UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-QSB
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 2001
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
Commission File No. 000-31671
GLOBALWISE INVESTMENTS, INC.
(Exact name of Small Business Issuer as specified in its charter)
NEVADA 87-0613716
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(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification Number)
525 South 300 East, Suite 201
Salt Lake City, Utah 84111
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(Address of principal executive offices) (Zip Code)
Issuer's telephone number, including area code (801) 323-2395
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Indicate by check mark whether the Issuer (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
Issuer was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days. [X] Yes [ ] No
As of October 10, 2001, the registrant had 850,000 common shares
outstanding.
PART 1 - FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
The financial information set forth below with respect to our statements
of operations for the three and nine month periods ended September 30, 2001
and 2000 is unaudited. This financial information, in the opinion of
management, includes all adjustments consisting of normal recurring entries
necessary for the fair presentation of such data. The results of operations
for the nine months ended September 30, 2001, are not necessarily indicative
of results to be expected for any subsequent period.
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Globalwise Investments, Inc.
(A Development Stage Company)
Financial Statements
September 30, 2001
Globalwise Investments, Inc.
(A Development Stage Company)
Balance Sheets
ASSETS
September 30, December 31,
2001 2000
------------- ------------
(Unaudited)
CURRENT ASSETS $ - $ -
------------- ------------
TOTAL ASSETS $ - $ -
============= ============
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Accounts Payable $ 1,345 $ 1,345
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Total Liabilities 1,345 1,345
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STOCKHOLDERS' EQUITY
Common Stock, $.001 par value; 50,000,000 shares
authorized; 850,000 issued and outstanding 850 850
Additional Paid in Capital 47,494 47,494
Deficit Accumulated During the Development Stage (49,689) (49,689)
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Total Stockholders' Equity (1,345) (1,345)
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TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ - $ -
============= ============
Globalwise Investments, Inc.
(A Development Stage Company)
Statement of Operations
(Unaudited)
From
For the For the For the For the Inception on
three months three months nine months nine months October 3,
ended ended ended ended 1997 to
September 30, September 30, September 30, September 30, September 30,
2001 2000 2001 2000 2001
-------------- ------------- ------------- ------------- -------------
REVENUES $ - $ - $ - $ - $ -
-------------- ------------- ------------- ------------- -------------
EXPENSES
General &
Administrative - 20,000 - 21,345 49,689
-------------- ------------- ------------- ------------- -------------
TOTAL EXPENSES - 20,000 - 21,345 49,689
-------------- ------------- ------------- ------------- -------------
NET INCOME(LOSS) $ - $ (20,000) $ - $ (21,345) $ (49,689)
============== ============= ============= ============= =============
NET LOSS PER SHARE $ - $ - $ - $ - $ (0.08)
============== ============= ============= ============= =============
WEIGHTED AVERAGE
SHARES OUTSTANDING 850,000 841,733 850,000 848,578 626,824
============== ============= ============= ============= =============
Globalwise Investments, Inc.
(A Development Stage Company)
Statement of Cash Flows
(Unaudited)
From Inception
on October 3,
For the nine months ended 1997 Through
September 30, September 30,
2001 2000 2001
------------- -------------- --------------
Cash Flows from Operating Activities
Net Loss $ - $ (21,345) $ (21,345)
Less Non-Cash Items:
Stock Issued for Services - 20,000 20,000
Increase(Decrease) in Accounts Payable - 1,345 1,345
------------- -------------- --------------
Net Cash Provided(Used) by
Operating Activities - - -
------------- -------------- --------------
Cash Flows from Investing Activities
Net Cash Provided(Used) by
Investing Activities - - -
------------- -------------- --------------
Cash Flows from Financing Activities
Net Cash Provided(Used) by
Financing Activities - - -
------------- -------------- --------------
Increase in Cash - - -
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Cash and Cash Equivalents at
Beginning of Period - - -
------------- -------------- --------------
Cash and Cash Equivalents at End of Period $ - $ - $ -
============= ============== ==============
Supplemental Non-Cash Financing Transactions:
Stock Issued for Services $ - $ 20,000 $ 20,000
Cash Paid For:
Interest $ - $ - $ -
Income Taxes $ - $ - $ -
Globalwise Investments, Inc.
(A Development Stage Company)
Notes to the Financial Statements
September 30, 2001
GENERAL
Globalwise Investments, Inc. (the Company) has elected to omit substantially
all footnotes to the financial statements for the nine months ended September
30, 2001 since there have been no material changes (other than indicated in
other footnotes) to the information previously reported by the Company in
their Annual Report filed on the Form 10-KSB for the year ended December 31,
2000.
UNAUDITED INFORMATION
The information furnished herein was taken from the books and records of the
Company without audit. However, such information reflects all adjustments
which are, in the opinion of management, necessary to properly reflect the
results of the interim period presented. The information presented is not
necessarily indicative of the results from operations expected for the full
fiscal year.
In this report references to "Globalwise," "we," "us," and "our" refer
to Globalwise Investments, Inc.
Forward Looking Statements
This form 10-QSB contains certain forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. For this
purpose any statements contained in this Form 10-QSB that are not statements
of historical fact may be deemed to be forward-looking statements. Without
limiting the foregoing, words such as "may," "will," "expect," "believe,"
"anticipate," "estimate" or "continue" or comparable terminology are intended
to identify forward-looking statements. These statements by their nature
involve substantial risks and uncertainties, and actual results may differ
materially depending on a variety of factors, many of which are not within
Globalwise's control. These factors include but are not limited to economic
conditions generally and in the market which Globalwise may participate;
competition within Globalwise's chosen market and failure by Globalwise to
successfully develop business relationships.
ITEM 2. PLAN OF OPERATIONS
We are a development stage company with no assets and we have
experienced losses since our inception. We are dependent on financing to
continue our operations. For the three and nine month periods ended September
30, 2001, we had no cash on hand and total current liabilities of $1,345. The
$1,345 account payable is related to accounting and legal fees incurred during
1999 which were paid on our behalf.
We have no commitments for capital expenditures for the next twelve
months. During the next twelve months we believe that our current cash needs
can be met by loans from our directors, officers and shareholders based on
understandings we have with these persons. These understandings are not
written agreements and therefore these persons are not obligated to provide
funds. Mutual Ventures, a shareholder, has in the past advanced cash for
services to assist us in our efforts to become a reporting company and has
expressed a willingness to continue assistance. We may repay these loans,
costs of services and advancements with cash, if available, or we may convert
them into common stock.
Based on current economic and regulatory conditions, management believes
that it is possible, if not probable, for a company like ours, without many
assets or liabilities, to negotiate a merger or acquisition with a viable
private company. The opportunity arises principally because of the high legal
and accounting fees and the length of time associated with the registration
process of "going public". However, should any of these conditions change, it
is very possible that there would be little or no economic value for anyone
taking over control of Globalwise.
Our management intends to actively pursue business opportunities during
the next twelve months. All risks inherent in new and inexperienced
enterprises are inherent in our business. We have not made a formal study of
the economic potential of any business. As of the date of this filing, we
have not identified any assets or business opportunities for acquisition.
In the event we acquire a business opportunity we may incur additional
expenses related to proxy or information statements we must provide to our
stockholders which disclose that company's business
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operations, management and financial condition. In addition, the acquired or
merged company will be subject to these same reporting obligations.
Accordingly, we may incur additional expense to conduct due diligence and
present the required financial and non-financial information for the business
opportunity in a report. Also, the SEC may elect to conduct a full review of
the successor company and may issue substantive comments on the sufficiency of
disclosure related to the business opportunity.
Potential investors must recognize that because of our limited capital
available for investigation and management's limited experience in business
analysis we may not discover or adequately evaluate adverse facts about the
business opportunity to be acquired.
It is emphasized that our management may effect transactions having a
potentially adverse impact upon our shareholders pursuant to the authority and
discretion of our management to complete an acquisition without submitting the
acquisition proposal to the stockholders for their consideration.
Should a merger or acquisition prove unsuccessful, it is possible that
we may decide not to pursue further acquisition activities and management may
abandon its activities and our shares would become worthless.
PART II - OTHER INFORMATION
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) Part II Exhibits
Exhibit Number Description
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3.1 Articles of Incorporation, as amended
3.2 Bylaws of Globalwise (Incorporated by reference to exhibit
3.3 of Form 10-SB, filed October 2, 2000.)
(b) Reports on Form 8-K
None.
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SIGNATURES
In accordance with the requirements of the Exchange Act, the registrant caused
this report to be signed on its behalf by the undersigned thereunto duly
authorized.
Date 10/11/01 Globalwise Investments, Inc.
/S/ Donald R. Mayer
By: ______________________________________
Donald R. Mayer
President and Director
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