Document and Entity Information
Document and Entity Information | 9 Months Ended |
Sep. 30, 2018shares | |
Document And Entity Information | |
Entity Registrant Name | Frontier Digital Media Group, Inc. |
Entity Central Index Key | 0001643542 |
Document Type | 10-Q |
Document Period End Date | Sep. 30, 2018 |
Amendment Flag | false |
Current Fiscal Year End Date | --12-31 |
Entity Current Reporting Status | No |
Entity Interactive Data Current | No |
Entity Filer Category | Non-accelerated Filer |
Entity Small Business Flag | true |
Entity Emerging Growth Company | true |
Entity Ex Transition Period | false |
Entity Shell Company | true |
Entity Common Stock, Shares Outstanding | 5,524,400 |
Document Fiscal Period Focus | Q3 |
Document Fiscal Year Focus | 2018 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) | Sep. 30, 2018 | Dec. 31, 2017 |
Current assets | ||
Cash and cash equivalents | $ 3,425 | |
Assets of discontinued operation | 1,820 | |
Prepaid expenses | 3,000 | |
Total current assets | 3,000 | 5,245 |
Total assets | 3,000 | 5,245 |
Current liabilities | ||
Accounts payable | ||
Liabilities of Discontinued operation | 3,669 | |
Notes payable, related parties | 6,593 | 22,122 |
Current liabilities | 6,593 | 25,791 |
Notes payable | 5,000 | |
Total liabilities | 6,593 | 30,791 |
Stockholders' Deficit | ||
Common stock, $0.001 par value; 100,000,000 shares authorized; 5,524,400 shares issued and outstanding as of June 30, 2018, and December 31, 2017 | 5,524 | 5,524 |
Additional paid-in capital | 62,378 | 35,896 |
Accumulated deficit | (71,494) | (66,966) |
Total Stockholders' Deficit | (3,593) | (25,546) |
Total Liabilities and Stockholders' Deficit | $ 3,000 | $ 5,245 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2018 | Dec. 31, 2017 |
Statement of Financial Position [Abstract] | ||
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 5,524,400 | 5,524,400 |
Common stock, shares outstanding | 5,524,400 | 5,524,400 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | ||
Revenues | |||||
Revenue | |||||
Revenue, related parties | |||||
Total revenues | |||||
Operating expenses: | |||||
Cost of sales | |||||
Related party compensation | |||||
Professional fees | 3,500 | 3,500 | 17,313 | ||
Other general and administrative | 73 | 13 | 93 | 63 | |
Total operating expenses | 73 | 3,513 | 3,593 | 17,376 | |
Loss from continuing operations | (73) | (3,513) | (3,593) | (17,376) | |
(Loss) income from discontinuing operations | 3,367 | (935) | 1,117 | ||
Provision for income taxes | |||||
Net loss | $ (73) | $ (146) | $ (4,528) | $ (16,259) | |
Net Loss per common share | |||||
Basic and diluted | [1] | $ 0 | $ 0 | $ 0 | $ 0 |
Weighted average shares outstanding | |||||
Basic and diluted | 5,524,400 | 5,507,530 | 5,524,400 | 5,347,453 | |
[1] | denotes net loss per common share of less than $0.01 per share. |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Cash flows from operating activities: | ||
Net loss | $ (3,593) | $ (17,376) |
Changes in operating assets and liabilities: | ||
Accounts and other receivables | ||
Prepaid expenses | (3,000) | |
Accounts payable | ||
Accrued liabilities | ||
Accrued liabilities - related party | (15,529) | |
Net cash used in operating activities-continuing operation | (22,122) | (17,376) |
Net cash used in operating activities-discontinued operation | (2,785) | (6,973) |
Net cash used in operating activities | (24,907) | (24,349) |
Cash flows from investing activities: | ||
Net cash provided by (used in) investing activities | ||
Cash flows from financing activities: | ||
Proceeds from the sale of common stock | 22,370 | |
Payment to notes payable, related party | (5,000) | |
Contributions to additional paid-in capital | 26,482 | |
Net cash provided by financing activities | 21,482 | 22,370 |
Net increase (decrease) in cash and cash equivalents | (3,425) | (1,979) |
Cash and cash equivalents at beginning of period | 3,425 | 10,031 |
Cash and cash equivalents at end of period | 8,052 | |
Supplemental disclosure of cash flow information: | ||
Cash paid during the period for interest | ||
Cash paid during the period for income taxes |
Interim Financial Statements
Interim Financial Statements | 9 Months Ended |
Sep. 30, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Interim Financial Statements | Note 1 — Interim Financial Statements The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). Accordingly, these condensed consolidated financial statements do not include all of the information and footnotes required for audited annual financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary to make the condensed consolidated financial statements not misleading have been included. The balance sheet at December 31, 2017, has been derived from the Company’s audited consolidated financial statements as of that date. The unaudited condensed consolidated financial statements included herein should be read in conjunction with the audited consolidated financial statements and the notes thereto that are included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2017, that was filed with the SEC on July 2, 2018. The results of operations for the three and nine months ended September 30, 2018, are not necessarily indicative of the results to be expected for the full year. The unaudited condensed consolidated financial statements include the accounts of the Company and Smile Producer, Inc., its wholly owned subsidiary. Intercompany balances and transactions have been eliminated in consolidation. |
Going Concern
Going Concern | 9 Months Ended |
Sep. 30, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Going Concern | Note 2 — Going Concern The accompanying financial statements have been prepared assuming that the Company will continue as a going concern, which contemplates the realization of assets and the liquidation of liabilities in the normal course of business. The Company currently has limited operations and has a stockholders deficit of $3,593 with an accumulated deficit of $71,494. The Company intends to find a merger target in the form of an operating entity. The Company cannot be certain that it will be successful in this strategy. These factors, among others, raise substantial doubt about the Company’s ability to continue as a going concern. The accompanying financial statements do not include any adjustments that might result from the outcome of this uncertainty. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2018 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note 3 — Summary of Significant Accounting Policies The significant accounting policies followed by the Company for interim reporting are consistent with those included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2017. There were no material changes to our significant accounting policies during the interim period ended September 30, 2018. Recent Accounting Pronouncements We have reviewed all the recently issued, but not yet effective, accounting pronouncements and we do not believe any of these pronouncements will have a material impact on the Company. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), which issued new guidance related to leases that outlines a comprehensive lease accounting model and supersedes the current lease guidance. The new guidance requires lessees to recognize lease liabilities and corresponding right-of-use assets for all leases with lease terms of greater than 12 months. It also changes the definition of a lease and expands the disclosure requirements of lease arrangements. The new guidance must be adopted using the modified retrospective approach and will be effective for the Company in the fiscal year 2019. In May 2014 the FASB issued Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers (Topic 606), which supersedes all existing revenue recognition requirements, including most industry specific guidance. This new standard requires a company to recognize revenues when it transfers goods or services to customers in an amount that reflects the consideration that the company expects to receive for those goods or services. The FASB subsequently issued the following amendments to ASU No. 2014-09 that have the same effective date and transition date: ASU No. 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations; ASU No. 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing; ASU No. 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients; and ASU No. 2016-20, Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers. The Company adopted these amendments with ASU 2014-09 (collectively, the new revenue standards). Under the new revenue standards, the Company recognizes revenues when its customer obtains control of promised goods or services, in an amount that reflects the consideration which it expects to receive in exchange for those goods. The Company recognizes revenues following the five step model prescribed under ASU No. 2014-09: (i) identify contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenues when (or as) we satisfy the performance obligation. The new revenue standards became effective for the Company on January 1, 2018, and were adopted using the modified retrospective method. The adoption of the new revenue standards as of January 1, 2018 did not change the Company’s revenue recognition as there were no revenues during the period |
Notes Payable - Related Parties
Notes Payable - Related Parties | 9 Months Ended |
Sep. 30, 2018 | |
Debt Disclosure [Abstract] | |
Notes Payable - Related Parties | Note 4 — Notes Payable – Related Parties In September 2015, the Company issued a non-convertible promissory note payable to Venture Vest Capital Corporation, a related party, in the total amount of $8,000 to replace convertible notes payable issued in January 2015 and March 2015 to the same related party. The non-convertible promissory note had a maturity date of December 31, 2016 and was interest free until December 31, 2016. In January 2017, the promissory note was amended to extend the maturity date and the interest-free period to December 31, 2017. In December 2017, the promissory note was amended to extend the maturity date and the interest-free period to December 31, 2018. In September 2015, the Company issued a promissory note payable to Venture Vest Capital Corporation for $6,500. The promissory note had a maturity date of December 31, 2016 and was interest free until December 31, 2016. In January 2017, the promissory note was amended to extend the maturity date and the interest-free period to December 31, 2017. In December 2017, the promissory note was amended to extend the maturity date and the interest-free period to December 31, 2018. In March 2016, the Company issued a promissory note payable to Terayco Enterprises, a related party, for $7,622. The promissory note had a maturity date of December 31, 2016 and was interest free until December 31, 2016. In January 2017, the promissory note was amended to extend the maturity date and the interest-free period to December 31, 2017. In December 2017, the promissory note was amended to extend the maturity date and the interest-free period to December 31, 2018. On May 4, 2018, the former major shareholders Patrick Dunda and Janel Dunda sold their 5,000,000 shares (92.5%) of common stock to Mr. Kok Seng Yeap, and scine then, Mr. Kok Seng Yeap became the major shareholder of Exsular Financial Group, Inc. As part of the ownership change deal, the Company used portion of the proceeds from sale of the shares to pay off all the above notes. As of September 30, 2018, all the above notes were paid off. |
Other Related Party Transaction
Other Related Party Transactions | 9 Months Ended |
Sep. 30, 2018 | |
Related Party Transactions [Abstract] | |
Other Related Party Transactions | Note 5 — Other Related Party Transactions Related party revenue The Company provides services to certain customers that the Company has determined to be related parties. The president of these customers (VentureVest Capital Corporation, Terayco, Americans for Truth, and Carriage House) is the father of Janel Dunda, a principal of the Company. Revenues, generated from website design services, from these related parties were $0 and $960 for the nine months ended September 30, 2018 and 2017, respectively. As of September 30, 2018, and December 31, 2017, there was no accounts receivable due from related parties. Related party compensation An employee of the Company, Janel Dunda, is considered a related party as she is the spouse of the President and the majority shareholder of the Company. During the nine months ended September 30, 2018 and 2017, the Company incurred compensation expense of $0 and $26,488, respectively, for payroll expenses associated with Mrs. Dunda. Due to related party In the normal business operations, the major shareholder made payments for the Company’s operations. During the three and nine months ended September 30, 2019, the major shareholder paid $3,073 and $6,593, respectively. The related party payments for comparative periods in prior year were disclosed in Note 4 above. As of September 30, 2018 and December 31, 2017, the balances due to related party were $6,593 and $22,122, respectively. |
Stockholder Equity
Stockholder Equity | 9 Months Ended |
Sep. 30, 2018 | |
Equity [Abstract] | |
Stockholder Equity | Note 6 — Stockholder Equity Common Stock The Company is authorized to issue 100,000,000 shares of common stock, par value $0.001 per share. All shares of the Company’s common stock have equal rights and privileges with respect to voting, liquidation and dividend rights. Each share of Common Stock entitles the holder thereof to: a) One non-cumulative vote for each share held of record on all matters submitted to a vote of the stockholders; b) To participate equally and to receive any and all such dividends as may be declared by the Board of Directors out of funds legally available therefore; and c) To participate pro rata in any distribution of assets available for distribution upon liquidation. Stockholders have no pre-emptive rights to acquire additional shares of common stock or any other securities. Common shares are not subject to redemption and carry no subscription or conversion rights. All outstanding shares of common stock are fully paid and non-assessable. In 2015, the Company filed an S-1 Registration Statement to register 1,000,000 shares of the Company’s common stock to be sold to the public at the price of $0.05 per share for a total of $50,000. The Registration Statement became effective on December 30, 2015. During the six months ended June 30, 2017 and 2016, the Company sold 403,400 and 59,000 shares, respectively, at $0.05 per share for gross proceeds of $20,170 and $2,950, respectively. The shares were sold by the officers and Directors of the Company and no broker commissions were paid as a result of the sales. As of June 30, 2017, 480,400 shares of common stock have been sold pursuant to the S-1 Registration Statement at $0.05 per share for total gross proceeds of $24,020. There can be no assurances that additional shares of common stock will be sold on the S-1 offering or that a trading market will develop for the shares. As of September 30, 2018 and December 31, 2017, 5,524,400 shares of common stock were issued and outstanding. |
Discontinued Operations
Discontinued Operations | 9 Months Ended |
Sep. 30, 2018 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | Note 7 — Discontinued Operations At the beginning of 2018, the Company decided to discontinue the operations of its subsidiary Smile Producer, Inc. due to limited resources. The Company planned to seek more potential investors. The business conducted by Smile Producer Inc. was the only business the Company had, so the effect of this business discontinuation had substantial effect to the Company. Accounts payable At the beginning of 2018, the balance was $130 and as of September 30, 2018, it was fully paid off. Accrued expenses The balance of accrued expenses was $3,539 as of December 31, 2017, and the Company paid off all $3,539 during the period. As of September 30, 2018, the balance was $0. Loss on discontinuing operations For the three and nine-month ended September 30, 2018, the loss from discontinuing operations was $0 and $935, respectively. For the three and nine months ended September 30, 2017, the income from discontinued operations was 3,367 and 1,117, respectively. Presentation of financial statements The discontinued operations and the related components are presented separately on the financial statements in compliance with GAAP requirements for the period ended September 30, 2018. Accordingly, we have also reclassified some line items of the financial statements for the period ended September 30, 2017. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 8 — Subsequent Events The Company has evaluated subsequent events through the date of the filing of this interim report on Form 10-Q. Based on this evaluation, the Company did not identify any significant subsequent events that would be reportable except the following: In August 2019, the Company amended its articles of corporation and changed the name to Exsular Financial Group, Inc. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2018 | |
Accounting Policies [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements We have reviewed all the recently issued, but not yet effective, accounting pronouncements and we do not believe any of these pronouncements will have a material impact on the Company. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), which issued new guidance related to leases that outlines a comprehensive lease accounting model and supersedes the current lease guidance. The new guidance requires lessees to recognize lease liabilities and corresponding right-of-use assets for all leases with lease terms of greater than 12 months. It also changes the definition of a lease and expands the disclosure requirements of lease arrangements. The new guidance must be adopted using the modified retrospective approach and will be effective for the Company in the fiscal year 2019. In May 2014 the FASB issued Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers (Topic 606), which supersedes all existing revenue recognition requirements, including most industry specific guidance. This new standard requires a company to recognize revenues when it transfers goods or services to customers in an amount that reflects the consideration that the company expects to receive for those goods or services. The FASB subsequently issued the following amendments to ASU No. 2014-09 that have the same effective date and transition date: ASU No. 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations; ASU No. 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing; ASU No. 2016-12, Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients; and ASU No. 2016-20, Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers. The Company adopted these amendments with ASU 2014-09 (collectively, the new revenue standards). Under the new revenue standards, the Company recognizes revenues when its customer obtains control of promised goods or services, in an amount that reflects the consideration which it expects to receive in exchange for those goods. The Company recognizes revenues following the five step model prescribed under ASU No. 2014-09: (i) identify contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenues when (or as) we satisfy the performance obligation. The new revenue standards became effective for the Company on January 1, 2018, and were adopted using the modified retrospective method. The adoption of the new revenue standards as of January 1, 2018 did not change the Company’s revenue recognition as there were no revenues during the period |
Going Concern (Details Narrativ
Going Concern (Details Narrative) - USD ($) | Sep. 30, 2018 | Dec. 31, 2017 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Stockholders deficit | $ (3,593) | $ (25,546) |
Accumulated deficit | $ (71,494) | $ (66,966) |
Notes Payable - Related Parti_2
Notes Payable - Related Parties (Details Narrative) - USD ($) | May 04, 2018 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2017 | Jun. 30, 2016 |
Number of common stock shares sold | 1,000,000 | 403,400 | 59,000 | |||
Venture Vest Capital Corporation [Member] | Non-Convertible Promissory Note Payable [Member] | ||||||
Note payable | $ 8,000 | |||||
Debt maturity date | Dec. 31, 2016 | |||||
Debt description | In January 2017, the promissory note was amended to extend the maturity date and the interest-free period to December 31, 2017. In December 2017, the promissory note was amended to extend the maturity date and the interest-free period to December 31, 2018. | |||||
Venture Vest Capital Corporation [Member] | Promissory Note Payable [Member] | ||||||
Note payable | $ 6,500 | |||||
Debt maturity date | Dec. 31, 2016 | |||||
Debt description | In January 2017, the promissory note was amended to extend the maturity date and the interest-free period to December 31, 2017. In December 2017, the promissory note was amended to extend the maturity date and the interest-free period to December 31, 2018. | |||||
Terayco Enterprises [Member] | Promissory Note Payable [Member] | ||||||
Note payable | $ 7,622 | |||||
Debt maturity date | Dec. 31, 2016 | |||||
Debt description | In January 2017, the promissory note was amended to extend the maturity date and the interest-free period to December 31, 2017. In December 2017, the promissory note was amended to extend the maturity date and the interest-free period to December 31, 2018. | |||||
Patrick Dunda and Janel Dunda [Member] | ||||||
Number of common stock shares sold | 5,000,000 | |||||
Sale of Stock, Percentage of Ownership | 92.50% |
Other Related Party Transacti_2
Other Related Party Transactions (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |
Revenue, related party | |||||
Accounts receivable from related party | 0 | 0 | $ 0 | ||
Major shareholder paid | 3,073 | 6,593 | |||
Due to related party | $ 6,593 | 6,593 | $ 22,122 | ||
Janel Dunda [Member] | |||||
Compensation expense | 0 | 26,488 | |||
Website Design Services [Member] | |||||
Revenue, related party | $ 0 | $ 960 |
Stockholder Equity (Details Nar
Stockholder Equity (Details Narrative) - USD ($) | Jun. 30, 2017 | Dec. 31, 2015 | Jun. 30, 2017 | Jun. 30, 2016 | Sep. 30, 2018 | Dec. 31, 2017 |
Common stock, shares authorized | 100,000,000 | 100,000,000 | ||||
Common stock, par value | $ 0.001 | $ 0.001 | ||||
Common stock voting rights | One non-cumulative vote for each share held of record on all matters submitted to a vote of the stockholders; | |||||
Number of common stock sold | 1,000,000 | 403,400 | 59,000 | |||
Price per share | $ 0.05 | $ 0.05 | $ 0.05 | $ 0.05 | $ 0.05 | |
Number of common stock sold, value | $ 50,000 | $ 20,170 | $ 2,950 | |||
Common stock, shares issued | 5,524,400 | 5,524,400 | ||||
Common stock, shares outstanding | 5,524,400 | 5,524,400 | ||||
Common Stock [Member] | ||||||
Number of common stock sold | 480,400 | |||||
Price per share | $ 0.05 | $ 0.05 | ||||
Number of common stock sold, value | $ 24,020 |
Discontinued Operations (Detail
Discontinued Operations (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |
Discontinued Operations and Disposal Groups [Abstract] | |||||
Accounts payable | $ 130 | ||||
Payment of accounts payable | 130 | 130 | |||
Accrued expenses | 0 | 0 | $ 3,539 | ||
Payment of accrued expenses | 3,539 | 3,539 | |||
(Loss) income from discontinuing operations | $ 3,367 | $ (935) | $ 1,117 |