Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2020 | Apr. 27, 2020 | |
Document And Entity Information | ||
Entity Registrant Name | Regnum Corp. | |
Entity Central Index Key | 0001716324 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Entity Small Business | true | |
Entity Shell Company | false | |
Entity Emerging Growth Company | true | |
Entity Current Reporting Status | Yes | |
Document Period End Date | Mar. 31, 2020 | |
Entity Filer Category | Non-accelerated Filer | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2020 | |
Entity Ex Transition Period | false | |
Entity Common Stock Shares Outstanding | 23,950,000 | |
Entity File Number | 333-222083 | |
Entity Address Address Line 1 | 765 Beach Street | |
Entity Address Postal Zip Code | 94109 | |
Entity Tax Identification Number | 82-0832447 | |
Entity Address City Or Town | San Francisco | |
Local Phone Number | 496-6539 | |
City Area Code | 844 | |
Entity Address State Or Province | CA | |
Entity Interactive Data Current | Yes |
Balance Sheet
Balance Sheet - USD ($) | Mar. 31, 2020 | Dec. 31, 2019 |
CURRENT ASSETS | ||
Cash | $ 7,444 | |
Total Current Assets | 7,444 | |
OTHER ASSETS | ||
Intangible assets | 1,036 | 1,036 |
Total Other Assets | 1,036 | 1,036 |
TOTAL ASSETS | 1,036 | 8,480 |
CURRENT LIABILITIES | ||
Accounts payable | ||
Total Current Liabilities | ||
TOTAL LIABILITIES | ||
STOCKHOLDERS' EQUITY | ||
Preferred stock: $0.001 par value, 5,000,000 shares authorized, 0 issued and outstanding | ||
Common stock: $0.001 par value, 80,000,000 shares authorized, 23,950,000 and 22,950,000 shares issued and outstanding, respectively | 23,950 | 22,950 |
Additional paid-in capital | 71,150 | 18,550 |
Retained earnings (accumulated deficit) | (100,064) | (33,020) |
Total Stockholders' Equity | 1,036 | 8,480 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 1,036 | $ 8,480 |
Balance Sheet (Parenthetical)
Balance Sheet (Parenthetical) - $ / shares | Mar. 31, 2020 | Mar. 27, 2020 | Dec. 31, 2019 |
STOCKHOLDERS' EQUITY | |||
Preferred stock, shares par value | $ 0.001 | $ 0.001 | |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 | |
Preferred stock, shares issued | 0 | 0 | |
Preferred stock, shares outstanding | 0 | 0 | |
Common stock, shares par value | $ 0.001 | $ 0.001 | |
Common stock, shares authorized | 80,000,000 | 80,000,000 | |
Common stock, shares issued | 23,950,000 | 22,950,000 | |
Common stock, shares outstanding | 23,950,000 | 22,950,000 |
Statements of Operations (Unaud
Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Statements of Operations (Unaudited) | ||
REVENUES | $ 1,800 | |
OPERATING EXPENSES | ||
Amortization of intangible assets | 57 | |
Legal and professional fees | 6,877 | 24,621 |
General and administrative | 60,167 | 732 |
Total Operating Expenses | 67,044 | 25,410 |
INCOME (LOSS) FROM OPERATIONS | (67,044) | (23,610) |
OTHER EXPENSES | ||
INCOME (LOSS) BEFORE TAXES | (67,044) | (23,610) |
INCOME TAX EXPENSE | ||
NET INCOME (LOSS) | $ (67,044) | $ (23,610) |
BASIC AND DILUTED INCOME (LOSS) PER COMMON SHARE | $ 0 | $ 0 |
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING | 23,004,945 | 22,950,000 |
Statements of Stockholders' Equ
Statements of Stockholders' Equity (Deficit) (Unaudited) - USD ($) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings (Accumulated Deficit) [Member] |
Balance, amount at Dec. 31, 2018 | $ 44,060 | $ 22,950 | $ 18,550 | $ 2,560 |
Balance, shares at Dec. 31, 2018 | 22,950,000 | |||
Net loss | $ (23,610) | $ (23,610) | ||
Balance, shares at Mar. 31, 2019 | 22,950,000 | |||
Balance, amount at Mar. 31, 2019 | $ 20,450 | $ 22,950 | $ 18,550 | $ (21,050) |
Balance, amount at Dec. 31, 2019 | $ 8,480 | $ 22,950 | $ 18,550 | $ (33,020) |
Balance, shares at Dec. 31, 2019 | 22,950,000 | |||
Net loss | $ (67,044) | $ (67,044) | ||
Common shares issued for services rendered, shares | 1,000,000 | |||
Common shares issued for services rendered, amount | $ 59,600 | $ 1,000 | $ 58,600 | |
Balance, shares at Mar. 31, 2020 | 23,950,000 | |||
Balance, amount at Mar. 31, 2020 | $ 1,036 | $ 23,950 | $ 77,150 | $ (100,064) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
OPERATING ACTIVITIES | ||
Net (loss) | $ (67,044) | $ (23,610) |
Adjustments to reconcile net loss to net cash provided by operating activities: | ||
Common stock issued for services rendered | 59,600 | |
Amortization of intangible assets | 57 | |
Changes in operating assets and liabilities: | ||
Prepaid expenses | (3,409) | |
Net Cash Used In Operating Activities | (7,444) | (26,962) |
NET DECREASE IN CASH | (7,444) | (26,962) |
CASH AT BEGINNING OF PERIOD | (7,444) | 47,295 |
CASH AT END OF PERIOD | $ 20,333 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Mar. 31, 2020 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | The accompanying unaudited consolidated interim financial statements of Regnum Corp. (the “Company” or “Regnum”) have been prepared in accordance with accounting principles generally accepted in the United States of America and the rules of the Securities and Exchange Commission (“SEC”) and should be read in conjunction with the audited consolidated financial statements and notes thereto for the year ended December 31, 2019, contained in the Company’s annual report, as filed with the SEC on Form 10-K on April 14, 2020 (the “Form 10-K”). The December 31, 2019 balance sheet was derived from the audited financial statements of our 2019 Form 10-K. 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 interim periods presented, have been reflected herein. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted. It is suggested that these condensed financial statements be read in conjunction with the financial statements and notes thereto included in the Company’s December 31, 2019 financial statements. The results of operations for the periods ended March 31, 2020 and 2019 are not necessarily indicative of the operating results for the full year. Nature of Business The Company was organized on March 31, 2016, under the laws of the State of Nevada. The Company was formed for the primary business purpose of servicing the increasing demand for premium entertainment content and becoming a depository of unpublished intellectual properties for resale with a focus on achieving profitability and sustaining business growth. The Company’s business model is based on acquiring unproduced and unpublished quality intellectual properties at a discount from studios, agencies and production companies for subsequent recycling or production in wide variety of media with the intent to resell back to the entertainment community for a profit. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Basic Loss per Common Share Basic loss per share is calculated by dividing the Company’s net loss applicable to common shareholders by the weighted average number of common shares during the period. Diluted earnings per share is calculated by dividing the Company’s net income available to common shareholders by the diluted weighted average number of shares outstanding during the year. The diluted weighted average number of shares outstanding is the basic weighted number of shares adjusted for any potentially dilutive debt or equity. There are 80,000,000 common stock shares authorized at $0.001 par value and 23,950,000 shares of common stock outstanding as of March 31, 2020. The Company had no potential dilutive shares of common stock as of March 31, 2020. Accounting Basis The basis is accounting principles generally accepted in the United States of America. The Company has adopted a December 31 fiscal year-end. Cash and Cash Equivalents Cash and cash equivalents include cash in banks and financial instruments which mature within six months of the date of purchase. Revenue Recognition Revenues from the sale of intellectual property are recognized when persuasive evidence of an arrangement exists, the intellectual property has been delivered or is made available for delivery, the customer can begin the use of the intellectual property, the fee is fixed or determinable and collectability is reasonably assured, which is generally upon execution of a purchase agreement and delivery of the intellectual property. Intangible Assets The Company capitalizes the costs of acquiring intellectual property. The Company amortizes these costs over the costs in the same expected ratio as the associated ultimate revenue. Impairment of Long-Lived Assets The Company reviews and evaluates long-lived assets for impairment when events or changes in circumstances indicate that the related carrying amounts may not be recoverable. The assets are subject to impairment consideration under Accounting Standards Codification (ASC) 360-10-35-17 if events or circumstances indicate that their carrying amounts might not be recoverable. When the Company determines that an impairment analysis should be done, the analysis will be performed using rules of ASC 930-360-35, Asset Impairment, and 360-10-15-3 through 15-5, Impairment or Disposal of Long-Lived Assets. Income Taxes The Company provides for income taxes under ASC 740, Accounting for Income Taxes. ASC 740 requires the use of an asset and liability approach in accounting for income taxes. Deferred tax assets and liabilities are recorded based on the differences between the financial statement and tax bases of assets and liabilities and the tax rates in effect when these differences are expected to reverse. ASC 740 requires the reduction of deferred tax assets by a valuation allowance if, based on the weight of available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. If applicable, the Company would classify interest and penalties related to uncertain tax positions in income tax expense. Through March 31, 2020, there has been no interest expense or penalties related to unrecognized tax benefits. Recent Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02, Leases (Topic 842), which amends the existing accounting standards for leases. The new standard requires lessees to record a right-of-use (“ROU”) asset and a corresponding lease liability on the balance sheet (with the exception of short-term leases). This new standard is effective for annual reporting periods beginning after December 15, 2018, and interim reporting periods within those annual reporting periods, with early adoption permitted. We adopted this new standard effective January 1, 2019. Adoption did not have any effect on the Company. Management has considered all recent accounting pronouncements issued since the last audit of the Company’s financial statements. The Company’s management believes that these recent pronouncements will not have a material effect on the Company’s financial statements. |
GOING CONCERN
GOING CONCERN | 3 Months Ended |
Mar. 31, 2020 | |
GOING CONCERN | |
2. GOING CONCERN | The Company’s financial statements are prepared using generally accepted accounting principles in the United States of America applicable to a going concern which contemplates the realization of assets and liquidation of liabilities in the normal course of business. The Company has a limited operating history and has not yet established strong liquidity or a reliable ongoing source of revenues sufficient to cover its operating costs and allow it to continue as a going concern over an extended period of time. The ability of the Company to continue as a going concern is dependent on the Company obtaining adequate capital to fund operating losses until its operations become established enough to be considered reliably profitable. If the Company is unable to obtain adequate capital, it could be forced to cease operations. In order to continue as a going concern, the Company will need, among other things, additional capital resources. Management anticipates that the Company will be dependent, for the near future, on additional investment capital to fund operating expenses. The Company intends to position itself so that it may be able to raise additional funds through the capital markets. In light of management’s efforts, there are no assurances that the Company will be successful in this or any of its endeavors or become financially viable and continue as a going concern. The ability of the Company to continue as a going concern is dependent upon its ability to successfully accomplish the plans described in the preceding paragraph and eventually secure other sources of financing and attain profitable operations. These factors raise substantial doubts about the Company’s ability to continue as a going concern for one year from the issuance date from these financial statements. The accompanying financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern. |
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY | 3 Months Ended |
Mar. 31, 2020 | |
Equity [Abstract] | |
3. STOCKHOLDERS' EQUITY | As of March 31, 2020, the Company has authorized 80,000,000 shares of $0.001 par value common stock, of which 23,950,000 shares are issued and outstanding. As of March 31, 2020, the Company has authorized 5,000,000 shares of $0.001 par value preferred stock, of which none are issued and outstanding. On March 27, 2020, the Company issued 1,000,000 shares of common stock to an individual who served as a member of the Board of Directors of the Company from February 27, 2020 to March 27, 2020, as payment for services rendered. The shares were valued at $0.0596 per share, being the market closing price for the shares on the date of issuance. |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 3 Months Ended |
Mar. 31, 2020 | |
RELATED PARTY TRANSACTIONS | |
4. RELATED PARTY TRANSACTIONS | During the three months ended March 31, 2020, the Company paid $6,877 to its president and chief executive officer as compensation for executive services rendered through February 27, 2020. As of March 31, 2020, the Company has no financial obligations to related parties. |
INCOME TAXES
INCOME TAXES | 3 Months Ended |
Mar. 31, 2020 | |
INCOME TAXES | |
5. INCOME TAXES | Income tax expense consists of the following: March 31, 2020 2019 Federal $ - $ - State - - Total $ - $ - Income tax expense differed from the amounts computed by applying the U.S. federal statutory tax rate applicable to the Company’s level of pretax income as a result of the following: March 31, 2020 2019 Federal tax at statutory rate $ - $ - State taxes, net of federal benefit - - Net operating loss carryforward $ - $ - |
CONCENTRATION
CONCENTRATION | 3 Months Ended |
Mar. 31, 2020 | |
CONCENTRATION | |
6. CONCENTRATION | For the period from January 1, 2019 to March 31, 2020, revenues consisted of sales to five customers. |
SIGNIFICANT EVENTS
SIGNIFICANT EVENTS | 3 Months Ended |
Mar. 31, 2020 | |
SIGNIFICANT EVENTS | |
7. SIGNIFICANT EVENTS | Consulting Agreement On February 12, 2020, Tiffani Jones, the former sole director and officer of the Company, entered into a Consulting Agreement with the Company, whereby Ms. Jones agreed to perform consulting services on a part-time basis for thirty days (beginning February 12, 2020) for $3,750, plus the reimbursement of certain travel expenses. The agreement can be extended for up to two additional thirty-day periods for $3,750 each with the mutual consent of the parties. The agreement can be terminated by the Company at any time. As of March 31, 2020, the Company has paid Ms. Jones $6,877 pursuant to this consulting agreement. The agreement expired on March 13, 2020. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 3 Months Ended |
Mar. 31, 2020 | |
SUBSEQUENT EVENTS | |
8. SUBSEQUENT EVENTS | In accordance with ASC 855 Company management reviewed all material events through the date of this report and there are no material subsequent events to report. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Mar. 31, 2020 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Nature of Business | The Company was organized on March 31, 2016, under the laws of the State of Nevada. The Company was formed for the primary business purpose of servicing the increasing demand for premium entertainment content and becoming a depository of unpublished intellectual properties for resale with a focus on achieving profitability and sustaining business growth. The Company’s business model is based on acquiring unproduced and unpublished quality intellectual properties at a discount from studios, agencies and production companies for subsequent recycling or production in wide variety of media with the intent to resell back to the entertainment community for a profit. |
Use of Estimates | The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. |
Basic Loss per Common Share | Basic loss per share is calculated by dividing the Company’s net loss applicable to common shareholders by the weighted average number of common shares during the period. Diluted earnings per share is calculated by dividing the Company’s net income available to common shareholders by the diluted weighted average number of shares outstanding during the year. The diluted weighted average number of shares outstanding is the basic weighted number of shares adjusted for any potentially dilutive debt or equity. There are 80,000,000 common stock shares authorized at $0.001 par value and 23,950,000 shares of common stock outstanding as of March 31, 2020. The Company had no potential dilutive shares of common stock as of March 31, 2020. |
Accounting Basis | The basis is accounting principles generally accepted in the United States of America. The Company has adopted a December 31 fiscal year-end. |
Cash and Cash Equivalents | Cash and cash equivalents include cash in banks and financial instruments which mature within six months of the date of purchase. |
Revenue Recognition | Revenues from the sale of intellectual property are recognized when persuasive evidence of an arrangement exists, the intellectual property has been delivered or is made available for delivery, the customer can begin the use of the intellectual property, the fee is fixed or determinable and collectability is reasonably assured, which is generally upon execution of a purchase agreement and delivery of the intellectual property. |
Intangible Assets | The Company capitalizes the costs of acquiring intellectual property. The Company amortizes these costs over the costs in the same expected ratio as the associated ultimate revenue. |
Impairment of Long-Lived Assets | The Company reviews and evaluates long-lived assets for impairment when events or changes in circumstances indicate that the related carrying amounts may not be recoverable. The assets are subject to impairment consideration under Accounting Standards Codification (ASC) 360-10-35-17 if events or circumstances indicate that their carrying amounts might not be recoverable. When the Company determines that an impairment analysis should be done, the analysis will be performed using rules of ASC 930-360-35, Asset Impairment, and 360-10-15-3 through 15-5, Impairment or Disposal of Long-Lived Assets. |
Income Taxes | The Company provides for income taxes under ASC 740, Accounting for Income Taxes. ASC 740 requires the use of an asset and liability approach in accounting for income taxes. Deferred tax assets and liabilities are recorded based on the differences between the financial statement and tax bases of assets and liabilities and the tax rates in effect when these differences are expected to reverse. ASC 740 requires the reduction of deferred tax assets by a valuation allowance if, based on the weight of available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. If applicable, the Company would classify interest and penalties related to uncertain tax positions in income tax expense. Through March 31, 2020, there has been no interest expense or penalties related to unrecognized tax benefits. |
Recent Accounting Pronouncements | In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02, Leases (Topic 842), which amends the existing accounting standards for leases. The new standard requires lessees to record a right-of-use (“ROU”) asset and a corresponding lease liability on the balance sheet (with the exception of short-term leases). This new standard is effective for annual reporting periods beginning after December 15, 2018, and interim reporting periods within those annual reporting periods, with early adoption permitted. We adopted this new standard effective January 1, 2019. Adoption did not have any effect on the Company. Management has considered all recent accounting pronouncements issued since the last audit of the Company’s financial statements. The Company’s management believes that these recent pronouncements will not have a material effect on the Company’s financial statements. |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
INCOME TAXES | |
Schedule of Income tax expense | March 31, 2020 2019 Federal $ - $ - State - - Total $ - $ - |
Schedule of Income tax expense differed from amount computed by the U.S. federal statutory tax rate | March 31, 2020 2019 Federal tax at statutory rate $ - $ - State taxes, net of federal benefit - - Net operating loss carryforward $ - $ - |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - $ / shares | 3 Months Ended | |
Mar. 31, 2020 | Dec. 31, 2019 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||
Entity incorporation | Nevada | |
Entity incorporation, date of incorporation | Mar. 31, 2016 | |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 80,000,000 | 80,000,000 |
Common stock, shares outstanding | 23,950,000 | 22,950,000 |
STOCKHOLDERS' EQUITY (Details N
STOCKHOLDERS' EQUITY (Details Narrative) - $ / shares | 1 Months Ended | ||
Mar. 27, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 | |
Common stock, par value | $ 0.001 | $ 0.001 | |
Common stock, shares authorized | 80,000,000 | 80,000,000 | |
Common stock, shares issued | 23,950,000 | 22,950,000 | |
Common stock, shares outstanding | 23,950,000 | 22,950,000 | |
Preferred stock, shares par value | $ 0.001 | $ 0.001 | |
Preferred stock, shares issued | 0 | 0 | |
Preferred stock, shares outstanding | 0 | 0 | |
Board of Directors [Member] | |||
Common stock issued price per share | $ 0.0596 | ||
Common shares issued for services rendered, shares | 1,000,000 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($) | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Legal and professional fees | $ 6,877 | $ 24,621 |
President and chief executive officer [Member] | ||
Legal and professional fees | $ 6,877 |
INCOME TAXES (Details)
INCOME TAXES (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
INCOME TAXES | ||
Federal | ||
State | ||
Total |
INCOME TAXES (Details 1)
INCOME TAXES (Details 1) - USD ($) | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
INCOME TAXES | ||
Federal tax at statutory rate | ||
State taxes, net of federal benefit | ||
Net operating loss carryforward |
CONCENTRATION (Details Narrativ
CONCENTRATION (Details Narrative) | 3 Months Ended |
Mar. 31, 2020integer | |
CONCENTRATION (Details Narrative) | |
Number of customers | 5 |
SIGNIFICANT EVENTS (Details Nar
SIGNIFICANT EVENTS (Details Narrative) - Ms. Tiffani Jones [Member] - Consulting Agreement [Member] - USD ($) | 1 Months Ended | 3 Months Ended |
Feb. 12, 2020 | Mar. 31, 2020 | |
Payables to related party | $ 6,877 | |
Consulting services | $ 3,750 | |
Consulting agreement description | The agreement can be extended for up to two additional thirty-day periods for $3,750 each with the mutual consent of the parties. | |
Expiration date | Mar. 13, 2020 |