CONCENTRATIONS OF RISK

9 Months Ended

Sep. 30, 2023

Risks and Uncertainties [Abstract]

CONCENTRATIONS OF RISK

NOTE 13 – CONCENTRATIONS OF RISK

The Company is exposed to the following concentrations of risk:

(a) Major customers

For the three and nine months ended September 30, 2023 and 2022, the customers who accounted for 10% or more of the Company’s revenues and its outstanding receivables balance as at period-end dates, are presented as follows:

	Three months ended September 30, 2023
Customer	Revenues		Percentage of revenues
Customer A	$	2,960		56	%

	Nine months ended September 30, 2023						September 30, 2023
Customer	Revenues		Percentage of revenues				Accounts receivable		Percentage of Accounts Receivable
Customer A	$	2,960		12	%			-		-
Customer C		10,220		42	%			-		-
Total:	$	13,180		54	%	Total		-		-

	Three months ended September 30, 2022
Customer	Revenues		Percentage of revenues
Customer B	$	5,297		98	%

	Nine months ended September 30, 2022						September 30, 2022
Customer	Revenues		Percentage of revenues				Accounts receivable		Percentage of Accounts Receivable
Customer A	$	135,452		80	%			-		-
Customer B		19,395		12	%			-		-
Total:	$	154,847		92	%	Total		-		-

The Company’s major customers are located in the PRC and Hong Kong.

(b) Major vendors

For the three months ended September 30, 2023, there is no single vendor representing more than 10% of the Company’s purchases. For the nine months ended September 30, 2023, a single vendor represented more than 10% of the Company’s purchases. This vendor accounted for 11% of the Company’s purchases amounting to $1,398, with accounts payable of $0 as of September 30, 2023.

For the three and nine months ended September 30, 2022, there is no single vendor representing more than 10% of the Company’s purchases.

All of the Company’s vendors are located in the PRC.

(c) Credit risk

Financial instruments that are potentially subject to credit risk consist principally of trade receivables. The Company believes the concentration of credit risk in its trade receivables is substantially mitigated by its ongoing credit evaluation process and relatively short collection terms. The Company does not generally require collateral from customers. The Company evaluates the need for an allowance for doubtful accounts based upon factors surrounding the credit risk of specific customers, historical trends and other information.

(d) Economic and political risk

The Company’s major operations are conducted in the PRC. Accordingly, the political, economic, and legal environments in the PRC, as well as the general state of the PRC’s economy may influence the Company’s business, financial condition, and results of operations.

(e) Exchange rate risk

The Company cannot guarantee that the current exchange rate will remain steady; therefore there is a possibility that the Company could post the same amount of profit for two comparable periods and because of the fluctuating exchange rate actually post higher or lower profit depending on exchange rate of RMB converted to US$ on that date. The exchange rate could fluctuate depending on changes in political and economic environments without notice.