EX-99.3 4 byoc_ex99z3.htm EXHIBIT 99.3

Exhibit 99.3

Beyond Commerce Inc.

Unaudited Pro Forma Condensed Consolidating Financial Information

The unaudited pro forma condensed consolidating financial information included herein has been prepared pursuant to the rules and regulations of the United States Securities and Exchange Commission.

Pro forma adjustments are limited to the effects or events that are directly attributable to the transaction, factually supportable and for the statement of operations expect to have a continuing impact on the registrant.  

The following unaudited pro forma condensed consolidating balance sheets are based on the historical audited balance sheets of Beyond Commerce, Inc (“BYOC”) and the audited PathUX, LLC. (“PathUX”) as of December 31, 2018 and the interim financial statements as of March 31, 2019.  The following unaudited pro forma condensed consolidating statements of operations are based on the historical statements of operations of BYOC and the audited PathUX for the year ended December 31, 2018 and three months ended March 31, 2019.

The Company closed this transaction on June 4, 2019 with PathUX, On this date Robert Bisson, received 31,500,000 shares of Beyond Commerce’s restricted common stock, Christian Schine received 31,500,000 shares of Beyond Commerce’s restricted common stock, and Ryan Rich, received 7,000,000 shares of Beyond Commerce’s restricted common stock. The effective date of this business combination between Beyond Commerce and PathUX LLC, is May 31, 2019, when Beyond Commerce received 100% of PathUX membership interest, assets consisting of the company’s website, customer lists, current customer base, and customer’s in the company’s pipeline and proprietary software.

On May 31, 2019 the three members Robert Bisson, Christian Schine, and Ryan Rich of PathUX, LLC, received and aggregate of 70,000,000 shares of Beyond Commerce’s restricted common stock valued $427,000. The $427,000 is reflected as deposit on the acquisition of PathUX to be held in escrow pending the following alternatives:

 

i.Ninety (90) days after closing, Beyond Commerce, Inc. at the discretion of the former PathUX LLC members shall owe $1,000,000 to the three former members. The payment due date may be extended at the discretion of the Company for an additional ninety (90) days, for a total of one hundred eighty (180) days, through incremental cash payment aggregating $300,000 of additional monetary compensation. 

ii.Company will also during this time period, and once again at the discretion of the former members, issue a $2,000,000 convertible promissory note, which carries a two year quarterly amortizing payment requirement of $317,068.45 starting on December 30, 2019, and an 8.0% interest rate, this note is fully amortized on June 30, 2021. 

 

The BYOC unaudited pro forma condensed consolidating statement of operations for the year ended December 31, 2018 gives effect to the acquisition of PathUX assets as if it had occurred on January 1, 2018.  The unaudited pro forma condensed consolidating balance sheets give effect to the acquisition of PathUX assets as if it had occurred on January 1, 2018.

The following unaudited pro forma condensed consolidating balance sheets as of December 31, 2018 and March 31, 2019 and unaudited pro forma condensed statement of operations for the year ended December 31, 2018 and for the three month period March 31, 2019 are presented for illustrative purposes only and are not necessarily indicative of the financial position or operating results that would have been achieved, nor are they necessarily indicative of the future operating results.

 

 

BEYOND COMMERCE, INC.

 

 

 

 

 

 

 

 

 

 

 

 

 

UNAUDITED PRO FORMA CONDENSED CONSOLIDATED BALANCE SHEET

 

 

 

 

 

 

 

 

 

 

December 31, 2018

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beyond Commerce Inc.

 

 

PathUX LLC

 

Proforma Adjustments

 

Proforma Balance

ASSETS 

 

 

(Audited )

 

 

(Audited )

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

 

Cash & cash equivalents

 

$

79,890   

 

 

$

67,787   

 

$

 

 

$

147,677   

Accounts receivable, net

 

 

-   

 

 

 

5,492   

 

 

-   

 

 

5,492   

Total current assets

 

 

79,890   

 

 

 

73,279   

 

 

0   

 

 

153,169   

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Proprietary software, net

 

 

-   

 

 

 

749,950   

3)  

 

313,491   

 

 

1,063,441   

Intangible assets

 

 

 

 

 

 

 

2)  

 

3,000,000   

 

 

2,155,006   

Deposit for investment in acquisitions Service 800 & PathUX

 

 

572,000   

 

 

 

-   

1)  

 

427,000   

 

 

999,000   

 

 

$

651,890   

 

 

$

823,229   

 

$

2,895,497   

 

$

4,370,616   

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS’ DEFICIT

 

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

Accounts payable

 

 $

79,833   

 

 

$

132,783   

 

$

-   

 

$

212,616   

Short-term contingent acquisition liability

 

 

-   

 

 

 

-   

2)  

 

1,000,000   

 

 

1,000,000   

Other current liabilities

 

 

639,712   

 

 

 

-   

3)  

 

158,943   

 

 

1,078,655   

Accrued payroll & related items

 

 

1,924,395   

 

 

 

-   

 

 

-   

 

 

1,924,395   

Derivative liability

 

 

2,480,543   

 

 

 

-   

 

 

 

 

 

2,480,543   

Accrued payroll taxes

 

 

1,077,163   

 

 

 

-   

 

 

-   

 

 

1,077,163   

Short-term borrowings - net of discount

 

 

81,136   

 

 

 

-   

 

 

-   

 

 

81,136   

Pursglove judgment interest

 

 

2,363,192   

 

 

 

 

 

 

 

 

 

2,363,192   

Pursglove judgment payable

 

 

5,758,322   

 

 

 

-   

 

 

-   

 

 

5,758,322   

Total current liabilities

 

 

14,404,294   

 

 

 

132,783   

 

 

1,438,943   

 

 

15,976,020   

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Long-term contingent acquisition liability

 

 

-   

 

 

 

-   

2)  

 

2,000,000   

 

 

2,000,000   

Long- term borrowings, net of discount

 

 

143,478   

 

 

 

-   

 

 

 

 

 

143,478   

Total liabilities

 

 

14,547,772   

 

 

 

132,783   

 

 

3,438,943   

 

 

18,119,498   

Commitments and Contingencies

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mezzanine Equity:

 

 

 

 

 

 

 

 

 

 

 

 

 

Preferred stock, $0.001 par value of 250,000,000 shares authorized and 220,000,000 and 250,000,000 shares issued and outstanding as of September 30, 2018 and December 31,2017, respectively

 

 

250,000   

 

 

 

-   

 

 

-   

 

 

250,000   

Shareholders Deficit:

 

 

 

 

 

 

 

 

 

 

 

 

 

Common stock, $0.001 par value, 1,900,000,000 shares authorized as of December 31, 2018 and 1,017,450,000 and 1,000,000,000 issued and outstanding as of December 31, 2018 and at December 31, 2017, respectively.

 

 

1,017,450   

 

 

 

 

1)  

 

70,000   

 

 

1,087,450   

Members' equity

 

 

 

 

 

 

690,446   

3)  

 

(690,446)  

 

 

-   

Additional paid in capital

 

 

27,599,349   

 

 

 

-   

1)  

 

357,000   

 

 

27,956,349   

Accumulated deficit

 

 

(42,762,681)  

 

 

 

-   

4)  

 

(280,000)  

 

 

(43,042,681)  

Total stockholders' deficit

 

 

(13,895,882)  

 

 

 

690,446   

 

 

(543,446)  

 

 

(13,748,882)  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total liabilities and stockholders' deficit

 

$

651,890   

 

 

$

823,229   

 

$

2,895,497   

 

$

4,370,616   

See notes to pro forma statements.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

BEYOND COMMERCE, INC.

 

 

 

 

 

 

 

 

 

 

 

 

 

UNAUDITED PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

 

 

 

 

 

 

 

 

 

For the year ended December 31, 2018

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beyond Commerce Inc.

 

 

PathUX  LLC

 

Proforma Adjustments

 

Proforma Balance

 

 

 

(Audited )

 

 

(Audited )

 

 

 

 

Revenues

$

-   

 

$

1,611,265   

$

-   

$

1,611,265   

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

Cost of goods sold

 

 

-   

 

 

 

1,142,468   

 

 

-   

 

 

1,142,468   

Selling, general and administrative

 

 

226,882   

 

 

 

30,475   

 

 

-   

 

 

257,357   

Payroll expense

 

 

360,000   

 

 

 

-   

 

 

-   

 

 

360,000   

Depreciation

 

 

-   

 

 

 

133,915   

 

 

-   

 

 

133,915   

Professional Fees

 

 

1,173,929   

 

 

 

56,825   

 

 

-   

 

 

1,230,754   

Total operating expenses

 

 

1,760,810   

 

 

 

1,363,683   

 

 

-   

 

 

3,124,493   

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income (loss) from operations

 

 

(1,760,810)  

 

 

 

247,582   

 

 

-   

 

 

(1,513,228)  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-operating income (expense)

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

 

(904,530)  

 

 

 

(8,747)  

4)  

 

(280,000)  

 

 

(1,193,277)  

Amortization of debt discount

 

 

(174,614)  

 

 

 

-   

 

 

-   

 

 

(174,614)  

Other income (expense)

 

 

-   

 

 

 

(24,611)  

 

 

-   

 

 

(24,611)  

Derivative related expenses

 

 

(1,109,769)  

 

 

 

-   

 

 

-   

 

 

(1,109,769)  

Change in derivative liability

 

 

(346,516)  

 

 

 

-   

 

 

-   

 

 

(346,516)  

Total non-operating income (expense)

 

 

(2,535,429)  

 

 

 

(33,358)  

 

 

(280,000)  

 

 

(2,848,787)  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Provision for income tax

 

 

-   

 

 

 

-   

 

 

-   

 

 

-   

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income (loss)

 

$

(4,296,239)  

 

$

 

214,224   

$

 

(280,000)  

 

$

(4,362,015)  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income (loss) per common share-basic and diluted

 

$

(0.00)  

 

 

 

 

 

 

 

 

$

(0.00)  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average shares of capital outstanding – basic

 

 

1,008,065,890   

 

 

 

 

1)  

 

70,000,000   

 

 

1,078,065,890   

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average shares of capital outstanding – diluted

 

 

1,008,065,890   

 

 

 

 

1)  

 

70,000,000   

 

 

1,078,065,890   

 

 

 

 

 

 

 

 

 

 

.

 

 

 

See notes to pro forma statements.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

BEYOND COMMERCE, INC.

 

 

 

 

 

 

 

 

 

 

 

 

 

UNAUDITED PRO FORMA CONDENSED CONSOLIDATED BALANCE SHEET

 

 

 

 

 

 

 

 

 

 

March 31, 2019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beyond Commerce Inc.

 

 

PathUX LLC

 

Proforma Adjustments

 

Proforma Balance

ASSETS 

 

 

(Unaudited )

 

 

(Unaudited )

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

 

Cash & cash equivalents

 

$

113,678   

 

 

$

31,936   

 

$

 

 

$

145,614   

Accounts receivable, net

 

 

449,867   

 

 

 

-   

 

 

-   

 

 

449,867   

Other current assets

 

 

83,423   

 

 

 

-   

 

 

-   

 

 

83,423   

Total current assets

 

 

646,968   

 

 

 

31,936   

 

 

0   

 

 

678,904   

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Property, equipment and propriety software, net

 

 

1,049,014   

 

 

 

743,923   

3)  

 

319,518   

 

 

2,112,455   

Intangible assets

 

 

4,119,276   

 

 

 

 

2)  

 

3,000,000   

 

 

6,329,832   

Deposit for investment in acquisitions Service 800 & PathUX

 

 

-   

 

 

 

-   

1)  

 

427,000   

 

 

427,000   

 

 

$

5,815,258   

 

 

$

775,859   

 

$

2,957,074   

 

$

9,548,191   

LIABILITIES AND STOCKHOLDERS’ DEFICIT

 

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

Accounts payable

 

 $

238,292   

 

 

$

146,990   

 

$

-   

 

$

385,282   

Short-term contingent acquisition liability

 

 

-   

 

 

 

-   

2)  

 

1,000,000   

 

 

1,000,000   

Other current liabilities

 

 

775,453   

 

 

 

-   

3)  

 

158,943   

 

 

1,284,396   

Accrued payroll & related items

 

 

2,306,298   

 

 

 

-   

 

 

-   

 

 

2,306,298   

Derivative liability

 

 

1,981,676   

 

 

 

-   

 

 

 

 

 

1,981,676   

Accrued payroll taxes

 

 

1,077,163   

 

 

 

-   

 

 

-   

 

 

1,077,163   

Short-term borrowings - net of discount

 

 

915,443   

 

 

 

-   

 

 

-   

 

 

915,443   

Pursglove judgment interest

 

 

2,442,762   

 

 

 

 

 

 

 

 

 

2,442,762   

Pursglove judgment payable

 

 

5,758,322   

 

 

 

-   

 

 

-   

 

 

5,758,322   

Total current liabilities

 

 

15,495,408   

 

 

 

146,990   

 

 

1,508,943   

 

 

17,151,341   

Long-term contingent acquisition liability

 

 

-   

 

 

 

-   

2)  

 

2,000,000   

 

 

2,000,000   

Long- term borrowings, net of discount

 

 

2,243,945   

 

 

 

-   

 

 

 

 

 

2,243,945   

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total liabilities

 

 

17,739,353   

 

 

 

146,990   

 

 

3,508,943   

 

 

21,395,286   

Commitments and Contingencies

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mezzanine Equity:

 

 

 

 

 

 

 

 

 

 

 

 

 

Preferred stock, $0.001 par value of 250,000,000 shares authorized and 220,000,000 and 250,000,000 shares issued and outstanding as of September 30, 2018 and December 31,2017, respectively

 

 

250,000   

 

 

 

-   

 

 

-   

 

 

250,000   

Shareholders Deficit:

 

 

 

 

 

 

 

 

 

 

 

 

 

Common stock, $0.001 par value, 1,900,000,000 shares authorized as of March 31, 2019 and 1,085,429,876 and 1,017,450,000 issued and outstanding as of March 31, 2019 and at December 31, 2018, respectively.

 

 

1,085,430   

 

 

 

 

1)  

 

70,000   

 

 

1,155,430   

Members' equity

 

 

 

 

 

 

628,869   

3)  

 

(628,869)  

 

 

-   

Additional paid in capital

 

 

33,257,157   

 

 

 

-   

1)  

 

357,000   

 

 

33,614,157   

Accumulated deficit

 

 

(46,516,682)  

 

 

 

-   

4)  

 

(350,000)  

 

 

(46,866,682)  

Total stockholders' deficit

 

 

(11,924,095)  

 

 

 

628,869   

 

 

(551,869)  

 

 

(11,847,095)  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total liabilities and stockholders' deficit

 

$

5,815,258   

 

 

$

775,859   

 

$

2,957,074   

 

$

9,548,191   

See notes to pro forma statements.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

BEYOND COMMERCE, INC.

 

 

 

 

 

 

 

 

 

 

 

 

 

UNAUDITED PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

 

 

 

 

 

 

 

 

 

For the three month period ended March 31, 2019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beyond Commerce Inc.

 

 

PathUX  LLC

 

Proforma Adjustments

 

Proforma Balance

 

 

 

(Unudited )

 

 

(Unudited )

 

 

 

 

Revenues

$

463,914   

 

$

234,761   

$

-   

$

698,675   

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

Cost of goods sold

 

 

112,054   

 

 

 

152,411   

 

 

-   

 

 

264,465   

Selling, general and administrative

 

 

121,043   

 

 

 

3,241   

 

 

-   

 

 

124,284   

Payroll expense

 

 

276,721   

 

 

 

-   

 

 

-   

 

 

276,721   

Depreciation

 

 

53,591   

 

 

 

55,203   

 

 

-   

 

 

108,794   

Professional Fees

 

 

129,291   

 

 

 

13,682   

 

 

-   

 

 

142,973   

Total operating expenses

 

 

692,700   

 

 

 

224,537   

 

 

-   

 

 

917,237   

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income (loss) from operations

 

 

(228,786)  

 

 

 

10,224   

 

 

-   

 

 

(218,562)  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-operating income (expense)

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

 

(215,411)  

 

 

 

(10,830)  

4)  

 

(70,000)  

 

 

(296,241)  

Amortization of debt discount

 

 

(569,457)  

 

 

 

-   

 

 

-   

 

 

(569,457)  

Other income (expense)

 

 

-   

 

 

 

(10,419)  

 

 

-   

 

 

(10,419)  

Derivative related expenses

 

 

(1,121,999)  

 

 

 

-   

 

 

-   

 

 

(1,121,999)  

Change in derivative liability

 

 

(1,618,349)  

 

 

 

-   

 

 

-   

 

 

(1,618,349)  

Total non-operating income (expense)

 

 

(3,525,216)  

 

 

 

(21,249)  

 

 

(70,000)  

 

 

(3,616,465)  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Provision for income tax

 

 

-   

 

 

 

-   

 

 

-   

 

 

-   

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income (loss)

 

$

(3,754,002)  

 

$

 

(11,025)  

$

 

(70,000)  

 

$

(3,835,027)  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income (loss) per common share-basic and diluted

 

$

(0.00)  

 

 

 

 

 

 

 

 

$

(0.00)  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average shares of capital outstanding – basic

 

 

1,043,248,193   

 

 

 

 

1)  

 

70,000,000   

 

 

1,113,248,193   

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average shares of capital outstanding – diluted

 

 

1,043,248,193   

 

 

 

 

1)  

 

70,000,000   

 

 

1,113,248,193   

 

 

 

 

 

 

 

 

 

 

.

 

 

 

See notes to pro forma statements.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Beyond Commerce, Inc.

 

 

 

 

 

 

 

 

 

Pro Forma Legend

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1)

To record the securities purchase agreement with the PathUX LLC entered into on May 31, 2019,which includes

 

 

the initial stock issuances of 70,000,000 shares of stock.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2)

To record the PAthUX LLC transaction reflecting the $2,000,000 Seller Note at 8% interest $1,000,000 in cash

 

 

and the related acquisition liability contingency. This transaction potentially may occur at the discretion of the selling

 

Members'.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

3)

To reflect the purchase accounting treatment of the fair market value of the acquired assets.

 

 

 

Upon a full analysis of the sundry assets and liabilities being acquired this number will be subject to change.

 

 

 

 

 

 

 

 

 

 

 

 

4)

To reflect interest effect of the contingent acquisition liability from the issuance of the PathUX LLC related debt.