10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarter ended: May31, 2018

OR

[   ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934

For the Transition Period from ___________ to____________

Commission File Number: 333-216921

FOLKUP DEVELOPMENT INC.

 (Exact name of registrant as specified in its charter)

Nevada (State or Other Jurisdiction of Incorporation or Organization)
32-0499929 IRS Employer Identification Number 3799 Primary Standard Industrial Classification Code Number

Mileve Maric Ajnstajn 72,

Novi Beograd, Republic of Serbia 11070

Tel.  (315) 359-5955

Email: folkupdevelopment@gmail.com

 (Address and telephone number of principal executive offices)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by section 13 or 15(d) of the Securities Exchange Act of 1934 during the past 12 months, and (2) has been subject to such filing requirements for the past 90 days.

Yes [X] No []

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer”, “accelerated filer”, “non-accelerated filer”, “emerging growth company” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer o Accelerated filer o Non-accelerated filer o Emerging growth company o 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 [] No [X]

As of May 31, 2018there were 3,800,000 shares outstanding of the registrant’s common stock.

		Page
PART I	FINANCIAL INFORMATION:
Item 1.	Financial Statements	3
	Balance Sheets as of May 31, 2018 (unaudited) and November 30, 2017	4
	Statements of Operations for the three and six months  ended May 31, 2018 and 2017 (unaudited)	5
	Statements of Cash Flows for the six months ended May 31, 2018 and 2017 (unaudited)	6
	Notes to the Financial Statements (unaudited)	7
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	10
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	13
Item 4.	Controls and Procedures	13
PART II	OTHER INFORMATION:
Item 1.	Legal Proceedings	14
Item 1A	Risk Factors	15
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	15
Item 3.	Defaults Upon Senior Securities	15
Item 4.	Mine Safety Disclosure.	15
Item 5.	Other Information	15
Item 6.	Exhibits	15
	Signatures	16

PART I – FINANCIAL INFORMATION

Item 1. Financial statements

The accompanying interim financial statements of FOLKUP DEVELOPMENT INC. (the “Company”), have been prepared without audit pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with United States generally accepted principles have been condensed or omitted pursuant to such rules and regulations.

In the opinion of management, the financial statements contain all material adjustments, consisting only of normal adjustments considered necessary to present fairly the financial condition, results of operations, and cash flows of the Company for the interim periods presented.

2

FOLKUP DEVELOPMENT INC.

Balance sheet

AS OF MAY 31, 2018

(Unaudited)

ASSETS		May 31, 2018	November 30, 2017
Current Assets
Cash and cash equivalents	$	33,470	12,679
Total Current Assets	$	33,470	12,679
Fixed Assets
Equipment, net	$	900	1,020
Total Fixed Assets	$	900	1,020
Total Assets	$	34,370	13,699
LIABILITIES AND STOCKHOLDERS’ EQUITY
Liabilities
Current Liabilities
Related Party Loans		15,865	9,715
Total Current Liabilities	$	15,865	9,715
Total Liabilities	$	15,865	9,715
Stockholder’s Equity
Common stock, par value $0.001; 75,000,000 shares authorized, 3,800,000 and 3,085,000 shares issued and outstanding accordingly		3,800	3,085
Additional paid in capital		23,200	2,465
Accumulated income (deficit)		(8,495)	(1,566)
Total Stockholder’s Equity	$	18,505	3,984
Total Liabilities and Stockholder’s Equity	$	34,370	13,699

See accompanying notes, which are an integral part of these financial statements

4

FOLKUP DEVELOPMENT INC.

Statement of operations

THREE AND SIX MONTHS ENDED MAY 31, 2018 AND 2017

(Unaudited)

		Three months ended May 31, 2018	Three months ended May 31, 2017	Six months ended May 31, 2018	Six months ended May 31, 2017
Revenues		-	9,000	-	9,000
Gross Profit	$	-	9,000	-	9,000
OPERATING EXPENSES
General and Administrative Expenses		1,903	7,067	6,929	9,609
TOTAL OPERATING EXPENSES		(1,903)	(7,067)	(6,929)	(9,609)
NET INCOME (LOSS) FROM OPERATIONS		(1,903)	1,933	(6,929)	(609)
PROVISION FOR INCOME TAXES		-	-	-	-
NET INCOME (LOSS)	$	(1,903)	1,933	(6,929)	(609)
NET LOSS PER SHARE: BASIC AND DILUTED	$	(0.00)	0.00	(0.00)	(0.00)
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING: BASIC AND DILUTED		3,676,087	3,000,000	3,512,665	3,000,000

See accompanying notes, which are an integral part of these financial statements

5

FOLKUP DEVELOPMENT INC.

Statement of cash flows

SIX MONTHS ENDED MAY 31, 2018 AND 2017

(Unaudited)

	Six months ended May 31, 2018	Six months ended  May 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss for the period	$                      (6,929)	$                      (609)
Adjustments to reconcile net loss to net cash (used in) operating activities:
Accumulated Depreciation	120	60
CASH FLOWS USED IN OPERATING ACTIVITIES	(6,809)	(549)
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of equipment	-	(1,200)
CASH FLOWS PROVIDED BY INVESTING ACTIVITIES	-	(1,200)
CASH FLOWS FROM FINANCING ACTIVITIES
Related Party Loans	6,150	5,200
Proceeds from sale of common stock	21,450	-
CASH FLOWS PROVIDED BY FINANCING ACTIVITIES	27,600	5,200
NET INCREASE IN CASH	20,791	3,451
Cash, beginning of period	12,679	3,053
Cash, end of period	$                            33,470	$                              6,504
SUPPLEMENTAL CASH FLOW INFORMATION:
Interest paid	$                                     0	$                                     0
Income taxes paid	$                                     0	$                                     0

See accompanying notes, which are an integral part of these financial statements

6

FOLKUP DEVELOPMENT INC.

Notes to the unaudited financial statements

MAY 31, 2018

Note 1 – ORGANIZATION AND NATURE OF BUSINESS

FOLKUP DEVELOPMENT INC. (“the Company”, “we”, “us” or “our”) was incorporated in the State of Nevada on July 5, 2016. We aim to deliver our services as follows, to lease to our customers certain items or means of what we refer to as eco-transport. These items are commonly known under the names: a segway, a gyro-scooter or a self-balanced two-wheeled scooter, a self-balanced mono-wheeled scooter and a two-wheeled hoverboard. We expect our services to be demanded by establishments or enterprises or events, for instance, conferences held in large facilities. The business location is in Beograd, Republic of Serbia.

Note 2 – GOING CONCERN

The accompanying financial statements have been prepared in conformity with generally accepted accounting principles, which contemplate continuation of the Company as a going concern.  However, the Company had no revenues for the six months ended May 31, 2018.  The Company currently has loses and has not completed its efforts to establish a stabilized source of revenues sufficient to cover operating costs over an extended period of time. Therefore, there is substantial doubt about the Company’s ability to continue as a going concern. These factors raise substantial doubt about the Company’s ability to continue as a going concern within one year after the date that the financial statements are issued. Management anticipates that the Company will be dependent, for the near future, on additional investment capital to fund operating expenses. Management evaluates that lack of revenues can affect to the entity’s ability to meet its obligations. The ability of the Company to mitigate the conditions or events that raise substantial doubt about the entity’s ability to continue as a going concern is dependent on management’s plans, which include further implementation of its business plan. The Company intends to position itself so that it will 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.

Note 3 – SUMMARY OF SIGNIFCANT ACCOUNTING POLICIES

Basis of presentation

The accompanying financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America. The Company’s yearend is November 30.

Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting principles 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 the financial statements and the reported amount of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Cash Equivalents

The Company considers all highly liquid investments with the original maturities of three months or less to be cash equivalents. The Company had $33,470 of cash as of May 31, 2018.

Depreciation, Amortization, and Capitalization

The Company records depreciation and amortization when appropriate using straight-line balance method over the estimated useful life of the assets. We estimate that the useful life of sport equipment is five years. Expenditures for maintenance and repairs are charged to expense as incurred. Additions, major renewals and replacements that increase the property's useful life are capitalized. Property sold or retired, together with the related accumulated depreciation is removed from the appropriated accounts and the resultant gain or loss is included in net income.

Accounts Payable

Accounts Payable discloses a liability to a creditor, carried on open account, usually for purchases of goods and services. The Company had $0 in accounts payable as of May 31, 2018.

7

FOLKUP DEVELOPMENT INC.

Notes to the unaudited financial statements

MAY 31, 2018

Customer Deposits

A customer deposit is an amount paid by a customer to a company prior to the company providing it with goods or services. The company receiving the money has an obligation to provide the goods or services to the customer or to return the money. As of May 31, 2018 the Company had $0 in customer deposits.

Fair Value of Financial Instruments

AS topic 820 "Fair Value Measurements and Disclosures" establishes a three-tier fair value hierarchy, which prioritizes the inputs in measuring fair value. The hierarchy prioritizes the inputs into three levels based on the extent to which inputs used in measuring fair value are observable in the market.

These tiers include:

Level 1:	defined as observable inputs such as quoted prices in active markets;
Level 2:	defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and
Level 3:	defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.

The carrying value of cash and the Company’s loan from shareholder approximates its fair value due to their short-term maturity.

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.

Comprehensive Income

Comprehensive income is defined as all changes in stockholders’ equity (deficit), exclusive of transactions with owners, such as capital investments. Comprehensive income includes net income or loss, changes in certain assets and liabilities that are reported directly in equity such as translation adjustments on investments in foreign subsidiaries and unrealized gains (losses) on available-for-sale securities. As of May 31, 2018 were no differences between our comprehensive loss and net loss.

Basic Income (Loss) Per Share

The Company computes income (loss) per share in accordance with FASB ASC 260 “Earnings per Share”. Basic loss per share is computed by dividing net income (loss) available to common shareholders by the weighted average number of outstanding common shares during the period. Diluted income (loss) per share gives effect to all dilutive potential common shares outstanding during the period.  Dilutive loss per share excludes all potential common shares if their effect is anti-dilutive. As of May 31, 2018 there were no potentially dilutive debt or equity instruments issued or outstanding.  

Revenue Recognition

The Company recognizes revenue in accordance with Accounting Standards Codification No. 605, “Revenue Recognition” ("ASC-605"), ASC-605 requires that four basic criteria must be met before revenue can be recognized: (1) persuasive evidence of an arrangement exists; (2) delivery has occurred; (3) the selling price is fixed and determinable; and (4) collectability is reasonably assured. Determination of criteria (3) and (4) are based on management's judgments regarding the fixed nature of the selling prices of the products delivered and the collectability of those amounts. Provisions for discounts and rebates to customers, estimated returns and allowances, and other adjustments are provided for in the same period the related sales are recorded. The Company will defer any revenue for which the product has not been delivered or is subject to refund until such time that the Company and the customer jointly determine that the product has been delivered or no refund will be required. For the six months ended May 31, 2018 the Company has generated no revenue.

8

FOLKUP DEVELOPMENT INC.

Notes to the unaudited financial statements

MAY 31, 2018

Stock-Based Compensation

Stock-based compensation is accounted for at fair value in accordance with ASC Topic 718.  To date, the Company has not adopted a stock option plan and has not granted any stock options.

Recent Accounting Pronouncements

We have reviewed all the recently issued, but not yet effective, accounting pronouncements and we do not believe any of these pronouncements will have a material impact on the Company.

Note 4 – FIXED ASSETS

As of May 31, 2018 the Company purchased 2 monowheels for $1,200.

Note 5 – LOAN FROM DIRECTOR

As of May 31, 2018, our sole director has loaned to the Company $15,865. This loan is unsecured, non-interest bearing and due on demand. The balance due to the director was $15,865 as of May 31, 2018.

Note 6 – COMMON STOCK

The Company has 75,000,000, $0.001 par value shares of common stock authorized.

On November 15, 2016 the Company issued 3,000,000 shares of common stock to a director for cash proceeds of $3,000 at $0.001 per share.

During October 2017, the Company issued 85,000 shares of common stock for cash proceeds of $2,550 at $0.03 per share.

During December 2017, the Company issued 240,000 shares of common stock for cash proceeds of $7,200 at $0.03 per share.

During January 2018, the Company issued 60,000 shares of common stock for cash proceeds of $1800 at $0.03 per share.

During February 2018, the Company issued 175,000 shares of common stock for cash proceeds of $5,250 at $0.03 per share.

During April 2018, the Company issued 240,000 shares of common stock for cash proceeds of $7,200 at $0.03 per share.

There were 3,800,000 shares of common stock issued and outstanding as of May 31, 2018.

Note 7 – COMMITMENTS AND CONTINGENCIES

Milena Topolac Tomovic, our sole officer and director, has agreed to provide the premises under the office needs for free use. Office location is Mileve Maric Ajnstajn 72, 11070 Novi Beograd, Republic of Serbia.

Note 8 – INCOME TAXES

The Company adopted the provisions of uncertain tax positions as addressed in ASC 740-10-65-1. As a result of the implementation of ASC 740-10-65-1, the Company recognized no increase in the liability for unrecognized tax benefits. As of May 31, 2018 the Company had net operating loss carry forwards of approximately $8,495 that may be available to reduce future years’ taxable income in varying amounts through 2031. Future tax benefits which may arise as a result of these losses have not been recognized in these financial statements, as their realization is determined not likely to occur and accordingly, the Company has recorded a valuation allowance for the deferred tax asset relating to these tax loss carry-forwards.

9

FOLKUP DEVELOPMENT INC.

Notes to the unaudited financial statements

MAY 31, 2018

The valuation allowance at May 31, 2018 was approximately $1,784. The net change in valuation allowance during the six months ended May 31, 2018 was $1,455. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred income tax assets will not be realized. The ultimate realization of deferred income tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred income tax liabilities, projected future taxable income, and tax planning strategies in making this assessment. Based on consideration of these items, management has determined that enough uncertainty exists relative to the realization of the deferred income tax asset balances to warrant the application of a full valuation allowance as of May 31, 2018.  All tax years since inception remains open for examination by taxing authorities.

The provision for Federal income tax consists of the following: 

		As of  May 31, 2018	As of November  30, 2017
Non-current deferred tax assets:
Net operating loss carry forward	$	(1,784)	(532)
Valuation allowance	$	1,784	532
Net deferred tax assets	$	-	-

The actual tax benefit at the expected rate of 21% differs from the expected tax benefit for the six months ended May 31, 2018 as follows:

		Six months ended  May 31, 2018	Six months ended  May 31, 2017
Computed “expected” tax expense (benefit)	$	(1,455)	(207)
Change in valuation allowance	$	1,455	207
Actual tax expense (benefit)	$	-	-

Note 9 – SUBSEQUENT EVENTS

In accordance with SFAS 165 (ASC 855-10) the Company has analyzed its operations subsequent to May 31, 2018 to the date these financial statements were issued, and has determined that it does not have any material subsequent events to disclose in these financial statements.

Item 2.Management’s Discussion and Analysis of Financial Condition and Results of Operations.

This quarterly report and other reports filed by FOLKUP DEVELOPMENT INC. (“we,” “us,” “our,” or the “Company”), from time to time contain or may contain forward-looking statements and information that are based upon beliefs of, and information currently available to, the Company’s management as well as estimates and assumptions made by Company’s management. Readers are cautioned not to place undue reliance on these forward-looking statements, which are only predictions and speak only as of the date hereof. When used in the filings, the words “anticipate,” “believe,” “estimate,” “expect,” “future,” “intend,” “plan,” or the negative of these terms and similar expressions as they relate to the Company or the Company’s management identify forward-looking statements. Such statements reflect the current view of the Company with respect to future events and are subject to risks, uncertainties, assumptions, and other factors. Should one or more of these risks or uncertainties materialize, or should the underlying assumptions prove incorrect, actual results may differ significantly from those anticipated, believed, estimated, expected, intended, or planned.

Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, the Company cannot guarantee future results, levels of activity, performance, or achievements. Except as required

10

by applicable law, including the securities laws of the United States, the Company does not intend to update any of the forward-looking statements to conform these statements to actual results.

Our financial statements are prepared in accordance with accounting principles generally accepted in the United States (“GAAP”). These accounting principles require us to make certain estimates, judgments, and assumptions. We believe that the estimates, judgments, and assumptions upon which we rely are reasonable based upon information available to us at the time that these estimates, judgments, and assumptions are made. These estimates, judgments, and assumptions can affect the reported amounts of assets and liabilities as of the date of the financial statements as well as the reported amounts of revenues and expenses during the periods presented. Our financial statements would be affected to the extent there are material differences between these estimates.

DESCRIPTION OF BUSINESS

We aim to deliver our services as follows, to lease to our customers’ certain items or means of what we refer to as eco-transport. These items are commonly known under the names: a segway, a gyro-scooter or a self-balanced two-wheeled scooter, a self-balanced mono-wheeled scooter and a two-wheeled hoverboard. We expect our services to be demanded by establishments or enterprises or events, for instance, conferences held in large facilities, or touristic agencies and other establishments or organizations that face the problem of covering large distances by employees or visitors of theirs.

Our business address was provided by our registered agent and located at Mileve Maric Ajnstajn 72, Novi Beograd, Republic of Serbia 11070. Our telephone number is (315) 359-5955. Our plan of operation is forward-looking and there is no assurance that we will ever reach profitable operations. It is likely that we will not be able to achieve profitability and would be forced to cease operations due to the lack of funding.

Business

We are a company currently undergoing the stage of development. We plan to sell or lease means of ecological urban transportation to companies arranging events, such as exhibitions of any kind or conferences, where these means mentioned above can be used by the spectators to move around the facilities. We also expect medium sized production companies to lease our equipment for their employees to move around the warehouses or around the territory where it doesn't violate safety rules. Construction companies may lease or obtain our equipment to provide with it monitoring committees or authorities arriving with inspection, as well as superintendant workers. We expect that the use of ecological means of transportation may help employees of business entities or customers of event organizations to become more mobile, or to be able to cover larger distances in shorter terms of time. At an event occasion these items of transportation can also be used in additional advertising purposes to attract wider group of customers by being up-to-date or as advertising means, with promotional stickers being placed on them. At the same time, inspecting authorities may be able to complete their task of inspection in less amount of time, thus becoming more effective. We plan to offer our services to airports, where they will be able to lease those units to passengers who are in a rush to their terminals, the ones who want to avoid the fatigue after covering large distances between terminals, or the ones with troubles to walk. We also hope that hospitals may turn to us, as in some cases there are patients with restricted mobility who do not require a wheelchair but still face difficulties to walk. Those who did not suffer brain disorders and maintain their balance might use gyro transportation to move around the hospital territory or facilities. Amusement parks may acquire such means of transportation to lease them to their visitors. We expect our guro vehicles to be demanded by the touristic companies that arrange city tours, thus creating an alternative to walking tours and bus tours. To make our interaction with customers more effective we plan to grant every customer a free training course on how to drive the gyro vehicles and maintain them, what issues may happen due to misuse and how to prevent them, as well as fix minor issues. As an additional service we might collect the sold items to be repaired and find the licensed repair shop on behalf of our customers, while providing a substitute unit instead.

Customers

We expect our potential customers to be business entities performing jobs at, or providing services at, or maintaining the services or premises of museums, exhibition centres, trade centres, shopping malls, entertainment centres, amusement parks, local parks, construction sites, hospitals or airports. We also may lease the gyro-transportation units to groups of individuals if they apply for it.

11

Marketing

We plan to initiate our marketing campaign online, as we intend to purchase a yearly subscription from a web-building platform or we might invest in the website of our own. Soon after the website is complete we will be able to begin the campaign.

Our steps are likely to be as follows:

- organize free exhibitions and workshops for potential customers;

- take part in the exhibitions and workshops that our potential customers may have interest in;

- to pay for the web banners on the websites where our potential customers might see our advertisement.

- to release printed advertisement in magazines.

- to order shooting of promotional videos from advertising agencies.

- to pay for the SEO (search engine optimization), which helps us to take place in the top of search inquiries.

- branding the gyro-vehicles to the needs of customers, by placing stickers or painting the colors to match the brand identity.

During our marketing campaign we plan to highlight the ability to be more mobile and efficient and to demonstrate this we plan to invite guest stars to take part in our promotional videos.

Competition

We believe that narrowing to a very certain groups of customers, by which we mean small or medium business entities, can help us to target them more precisely. Understanding the needs of our customers will help us to avoid storing a huge amount of various transportation models, but only a few varieties. The same types of gyro vehicles can be shipped to museums, exhibition centres and airports, whereas a second different type will meet the needs of construction sites, warehouses and small factories. The third sort of vehicles will suit the needs of open space establishments like parks.

Revenue

We expect to have two main income streams: the money that we are likely to receive after:

a) selling or

b) leasing the eco-transportation units.

Insurance

We do not maintain any insurance and do not intend to maintain insurance in the future. Because we do not have any insurance, if we are made a party of a products liability action, we may not have sufficient funds to defend the litigation. If that occurs a judgment could be rendered against us that could cause us to cease operations.

Employees; Identification of Certain Significant Employees.

We are a startup company and currently do not have employees other than, Milena Topolac Tomovic, our sole officer and director. We intend to hire employees on an as needed basis.

Offices

Our business address is at Mileve Maric Ajnstajn 72, Novi Beograd, Republic of Serbia 11070. This address was provided by our registered agent service. We do not pay any rent and there is no agreement to pay any rent in the future. Our telephone number is (315) 359-5955.

Government Regulation

We will be required to comply with all regulations, rules, and directives of governmental authorities and agencies applicable to our business in any jurisdiction which we would conduct activities. We do not believe that regulation will have a material impact on the way we conduct our business.

12

Management’s Discussion and Analysis of Financial Condition and Results of Operations

Results of Operations for the sixmonthsended May 31, 2018and 2017:

Revenue and cost of goods sold

For the six month period ended May 31, 2018the Company generated no revenue from selling or leasing means of ecological urban transportation.

For the six month period ended May 31, 2017 the Company generated $9,000 revenue from selling or leasing means of ecological urban transportation.

Operating expenses

Total operating expenses for the six month period ended May 31, 2018were $6,929. The operating expenses included bank charges of $559; depreciation expense of $120; audit fees of $5,550; professional fees of $700.

Total operating expenses for the sixmonth period ended May 31, 2018were $9,609. The operating expenses included purchasesof $4,800; bank charges of $99;depreciation expense of $60; legal expense of $1,500; audit fees of $2,500; professional fees of $650.

Net Loss

The net loss for the six months period ended May 31, 2018and 2017 was$6,929 andloss $609 respectively.

Liquidity and Capital Resources and Cash Requirements

At May 31, 2018, the Company had cash of $33,470 ($12,679 as of November 30, 2017). Furthermore, the Company had a working capital of $17,605 ($2,964 as of November 30, 2017).

During the six month period ended May 31, 2018, the Company used $6,809 of cash in operating activities due to its net loss and depreciation of $120.  

During the six month period ended May 31, 2018, the Company used no cash in investing activities.

During the six month period ended May 31, 2018, the Company generated $27,600 cash in financing activities.

We are attempting to raise funds to proceed with our plan of operations. We will have to utilize funds from Milena Topolac Tomovic, our sole officer and director, who has verbally agreed to loan the Company funds to complete the registration process if offering proceeds are less than registration costs. However, Ms. Topolac Tomovic has no formal commitment, arrangement or legal obligation to advance or loan funds to the Company. Ms. Topolac Tomovic’s verbal agreement to provide us loans for registration costs is non-binding and discretionary. If we are successful, any money raised will be applied to the items set forth in the Use of Proceeds section of this prospectus. We will attempt to raise at least the minimum funds necessary to proceed with our plan of operations. In the long term we may need additional financing. We do not currently have any arrangements for additional financing. Obtaining additional funding will be subject to a number of factors, including general market conditions, investor acceptance of our business plan and initial results from our business operations. These factors may impact the timing, amount, terms or conditions of additional financing available to us. There is no assurance that any additional financing will be available or if available, on terms that will be acceptable to us.

No substantial revenues are anticipated until we have completed the financing from this offering and implemented our plan of operations. We must raise cash to implement our strategy and stay in business. The amount of the offering will likely allow us to operate for at least one year and have the capital resources required to cover the material costs with becoming a publicly reporting.

The Company will have to meet all the financial disclosure and reporting requirements associated with being a publicly reporting company. The Company’s management will have to spend additional time on policies and procedures to ensure it is compliant with various regulatory requirements, especially that of Section 404 of the

13

Sarbanes-Oxley Act of 2002. This additional corporate governance time required of management could limit the amount of time management has to implement is business plan and impede the speed of its operations.

Off-Balance Sheet Arrangements

We have no off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources.

Item 3. Quantitative and Qualitative Disclosures about Market Risk.

As a “smaller reporting company” as defined by Item 10 of Regulation S-K, we are not required to provide information required by this Item.

Item 4. Controls and Procedures.

Disclosure Controls and Procedures

We maintain disclosure controls and procedures, as defined in Rule 13a‐15(e) promulgated under the Securities Exchange Act of 1934 (the "Exchange Act"), that are designed to ensure that information required to be disclosed by us in the reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission's rules and forms and that such information is accumulated and communicated to our management, including our Chief Executive Officer and Chief Financial Officer, as appropriate to allow timely decisions regarding required disclosure.

We carried out an evaluation, under the supervision and with the participation of our management, including our Chief Executive Officer and Chief Financial Officer, of the effectiveness of our disclosure controls and procedures as of May 31, 2018. Based on the evaluation of these disclosure controls and procedures, and in light of the material weaknesses found in our internal controls over financial reporting, our Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures were not effective.

Changes in Internal Controls over Financial Reporting

There has been no change in our internal control over financial reporting occurred during our first fiscal quarter that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

PART II.  OTHER INFORMATION

Item 1. LEGAL PROCEEDINGS

During the past ten years, none of the following occurred with respect to the President of the Company: (1) any bankruptcy petition filed by or against any business of which such person was a general partner or executive officer either at the time of the bankruptcy or within two years prior to that time; (2) any conviction in a criminal proceeding or being subject to a pending criminal proceeding (excluding traffic violations and other minor offenses); (3) being subject to any order, judgment or decree, not subsequently reversed, suspended or vacated, of any court of any competent jurisdiction, permanently or temporarily enjoining, barring, suspending or otherwise limiting her involvement in any type of business, securities or banking activities; and (4) being found by a court of competent jurisdiction (in a civil action), the SEC or the commodities futures trading commission to have violated a federal or state securities or commodities law, and the judgment has not been reversed, suspended or vacated.

We are not currently a party to any legal proceedings, and we are not aware of any pending or potential legal actions.

14

Item 1A. RISK FACTORS

As a “smaller reporting company” as defined by Item 10 of Regulation S-K, we are not required to provide information required by this Item.

Item 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

No unregistered sales of equity securities took place during the six months ended May 31, 2018.

Item 3. DEFAULTS UPON SENIOR SECURITIES

There were no senior securities issued and outstanding during the six months ended May 31, 2018.

Item 4. MINE SAFETY DISCLOSURE

Not applicable to our Company.

Item 5. OTHER INFORMATION

There is no other information required to be disclosed under this item which was not previously disclosed.

Item 6. EXHIBITS

The following exhibits are included as part of this report by reference:

Exhibit No.	Description
31.1	Certification of Chief Executive Officer pursuant to Securities Exchange Act of 1934 Rule 13a-14(a) or 15d-14(a).
32.1	Certifications pursuant to Securities Exchange Act of 1934 Rule 13a-14(b) or 15d-14(b) and 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes- Oxley Act of 2002.

15

SIGNATURES

Pursuant to the requirements of the Securities Act of 1933, the registrant has duly caused this registration statement to be signed on its behalf by the undersigned, thereunto duly authorized in the City of Belgrad, Republic of Serbia,on July 13, 2018.

FOLKUP DEVELOPMENT INC.
By:	/s/	Milena Topolac Tomovic
	Name:	Milena Topolac Tomovic
	Title:	President, Treasurer and Secretary
		(Principal Executive, Financial and Accounting Officer)

16

EX-31.1

Exhibit 31.1

CERTIFICATION PURSUANT TO

18 U.S.C. ss 1350, AS ADOPTED PURSUANT TO

SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Milena Topolac Tomovic, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of  FOLKUP DEVELOPMENT INC.;

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 officer 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 control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and we 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 our 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 registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
5.	The registrant’s other certifying officer 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 the 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 control over financial reporting. July 13, 2018      By:            /s/    Milena Topolac Tomovic  Name:               Milena Topolac Tomovic  Title:                 President, Treasurer and Secretary                           (Principal Executive, Financial and Accounting Officer)

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO

18 U.S.C. ss 1350, AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly  Report of FOLKUP DEVELOPMENT INC.  (the “Company”) on Form 10-Q for the quarter ended May 31, 2018, as filed with the Securities and Exchange Commission I, Milena Topolac Tomovic, Principal Executive, Financial and Accounting Officer, certify, pursuant to 18 U.S.C. §1350, as adopted pursuant to §906 of the Sarbanes-Oxley Act of 2002, that:

(1)

the Quarterly  Report on Form 10-Q of FOLKUP DEVELOPMENT INC. for the quarter ended May 31, 2018 (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 results of operations of  FOLKUP DEVELOPMENT INC.   July 13, 2018      By:            /s/    Milena Topolac Tomovic  Name:               Milena Topolac Tomovic  Title:                 President, Treasurer and Secretary                         (Principal Executive, Financial and Accounting Officer)

XML

Document and Entity Information	6 Months Ended
	May 31, 2018 shares
Document and Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	May 31, 2018
Document Fiscal Year Focus	2018
Document Fiscal Period Focus	Q2
Entity Registrant Name	FOLKUP DEVELOPMENT INC.
Entity Central Index Key	0001684506
Current Fiscal Year End Date	--11-30
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding	3,800,000
Entity Current Reporting Status	Yes

XML

Balance sheet - USD ($)	May 31, 2018	Nov. 30, 2017
Current Assets
Cash and cash equivalents	$ 33,470	$ 12,679
Total Current Assets	33,470	12,679
Equipment, net	900	1,020
Total Fixed Assets	900	1,020
Total Assets	34,370	13,699
Related Party Loans	15,865	9,715
Total Current Liabilities	15,865	9,715
Total Liabilities	$ 15,865	$ 9,715
Common stock, par value $0.001; 75,000,000 shares authorized, 3,800,000 and 3,085,000 shares issued and outstanding accordingly	3,800	3,085
Additional paid in capital	$ 23,200	$ 2,465
Accumulated income (deficit)	(8,495)	(1,566)
Total Stockholder's Equity	18,505	3,984
Total Liabilities and Stockholder's Equity	$ 34,370	$ 13,699

XML

Balance sheet (Parenthetical) - USD ($)	May 31, 2018	Nov. 30, 2017
Statement of Financial Position [Abstract]
Common stock par value	$ 0.001	$ 0.001
Common stock shares authorized	75,000,000	75,000,000
Common stock shares outstanding	3,800,000	3,085,000

XML

Statement of operations - USD ($)	3 Months Ended		6 Months Ended
	May 31, 2018	May 31, 2017	May 31, 2018	May 31, 2017
Income Statement [Abstract]
Revenues	$ 0	$ 9,000	$ 0	$ 9,000
Gross Profit	0	9,000	0	9,000
General and Administrative Expenses	1,903	7,067	6,929	9,609
TOTAL OPERATING EXPENSES	(1,903)	(7,067)	(6,929)	(9,609)
NET INCOME (LOSS) FROM OPERATIONS	(1,903)	1,933	(6,929)	(609)
NET INCOME (LOSS)	$ (1,903)	$ 1,933	$ (6,929)	$ (609)
NET LOSS PER SHARE: BASIC AND DILUTED	$ (0.00)	$ 0.00	$ (0.00)	$ (0.00)
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING: BASIC AND DILUTED	3,676,087	3,000,000	3,512,665	3,000,000

XML

Statement of cash flows - USD ($)	6 Months Ended
	May 31, 2018	May 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss for the period	$ (6,929)	$ (609)
Accumulated Depreciation	120	60
CASH FLOWS USED IN OPERATING ACTIVITIES	(6,809)	(549)
Purchase of equipment	0	(1,200)
CASH FLOWS PROVIDED BY INVESTING ACTIVITIES	0	(1,200)
Related Party Loans	6,150	5,200
Proceeds from sale of common stock	21,450	0
CASH FLOWS PROVIDED BY FINANCING ACTIVITIES	27,600	5,200
NET INCREASE IN CASH	20,791	3,451
Cash, beginning of period	12,679	3,053
Cash, end of period	33,470	6,504
Interest paid	0	0
Income taxes paid	$ 0	$ 0

XML

- ORGANIZATION AND NATURE OF BUSINESS

6 Months Ended

May 31, 2018

- ORGANIZATION AND NATURE OF BUSINESS [Abstract]

- ORGANIZATION AND NATURE OF BUSINESS

Note 1 - ORGANIZATION AND NATURE OF BUSINESS

FOLKUP DEVELOPMENT INC. (“the Company”, “we”, “us” or “our”) was incorporated in the State of Nevada on July 5, 2016. We aim to deliver our services as follows, to lease to our customers certain items or means of what we refer to as eco-transport. These items are commonly known under the names: a segway, a gyro-scooter or a self-balanced two-wheeled scooter, a self-balanced mono-wheeled scooter and a two-wheeled hoverboard. We expect our services to be demanded by establishments or enterprises or events, for instance, conferences held in large facilities. The business location is in Beograd, Republic of Serbia.

XML

- GOING CONCERN

6 Months Ended

May 31, 2018

- GOING CONCERN [Abstract]

- GOING CONCERN

Note 2 - GOING CONCERN

The accompanying financial statements have been prepared in conformity with generally accepted accounting principles, which contemplate continuation of the Company as a going concern.  However, the Company had no revenues for the six months ended May 31, 2018.  The Company currently has loses and has not completed its efforts to establish a stabilized source of revenues sufficient to cover operating costs over an extended period of time. Therefore, there is substantial doubt about the Company's ability to continue as a going concern. These factors raise substantial doubt about the Company's ability to continue as a going concern within one year after the date that the financial statements are issued. Management anticipates that the Company will be dependent, for the near future, on additional investment capital to fund operating expenses. Management evaluates that lack of revenues can affect to the entity's ability to meet its obligations. The ability of the Company to mitigate the conditions or events that raise substantial doubt about the entity's ability to continue as a going concern is dependent on management's plans, which include further implementation of its business plan. The Company intends to position itself so that it will 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.

XML

- SUMMARY OF SIGNIFCANT ACCOUNTING POLICIES

6 Months Ended

May 31, 2018

- SUMMARY OF SIGNIFCANT ACCOUNTING POLICIES [Abstract]

- SUMMARY OF SIGNIFCANT ACCOUNTING POLICIES

Note 3 - SUMMARY OF SIGNIFCANT ACCOUNTING POLICIES

Basis of presentation

The accompanying financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America. The Company's yearend is November 30.

Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting principles 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 the financial statements and the reported amount of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Cash Equivalents

TheCompanyconsidersallhighlyliquidinvestmentswiththeoriginalmaturitiesofthreemonthsorlessto be cash equivalents. The Company had $33,470 of cash as of May 31, 2018.

Depreciation, Amortization, and Capitalization

The Company records depreciation and amortization when appropriate using straight-line balance method over the estimated useful life of the assets. We estimate that the useful life of sport equipment is five years. Expenditures for maintenance and repairs are charged to expense as incurred. Additions, major renewals and replacements that increase the property's useful life are capitalized. Property sold or retired, together with the related accumulated depreciation is removed from the appropriated accounts and the resultant gain or loss is included in net income.

Accounts Payable

Accounts Payable discloses a liability to a creditor, carried on open account, usually for purchases of goods and services. The Company had $0 in accounts payable as of May 31, 2018.

FOLKUP DEVELOPMENT INC.

Notes to the unaudited financial statements

MAY 31, 2018

Customer Deposits

A customer deposit is an amount paid by a customer to a company prior to the company providing it with goods or services. The company receiving the money has an obligation to provide the goods or services to the customer or to return the money. As of May 31, 2018 the Company had $0 in customer deposits.

Fair Value of Financial Instruments

AS topic 820 "Fair Value Measurements and Disclosures" establishes a three-tier fair value hierarchy, which prioritizes the inputs in measuring fair value. The hierarchy prioritizes the inputs into three levels based on the extent to which inputs used in measuring fair value are observable in the market.

These tiers include:

Level 1:	defined as observable inputs such as quoted prices in active markets;
Level 2:	defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and
Level 3:	defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.

The carrying value of cash and the Company's loan from shareholder approximates its fair value due to their short-term maturity.

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.

Comprehensive Income

Comprehensive income is defined as all changes in stockholders' equity (deficit), exclusive of transactions with owners, such as capital investments. Comprehensive income includes net income or loss, changes in certain assets and liabilities that are reported directly in equity such as translation adjustments on investments in foreign subsidiaries and unrealized gains (losses) on available-for-sale securities. As of May 31, 2018 were no differences between our comprehensive loss and net loss.

Basic Income (Loss) Per Share

The Company computes income (loss) per share in accordance with FASB ASC 260 “Earnings per Share”. Basic loss per share is computed by dividing net income (loss) available to common shareholders by the weighted average number of outstanding common shares during the period. Diluted income (loss) per share gives effect to all dilutive potential common shares outstanding during the period.  Dilutive loss per share excludes all potential common shares if their effect is anti-dilutive. As of May 31, 2018 there were no potentially dilutive debt or equity instruments issued or outstanding. 

Revenue Recognition

The Company recognizes revenue in accordance with Accounting Standards Codification No. 605, “Revenue Recognition” ("ASC-605"), ASC-605 requires that four basic criteria must be met before revenue can be recognized: (1) persuasive evidence of an arrangement exists; (2) delivery has occurred; (3) the selling price is fixed and determinable; and (4) collectability is reasonably assured. Determination of criteria (3) and (4) are based on management's judgments regarding the fixed nature of the selling prices of the products delivered and the collectability of those amounts. Provisions for discounts and rebates to customers, estimated returns and allowances, and other adjustments are provided for in the same period the related sales are recorded. The Company will defer any revenue for which the product has not been delivered or is subject to refund until such time that the Company and the customer jointly determine that the product has been delivered or no refund will be required. For the six months ended May 31, 2018 the Company has generated no revenue.

FOLKUP DEVELOPMENT INC.

Notes to the unaudited financial statements

MAY 31, 2018

Stock-Based Compensation

Stock-based compensation is accounted for at fair value in accordance with ASC Topic 718.  To date, the Company has not adopted a stock option plan and has not granted any stock options.

Recent Accounting Pronouncements

We have reviewed all the recently issued, but not yet effective, accounting pronouncements and we do not believe any of these pronouncements will have a material impact on the Company.

XML

- FIXED ASSETS

6 Months Ended

May 31, 2018

- FIXED ASSETS [Abstract]

- FIXED ASSETS

Note 4 - FIXED ASSETS

As of May 31, 2018 the Company purchased 2 monowheels for $1,200.

XML

- LOAN FROM DIRECTOR

6 Months Ended

May 31, 2018

- LOAN FROM DIRECTOR [Abstract]

- LOAN FROM DIRECTOR

Note 5 - LOAN FROM DIRECTOR

As of May 31, 2018, our sole director has loaned to the Company $15,865. This loan is unsecured, non-interest bearing and due on demand. The balance due to the director was $15,865 as of May 31, 2018.

XML

- COMMON STOCK

6 Months Ended

May 31, 2018

- COMMON STOCK [Abstract]

- COMMON STOCK

Note 6 - COMMON STOCK

The Company has 75,000,000, $0.001 par value shares of common stock authorized.

On November 15, 2016 the Company issued 3,000,000 shares of common stock to a director for cash proceeds of $3,000 at $0.001 per share.

During October 2017, the Company issued 85,000 shares of common stock for cash proceeds of $2,550 at $0.03 per share.

During December 2017, the Company issued 240,000 shares of common stock for cash proceeds of $7,200 at $0.03 per share.

During January 2018, the Company issued 60,000 shares of common stock for cash proceeds of $1800 at $0.03 per share.

During February 2018, the Company issued 175,000 shares of common stock for cash proceeds of $5,250 at $0.03 per share.

During April 2018, the Company issued 240,000 shares of common stock for cash proceeds of $7,200 at $0.03 per share.

There were 3,800,000 shares of common stock issued and outstanding as of May 31, 2018.

XML

- COMMITMENTS AND CONTINGENCIES

6 Months Ended

May 31, 2018

- COMMITMENTS AND CONTINGENCIES [Abstract]

- COMMITMENTS AND CONTINGENCIES

Note 7 - COMMITMENTS AND CONTINGENCIES

Milena Topolac Tomovic, our sole officer and director, has agreed to provide the premises under the office needs for free use. Office location is Mileve Maric Ajnstajn 72, 11070 Novi Beograd, Republic of Serbia.

XML

- INCOME TAXES

6 Months Ended

May 31, 2018

- INCOME TAXES [Abstract]

- INCOME TAXES

Note 8 - INCOME TAXES

The Company adopted the provisions of uncertain tax positions as addressed in ASC 740-10-65-1. As a result of the implementation of ASC 740-10-65-1, the Company recognized no increase in the liability for unrecognized tax benefits. As of May 31, 2018 the Company had net operating loss carry forwards of approximately $8,495 that may be available to reduce future years' taxable income in varying amounts through 2031. Future tax benefits which may arise as a result of these losses have not been recognized in these financial statements, as their realization is determined not likely to occur and accordingly, the Company has recorded a valuation allowance for the deferred tax asset relating to these tax loss carry-forwards.

FOLKUP DEVELOPMENT INC.

Notes to the unaudited financial statements

MAY 31, 2018

The valuation allowance at May 31, 2018 was approximately $1,784. The net change in valuation allowance during the six months ended May 31, 2018 was $1,455. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred income tax assets will not be realized. The ultimate realization of deferred income tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred income tax liabilities, projected future taxable income, and tax planning strategies in making this assessment. Based on consideration of these items, management has determined that enough uncertainty exists relative to the realization of the deferred income tax asset balances to warrant the application of a full valuation allowance as of May 31, 2018.  All tax years since inception remains open for examination by taxing authorities.

The provision for Federal income tax consists of the following: 

		As of  May 31, 2018	As of November  30, 2017
Non-current deferred tax assets:
Net operating loss carry forward	$	(1,784)	(532)
Valuation allowance	$	1,784	532
Net deferred tax assets	$	-	-

The actual tax benefit at the expected rate of 21% differs from the expected tax benefit for the six months ended May 31, 2018 as follows:

		Six months ended  May 31, 2018	Six months ended  May 31, 2017
Computed “expected” tax expense (benefit)	$	(1,455)	(207)
Change in valuation allowance	$	1,455	207
Actual tax expense (benefit)	$	-	-

XML

- SUBSEQUENT EVENTS

6 Months Ended

May 31, 2018

- SUBSEQUENT EVENTS [Abstract]

- SUBSEQUENT EVENTS

Note 9 - SUBSEQUENT EVENTS

In accordance with SFAS 165 (ASC 855-10) the Company has analyzed its operations subsequent to May 31, 2018 to the date these financial statements were issued, and has determined that it does not have any material subsequent events to disclose in these financial statements.

XML

Significant Accounting Policies (Policies)

6 Months Ended

May 31, 2018

Significant Accounting Policies (Policies) [Abstract]

Notes to the unaudited financial statements

Basis of presentation

The accompanying financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America. The Company's yearend is November 30.

Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting principles 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 the financial statements and the reported amount of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Cash Equivalents

TheCompanyconsidersallhighlyliquidinvestmentswiththeoriginalmaturitiesofthreemonthsorlessto be cash equivalents. The Company had $33,470 of cash as of May 31, 2018.

Depreciation, Amortization, and Capitalization

The Company records depreciation and amortization when appropriate using straight-line balance method over the estimated useful life of the assets. We estimate that the useful life of sport equipment is five years. Expenditures for maintenance and repairs are charged to expense as incurred. Additions, major renewals and replacements that increase the property's useful life are capitalized. Property sold or retired, together with the related accumulated depreciation is removed from the appropriated accounts and the resultant gain or loss is included in net income.

Accounts Payable

Accounts Payable discloses a liability to a creditor, carried on open account, usually for purchases of goods and services. The Company had $0 in accounts payable as of May 31, 2018.

FOLKUP DEVELOPMENT INC.

Notes to the unaudited financial statements

MAY 31, 2018

Customer Deposits

Customer Deposits

A customer deposit is an amount paid by a customer to a company prior to the company providing it with goods or services. The company receiving the money has an obligation to provide the goods or services to the customer or to return the money. As of May 31, 2018 the Company had $0 in customer deposits.

Fair Value of Financial Instruments

AS topic 820 "Fair Value Measurements and Disclosures" establishes a three-tier fair value hierarchy, which prioritizes the inputs in measuring fair value. The hierarchy prioritizes the inputs into three levels based on the extent to which inputs used in measuring fair value are observable in the market.

These tiers include:

Level 1:	defined as observable inputs such as quoted prices in active markets;
Level 2:	defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and
Level 3:	defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.

The carrying value of cash and the Company's loan from shareholder approximates its fair value due to their short-term maturity.

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.

Comprehensive Income

Comprehensive income is defined as all changes in stockholders' equity (deficit), exclusive of transactions with owners, such as capital investments. Comprehensive income includes net income or loss, changes in certain assets and liabilities that are reported directly in equity such as translation adjustments on investments in foreign subsidiaries and unrealized gains (losses) on available-for-sale securities. As of May 31, 2018 were no differences between our comprehensive loss and net loss.

Basic Income (Loss) Per Share

The Company computes income (loss) per share in accordance with FASB ASC 260 “Earnings per Share”. Basic loss per share is computed by dividing net income (loss) available to common shareholders by the weighted average number of outstanding common shares during the period. Diluted income (loss) per share gives effect to all dilutive potential common shares outstanding during the period.  Dilutive loss per share excludes all potential common shares if their effect is anti-dilutive. As of May 31, 2018 there were no potentially dilutive debt or equity instruments issued or outstanding. 

Revenue Recognition

The Company recognizes revenue in accordance with Accounting Standards Codification No. 605, “Revenue Recognition” ("ASC-605"), ASC-605 requires that four basic criteria must be met before revenue can be recognized: (1) persuasive evidence of an arrangement exists; (2) delivery has occurred; (3) the selling price is fixed and determinable; and (4) collectability is reasonably assured. Determination of criteria (3) and (4) are based on management's judgments regarding the fixed nature of the selling prices of the products delivered and the collectability of those amounts. Provisions for discounts and rebates to customers, estimated returns and allowances, and other adjustments are provided for in the same period the related sales are recorded. The Company will defer any revenue for which the product has not been delivered or is subject to refund until such time that the Company and the customer jointly determine that the product has been delivered or no refund will be required. For the six months ended May 31, 2018 the Company has generated no revenue.

FOLKUP DEVELOPMENT INC.

Notes to the unaudited financial statements

MAY 31, 2018

Stock-Based Compensation

Stock-based compensation is accounted for at fair value in accordance with ASC Topic 718.  To date, the Company has not adopted a stock option plan and has not granted any stock options.

Recent Accounting Pronouncements

We have reviewed all the recently issued, but not yet effective, accounting pronouncements and we do not believe any of these pronouncements will have a material impact on the Company.

XML

- SUMMARY OF SIGNIFCANT ACCOUNTING POLICIES (Tables)

6 Months Ended

May 31, 2018

- SUMMARY OF SIGNIFCANT ACCOUNTING POLICIES (Tables) [Abstract]

These tiers include:

These tiers include:

Level 1:	defined as observable inputs such as quoted prices in active markets;
Level 2:	defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and
Level 3:	defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.

XML

- INCOME TAXES (Tables)

6 Months Ended

May 31, 2018

- INCOME TAXES (Tables) [Abstract]

The provision for Federal income

The provision for Federal income tax consists of the following: 

		As of  May 31, 2018	As of November  30, 2017
Non-current deferred tax assets:
Net operating loss carry forward	$	(1,784)	(532)
Valuation allowance	$	1,784	532
Net deferred tax assets	$	-	-

The actual tax benefit at

The actual tax benefit at the expected rate of 21% differs from the expected tax benefit for the six months ended May 31, 2018 as follows:

		Six months ended  May 31, 2018	Six months ended  May 31, 2017
Computed “expected” tax expense (benefit)	$	(1,455)	(207)
Change in valuation allowance	$	1,455	207
Actual tax expense (benefit)	$	-	-

XML

- GOING CONCERN (Details Text)	May 31, 2018 USD ($)
Going Concern_ [Abstract]
These factors raise substantial doubt about the Company's ability to continue as a going concern within one year after the date that the financial statements are issued	$ 1

XML

- SUMMARY OF SIGNIFCANT ACCOUNTING POLICIES (Details Text)	May 31, 2018 USD ($)
Summary_ Of Signifcant_ Accounting Policies_ [Abstract]
The Company had $33,470 of cash as of May 31, 2018.	$ 33,470
We estimate that the useful life of sport equipment is five years	5
The Company had $0 in accounts payable as of May 31, 2018.	0
As of May 31, 2018 the Company had $0 in customer deposits.	$ 0

XML

- FIXED ASSETS (Details Text)	May 31, 2018 USD ($)
Fixed Assets_ Abstract_ [Abstract]
As of May 31, 2018 the Company purchased 2 monowheels for $1,200.	$ 1,200

XML

- LOAN FROM DIRECTOR (Details Text)	May 31, 2018 USD ($)
Loan From Director__ [Abstract]
As of May 31, 2018, our sole director has loaned to the Company $15,865	$ 15,865
The balance due to the director was $15,865 as of May 31, 2018.	$ 15,865

XML

- COMMON STOCK (Details Text) - USD ($)	May 31, 2018	Apr. 30, 2018	Feb. 28, 2018	Jan. 31, 2018	Dec. 31, 2017	Oct. 31, 2017	Nov. 15, 2016
Common Stock__ [Abstract]
On November 15, 2016 the Company issued 3,000,000 shares of common stock to a director for cash proceeds of $3,000 at $0.001 per share.							$ 3,000
During October 2017, the Company issued 85,000 shares of common stock for cash proceeds of $2,550 at $0.03 per share.						$ 2,550
During December 2017, the Company issued 240,000 shares of common stock for cash proceeds of $7,200 at $0.03 per share.					$ 7,200
During January 2018, the Company issued 60,000 shares of common stock for cash proceeds of $1800 at $0.03 per share.				$ 1,800
During February 2018, the Company issued 175,000 shares of common stock for cash proceeds of $5,250 at $0.03 per share.			$ 5,250
During April 2018, the Company issued 240,000 shares of common stock for cash proceeds of $7,200 at $0.03 per share.		$ 7,200
There were 3,800,000 shares of common stock issued and outstanding as of May 31, 2018.	$ 3,800,000

XML

- INCOME TAXES (Details 1) - USD ($)	May 31, 2018	Nov. 30, 2017
Income Taxes_ Abstract_ [Abstract]
Net operating loss carry forward	$ (1,784)	$ (532)
Valuation allowance	$ 1,784	$ 532

XML

- INCOME TAXES (Details 2) - USD ($)	6 Months Ended
	May 31, 2018	May 31, 2017
Income__ Taxes Abstract__ [Abstract]
Computed "expected" tax expense (benefit)	$ (1,455)	$ (207)
Change in valuation allowance	$ 1,455	$ 207

XML

- INCOME TAXES (Details Text)	May 31, 2018 USD ($)
Income Taxes__ [Abstract]
As of May 31, 2018 the Company had net operating loss carry forwards of approximately $8,495 that may be available to reduce future years' taxable income in varying amounts through 2031	$ 8,495
The valuation allowance at May 31, 2018 was approximately $1,784	1,784
The net change in valuation allowance during the six months ended May 31, 2018 was $1,455	1,455
The actual tax benefit at the expected rate of 21% differs from the expected tax benefit for the six months ended May 31, 2018 as follows:	$ 21