This report contains "forward-looking statements" within the meaning of the
Private Securities Litigation Reform Act of 1995. All statements other than
statements of historical fact are "forward-looking statements" for purposes of
federal and state securities laws, including, but not limited to, any
projections of earnings, revenue or other financial items; any statements of the
plans, strategies and objections of management for future operations; any
statements concerning proposed new services or developments; any statements
regarding future economic conditions or performance; any statements or belief;
and any statements of assumptions underlying any of the foregoing.
Forward-looking statements may include the words "may," "could," "estimate,"
"intend," "continue," "believe," "expect" or "anticipate" or other similar
words. These forward-looking statements present our estimates and assumptions
only as of the date of this report. Except for ongoing securities laws, we do
not intend, and undertake no obligation, to update any forward-looking
statement. Although we believe that the expectations reflected in any of our
forward-looking statements are reasonable, actual results could differ
materially from those projected or assumed in any or our forward-looking
statements. Our future financial condition and results of operations, as well as
any forward-looking statements, are subject to change and inherent risks and
uncertainties. The factors impacting these risks and uncertainties include, but
are not limited to; increased competitive pressures from existing competitors
and new entrants; our ability to efficiently and effectively finance our
operations; deterioration in general or regional economic conditions; adverse
state or federal legislation or regulation that increases the costs of
compliance; ability to achieve future sales levels or other operating results;
the fact that our accounting policies and methods are fundamental to how we
report our financial condition and results of operations, and they may require
management to make estimates about matters that are inherently uncertain; the
psychic services market; our ability to develop a fully-functioning web portal;
changes in U.S. GAAP or in the legal, regulatory and legislative environments in
the markets in which we operate; inability to efficiently manage our operations;
the inability of management to effectively implement our strategies and business
plans; and the other risks and uncertainties detailed in this report.
Throughout this report references to "we", "our", "us", "PFN", "the Company", and similar terms refer to
CORPORATE HISTORY AND BACKGROUND
The Company is in the business of providing daily horoscopes, astrological reports and live psychic advice by telephone, internet, or our soon to be released mobile application. Our latest development includes the launch of our newly updated website, where customers can now not only connect to the advisor of their choice by telephone, but by live audio and video chat as well. They can connect from computers, tablets or even mobile phones. Our website is www.psychicfriendsnetwork.com. First time customers are offered promotions and are able to choose their psychic friend by specialties, and by reading their bios and feedback. They also are able to establish an ongoing relationship with
their advisor, or they can choose to try someone new the next time they call. We will strive to stay on the cutting edge of technology in an effort to deliver our content. Currently this includes Facebook applications, and twitter pages, that can reward our customers with free credits towards readings for sharing, liking or tweeting about PFN. We will also soon be giving each of our psychics their own websites where we will incentivize them to find new customers.
RESULTS OF OPERATIONS
The following discussion of the financial condition and results of operations should be read in conjunction with the unaudited interim financial statements included herewith. This discussion should not be construed to imply that the results discussed herein will necessarily continue into the future, or that any conclusion reached herein will necessarily be indicative of actual operating results in the future.
FOR THE THREE AND NINE MONTHS ENDED
The Company commenced commercial operations as of
We do not anticipate earning significant revenues until such time that we have sufficient capital to market our services.
During the three months ended
Our net loss for the three months ended
LIQUIDITY AND CAPITAL RESOURCES
In the nine months ended
The Company believes it currently does not have sufficient funds to execute its business plan. We anticipate that additional capital will be required to implement our business plan to pay for marketing efforts to support revenue for 2014. In order to obtain the necessary capital, the Company may need to sell additional shares of common stock or borrow funds from private lenders.
Even if we are able to raise the funds required, it is possible that we could incur unexpected costs and expenses, fail to collect significant amounts owed to us or experience unexpected cash requirements that would force us to seek alternative financing. Further, if we issue additional equity or debt securities as a means of raising additional capital, stockholders may experience dilution or the new equity securities may have rights, preferences or privileges senior to those of existing holders of common stock.
OFF BALANCE SHEET ARRANGEMENTS
CRITICAL ACCOUNTING POLICIES
See Note 2 "Significant Accounting Policies" within the notes to our financial statements.