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RESORT SAVERS, INC. - 10-K - Management's Discussion and Analysis of Financial Condition and Results of Operations.

May 1, 2014

The following discussion should be read in conjunction with our audited financial statements and the related notes that appear elsewhere in this annual report. The following discussion contains forward-looking statements that reflect our plans, estimates and beliefs. Our actual results could differ materially from those discussed in the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to those discussed below and elsewhere in this annual report.

Our audited financial statements are stated in United States Dollars and are prepared in accordance with United States Generally Accepted Accounting Principles.

Results of Operations

The period ended January 31, 2013 is comprised of one hundred ninety (190) days as compared to an entire year for January 31, 2014.

We have generated no revenues since inception (June 25, 2012) and have incurred $32,583 in expenses through January 31, 2014.

The following table provides selected financial data about our company as at January 31, 2014 and 2013. Balance sheet Data: Balance Sheet Date January 31, 2014 January 31, 2013 Cash $ 30,983 $ 1,064 Total Assets $ 30,983 $ 1,064 Total Liabilities $ 6,005 $ 3,500 Stockholders' Equity (Deficit) $ 24,978 $ (2,436 )



As at January 31, 2014, our current assets were $30,983 and our current liabilities were $6,005, which resulted in working capital of $24,978. As at January 31, 2014, current assets were comprised of $30,983 in cash, as compared to $1,064 in cash at January 31, 2013. At January 31, 2014, current liabilities were comprised of $6,005 in accounts payable and accrued liabilities, as compared to $3,500 for January 31, 2013. Stockholders' equity was $24,978 as of January 31, 2014, as compared to a deficit of $2,436 for January 31, 2013.

The following summary of our results of operations, for the year ended January 31, 2014, period from inception (June 25, 2012) to January 31, 2013 and for the period from inception (June 25, 2012) to January 31, 2014, should be read in conjunction with our financial statements, as included in this Form 10-K.

Period Period from from Inception Inception (June 25, (June 25, Year Ended 2012) to 2012) to January 31, January 31, January 2014 2013 31, 2014 Revenue $ - $ - $ - Operating Expenses: General and administrative 2,128 - 2,128 Professional fees 25,468 4,987 30,455 Total Operating Expenses 27,596 4,987 32,583 Operating and net loss $ (27,596 )$ (4,987 )$ (32,583 ) Expenses



Operating expenses for the year ended January 31, 2014, increased by $22,609 from $4,987 for the period ended January 31, 2013. The increase in expenses can be attributed to increased professional fees, general and administrative expenses as we had a full year of operations for 2014 as compared to 190 days for the period from inception to January 31, 2013. Our professional fees of $25,468 were primarily due to legal and accounting fees related to our recent S-1 registration statement and other regulatory costs.

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Liquidity and Financial Condition

Working Capital At At January 31, January 31, 2014 2013 Increase Current Assets $ 30,983$ 1,064$ 29,919 Current Liabilities $ 6,005$ 3,500$ 2,505 Working Capital (Deficiency) $ 24,978$ (2,436 )$ 27,414 Cash Flows June 25, 2012 Year Ended (Inception) to January 31, January 31, 2014 2013 Net Cash Provided by (Used in) Operating Activities $ (25,091 )$ (1,487 ) Net Cash Used in Investing Activities $ - $ - Net Cash Provided by Financing Activities $ 55,010 $ 2,551 Net Increase in Cash During the Period $ 29,919 $ 1,064



Cash Flow from Operating Activities

During the year ended January 31, 2014, our company used $25,091 in cash from operating activities compared to the use of $1,487 of cash for operating activities during the period ended January 31, 2013. The increase in cash used for operating activities was primarily attributed to professional fees related to our recent S-1 offering and other regulatory requirements.

Cash Flow from Investing Activities

From inception through to January 31, 2014, we did not have any cash flows from investing activities.

Cash Flow from Financing Activities

During the year ended January 31, 2014, our company received $55,010 in cash in financing activities primarily from proceeds from the issuance of common shares to unaffiliated investors, compared to cash provided by financing activities of $2,551 for the period ended January 31, 2013, for cash received from an officer for purchase of common shares.

Plan of Operation

Our auditors have issued a going concern opinion. This means that there is substantial doubt that we can continue as an on-going business for the next twelve months unless we obtain additional capital and/or generate sufficient revenues to pay for our expenses. Our only source for cash at this time is investments by others. We must raise cash and/or begin increase our revenues to stay in business. At this time, however, the Company does not have plans or intentions to raise additional funds by way of the sale of additional securities.

Resort Savers is a development stage company that has minimal operations, no revenue, no financial backing and limited assets. Our plan is to provide online discounted activities, dining and entertainment, as well as the use of our CRM system for a monthly fee.

During the first year of operations, the 12 month period from the date of this report, Resort Savers will concentrate on developing its' CRM system, prospect for vendors and advertisers and market our business on affiliate websites.

For our Internet marketing efforts, the websites content is search-engine optimized ("SEO"), as well as outreaches (i.e., emailing) to partner sites and blogs that specialize in the travel and resort-destination industries to build website link exchanges; these are sites and blogs that specialize in the travel and visitor industries, driving traffic to our site. We will also utilize Search Engine Paid Advertising/ Google Adwords and Social Media Marketing ("SMM") to disseminate our service to customers and market our discounted activities, dining and entertainment services. We will also start our efforts to acquire advertisers/vendors for our site that are looking to reach valuable audiences in each travel destination.

We will begin development of the cloud-based CRM system that will be used to manage our business in the second quarter of the current fiscal year. We expect development to take approximately 4 months. We expect to allocate $4,250 for this CRM system. The advertisers/vendors outreach will be ongoing, as well as the marketing of our CRM system to businesses providing the same service. We will immediately begin our advertising and marketing to source prospective travel destinations and advertisers/vendors through cold calls, referencing our pre-selected travel destinations, SEO, PPC/Google Adwords and SMM. We will also explore taking out advertisements in key trade magazines or other industry related websites. We will focus our marketing on activity, entertainment and dining vendors.

In the event that we do not have sufficient funds, we will endeavor to proceed with our plan of operations by locating alternative sources of financing. Although there are no written agreements in place, one form of alternative financing that may be available to us is self-financing through contributions from the officers and directors. While the officers and directors have generally indicated a willingness to provide services and financial contributions if necessary, there are presently no agreements, arrangements, commitments, or specific understandings, either verbally or in writing, between the officers and directors and Resort Savers.

During the next year of operations, our officers and directors will also provide their labor at no charge. We do not anticipate hiring any staff in the next 12 months of operation, and will rely on the services of an outside contractor for the development of our CRM system.

We are a public entity, subject to the reporting requirements of the Securities Exchange Act of 1934. 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 accounting, legal and other professional costs would be a minimum of $15,000 in the next year and will be higher, in the following years, if our business volume and activity increases. Increased business activity could greatly increase our professional fees for reporting requirements and this could have a significant impact on future operating costs. The difference between having the ability to sustain our cash flow requirements over the next twelve months and the need for additional outside funding will depend on how fast we can generate sales revenue.

At present, we have enough cash on hand to cover our expected legal and accounting costs and minimal development of our business plan for the next 12 months. If we do not have sufficient funds to proceed with the implementation of our business plan, we may have to find alternative sources of funds, like a second public offering, a private placement of securities, or loans from our officers or third parties (such as banks or other institutional lenders). Equity financing could result in additional dilution to then existing shareholders. If we are unable to meet our needs for cash from cash on hand, or possible alternative sources, then we may be unable to continue to maintain, develop or expand our operations.

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Limited Operating History; Need for Additional Capital

There is no historical financial information about us on which to base an evaluation of our performance. We are a development stage company and have generated no revenues from operations. 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, possible delays in developing our website, and possible cost overruns due to the price and cost increases in supplies and services.

At present, we only have enough cash on hand to cover operating costs and minimal development costs for the next 12 months.

If we are unable to meet our needs for cash from either our operations, or possible alternative sources, then we may be unable to continue, develop, or expand our operations.

Liquidity and Capital Resources

To meet our need for cash we raised money from our recent Offering. On October 24, 2013, the Company filed a Prospectus as part of its Registration Statement on Form S-1 which the Company sought to raise $75,000 under the Offering. On February 12, 2014, the Company closed its Offering and will not sell any additional shares under this Prospectus. The Company sold 1,733,500 shares under the Prospectus, raising a total of $52,005.

We received our initial funding of $10,551 through the sale of common stock to our officers and directors. Michelle LaCour purchased 510,200 and 800,000 shares of our common stock at $0.005 on June 28, 2012 for $2,551 and February 19, 2013 for $4,000, respectively. James LaCour purchased 800,000 shares of our common stock at $0.005 on February 19, 2013 for $4,000. During November and February, 2014, twenty-seven (27) unaffiliated investors purchased 1,733,500 shares of common stock at $0.03, for $52,005 in a private offering.

Currently we have sufficient capital to fund partial development of our business for the next 12 months and we feel we have enough funds to cover our professional fees for the next 12 months.

Our financial statements from June 25, 2012 (date of inception) through the period ended January 31, 2014, reported no revenues and a net loss of $32,583.

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.


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Source: Edgar Glimpses


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