Item 1. Financial Statements
Notes to Interim Condensed Financial Statement
March 31, 2019 (unaudited)
NOTE 1 – BUSINESS AND CONTINUED OPERATIONS
ORGANIZATION
Global Seed Corporation (the “Company”)
was incorporated on July 13, 2010 in the State of Texas. A substantial portion of the Company’s initial business activities
had involved developing a business plan and establishing contacts and visibility in the Asian communities in Houston, Texas. The
Company had a change in control on June 2, 2018.
The fiscal year end of the Company is June 30.
NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
BASIS OF PRESENTATION
The accompanying interim financial statements
and related notes as of and for the three and nine months ended March 31, 2019 have been prepared in accordance with accounting
principles generally accepted in the United States of America (“U.S. GAAP”) for the financial information, and with
the rules and regulations of the United States Securities and Exchange Commission (“SEC”). The interim financial statements
furnished reflect all adjustments (consisting of normal recurring accruals) which are, in the opinion of management, necessary
to a fair statement of the results for the fiscal year presented.
The Company assumes that the users of the
interim financial information herein have read, or have access to, the audited financial statements for the preceding period, and
that the adequacy of additional disclosure needed for a fair presentation may be determined in that context.
USE OF ESTIMATES
The preparation of the Company’s
financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported
amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and
the reported amount of revenues and expenses during the reporting period.
CASH EQUIVALENTS
The Company considers all highly liquid
investments purchased with an original maturity of three months or less to be cash equivalents.
FAIR VALUE MEASUREMENTS
The Company adopted the provisions of ASC
Topic 820, “Fair Value Measurements and Disclosures”, which defines fair value as used in numerous accounting pronouncements,
establishes a framework for measuring fair value and expands disclosure of fair value measurements.
The estimated fair value of certain financial
instruments, including cash and cash equivalents, deposits, prepaid expenses, notes payable, and accrued expenses are carried at
historical cost basis, which approximates their fair values because of the short-term nature of these instruments.
ASC 820 defines fair value as the exchange
price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous
market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC 820 also establishes
a fair value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable
inputs when measuring fair value. ASC 820 describes three levels of inputs that may be used to measure fair value:
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Level 1 - quoted prices in active markets for Identical
assets or liabilities
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Level 2 - quoted prices for similar assets and liabilities
in active markets or inputs that are observable
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Level 3 - inputs that are unobservable (for example cash
flow modeling inputs based on assumptions)
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INCOME TAXES
The Company utilizes FASB ASC 740, “Income
Taxes,” which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of
events that have been included in the financial statements or tax returns. Under this method, deferred tax assets and liabilities
are determined based on the difference between the tax basis of assets and liabilities and their financial reporting amounts based
on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income.
A valuation allowance is recorded when in the opinion of management, it is “more likely-than-not” that a deferred tax
asset will not be realized.
The Company generated a deferred tax credit
through net operating loss carryforward. However, a valuation allowance of 100% has been established. Interest and penalties on
tax deficiencies recognized in accordance with ASC accounting standards are classified as income taxes in accordance with ASC Topic
740-10-50-19.
BASIC AND DILUTED NET LOSS PER SHARE
Net loss per share is calculated in accordance
with ASC 260, Earnings Per Share, for the period presented. Basic net loss per share is based upon the weighted average number
of common shares outstanding. Diluted net loss per share is based on the assumption that all dilative convertible shares and stock
options were converted or exercised. Dilution is computed by applying the treasury stock method. Under this method, options and
warrants are assumed exercised at the beginning of the period (or at the time of issuance, if later), and as if funds obtained
thereby were used to purchase common stock at the average market price during the period.
As of March 31, 2019, the Company had no potentially dilutive
securities.
INTANGIBLE ASSETS
When an intangible is purchased from another
entity, its value equals the cash or fair market value of the consideration given. The present value of payments on the liability
incurred or the fair value of the stock issued may also be used to value externally acquired intangible.
RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS
In May, 2016, the FASB issued ASU No. 2016-12,
Revenue from Contracts with Customers ( Topic 606): Narrow-Scope Improvements and Practical Expedients. The amendments in this
Update affect the guidance in Accounting Standards Update 2014-09, Revenue from Contracts with Customers ( Topic 606), which is
not yet effective. The effective date and transition requirements for the amendments in this Update are the same s the effective
date and transition requirements for Topic 606 (and any other Topic amended by Update 2014-09). Accounting Standards Update 2015-14,
Revenue from Contracts with Customers ( Topic 606): Deferral of the Effective Date, defers the effective date of Update 2014-09
by one year.
In March, 2016, the FASB issued ASU No.
2016-09, Compensation-Stock Compensation ( Topic 718): Improvements to Employee Share-Based Payment Accounting. For public business
entities, the amendments are effective for annual periods beginning after December 15, 2016, and interim periods within those annual
periods. For all other entities, the amendments re effective for annual periods beginning after December 15, 2017, and interim
periods within annual periods beginning after December 15, 2018. Early adoption is permitted for any entity in any interim or annual
periods. If an entity early adopts the amendments in an interim period, any adjustment should be reflected as of the beginning
of the fiscal year that includes that interim period. An entity that elects early adoption must adopt all of the amendments in
the same period.
NOTE 3 – GOING CONCERN
The Company’s financial statements
are prepared using U.S. GAAP applicable to a going concern, which contemplates the realization of assets and liquidation of liabilities
in the normal course of business. The Company had an accumulated deficit of $100,610 since inception through the period ended March
31, 2019. Management’s plans to continue as a going concern include raising additional capital through sales of common stock.
However, management cannot provide any assurances that the Company will be successful in accomplishing any of its plans. The ability
of the Company to continue as a going concern is dependent upon its ability to successfully accomplish the plans described above
and eventually secure other sources of financing and attain profitable operations. The accompanying financial statements do not
include any adjustments that might be necessary if the Company is unable to continue as a going concern.
NOTE 4 – COMMITMENTS AND CONTINGENCIES
The Company does not have any commitments
or contingencies. There were no legal proceedings against the Company with respect to matters arising in the ordinary course of
business. Neither the Company nor any of its officers or directors is involved in any other litigation either as plaintiffs or
defendants, and have no knowledge of any threatened or pending litigation against them or any of the officers or directors.
NOTE 5 – RELATED PARTY TRANSACTIONS
At March 31, 2019, $18,981 was due to a
related party. The Company imputed interest of $745 and $1,829 during the nine months ended March 31, 2019 and 2018. The balances
of amount to related party was $18,981 and $0 as of March 31, 2019 and June 30, 2018, respectively.
NOTE 6 – CAPITAL STOCK
No stock was issued in the nine months
ended March 31, 2019 and 2018. During the year ended June 30, 2018, $26,700 was forgiven resulting in an increase in additional
paid in capital of the same amount.
NOTE 7 – SUBSEQUENT
EVENTS
Management has evaluated subsequent events
through May 14, 2019. Based on its evaluation no events have occurred requiring adjustment or disclosure.