SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
[x] Quarterly Report Pursuant to Section 13 or 15(d) Securities Exchange Act of 1934 for Quarterly Period Ended March 31, 2012
-OR-
[ ] Transition Report Pursuant to Section 13 or 15(d) of the Securities And Exchange Act of 1934 for the transaction period from _________ to________
Commission File Number 000-50773
Creative Beauty Supply of New Jersey Corporation
(Exact name of Registrant
in its charter)
New Jersey |
| 56-2415242 |
(State or Other Jurisdiction of Incorporation or Organization) |
| (I.R.S. Employer Identification Number) |
266 Cedar Street, Cedar Grove, New Jersey |
| 07009 |
(Address of Principal Executive Offices |
| (Zip Code) |
Creative Beauty's Telephone Number, Including Area Code: |
| (973) 239-2952 |
Indicate by check mark whether the issuer (1) filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Yes [x] No [ ]
Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (section 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes [ ] No [ ]
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerate filer, or a small reporting company as defined by Rule 12b-2 of the Exchange Act):
Large accelerated filer [ ] |
| Non-accelerated filer [ ] |
Accelerated filer [ ] |
| Smaller reporting company [X] |
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes [x] No [ ]
The number of outstanding shares of the registrant's common stock, May 15, 2012: Common Stock 10,532,150
2
CREATIVE BEAUTY SUPPLY OF NEW JERSEY CORPORATION
FORM 10-Q
INDEX
PART 1 FINANCIAL INFORMATION
Item 1. Financial Statements (Unaudited) |
| Page |
|
|
|
Balance Sheets at March 31, 2012 and December 31, 2011 |
| 4 |
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|
|
Statements of Operations for the three months ended March 31, 2012 and 2011 |
| 5 |
|
|
|
Statements of Cash Flows for the three months ended March 31, 2012 and 2011 |
| 6 |
|
|
|
Notes to Financial Statements |
| 7 |
|
|
|
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations |
| 9 |
Item 3. Quantitative and Qualitative Disclosure About Market Risk |
| 10 |
Item 4. Controls and Procedures |
| 10 |
PART II - OTHER INFORMATION
Item 1. Legal Proceedings |
| 12 |
Item 1A. Risk Factors |
| 12 |
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds |
| 12 |
Item 3. Defaults Upon Senior Securities |
| 12 |
Item 4. Mine Safety Disclosure |
| 12 |
Item 5. Other Information |
| 12 |
Item 6. Exhibits |
| 12 |
|
|
|
SIGNATURES |
| 13 |
3
CREATIVE BEAUTY SUPPLY OF NEW JERSEY CORPORATION
BALANCE SHEETS
| March 31, | December 31, |
| 2012 | 2011 |
| (Unaudited) |
|
ASSETS | ||
| ||
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 162,522 | $ 168,668 |
TOTAL CURRENT ASSETS | 162,522 | 168,668 |
| ||
TOTAL ASSETS | $ 162,522 | $ 168,668 |
| ||
| ||
LIABILITIES AND STOCKHOLDERS EQUITY | ||
| ||
CURRENT LIABILITIES: | ||
Accounts payable | $ 11,218 | $ 4,929 |
Accrued expenses | 4,925 | 12,185 |
| ||
TOTAL CURRENT LIABILITIES | 16,143 | 17,114 |
| ||
TOTAL LIABILITIES | 16,143 | 17,114 |
| ||
COMMITMENTS AND CONTINGENCIES | ||
| ||
STOCKHOLDERS EQUITY: | ||
Preferred stock, par value $.001, | ||
authorized 10,000,000 shares, issued | ||
and outstanding -0- shares | - | - |
Common stock, par value $.001, | ||
authorized 10,000,000 shares, issued | ||
and outstanding 10,532,150 shares | 10,532 | 10,532 |
Additional paid-in capital | 776,109 | 776,109 |
Accumulated deficit | (640,262) | (635,087) |
TOTAL STOCKHOLDERS EQUITY | 146,379 | 151,554 |
| ||
TOTAL LIABILITIES AND STOCKHOLDERS EQUITY | $ 162,522 | $ 168,668 |
The accompanying notes are an integral part of these financial statements
4
CREATIVE BEAUTY SUPPLY OF NEW JERSEY CORPORATION
STATEMENTS OF OPERATIONS
(UNAUDITED)
| Three Months Ended | |
| March 31, | |
| 2012 | 2011 |
| ||
Revenues | $ - | $ - |
| ||
Operating Expenses: | ||
Professional fees | 4,817 | 6,700 |
Miscellaneous | 500 | 500 |
| ||
Total Operating Expenses | 5,317 | 7,200 |
| ||
Loss From Operations | (5,317) | (7,200) |
| ||
Other Income: | ||
Interest income | 142 | 178 |
Total Other Income | 142 | 178 |
| ||
| ||
Net Loss | $ (5,175) | $ (7,022) |
| ||
Earnings (loss) per share: | ||
Basic and diluted earnings per common share |
|
|
| ||
Basic and diluted weighted average common shares outstanding |
|
|
The accompanying notes are an integral part of these financial statements
5
CREATIVE BEAUTY SUPPLY OF NEW JERSEY CORPORATION
STATEMENTS OF CASH FLOWS
FOR THE THREE MONTHS ENDED MARCH 31, 2012 AND 2011
(UNAUDITED)
| 2012 | 2011 |
|
|
|
Net loss | $ (5,175) | $ (7,022) |
Adjustments to reconcile net loss to net cash provided by operating activities: | ||
Increase in accounts payable | 6,289 | 10,750 |
Decrease in accrued expenses | (7,260) | (8,925) |
Net cash used in operating activities | $ (6,146) | $ (5,197) |
NET DECREASE IN CASH AND CASH EQUIVALENTS | $ (6,146) | $ (5,197) |
|
|
|
CASH AND CASH EQUIVALENTS beginning of period | 168,668 | 152,241 |
| ||
CASH AND CASH EQUIVALENTS end of period | $ 162,522 | $ 147,044 |
|
|
|
|
|
|
|
|
|
Supplemental Disclosures of Cash Flow Information: |
|
|
Cash paid during year for: |
|
|
Income taxes | $ 500 | $ 500 |
|
|
|
Interest | $ -
| $ -
|
The accompanying notes are an integral part of these financial statements
6
CREATIVE BEAUTY SUPPLY OF NEW JERSEY CORPORATION
NOTES TO FINANCIAL STATEMENTS
MARCH 31, 2012 AND 2011
(UNAUDITED)
1. THE COMPANY
Creative Beauty Supply of New Jersey Corporation (the Company) was incorporated in the State of New Jersey on October 1, 2003. It was formed pursuant to a resolution of the board of directors of Creative Beauty Supply, Inc., (CBS) as a wholly-owned subsidiary of that company, a publicly traded New Jersey corporation. On January 1, 2004, the assets and liabilities of CBS were contributed at book value to the Company, and this subsidiary was then spun-off by CBS to its stockholders. This spin-off was consummated in contemplation of a merger, which occurred on March 19, 2004 between CBS and Global Digital Solutions, Inc. (Global), a Delaware corporation, whereby the former stockholders of CBS became the owners of 100 percent of the common stock of the Company.
On January 1, 2004, the Company commenced operations in the beauty supply industry at both the wholesale and retail levels. The Company sold cosmetic and beauty supplies to the general public and beauty salons in Northern and Central New Jersey. On November 30, 2008, the Companys Board of Directors approved a plan to dispose of its wholesale and retail beauty supply business. The plan was completed on January 1, 2009.
The Companys current business plan is to attempt to identify and negotiate with a business target for the merger of that entity with and into the Company. In certain instances, a target company may wish to become a subsidiary of the Company or wish to contribute assets to the Company rather than merge.
No assurance can be given that the Company will be successful in identifying or negotiating with any target company. The Company provides a means for a foreign or domestic private company to become a reporting (public) company whose securities would be qualified for trading in the United States secondary market.
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Interim Financial Statement Presentation
The December 31, 2011 balance sheet data was derived from audited financial statements but does not include all disclosures required by generally accepted accounting principles. In the opinion of management, the accompanying unaudited financial statements contain all normal and recurring adjustments necessary to present fairly the financial position of
7
CREATIVE BEAUTY SUPPLY OF NEW JERSEY CORPORATION
NOTES TO FINANCIAL STATEMENTS
MARCH 31, 2012 AND 2011
(UNAUDITED)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
the Company as of March 31, 2012, its results of operations for the three months ended March 31, 2012 and 2011 and its cash flows for the three months ended March 31, 2012 and 2011.
The statements of operations for the three months ended March 31, 2012 and 2011 are not necessarily indicative of the results for the full year.
While the Company believes that the disclosures presented are adequate to make the information not misleading, these financial statements should be read in conjunction with the financial statements and accompanying notes included in the Companys annual Report on Form 10-K for the year ended December 31, 2011.
Loss Per Share
The Company computes loss per share in accordance with Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) 260,Earnings Per Share. Basic earnings per share is computed by dividing income available to common stockholders by the weighted average number of common shares outstanding, Diluted earnings per share reflects the potential dilution that could occur if securities or other agreements to issue common stock were exercised or converted into common stock. Diluted earnings per share is computed based upon the weighted average number of common shares and dilutive common equivalent shares outstanding, which includes convertible debentures, stock options and warrants. There were no dilutive common stock equivalents for all periods presented.
Fair Value of Financial Instruments
The carrying amounts reported in the balance sheet for cash and cash equivalents, accounts payable and accrued expenses approximate fair value based on the short-term maturity of these instruments.
Recently Issued Accounting Standards
Management does not believe that any recently issued but not yet effective accounting standards, if currently adopted, would have a material effect on the accompanying financial statements.
8
CREATIVE BEAUTY SUPPLY OF NEW JERSEY CORPORATION
NOTES TO FINANCIAL STATEMENTS
MARCH 31, 2012 AND 2011
(UNAUDITED)
3. SUBSEQUENT EVENTS
The Company has evaluated subsequent events through the date that the financials were issued.
9
Item 2. Managements Discussion and Analysis of Financial Condition and Results of Operations
Forward-Looking Statements
This Form 10-Q contains forward-looking statements within the meaning of the federal securities laws. These statements include those concerning the following: Our intentions, beliefs and expectations regarding the fair value of all assets and liabilities recorded; our strategies; growth opportunities; product development and introduction relating to new and existing products; the enterprise market and related opportunities; competition and competitive advantages and disadvantages; industry standards and compatibility of our products; relationships with our employees; our facilities, operating lease and our ability to secure additional space; cash dividends; excess inventory, our expenses; interest and other income; our beliefs and expectations about our future success and results; our operating results; our belief that our cash and cash equivalents will be sufficient to satisfy our anticipated cash requirements, our expectations regarding our revenues and customers; investments and interest rates. These statements are subject to risk and uncertainties that could cause actual results and events to differ materially.
Creative NJ undertakes no obligation to update forward-looking statements to reflect events or circumstances occurring after the date of this Form 10-Q.
Critical Accounting Policies
The financial statements and accompanying footnotes included in this report has been prepared in accordance with accounting principles generally accepted in the United States with certain amounts based on managements best estimates and judgments. To determine appropriate carrying values of assets and liabilities that are not readily available from other sources, management uses assumptions based on historical results and other factors they believe are reasonable. Actual results could differ from those estimates.
Our critical accounting policies are described in our Annual Report on Form 10-K for the year ended December 31, 2011. There have been no material changes to our critical accounting policies as of and for the three months ended March 31, 2012.
Trends and Uncertainties
There are no material commitments for capital expenditure at this time. There are no trends, events or uncertainties that have had or are reasonably expected to have a material impact on our limited operations. There are no known causes for any material changes from period to period in one or more line items of Creative NJs financial statements.
10
Liquidity and Capital Resources
At March 31, 2012, Creative Beauty Supply of New Jersey Corporation (Creative NJ or the Company) had a cash balance of $162,522, which represents a $6,146 decrease from the $168,668 balance at December 31, 2011. This decrease was primarily the result of cash used to satisfy the requirements of a reporting company. Creative NJs working capital balance at March 31, 2012 was $146,379, as compared to a December 31, 2011 balance of $151,554.
The focus of Creative NJs efforts is to acquire or develop an operating business. Despite no active operations at this time, management intends to continue in business and has no intention to liquidate Creative NJ. Creative NJ has considered various business alternatives including the possible acquisition of an existing business, but to date has found possible opportunities unsuitable or excessively priced. Creative NJ does not contemplate limiting the scope of its search to any particular industry. Management has considered the risk of possible opportunities as well as their potential rewards. Management has invested time evaluating several proposals for possible acquisition or combination; however, none of these opportunities were pursued. Creative NJ presently owns no real property and at this time has no intention of acquiring any such property. Creative NJs sole expected expenses are comprised of professional fees primarily incident to its reporting requirements.
Results of Operations for the Three Months Ended March 31, 2012 compared to the Three Months Ended March 31, 2011.
Creative NJ incurred a net loss of $5,175 in the current period versus a net loss of $7,022 in the prior period. Operating expenses were incurred primarily to enable Creative NJ to satisfy the requirements of a reporting company. For the three months ended March 31, 2012 and 2011, professional fees necessary to remain a reporting company were $4,747 and $6,700, respectively.
During the current and prior period, Creative NJ did not record an income tax benefit due to the uncertainty associated with Creative NJs ability to merge with an operating company, which might permit Creative NJ to avail itself of those advantages.
Item 3. Quantitative and Qualitative Disclosures About Market Risk
Not applicable for a smaller reporting company.
Item 4. Controls and Procedures.
During the three months ended March 31, 2012, there were no changes in our internal controls over financial reporting (as defined in Rule 13a-15(f) and 15d-15(f) under the Exchange Act) that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.
11
Evaluation of Disclosure Controls and Procedures
Under the supervision and with the participation of our management, including our chief executive officer and chief financial officer, we conducted an evaluation of our disclosure controls and procedures, as such term is defined under Rule 13a-15(e) and Rule 15d-15(e) promulgated under the Securities Exchange Act of 1934, as amended, as of March 31, 2012. Based on this evaluation, our chief executive officer and chief principal financial officers have concluded such controls and procedures to be effective as of March 31, 2012 to ensure that information required to be disclosed by the issuer in the reports that it files or submits under the Act is recorded, processed, summarized and reported, within the time periods specified in the Commission's rules and forms and to ensure that information required to be disclosed by an issuer in the reports that it files or submits under the Act is accumulated and communicated to the issuer's management, including its principal executive and principal financial officers, or persons performing similar functions, as appropriate to allow timely decisions regarding required disclosure.
12
Item 1. Legal Proceedings
Item 1A. Risk Factors
Not applicable for smaller reporting company.
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds
None
Item 3. Defaults Upon Senior Securities
Item 4. Mine Safety Disclosures
Not Applicable
Item 5. Other Information
Item 6. Exhibits
Exhibit 31* - Certifications pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
Exhibit 32* - Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
101.INS** XBRL Instance Document
101.SCH** XBRL Taxonomy Extension Schema Document
101.CAL** XBRL Taxonomy Extension Calculation Linkbase Document
101.LAB** XBRL Taxonomy Extension Label Linkbase Document
101.PRE** XBRL Taxonomy Extension Presentation Linkbase Document
* Filed herewith
**XBRL (Extensible Business Reporting Language) information is furnished and not filed or a part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, is deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and otherwise is not subject to liability under these sections.
13
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this Report to be signed on its behalf by the undersigned thereunto duly authorized.
Dated: May 15, 2012
CREATIVE BEAUTY SUPPLY OF NEW JERSEY CORPORATION
By: /s/Carmine Catizone
Carmine Catizone,
/s/Daniel Generelli
Daniel Generelli,
Chief Financial Officer
14
302 CERTIFICATION
I, Carmine Catizone, certify that:
1. I have reviewed this amended quarterly report on Form 10-Q of Creative Beauty Supply of New Jersey Corporation;
2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4. The registrant's other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal controls over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under my supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report, our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
d) Disclosed in this report any change in the registrants internal control over financial reporting that occurred during the registrants most recent fiscal quarter (the registrants fourth fiscal quarter in case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrants internal control over financial reporting; and
5. The registrant's other certifying officers and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of registrant's board of directors (or persons performing the equivalent functions):
a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal controls over financial reporting.
Date: May 15, 2012
/s/Carmine Catizone
Carmine Catizone
President/Chief Executive Officer
302 CERTIFICATION
I, Daniel Generelli, certify that:
1. I have reviewed this amended quarterly report on Form 10-Q of Creative Beauty Supply of New Jersey Corporation;
2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4. The registrant's other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal controls over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under my supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report, our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
d) Disclosed in this report any change in the registrants internal control over financial reporting that occurred during the registrants most recent fiscal quarter (the registrants fourth fiscal quarter in case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrants internal control over financial reporting; and
5. The registrant's other certifying officers and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of registrant's board of directors (or persons performing the equivalent functions):
a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal controls over financial reporting.
Date: May 15, 2012
/s/Daniel Generelli
Daniel Generelli, CFO
CERTIFICATION PURSUANT TO
18 U.S.C. SECTION 1350
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
In connection with the amended Quarterly Report of Creative Beauty Supply of New Jersey Corporation (the "Company") on Form 10-Q for the quarter ended March 31, 2012 as filed with the Securities and Exchange Commission on the date hereof (the "Report"), I, Carmine Catizone, Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:
(1) The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
(2) The information contained in the Report fairly presents, in all material respects, the financial condition and result of operations of the Company.
/s/Carmine Catizone
Carmine Catizone
Chief Executive Officer
May 15, 2012
CERTIFICATION PURSUANT TO
18 U.S.C. SECTION 1350
AS ADOPTED PURSUANT TO
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002
In connection with the amended Quarterly Report of Creative Beauty Supply of New Jersey Corporation (the "Company") on Form 10-Q for the quarter ended March 31, 2012 as filed with the Securities and Exchange Commission on the date hereof (the "Report"), I, Daniel Generelli, Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:
(1) The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
(2) The information contained in the Report fairly presents, in all material respects, the financial condition and result of operations of the Company.
/s/Daniel Generelli
Daniel Generelli
Chief Financial Officer
May 15, 2012
SUBSEQUENT EVENTS
|
3 Months Ended |
---|---|
Mar. 31, 2012
|
|
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | 3. SUBSEQUENT EVENTS
The Company has evaluated subsequent events through the date that the financials were issued. |
BALANCE SHEETS (USD $)
|
Mar. 31, 2012
|
Dec. 31, 2011
|
---|---|---|
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 162,522 | $ 168,668 |
TOTAL CURRENT ASSETS | 162,522 | 168,668 |
TOTAL ASSETS | 162,522 | 168,668 |
CURRENT LIABILITIES: | ||
Accounts payable | 11,218 | 4,929 |
Accrued expenses | 4,925 | 12,185 |
TOTAL CURRENT LIABILITIES | 16,143 | 17,114 |
TOTAL LIABILITIES | 16,143 | 17,114 |
COMMITMENTS AND CONTINGENCIES | ||
STOCKHOLDERS' EQUITY: | ||
Preferred stock, par value $.001, authorized 10,000,000 shares, issued and outstanding -0- shares | ||
Common stock, par value $.001, authorized 10,000,000 shares, issued and outstanding 10,532,150 shares | 10,532 | 10,532 |
Additional paid-in capital | 776,109 | 776,109 |
Accumulated deficit | (640,262) | (635,087) |
TOTAL STOCKHOLDERS' EQUITY | 146,379 | 151,554 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 162,522 | $ 168,668 |
THE COMPANY
|
3 Months Ended |
---|---|
Mar. 31, 2012
|
|
Nature Of Operations [Abstract] | |
THE COMPANY | 1. THE COMPANY
Creative Beauty Supply of New Jersey Corporation (the “Company”) was incorporated in the State of New Jersey on October 1, 2003. It was formed pursuant to a resolution of the board of directors of Creative Beauty Supply, Inc., (“CBS”) as a wholly-owned subsidiary of that company, a publicly traded New Jersey corporation. On January 1, 2004, the assets and liabilities of CBS were contributed at book value to the Company, and this subsidiary was then spun-off by CBS to its stockholders. This spin-off was consummated in contemplation of a merger, which occurred on March 19, 2004 between CBS and Global Digital Solutions, Inc. (“Global”), a Delaware corporation, whereby the former stockholders of CBS became the owners of 100 percent of the common stock of the Company.
On January 1, 2004, the Company commenced operations in the beauty supply industry at both the wholesale and retail levels. The Company sold cosmetic and beauty supplies to the general public and beauty salons in Northern and Central New Jersey. On November 30, 2008, the Company’s Board of Directors approved a plan to dispose of its wholesale and retail beauty supply business. The plan was completed on January 1, 2009.
The Company’s current business plan is to attempt to identify and negotiate with a business target for the merger of that entity with and into the Company. In certain instances, a target company may wish to become a subsidiary of the Company or wish to contribute assets to the Company rather than merge. No assurance can be given that the Company will be successful in identifying or negotiating with any target company. The Company provides a means for a foreign or domestic private company to become a reporting (public) company whose securities would be qualified for trading in the United States secondary market. |
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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
|
3 Months Ended |
---|---|
Mar. 31, 2012
|
|
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Interim Financial Statement Presentation The December 31, 2011 balance sheet data was derived from audited financial statements but does not include all disclosures required by generally accepted accounting principles. In the opinion of management, the accompanying unaudited financial statements contain all normal and recurring adjustments necessary to present fairly the financial position of the Company as of March 31, 2012, its results of operations for the three months ended March 31, 2012 and 2011 and its cash flows for the three months ended March 31, 2012 and 2011.
The statements of operations for the three months ended March 31, 2012 and 2011 are not necessarily indicative of the results for the full year.
While the Company believes that the disclosures presented are adequate to make the information not misleading, these financial statements should be read in conjunction with the financial statements and accompanying notes included in the Company’s annual Report on Form 10-K for the year ended December 31, 2011. Loss Per Share
Fair Value of Financial Instruments
The carrying amounts reported in the balance sheet for cash and cash equivalents, accounts payable and accrued expenses approximate fair value based on the short-term maturity of these instruments.
Recently Issued Accounting Standards
Management does not believe that any recently issued but not yet effective accounting standards, if currently adopted, would have a material effect on the accompanying financial statements. |
BALANCE SHEETS (Parentheticals) (USD $)
|
Mar. 31, 2012
|
Dec. 31, 2011
|
---|---|---|
Statement Of Financial Position [Abstract] | ||
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | ||
Preferred stock, shares outstanding | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 10,000,000 | 10,000,000 |
Common stock, shares issued | 10,532,150 | 10,532,150 |
Common stock, shares outstanding | 10,532,150 | 10,532,150 |
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Document and Entity Information
|
3 Months Ended | |
---|---|---|
Mar. 31, 2012
|
May 09, 2012
|
|
Document and Entity Information [Abstract] | ||
Entity Registrant Name | Creative Beauty Supply of New Jersey CORP | |
Entity Central Index Key | 0001290658 | |
Trading Symbol | cbsj | |
Entity Current Reporting Status | Yes | |
Entity Voluntary Filers | No | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 10,532,150 | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2012 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2012 | |
Document Fiscal Period Focus | Q1 |
STATEMENTS OF OPERATIONS (UNAUDITED) (USD $)
|
3 Months Ended | |
---|---|---|
Mar. 31, 2012
|
Mar. 31, 2011
|
|
Income Statement [Abstract] | ||
Revenues | ||
Operating Expenses: | ||
Professional fees | 4,817 | 6,700 |
Miscellaneous | 500 | 500 |
Total Operating Expenses | 5,317 | 7,200 |
Loss From Operations | (5,317) | (7,200) |
Other Income: | ||
Interest income | 142 | 178 |
Total Other Income | 142 | 178 |
Net Loss | $ (5,175) | $ (7,022) |
Earnings (loss) per share: | ||
Basic and diluted earnings per common share (in dollars per share) | $ 0.00 | $ 0.00 |
Basic and diluted weighted average common shares outstanding (in shares) | 10,532,150 | 10,532,150 |
STATEMENTS OF CASH FLOWS (UNAUDITED) (USD $)
|
3 Months Ended | |
---|---|---|
Mar. 31, 2012
|
Mar. 31, 2011
|
|
Statement Of Cash Flows [Abstract] | ||
Net loss | $ (5,175) | $ (7,022) |
Adjustments to reconcile net loss to net cash provided by operating activities: | ||
Increase in accounts payable | 6,289 | 10,750 |
Decrease in accrued expenses | (7,260) | (8,925) |
Net cash used in operating activities | (6,146) | (5,197) |
NET DECREASE IN CASH AND CASH EQUIVALENTS | (6,146) | (5,197) |
CASH AND CASH EQUIVALENTS - beginning of period | 168,668 | 152,241 |
CASH AND CASH EQUIVALENTS - end of period | 162,522 | 147,044 |
Cash paid during year for: | ||
Income taxes | 500 | 500 |
Interest |