Change in Fiscal Year End

12 Months Ended

Jun. 30, 2018

Notes to Financial Statements

Note 7 - Change in Fiscal Year End

Statements of Operations
	Six Month's Ended June 30,
	2018			2017
	(Unaudited)
Revenue		634,557			466,267
Cost of goods sold		-			-
Gross profit		634,557			466,267
Operating expenses:
Sales & marketing		121,977			450
G&A		2,986,290			806,332
Total operating expenses		3,108,267			806,782
Loss from operations		(2,473,710	)		(340,515	)
Interest expense		(35,513	)		(220	)
Other income		5,000			-
Other income (expense), net		(30,513	)		(220	)
Net loss		(2,504,223	)		(340,735	)

Cash Flow Statement
	Six Month's Ended June 30,
	2018			2017
	(Unaudited)
Net loss		(2,504,223	)		(340,735	)
Stock compensation expense		810,962			-
Stock issued for services		280,850			-
Depreciation and amortization expense		466			-
Changes:
Accounts receivable		(8,279	)		-
Inventory		(3,530	)		-
Prepaid expenses and other current assets		(133,591	)		(15,952	)
Accounts payable and accrued expenses		372,021			4,856
Net		(1,185,324	)		(351,831	)
Investing:
Property and equipment		-			(1,500	)
Net		-			(1,500	)
Financing
Proceeds from stock purchases		913,500			1,055,000
Proceeds from debt		450,682			-
Member activity		-			(600,000	)
Net		1,364,182			455,000
Total net change		178,858			101,669
Cash, beginning		197,080			63,011
Cash, ending		375,938			164,680

Statements of Operations
	Years Ended June 30,
	2018			2017
				(Unaudited)
Revenue		1,128,245			949,921
Cost of goods sold		-			-
Gross profit		1,128,245			949,921
Operating expenses:
Sales & marketing		206,831			450
G&A		3,870,548			1,217,928
Total operating expenses		4,077,379			1,218,378
Loss from operations		(2,949,134	)		(268,457	)
Interest expense		(35,541	)		(220	)
Other income		5,000			1,438
Other income (expense), net		(30,541	)		1,218
Net loss		(2,979,675	)		(267,239	)

Cash Flow Statement
	Years Ended June 30,
	2018			2017
				(Unaudited)
Net loss		(2,979,675	)		(267,239	)
Stock compensation expense		810,962			-
Stock issued for services		280,850			-
Depreciation and amortization expense		627			-
Changes:
Accounts receivable		(8,279	)		-
Inventory		(3,530	)		-
Prepaid expenses and other current assets		(141,699	)		(25,276	)
Accounts payable and accrued expenses		412,818			(37,601	)
Net		(1,627,926	)		(330,116	)
Investing:
Property and equipment		-			(1,500	)
Net		-			(1,500	)
Financing
Proceeds from stock purchases		1,033,500			455,000
Proceeds from debt		805,684			-
Member activity		-			(11,064	)
Net		1,839,184			443,936
Total net change		211,258			112,320
Cash, beginning		164,680			52,360
Cash, ending		375,938			164,680

As a result of the Merger Agreement with AP, the fiscal year end of LB Media changed from December 31 to June 30. Upon consummation of the reorganization and name change, Leafbuyer adopted the June 30, 2017 year end of LB Media effective as of June 30, 2017.

The consolidated statements of operations, cash flows, and equity reflect results for the year ended June 30, 2018, for the six months transition period ended June 30, 2017 and the twelve months ended December 31, 2016. The consolidated balance sheets reflect the financial position of the Company at June 30, 2018 and June 30, 2017.