Cover
Cover - shares | 6 Months Ended | |
Jun. 30, 2022 | Aug. 04, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Jun. 30, 2022 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2022 | |
Current Fiscal Year End Date | --12-31 | |
Entity File Number | 000-55889 | |
Entity Registrant Name | Global Diversified Marketing Group Inc. | |
Entity Central Index Key | 0001725911 | |
Entity Tax Identification Number | 82-3707673 | |
Entity Incorporation, State or Country Code | DE | |
Entity Address, Address Line One | 4042 Austin Boulevard | |
Entity Address, Address Line Two | Suite B | |
Entity Address, City or Town | Island Park | |
Entity Address, State or Province | NY | |
Entity Address, Postal Zip Code | 11558 | |
City Area Code | 800 | |
Local Phone Number | 550-5996 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Elected Not To Use the Extended Transition Period | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 15,108,256 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 62,956 | $ 312,574 |
Accounts receivable | 240,671 | 174,579 |
Prepaid expenses | 51,500 | 51,984 |
Inventory | 315,445 | 664,337 |
Other assets | 999 | 999 |
Total current assets | 671,571 | 1,204,472 |
Property and equipment, net | 555 | 833 |
Operating lease right of use assets | 108,287 | 80,271 |
Other assets-security deposit | 1,600 | 1,600 |
Total assets | 782,013 | 1,287,175 |
Current liabilities: | ||
Accounts payable and accrued expense | 228,580 | 491,684 |
Current portion of operating lease payable | 19,043 | 13,508 |
Government loans payable | 529,065 | 529,065 |
Loans payable | 134,704 | 37,807 |
Total current liabilities | 911,392 | 1,072,063 |
Lease liabilities | 89,393 | 66,763 |
Total liabilities | 1,000,785 | 1,138,826 |
Commitments and contingencies | ||
Stockholders’ Equity(Deficit): | ||
Preferred stock, Series A $0.0001 par value, 1,000,000 shares authorized, 1,000 issued and outstanding | ||
Common stock, $0.0001 par value, 100,000,000 shares authorized; 15,108,256 and 14,473,256 issued and outstanding as of June 30, 2022 and December 31, 2021, respectively | 1,511 | 1,447 |
Additional paid-in capital | 27,813,737 | 27,688,665 |
Accumulated deficit | (28,035,915) | (27,543,659) |
Accumulated other comprehensive income | 1,895 | 1,895 |
Total stockholders’ equity(deficit) | (218,772) | 148,349 |
Total liabilities and equity | $ 782,013 | $ 1,287,175 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares | Jun. 30, 2022 | Dec. 31, 2021 |
Preferred stock, par value | $ 0.0001 | |
Preferred stock, shares authorized | 20,000,000 | |
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock shares, issued | 15,108,256 | 14,473,256 |
Common stock, shares outstanding | 15,108,256 | 14,473,256 |
Series A Preferred Stock [Member] | ||
Preferred stock, par value | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | 1,000 | 1,000 |
Preferred stock, shares outstanding | 1,000 | 1,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Income Statement [Abstract] | ||||
Sales, net | $ 560,724 | $ 556,579 | $ 893,608 | $ 1,379,979 |
Cost of goods sold | 411,065 | 316,856 | 635,617 | 805,709 |
Gross margin | 149,659 | 239,723 | 257,991 | 574,270 |
Operating expenses: | ||||
Payroll and taxes | 204,047 | 324,975 | 356,496 | 400,295 |
Legal and professional fees | 96,195 | 110,435 | 139,411 | 635,045 |
Rent | 35,764 | 4,356 | 41,009 | 8,712 |
Selling, general and administrative and expenses | 96,583 | 168,343 | 206,720 | 306,473 |
Total operating expenses | 432,589 | 608,109 | 743,636 | 1,350,525 |
Income (loss) from operations | (282,930) | (368,386) | (485,645) | (776,255) |
Other (expense) | ||||
Interest expense | (5,531) | (3,746) | (6,611) | (6,423) |
Total other (expense) | (5,531) | (3,746) | (6,611) | (6,423) |
Income (loss) before income taxes | (288,461) | (372,132) | (492,256) | (782,678) |
Provision for income taxes (benefit) | ||||
Net income(loss) | $ (288,461) | $ (372,132) | $ (492,256) | $ (782,678) |
Basic and diluted earnings (loss) per common share | $ (0.02) | $ (0.03) | $ (0.03) | $ (0.06) |
Weighted-average number of common shares outstanding: | ||||
Basic and diluted | 15,030,014 | 14,029,474 | 14,759,554 | 13,764,065 |
Comprehensive income (loss): | ||||
Unrealized gain on foreign exchange | $ 333 | $ (4,932) | ||
Comprehensive income (loss) | $ (288,461) | $ (371,799) | $ (492,256) | $ (787,610) |
Condensed Consolidated Statem_2
Condensed Consolidated Statement of Stockholders' Deficit (Unaudited) - USD ($) | Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Total |
Beginning balance, value at Dec. 31, 2020 | $ 1,313 | $ 26,267,208 | $ (26,329,779) | $ 9,892 | $ (51,366) | |
Begining balance, shares at Dec. 31, 2020 | 1,000 | 13,132,518 | ||||
Common stock issued for services | $ 35 | 485,503 | 485,538 | |||
Common stock issued for services, shares | 349,681 | |||||
Change in foreign currency translation | (5,265) | (5,265) | ||||
Common stock issued in private placements | $ 42 | 299,958 | 300,000 | |||
Common stock issued in private placements, shares | 415,628 | |||||
Net loss | (410,545) | (410,545) | ||||
Ending balance, value at Mar. 31, 2021 | $ 1,390 | 27,052,669 | (26,740,324) | 4,627 | 318,362 | |
Ending balance, shares at Mar. 31, 2021 | 1,000 | 13,897,827 | ||||
Beginning balance, value at Dec. 31, 2020 | $ 1,313 | 26,267,208 | (26,329,779) | 9,892 | (51,366) | |
Begining balance, shares at Dec. 31, 2020 | 1,000 | 13,132,518 | ||||
Change in foreign currency translation | (4,932) | |||||
Ending balance, value at Jun. 30, 2021 | $ 1,405 | 27,327,175 | (27,112,457) | 4,960 | 221,082 | |
Ending balance, shares at Jun. 30, 2021 | 1,000 | 14,047,006 | ||||
Beginning balance, value at Dec. 31, 2020 | $ 1,313 | 26,267,208 | (26,329,779) | 9,892 | $ (51,366) | |
Begining balance, shares at Dec. 31, 2020 | 1,000 | 13,132,518 | ||||
Common stock issued in private placements, shares | 1,340,738 | |||||
Ending balance, value at Dec. 31, 2021 | $ 1,447 | 27,688,665 | (27,543,659) | 1,895 | $ 148,349 | |
Ending balance, shares at Dec. 31, 2021 | 1,000 | 14,473,256 | ||||
Beginning balance, value at Mar. 31, 2021 | $ 1,390 | 27,052,669 | (26,740,324) | 4,627 | 318,362 | |
Begining balance, shares at Mar. 31, 2021 | 1,000 | 13,897,827 | ||||
Common stock issued for services | $ 15 | 274,506 | 274,521 | |||
Common stock issued for services, shares | 149,179 | |||||
Change in foreign currency translation | 333 | 333 | ||||
Net loss | (372,132) | (372,132) | ||||
Ending balance, value at Jun. 30, 2021 | $ 1,405 | 27,327,175 | (27,112,457) | 4,960 | 221,082 | |
Ending balance, shares at Jun. 30, 2021 | 1,000 | 14,047,006 | ||||
Beginning balance, value at Dec. 31, 2021 | $ 1,447 | 27,688,665 | (27,543,659) | 1,895 | 148,349 | |
Begining balance, shares at Dec. 31, 2021 | 1,000 | 14,473,256 | ||||
Common stock issued for services | $ 2 | 4,514 | 4,515 | |||
Common stock issued for services, shares | 15,000 | |||||
Net loss | (203,794) | (203,794) | ||||
Ending balance, value at Mar. 31, 2022 | $ 1,449 | 27,693,179 | (27,747,454) | 1,895 | (50,930) | |
Ending balance, shares at Mar. 31, 2022 | 1,000 | 14,488,256 | ||||
Beginning balance, value at Dec. 31, 2021 | $ 1,447 | 27,688,665 | (27,543,659) | 1,895 | 148,349 | |
Begining balance, shares at Dec. 31, 2021 | 1,000 | 14,473,256 | ||||
Change in foreign currency translation | ||||||
Ending balance, value at Jun. 30, 2022 | $ 1,511 | 27,813,737 | (28,035,915) | 1,895 | (218,772) | |
Ending balance, shares at Jun. 30, 2022 | 1,000 | 15,108,256 | ||||
Beginning balance, value at Mar. 31, 2022 | $ 1,449 | 27,693,179 | (27,747,454) | 1,895 | (50,930) | |
Begining balance, shares at Mar. 31, 2022 | 1,000 | 14,488,256 | ||||
Common stock issued for services | $ 62 | 120,558 | 120,620 | |||
Common stock issued for services, shares | 620,000 | |||||
Change in foreign currency translation | ||||||
Common stock issued in private placements, shares | 250,000 | |||||
Net loss | (288,462) | $ (288,462) | ||||
Ending balance, value at Jun. 30, 2022 | $ 1,511 | $ 27,813,737 | $ (28,035,915) | $ 1,895 | $ (218,772) | |
Ending balance, shares at Jun. 30, 2022 | 1,000 | 15,108,256 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Cash flows from operating activities | ||
Net income (loss) | $ (492,256) | $ (782,678) |
Adjustments to reconcile net loss to cash used in operating activities: | ||
Depreciation | 864 | 278 |
Stock-based compensation | 125,135 | 760,059 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (66,092) | (76,840) |
Prepaid expenses | 484 | 17,626 |
Right of use assets | (28,603) | 8,110 |
Inventory | 348,891 | (316,432) |
Other assets | 9,892 | |
Operating lease payable | 28,165 | (9,888) |
Accounts payable and accrued expenses | (263,104) | 110,412 |
Net cash (used in) operating activities | (346,516) | (279,461) |
Cash flows from financing activities: | ||
Increase (decrease) in loans payable, net | 96,898 | 45,109 |
Proceeds from private placements | 300,000 | |
Government loans | 29,165 | |
Net cash provided by financing activities | 96,898 | 374,274 |
Effect of exchange rates on cash and cash and cash equivalents | (4,932) | |
Net increase (decrease) in cash and cash equivalents | (249,618) | 94,813 |
Cash and cash equivalents at beginning of period | 312,574 | 62,555 |
Cash and cash equivalents at end of period | 62,956 | 152,436 |
Supplemental disclosure of cash flow information: | ||
Cash paid for interest | 6,611 | 6,423 |
Cash paid for income taxes |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Business Global Diversified Marketing Group Inc. (the “Company”), formerly known as Dense Forest Acquisition Corporation, was incorporated in Delaware December 1, 2017 19,500,000 20,000,000 0.0001 12,500,000 On November 26, 2018, the Company effected the acquisition of Global Diversified Holdings, Inc. (“GDHI”), a private New York company owned by the Company’s president, with the issuance of 200 Prior to the acquisition of GDHI, the Company had no business and no operations. Pursuant to the acquisition, the Company acquired the operations and business plan of GDHI, which imports and sells snack food products. For accounting purposes, GDHI is considered to be the acquirer, and the equity is presented as if the business combination had occurred on January 1, 2017. Basis of Presentation The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America and are presented in US dollars. Certain prior year amounts have been reclassified to conform to the presentation in the current year. The Company has adopted a December 31 year-end. Management’s Representation of Interim Financial Statements The accompanying unaudited condensed consolidated financial statements have been prepared by the Company without audit pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). The Company uses the same accounting policies in preparing quarterly and annual financial statements. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) have been condensed or omitted as allowed by such rules and regulations, and management believes that the disclosures are adequate to make the information presented not misleading. These condensed consolidated financial statements include all of the adjustments, which in the opinion of management are necessary to a fair presentation of financial position and results of operations. All such adjustments are of a normal and recurring nature. Interim results are not necessarily indicative of results for a full year. Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary. All intercompany accounts and transactions have been eliminated in consolidation. Fair Value of Financial Instruments The Company’s financial instruments consist of cash, accounts receivable from customers, accounts payable, and loans payable. The carrying amounts of these financial instruments approximates fair value due either to length of maturity or interest rates that approximate prevailing market rates unless otherwise disclosed in these financial statements. 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 balance sheet. Actual results could differ from those estimates. Stock-Based Compensation The Company accounts for stock-based compensation using the fair value method following the guidance outlined in Section 718-10 of the FASB Accounting Standards Codification for disclosure about Stock-Based Compensation. This Section requires a public entity to measure the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award (with limited exceptions). That cost will be recognized over the period during which an employee is required to provide service in exchange for the award- the requisite service period (usually the vesting period). No compensation cost is recognized for equity instruments for which employees do not render the requisite service. During the six months ended June 30, 2022 and June 30, 2021 stock-based compensation was $ 125,135 760,059 Cash and Cash Equivalents The Company considers all highly liquid investments with the original maturities of three months or less to be cash equivalents. On June 30, 2022, and December 31, 2021, the Company had $ 62,956 312,574 Factoring The Company accounts for the transfer of our accounts receivable to a third party under a factoring agreement in accordance with ASC 860-10-40-5 “ Transfers and Servicing 0 Accounts Receivable Accounts receivable are generated from sales of snack food products to retail outlets throughout the United States. The Company performs ongoing credit evaluations of its customers and adjusts credit limits based on customer payment and current creditworthiness, as determined by review of their current credit information. The Company continuously monitors credit limits for its customers and maintains a provision for estimated credit losses based on its historical experience and any specific customer issues that have been identified. An allowance for doubtful; accounts are provided against accounts receivable for amounts management believes may be uncollectible. The Company historically has not had issues collecting on its accounts receivable from its customers. The Company factors certain of its receivables to improve its cash flow. Bad debt expense for the three months ended June 30, 2022, and 2021 was $- 0 0 0 0 Inventory Inventory consists of snack food products and packaging supplies, and are stated at the lower of cost or market. Property and Equipment Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is calculated using the straight-line method over the estimated useful life of the assets. Maintenance, repairs, and renewals that do not materially add to the value of the equipment nor appreciably prolong its useful life are charged to expense as incurred. Revenue Recognition Beginning January 1, 2018, the Company implemented ASC 606, Revenue from Contracts with Customers. Although the new revenue standard is expected to have an immaterial impact, if any, on our ongoing net income, we did implement changes to our processes related to revenue recognition and the control activities within them. These included the development of new policies based on the five-step model provided in the new revenue standard, ongoing contract review requirements, and gathering of information provided for disclosures. The Company recognizes revenue from product sales or services rendered when control of the promised goods are transferred to our clients in an amount that reflects the consideration to which we expect to be entitled in exchange for those goods and services. To achieve this core principle we apply the following five steps: identify the contract with the client, identify the performance obligations in the contract, determine the transaction price, allocate the transaction price to performance obligations in the contract and recognize revenues when or as the Company satisfies a performance obligation. Advertising and Marketing Costs The Company’s policy regarding advertising and marketing is to record the expense when incurred. The Company incurred advertising and marketing expenses of $ 23,520 125,580 Impairment of Long-Lived Assets The Company continually monitors events and changes in circumstances that could indicate carrying amounts of long-lived assets may not be recoverable. When such events or changes in circumstances are present, the Company assesses the recoverability of long-lived assets by determining whether the carrying value of such assets will be recovered through undiscounted expected future cash flows. If the total of the future cash flows is less than the carrying amount of those assets, the Company recognizes an impairment loss based on the excess of the carrying amount over the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or the fair value less costs to sell. Income Taxes Income taxes are computed using the asset and liability method. Under the asset and liability method, deferred income tax assets and liabilities are determined based on the differences between the financial reporting and tax bases of assets and liabilities and are measured using the currently enacted tax rates and laws. A valuation allowance is provided for the amount of deferred tax assets that, based on available evidence, are not expected to be realized. The Company’s income tax returns are open for examination for up to the past three years under the statute of limitations. There are no tax returns currently under examination. Comprehensive Income The Company has established standards for reporting and display of comprehensive income, its components, and accumulated balances. When applicable, the Company would disclose this information on its Statement of Stockholders’ Equity. Comprehensive income comprises equity except those resulting from investments by owners and distributions to owners. During the six months ended June 30, 2022, Company had a balance of $ 1,895 Basic Income (Loss) Per Share Basic income (loss) per share has been calculated based on the weighted average number of shares of Common Stock outstanding during the period. Recent Accounting Pronouncements The Company does not expect the adoption of recently issued accounting pronouncements to have a significant impact on the Company’s results of operations, financial position, or cash flow. |
GOING CONCERN
GOING CONCERN | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
GOING CONCERN | NOTE 2 GOING CONCERN As of June 30, 2022, the Company had cash and cash equivalents of $ 62,956 239,822 28,035,915 |
CAPITAL STOCK
CAPITAL STOCK | 6 Months Ended |
Jun. 30, 2022 | |
Equity [Abstract] | |
CAPITAL STOCK | NOTE 3 – CAPITAL STOCK The Company has 100,000,000 0.0001 15,108,256 14,473,256 2022 Common Stock Issuances During the three months ended March 31, 2022 the Company issued 15,000 4,515 During the three months ended June 30, 2022 the Company issued 250,000 0.18 350,000 0.21 20,000 .106 2021 Common Stock Issuances During the year ended December 31, 2021, the Company issued a total of 1,340,738 800,110 871,341 125,000 250,250 These charges amounting to $ 1,121,591 932,591 189,000 Preferred Stock The Company has 20,000,000 0.0001 1,000,000 Each share of such stock shall vote with the Common Stock and have 100,000 votes. 1,000 |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 6 Months Ended |
Jun. 30, 2022 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | NOTE 4 – RELATED PARTY TRANSACTIONS During the six months ended June 30, 2022, and June 30, 2021, the Company incurred salary expense of $ 193,193 147,500 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 6 Months Ended |
Jun. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | NOTE 5 – COMMITMENTS AND CONTINGENCIES The Company renewed a 60 1,000 The lease requires monthly payments of $ 1,748 five year SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS OF OPERATING LEASE LIABILITY December 31, 2022 $ 20,980 December 31, 2023 21,137 December 31, 2024 21,771 December 31, 2025 22,425 December 31, 2026 17,194 Total $ 103,509 Under the guidelines of ASC 842, renewal of the lease at the end of its term was not considered probable. The Company record right of use assets and lease liabilities of $ 83,415 |
LOANS PAYABLE
LOANS PAYABLE | 6 Months Ended |
Jun. 30, 2022 | |
Debt Disclosure [Abstract] | |
LOANS PAYABLE | NOTE 6 – LOANS PAYABLE As of June 30, 2022 and December 31, 2021 the Company had the following loans payable SCHEDULE OF DEBT June 30, 2022 December 31,2021 Credit Line – Sterling (a) $ 31,923 $ 37,807 Credit Line-Loan Builder (b) 102,781 - Total loans payable $ 134,704 $ 37,807 (a) The maximum borrowing level under this unsecured facility is $ 100,000 2.5% (b) The maximum borrowing level on this facility is $ 125,000 10% |
CONCENTRATIONS
CONCENTRATIONS | 6 Months Ended |
Jun. 30, 2022 | |
Risks and Uncertainties [Abstract] | |
CONCENTRATIONS | NOTE 7 – CONCENTRATIONS The Company does substantially all of its business with 4 to 5 customers. These customers accounted for 91 % and 99% of revenues for the six months ended June 30, 2022, and 2021, respectively. SCHEDULE OF CONCENTRATION OF RISK June 30, 2022 June 30, 2021 Customer A 36 % 25 % Customer B 29 % 21 % Customer C 15 % 20 % Customer D 11 % 19 % Customer E - 14 % Total 91 % 99 % |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 6 Months Ended |
Jun. 30, 2022 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | NOTE 8 – SUBSEQUENT EVENTS On April 4, 2022, the Company issued 250,000 director of operations as a bonus on his one year anniversary of employment. 45,000 350,000 61,565 |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Nature of Business | Nature of Business Global Diversified Marketing Group Inc. (the “Company”), formerly known as Dense Forest Acquisition Corporation, was incorporated in Delaware December 1, 2017 19,500,000 20,000,000 0.0001 12,500,000 On November 26, 2018, the Company effected the acquisition of Global Diversified Holdings, Inc. (“GDHI”), a private New York company owned by the Company’s president, with the issuance of 200 Prior to the acquisition of GDHI, the Company had no business and no operations. Pursuant to the acquisition, the Company acquired the operations and business plan of GDHI, which imports and sells snack food products. For accounting purposes, GDHI is considered to be the acquirer, and the equity is presented as if the business combination had occurred on January 1, 2017. |
Basis of Presentation | Basis of Presentation The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in the United States of America and are presented in US dollars. Certain prior year amounts have been reclassified to conform to the presentation in the current year. The Company has adopted a December 31 year-end. Management’s Representation of Interim Financial Statements The accompanying unaudited condensed consolidated financial statements have been prepared by the Company without audit pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). The Company uses the same accounting policies in preparing quarterly and annual financial statements. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) have been condensed or omitted as allowed by such rules and regulations, and management believes that the disclosures are adequate to make the information presented not misleading. These condensed consolidated financial statements include all of the adjustments, which in the opinion of management are necessary to a fair presentation of financial position and results of operations. All such adjustments are of a normal and recurring nature. Interim results are not necessarily indicative of results for a full year. |
Principles of Consolidation | Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned subsidiary. All intercompany accounts and transactions have been eliminated in consolidation. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The Company’s financial instruments consist of cash, accounts receivable from customers, accounts payable, and loans payable. The carrying amounts of these financial instruments approximates fair value due either to length of maturity or interest rates that approximate prevailing market rates unless otherwise disclosed in these financial statements. |
Use of Estimates | 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 balance sheet. Actual results could differ from those estimates. |
Stock-Based Compensation | Stock-Based Compensation The Company accounts for stock-based compensation using the fair value method following the guidance outlined in Section 718-10 of the FASB Accounting Standards Codification for disclosure about Stock-Based Compensation. This Section requires a public entity to measure the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award (with limited exceptions). That cost will be recognized over the period during which an employee is required to provide service in exchange for the award- the requisite service period (usually the vesting period). No compensation cost is recognized for equity instruments for which employees do not render the requisite service. During the six months ended June 30, 2022 and June 30, 2021 stock-based compensation was $ 125,135 760,059 |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all highly liquid investments with the original maturities of three months or less to be cash equivalents. On June 30, 2022, and December 31, 2021, the Company had $ 62,956 312,574 |
Factoring | Factoring The Company accounts for the transfer of our accounts receivable to a third party under a factoring agreement in accordance with ASC 860-10-40-5 “ Transfers and Servicing 0 |
Accounts Receivable | Accounts Receivable Accounts receivable are generated from sales of snack food products to retail outlets throughout the United States. The Company performs ongoing credit evaluations of its customers and adjusts credit limits based on customer payment and current creditworthiness, as determined by review of their current credit information. The Company continuously monitors credit limits for its customers and maintains a provision for estimated credit losses based on its historical experience and any specific customer issues that have been identified. An allowance for doubtful; accounts are provided against accounts receivable for amounts management believes may be uncollectible. The Company historically has not had issues collecting on its accounts receivable from its customers. The Company factors certain of its receivables to improve its cash flow. Bad debt expense for the three months ended June 30, 2022, and 2021 was $- 0 0 0 0 |
Inventory | Inventory Inventory consists of snack food products and packaging supplies, and are stated at the lower of cost or market. |
Property and Equipment | Property and Equipment Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is calculated using the straight-line method over the estimated useful life of the assets. Maintenance, repairs, and renewals that do not materially add to the value of the equipment nor appreciably prolong its useful life are charged to expense as incurred. |
Revenue Recognition | Revenue Recognition Beginning January 1, 2018, the Company implemented ASC 606, Revenue from Contracts with Customers. Although the new revenue standard is expected to have an immaterial impact, if any, on our ongoing net income, we did implement changes to our processes related to revenue recognition and the control activities within them. These included the development of new policies based on the five-step model provided in the new revenue standard, ongoing contract review requirements, and gathering of information provided for disclosures. The Company recognizes revenue from product sales or services rendered when control of the promised goods are transferred to our clients in an amount that reflects the consideration to which we expect to be entitled in exchange for those goods and services. To achieve this core principle we apply the following five steps: identify the contract with the client, identify the performance obligations in the contract, determine the transaction price, allocate the transaction price to performance obligations in the contract and recognize revenues when or as the Company satisfies a performance obligation. |
Advertising and Marketing Costs | Advertising and Marketing Costs The Company’s policy regarding advertising and marketing is to record the expense when incurred. The Company incurred advertising and marketing expenses of $ 23,520 125,580 |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets The Company continually monitors events and changes in circumstances that could indicate carrying amounts of long-lived assets may not be recoverable. When such events or changes in circumstances are present, the Company assesses the recoverability of long-lived assets by determining whether the carrying value of such assets will be recovered through undiscounted expected future cash flows. If the total of the future cash flows is less than the carrying amount of those assets, the Company recognizes an impairment loss based on the excess of the carrying amount over the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or the fair value less costs to sell. |
Income Taxes | Income Taxes Income taxes are computed using the asset and liability method. Under the asset and liability method, deferred income tax assets and liabilities are determined based on the differences between the financial reporting and tax bases of assets and liabilities and are measured using the currently enacted tax rates and laws. A valuation allowance is provided for the amount of deferred tax assets that, based on available evidence, are not expected to be realized. The Company’s income tax returns are open for examination for up to the past three years under the statute of limitations. There are no tax returns currently under examination. |
Comprehensive Income | Comprehensive Income The Company has established standards for reporting and display of comprehensive income, its components, and accumulated balances. When applicable, the Company would disclose this information on its Statement of Stockholders’ Equity. Comprehensive income comprises equity except those resulting from investments by owners and distributions to owners. During the six months ended June 30, 2022, Company had a balance of $ 1,895 |
Basic Income (Loss) Per Share | Basic Income (Loss) Per Share Basic income (loss) per share has been calculated based on the weighted average number of shares of Common Stock outstanding during the period. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements The Company does not expect the adoption of recently issued accounting pronouncements to have a significant impact on the Company’s results of operations, financial position, or cash flow. |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS OF OPERATING LEASE LIABILITY | SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS OF OPERATING LEASE LIABILITY December 31, 2022 $ 20,980 December 31, 2023 21,137 December 31, 2024 21,771 December 31, 2025 22,425 December 31, 2026 17,194 Total $ 103,509 |
LOANS PAYABLE (Tables)
LOANS PAYABLE (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Debt Disclosure [Abstract] | |
SCHEDULE OF DEBT | As of June 30, 2022 and December 31, 2021 the Company had the following loans payable SCHEDULE OF DEBT June 30, 2022 December 31,2021 Credit Line – Sterling (a) $ 31,923 $ 37,807 Credit Line-Loan Builder (b) 102,781 - Total loans payable $ 134,704 $ 37,807 (a) The maximum borrowing level under this unsecured facility is $ 100,000 2.5% (b) The maximum borrowing level on this facility is $ 125,000 10% |
CONCENTRATIONS (Tables)
CONCENTRATIONS (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Risks and Uncertainties [Abstract] | |
SCHEDULE OF CONCENTRATION OF RISK | The Company does substantially all of its business with 4 to 5 customers. These customers accounted for 91 % and 99% of revenues for the six months ended June 30, 2022, and 2021, respectively. SCHEDULE OF CONCENTRATION OF RISK June 30, 2022 June 30, 2021 Customer A 36 % 25 % Customer B 29 % 21 % Customer C 15 % 20 % Customer D 11 % 19 % Customer E - 14 % Total 91 % 99 % |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||
Nov. 26, 2018 | Jun. 14, 2018 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items] | |||||||
State or Country of incorporation | DE | ||||||
Date of incorporation | Dec. 01, 2017 | ||||||
Common stock, shares outstanding | 15,108,256 | 15,108,256 | 14,473,256 | ||||
Common stock, par value | $ 0.0001 | $ 0.0001 | $ 0.0001 | ||||
Issuance of stock | 250,000 | 1,340,738 | |||||
Stock-based compensation | $ 125,135 | $ 760,059 | |||||
Cash | $ 62,956 | 62,956 | $ 312,574 | ||||
Loan payable due to factors | 0 | 0 | $ 0 | ||||
Bad debts expense | 0 | $ 0 | |||||
Allowance for doubtful accounts | $ 0 | $ 0 | 0 | 0 | |||
Advertising and marketing expenses | 23,520 | $ 125,580 | |||||
Unrealized gain due to foreign currency fluctuations | $ 1,895 | ||||||
Officers And Directors [Member] | |||||||
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items] | |||||||
Number of shares redeemed | 19,500,000 | ||||||
Common stock, shares outstanding | 20,000,000 | 20,000,000 | |||||
Common stock, par value | $ 0.0001 | $ 0.0001 | |||||
Paul Adler [Member] | |||||||
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items] | |||||||
Issuance of stock | 12,500,000 | ||||||
President [Member] | Global Diversified Holdings, Inc. [Member] | |||||||
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items] | |||||||
Issuance of stock for acquisitions | 200 |
GOING CONCERN (Details Narrativ
GOING CONCERN (Details Narrative) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Cash and cash equivalents | $ 62,956 | $ 312,574 |
Working capital deficit | 239,822 | |
Accumulated deficit | $ 28,035,915 | $ 27,543,659 |
CAPITAL STOCK (Details Narrativ
CAPITAL STOCK (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||||
Feb. 24, 2020 | Jun. 14, 2018 | Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Class of Stock [Line Items] | |||||||||
Common stock, shares authorized | 100,000,000 | 100,000,000 | 100,000,000 | ||||||
Common stock, par value | $ 0.0001 | $ 0.0001 | $ 0.0001 | ||||||
Common stock, shares issuance | 15,108,256 | 15,108,256 | 14,473,256 | ||||||
Common stock, shares outstanding | 15,108,256 | 15,108,256 | 14,473,256 | ||||||
Issuance of stock for service, value | $ 120,620 | $ 4,515 | $ 274,521 | $ 485,538 | |||||
Issuance of shares | 250,000 | 1,340,738 | |||||||
Share price | $ 0.18 | $ 0.18 | |||||||
Issuance of stock, value | $ 300,000 | ||||||||
Professional fees for service | $ 96,195 | $ 110,435 | $ 139,411 | $ 635,045 | |||||
Preferred stock, shares authorized | 20,000,000 | 20,000,000 | |||||||
Preferred stock, par value | $ 0.0001 | $ 0.0001 | |||||||
Series A Preferred Stock [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Preferred stock, shares authorized | 1,000,000 | 1,000,000 | 1,000,000 | 1,000,000 | |||||
Preferred stock, par value | $ 0.0001 | $ 0.0001 | $ 0.0001 | ||||||
Common stock, voting rights | Each share of such stock shall vote with the Common Stock and have 100,000 votes. | ||||||||
Shares Issued Service [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Charges, net | $ 1,121,591 | ||||||||
Professional fees for service | 932,591 | ||||||||
Payroll for services | $ 189,000 | ||||||||
Director [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Issuance of stock for service, shares | 15,000 | ||||||||
Issuance of stock for service, value | $ 4,515 | ||||||||
Share price | $ 0.21 | 0.21 | |||||||
Issuance of stock, value | $ 350,000 | ||||||||
Service Provider [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Issuance of stock for service, shares | 20,000 | ||||||||
Share price | $ 0.106 | $ 0.106 | |||||||
Consultants and One Employee [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Issuance of stock for service, shares | 800,110 | ||||||||
Issuance of stock for service, value | $ 871,341 | ||||||||
Four Independent Directors [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Issuance of stock for service, shares | 125,000 | ||||||||
Issuance of stock for service, value | $ 250,250 | ||||||||
Paul Adler [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Issuance of shares | 12,500,000 | ||||||||
Paul Adler [Member] | Series A Preferred Stock [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Issuance of super voting preferred stock, shares | 1,000 |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($) | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Chief Executive Officer [Member] | ||
Deferred Compensation Arrangement with Individual, Excluding Share-Based Payments and Postretirement Benefits [Line Items] | ||
Salary expense | $ 193,193 | $ 147,500 |
SCHEDULE OF FUTURE MINIMUM LEAS
SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS OF OPERATING LEASE LIABILITY (Details) | Jun. 30, 2022 USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
December 31, 2022 | $ 20,980 |
December 31, 2023 | 21,137 |
December 31, 2024 | 21,771 |
December 31, 2025 | 22,425 |
December 31, 2026 | 17,194 |
Total | $ 103,509 |
COMMITMENTS AND CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES (Details Narrative) | Oct. 01, 2021 USD ($) ft² | Jun. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) |
Lessee, operating lease, term of contract | 60 months | ||
Area of Land | ft² | 1,000 | ||
Lease description | The lease requires monthly payments of $1,748 for the first 24 months and after that increases by approximately 3% each year, and contains one five year renewal option. | ||
Payments for Rent | $ 1,748 | ||
Lease renewal term | 5 years | ||
Operating lease right of use assets | $ 108,287 | $ 80,271 | |
Accounting Standards Update 2016-02 [Member] | |||
Operating lease right of use assets | $ 83,415 |
SCHEDULE OF DEBT (Details)
SCHEDULE OF DEBT (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 | |
Short-Term Debt [Line Items] | |||
Total loans payable | $ 134,704 | $ 37,807 | |
Credit Line Sterling [Member] | |||
Short-Term Debt [Line Items] | |||
Total loans payable | [1] | 31,923 | 37,807 |
Credit Line Loan Builder [Member] | |||
Short-Term Debt [Line Items] | |||
Total loans payable | [2] | $ 102,781 | |
[1]The maximum borrowing level under this unsecured facility is $ 100,000 2.5% 125,000 10% |
SCHEDULE OF DEBT (Details) (Par
SCHEDULE OF DEBT (Details) (Parenthetical) | Jun. 30, 2022 USD ($) |
Credit Line Sterling [Member] | |
Short-Term Debt [Line Items] | |
Line of credit facility, maximum borrowing capacity | $ 100,000 |
Debt Instrument Interest Rate | 2.50% |
Credit Line Loan Builder [Member] | |
Short-Term Debt [Line Items] | |
Line of credit facility, maximum borrowing capacity | $ 125,000 |
Debt Instrument Interest Rate | 10% |
SCHEDULE OF CONCENTRATION OF RI
SCHEDULE OF CONCENTRATION OF RISK (Details) - Revenue Benchmark [Member] - Customer Concentration Risk [Member] | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Customer A [Member] | ||
Concentration Risk [Line Items] | ||
Total | 36% | 25% |
Customer B [Member] | ||
Concentration Risk [Line Items] | ||
Total | 29% | 21% |
Customer C [Member] | ||
Concentration Risk [Line Items] | ||
Total | 15% | 20% |
Customer D [Member] | ||
Concentration Risk [Line Items] | ||
Total | 11% | 19% |
Customer E [Member] | ||
Concentration Risk [Line Items] | ||
Total | 14% | |
Customer [Member] | ||
Concentration Risk [Line Items] | ||
Total | 91% | 99% |
SUBSEQUENT EVENTS (Details Narr
SUBSEQUENT EVENTS (Details Narrative) - Common Stock [Member] - USD ($) | Apr. 25, 2022 | Apr. 04, 2022 |
Director [Member] | ||
Number of shares, granted | 250,000 | |
Value of shares, granted | $ 45,000 | |
Four Directors [Member] | ||
Number of shares, granted | 350,000 | |
Value of shares, granted | $ 61,565 |