<PAGE>
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 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 September 30, 1997
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 Number: 333-26933
COMMONWEALTH INCOME & GROWTH FUND III
(Exact name of registrant as specified in its charter)
Pennsylvania 23-2895714
(State or other jurisdiction of (I.R.S. Employer identification No.)
incorporation or organization)
1160 West Swedesford Road
Berwyn, Pennsylvania 19312
(Address, including zip code, of principal executive offices)
(610) 647-6800
(Registrant's telephone number including area code)
Indicate by check mark whether the registrant (1) has filed all reports 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 registrant was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days:
YES [ X ] NO [ ]
<PAGE>
Part I: FINANCIAL INFORMATION
ITEM 1: FINANCIAL STATEMENTS
Commonwealth Income & Growth Fund III
BALANCE SHEET
September 30, 1997
<TABLE>
<S> <C>
Assets
Cash................................................................................ $ 1,500
---------
---------
Partners' capital
General partner..................................................................... $ 1,000
Limited partner..................................................................... 500
---------
Total partners' capital............................................................. $ 1,500
---------
---------
</TABLE>
See accompanying notes.
2
<PAGE>
Commonwealth Income & Growth Fund III
STATEMENT OF OPERATIONS
From April 28, 1997 (date of inception) to September 30, 1997
NONE
See accompanying notes.
3
<PAGE>
Commonwealth Income & Growth Fund III
STATEMENT OF PARTNERS' CAPITAL
From April 28, 1997 (date of inception) to September 30, 1997
<TABLE>
<CAPTION>
GENERAL LIMITED
PARTNER PARTNER GENERAL LIMITED
UNITS UNITS PARTNER PARTNER TOTAL
------------- ------------- ----------- ----------- ---------
<S> <C> <C> <C> <C> <C>
Initial contribution.......................................... 50 25 $ 1,000 $ 500 $ 1,500
-- -- ----------- ----- ---------
-- -- ----------- ----- ---------
</TABLE>
See accompanying notes.
4
<PAGE>
Commonwealth Income & Growth Fund III
STATEMENT OF CASH FLOWS
From April 28, 1997 (date of inception) to September 30, 1997
<TABLE>
<S> <C>
Financing activities
Partners' contributions............................................................. $ 1,500
---------
Net increase in cash at end of period............................................... $ 1,500
---------
---------
</TABLE>
See accompanying notes.
5
<PAGE>
Commonwealth Income & Growth Fund III
Notes to Financial Statements
September 30, 1997
The accompanying unaudited condensed financial statements have been prepared
by the Partnership in accordance with generally accepted accounting
principles, pursuant to the rules and regulations of the Securities and
Exchange Commission. In the opinion of the General Partner, all adjustments
(consisting of normal recurring accruals) considered necessary for a fair
presentation have been included.
1. Business
Commonwealth Income & Growth Fund III (the "Partnership") is a limited
partnership. The Partnership is currently offering for sale up to 750,000
units of the limited partnership at the purchase price of $20 per unit. The
Partnership was declared effective by the Securities and Exchange Commission
on July 25, 1997. The Partnership will use proceeds of the offerings to
acquire, own, lease and sell various types of computer peripheral equipment
and other similar capital equipment, which will be leased primarily to U.S.
corporations and institutions. The Partnership's general partner is
Commonwealth Income & Growth Fund, Inc. (the "General Partner"), a
Pennsylvania corporation which is an indirect wholly-owned subsidiary of
Commonwealth Capital Corp. Approximately ten years after the commencement of
operations, the Partnership intends to have sold or otherwise disposed of all
of its computer equipment, make final distributions to partners, and to
dissolve. Unless sooner terminated, the Partnership will continue until
December 31, 2009.
6
<PAGE>
Commonwealth Income & Growth Fund III
Part II: OTHER INFORMATION
Item 1. Legal Proceedings.
Inapplicable
Item 2. Changes in Securities.
Inapplicable
Item 3. Defaults Upon Senior Securities.
Inapplicable
Item 4. Submission of Matters to a Vote of Securities Holders.
Inapplicable
Item 5. Other Information.
Inapplicable
Item 6. Exhibits and Reports on Form 8-K.
a) Exhibits: None
b) Report on Form 8-K: None
7
<PAGE>
SIGNATURE
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.
COMMONWEALTH INCOME & GROWTH FUND III
BY: COMMONWEALTH INCOME & GROWTH
FUND, INC. General Partner
____________________ By:_________________________
Date David A. Kintzer, CPA
Chief Financial Officer
8
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 5
<CIK> 0001038878
<NAME> CIGF-III
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-START> JAN-01-1997
<PERIOD-END> SEP-30-1997
<CASH> 1,500
<SECURITIES> 0
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 1,500
<PP&E> 0
<DEPRECIATION> 0
<TOTAL-ASSETS> 0
<CURRENT-LIABILITIES> 0
<BONDS> 0
0
0
<COMMON> 1,500
<OTHER-SE> 0
<TOTAL-LIABILITY-AND-EQUITY> 1,500
<SALES> 0
<TOTAL-REVENUES> 0
<CGS> 0
<TOTAL-COSTS> 0
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 0
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 0
<EPS-PRIMARY> 0
<EPS-DILUTED> 0
</TABLE>
