at the issuance date, since the conversion price on that date was lower than the fair market value of the underlying stock. Resultantly, a discount of $30,595 was recognized during the nine months ended December 31, 2017 representing the intrinsic value of the beneficial conversion feature of the note, which amount is being amortized through the maturity date of the note. The amortization of the discount for the nine months ended December 31, 2017 is $27,306. |
Convertible Note
Convertible Note | 9 Months Ended |
Dec. 31, 2017 | |
Convertible Note | |
Convertible Note | Note 6 – Convertible Note On September 28, 2017, the Company entered into a Promissory Note Agreement with an investor for up to $10,000. Interest is 25% per annum and is payable on demand. There is no penalty for prepayment. The lenders have the right at any time from the effective date, to convert the outstanding and unpaid notes principal and interest due into the Company’s common shares. The conversion price is $0.0001 per share. The total number of shares due under any conversion notice will be equal to the conversion amount divided by the conversion price The Company evaluated the convertible note for possible embedded derivatives and concluded that none exist. However, the Company concluded a portion of the note should be allocated to additional paid-in capital as a beneficial conversion feature at the issuance date, since the conversion price on that date was lower than the fair market value of the underlying stock. Resultantly, a discount of $10,000 was recognized during the nine months ended December 31, 2017 representing the intrinsic value of the beneficial conversion feature of the note, which amount is being amortized through the maturity date of the note. The amortization of the discount for the nine months ended December 31, 2017 is $10,000. On October 6, 2017 this promissory note has since been modified to include conversion privileges, as per note 7 below. |
Modification of Promissory Note
Modification of Promissory Notes | 9 Months Ended |
Dec. 31, 2017 | |
Modification Of Promissory Notes | |
Modification of Promissory Notes | Note 7 - Modification of Promissory Notes On October 6, 2017, the Company amended previously issued promissory notes with an aggregate principal amount of $20,595 owed to an investor who has significant influence over the Company’s affairs and a promissory note with a principal amount of $10,000 owed to an investor whereby a conversion option was added to the notes. As of October 6, 2017, the lenders have the right at any time from the effective date, to convert the outstanding and unpaid notes principal and interest due into the Company’s common shares. The conversion price is $0.0001 per share. The total number of shares due under any conversion notice will be equal to the conversion amount divided by the conversion price, which is treated as debt extinguishment. |
Related Party Transactions
Related Party Transactions | 9 Months Ended |
Dec. 31, 2017 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Note 8 – Related Party Transactions Free Office Space The Company has been provided office space by its Chief Executive Officer at no cost. The management determined that such cost is nominal and did not recognize the rent expense in its financial statement. Shareholder Advances The balance owed to shareholders as of December 31, 2017 and March 31, 2017 was $236 and $236, respectively. The advances from shareholders are unsecured, non-interest bearing, and payable on demand. Contribution of Capital During the nine months ended December 31, 2017, Oivi Launonen, former CEO of the Company, made a total contribution of $1,000 on April 7, 2017. |
Change in control
Change in control | 9 Months Ended |
Dec. 31, 2017 | |
Change In Control | |
Change in control | Note 8 - Change in control On May 1, 2017, Glenn Similas, Jacob D. Madsen and Robert C. Laskowski, Attorney at Law, as nominee, (collectively, “Purchasers”) entered into a Stock Purchase Agreement with Oivi Launonen to purchase 12,000,000 shares of Common Stock(“Shares”) of the Company. The Shares were acquired as follows: Glenn Similas 792,000 shares Jacob D. Madsen 483,000 shares Robert C. Laskowski, as nominee holder 10,725,000 shares The Shares represent 72.72% of the issued and outstanding Common Stock of the Company based upon 16,500,000 shares of Common Stock issued and outstanding at the time of the acquisition. Effective August 1, 2017, Kimberly Wright was appointed as President, CEO, CFO, Treasurer, and Secretary of the Company and was appointed as currently the sole director of the Company. Ms. Wright’s initial executive compensation consists of a salary of $2,500 per month plus an annual common stock award of 50,000 shares with a value of $5 and accounted for as stock based compensation. |
Subsequent events
Subsequent events | 9 Months Ended |
Dec. 31, 2017 | |
Subsequent Events [Abstract] | |
Subsequent events | Note 9- Subsequent events (1) Convertible Note - Related party On January 26, 2018, the Company (the “Borrower”) entered into a Promissory Note Agreement (the “Note”) with an investor (the “Lender”) who has significant influence for up to $21,000. The consideration is $21,000 payable with a 12% interest per annum and payable on demand. Conversion terms: The Lender has the right at any time from time to time, following the 9 th ( Conversion Price On February 9, 2018, the Company (the “Borrower”) entered into a Promissory Note Agreement (the “Note”) with an investor (the “Lender”) who has significant influence for up to $4,000. The consideration is $4,000 payable with a 12% interest per annum and payable on demand. Conversion terms: The Lender has the right at any time from time to time, following the 9 th ( Conversion Price |
Change in control (Tables)
Change in control (Tables) | 9 Months Ended |
Dec. 31, 2017 | |
Change In Control | |
Schedule of shares acquired | On May 1, 2017, Glenn Similas, Jacob D. Madsen and Robert C. Laskowski, Attorney at Law, as nominee, (collectively, “Purchasers”) entered into a Stock Purchase Agreement with Oivi Launonen to purchase 12,000,000 shares of Common Stock(“Shares”) of the Company. The Shares were acquired as follows: Glenn Similas 792,000 shares Jacob D. Madsen 483,000 shares Robert C. Laskowski, as nominee holder 10,725,000 shares |
Promissory Note - Related par17
Promissory Note - Related party (Details Narrative) - Investor [Member] - USD ($) | Dec. 11, 2017 | Jun. 19, 2017 | Dec. 04, 2017 | Nov. 20, 2017 | Nov. 14, 2017 | Nov. 08, 2017 | Oct. 31, 2017 | Oct. 09, 2017 | Oct. 06, 2017 | Sep. 30, 2017 | Sep. 28, 2017 |
Promissory Note [Member] | |||||||||||
Promissory note principal amount | $ 10,000 | ||||||||||
Promissory Note Agreement [Member] | |||||||||||
Promissory note principal amount | $ 7,000 | $ 6,500 | $ 2,500 | $ 2,200 | $ 3,000 | $ 20,595 | $ 10,000 | ||||
Proceed from debt consideration | $ 7,000 | ||||||||||
Interest rate | 60.00% | 12.00% | 12.00% | 12.00% | 25.00% | 25.00% | 25.00% | ||||
Promissory Note Agreement [Member] | Promissory Note [Member] | |||||||||||
Promissory note principal amount | $ 5,500 | $ 5,600 | $ 1,400 | ||||||||
Proceed from debt consideration | $ 5,500 | ||||||||||
Interest rate | 25.00% | 25.00% | 25.00% |
Convertible Note - Related pa18
Convertible Note - Related party (Details Narrative) - USD ($) | Jun. 19, 2017 | Sep. 30, 2017 | Dec. 31, 2017 | Dec. 04, 2017 | Nov. 20, 2017 | Nov. 14, 2017 | Oct. 09, 2017 | Sep. 28, 2017 |
Proceeds from related party debt | $ 30,700 | |||||||
Amortization of debt discount | 37,306 | |||||||
Promissory Note Agreement [Member] | Investor [Member] | ||||||||
Principal amount | $ 7,000 | $ 20,595 | $ 6,500 | $ 2,500 | $ 2,200 | $ 3,000 | $ 10,000 | |
Proceed from debt consideration | $ 7,000 | |||||||
Proceeds from related party debt | $ 11,095 | |||||||
Maturity description | Mature after one year from the date of the note. | |||||||
Interest rate | 60.00% | 25.00% | 12.00% | 12.00% | 12.00% | 25.00% | 25.00% | |
Penalty for prepayment interest rate | 150.00% | 150.00% | 150.00% | |||||
Conversion price, per share (in dollars per share) | $ 0.0001 | $ 0.35 | $ 0.35 | $ 0.35 | $ 0.0001 | $ 0.0001 | ||
Intrinsic value of beneficial conversion feature | 30,595 | |||||||
Amortization of debt discount | $ 27,306 | |||||||
Promissory Note Agreement [Member] | Investor [Member] | Minimum [Member] | ||||||||
Penalty for prepayment interest rate | 118.00% | |||||||
Promissory Note Agreement [Member] | Investor [Member] | Maximum [Member] | ||||||||
Principal amount | $ 6,500 | $ 2,500 | $ 2,200 | |||||
Penalty for prepayment interest rate | 148.00% |
Convertible Note (Details Narra
Convertible Note (Details Narrative) - USD ($) | 9 Months Ended | |||||||
Dec. 31, 2017 | Dec. 04, 2017 | Nov. 20, 2017 | Nov. 14, 2017 | Oct. 09, 2017 | Sep. 30, 2017 | Sep. 28, 2017 | Jun. 19, 2017 | |
Amortization of debt discount | $ 37,306 | |||||||
Promissory Note Agreement [Member] | Investor [Member] | ||||||||
Principal amount | $ 6,500 | $ 2,500 | $ 2,200 | $ 3,000 | $ 20,595 | $ 10,000 | $ 7,000 | |
Interest rate | 12.00% | 12.00% | 12.00% | 25.00% | 25.00% | 25.00% | 60.00% | |
Conversion price, per share (in dollars per share) | $ 0.35 | $ 0.35 | $ 0.35 | $ 0.0001 | $ 0.0001 | $ 0.0001 | ||
Intrinsic value of beneficial conversion feature | 30,595 | |||||||
Amortization of debt discount | 27,306 | |||||||
Promissory Note Agreement [Member] | Investor [Member] | ||||||||
Intrinsic value of beneficial conversion feature | 10,000 | |||||||
Amortization of debt discount | $ 10,000 |
Modification of Promissory No20
Modification of Promissory Notes (Details Narrative) - Investor [Member] - Promissory Note [Member] | Oct. 06, 2017USD ($)$ / shares |
Promissory note principal amount | $ 10,000 |
Previously aggregate principal amount of promissory note | $ 20,595 |
Conversion price | $ / shares | $ 0.0001 |
Related Party Transactions (Det
Related Party Transactions (Details Narrative) - USD ($) | 9 Months Ended | |
Dec. 31, 2017 | Mar. 31, 2017 | |
Advances from stockholders | $ 236 | $ 236 |
Mr. Oivi Launonen [Member] | ||
Proceeds from contributed capital | $ 1,000 |
Change in control (Details)
Change in control (Details) - USD ($) | Aug. 01, 2017 | May 01, 2017 | Dec. 31, 2017 | Mar. 31, 2017 |
Percentage of shares issued and outstanding | 72.72% | |||
Common stock, issued | 16,550,000 | 16,500,000 | ||
Common stock, outstanding | 16,550,000 | 16,500,000 | ||
Stock based compensation | $ 5 | |||
Ms. Kimberly Wright [Member] | ||||
Salary, per month | $ 2,500 | |||
Annual common stock award | 50,000 | |||
Stock based compensation | $ 5 | |||
Stock Purchase Agreement [Member] | Mr. Oivi Launonen [Member] | ||||
Number of shares purchased | 12,000,000 | |||
Stock Purchase Agreement [Member] | Glenn Similas [Member] | ||||
Number of shares purchased | 792,000 | |||
Stock Purchase Agreement [Member] | Jacob D. Madsen [Member] | ||||
Number of shares purchased | 483,000 | |||
Stock Purchase Agreement [Member] | Robert C. Laskowski [Member] | ||||
Number of shares purchased | 10,725,000 |
Subsequent events (Details Narr
Subsequent events (Details Narrative) - Subsequent Event [Member] - Investor [Member] - Convertible Note [Member] - USD ($) | Feb. 09, 2018 | Jan. 26, 2018 |
Promissory note principal amount | $ 4,000 | $ 21,000 |
Proceed from debt consideration | $ 4,000 | $ 21,000 |
Interest rate | 12.00% | 12.00% |
Description of debt conversion | The Lender has the right at any time from time to time, following the 9 th The number of shares of Common Stock to be issued upon a conversion hereunder will be determined by dividing the Conversion Amount by Volume Weighted Average Price of the Common Stock as quoted by OTC Markets Group Inc. for the preceding five (5) trading days immediately preceding the date of conversion ( Conversion Price | The Lender has the right at any time from time to time, following the 9 th The number of shares of Common Stock to be issued upon a conversion hereunder will be determined by dividing the Conversion Amount by Volume Weighted Average Price of the Common Stock as quoted by OTC Markets Group Inc. for the preceding five (5) trading days immediately preceding the date of conversion ( Conversion Price |
Conversion price (in dollars per share) | $ 0.35 | $ 0.35 |