0001477932-21-006971.txt : 20211004 0001477932-21-006971.hdr.sgml : 20211004 20211001190719 ACCESSION NUMBER: 0001477932-21-006971 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 33 CONFORMED PERIOD OF REPORT: 20210630 FILED AS OF DATE: 20211004 DATE AS OF CHANGE: 20211001 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Crucial Innovations, Corp. CENTRAL INDEX KEY: 0001766016 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-EDUCATIONAL SERVICES [8200] IRS NUMBER: 000000000 STATE OF INCORPORATION: NV FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 333-229638 FILM NUMBER: 211300441 BUSINESS ADDRESS: STREET 1: XIBAHE BEILI 25 CITY: BEIJING STATE: F4 ZIP: 100096 BUSINESS PHONE: 702-425-9229 MAIL ADDRESS: STREET 1: XIBAHE BEILI 25 CITY: BEIJING STATE: F4 ZIP: 100096 10-Q 1 cruc_10q.htm FORM 10-Q cruc_10q.htm

 

U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

 

Form 10-Q

 

Mark One

 

     QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the quarterly period ended June 30, 2021

 

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

 

For the transition period from ______ to _______

 

Commission File No. 333-229638

 

CRUCIAL INNOVATIONS CORP.

(Exact name of registrant as specified in its charter)

 

Nevada

 

8200

 

EIN 98-1446012

(State or Other Jurisdiction of

Incorporation or Organization)

 

(Primary Standard Industrial

Classification Number)

 

(IRS Employer

Identification Number)

 

3773 Howard Hughes Parkway

Suite 500S

Las Vegas, NV 89169

(702) 553-8372

(Address and telephone number of principal executive offices)

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class

 

Trading Symbols

 

Name of each exchange on which registered

N/A

 

N/A

 

N/A

 

Indicate by checkmark whether the issuer: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the past 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 ☒     No ☐

 

Indicate by check mark whether the registrant has submitted electronically, every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒     No ☐

 

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

 

Large-accelerated filer

Smaller reporting company

Accelerated filer

Emerging Growth Company

Non-accelerated filer

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 7(a)(2)(B) of the exchange act.

 

Indicate by checkmark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes      No ☒

 

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date:

 

There were 32,417,002 shares of the registrant’s common stock, $0.001 par value per share, outstanding on September 29, 2021.

 

 

 

 

TABLE OF CONTENTS

 

 

PART 1

 

 

 

ITEM 1

Financial Statements

 

F-1

 

ITEM 2

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

 

3

 

ITEM 3

Quantitative and Qualitative Disclosures about Market Risk

 

4

 

ITEM 4

Controls and Procedures

 

4

 

 

PART II

 

 

 

ITEM 1

Legal Proceedings

 

6

 

ITEM 1A

Risk Factors

 

6

 

ITEM 2

Unregistered Sales of Equity Securities and Use of Proceeds

 

6

 

ITEM 3

Defaults Upon Senior Securities

 

6

 

ITEM 4

Mining Safety Disclosures

 

6

 

ITEM 5

Other Information

 

6

 

ITEM 6

Exhibits

 

7

 

 

 

2

Table of Contents

 

PART I – FINANCIAL INFORMATION

 

Item 1. Financial Statements

 

CRUCIAL INNOVATIONS, CORP.

BALANCE SHEETS

(Unaudited)

 

 

 

June 30,

 

 

December 31,

 

 

 

2021

 

 

2020

 

ASSETS

 

 

 

 

 

 

Current Assets

 

 

 

 

 

 

Cash

 

$-

 

 

$-

 

Total Current Assets

 

 

-

 

 

 

-

 

 

 

 

 

 

 

 

 

 

Total Assets

 

$-

 

 

$-

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS' DEFICIT

 

 

 

 

 

 

 

 

Current Liabilities

 

 

 

 

 

 

 

 

Accounts payable

 

$5,019

 

 

$429

 

Convertible note and accrued interest, net of unamortized discount

 

 

8,556

 

 

 

-

 

Total Current Liabilities

 

 

13,575

 

 

 

429

 

 

 

 

 

 

 

 

 

 

Total Liabilities

 

 

13,575

 

 

 

429

 

 

 

 

 

 

 

 

 

 

Stockholders' Deficit

 

 

 

 

 

 

 

 

Common stock: 75,000,000 authorized; $0.0001 par value, 32,417,002 shares issued and outstanding, respectively

 

 

3,241

 

 

 

3,241

 

Additional paid-in capital

 

 

94,390

 

 

 

87,910

 

Accumulated deficit

 

 

(111,206)

 

 

(91,580)

Total Stockholders' Deficit

 

 

(13,575)

 

 

(429)

 

 

 

 

 

 

 

 

 

Total Liabilities and Stockholders' Deficit

 

$-

 

 

$-

 

 

The accompanying notes to the unaudited financial statements are an integral part of these statements.

 

 
F-1

Table of Contents

 

CRUCIAL INNOVATIONS, CORP.

STATEMENTS OF OPERATIONS

(Unaudited)

 

 

 

For Three Months Ended

 

 

For the Six Months Ended

 

 

 

June 30,

 

 

June 30,

 

 

 

2021

 

 

2020

 

 

2021

 

 

2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenues

 

$-

 

 

$-

 

 

$-

 

 

$-

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

General and administrative expenses

 

 

11,070

 

 

 

5,926

 

 

 

11,070

 

 

 

11,181

 

Total operating expenses

 

 

11,070

 

 

 

5,926

 

 

 

11,070

 

 

 

11,181

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss from operations

 

 

(11,070)

 

 

(5,926)

 

 

(11,070)

 

 

(11,181)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other Expense

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

 

(8,556)

 

 

-

 

 

 

(8,556)

 

 

-

 

Total other expense

 

 

(8,556)

 

 

-

 

 

 

(8,556)

 

 

-

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss before taxes

 

 

(19,626)

 

 

(5,926)

 

 

(19,626)

 

 

(11,181)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Provision for income taxes

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

 

$(19,626)

 

$(5,926)

 

$(19,626)

 

$(11,181)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic and diluted loss per common share

 

$(0.00)

 

$(0.00)

 

$(0.00)

 

$(0.01)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average number of common shares outstanding, basic and diluted

 

 

32,417,002

 

 

 

1,872,113

 

 

 

32,417,002

 

 

 

1,872,113

 

 

The accompanying notes to the unaudited financial statements are an integral part of these statements.

 

 
F-2

Table of Contents

 

CRUCIAL INNOVATIONS, CORP.

STATEMENTS OF STOCKHOLDERS’ DEFICIT

(Unaudited)

 

For the Six months ended June 30, 2021

 

 

 

 

 

 

 

 

 

Additional

 

 

 

 

 

Total

 

 

 

Common Stock

 

 

Paid-in

 

 

Accumulated

 

 

Stockholders'

 

 

 

Shares

 

 

Amount

 

 

Capital

 

 

Deficit

 

 

Deficit

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance, December 31, 2020

 

 

32,417,002

 

 

$3,241

 

 

$87,910

 

 

$(91,580)

 

$(429)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

 

 

-

 

Balance, March 31, 2021

 

 

32,417,002

 

 

$3,241

 

 

$87,910

 

 

$(91,580)

 

$(429)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beneficial conversion feature

 

 

-

 

 

 

-

 

 

 

6,480

 

 

 

-

 

 

 

6,480

 

Net loss

 

 

-

 

 

 

-

 

 

 

-

 

 

 

(19,626)

 

 

(19,626)

Balance, June 30, 2021

 

 

32,417,002

 

 

$3,241

 

 

$94,390

 

 

$(111,206)

 

$(13,575)

 

For the Six months ended June 30, 2020

 

 

 

 

 

 

 

 

 

Additional

 

 

 

 

 

Total

 

 

 

Common Stock

 

 

Paid-in

 

 

Accumulated

 

 

Stockholders'

 

 

 

Shares

 

 

Amount

 

 

Capital

 

 

Deficit

 

 

Deficit

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance, December 31, 2019

 

 

2,417,002

 

 

$241

 

 

$24,919

 

 

$(61,022)

 

$(35,862)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

 

 

-

 

 

 

-

 

 

 

-

 

 

 

(5,255)

 

 

(5,255)

Balance, March 31, 2020

 

 

2,417,002

 

 

$241

 

 

$24,919

 

 

$(66,277)

 

$(41,117)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

 

 

-

 

 

 

-

 

 

 

-

 

 

 

(5,926)

 

 

(5,926)

Balance, June 30, 2020

 

 

2,417,002

 

 

$241

 

 

$24,919

 

 

$(72,203)

 

$(47,043)

 

The accompanying notes to the unaudited financial statements are an integral part of these statements.

 

 
F-3

Table of Contents

 

CRUCIAL INNOVATIONS, CORP.

STATEMENTS OF CASH FLOWS

(Unaudited)

 

 

 

For the Six Months Ended

 

 

 

June 30,

 

 

 

2021

 

 

2020

 

 

 

 

 

 

 

 

Cash Flows from Operating Activities:

 

 

 

 

 

 

Net loss

 

$(19,626)

 

$(11,181)

Adjustments to reconcile net loss to net cash used in operating activities:

 

 

 

 

 

 

 

 

Depreciation and amortization

 

 

-

 

 

 

1,302

 

Amortization of debt discount

 

 

5,544

 

 

 

-

 

Changes in operating assets and liabilities:

 

 

 

 

 

 

 

 

Accounts payable - related party

 

 

4,590

 

 

 

7,500

 

Accrued expenses

 

 

-

 

 

 

(2,000)

Accrued interest

 

 

3,012

 

 

 

-

 

Net Cash Used in Operating Activities

 

 

(6,480)

 

 

(4,379)

 

 

 

 

 

 

 

 

 

Cash Flows from Financing Activities:

 

 

 

 

 

 

 

 

Director loan - related party

 

 

-

 

 

 

4,379

 

Proceed from convertible note

 

 

6,480

 

 

 

-

 

Net Cash Provided by Financing Activities

 

 

6,480

 

 

 

4,379

 

 

 

 

 

 

 

 

 

 

Net change in cash

 

 

-

 

 

 

-

 

Cash, beginning of period

 

 

-

 

 

 

1,950

 

Cash, end of period

 

$-

 

 

$1,950

 

 

 

 

 

 

 

 

 

 

Supplemental cash flow information:

 

 

 

 

 

 

 

 

Cash paid for interest

 

$-

 

 

$-

 

Cash paid for taxes

 

$-

 

 

$-

 

 

 

 

 

 

 

 

 

 

Supplemental disclosure of non-cash financing activity

 

 

 

 

 

 

 

 

Beneficial conversion feature

 

$6,480

 

 

$-

 

 

The accompanying notes to the unaudited financial statements are an integral part of these statements.

 

 
F-4

Table of Contents

 

CRUCIAL INNOVATIONS, CORP.

NOTES TO THE UNAUDITED FINANCIAL STATEMENTS

June 30, 2021

 

NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

 

Basis of Presentation

 

The accompanying unaudited interim financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America for interim financial information and with the instructions to Form 10-Q and Regulation S-X. Accordingly, the unaudited interim financial statements do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements.

 

In the opinion of management, all adjustments consisting of normal recurring entries necessary for a fair statement of the periods presented for: (a) the financial position; (b) the result of operations; and (c) cash flows, have been made in order to make the unaudited interim financial statements presented not misleading. The results of operations for such interim periods are not necessarily indicative of operations for a full year. The accompanying unaudited interim financial statements should be read in conjunction with the financial statements and related notes included in the Company’s Annual Report on Form 10-K, for the year ended December 31, 2020, as filed with the SEC on June 8, 2021.

 

Use of Estimates

 

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date the financial statements and the reported amount of revenues and expenses during the reporting period. Actual results could differ from those estimates.

 

NOTE 2 – GOING CONCERN

 

Going concern

 

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern, which contemplates the realization of assets and the liquidation of liabilities in the normal course of business. As of June 30, 2021, the Company had an accumulated deficit of $111,206, a net loss of $19,626 for the six months ended June 30, 2021 and has not earned any revenues. The Company intends to fund operations through equity financing arrangements and related party advances, which may be insufficient to fund its capital expenditures, working capital and other cash requirements for the year ending December 31, 2021.

 

The ability of the Company to emerge from an early stage is dependent upon, among other things, obtaining additional financing to continue operations, and development of its business plan. In response to these problems, management intends to raise additional funds through public or private placement offerings.

 

These factors, among others, raise substantial doubt about the Company’s ability to continue as a going concern. The accompanying financial statements do not include any adjustments that might result from the outcome of this uncertainty.

 

NOTE 3 – RELATED PARTY TRANSACTIONS

 

During the six months ended June 30, 2021 and 2020, our former director advanced $0 and $2,854 for operating expenses.

 

During the six months ended June 30, 2021 and 2020, consulting services rendered by related party to the Company were $0 and $3,750, respectively.

 

 
F-5

Table of Contents

 

NOTE 4 – COMMITMENTS AND CONTINGENCIES

 

Our sole officer and director has agreed to provide her own premise under office needs. She will not take any fee for these premises; it is for free use.

 

The extent of the impact of the coronavirus (“COVID‐19”) outbreak on the financial performance of the Company will depend on future developments, including the duration and spread of the outbreak and related advisories and restrictions and the impact of COVID‐19 on the overall economy, all of which are highly uncertain and cannot be predicted. If the overall economy is impacted for an extended period, the Company’s future operating results may be materially adversely affected.

 

NOTE 5 – CONVERRTIBLE NOTE

 

During the six months ended June 30, 2021, the Company issued a convertible note with a conversion price of 60% discount on the market price to pay operating expenses of $6,480. The Company shall repay the amount of $10,000 within 90 days. The Company recorded a discount on the convertible notes due to a beneficial conversion feature of $6,480. During the six months ended June 30, 2021, the Company recorded interest expense of $3,012 and amortization of debt discount of $5,544. At June 30, 2021, the Company had convertible note of $6,480, accrued interest of $3,012 and debt discount of $936 as of June 30, 2021.

 

NOTE 6 – SUBSEQUENT EVENTS

 

On December 31, 2020, the Company entered into a definitive Equity Purchase Agreement with Mercantile Global Holdings, Inc., a Delaware corporation (“MGH”). On September 2, 2021, the Company and MGH entered into a Mutual Termination Agreement, whereby the parties agreed to terminate the Equity Purchase Agreement. The Mutual Termination Agreement provided for a mutual release of the parties.

 

On September 13, 2021, the Company entered into a definitive Share Purchase Agreement (the “Agreement”) with JPD Capital PCC, a Guernsey Channel Islands registered company (“JPD”) . Pursuant to the terms of the Agreement, the Company will acquire from JPD an aggregate of 96% of all of the issued and outstanding shares of capital stock of Eco Equity Zimbabwe, a Zimbabwe registered company (“ECO”), in exchange for consideration consisting of 42,000,000 restricted shares of Company’s common stock, $0.0001 par value, which will represent Fifty-six percent (56%) of all issued and outstanding shares of Company common stock at the time of the closing of the transaction. The Agreement also provides for the Company, post-closing, to increase the number of its authorized shares of common stock from 75,000,000 shares to 80,000,000 shares, in anticipation of a post-closing private placement stock of 5,000,000 shares of the Company’s common stock. Coincident with the closing of the transaction, the Company’s existing officers and directors will resign and JPD shall name a majority of the new directors, who shall then appoint a new Chief Executive Officer, Chief Financial Officer, and Secretary of the Company.

 

 
F-6

Table of Contents

 

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

 

There is no historical financial information about us upon which to base an evaluation of our performance. We are in start-up stage operations and have not generated any revenues. We cannot guarantee we will be successful in our business operations. Our business is subject to risks inherent in the establishment of a new business enterprise, including limited capital resources and possible cost overruns due to price and cost increases in services and products.

 

We have no assurance that future financing will be available to us on acceptable terms. If financing is not available on satisfactory terms, we may be unable to continue, develop or expand our operations. Equity financing could result in additional dilution to existing shareholders.

 

The extent of the impact of the coronavirus (“COVID‐19”) outbreak on the financial performance of the Company will depend on future developments, including the duration and spread of the outbreak and related advisories and restrictions and the impact of COVID‐19 on the overall economy, all of which are highly uncertain and cannot be predicted. If the overall economy is impacted for an extended period, the Company’s future operating results may be materially adversely affected.

 

Results of Operations

 

FOR THREE MONTHS ENDED June 30, 2021, COMPARED TO THREE MONTHS ENDED June 30, 2020.

 

The Company has not generated revenues for the three months ended June 30, 2021, and 2020.

 

Our net loss for the three months ended June 30, 2021, was $19,626 compared to a net loss of $5,926 for three months ended June 30, 2020. For June 30, 2021 operating expenses were $11,070 compared to $5,926 for June 30, 2020, the increase was primarily from professional fees. For the three months ended 2021 we recognized $8,556 for interest expense on a convertible note, for 2020 we did not have interest expense.

 

FOR SIX MONTHS ENDED June 30, 2021, COMPARED TO SIX MONTHS ENDED June 30, 2020.

 

The Company has not generated revenues for the six months ended June 30, 2021 and 2020.

 

Our net loss for the six months ended June 30, 2021, was $19,636 compared to a net loss of $11,181 for six months ended June 30, 2020. For June 30, 2021 operating expenses were $11,070 compared to $11,181 for June 30, 2020. For the six months ended 2021 we recognized $8,556 for interest expense on a convertible note issued in 2021, for 2020 we did not have interest expense.

 

As of June 30, 2021, and December 31, 2020, the number of shares outstanding was 32,417,002.

 

LIQUIDITY AND CAPITAL RESOURCES

 

As of June 30, 2021, and December 31, 2020, our total assets were $0.

 

As of June 30, 2021, our total liabilities were $13,575, for accounts payable of $5,019 and convertible note and accrued interest of $9,492 less discount of 936.

 

As of December 31, 2020, our total liabilities were $429, for accounts payable.

 

Cash Flows from Operating Activities

 

We have not generated positive cash flows from operating activities for the three months ended June 30, 2021, net cash flows used in operating activities was $6,480. Cash flows used in operating activities for the three months ended June 30, 2020, was $4,379.

 

 
3

Table of Contents

 

Cash Flows from Investing Activities

 

We have not generated cash flows from investing activities for the three months ended June 30, 2021, and 2020.

 

Cash Flows from Financing Activities

 

We have financed our operations primarily from either advancements or the issuance of equity and debt instruments. For the six months ended June 30, 2021, net cash provided by financing activities was $6,480 for issuance of a convertible note. For the six months ended June 30, 2020, net cash from financing activities was $4,379, for related party loans.

 

Off-Balance Sheet Arrangements

 

We do not have any 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 that is material to investors.

 

Critical Accounting Policies

 

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires estimates and assumptions that affect the reported amounts of assets and liabilities, revenues and expenses, and related disclosures of contingent assets and liabilities in the financial statements and accompanying notes. The SEC has defined a company’s critical accounting policies as the ones that are most important to the portrayal of the company’s financial condition and results of operations, and which require the company to make its most difficult and subjective judgments, often as a result of the need to make estimates of matters that are inherently uncertain. Based on this definition, we have not identified any additional critical accounting policies and judgments. We also have other key accounting policies, which involve the use of estimates, judgments and assumptions that are significant to understanding our results, which are described in Note 1 to our financial statements. Although we believe that our estimates, assumptions and judgments are reasonable, they are based upon information presently available. Actual results may differ significantly from these estimates under different assumptions, judgments or conditions.

 

Item 3. Quantitative and Qualitative Disclosures about Market Risk.

 

Not required for smaller reporting companies.

 

Item 4. Controls and Procedures.

 

Disclosure Controls and Procedures

 

Disclosure controls and procedures are designed to ensure that information required to be disclosed in the reports filed or submitted under the Exchange Act is recorded, processed, summarized, and reported, within the time period specified in the SEC’s rules and forms, and that such information is accumulated and communicated to management, including the CEO and CFO, as appropriate, to allow timely decisions regarding required disclosures. Our management necessarily applied its judgment in assessing the costs and benefits of such controls and procedures, which, by their nature, can provide only reasonable assurance regarding management’s control objectives.

 

Our management, with the participation of our CEO, evaluated the effectiveness of the design and operation of our disclosure controls and procedures as of the end of the period covered by this Report. Based upon this evaluation, our CEO concluded that our disclosure controls and procedures were not effective because of the identification of a material weakness in our internal control over financial reporting which is described below.

 

 
4

Table of Contents

 

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

 

This quarterly report contains forward-looking statements. These statements relate to future events or our future financial performance. These statements often can be identified by the use of terms such as “may,” “will,” “expect,” “believe,” “anticipate,” “estimate,” “approximate” or “continue,” or the negative thereof. We intend that such forward-looking statements be subject to the safe harbors for such statements. We wish to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. Any forward-looking statements represent management’s best judgment as to what may occur in the future. However, forward-looking statements are subject to risks, uncertainties and important factors beyond our control that could cause actual results and events to differ materially from historical results of operations and events and those presently anticipated or projected. We disclaim any obligation subsequently to revise any forward-looking statements to reflect events or circumstances after the date of such statement or to reflect the occurrence of anticipated or unanticipated events.

 

Management’s Report on Internal Control Over Financial Reporting

 

Our management is responsible for establishing and maintaining adequate internal control over financial reporting, as such term is defined in Exchange Rule 13a-15(f). Our internal control over financial reporting is a process designed to provide reasonable assurance to our management and board of directors regarding the reliability of financial reporting and the preparation of the financial statements for external purposes in accordance with U.S. GAAP.

 

Our internal control over financial reporting includes those policies and procedures that (i) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of our assets; (ii) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with U.S. GAAP and our receipts and expenditures are being made only in accordance with authorizations of our management and directors; and (iii) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of our assets that could have a material effect on our consolidated financial statements.

 

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. All internal control systems, no matter how well designed, have inherent limitations, including the possibility of human error and the circumvention of overriding controls. Accordingly, even effective internal control over financial reporting can provide only reasonable assurance with respect to financial statement preparation. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

 

Our management assessed the effectiveness of our internal control over financial reporting as of June 30, 2021. In making this assessment, it used the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission (“COSO”) in Internal Control-Integrated Framework (2013). Based on this evaluation, management concluded that that our internal control over financial reporting was not effective as of June 30, 2021. Our CEO concluded we have a material weakness due to lack of segregation of duties, a limited corporate governance structure, and a lack of a formal management review process over preparation of financial information. A material weakness is a deficiency, or a combination of control deficiencies, in internal control over financial reporting such that there is a reasonable possibility that a material misstatement of our annual or interim financial statements will not be prevented or detected on a timely basis.

 

Our size has prevented us from being able to employ sufficient resources to enable us to have an adequate level of supervision and segregation of duties within our system of internal control. Therefore, while there are some compensating controls in place, it is difficult to ensure effective segregation of accounting and financial reporting duties. Management reported the following material weaknesses:

 

 

·

Lack of segregation of duties in certain accounting and financial reporting processes including the initiation, processing, recording and approval of disbursements;

 

 

·

Our corporate governance responsibilities are performed by the Board of Directors, none of whom are independent under applicable standards; we do not have an audit committee or compensation committee. Our Board of Directors acts primarily by written consent without meetings which results in several of our corporate governance functions not being performed concurrent (or timely) with the underlying transactions, including evaluation of the application of accounting principles and disclosures relating to those transactions; and

 

 

·

Certain reports that we prepare and accounting and reporting conclusions reached in connection with the financial statement preparation process are not subjected to a formal review process that includes multiple levels of review and are not submitted timely to the Board of Directors for review or approval.

 

While we strive to segregate duties as much as practicable, there is an insufficient volume of transactions at this point in time to justify additional full-time staff. We believe that this is typical in many development-stage companies. We may not be able to fully remediate the material weakness until we commence mining operations at which time we would expect to hire more staff. We will continue to monitor and assess the costs and benefits of additional staffing.

 

This Quarterly does not include an attestation report of our registered public accounting firm regarding internal control over financial reporting. Management’s report was not subject to attestation by our registered public accounting firm pursuant to the SEC rules that permit us to provide only management’s report in this Quarterly Report.

 

Changes in Internal Control Over Financial Reporting

 

There were no changes in our internal control over financial reporting that occurred during the quarter ended June 30, 2021, that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

 

 
5

Table of Contents

 

PART II – OTHER INFORMATION

 

Item 1. Legal Proceedings.

 

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

 

Item 1A. Risk Factors.

 

Not required for smaller reporting companies.

 

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.

 

During the three months ended June 30, 2021, we had no sales of unregistered equity securities.

 

Item 3. Defaults Upon Senior Securities.

 

During the three months ended June 30, 2021, we had no senior securities issued and outstanding.

 

Item 4. Mine Safety Disclosures.

 

Not applicable.

 

Item 5. Other Information.

 

None.

 

 
6

Table of Contents

 

Item 6. Exhibits.

 

EXHIBIT SCHEDULE

 

Exhibit  Number

 

Document Description

(1)

3 (i)

 

Articles of Incorporation filed with the Nevada Secretary of State of February 28, 2018.

(1)

3 (ii)

 

Bylaws

(2)

10.1

 

Equity Purchase Agreement dated December 31, 2020, by and between Crucial Innovations Corp. and Mercantile Global Holdings, Inc.

(3)

10.2

 

Mutual Termination Agreement dated September 2, 2021 by and between Crucial Innovations Corp. and Mercantile Global Holdings, Inc.

(4)

10.3

 

Share Purchaser Agreement dated September 13, 2021 by and between Crucial Innovations Corp. and JPD Capital PPC.

#

31.1

 

Certification of the Chief Executive Officer pursuant to Section 302 of Sarbanes-Oxley Act of 2002.

#

31.2

 

Certification of the Chief Financial Officer pursuant to Section 302 of Sarbanes-Oxley Act of 2002.

##

32.1

 

Certification of the Chief Executive Officer and Chief Financial Officer pursuant to Section 906 of Sarbanes-Oxley Act of 2002.

#

101

 

The following financial information from the Quarterly Report on Form 10-Q for the quarterly period ended June 30, 2021, formatted in XBRL (eXtensible Business Reporting Language): (i) the Consolidated Balance Sheets; (ii) the Consolidated Statements of Operations; (iii) the Consolidated Statements of Stockholders’ Equity; (iv) the Consolidated Statements of Cash Flows; and (v) the Notes to the Consolidated Financial Statements.

__________ 

(1) Incorporated by reference from the Company’s Registration Statement on Form S-1, SEC File No. 333-229638 as declared effective by the Commission on April 9, 2019.

(2) Incorporated by reference from the Company’s Current Report on Form 8-K, filed with the SEC on January 4, 2021.

(3) Incorporated by reference from the Company’s Current Report on Form 8-K, filed with the SEC on September 16, 2021.

(4) Incorporated by reference from the Company’s Current Report on Form 8-K, filed with the SEC on September 17, 2021.

# Filed herewith.

## Furnished, not filed.

 

 
7

Table of Contents

 

SIGNATURES

 

Pursuant to the requirements of Section 13 or 15(d) 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 on October 1, 2021.

 

CRUCIAL INNOVATIONS CORP.

 

 

 

By

/s/ Laura De Leon Castro

 

Laura De Leon Castro

 

President and Chief Executive Officer

 

 

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities indicated on October 1, 2021.

 

 

Signature

 

Title

 

 

/s/ Laura De Leon Castro

 

President, Chief Executive Officer, Treasurer, Secretary, and Director

 

Laura De Leon Castro

 

(Principal Executive Officer and Principal Accounting Officer)

 

 

 

8

 

EX-31.1 2 cruc_ex311.htm CERTIFICATION cruc_ex311.htm

EXHIBIT 31.1

 

CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER PURSUANT

 

TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

 

I, Laura De Leon Castro, certify that:

 

1.

I have reviewed this quarterly report on Form 10-Q of Crucial Innovations Corp.;

 

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 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.

 

 

October 1, 2021

 

/s/ Laura De Leon Castro

 

Laura De Leon Castro

 

President and Chief Executive Officer

 

 

EX-31.2 3 cruc_ex312.htm CERTIFICATION cruc_ex312.htm

EXHIBIT 31.2

 

CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER PURSUANT

 

TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

 

I, Laura De Leon Castro, certify that:

 

1.

I have reviewed this quarterly report on Form 10-Q of Crucial Innovations Corp.;

 

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 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.

 

 

October 1, 2021

 

/s/ Laura De Leon Castro

 

Laura De Leon Castro

 

President and Chief Executive Officer

 

 

EX-32.1 4 cruc_ex321.htm CERTIFICATION cruc_ex321.htm

EXHIBIT 32.1

 

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 Quarterly Report of Crucial Innovations Corp. (the "Company") on Form 10-Q for the three months ended June 30, 2021 as filed with the Securities and Exchange Commission on the date hereof (the "Report"), the undersigned officers of the Company, each certify, pursuant to 18 U.S.C. § 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 (15 U.S.C. 78m or 78o(d)); and

 

 

 

 

(2)

The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

 

 

October 1, 2021

 

 

 

 

 

/s/ Laura De Leon Castro

 

Laura De Leon Castro

 

 

President and Chief Executive Officer

 

 

 

 

 

/s/ Laura De Leon Castro

 

 

Laura De Leon Castro

 

 

Chief Financial Officer

 

 

A signed original of this written statement required by Section 906, or other document authenticating, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to the Registrant and will be retained by the Registrant and furnished to the Securities and Exchange Commission or its staff upon request.

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NV 98-1446012 3773 Howard Hughes Parkway Suite 500S Las Vegas NV 89169 702 553-8372 Yes Yes true true Non-accelerated Filer false false 32417002 0 0 0 0 0 0 5019 429 8556 0 13575 429 13575 429 75000000 0.0001 32417002 3241 3241 94390 87910 -111206 -91580 -13575 -429 0 0 0 0 0 0 11070 5926 11070 11181 11070 5926 11070 11181 -11070 -5926 -11070 -11181 8556 0 8556 0 -8556 0 -8556 0 -19626 -5926 -19626 -11181 0 0 0 0 -19626 -5926 -19626 -11181 -0.00 -0.00 -0.00 -0.01 32417002 1872113 32417002 1872113 32417002 3241 87910 -91580 -429 0 0 0 0 32417002 3241 87910 -91580 -429 0 6480 0 6480 0 0 -19626 -19626 32417002 3241 94390 -111206 -13575 2417002 241 24919 -61022 -35862 0 0 -5255 -5255 2417002 241 24919 -66277 -41117 0 0 -5926 -5926 2417002 241 24919 -72203 -47043 -19626 -11181 0 1302 5544 0 4590 7500 0 -2000 3012 0 -6480 -4379 0 4379 6480 0 6480 4379 0 0 0 1950 0 1950 0 0 0 0 6480 0 <p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"><strong>NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES</strong></p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"><strong><em>Basis of Presentation</em></strong></p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">The accompanying unaudited interim financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America for interim financial information and with the instructions to Form 10-Q and Regulation S-X. Accordingly, the unaudited interim financial statements do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">In the opinion of management, all adjustments consisting of normal recurring entries necessary for a fair statement of the periods presented for: (a) the financial position; (b) the result of operations; and (c) cash flows, have been made in order to make the unaudited interim financial statements presented not misleading. The results of operations for such interim periods are not necessarily indicative of operations for a full year. The accompanying unaudited interim financial statements should be read in conjunction with the financial statements and related notes included in the Company’s Annual Report on Form 10-K, for the year ended December 31, 2020, as filed with the SEC on June 8, 2021.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"><strong><em>Use of Estimates</em></strong></p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date the financial statements and the reported amount of revenues and expenses during the reporting period. Actual results could differ from those estimates.</p> <p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">The accompanying unaudited interim financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America for interim financial information and with the instructions to Form 10-Q and Regulation S-X. Accordingly, the unaudited interim financial statements do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">In the opinion of management, all adjustments consisting of normal recurring entries necessary for a fair statement of the periods presented for: (a) the financial position; (b) the result of operations; and (c) cash flows, have been made in order to make the unaudited interim financial statements presented not misleading. The results of operations for such interim periods are not necessarily indicative of operations for a full year. The accompanying unaudited interim financial statements should be read in conjunction with the financial statements and related notes included in the Company’s Annual Report on Form 10-K, for the year ended December 31, 2020, as filed with the SEC on June 8, 2021.</p> <p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date the financial statements and the reported amount of revenues and expenses during the reporting period. Actual results could differ from those estimates.</p> <p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"><strong>NOTE 2 – GOING CONCERN</strong></p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"><strong><em>Going concern</em></strong></p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">The accompanying financial statements have been prepared assuming that the Company will continue as a going concern, which contemplates the realization of assets and the liquidation of liabilities in the normal course of business. As of June 30, 2021, the Company had an accumulated deficit of $111,206, a net loss of $19,626 for the six months ended June 30, 2021 and has not earned any revenues. The Company intends to fund operations through equity financing arrangements and related party advances, which may be insufficient to fund its capital expenditures, working capital and other cash requirements for the year ending December 31, 2021.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">The ability of the Company to emerge from an early stage is dependent upon, among other things, obtaining additional financing to continue operations, and development of its business plan. In response to these problems, management intends to raise additional funds through public or private placement offerings.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">These factors, among others, raise substantial doubt about the Company’s ability to continue as a going concern. The accompanying financial statements do not include any adjustments that might result from the outcome of this uncertainty.</p> -111206 -19626 <p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"><strong>NOTE 3 – RELATED PARTY TRANSACTIONS</strong></p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">During the six months ended June 30, 2021 and 2020, our former director advanced $0 and $2,854 for operating expenses.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">During the six months ended June 30, 2021 and 2020, consulting services rendered by related party to the Company were $0 and $3,750, respectively.</p> 0 2854 0 3750 <p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"><strong>NOTE 4 – COMMITMENTS AND CONTINGENCIES</strong></p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">Our sole officer and director has agreed to provide her own premise under office needs. She will not take any fee for these premises; it is for free use.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">The extent of the impact of the coronavirus (“COVID‐19”) outbreak on the financial performance of the Company will depend on future developments, including the duration and spread of the outbreak and related advisories and restrictions and the impact of COVID‐19 on the overall economy, all of which are highly uncertain and cannot be predicted. If the overall economy is impacted for an extended period, the Company’s future operating results may be materially adversely affected.</p> <p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"><strong>NOTE 5 – CONVERRTIBLE NOTE</strong></p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">During the six months ended June 30, 2021, the Company issued a convertible note with a conversion price of 60% discount on the market price to pay operating expenses of $6,480. The Company shall repay the amount of $10,000 within 90 days. The Company recorded a discount on the convertible notes due to a beneficial conversion feature of $6,480. During the six months ended June 30, 2021, the Company recorded interest expense of $3,012 and amortization of debt discount of $5,544. At June 30, 2021, the Company had convertible note of $6,480, accrued interest of $3,012 and debt discount of $936 as of June 30, 2021.</p> 0.60 -6480 10000 6480 3012 5544 6480 3012 936 <p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"><strong>NOTE 6 – SUBSEQUENT EVENTS</strong></p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">On December 31, 2020, the Company entered into a definitive Equity Purchase Agreement with Mercantile Global Holdings, Inc., a Delaware corporation (“MGH”). On September 2, 2021, the Company and MGH entered into a Mutual Termination Agreement, whereby the parties agreed to terminate the Equity Purchase Agreement. The Mutual Termination Agreement provided for a mutual release of the parties.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;">On September 13, 2021, the Company entered into a definitive Share Purchase Agreement (the “Agreement”) with JPD Capital PCC, a Guernsey Channel Islands registered company (“JPD”) . Pursuant to the terms of the Agreement, the Company will acquire from JPD an aggregate of 96% of all of the issued and outstanding shares of capital stock of Eco Equity Zimbabwe, a Zimbabwe registered company (“ECO”), in exchange for consideration consisting of 42,000,000 restricted shares of Company’s common stock, $0.0001 par value, which will represent Fifty-six percent (56%) of all issued and outstanding shares of Company common stock at the time of the closing of the transaction. The Agreement also provides for the Company, post-closing, to increase the number of its authorized shares of common stock from 75,000,000 shares to 80,000,000 shares, in anticipation of a post-closing private placement stock of 5,000,000 shares of the Company’s common stock. Coincident with the closing of the transaction, the Company’s existing officers and directors will resign and JPD shall name a majority of the new directors, who shall then appoint a new Chief Executive Officer, Chief Financial Officer, and Secretary of the Company. </p> 0.96 42000000 0.0001 80000000 5000000 XML 11 R1.htm IDEA: XBRL DOCUMENT v3.21.2
Cover - shares
6 Months Ended
Jun. 30, 2021
Sep. 29, 2021
Cover [Abstract]    
Entity Registrant Name CRUCIAL INNOVATIONS CORP.  
Entity Central Index Key 0001766016  
Document Type 10-Q  
Amendment Flag false  
Current Fiscal Year End Date --12-31  
Entity Small Business true  
Entity Shell Company false  
Entity Emerging Growth Company true  
Entity Current Reporting Status Yes  
Document Period End Date Jun. 30, 2021  
Entity Filer Category Non-accelerated Filer  
Document Fiscal Period Focus Q2  
Document Fiscal Year Focus 2021  
Entity Ex Transition Period false  
Entity Common Stock Shares Outstanding   32,417,002
Document Quarterly Report true  
Document Transition Report false  
Entity Incorporation State Country Code NV  
Entity Interactive Data Current Yes  
Entity File Number 333-229638  
Entity Tax Identification Number 98-1446012  
Entity Address Address Line 1 3773 Howard Hughes Parkway  
Entity Address Address Line 2 Suite 500S  
Entity Address City Or Town Las Vegas  
Entity Address State Or Province NV  
Entity Address Postal Zip Code 89169  
City Area Code 702  
Local Phone Number 553-8372  
XML 12 R2.htm IDEA: XBRL DOCUMENT v3.21.2
BALANCE SHEETS - USD ($)
Jun. 30, 2021
Dec. 31, 2020
Current Assets    
Cash $ 0 $ 0
Total Current Assets 0 0
Total Assets 0 0
Current Liabilities    
Accounts payable 5,019 429
Convertible note and accrued interest, net of unamortized discount 8,556 0
Total Current Liabilities 13,575 429
Total Liabilities 13,575 429
Stockholders' Deficit    
Common stock: 75,000,000 authorized; $0.0001 par value, 32,417,002 shares issued and outstanding, respectively 3,241 3,241
Additional paid-in capital 94,390 87,910
Accumulated deficit (111,206) (91,580)
Total Stockholders' Deficit (13,575) (429)
Total Liabilities and Stockholders' Deficit $ 0 $ 0
XML 13 R3.htm IDEA: XBRL DOCUMENT v3.21.2
BALANCE SHEETS (Parenthetical) - $ / shares
Jun. 30, 2021
Dec. 31, 2020
BALANCE SHEETS    
Common Stock, Par or Stated Value Per Share $ 0.0001 $ 0.0001
Common Stock, Shares Authorized 75,000,000 75,000,000
Common Stock, Shares, Issued 32,417,002 32,417,002
Common Stock, Shares, Outstanding 32,417,002 32,417,002
XML 14 R4.htm IDEA: XBRL DOCUMENT v3.21.2
STATEMENTS OF OPERATIONS (Unaudited) - USD ($)
3 Months Ended 6 Months Ended
Jun. 30, 2021
Jun. 30, 2020
Jun. 30, 2021
Jun. 30, 2020
STATEMENTS OF OPERATIONS (Unaudited)        
Revenues $ 0 $ 0 $ 0 $ 0
Operating expenses        
General and administrative expenses 11,070 5,926 11,070 11,181
Total operating expenses 11,070 5,926 11,070 11,181
Net loss from operations (11,070) (5,926) (11,070) (11,181)
Other Expense        
Interest expense (8,556) 0 (8,556) 0
Total other expense (8,556) 0 (8,556) 0
Net loss before taxes (19,626) (5,926) (19,626) (11,181)
Provision for income taxes 0 0 0 0
Net loss $ (19,626) $ (5,926) $ (19,626) $ (11,181)
Basic and diluted loss per common share $ (0.00) $ (0.00) $ (0.00) $ (0.01)
Weighted average number of common shares outstanding, basic and diluted 32,417,002 1,872,113 32,417,002 1,872,113
XML 15 R5.htm IDEA: XBRL DOCUMENT v3.21.2
STATEMENTS OF STOCKHOLDERS DEFICIT (Unaudited) - USD ($)
Total
Common Stock
Additional Paid-In Capital
Accumulated Deficit
Balance, shares at Dec. 31, 2019   2,417,002    
Balance, amount at Dec. 31, 2019 $ (35,862) $ 241 $ 24,919 $ (61,022)
Net loss (5,255) $ 0 0 (5,255)
Balance, shares at Mar. 31, 2020   2,417,002    
Balance, amount at Mar. 31, 2020 (41,117) $ 241 24,919 (66,277)
Balance, shares at Dec. 31, 2019   2,417,002    
Balance, amount at Dec. 31, 2019 (35,862) $ 241 24,919 (61,022)
Net loss (11,181)      
Balance, shares at Jun. 30, 2020   2,417,002    
Balance, amount at Jun. 30, 2020 (47,043) $ 241 24,919 (72,203)
Balance, shares at Mar. 31, 2020   2,417,002    
Balance, amount at Mar. 31, 2020 (41,117) $ 241 24,919 (66,277)
Net loss (5,926) $ 0 0 (5,926)
Balance, shares at Jun. 30, 2020   2,417,002    
Balance, amount at Jun. 30, 2020 (47,043) $ 241 24,919 (72,203)
Balance, shares at Dec. 31, 2020   32,417,002    
Balance, amount at Dec. 31, 2020 (429) $ 3,241 87,910 (91,580)
Net loss 0 $ 0 0 0
Balance, shares at Mar. 31, 2021   32,417,002    
Balance, amount at Mar. 31, 2021 (429) $ 3,241 87,910 (91,580)
Balance, shares at Dec. 31, 2020   32,417,002    
Balance, amount at Dec. 31, 2020 (429) $ 3,241 87,910 (91,580)
Net loss (19,626)      
Balance, shares at Jun. 30, 2021   32,417,002    
Balance, amount at Jun. 30, 2021 (13,575) $ 3,241 94,390 (111,206)
Balance, shares at Mar. 31, 2021   32,417,002    
Balance, amount at Mar. 31, 2021 (429) $ 3,241 87,910 (91,580)
Net loss (19,626) 0 0 (19,626)
Beneficial conversion feature 6,480 $ 0 6,480 0
Balance, shares at Jun. 30, 2021   32,417,002    
Balance, amount at Jun. 30, 2021 $ (13,575) $ 3,241 $ 94,390 $ (111,206)
XML 16 R6.htm IDEA: XBRL DOCUMENT v3.21.2
STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)
6 Months Ended
Jun. 30, 2021
Jun. 30, 2020
Cash Flows from Operating Activities:    
Net loss $ (19,626) $ (11,181)
Adjustments to reconcile net loss to net cash used in operating activities:    
Depreciation and amortization 0 1,302
Amortization of debt discount 5,544 0
Changes in operating assets and liabilities:    
Accounts payable - related party 4,590 7,500
Accrued expenses 0 (2,000)
Accrued interest 3,012 0
Net Cash Used in Operating Activities (6,480) (4,379)
Cash Flows from Financing Activities:    
Director loan - related party 0 4,379
Proceed from convertible note 6,480 0
Net Cash Provided by Financing Activities 6,480 4,379
Net change in cash 0 0
Cash, beginning of period 0 1,950
Cash, end of period 0 1,950
Supplemental cash flow information:    
Cash paid for interest 0 0
Cash paid for taxes 0 0
Supplemental disclosure of non-cash financing activity    
Beneficial conversion feature $ 6,480 $ 0
XML 17 R7.htm IDEA: XBRL DOCUMENT v3.21.2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
6 Months Ended
Jun. 30, 2021
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES  
NOTE 1- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

NOTE 1 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

 

Basis of Presentation

 

The accompanying unaudited interim financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America for interim financial information and with the instructions to Form 10-Q and Regulation S-X. Accordingly, the unaudited interim financial statements do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements.

 

In the opinion of management, all adjustments consisting of normal recurring entries necessary for a fair statement of the periods presented for: (a) the financial position; (b) the result of operations; and (c) cash flows, have been made in order to make the unaudited interim financial statements presented not misleading. The results of operations for such interim periods are not necessarily indicative of operations for a full year. The accompanying unaudited interim financial statements should be read in conjunction with the financial statements and related notes included in the Company’s Annual Report on Form 10-K, for the year ended December 31, 2020, as filed with the SEC on June 8, 2021.

 

Use of Estimates

 

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date the financial statements and the reported amount of revenues and expenses during the reporting period. Actual results could differ from those estimates.

XML 18 R8.htm IDEA: XBRL DOCUMENT v3.21.2
GOING CONCERN
6 Months Ended
Jun. 30, 2021
GOING CONCERN  
NOTE 2- GOING CONCERN

NOTE 2 – GOING CONCERN

 

Going concern

 

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern, which contemplates the realization of assets and the liquidation of liabilities in the normal course of business. As of June 30, 2021, the Company had an accumulated deficit of $111,206, a net loss of $19,626 for the six months ended June 30, 2021 and has not earned any revenues. The Company intends to fund operations through equity financing arrangements and related party advances, which may be insufficient to fund its capital expenditures, working capital and other cash requirements for the year ending December 31, 2021.

 

The ability of the Company to emerge from an early stage is dependent upon, among other things, obtaining additional financing to continue operations, and development of its business plan. In response to these problems, management intends to raise additional funds through public or private placement offerings.

 

These factors, among others, raise substantial doubt about the Company’s ability to continue as a going concern. The accompanying financial statements do not include any adjustments that might result from the outcome of this uncertainty.

XML 19 R9.htm IDEA: XBRL DOCUMENT v3.21.2
RELATED PARTY TRANSACTIONS
6 Months Ended
Jun. 30, 2021
RELATED PARTY TRANSACTIONS  
NOTE 3- RELATED PARTY TRANSACTIONS

NOTE 3 – RELATED PARTY TRANSACTIONS

 

During the six months ended June 30, 2021 and 2020, our former director advanced $0 and $2,854 for operating expenses.

 

During the six months ended June 30, 2021 and 2020, consulting services rendered by related party to the Company were $0 and $3,750, respectively.

XML 20 R10.htm IDEA: XBRL DOCUMENT v3.21.2
COMMITMENTS AND CONTINGENCIES
6 Months Ended
Jun. 30, 2021
COMMITMENTS AND CONTINGENCIES  
NOTE 4- COMMITMENTS AND CONTINGENCIES

NOTE 4 – COMMITMENTS AND CONTINGENCIES

 

Our sole officer and director has agreed to provide her own premise under office needs. She will not take any fee for these premises; it is for free use.

 

The extent of the impact of the coronavirus (“COVID‐19”) outbreak on the financial performance of the Company will depend on future developments, including the duration and spread of the outbreak and related advisories and restrictions and the impact of COVID‐19 on the overall economy, all of which are highly uncertain and cannot be predicted. If the overall economy is impacted for an extended period, the Company’s future operating results may be materially adversely affected.

XML 21 R11.htm IDEA: XBRL DOCUMENT v3.21.2
CONVERTIBLE NOTE
6 Months Ended
Jun. 30, 2021
CONVERTIBLE NOTE  
NOTE 5- CONVERTIBLE NOTE

NOTE 5 – CONVERRTIBLE NOTE

 

During the six months ended June 30, 2021, the Company issued a convertible note with a conversion price of 60% discount on the market price to pay operating expenses of $6,480. The Company shall repay the amount of $10,000 within 90 days. The Company recorded a discount on the convertible notes due to a beneficial conversion feature of $6,480. During the six months ended June 30, 2021, the Company recorded interest expense of $3,012 and amortization of debt discount of $5,544. At June 30, 2021, the Company had convertible note of $6,480, accrued interest of $3,012 and debt discount of $936 as of June 30, 2021.

XML 22 R12.htm IDEA: XBRL DOCUMENT v3.21.2
SUBSEQUENT EVENTS
6 Months Ended
Jun. 30, 2021
SUBSEQUENT EVENTS  
NOTE 6- SUBSEQUENT EVENTS

NOTE 6 – SUBSEQUENT EVENTS

 

On December 31, 2020, the Company entered into a definitive Equity Purchase Agreement with Mercantile Global Holdings, Inc., a Delaware corporation (“MGH”). On September 2, 2021, the Company and MGH entered into a Mutual Termination Agreement, whereby the parties agreed to terminate the Equity Purchase Agreement. The Mutual Termination Agreement provided for a mutual release of the parties.

 

On September 13, 2021, the Company entered into a definitive Share Purchase Agreement (the “Agreement”) with JPD Capital PCC, a Guernsey Channel Islands registered company (“JPD”) . Pursuant to the terms of the Agreement, the Company will acquire from JPD an aggregate of 96% of all of the issued and outstanding shares of capital stock of Eco Equity Zimbabwe, a Zimbabwe registered company (“ECO”), in exchange for consideration consisting of 42,000,000 restricted shares of Company’s common stock, $0.0001 par value, which will represent Fifty-six percent (56%) of all issued and outstanding shares of Company common stock at the time of the closing of the transaction. The Agreement also provides for the Company, post-closing, to increase the number of its authorized shares of common stock from 75,000,000 shares to 80,000,000 shares, in anticipation of a post-closing private placement stock of 5,000,000 shares of the Company’s common stock. Coincident with the closing of the transaction, the Company’s existing officers and directors will resign and JPD shall name a majority of the new directors, who shall then appoint a new Chief Executive Officer, Chief Financial Officer, and Secretary of the Company.

XML 23 R13.htm IDEA: XBRL DOCUMENT v3.21.2
SUMMARY OF SIGNIFCANT ACCOUNTING POLICIES (Policies)
6 Months Ended
Jun. 30, 2021
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES  
Basis of Presentation

The accompanying unaudited interim financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America for interim financial information and with the instructions to Form 10-Q and Regulation S-X. Accordingly, the unaudited interim financial statements do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements.

 

In the opinion of management, all adjustments consisting of normal recurring entries necessary for a fair statement of the periods presented for: (a) the financial position; (b) the result of operations; and (c) cash flows, have been made in order to make the unaudited interim financial statements presented not misleading. The results of operations for such interim periods are not necessarily indicative of operations for a full year. The accompanying unaudited interim financial statements should be read in conjunction with the financial statements and related notes included in the Company’s Annual Report on Form 10-K, for the year ended December 31, 2020, as filed with the SEC on June 8, 2021.

Use of Estimates

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date the financial statements and the reported amount of revenues and expenses during the reporting period. Actual results could differ from those estimates.

XML 24 R14.htm IDEA: XBRL DOCUMENT v3.21.2
GOING CONCERN (Details Narrative) - USD ($)
3 Months Ended 6 Months Ended
Jun. 30, 2021
Mar. 31, 2021
Jun. 30, 2020
Mar. 31, 2020
Jun. 30, 2021
Jun. 30, 2020
Dec. 31, 2020
GOING CONCERN              
Accumulated deficit $ (111,206)       $ (111,206)   $ (91,580)
Net loss $ (19,626) $ 0 $ (5,926) $ (5,255) $ (19,626) $ (11,181)  
XML 25 R15.htm IDEA: XBRL DOCUMENT v3.21.2
RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)
6 Months Ended
Jun. 30, 2021
Jun. 30, 2020
Related Party [Member]    
Consulting services rendered by related party $ 0 $ 3,750
Former Director [Member]    
Operating expenses $ 0 $ 2,854
XML 26 R16.htm IDEA: XBRL DOCUMENT v3.21.2
CONVERTIBLE NOTE (Details Narrative) - USD ($)
6 Months Ended
Jun. 30, 2021
Jun. 30, 2020
CONVERTIBLE NOTE    
Conversion price, discount rate 60.00%  
Net cash used in operating activities $ (6,480) $ (4,379)
Repayment of debt 10,000  
Beneficial conversion feature 6,480 0
Proceed from convertible note 6,480 0
Interest expense 3,012  
Amortization of debt discount 5,544 0
Accrued interest 3,012 $ 0
Debt discount $ 936  
XML 27 R17.htm IDEA: XBRL DOCUMENT v3.21.2
SUBSEQUENT EVENTS (Details Narrative) - $ / shares
Sep. 13, 2021
Jun. 30, 2021
Dec. 31, 2020
Common stock par value   $ 0.0001 $ 0.0001
Subsequent Event [Member] | Share Purchase Agreement [Member] | JPD Capital PCC [Member]      
Increase number of common stock shares authorized 80,000,000    
Private placement 5,000,000    
Common stock par value $ 0.0001    
Ownership percentage issued and oustanding shares 96.00%    
Restricted shares of common stock 42,000,000    
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