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BI-OPTIC VENTURES INC - 10-K - MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

June 13, 2014



Plan Of Operations

Source of Funds for Fiscal 2014

The Company's primary source of funds since incorporation has been through the issuance of common stock and loans. The Company has had no revenue from operations to date and does not anticipate revenues in the foreseeable future.

The Company had a working capital deficit of $462,789 at 2/28/2014. The Company has had discussions with third parties about equity offerings and/or loans; but the talks as of 5/29/2014 were preliminary.

Use of Funds for Fiscal 2014

During Fiscal 2014, the Company estimates that it might expend $120,000 on general/administrative expenses; although, this figure is subject to uncertainties including potential acquisition. It is impossible to precisely estimate the probable capital expenditures associated with any possible acquisitions that might be consummated during Fiscal 2014.

Anticipated Changes to Facilities/Employees

The Company has no plans to acquire any new facilities. The Company has no plans to add any additional personnel; however, if a business acquisition is consummated, additional personnel might be required.

Management's Discussion andAnalysis of Financial Condition and Results of Operations

Overview



Since May 2008, the Company has been evaluating and performing due diligence on various projects for a possible acquisition or on a joint-venture basis.

Liquidity and Capital Resources

Effective 6/14/2010, the Company closed a private placement of 6,000,000 units (the "Units") at $0.10 per Unit for gross proceeds of $600,000. Each Unit consists of one common share and one non-transferable share purchase warrant.

Each share purchase warrant entitles the holder thereof to purchase an additional common share in the Company at a price of $0.15 for a period of one year from the date of closing. The Company paid finder's fees in the amount of $25,200 and also legal fees of $10,250 to various arm's length parties in connection with this private placement. All the shares issued in this private placement and any resulting shares issued upon the exercise of any warrants were subject to a hold period that expired on 10/12/2010.

Fiscal 2014 Ended 2/28/2014

Working capital deficit was $462,789 at 2/28/2014.

Working capital deficit was $338,957 at 2/28/2013.

Cash used in fiscal 2014 operating activities totaled $31,336, including the $124,536 net loss; significant adjusting items were amortization of $703 and a $92,497 net change in operating assets and liabilities. Net cash provided by financing activities was $31,336, consisting of advances of $31,265 from related parties and $71 bank overdraft. Net cash used in investing activities was $nil.

Fiscal 2013 Ended 2/28/2013

Working capital deficit was $338,957 at 2/28/2013.

Working capital deficit was $171,849 at 2/29/2012.

Cash used in fiscal 2013 operating activities totaled $62,739, including the $174,101 net loss; significant adjusting items were amortization of $993 and a $110,369 net change in operating assets and liabilities. Net cash provided by financing activities was $62,240, consisting of advances from related parties". Net cash used in investing activities was $nil.

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Results of Operations Year Ended 2/28/2014



Operating expenses for fiscal 2014 ended 2/28/2014 were $124,536 compared to $174,101 for the previous year. "Consulting/management fees" were $38,544 vs. $40,486: ($30,000 vs. $30,000) incurred to Myntek Management Services Inc.; and ($8,544 vs. $10,486) paid to third parties, the decrease relating to lower payments made this year to consultants for project investigation costs.

"Professional fees" decreased by double ($38,941 vs. $83,456): ($24,000 vs. $24,000) incurred to Wynson Management Services Ltd.; and ($14,941 vs. $59,456) paid to third parties, the decrease was due to decreased due diligence expenses. "Office/rent/telephone" was down ($32,923 vs. $34,326) as a result of lower corporate activity.

Net loss for fiscal 2014 was $124,536. Loss per share was $0.01.

Year Ended 2/28/2013

Operating Expenses for Fiscal 2013 ended 2/28/2013 were $174,101 compared to $147,257 for the previous year. "Consulting/management fees" were $40,486 vs. $47,097: ($30,000 vs. $30,000) incurred to Myntek Management Services Inc.; and ($10,486 vs. $17,097) paid to third parties, the decrease relating to lower payments made this year to consultants for project investigation costs.

"Professional fees" were lower ($83,486 vs. $44,871): ($24,000 vs. $24,000) incurred to Wynson Management Services Ltd.; and ($59,486 vs. $20,871) paid to third parties, the increase was due to higher legal fees incurred.

"Office/rent/telephone" was down ($34,326 vs. $38,837) as a result of lower corporate activity.

Net loss for fiscal 2013 was $174,101. Loss per share was $0.01.

Off-Balance Sheet Arrangements: No Disclosure Necessary


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Source: Edgar Glimpses


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