10-Q

U.S. SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 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 February 28, 2010

[   ]  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from

Commission File No. 333-156796

SPARTAN BUSINESS SERVICES CORPORATION

(Exact name of small business issuer as specified in its charter)

Nevada	26-3751595
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

2200 Timber Rose Drive, Las Vegas, Nevada 89134

(Address of Principal Executive Offices)

(702) 250-4423

(Issuer’s telephone number)

None

(Former name, address and fiscal year, if changed since last report)

Check whether the issuer (1) has filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during the preceding 12 months (or for such shorter period that the issuer was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes [X]   No [   ]

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.  See the definitions of “large accelerated filer,” “accelerated filer,” “non-accelerated filer,” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

[   ]  Large accelerated filer	[   ]  Accelerated filer
[   ]  Non-accelerated filer	[X]  Smaller reporting company

APPLICABLE ONLY TO CORPORATE ISSUERS:

State the number of shares outstanding of each of the issuer’s classes of common equity, as of April 6, 2010:   14,000,000 shares of common stock.

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act): Yes [X]   No [   ]

Transitional Small Business Disclosure Format (Check One) Yes [   ]   No [X]

PART I – FINANCIAL INFORMATION
	Item 1.		Financial Statements
	Item 2.		Management’s Discussion and Analysis of Financial Condition
	Item 4.		Control and Procedures
PART II – OTHER INFORMATION
	Item 1.	Legal Proceedings
	Item 2.	Changes in Securities
	Item 3.	Defaults Upon Senior Securities
	Item 4.	Submission of Matters to a Vote of Security Holders
	Item 5.	Other Information
	Item 6.	Exhibits and Reports on Form 8-K
SIGNATURE

PART I – FINANCIAL INFORMATION

Item 1.  Financial Information

BASIS OF PRESENTATION

The accompanying reviewed financial statements are presented in accordance with generally accepted accounting principles for interim financial information and the instructions to Form 10-Q and item 310 under subpart A of Regulation S-B.  Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements.  In the opinion of management, all adjustments (consisting only of normal occurring accruals) considered necessary in order to make the financial statements not misleading, have been included.  Operating results from year end (August 31, 2009) and six months ended February 28, 2010 are not necessarily indicative of results that may be expected for the year ending August 31, 2010.  The financial statements ar e presented on the accrual basis.

2

FINANCIAL STATEMENTS

SPARTAN BUSINESS SERVICES CORPORATION

Table of Contents

	PAGE
BALANCE SHEETS	F-1
STATEMENTS OF OPERATIONS	F-2
STATEMENTS OF CASH FLOWS	F-3
FOOTNOTES TO FINANCIAL STATEMENTS	F-4

3

SPARTAN BUSINESS SERVICES CORP

(A Development Stage Company)

Balance sheets

ASSETS	February 28, 2010			August 31, 2009
Current assets:
Cash and cash equivalents	$	2,626		$	26,905
Prepaid expense		4,712			9,699
Total current assets		7,338			36,604
	$	7,338		$	36,604
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable	$	8,254		$	13,712
Advance from shareholder		-			-
Total current liabilities		8,254			13,712
Commitments and contingencies		-			-
Stockholders' equity
Preferred stock; $.001 par value, 5,000,000 shares
authorized, zero shares issued and outstanding		-			-
Common stock; $.001 par value, 70,000,000 shares authorized;
14,000,000  shares issued and outstanding		14,000			14,000
Additional paid-in-capital		34,473			34,473
Deficit accumulated during development stage		(49,389	)		(25,581	)
Total stockholders' equity		(916	)		22,892
Total liabilities and stockholders' equity	$	7,338		$	36,604

The accompanying notes are an integral part of the financial statements

F-1

4

SPARTAN BUSINESS SERVICES CORP

(A Development Stage Company)

Statements of operations

										(Unaudited)			(Unaudited)
	(Unaudited)			(Unaudited)			(Unaudited)			November 19, 2008			November 19, 2008
	For the three			For the three			For the six			(Inception)			(Inception)
	months ended			months ended			months ended			through			through
	February 28, 2010			February 28, 2009			February 28, 2010			February 28, 2009			February 28, 2010
Revenues	$	-		$	-		$	-		$	-		$	-
Operating expenses
General and administrative		(3,409	)		2,817			23,808			5,517			49,389
		(3,409	)		2,817			23,808			5,517			49,389
Income (loss) from operations		3,409			(2,817	)		(23,808	)		(5,517	)		(49,389	)
Other income (expense)
Other income		-			-			-			-			-
Interest expense		-			-			-			-			-
Income (loss) before income taxes		3,409			(2,817	)		(23,808	)		(5,517	)		(49,389	)
Income tax expense		-			-			-			-			-
Net income (loss)	$	3,409		$	(2,817	)	$	(23,808	)	$	(5,517	)	$	(49,389	)
Basic and diluted loss per common share	$	0.000		$	(0.000	)	$	(0.002	)	$	(0.001	)
Basic and diluted weighted average
common shares outstanding		14,000,000			10,000,000			14,000,000			10,000,000

The accompanying notes are an integral part of the financial statements

F-2

5

SPARTAN BUSINESS SERVICES CORP

(A Development Stage Company)

Statemenst of cash flows

				(Unaudited)			(Unaudited)
	(Unaudited)			November 19, 2008			November 19, 2008
	For the six			(Inception)			(Inception)
	months ended			through			through
	February 28, 2010			February 28, 2009			February 28, 2010
Operating activities:
Net loss	$	(23,808	)	$	(5,517	)	$	(49,389	)
Adjustments to reconcile net loss to
net cash used in operating activities:
Stock issued for services		-			2,500			2,500
Changes in operating assets and liabilities:
(Increase) in prepaid expense		4,987			-			(4,712	)
(Decrease) increase in accounts payable		(5,458	)		-			8,254
Net cash (used in) operating activities		(24,279	)		(3,017	)		(43,347	)
Cash flows from investing activities:
Proceeds from issuance of common stock		-			7,500			45,973
Net cash provided by financing activities		-			7,500			45,973
Net change in cash		(24,279	)		4,483			2,626
Cash, beginning of period		26,905			-			-
Cash, ending of period	$	2,626		$	4,483		$	2,626
Supplemental cash flow disclosures
Cash paid for:
Interest expense	$	-		$	-		$	-
Income taxes	$	-		$	-		$	-
Non-cash activities:
Issuance of common stock for services	$	-		$	2,500		$	2,500

The accompanying notes are an integral part of the financial statements

F-3

6

SPARTAN BUSINESS SERVICES CORPORATION

A Development Stage Company

NOTES TO FINANCIAL STATEMENTS

Note 1.  Condensed Financial Statements

The accompanying financial statements have been prepared by the Company without audit.  In the opinion of management, all adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position, results of operations, and cash flows at November 30, 2009, and for all periods presented herein, have been made.

Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted.  It is suggested that these condensed financial statements be read in conjunction with the financial statements and notes thereto included in the Company’s August 31, 2009 audited financial statements.  The results of operations for the periods ended February 28, 2010 are not necessarily indicative of the operating results for the full years.

The Company's fiscal year end is August 31.

Note 2. Going Concern

The Company’s financial statements are prepared using generally accepted accounting principles in the United States of America applicable to a going concern which contemplates the realization of assets and liquidation of liabilities in the normal course of business. The Company has incurred a net operating loss of $49,389 through February 28, 2010. The Company has not commenced its operations, rather, still in the development stages, raising substantial doubt about the Company’s ability to continue as a going concern.

In order to continue as a going concern, the Company will need, among other things, additional capital resources. Management’s plan is to obtain such resources for the Company by obtaining capital from management and significant shareholders sufficient to meet its minimal operating expenses and seeking equity and/or debt financing. However management cannot provide any assurances that the Company will be successful in accomplishing any of its plans.

The ability of the Company to continue as a going concern is dependent upon its ability to successfully accomplish the plans described in the preceding paragraph and eventually secure other sources of financing and attain profitable operations. The accompanying financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.

Note 3. Prepaid expense

On August 21, 2009, the Company entered into a contractual agreement for professional service to be rendered over a twelve month period for the amount of $10,000.  The Company recorded the liability of $10,000 and a corresponding prepaid expense in the same amount to be amortized over the term of the agreement. For the six months ended February 28, 2010, the Company amortized $5,287 of prepaid expense and recorded as professional fees.

F-4

7

SPARTAN BUSINESS SERVICES CORPORATION

A Development Stage Company

NOTES TO FINANCIAL STATEMENTS

Note 4. Related party transactions

The Company intended to pay its president/shareholder $22,500 per quarter as officer’s compensation and during the three months ended November 30, 2009, the Company did pay to president/ shareholder $22,500. However, the Company changed its intent and the president agreed to return $15,050 during the current period. The $15,050 was recorded as a reduction in officer’s compensation expense and resulted in a negative expense of $3,409 for the three months ended February 28, 2010.

Note 5. Subsequent events

None. The Company has evaluated subsequent events through April 6, 2010, the date which the financial statements were available to be issued, and no such events have occurred.

F-4

8

Item 2. Management’s Discussion and Analysis of Financial Conditions and Results of Operations

Plan of Operation

On April 9, 2009 we received approval from the Securities and Exchange Commission of our Registration Statement on Form S-1.  Wherein, we registered 4,000,000 shares of our common stock at an offering price of $.01 in order to raise $40,000.00 as our initial capital.  The Company then filed an application with the FINRA on Form 211 to be listed on a public exchange

Results of Operation

The Company did not have any operating income from inception (November 19, 2008) through February 28, 2010. For the period from inception, November 19, 2008 through the quarter ended February 28, 2010, the registrant recognized a net loss of $49,389. Some general and administrative expenses during the year were accrued. Expenses for the year were comprised of costs mainly associated with legal, accounting and office.

Liquidity and Capital Resource

At February 28, 2010 the Company had no capital resources and will rely upon the  issuance  of  common  stock  and  additional  capital  contributions  from shareholders  to  fund  administrative  expenses  pending full implementation of the Company’s business model.

Critical Accounting Policies

Spartan Business Services Corporation’s financial statements and related public financial information are based on the application of accounting principles generally accepted in the United States (“GAAP”). GAAP requires the use of estimates; assumptions, judgments and subjective interpretations of accounting principles that have an impact on the assets, liabilities, revenue and expense amounts reported. These estimates can also affect supplemental information contained in our external disclosures including information regarding contingencies, risk and financial condition.  We believe our use if estimates and underlying accounting assumptions adhere to GAAP and are consistently and conservatively applied. We base our estimates on historical experience and on various other assumptions that we believe to be r easonable under the circumstances. Actual results may differ materially from these estimates under different assumptions or conditions. We continue to monitor significant estimates made during the preparation of our financial statements.

9

Our significant accounting policies are summarized in Note 1 of our financial statements.  While all these significant accounting policies impact its financial condition and results of operations, Spartan Business Services Corporations’ views certain of these policies as critical. Policies determined to be critical are those policies that have the most significant impact on the Company’s consolidated financial statements and require management to use a greater degree of judgment and estimates. Actual results may differ from those estimates. Our management believes that given current facts and circumstances, it is unlikely that applying any other reasonable judgments or estimate methodologies would cause effect on our consolidated results of operations, financial position or liquidity for the periods presented i n this report.

Item 4. Controls and Procedures

(a) Evaluation of disclosure controls and procedures.

Our management is responsible for establishing and maintaining adequate internal control over financial reporting for the Company. Internal control over financial reporting is defined in Rule 13a-15(f) or 15d-15(f) promulgated under the Securities Exchange Act of 1934 (Exchange Act) as a process designed by or under the supervision of, our principal executive and principal financial officers and effected by our Board of Directors, management and other personnel, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles and includes those policies and procedures that:

Pertain to the maintenance of records that is in reasonable detail accurately and fairly reflect the transactions and dispositions of our assets

Provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the Company are being made only in  accordance with authorizations of our management and directors: and

Provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of the Company’s assets that could have a material effect on the financial statements.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

Management assessed the effectiveness of the Company’s Internal Control over financial reporting as of February 28, 2010.  In making this assessment, management used the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission in this Internal Control-Integrated Framework.

10

Based on our assessment, we believe that, as of February 28, 2010 our internal controls over financial reporting were not effective.

Evaluation of Disclosure Controls and Procedures

We maintain disclosure controls and procedures (as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) that are designed to ensure that information required to be disclosed in the reports we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to our management, including our chief executive officer and chief financial officer, as appropriate to allow timely decisions regarding disclosure.  In designing and evaluating the disclosure controls and procedures, management recognized that any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving the desired control objectives, and management necessar ily was required to apply its judgment in evaluating the cost-benefit relationship of possible controls and procedures.

Our management, with the participation of our chief executive officer and chief financial officer, has evaluated the effectiveness of our disclosure controls and procedures as of February 28, 2010.  Based on their evaluation, our chief executive officer and chief financial officer have concluded that, as of February 28, 2010, our disclosure controls and procedures were not effective.

(b)            Changes in internal controls.

There have not been any changes in the Company’s internal control over financial reporting (as such term is defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) during the quarter ended February 28, 2010 that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

PART II - OTHER INFORMATION

Item 1. Legal Proceedings

None

Item 2. Changes in Securities.

None

Item 3. Defaults Upon Senior Securities.

None

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Item 4. Submission of Matters to a Vote of Security Holders.

None

Item 5. Other Information.

None

Item 6.  Exhibits and Reports on Form 8-K

(a)	Exhibits
	31.1 Certification pursuant to Section 302 of Sarbanes Oxley Act of  2002
	32.1 Certification pursuant to Section 906 of Sarbanes Oxley Act of 2002
(b)	Reports on Form 8-K
	No reports on Form 8-K were filed during the quarter ended February 28, 2010.

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SIGNATURES

In accordance with the requirements of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

SPARTAN BUSINESS SERVICES CORPORATION

Date: April 6, 2010

/s/ Molly Blaszczak

Molly Blaszczak

President, Chief Executive Officer,

Secretary, Chief Financial Officer,

Director

13

EX-31.1

EXHIBIT 31.1

CERTIFICATION OF CHIEF EXECUTIVE OFFICER

AND CHIEF FINANCIAL OFFICER

PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO SECTION 906 OF

THE SARBANES-OXLEY ACT OF 2002

I, Molly Blaszczak, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Spartan Business Services Corporation

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the small business issuer as of, and for, the periods present in this report;

4. The small business issuer’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the small business issuer and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the small business issuer, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the small business issuer’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the small business issuer’s internal control over financing reporting that occurred during the small business issuer’s most recent fiscal quarter (the small business issuer’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the small business issuer’s internal control over financial reporting; and

5. The small business issuer’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the small business issuer’s auditors and the audit committee of the small business issuer’s board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the small business issuer’s ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involved management or other employees who have a significant role in the small business issuer’s internal control over financial reporting.

Dated: April 6, 2010

/s/ Molly Blaszczak

Molly Blaszczak

President, Chief Executive Officer,

Chief Accounting Officer, Secretary, Chief

Financial Officer, and Director

EX-32.1

EXHIBIT 32.1

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with this Quarterly Report of Spartan Business Services Corporation (the “Company”) on Form 10-Q for the period ending February 28, 2010, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Molly Blaszczak, Chief Executive Officer and Chief Accounting Officer of the Company, certifies to the best of his knowledge, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 that:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and result of operations of the Company.

By:   /s/ Molly Blaszczak

       Molly Blaszczak

       Chief Executive Officer, President,

       Chief Accounting Officer, Chief Financial

       Officer, Secretary, and Director

Dated: April 6, 2010