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Related Party Balances and Transactions
 3 Months Ended
Jul. 31, 2023
Related Party Transactions [Abstract]  
Related party balances and transactions

13. Related party balances and transactions

 

Related party transactions

 

Sales to related parties

 

Name of Related Party  Nature  Relationship  Three Months ended
July 31,
2023		   Three Months ended
July 31,
2022		 
               
The United Food, LLC  Supermarket product sales  John Xu, the Company’s chief executive officer, is one of the United Food LLC’s shareholders  $2,663   $1,152 
GF Supermarket of MP, Inc. (the Company acquired all the assets from Hong Kong Supermarket of Monterey Park, Ltd on August 1, 2021)  Supermarket product sales  Grace Xu, spouse of John Xu, is the major shareholder with 49% ownership, sold this entity to the Company on June 30, 2022   
—
    54,218 
HKGF Market of Arcadia, LLC  Supermarket product sales  40% investee of the Company   5,972    
—
 
HKGF Market of Alhambra, Inc.  Supermarket product sales  Grace Xu, spouse of John Xu, controls this entity with 100% ownership   59,883    83,958 
Total        $68,518   $139,328 

 

Purchases from related parties

 

Name of Related Party  Nature  Relationship  Three Months
Ended
July 31,
2023		   Three Months
ended
July 31,
2022		 
               
The United Food, LLC  Supermarket product sales  John Xu, the Company’s chief executive officer, is one of the United Food LLC’s shareholders  $674   $2,277 
HKGF Market of Arcadia, LLC  Supermarket product sales  40% investee of the Company   20,587    
—
 
GF Supermarket of MP, Inc. (the Company acquired all the assets from Hong Kong Supermarket of Monterey Park, Ltd on August 1, 2021)  Supermarket product sales  Grace Xu, spouse of John Xu, is the major shareholder with 49% ownership, sold this entity to the Company on June 30, 2022   
—
    4,257 
Dai Cheong Trading Co Inc.  Import and wholesales of groceries  John Xu, controls this entity with 100% ownership through DC Holding CA, Inc.   37,973    26,606 
HKGF Market of Alhambra, Inc.  Supermarket product sales  Grace Xu, spouse of John Xu, controls this entity with 100% ownership   
—
    809 
Total        $59,234   $33,949 

  

Investment in equity securities purchased from related parties

 

Name of Investment Company  Nature of
Operation		  Investment percentage   Relationship  As of
July 31,
2023		   As of
April 30,
2023		 
                   
Dai Cheong Trading Co Inc.  Import and wholesales of groceries   10%  John Xu, the Company’s Chairman and Chief Executive Officer, controls this entity with 100% ownership through DC Holding CA, Inc.  $162,665   $162,665 
HKGF Market of Alhambra, Inc.  Supermarket product sales   10%  Grace Xu, spouse of John Xu, controls this entity with 100% ownership   40,775    40,775 
HKGF Market of Arcadia, LLC  Supermarket product sales   40%  40% investee of the Company   1,411,544    
—
 
Total             $1,614,984   $203,440 

 

In May 2021, the Company purchased a 10% equity interest in Dai Cheong Trading Inc., a grocery trading company, for $162,665 from DC Holding CA, Inc. DC Holding CA, Inc. is owned by John Xu, the Chairman and Chief Executive Officer of the Company.

 

In December 2021, the Company purchased a 10% equity interest in HKGF Market of Alhambra, Inc, the legal entity holding the Alhambra store for $40,775 from Ms. Grace Xu, a related party as the spouse of Mr. John Xu, the Chairman and Chief Executive Officer of the Company.

 

On June 27, 2023, the Company invested $1,440,000 for 40% partnership interest in HKGF Arcadia. For the three months ended July 31, 2023, the Company recorded $28,456 investment loss on this investment.

 

Related party balances

 

Accounts receivable — sales to related parties

 

Name of Related Party  Nature  Relationship  July 31,
2023		   April 30,
2023		 
               
HKGF Supermarket of Arcadia LLC.  Supermarket product sales  40% investee of the Company  $5,965   $
—
 
HKGF Market of Alhambra, Inc.  Supermarket product sales  Grace Xu, spouse of John Xu, controls this entity with 100% ownership   241,345    283,005 
United Food LLC.  Supermarket product sales  John Xu, is one of the United Food LLC’s shareholders   7,763    6,610 
Total        $255,073   $289,615 

  

Accounts payable — purchase from related parties

 

Name of Related Party  Nature  Relationship  July 31,
2023		   April 30,
2023		 
               
Hong Kong Supermarket of Monterey Park, Ltd  Due on demand,
non-interest bearing		  John Xu, controls this entity  $438,725   $438,725 
Dai Cheong Trading Co Inc.  Import and wholesales of groceries  John Xu, controls this entity with 100% ownership through DC Holding CA, Inc.   31,057    26,585 
Total        $469,782   $465,310 

  

Other receivables — related parties

 

Name of Related Party  Nature  Relationship  July 31,
2023		   April 30,
2023		 
               
Ideal Investment  Due on demand,
non-interest bearing		  John Xu, has majority ownership of this entity   3,995    3,995 
Ideal City Capital  Due on demand,
non-interest bearing		  John Xu, has majority ownership of this entity   30,000    30,000 
                 
Total        $33,995   $33,995 

 

 

Other payables — related parties

 

Name of Related Party  Nature  Relationship  July 31,
2023		   April 30,
2023		 
               
John Xu  due on demand,
non-interest bearing		  The Company’s Chairman and Chief Executive Officer  $200,810   $200,810 
Grace Xu  due on demand,
non-interest bearing		  Spouse of John Xu   40,775    40,775 
Total        $241,585   $241,585