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EXCEL - IDEA: XBRL DOCUMENT - Life Care Medical Devices LtdFinancial_Report.xls

 

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 Quarterly Period Ended July 31, 2012

 

 

 

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 No. 333-171546



HEALTH IN HARMONY INC.

(Exact name of small business issuer as specified in its charter)


Nevada

(State or other jurisdiction of

incorporation or organization)

8322

(Primary Standard Industrial

Classification Code Number)

98-0576696

(I.R.S. Employer

Identification No.)


47 Sherwood Drive

Dalyellup

6230

Western Australia

(Address of principal executive offices)


(855) 640-1859  

(Registrant’s telephone number, including area code)


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


Large accelerated filer [  ]  Accelerated filer [  ]

Non-accelerated filer [  ]  Smaller reporting company [X]


Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes [X] No [  ]

 

The number of shares of Common Stock, $0.001 par value, of the registrant outstanding at September 10, 2012 was 6,900,000.







TABLE OF CONTENTS


 

Page

PART I.

 

Item 1. Financial Statements.

3-7

Item 2. Management’s Discussion and Analysis or Plan of Operations.

8

Item 3. Quantitative and Qualitative Disclosures About Market Risks.

9

Item 4. Controls and Procedures.

9

PART II.

 

Item 1. Legal Proceedings.

11

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

11

Item 3. Defaults Upon Senior Securities.

11

Item 4. Submission of Matter to Vote of Security Holders.

11

Item 5. Other Information.

11

Item 6. Exhibits.

12

SIGNATURES

13
















2




Statement Regarding Forward-Looking Statements


This Form 10-Q contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended Section 21E of the Securities Exchanged Act of 1934, as amended, which are intended to be covered by the safe harbors created thereby. The statements contained in this report on Form 10-Q that are not purely historical are forward-looking statements within the meaning of applicable securities laws. Forward-looking statements include statements regarding our “expectations,” “anticipation,” “intentions,” “beliefs,” or “strategies” regarding the future. Forward looking statements also include statements such as changes in national and local government legislation, taxation, controls, regulations and political or economic changes in the United States or other countries in which we may carry on business in the future; business opportunities that may be presented to or pursued by us; our ability to integrate acquisitions successfully. All forward-looking statements included in this report are based on information available to us as of the filing date of this report, and we assume no obligation to update any such forward-looking statements. Our actual results could differ materially from the forward-looking statements.



PART I.

Item 1. Financial Statements.






















3





HEALTH IN HARMONY INC.

(A Development Stage Company)

BALANCE SHEETS


 

July 31,

2012

- $ -

October 31,

2011

- $ -

 

(UNAUDITED)

 

ASSETS

 

 

Current assets

 

 

Cash

41,791

66,984

Total current assets

41,791

66,984

Total assets

41,791

66,984

 

 

 

LIABILITIES

 

 

 

 

 

Current liabilities

 

 

Accounts payable

20,000

20,000

Advance - related party

10,000

10,000

Total current liabilities

30,000

30,000

 

 

 

COMMITTMENTS

 

 

STOCKHOLDERS’ EQUITY

 

 

Common stock

 

 

Authorized:

 

 

   75,000,000 common shares with a par value of $0.001

 

 

   Issued and outstanding:

 

 

   6,900,000 common shares as of July 31, 2012 and October 31, 2011

6,900

6,900

   Additional paid in capital

78,100

69,100

Deficit accumulated during the development stage

(73,209)

(39,016)

Total stockholders’ equity

11,791

36,984

Total liabilities and stockholders’ equity

41,791

66,984

















See accompanying note to financial statements



4





HEALTH IN HARMONY INC.

 (A Development Stage Company)

STATEMENTS OF OPERATIONS

(Unaudited)


 

Three months

ended

July 31, 2012

- $ -

Three months

ended

July 31, 2011

- $ -

Nine months

ended

July 31, 2012

- $ -

Nine months

ended

July 31, 2011

- $ -

Period from

March 26,

2008

 (Inception) to

July 31,

 2012

- $ -

Revenue

-

-

-

-

103,000

 

 

 

 

 

 

Less: Expenses

 

 

 

 

 

Impairment of asset

-

-

-

-

4,000

Management fees

1,500

1,500

4,500

4,500

26,000

Rent

1,500

1,500

4,500

4,500

26,000

General and administrative

5,244

1,879

25,193

17,222

120,209

Total operating expense

8,244

4,879

34,193

26,222

176,209

Loss from operations

8,244

4,879

34,193

26,222

73,209

Net loss

8,244

4,879

34,193

26,222

73,209

 

 

 

 

 

 

Basic and diluted loss per share

(0.00)

(0.00)

(0.00)

(0.00)

 

 

 

 

 

 

 

Weighted average number of common shares outstanding

6,900,000

6,900,000

6,900,000

6,900,000

 










See accompanying note to financial statements



5





HEALTH IN HARMONY INC.

(A Development Stage Company)

STATEMENTS OF CASH FLOWS

Nine months ended April 30, 2012

Period from March 26, 2008 (Inception) through July 31, 2012

(UNAUDITED)


 

 

Nine months

ended July 31,

2012

- $ -

Nine months

ended July 31,

2011

- $ -

Period from

March 26,

2008

(Inception)

through July

31, 2012

- $ -

CASHFLOWS FROM OPERATING ACTIVITIES:

 

 

 

Net loss

(34,193)

(26,222)

(73,209)

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

 

 

 

Impairment of intangible asset

-

-

4,000

Donated services

9,000

9,000

52,000

Change in:

 

 

 

Accounts payable

-

-

20,000

CASH FLOWS PROVIDED (USED) IN OPERATING ACTIVITIES

(25,193)

(17,222)

2,791

CASH FLOWS FROM FINANCING ACTIVITIES

 

 

 

Advances from related party

-

-

10,000

Proceeds from sale of common stock

-

-

29,000

CASH FLOWS PROVIDED BY FINANCING ACTIVITIES

-

-

39,000

NET CHANGE IN CASH

(25,193)

(17,222)

41,791

Cash, beginning of period

66,984

38,463

-

Cash, end of period

41,791

21,241

41,791

 

 

 

 

Supplemental cash flow information:

 

 

 

Interest paid

-

-

-

Taxes paid

-

-

-

Non-cash transactions:

 

 

 

Stock issued for acquisition of intangible asset

-

-

4,000



See accompanying note to financial statements



6





HEALTH IN HARMONY INC.

NOTE TO FINANCIAL STATEMENTS

(A Development Stage Company)

July 31, 2012

(UNAUDITED)



Note 1 - BASIS OF PRESENTATION


The accompanying unaudited interim financial statements of Health In Harmony Inc. ("Health" or the "Company") have been prepared in accordance with accounting principles generally accepted in the United States of America and the rules of the Securities and Exchange Commission ("SEC"), and should be read in conjunction with the audited financial statements and notes thereto contained in the Company's Annual Report filed with the SEC on Form 10-K. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of financial position and the results of operations for the interim periods presented have been reflected herein. The results of operations for our interim periods are not necessarily indicative of the results to be expected for the full year. Notes to the financial statements that would substantially duplicate the disclosure contained in the audited financial statements for fiscal 2011, as reported in the Form 10-K, have been omitted.  


These financial statements have been prepared on a going concern basis which assumes the Company will be able to realize its assets and discharge its liabilities in the normal course of business for the foreseeable future. The Company anticipates future losses in the development of its business raising substantial doubt about the Company’s ability to continue as a going concern. The ability to continue as a going concern is dependent upon the Company generating profitable operations in the future and/or to obtain the necessary financing to meet its obligations and repay its liabilities arising from normal business operations when they come due. Management intends to finance operating costs over the next twelve months with existing cash on hand, loans from directors and/or issuance of common shares.



Note 2 - RELATED PARTY TRANSACTIONS


The President of the Company provides management services and office premises to the Company at no charge. The donated management services and office premises are each valued at $500 per month.  For the period ended July 31, 2012, a total of $4,500 for donated services and $4,500 for donated rent were charged to operations and recorded as additional paid in capital.


During the year ended October 31, 2010, an amount of $10,000 was received in cash as an advance from the previous president of the Company. The amount remains outstanding and is unsecured, non-interest bearing and has no specified terms of repayment.


The Company underwent a change in management and control effective June 28, 2012, whereby approximately 58% of the Company’s outstanding shares were sold in a private transaction by Tammy DuPerron to Susanna Janse Van Vurren.  In connection therewith, Ms. Van Vurren replaced Ms. DuPerron as President, Secretary/Treasurer and Chief Executive Officer of the Company.









7





Item 2. Management’s Discussion and Analysis or Plan of Operations


The following discussion provides information that we believe is relevant to an assessment and understanding of the results of operations and financial condition of our company. It should be read in conjunction with the financial statements and accompanying notes.


Overview:


On June 28, 2012, Susanna Janse Van Vuuren (the “Purchaser”) entered into a Stock Purchase Agreement (the “Purchase”) with Tammy DuPerron (the “Seller”) pursuant to which the Seller sold 4,000,000 shares of Common Stock of Health in Harmony, Inc., a Nevada corporation (the “Company”), representing approximately 57.97% of the total issued and outstanding shares of Common Stock of the Company.


In connection with the Stock Purchase, Tammy DuPerron resigned as President, Chief Executive Officer, Chief Financial Officer, Treasurer and Secretary of the Company, and Susanna Janse Van Vuuren was elected as President, Chief Executive Officer, Chief Financial Officer, Treasurer and Secretary of the Company.


Effective June 28, 2012, the Company changed the location of its principal executive offices from 11107-50th Avenue, Edmonton, Alberta, Canada T6H 0J1 to 47 Sherwood Drive, Dalyellup, 6230, Western Australia and changed its telephone number from (780) 809-0611 to toll free (855) 640-1859.


Plan of Operation


Over the next twelve months we intend to market our wellness program, consisting of various physical and mental activities designed for use by the elderly, to resellers who would market and present the wellness program. The program’s goal is to keep the elderly physically active and mentally engaged and challenged. Resellers would be granted exclusive rights to market and present the wellness program in a specified geographical region. Resellers would be required to pay us a negotiated percentage of their revenues. Initially, we do not plan to charge upfront fees to the resellers for exclusive rights to geographical regions. Provided we gain market acceptance, we intend to charge a regional license fee to subsequent resellers. We expect the wellness program to be presented at independent wellness centers, community centers, centers for the elderly, nursing homes and assisted living homes.


Over the next twelve months we expect to require $120,000 in financing to commence our planned operations. Our current cash resources are insufficient to finance our planned expenditures. To successfully commence our planned operations we will need to raise approximately $100,000 in additional financing. We anticipate raising the funds through the sale of our common stock and further loans from our President. However, there are no assurances that we will be able to raise funds via either of these two options. Our ability to raise financing in the equity markets are uncertain as the equity markets, in recent years, have been depressed especially for start-up companies like ourselves. We expect that our President will extend us loans but she has no obligation or commitment to do so.


Results of Operations


Three-Month Period Ended July 31, 2012 and 2011


We did not earn any revenues during the three-month period ended July 31, 2012 (three-month period ended July 31, 2011: $Nil).  




8





We incurred operating expenses in the amount of $8,244 for the three-month period ended July 31, 2012 (three-month period ended July 31, 2011: $4,879). These operating expenses, comprised of general and administration expenses of $5,244 (three-month period ended July 31, 2011: $1,879), donated rent of $1,500 (three-month period ended July 31, 2011: $1,500) and donated management fees of $1,500 (three-month period ended July 31, 2011: $1,500).


Nine-Month Period Ended July 31, 2012 and 2011


We did not earn any revenues during the nine-month period ended July 31, 2012 (nine-month period ended July 31, 2011: $Nil).  


We incurred operating expenses in the amount of $34,193 for the nine-month period ended July 31, 2012 (nine-month period ended July 31, 2011: $26,222). These operating expenses, comprised of general and administration expenses of $25,193 (nine-month period ended July 31, 2011: $17,222), donated rent of $4,500 (nine-month period ended July 31, 2011: $4,500) and donated management fees of $4,500 (nine-month period ended July 31, 2011: $4,500).


Liquidity and Capital Resources

 

We do not have any credit facilities or other commitments for debt or equity financing.  No assurances can be given that advances when needed will be available.  We need funding to undertake our operations. Private capital, if sought, will be sought from private and institutional investors.  To date, we have not sought any funding source and have not authorized any person or entity to seek out funding on our behalf.  If a market for our shares ever develops, of which there can be no assurances, we will use shares to compensate employees/consultants and independent contractors wherever possible.


We will incur ongoing expenses associated with professional fees for accounting, legal, and a host of other expenses for annual reports and proxy statements.  We estimate that these costs will range up to $30,000 per year for the next few years and will be higher if our business volume and activity increases but lower during the first year of being public because our overall business volume will be lower. These obligations will reduce our ability and resources to fund other aspects of our business.  We hope to be able to use our status as a public company to increase our ability to use non-cash means of settling obligations and compensate certain independent contractors who provide professional services to us, although there can be no assurances that we will be successful in any of those efforts.


We hope to be able to use our status as a public company to enable us to use non-cash means of settling obligations and compensate certain persons and/or firms providing services to us or with whom we do business, although there can be no assurances that we will be successful in any of those efforts.


Item 3. Quantitative and Qualitative Disclosures About Market Risks


As a smaller reporting company (as defined in Rule 12b-2 of the Exchange Act), we are not required to provide the information called for by this Item 3.


Item 4. Controls and Procedures


Evaluation of Disclosure Controls


We evaluated the effectiveness of our disclosure controls and procedures as of the end of the 2010 fiscal year.  This evaluation was conducted with the participation of our chief executive officer and our principal accounting officer.




9





Disclosure controls are controls and other procedures that are designed to ensure that information that we are required to disclose in the reports we file pursuant to the Securities Exchange Act of 1934 is recorded, processed, summarized and reported.  


Limitations on the Effective of Controls


Our management does not expect that our disclosure controls or our internal controls over financial reporting will prevent all error and fraud.  A control system, no matter how well conceived and operated, can provide only reasonable, but no absolute, assurance that the objectives of a control system are met.  Further, any control system reflects limitations on resources, and the benefits of a control system must be considered relative to its costs.  These limitations also include the realities that judgments in decision-making can be faulty and that breakdowns can occur because of simple error or mistake.  Additionally, controls can be circumvented by the individual acts of some persons, by collusion of two or more people or by management override of a control.  A design of a control system is also based upon certain assumptions about potential future conditions; over time, controls may become inadequate because of changes in conditions, or the degree of compliance with the policies or procedures may deteriorate.  Because of the inherent limitations in a cost-effective control system, misstatements due to error or fraud may occur and may not be detected.


Conclusions


Based upon their evaluation of our controls, the chief executive officer and principal accounting officer have concluded that, subject to the limitations noted above, the disclosure controls are effective providing reasonable assurance that material information relating to us is made known to management on a timely basis during the period when our reports are being prepared.


Changes in internal control over financial reporting


There have been no changes during the period covered by this Quarterly Report on Form 10-Q in our internal control over financial reporting that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.







 

10




PART II - OTHER INFORMATION


Item 1. Legal Proceedings


None.

 

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


There were no unregistered sales of equity securities during the quarter ended July 31, 2012.


Item 3. Defaults Upon Senior Securities


None.

 

Item 4. Submission of Matters to a Vote of Security Holders


None.


Item 5. Other Information


On June 28, 2012, Susanna Janse Van Vuuren (the “Purchaser”) entered into a Stock Purchase Agreement (the “Purchase”) with Tammy DuPerron (the “Seller”) pursuant to which the Seller sold 4,000,000 shares of Common Stock of Health in Harmony, Inc., a Nevada corporation (the “Company”), representing approximately 57.97% of the total issued and outstanding shares of Common Stock of the Company.


In connection with the Stock Purchase, Tammy DuPerron resigned as President, Chief Executive Officer, Chief Financial Officer, Treasurer and Secretary of the Company, and Susanna Janse Van Vuuren was elected as President, Chief Executive Officer, Chief Financial Officer, Treasurer and Secretary of the Company.


Susanna Janse Van Vuuren has been the President and sole director of the Company since June 28, 2012. She is the owner of a chain of hair and nail studios in Western Australia. From 1990 to the present Susanna Janse Van Vuuren has been an entrepreneur starting, building and selling various businesses in the health and beauty industry.


Prior to the Purchase Transaction, our sole officer and director was Tammy DuPerron.  On June 28, 2012, Ms. DuPerron resigned from all offices held by her.  Additionally, Tammy DuPerron tendered her resignation as director to be effective on the tenth day following the filing of  a 14f1 Information Statement with the SEC and the mailing of this Information Statement to our shareholders (the “Effective Date”).  In connection with the Purchase Transaction, Tammy DuPerron appointed Ms. Susanna Janse Van Vuuren (“Incoming Director”) as sole director.  The change in directors of the Company was effective ten (10) days following the filing of the Information Statement.


Change of Address of Principal Executive Office of the Company


Effective June 28, 2012, the Company changed the location of its principal executive offices from 11107-50th Avenue, Edmonton, Alberta, Canada T6H 0J1 to 47 Sherwood Drive, Dalyellup, 6230, Western Australia and changed its telephone number from (780) 809-0611 to toll free (855) 640-1859.





11





Item 6. Exhibits


(a)  The following documents are filed as part of this Report:


(1) Financial statements filed as part of this Report:


Balance Sheets as of July 31, 2012 (Unaudited) and October 31, 2011.


Statements of Operations for the three and nine month periods ended July 31, 2012 and 2011 and the Period from March 26, 2008 (Inception) to July 31, 2012 (Unaudited).


Statements of Cash Flows for the nine month periods ended July 31, 2012 and 2011 and the Period from March 26, 2008 (Inception) to July 31, 2012 (Unaudited).


Notes to Financial Statements (Unaudited)


(2) Exhibits filed as part of this Report:


Exhibit

 

Number

Description

 

 

31.1

Certification of Chief Executive Officer pursuant to Rule 13a-15e or 15d-15(e), as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

31.2

Certification of Chief Financial Officer pursuant to Rule 13a-15e or 15d-15(e), as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

32.1

Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

32.2

Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002


(b)  Reports filed on Form 8-K during the quarter ended July 31, 2012:

 

None










12





SIGNATURES


Pursuant to the requirements 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.


Date: September 10, 2012

Health in Harmony Inc.

(Registrant)

 

 

 

/s/ Susanna Janse Van Vuuren

 

By:  Susanna Janse Van Vuuren

 

Title:  President and Chief Executive Officer

 

 

 

/s/ Susanna Janse Van Vuuren  

 

By:  Susanna Janse Van Vuuren

 

Chief Financial Officer

















13