UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
AMENDMENT NO. 1
TO
FORM 10-QSB
[ X ] QUARTERLY REPORT UNDER SECTION 13 0R 15(D) OF THE SECURITIES EXCHANGE
ACT OF 1934
For the quarterly period ended June 30, 2000
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[ ] TRANSITION REPORT UNDER SECTION 13 0R 15(D) OF THE SECURITIES EXCHANGE
ACT OF 1934
For the transition period from to
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Commission file number
eSportbike.com, Inc.
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(Name of Small Business Issuer in its charter)
Incorporated in the State of Nevada 77-0454856
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(State or other jurisdiction of (I.R.S. Employer Identification No.)
incorporation or organization)
2nd Floor, 1661 Duranleau Street, Vancouver, British Columbia V6H 3S3
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(Address of principal executive offices) (Zip Code)
Issuer's telephone number (604) 687-6627
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Check whether the issuer (1) filed all reports required to be filed by Section
13 or 15(d) of the Exchange Act during the last 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 [ ]
State the number of shares outstanding of each of the issuer's classes of common
equity, as of the latest practicable date.
Class Outstanding at August 14, 2000
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Common Stock - $0.001 par value 16,400,000
Transitional Small Business Disclosure Format (Check one): Yes [ ] No [X]
<PAGE>
PART I - FINANCIAL INFORMATION
Item 1. Financial Statements.
See unaudited financial statements for the period ended June 30, 2000
attached to this Form 10-QSB.
NOTICE TO READER
I have compiled the balance sheet of ESPORTBIKE.COM, INC. as at June 30, 2000
and the statement of operations and deficit for the six-month period then ended
from information provided by management. I have not audited, reviewed or
otherwise attempted to verify the accuracy or completeness of such information.
Readers are cautioned that these statements may not be appropriate for their
purposes.
The balance sheet as at March 31, 2000, and the statement of operations and
deficit for the three-month period then ended were compiled by different
accountants.
/s/ JAMES STAFFORD C.A.
Vancouver, Canada CHARTERED ACCOUNTANT
August 17, 2000
<PAGE>
<TABLE>
<CAPTION>
ESPORTBIKE.COM, INC.
(A DEVELOPMENT STAGE COMPANY)
Balance Sheet
(Expressed in U.S. dollars)
====================================================================================================================================
June 30, March 31,
2000 2000
====================================================================================================================================
<S> <C> <C>
ASSETS
CURRENT ASSETS
Cash $ 13,101 $ --
Accounts receivable 981 --
Prepaid expense 5,340 --
--------- ---------
19,422 --
CAPITAL ASSETS 7,721 120,721
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$ 27,143 $ 120,721
====================================================================================================================================
LIABILITIES AND SHAREHOLDERS' CAPITAL
CURRENT LIABILITIES
Accounts payable and accrued liabilities $ 5,568 $ 120,188
DUE TO SHAREHOLDER 125,167 --
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130,735 120,188
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SHAREHOLDERS' EQUITY
Capital stock
Authorized
100,000,000 common shares with a par value of $.001 per share
Issued
16,400,000 common shares with a par value of $.001 per share 16,400 16,400
Additional paid-in capital 3,812 3,812
Deficit (123,804) (19,679)
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(103,592) 533
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$ 27,143 $ 120,721
====================================================================================================================================
</TABLE>
APPROVED BY THE BOARD:
/S/ ROBERT EYRE MCLAUCHLAN Director /S/ KENT DOUGLAS COURTICE Director
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These financial statements do not contain certain disclosures required
by generally accepted accounting principles.
<PAGE>
<TABLE>
<CAPTION>
ESPORTBIKE.COM, INC.
(A DEVELOPMENT STAGE COMPANY)
Statement of Operations and Deficit
(Expressed in U.S. dollars)
====================================================================================================================================
For the six-month For the three-month
Period ended Period ended
June 30, 2000 March 31, 2000
------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C>
REVENUE
Advertising $ 981 $ --
Interest income 483 --
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1,464 --
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EXPENSES
Accounting and legal 2,704 --
Advertising and promotion 62,325 --
Bank charges and interest 282 --
Consulting fees 8,111 --
Insurance 1,014 --
Office and miscellaneous 3,494 14,578
Salaries and wages 21,156 --
Travel 6,503 --
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105,589 14,578
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NET LOSS FOR THE PERIOD (104,125) (14,578)
DEFICIT, BEGINNING OF PERIOD (19,679) (5,101)
--------- ---------
DEFICIT, END OF PERIOD $(123,804) $ (19,679)
====================================================================================================================================
</TABLE>
These financial statements do not contain certain disclosures required
by generally accepted accounting principle
<PAGE>
Item 2. Management's Discussion and Analysis or Plan of Operation.
General
Launched in November 1998 as Sportbike Online
http://www.sportbikeonline.com, eSprotbike has enjoyed over 1 million unique
visitors to date. The site is currently exhibiting 15% growth per month.
eSportbike plans to re-launch the site as eSportbike.com
http://www.esportbike.comin the first quarter of 2000. We expect to enjoy
significant growth after the re-launch as we execute on our plan to be the webs
largest community and e-commerce destination for the sport bike and motorcycle
enthusiast.
eSportbike was not in full operations during 1999 and 1998 and thus,
the revenues generated are not representative of those that will be generated
once eSportbike becomes fully operational. Revenues are not yet sufficient to
support eSportbike's operating expenses and are not expected to reach such
levels until the first or second quarter of 2001. Since eSportbike's formation,
it has funded its operations and capital expenditures primarily through private
placements of debt and equity securities eSportbike expects that it will be
required to seek additional financing in the future. There can be no assurance
that such financing will be available at all or available on terms acceptable to
eSportbike.
Plan of Operation
eSportbike was organized for the purpose of creating a corporate
vehicle to seek, investigate and, if such investigation warrants, acquire an
interest in one or more business opportunities presented to it by persons or
firms who or which desire to seek perceived advantages of a publicly held
corporation.
eSportbike may incur significant post-merger or acquisition
registration costs in the event management wishes to register a portion of their
shares for subsequent sale. eSportbike will also incur significant legal and
accounting costs in connection with the acquisition including the costs of
preparing post-effective amendments, Forms 8-K, agreements and related reports
and documents.
eSportbike will not have sufficient funds (unless it is able to raise
funds in a private placement) to undertake any significant development,
marketing and manufacturing of the products acquired. Accordingly, following the
acquisition, eSportbike will, in all likelihood, be required to either seek debt
or equity financing or obtain funding from third parties, in exchange for which
eSportbike may be required to give up a substantial portion of its interest in
the acquired product. There is no assurance that eSportbike will be able either
to obtain additional financing or interest third parties in providing funding
for the further development, marketing and manufacturing of any products
acquired.
The e-commerce industry is an intensely competitive one, where brand
recognition, quality of site content, merchandise selection, convenience,
prices, and service are critical factors. eSportbike has many established
competitors, ranging from similar local single unit operations to large
multi-national operations. Some of these competitors have substantially greater
financial resources and may be established or indeed become established in areas
where eSportbike operates. The industry may be affected by changes in customer
tastes, economic, and demographic trends. Factors such as inflation, increased
supplies costs and the availability of suitable employees may adversely affect
the entertainment industry in general and eSportbike in particular. In view of
eSportbike's limited financial resources and management availability, eSportbike
will continue to be at a significant competitive disadvantage vis-a-vis
eSportbike's competitors.
<PAGE>
Results of Operations
From April 7, 1997 to July 9, 1999 eSportbike was an inactive
corporation. From July 9, 1999 eSportbike was a development stage company and
had not begun principal operations. Accordingly, comparisons with prior periods
are not meaningful.
Liquidity and Capital Resources
eSportbike has met its capital requirements through the sale of its
Common Stock .
Since eSportbike's re-activation in July 9, 1999, eSportbike's
principal capital requirements have been the funding of the development of
eSportbike.
After the completion of its expansion plans, eSportbike expects future
development and expansion will be financed through cash flow from operations and
other forms of financing such as the sale of additional equity and debt
securities, capital leases and other credit facilities. There are no assurances
that such financing will be available on terms acceptable or favorable to
eSportbike.
Government Regulations
eSportbike is subject to all pertinent Federal, State, and Local laws
governing its business. eSportbike is subject to licensing and regulation by a
number of authorities in its Province (State) or municipality. These may include
health, safety, and fire regulations. eSportbike's operations are also subject
to Federal and State minimum wage laws governing such matters as working
conditions and overtime.
Competition
eSportbike faces competition from a wide variety of sport bike specific
web sites, many of which have substantially greater financial, marketing and
technological resources than eSportbike.
The marketplace for Sport Bike specific web sites is still in its
infancy. Many of the web sites are not commercial, and the biggest commercial
sites are almost all strictly relying on advertisers and not e-commerce sales.
Several sites compete in this market, but no one has emerged as an industry
leader. We have identified competition in terms of specific content and
e-commerce applications that are relevant to our industry.
Employees
At June 30, 2000, eSportbike had 2 full-time employees.
Part II - Other Information
Item 1. Legal Proceedings.
eSportbike is not a party to any pending legal proceedings, and to the
best of eSportbike's knowledge, none of eSportbike's assets are the subject of
any pending legal proceedings.
Item 2. Changes in Securities.
During the second quarter of the fiscal year covered by this report,
(i) eSportbike did not modify the instruments defining the rights of its
shareholders, (ii) no rights of any shareholders were limited or qualified by
any other class of securities, and (iii) eSportbike did not sell any
unregistered equity securities.
Item 3. Defaults Upon Senior Securities.
During the second quarter of the fiscal year covered by this report, no
material default has occurred with respect to any indebtedness of eSportbike.
Also during this quarter, no material arrearage in the payment of dividends has
occurred.
Item 4. Submission of Matters to a Vote of Security Holders.
No matter was submitted to a vote of security holders, through the
solicitation of proxies or otherwise, during the second quarter of the fiscal
year covered by this report.
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibits
All Exhibits required to be filed with the Form 10-QSB are incorporated by
reference to eSportbike's previously filed Form 10-SB and Form 10-KSB.
(b) Reports on Form 8-K.
There were no reports on Form 8-K filed by eSportbike during the
quarter ended June 30, 2000.
<PAGE>
SIGNATURES
In accordance with the requirements of the Securities Exchange Act of 1934,
eSportbike has caused this report to be signed on its behalf by the undersigned,
who are duly authorized.
esportbike.com, inc.
By: "Robert Eyre McLauchaln"
---------------------------------
Name: Robert Eyre McLauchlan
Title: CEO, Secretary and Director
Dated: August 30, 2000
By: "Kent Douglas Courtice"
---------------------------------
Name: Kent Douglas Courtice
Title: President and Director
Dated: August 30, 2000
