10-Q/A

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q /A

Amendment No. 1

[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934

FOR THE QUARTERLY PERIOD ENDED AUGUST 31, 2017

OR

[_] TRANSITION REPORT UNDER SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934

FOR THE TRANSITION PERIOD FROM _______________ TO _______________

COMMISSION FILE NUMBER: 0-55079

ON THE MOVE SYSTEMS CORP.

(Exact name of registrant as specified in its charter)

Nevada	27-2343603
(State or other jurisdiction of Incorporation or organization)	(I.R.S. Employer Identification Number)
1 East Liberty, 6th Floor Reno, Nevada	89501
(Address of principal executive offices)	(Zip code)

(702) 990-3271

(Registrant’s telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required 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 [_]

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). 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, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

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

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. [_]

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

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date: 125,004,554 shares of common stock were issued and outstanding as of April 13, 2018.

EXPLANATORY NOTE

The purpose of this Amendment No. 1 to the Registrant’s Quarterly Report on Form 10-Q for the quarterly period ended August 31, 2017 (“Form 10-Q”) is to submit Exhibit 101 to the Form 10-Q in accordance with Rule 405 of Regulation S-T. Exhibit 101 consists of the Interactive Data Files from the Registrant’s Form 10-Q for the quarterly period ended August 31, 2017, filed with the Securities and Exchange Commission on April 16, 2018.

ITEM 6. EXHIBITS

3.1	Articles of Incorporation (1)
3.2	Bylaws (2)
14	Code of Ethics (2)
21	Subsidiaries of the Registrant (3)
31.1	Rule 13(a)-14(a)/15(d)-14(a) Certification of principal executive officer and principal financial and accounting officer (3)
32.1	Section 1350 Certification of principal executive officer and principal financial accounting officer (3)
101	XBRL data files of Financial Statement and Notes contained in this Quarterly Report on Form 10-Q. (4)

__________

(1)	Incorporated by reference to our Form 10-KT file with the Securities and Exchange Commission on March 12, 2018.
(2)	Incorporated by reference to our Form S-1 filed with the Securities and Exchange Commission on August 4, 2010.
(3)	Previously filed or furnished with original Quarterly Report on Form 10-Q for August 31, 2017 filed with the Securities and Exchange Commission on April 16, 2018.
(4)	In accordance with Regulation S-T, the Interactive Data Files in Exhibit 101 to the Quarterly Report on Form 10-Q shall be deemed “furnished” and not “filed.”

SIGNATURES

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.

	On the Move Systems Corp.
Date: April 20, 2018	BY: /s/ Garett Parsons
	Garett Parsons
	President, Chief Executive Officer, Chief Financial Officer, Principal Accounting Officer, Treasurer and Director

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Document and Entity Information - shares	6 Months Ended
	Aug. 31, 2017	Apr. 13, 2018
Document And Entity Information
Entity Registrant Name	ON THE MOVE SYSTEMS CORP.
Entity Central Index Key	0001498148
Document Type	10-Q
Trading Symbol	OMVS
Document Period End Date	Aug. 31, 2017
Amendment Flag	false
Current Fiscal Year End Date	--02-28
Entity a Well-known Seasoned Issuer	No
Entity a Voluntary Filer	No
Entity's Reporting Status Current	Yes
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		125,004,554
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2018

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CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($)	Aug. 31, 2017	Feb. 28, 2017
Current assets:
Cash	$ 14,154	$ 56,907
Accounts receivable	15,000	7,778
Deposits on robots	237,400	150,000
Note receivable	40,000
Total current assets	306,554	214,685
Revenue earning robots, net of accumulated depreciation of $5,390 and $3,544, respectively	27,130	81,506
Fixed assets, net of accumulated depreciation of $22,838 and $2,650, respectively	99,829	45,052
Security deposit	25,747
Total assets	459,260	341,243
Current liabilities:
Accounts payable and accrued expenses	135,567	12,720
Advances payable	1,594
Customer deposits		20,000
Current portion of convertible notes payable, net of discount of $1,176,073 and $0, respectively	1,611,431
Loan payable - related party	119,791	62,529
Vehicle loan - current portion	8,230	7,900
Current portion of accrued interest payable	548,066
Derivative liability	11,672,321
Total current liabilities	14,097,000	103,149
Convertible notes payable, net of discount of $898,251 and $0, respectively	66,885	365,000
Accrued interest payable	85,264
Customer deposits	10,000
Vehicle loan	33,901	38,134
Total liabilities	14,293,050	506,283
Shareholders' deficit:
Preferred Stock, undesignated; 15,645,650 shares authorized; no shares issued and outstanding, respectively
Series E Preferred Stock, $0.001 par value; 4,350,000 shares authorized; 4,350,000 and 3,350,000 shares issued and outstanding, respectively	4,350	3,350
Series F Convertible Preferred Stock, $1.00 par value; 4,350 shares authorized; 3,450 and 2,450 shares issued and outstanding, respectively	3,450	2,450
Common Stock, $0.001 par value; 480,000,000 shares authorized 101,987,887 and no shares issued and, respectively	101,988
Additional paid-in capital	320,445	13,857
Accumulated deficit	(14,264,023)	(184,697)
Total shareholders' deficit	(13,833,790)	(165,040)
Total liabilities and shareholders' deficit	$ 459,260	$ 341,243

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CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($)	Aug. 31, 2017	Feb. 28, 2017
Statement of Financial Position [Abstract]
Revenue earning robots, accumulated depreciation	$ 5,390	$ 3,544
Fixed assets, accumulated depreciation	22,838	2,650
Current portion of convertible notes payable net of unamortized discount	1,176,073	0
Convertible notes payable net of discount	$ 898,251	$ 0
Common Stock, par value (in dollars per shares)	$ 0.001	$ 0.001
Common Stock, authorized	480,000,000	480,000,000
Common Stock, issued	101,987,887	0
Series E Preferred Stock, par value (in dollars per share)	$ 0.001	$ 0.001
Series E Preferred Stock, authorized	4,350,000	4,350,000
Series E Preferred Stock, issued	4,350,000	3,350,000
Series E Preferred Stock, outstanding	4,350,000	3,350,000
Series F Preferred Stock, par value (in dollars per share)	$ 1.00	$ 1.00
Series F Preferred Stock, authorized	4,350	4,350
Series F Preferred Stock, issued	3,450	2,450
Series F Preferred Stock, outstanding	3,450	2,450
Preferred Stock, undesignated, par value (in dollars per share)
Preferred Stock, undesignated, authorized	15,645,650	15,645,650
Preferred Stock, undesignated, issued	0	0
Preferred Stock, undesignated, outstanding	0	0

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CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($)	1 Months Ended	3 Months Ended	6 Months Ended
	Aug. 31, 2016	Aug. 31, 2017	Aug. 31, 2017
Income Statement [Abstract]
Revenues		$ 35,000	$ 35,000
Operating expenses:
Research and development		82,997	89,633
General and administrative	2,240	423,081	729,990
Depreciation		14,958	33,694
Loss on impairment of fixed assets		92,942	92,942
Total operating expenses	2,240	613,978	946,259
Loss from operations	(2,240)	(578,978)	(911,259)
Other income (expense)
Change in fair value of derivative instruments		751,241	751,241
Interest expense		(2,836,447)	(2,848,795)
Total other income (expense)		(2,085,206)	(2,097,554)
Net loss	$ (2,240)	$ (2,664,184)	$ (3,008,813)
Net loss per common share - basic and diluted (in dollars per shares)		$ (0.60)	$ (0.06)
Weighted average common share outstanding - basic and diluted (in shares)		4,434,256	2,217,128

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CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($)	1 Months Ended	6 Months Ended
	Aug. 31, 2016	Aug. 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (2,240)	$ (3,008,813)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation		33,694
Loss on impairment of fixed assets		92,942
Change in fair value of derivative instruments		(751,241)
Interest expense related to derivative liability in excess of face value of debt		2,823,125
Changes in operating assets and liabilities:
Accounts receivable		(7,222)
Deposits on robots		(150,000)
Accounts payable and accrued expenses		24,665
Accrued interest payable		26,400
Customer deposits		(10,000)
Net cash used in operating activities	(2,240)	(926,450)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of fixed assets		(64,437)
Cash paid for security deposit		(25,747)
Cash acquired in reverse recapitalization		2,022
Net cash used in investing activities		(88,162)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from convertible notes payable, net		200,000
Net borrowings on loan payable - related party	2,490	23,262
Loan from OMVS to RAD prior to the reverse recapitalization		752,500
Repayment of vehicle loan		(3,903)
Net cash provided by financing activities	2,490	971,859
Net change in cash	250	(42,753)
Cash, beginning of period		56,907
Cash, end of period	250	14,154
Supplemental disclosure of cash flow information:
Cash paid during the period for interest		2,870
Cash paid during the period for income taxes
Noncash investing and financing activities:
Transfer of robots from deposits to fixed assets and revenue earning robots		62,600
Debt discount from derivative liabilities		$ 565,000

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GENERAL INFORMATION

6 Months Ended

Aug. 31, 2017

Organization, Consolidation and Presentation of Financial Statements [Abstract]

GENERAL INFORMATION

1. GENERAL INFORMATION

On the Move Systems Corp. (“OMVS” or the “Company”) was incorporated in Florida on March 25, 2010 and reincorporated in Nevada on February 17, 2015.

Robotic Assistance Devices, LLC (“RAD”), was incorporated in the State of Nevada on July 26, 2016 as a LLC. On July 25, 2017, Robotic Assistance Devices LLC converted to a C Corporation, Robotic Assistance Devices, Inc. through the issuance of 10,000 common shares to its sole shareholder.

On August 28, 2017, OMVS completed the acquisition of RAD (the “Acquisition”), whereby OMVS acquired all the ownership and equity interest in RAD for 3,350,000 shares of OMVS Series E Preferred Stock and 2,450 shares of Series F Convertible Preferred Stock. OMVS’s prior business focus was transportation services, and OMVS was exploring the on-demand logistics market by developing a network of logistics partnerships. As a result of the closing of the Acquisition, OMVS has succeeded to the business of RAD, in which OMVS purchased all of the outstanding shares of capital stock of RAD. As a result, OMVS’s business going forward will consist of one segment activity which is the delivery of artificial intelligence and robotic solutions for operational, security and monitoring needs.

The Acquisition was treated as a reverse recapitalization effected by a share exchange for financial accounting and reporting purposes since substantially all of OMVS’s operations were disposed of as part of the consummation of the transaction. Therefore, no goodwill or other intangible assets were recorded by OMVS as a result of the Acquisition. RAD is treated as the accounting acquirer as its stockholders control the Company after the Acquisition, even though OMVS was the legal acquirer.  As a result, the assets and liabilities and the historical operations that are reflected in these financial statements are those of RAD as if RAD had always been the reporting company.

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GOING CONERN

6 Months Ended

Aug. 31, 2017

Accounting Policies [Abstract]

GOING CONERN

2. GOING CONCERN

The accompanying unaudited consolidated financial statements have been prepared assuming that the Company will continue as a going concern. The accompanying financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classifications of liabilities that may result from the possible inability of the Company to continue as a going concern.

For the six months ended August 31, 2017, the Company had negative cash flow from operating activities of $178,099. As of August 31, 2017, the Company has an accumulated deficit of $14,264,023 and negative working capital of $13,790,446. Management does not anticipate having positive cash flow from operations in the near future. These factors raise a substantial doubt about the Company’s ability to continue as a going concern for the twelve months following the issuance of these financial statements.

The Company does not have the resources at this time to repay its credit and debt obligations, make any payments in the form of dividends to its shareholders or fully implement its business plan. Without additional capital, the Company will not be able to remain in business.

Management has plans to address the Company’s financial situation as follows:

In the near term, management plans to continue to focus on raising the funds necessary to implement the Company’s business plan. Management will continue to seek out debt financing to obtain the capital required to meet the Company’s financial obligations. There is no assurance, however, that lenders will continue to advance capital to the Company or that the new business operations will be profitable. The possibility of failure in obtaining additional funding and the potential inability to achieve profitability raises doubts about the Company’s ability to continue as a going concern.

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ACCOUNTING POLICIES

6 Months Ended

Aug. 31, 2017

Accounting Policies [Abstract]

ACCOUNTING POLICIES

3. ACCOUNTING POLICIES 

Principles of Consolidation

The accompanying unaudited consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) and in conformity with the instructions on Form 10-Q and Rule 8-03 of Regulation S-X and the related rules and regulations of the Securities and Exchange Commission (“SEC”). The unaudited consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries, Robotic Assistance Devices, Inc., On the Move Experience, LLC and OMV Transports, LLC. All significant intercompany accounts and transactions have been eliminated in consolidation. The unaudited consolidated financial statements reflect all adjustments, consisting of normal recurring accruals, which are, in the opinion of management, necessary for a fair presentation of such statements. The results of operations for the three and six months ended August 31, 2017 are not necessarily indicative of the results that may be expected for the entire year.

Cash

The Company considers all highly liquid investments with an original maturity of three months or less to be cash equivalents. Cash and cash equivalents consist of cash on deposit with banks and money market instruments. The Company places its cash and cash equivalents with high-quality, U.S. financial institutions and, to date has not experienced losses on any of its balances.

Accounts Receivable

Accounts receivable are comprised of balances due from customers, net of estimated allowances for uncollectible accounts. In determining collectability, historical trends are evaluated, and specific customer issues are reviewed on a periodic basis to arrive at appropriate allowances.

Revenue Earning Robots

Revenue earning robots are stated at cost. Depreciation is provided on a straight-line basis over the estimated useful life of 48 months. The Company continually evaluates revenue earning robots to determine whether events or changes in circumstances have occurred that may warrant revision of the estimated useful life or whether the robot should be evaluated for possible impairment. The Company uses a combination of the undiscounted cash flows and market approaches in assessing whether an asset has been impaired. The Company measures impairment losses based upon the amount by which the carrying amount of the asset exceeds the fair value.

Fixed Assets

Fixed assets are stated at cost. Depreciation is provided on the straight-line method based on the estimated useful lives of the respective assets which range from three to five years. Major repairs or improvements are capitalized. Minor replacements and maintenance and repairs which do not improve or extend asset lives are expensed currently.

Demo Robots	4 years
Vehicles	3 years
Leasehold improvements	5 years, the life of the lease

The Company periodically evaluates the fair value of fixed assets whenever events or changes in circumstances indicate that its carrying amounts may not be recoverable. Upon retirement or other disposition of fixed assets, the cost and related accumulated depreciation are removed from the accounts and the resulting gain or loss, if any, is recognized in income.

Research and Development

Research and development costs are expensed in the period they are incurred in accordance with ASC 730, Research and Development unless they meet specific criteria related to technical, market and financial feasibility, as determined by Management, including but not limited to the establishment of a clearly defined future market for the product, and the availability of adequate resources to complete the project. If all criteria are met, the costs are deferred and amortized over the expected useful life or written off if a product is abandoned. At August 31, 2017 and February 28, 2017, the Company had no deferred development costs.

Contingencies

Occasionally, the Company may be involved in claims and legal proceedings arising from the ordinary course of its business. The Company records a provision for a liability when it believes that it is both probable that a liability has been incurred, and the amount can be reasonably estimated. If these estimates and assumptions change or prove to be incorrect, it could have a material impact on the Company’s condensed consolidated financial statements. Contingencies are inherently unpredictable, and the assessments of the value can involve a series of complex judgments about future events and can rely heavily on estimates and assumptions.

Revenue Recognition 

Revenue is recognized when persuasive evidence of an arrangement exists, goods are delivered for rental and/or services are rendered, sales price is determinable, and collection is reasonably assured.

Income Taxes

On July 25, 2017, Robotic Assistance Devices LLC converted to a C Corporation, Robotic Assistance Devices, Inc. through the issuance of 10,000 common shares to its sole shareholder. Prior to the conversion on July 25, 2017, income taxes are not provided in the financial statements as presented as RAD was an LLC and the income or loss flowed through to the shareholder for the two months ended February 28, 2017.Thereafter, income taxes will be accounted for under the asset and liability method from that date forward. Deferred income tax assets and liabilities are determined based on differences between financial reporting and tax bases of assets and liabilities, and net operating loss and other tax credit carry-forwards. These items are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. RAD will record a valuation allowance to reduce the deferred income tax assets to the amount that is more likely than not to be realized.

Leases

Lease agreements are evaluated to determine if they are capital leases meeting any of the following criteria at inception: (a) transfer of ownership; (b) bargain purchase option; (c) the lease term is equal to 75 percent or more of the estimated economic life of the leased property; or (d) the present value at the beginning of the lease term of the minimum lease payments, excluding that portion of the payments representing executory costs such as insurance, maintenance, and taxes to be paid by the lessor, including any profit thereon, equals or exceeds 90 percent of the excess of the fair value of the leased property to the lessor at lease inception over any related investment tax credit retained by the lessor and expected to be realized by the lessor.

If at its inception, a lease meets any of the four lease criteria above, the lease is classified by the Company as a capital lease; and if none of the four criteria are met, the lease is classified by the Company as an operating lease.

Operating lease payments are recognized as an expense in the income statement on a straight-line basis over the lease term, whereby an equal amount of rent expense is attributed to each period during the term of the lease, regardless of when actual payments are made. This generally results in rent expense in excess of cash payments during the early years of a lease and rent expense less than cash payments in the later years. The difference between rent expense recognized and actual rental payments is recorded as deferred rent and included in liabilities.

Distinguishing Liabilities from Equity

The Company relies on the guidance provided by ASC Topic 480, Distinguishing Liabilities from Equity, to classify certain redeemable and/or convertible instruments. The Company first determines whether a financial instrument should be classified as a liability. The Company will determine the liability classification if the financial instrument is mandatorily redeemable, or if the financial instrument, other than outstanding shares, embodies a conditional obligation that the Company must or may settle by issuing a variable number of its equity shares.

Once the Company determines that a financial instrument should not be classified as a liability, the Company determines whether the financial instrument should be presented between the liability section and the equity section of the balance sheet (“temporary equity”). The Company will determine temporary equity classification if the redemption of the financial instrument is outside the control of the Company (i.e. at the option of the holder). Otherwise, the Company accounts for the financial instrument as permanent equity.

Initial Measurement

The Company records its financial instruments classified as liability, temporary equity or permanent equity at issuance at the fair value, or cash received.

Subsequent Measurement – Financial Instruments Classified as Liabilities

The Company records the fair value of its financial instruments classified as liabilities at each subsequent measurement date. The changes in fair value of its financial instruments classified as liabilities are recorded as other income (expenses).

Fair Value of Financial Instruments

ASC Topic 820, Fair Value Measurements and Disclosures (“ASC Topic 820”) provides a framework for measuring fair value in accordance with generally accepted accounting principles.

ASC Topic 820 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. ASC Topic 820 establishes a fair value hierarchy that distinguishes between (1) market participant assumptions developed based on market data obtained from independent sources (observable inputs) and (2) an entity’s own assumptions about market participant assumptions developed based on the best information available in the circumstances (unobservable inputs).

The fair value hierarchy consists of three broad levels, which gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy under ASC Topic 820 are described as follows:

● Level 1 – Unadjusted quoted prices in active markets for identical assets or liabilities that are accessible at the measurement date.

● Level 2 – Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; inputs other than quoted prices that are observable for the asset or liability; and inputs that are derived principally from or corroborated by observable market data by correlation or other means.

● Level 3 – Inputs that are unobservable for the asset or liability.

Measured on a Recurring Basis

The following table presents information about our liabilities measured at fair value on a recurring basis, aggregated by the level in the fair value hierarchy within which those measurements fell:

			Fair Value Measurement Using
	Amount at Fair Value		Level 1		Level 2		Level 3
August 31, 2017
Liabilities
Derivative liability – conversion features pursuant to convertible notes payable	$	11,672,321	$	—	$	—	$	11,672,321
February 28, 2017
Liabilities
Derivative liability – conversion features pursuant to convertible notes payable	$	—	$	—	$	—	$	—

See Note 11, for specific inputs used in determining fair value.

The carrying amounts of the Company’s financial assets and liabilities, such as cash, accounts receivable, prepaid expenses and advances, accounts payable and accrued expenses, approximate their fair values because of the short maturity of these instruments.

Earnings (Loss) per Share

Basic earnings (loss) per share is computed by dividing net income (loss) by the weighted average number of shares of common stock outstanding during the period. Diluted EPS excluded all dilutive potential shares if their effect was anti-dilutive.

Basic net loss per share is based on the weighted average number of common and common-equivalent shares outstanding. For the period from inception (July26, 2016) to August 31, 2016, there were no common shares outstanding. Potential common shares includable in the computation of fully-diluted per share results are not presented in the consolidated financial statements for the three and six months ended August 31, 2017 and period from inception (July 26, 2016) through August 31, 2016 as their effect would be anti-dilutive.

Basic loss per common share is computed based on the weighted average number of shares outstanding during the period. Diluted loss per share is computed in a manner similar to the basic loss per share, except the weighted-average number of shares outstanding is increased to include all common shares, including those with the potential to be issued by virtue of convertible debt and other such convertible instruments. Diluted loss per share contemplates a complete conversion to common shares of all convertible instruments only if they are dilutive in nature with regards to earnings per share.

The anti-dilutive shares of common stock outstanding for the three and six months ended August 31, 2017 and period from inception (July 26, 2016) through August 31, 2016 were as follows:

	For the Three Months Ended August 31, 2017	For the Six Months Ended August 31, 2017	Period from Inception (July 26, 2016) through August 31, 2016
Warrants	24,536,382	24,536,382	—
Convertible notes payable	84,188,094	84,188,094	—
Series F Convertible Preferred Stock	351,858,210	351,858,210	351,858,210

Recently Adopted Accounting Pronouncements

In January 2017, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) 2017-01, Business Combinations: Clarifying the Definition of a Business, which amends the current definition of a business. Under ASU 2017-01, to be considered a business, an acquisition would have to include an input and a substantive process that together significantly contributes to the ability to create outputs. ASU 2017-01 further states that when substantially all of the fair value of gross assets acquired is concentrated in a single asset (or a group of similar assets), the assets acquired would not represent a business. The new guidance also narrows the definition of the term “outputs” to be consistent with how it is described in Topic 606, Revenue from Contracts with Customers. The changes to the definition of a business will likely result in more acquisitions being accounted for as asset acquisitions. The guidance is effective for the annual period beginning after December 15, 2017, with early adoption permitted. The Company has elected to early adopt ASU 2017-01 and to apply it to any transaction, which occurred prior to the issuance date that has not been reported in financial statements that have been issued or made available for issuance.

Recently Issued Accounting Pronouncements

In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606). The core principle of ASU 2014-09 is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods and services. This standard is effective for fiscal years and interim reporting periods beginning after December 15, 2016. In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date.  The amendments in this update deferred the effective date for implementation of ASU 2014-09 by one year and is now effective for annual reporting periods beginning after December 15, 2017. Early application is permitted only as of annual reporting periods beginning after December 15, 2016 including interim reporting periods within that period. Topic 606 is effective for the Company in the first quarter of Fiscal 2019. The Company is currently evaluating the new revenue recognition guidance. The Company has completed its initial impact assessment and has commenced an in-depth evaluation of the adoption impact, which involves review of selected revenue arrangements. Based on the Company’s preliminary review, the Company believes that the timing and measurement of revenue for its customers will be similar to the Company’s current revenue recognition. However, this view is preliminary and could change based on further analysis associated with the conversion and implementation phases of our ASU 2014-09 project.

From March 2016 through September 2017, the FASB issued ASU 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net), ASU 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing, ASU 2016-11, Revenue Recognition (Topic 605) and Derivatives and Hedging (Topic 815): Rescission of SEC Guidance Because of Accounting Standards Updates 2014-09 and 2014-16 Pursuant to Staff Announcements at the March 3, 2016 EITF Meeting, ASU No. 2016-12, Revenue from Contracts with Customers (Topic 606):Narrow-Scope Improvements and Practical Expedients, ASU No. 2016-20, Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers and ASU No. 2017-13, Revenue Recognition (Topic 605), Revenue from Contracts with Customers (Topic 606), Leases (Topic 840), and Leases (Topic 842): Amendments to SEC Paragraphs Pursuant to the Staff Announcement at the July 20, 2017 EITF Meeting and Rescission of Prior SEC Staff Announcements and Observer Comments. These amendments are intended to improve and clarify the implementation guidance of Topic 606. The effective date and transition requirements for the amendments are the same as the effective date and transition requirements of ASU No. 2014-09 and ASU No. 2015-14.

In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842), which is effective for public entities for annual reporting periods beginning after December 15, 2018. Under ASU 2016-02, lessees will be required to recognize the following for all leases (with the exception of short-term leases) at the commencement date: 1) a lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis, and 2) a right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. The Company is currently evaluating the effects of ASU 2016-02 on its unaudited condensed financial statements.

In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230) Classification of Certain Cash Receipts and Cash Payments. ASU 2016-15 eliminates the diversity in practice related to the classification of certain cash receipts and payments for debt prepayment or extinguishment costs, the maturing of a zero-coupon bond, the settlement of contingent liabilities arising from a business combination, proceeds from insurance settlements, distributions from certain equity method investees and beneficial interests obtained in a financial asset securitization. ASU 2016-15 designates the appropriate cash flow classification, including requirements to allocate certain components of these cash receipts and payments among operating, investing and financing activities. The guidance is effective for the Company beginning after December 15, 2017, although early adoption is permitted. The Company is currently evaluating the effects of ASU 2016-15 on its unaudited condensed consolidated financial statements.

In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230) Restricted Cash a consensus of the FASB Emerging Issues Task Force. ASU 2016-18 requires restricted cash and cash equivalents to be included with cash and cash equivalents on the statement cash flows. The new standard is expected to be effective for fiscal years, and interim periods within those years, beginning after December 15, 2017, with early adoption permitted. The Company is currently evaluating the effects of ASU 2016-18 on its unaudited condensed consolidated financial statements.

In July 2017, the FASB issued ASU 2017-11, Earnings Per Share (Topic 260), Distinguishing Liabilities from Equity (Topic 480) and Derivatives and Hedging (Topic 815): I. Accounting for Certain Financial Instruments with Down Round Features; II. Replacement of the Indefinite Deferral for Mandatorily Redeemable Financial Instruments of Certain Nonpublic Entities and Certain Mandatorily Redeemable Noncontrolling Interests with a Scope Exception. Part I of this update addresses the complexity of accounting for certain financial instruments with down round features. Down round features are features of certain equity-linked instruments (or embedded features) that result in the strike price being reduced on the basis of the pricing of future equity offerings. Current accounting guidance creates cost and complexity for entities that issue financial instruments (such as warrants and convertible instruments) with down round features that require fair value measurement of the entire instrument or conversion option. Part II of this update addresses the difficulty of navigating Topic 480, Distinguishing Liabilities from Equity, because of the existence of extensive pending content in the FASB Accounting Standards Codification. This pending content is the result of the indefinite deferral of accounting requirements about mandatorily redeemable financial instruments of certain nonpublic entities and certain mandatorily redeemable noncontrolling interests. The amendments in Part II of this update do not have an accounting effect. This ASU is effective for fiscal years, and interim periods within those years, beginning after December 15, 2018. The Company is currently assessing the potential impact of adopting ASU 2017-11 on its unaudited condensed consolidated financial statements and related disclosures.

Subsequent Events

The Company has evaluated all transactions through the date the consolidated financial statements were issued for subsequent event disclosure.

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DEPOSITS

6 Months Ended

Aug. 31, 2017

Deposits [Abstract]

DEPOSITS

4. DEPOSITS

Deposits on robots expected to be received within one year were comprised of the following:

	August 31, 2017		February 28, 2017
Deposits on robots	$	237,400	$	150,000

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REVENUE EARNING ROBOTS

6 Months Ended

Aug. 31, 2017

Revenue Earning Robots

REVENUE EARNING ROBOTS

5. REVENUE EARNING ROBOTS

Revenue earning robots consisted of the following:

	August 31, 2017			February 28, 2017
Revenue earning robots	$	32,520		$	85,050
Less: Accumulated depreciation		(5,390	)		(3,544	)
	$	27,130		$	81,506

During the six months ended August 31, 2017, the Company made total additions to revenue earning robots of $19,219. Due to several revenue earning robots becoming non-operational during the six months ended August 31, 2017, the Company wrote down revenue earning robots with a net book value of $59,889 to $0 as loss on impairment of fixed assets.

Depreciation expense was $6,594 and $13,706 for the three and six months ended August 31, 2017, respectively, and $0 for the period from inception (July 26, 2016) through August 31, 2016.

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FIXED ASSETS

6 Months Ended

Aug. 31, 2017

Fixed Assets

FIXED ASSETS

6. FIXED ASSETS

Fixed assets consisted of the following:

	August 31, 2017			February 28, 2017
Demo robots	$	67,305		$	—
Automobile		47,702			47,702
Leasehold improvements		7,660			—
		122,667			47,702
Less: Accumulated depreciation		(22,838	)		(2,650	)
	$	99,829		$	45,052

During the six months ended August 31, 2017 the Company acquired total fixed assets of $107,818. Due to several demo robots becoming non-operational during the six months ended August 31, 2017, the Company wrote down fixed assets with a net book value of $33,053 to $0 as loss on impairment of fixed assets.

Depreciation expense was $8,364 and $19,988 for the three and six months ended August 31, 2017, respectively, and $0 for the period from inception (July 26, 2016) through August 31, 2016.

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NOTE RECEIVABLE

6 Months Ended

Aug. 31, 2017

Receivables [Abstract]

NOTE RECEIVABLE

7. NOTE RECEIVABLE

On March 13, 2017, the Company loaned $40,000 to a third party vendor. The note bore interest at 18% per annum and was payable on April 13, 2017. The note was not repaid by the due date. The note was subsequently amended to bear interest of 2% per month plus a $10,000 fee. It is payable on December 31, 2017 and is secured in senior rank on all assets of the borrower. The Company evaluated the note receivable to determine whether its lending activities create a variable interest entity that would require consolidation and determined that it does not create a variable interest entity.

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CONVERTIBLE NOTES PAYABLE

6 Months Ended

Aug. 31, 2017

Debt Disclosure [Abstract]

CONVERTIBLE NOTES PAYABLE

8. CONVERTIBLE NOTES PAYABLE

Convertible notes payable consisted of the following:

					Balance			Balance
		Interest	Conversion		August 31,			February 28,
Issued	Maturity	Rate	Rate per Share		2017			2017
February 28, 2011	February 26, 2013 *	7%	$0.015		$	32,600		$	—
January 31, 2013	February 28, 2017 *	10%	$0.010			119,091			—
May 31, 2013	November 30, 2016 *	10%	$0.010			261,595			—
November 30, 2013	November 30, 2017	10%	$0.010			337,958			—
August 31, 2014	November 30, 2016 *	10%	$0.002			355,652			—
November 30, 2014	November 30, 2016 *	10%	$0.002			103,950			—
February 28, 2015	February 28, 2017 *	10%	$0.001			63,357			—
May 31, 2015	August 31, 2017	10%	$1.000			65,383			—
August 31, 2015	August 31, 2017	10%	$0.300			91,629			—
November 30, 2015	November 30, 2018	10%	$0.300			269,791			—
February 29, 2016	February 28, 2019	10%	60% discount	(2)		95,245			—
May 31, 2016	May 31, 2019	10%	$0.003			35,100			—
July 18, 2016	July 18, 2017	10%	$0.003			3,500			—
December 31, 2016	December 31, 2020	8%	35% discount	(2)		65,000			65,000
January 15, 2017	January 15, 2021	8%	35% discount	(2)		50,000			50,000
January 15, 2017	January 15, 2021	8%	35% discount	(2)		100,000			100,000
January 16, 2017	January 16, 2020	8%	35% discount	(2)		150,000			150,000
March 8, 2017	March 8, 2018	8%	40% discount	(2)		50,000			—
March 8, 2017	March 8, 2020	10%	40% discount	(2)		100,000			—
March 9, 2017	March 9, 2020	8%	35% discount	(2)		50,000			—
March 21, 2017	March 21, 2018	8%	40% discount	(2)		40,000			—
April 4, 2017	December 4, 2017	10%	40% discount	(2)		12,066			—
April 19, 2017	April 19, 2018	15%	50% discount	(2)		96,250			—
April 20, 2017	January 30, 2018	8%	40% discount	(1)		28,000			—
April 26, 2017	April 26, 2018	0%	$0.001			68			—
May 1, 2017	May 1, 2021	8%	35% discount	(2)		50,000			—
May 4, 2017	May 4, 2018	8%	40% discount	(2)		150,000			—
May 15, 2017	May 15, 2018	0%	$0.001			1,280			—
May 17, 2017	May 17, 2020	10%	40% discount	(1)		85,000			—
June 7, 2017	June 7, 2018	8%	40% discount	(2)		200,000			—
June 16, 2017	June 16, 2018	0%	$0.001			750			—
July 6, 2017	July 6, 2018	8%	40% discount	(2)		200,000			—
August 8, 2017	August 8, 2018	8%	40% discount	(2)		125,000			—
July 28, 2017	July 28, 2018	15%	50% discount	(2)		116,875			—
August 29, 2017	August 29, 2018	15%	50% discount	(2)		247,500			—
						3,752,640			365,000
Less: current portion of convertible notes payable						(3,438,129	)		—
Less: discount on noncurrent convertible notes payable						(247,626	)		—
Noncurrent convertible notes payable, net of discount					$	66,885		$	365,000
Current portion of convertible notes payable					$	3,438,129		$	—
Less: discount on current portion of convertible notes payable						(1,826,698	)		—
Current portion of convertible notes payable, net of discount					$	1,611,431		$	—

__________

*	The indicated notes were in default as of August 31, 2017 and bear default interest of between 18% and 25% per annum.
(1)	The note is convertible beginning six months after the date of issuance.
(2)	The notes are accounted for and evaluated under ASC 480 as discussed in Note 3.

During the three and six months ended August 31, 2017, the Company incurred derivative liability discounts of $565,000 and $565,000, respectively. These amounts were included in discounts on convertible notes payable and are being amortized to interest expense over the life of the convertible notes payable. During the three and six months ended August 31, 2017, the Company recognized interest expense related to the amortization of debt discounts of $0 and $0, respectively.

All of the notes above are unsecured. As of August 31, 2017, the Company had total accrued interest payable of $633,330, of which $548,066 is classified as current and $85,264 is classified as noncurrent.

The Company evaluated the terms of the notes in accordance with ASC Topic No. 815 – 40, Derivatives and Hedging - Contracts in Entity’s Own Stock and determined that the underlying common stock is indexed to the Company’s common stock. The Company determined that the conversion features met the definition of a liability and therefore bifurcated the conversion feature and accounted for it as a separate derivative liability.

The Company then evaluated the notes identified above (2) in accordance with ASC 480, Distinguishing Liabilities from Equity and determined that these notes will be accounted for as a liability initially measured at fair value and subsequently at fair value with changes in fair value recognized in earnings.  See further discussion in Note 11.

During the six months ended August 31, 2017, the Company cancelled 600,000 shares of common stock. The shares had been issued during the year ended February 28, 2017 for the conversion of principal of a convertible note payable of $600. As a result of the shares being cancelled, $600 was added back to the principal of the note.

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RELATED PARTY TRANSACTIONS

6 Months Ended

Aug. 31, 2017

Related Party Transactions [Abstract]

RELATED PARTY TRANSACTIONS

9. RELATED PARTY TRANSACTIONS

For the six months ended August 31, 2017, the Company received net advances of $23,262 from its loan payable to a related party. At August 31, 2017, the balance due to the related party was $119,791, and $65,529 at February 28, 2017.

During the six months ended August 31, 2017, the Company paid $56,230 in consulting fees for research and development to a company owned by a principal shareholder.

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OTHER DEBT - VEHICLE LOAN

6 Months Ended

Aug. 31, 2017

Other Debt - Vehicle Loan

OTHER DEBT - VEHICLE LOAN

10. OTHER DEBT – VEHICLE LOAN

In December 2016, the RAD entered into a vehicle loan for $47,704 secured by the vehicle. The loan is repayable over 5 years maturing November 9, 2021, and repayable $1,019 per month including interest and principal.  The principal repayments were $3,903 for the six months ended August 31, 2017. The balances of the amounts owed on the vehicle loan were $42,131 and $46,034 as of August 31, 2017 and February 28, 2017, respectively, of which $8,230 and $7,900 were classified as current, and $33,901 and $38,134 as long-term, respectively.

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DERIVATIVE LIABILITES

6 Months Ended

Aug. 31, 2017

Derivative Liability [Abstract]

DERIVATIVE LIABILITES

11. DERIVATIVE LIABILITES

As of August 31, 2017, the Company revalued the fair value of all of the Company’s derivative liabilities associated with the conversion features on the convertible notes payable and determined that it had total derivative liabilities of $11,672,321.

The Company estimated the fair value of the derivative liabilities using the Monte-Carlo model using the following key assumptions during the year ended August 31, 2017:

Strike price	$1.00 - $0.001
Fair value of Company common stock	$0.17
Dividend yield	0.00%
Expected volatility	85% - 65%
Risk free interest rate	1.01% - 1.57%
Expected term (years)	0.26 - 4.00

The changes in the derivative liabilities (Level 3 financial instruments) measured at fair value on a recurring basis for the six months ended August 31, 2017 were as follows:

Addition of derivative liability pursuant to reverse recapitalization	$	9,035,437
Derivative liability in excess of face value of debt recorded to interest expense		2,823,125
Debt discount due to derivative liabilities		565,000
Change in fair value of derivative liabilities		(751,241	)
Balance as of August 31, 2017	$	11,672,321

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SHAREHOLDERS' EQUITY (DEFICIT)

6 Months Ended

Aug. 31, 2017

Stockholders' Equity Note [Abstract]

SHAREHOLDERS' EQUITY (DEFICIT)

12. SHAREHOLDERS’ EQUITY (DEFICIT)

Summary of Common Stock Activity

During the six months ended August 31, 2017 and prior to the Acquisition, OMVS issued the following shares of common stock:

● Issued 76,008,764 shares of its common stock totaling $76,009 in connection with debt converted during the period;

● Cancelled 600,000 shares of its common stock totaling $600; and

● Issued 8,922,279 shares of its common stock totaling $8,922 in connections with warrants exercised during the period.

Summary of Preferred Stock Activity

During the six months ended August 31, 2017, OMVS issued 1,000,000 and 1,000 shares of its Series E and Series F preferred stock, respectively, totaling $1,000 and $1,000, respectively, in connection with the recapitalization of OMVS by RAD.

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COMMITMENTS AND CONTINGENCIES

6 Months Ended

Aug. 31, 2017

Commitments and Contingencies Disclosure [Abstract]

COMMITMENTS AND CONTINGENCIES

13. COMMITMENTS AND CONTINGENCIES

Litigation

Occasionally, the Company may be involved in claims and legal proceedings arising from the ordinary course of its business. The Company records a provision for a liability when it believes that is both probable that a liability has been incurred, and the amount can be reasonably estimated. If these estimates and assumptions change or prove to be incorrect, it could have a material impact on the Company’s condensed consolidated financial statements. Contingencies are inherently unpredictable, and the assessments of the value can involve a series of complex judgments about future events and can rely heavily on estimates and assumptions.

In February 2016, the Company received notice that it had been sued in the Clark County District Court of Nevada. The plaintiff alleges that the Company obtained certain trade secrets through a third party also named in the suit. The Company believes the suit is without merit and intends to vigorously defend it. The Company has not accrued any liability for this lawsuit as the Company believes that the likelihood of an unfavorable outcome is remote.

Down Payment on Purchase

The Company paid fifty percent deposits totaling $230,400 on fixed asset robot purchases and has committed to pay the remaining fifty percent balance due, totaling $230,400, on these purchases of robots to a supplier in the next year.

Operating Lease

The Company’s principal facility is located in Orange County, California. The lease agreement includes, escalating lease payments, renewal provisions and other provisions. The lease began in April 2017 and expires in March 2022. Rent expense is recorded over the lease terms on a straight-line basis.  The security deposit of $25,747 is recorded as a long-term asset as of August 31, 2017.

The Company also leases premises in northern California. The lease began in August 2017 and expires in August 2020. The security deposit of $5,126 was paid on September 1, 2017. The Company shares premises with a supplier who is the co-lessee. Through agreement with the supplier, the Company will pay 75% of the lease costs and the supplier will pay 25%.

The Company’s leases are accounted for as operating leases. Rent expense is recorded over the lease terms on a straight-line basis. Rent expense was $26,222 for the six months ended August 31, 2017. Rent expense was $16,317 for the three months ended August 31, 2017.

At August 31, 2017, the Company’s future minimum payments are as follows:

August 31, 2018	$	95,329
August 31, 2019		98,404
August 31, 2020		97,601
August 31, 2021		56,973
August 31, 2022 and thereafter		33,808
	$	382,115

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SUBSEQUENT EVENTS

6 Months Ended

Aug. 31, 2017

Subsequent Events [Abstract]

SUBSEQUENT EVENTS

14. SUBSEQUENT EVENTS

On September 1, 2017, a lender transferred $346,958 of debt and interest to 6100864 Canada Inc. That debt was cancelled and, in exchange, the Company issued a convertible redeemable note to 6100864 Canada Inc. with an aggregate principal face amount of $300,000, due on September 1, 2018. The note converts into units of the Company comprised of one share of common stock and a conversion price equal to the lower of 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion, or $0.005. The note is non-interest bearing and unsecured. The Company recorded a gain on settlement of debt of $1,090,521 that includes the amount of associated derivative liability that was written off.

On September 12, 2017, the Company issued a convertible promissory note to Power Up Lending Group LTD. in the amount of $128,000, for cash proceeds of $125,000 and an original issue discount of $3,000 with interest on the unpaid principal balance at the rate of 8% per annum from the issue date of September 12, 2017 until June 20, 2018, when the note matures. Lending Group LTD. has the right to convert all or any part of the note into fully paid and non-assessable shares of common stock at 60% multiplied by the Market Price (representing a discount rate of 40%). “Market Price” means the average of the lowest three trading prices for the common stock during the 20 trading day period ending on the latest complete trading day prior to the conversion date.

On September 25, 2017, the Company issued a convertible redeemable note to 6100864 Canada Inc. with an aggregate principal face amount of $398,750, due on September 25, 2018. The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion, and has a 15% per annum interest rate commencing on September 25, 2017.

On September 25, 2017, the Company issued an additional convertible redeemable note to 6100864 Canada Inc. with an aggregate principal face amount of $398,750, due on September 25, 2018. The Company received cash proceeds of $290,000 with an original issue discount of $108,750. The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion, and has a 15% per annum interest rate commencing on September 25, 2017.

On September 25, 2017, 6100864 Canada Inc. issued a collateralized secured promissory note, promising to pay to the Company the amount of $290,000 no later than September 25, 2018. The note was initially secured by the pledge of the $398,750, 15% convertible promissory note issued to 6100864 Canada Inc. by the Company on September 25, 2017, described above.

In September 2017, the Company settled the March 8, 2017 note and agreed to pay $72,762, including the remaining $50,000 principal balance $1,929 in accrued interest, and a prepayment penalty of $20,833. The Company incurred this penalty to avoid additional costs related to the conversion of this note. The Company recorded a gain on settlement of debt of $84,507 related to the write-off of the associated derivative liability.

On October 16, 2017, the Company issued a convertible redeemable note to 6100864 Canada Inc. with an aggregate principal face amount of $345,000, due on October 16, 2018. The Company received cash proceeds of $300,000 with an original issue discount of $45,000. The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion, and has a 15% per annum interest rate commencing on October 16, 2017.

On October 16, 2017, the Company issued an additional convertible redeemable note to 6100864 Canada Inc. $345,000, due on October 16, 2018. The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion, and has a 15% per annum interest rate commencing on October 16, 2017.

On October 16, 2017, 6100864 Canada Inc. issued a collateralized secured promissory note, promising to pay to the Company the amount of $300,000 no later than October 16, 2018. The note was initially secured by the pledge of the $345,000, 15% convertible promissory note issued to 6100864 Canada Inc. by the Company on October 16, 2017, described above.

On October 16, 2017, the Company issued a convertible redeemable note to 6100864 Canada Inc. with an aggregate principal amount of $500,250, due on November 22, 2018. The Company received cash proceeds of $435,000 with an original issue discount of $65,250.The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Corporation’s common stock for the last 40 trading days prior to conversion, and has a 15% per annum interest rate commencing on November 22, 2017.

On November 22, 2017, the Company issued an additional convertible redeemable note to 6100864 Canada Inc. with an aggregate principal amount of $500,250, due on November 22, 2018. The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion, and has a 15% per annum interest rate commencing on November 22, 2017.

On November 22, 2017, 6100864 Canada Inc. issued a collateralized secured promissory note, promising to pay to the Company, or order, the amount of $435,000 no later than November 22, 2018. The note was initially secured by the pledge of the $500,250, 15% convertible promissory note issued to 6100864 Canada Inc. by the Company on November 22, 2017, described above.

On October 2, 2017, the Company acquired goods and other intangibles through an asset purchase agreement with WeSecure Robotics, Inc. (“WeSecure”) in exchange for $125,000 payable in 5 monthly $25,000 installments commencing in October 2017 and ending in February 2018.

The two principals of WeSecure were hired on at will basis: one as a Sales director for a salary of $8,000 per month and the other as a consultant at $1,000 per month. The salary has been committed to until September 1, 2019, regardless of employment within the Company, In addition, the two principals will receive collectively a commission of $500/month for each SMP robot rented by an identified customer for one year, as long as the customer stays with the Company for two years and an additional year of commission if the two principals remain employed with the Company through September 1, 2020. They will also receive a commission of 5% of net revenues on sales to identified customers for non-SMP robots for 2 years.  In addition, the Company agreed to issue 450,000 options to the two principals to purchase shares its common stock at an exercise price of $0.05 per share that vest on October 2, 2021.

On December 28, 2017, the Company issued a convertible redeemable note to Lucas Hoppel with an aggregate principal amount of $55,000, due on August 28 28, 2018 for cash proceeds of $50,000 and an original issue discount of $5,000. The promissory note is convertible into units of the Company comprised of one share of common stock at 40% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion, and has a 10% per annum interest rate commencing on December 28, 2017.

On December 29, 2017, the Company issued a convertible redeemable note to 6100864 Canada Inc. with an aggregate principal amount of $330,000, due on December 29, 2018 for cash proceeds of $330,000. The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion, and has a 15% per annum interest rate commencing on December 29, 2017.

On December 29, 2017, the Company issued a convertible redeemable note to 6100864 Canada Inc. with an aggregate principal amount of $330,000, due on December 29, 2018. To date this note is unfunded by the lender. In the event the previous note with the same terms is converted within six months of issuance, this note becomes null and void.  There is no obligation under this note until the funds are received.  The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion, and has a 15% per annum interest rate commencing on December 29, 2017.

On January 5, 2018, the Company issued an additional convertible promissory note to Crown Bridge Partners, LLC (“Crown Bridge”) with an aggregate principal amount of $250,000, due on January 5, 2019 for cash proceeds of $225,000 payable in tranches, with an original issue discount of $25,000. Each tranche matures one year after disbursement. The promissory note is convertible into common shares of the Company and a conversion price equal to 60% of the lowest trading price of the Company’s common stock for the last 25 trading days prior to conversion, and has a 10% per annum interest rate commencing on January 5, 2018. On March 14, 2018, this note was amended to include the issuance of warrants to purchase 333,333 shares of the Company’s common stock with an exercise price of $0.15 with a 3-year maturity, and to change the date of the note to March 14, 2018, coinciding with the payment of the first tranche of $50,000 including cash proceeds of $43,000, fees of $2,000 and an original issue discount of $5,000.

On January 17, 2018, the Company issued a convertible redeemable note to Morningview with an aggregate principal amount of $83,500, due on January 17, 2019 for cash proceeds of $71,000, fees of $4,000 and an original issue discount of $7,500. The promissory note is convertible into units of the Company comprised of one share of common stock at 40% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion, and has an 8% per annum interest rate commencing on January 17, 2018.

On January 30, 2018, the Company issued a convertible redeemable note to 6100864 Canada Inc. with an aggregate principal amount of $300,000, due on January 30, 2019 for cash proceeds of $300,000. The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion, and has a 15% per annum interest rate commencing on January 30, 2018.

On January 30, 2018, the Company issued a convertible redeemable note to 6100864 Canada Inc. with an aggregate principal amount of $300,000, due on January 30, 2018. To date this note is unfunded by the lender. In the event the previous note with the same terms is converted within six months of issuance, this note becomes null and void.  There is no obligation under this note until the funds are received.  The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion, and has a 15% per annum interest rate commencing on January 30, 2018.

On February 21, 2018, the Company issued a convertible redeemable note to 6100864 Canada Inc. with an aggregate principal amount of $300,000, due on February 21, 2019 for cash proceeds of $300,000. The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion, and has a 15% per annum interest rate commencing on February 21, 2018.

On February 21, 2018, the Company issued a convertible redeemable note to 6100864 Canada Inc. with an aggregate principal amount of $300,000, due on February 21, 2018. To date this note is unfunded by the lender. In the event the previous note with the same terms is converted within six months of issuance, this note becomes null and void.  There is no obligation under this note until the funds are received.  The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion, and has a 15% per annum interest rate commencing on February 21, 2018.

On March 1, 2018, the Company issued a convertible redeemable note to 6100864 Canada Inc. with an aggregate principal amount of $95,000, due on March 1, 2019 for cash proceeds of $95,000. The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion, and has a 15% per annum interest rate commencing on March 1, 2018.

On March 14, 2018, the Company issued a convertible redeemable note to Crown Bridge with an aggregate principal amount of $50,000, due on March 14, 2019 for cash proceeds of $43,000, fees of $2,000 and an original issue discount of $5,000. The promissory note is convertible into units of the Company comprised of one share of common stock at 40% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion, and has a 10% per annum interest rate commencing on March 14, 2018.

In March 2018, $120,000 was paid on the June 7, 2018 collateralized promissory note for $200,000 from Eagle Equities maturing June 7, 2018, bearing interest at 8%.  

On April 9, 2018, the Company issued a convertible redeemable note to 6100864 Canada Inc. with an aggregate principal amount of $55,000, due on April 9, 2019 for cash proceeds of $55,000. The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion, and has a 15% per annum interest rate commencing on April 9, 2018.

Through April 9, 2018, the Company issued 23,016,667 shares to convertible note holders for the conversion of $123,000 of outstanding convertible notes.

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ACCOUNTING POLICIES (Policies)

6 Months Ended

Aug. 31, 2017

Accounting Policies [Abstract]

Principles of Consolidation

Principles of Consolidation

The accompanying unaudited consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) and in conformity with the instructions on Form 10-Q and Rule 8-03 of Regulation S-X and the related rules and regulations of the Securities and Exchange Commission (“SEC”). The unaudited consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries, Robotic Assistance Devices, Inc., On the Move Experience, LLC and OMV Transports, LLC. All significant intercompany accounts and transactions have been eliminated in consolidation. The unaudited consolidated financial statements reflect all adjustments, consisting of normal recurring accruals, which are, in the opinion of management, necessary for a fair presentation of such statements. The results of operations for the three and six months ended August 31, 2017 are not necessarily indicative of the results that may be expected for the entire year.

Cash

Cash

The Company considers all highly liquid investments with an original maturity of three months or less to be cash equivalents. Cash and cash equivalents consist of cash on deposit with banks and money market instruments. The Company places its cash and cash equivalents with high-quality, U.S. financial institutions and, to date has not experienced losses on any of its balances.

Accounts Receivable

Accounts Receivable

Accounts receivable are comprised of balances due from customers, net of estimated allowances for uncollectible accounts. In determining collectability, historical trends are evaluated, and specific customer issues are reviewed on a periodic basis to arrive at appropriate allowances.

Revenue Earning Robots

Revenue Earning Robots

Revenue earning robots are stated at cost. Depreciation is provided on a straight-line basis over the estimated useful life of 48 months. The Company continually evaluates revenue earning robots to determine whether events or changes in circumstances have occurred that may warrant revision of the estimated useful life or whether the robot should be evaluated for possible impairment. The Company uses a combination of the undiscounted cash flows and market approaches in assessing whether an asset has been impaired. The Company measures impairment losses based upon the amount by which the carrying amount of the asset exceeds the fair value.

Fixed Assets

Fixed Assets

Fixed assets are stated at cost. Depreciation is provided on the straight-line method based on the estimated useful lives of the respective assets which range from three to five years. Major repairs or improvements are capitalized. Minor replacements and maintenance and repairs which do not improve or extend asset lives are expensed currently.

Demo Robots	4 years
Vehicles	3 years
Leasehold improvements	5 years, the life of the lease

The Company periodically evaluates the fair value of fixed assets whenever events or changes in circumstances indicate that its carrying amounts may not be recoverable. Upon retirement or other disposition of fixed assets, the cost and related accumulated depreciation are removed from the accounts and the resulting gain or loss, if any, is recognized in income.

Research and Development

Research and Development

Research and development costs are expensed in the period they are incurred in accordance with ASC 730, Research and Development unless they meet specific criteria related to technical, market and financial feasibility, as determined by Management, including but not limited to the establishment of a clearly defined future market for the product, and the availability of adequate resources to complete the project. If all criteria are met, the costs are deferred and amortized over the expected useful life or written off if a product is abandoned. At August 31, 2017 and February 28, 2017, the Company had no deferred development costs.

Contingencies

Contingencies

Occasionally, the Company may be involved in claims and legal proceedings arising from the ordinary course of its business. The Company records a provision for a liability when it believes that it is both probable that a liability has been incurred, and the amount can be reasonably estimated. If these estimates and assumptions change or prove to be incorrect, it could have a material impact on the Company’s condensed consolidated financial statements. Contingencies are inherently unpredictable, and the assessments of the value can involve a series of complex judgments about future events and can rely heavily on estimates and assumptions.

Revenue Recognition

Revenue Recognition 

Revenue is recognized when persuasive evidence of an arrangement exists, goods are delivered for rental and/or services are rendered, sales price is determinable, and collection is reasonably assured.

Income Taxes

Income Taxes

On July 25, 2017, Robotic Assistance Devices LLC converted to a C Corporation, Robotic Assistance Devices, Inc. through the issuance of 10,000 common shares to its sole shareholder. Prior to the conversion on July 25, 2017, income taxes are not provided in the financial statements as presented as RAD was an LLC and the income or loss flowed through to the shareholder for the two months ended February 28, 2017.Thereafter, income taxes will be accounted for under the asset and liability method from that date forward. Deferred income tax assets and liabilities are determined based on differences between financial reporting and tax bases of assets and liabilities, and net operating loss and other tax credit carry-forwards. These items are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. RAD will record a valuation allowance to reduce the deferred income tax assets to the amount that is more likely than not to be realized.

Leases

Leases

Lease agreements are evaluated to determine if they are capital leases meeting any of the following criteria at inception: (a) transfer of ownership; (b) bargain purchase option; (c) the lease term is equal to 75 percent or more of the estimated economic life of the leased property; or (d) the present value at the beginning of the lease term of the minimum lease payments, excluding that portion of the payments representing executory costs such as insurance, maintenance, and taxes to be paid by the lessor, including any profit thereon, equals or exceeds 90 percent of the excess of the fair value of the leased property to the lessor at lease inception over any related investment tax credit retained by the lessor and expected to be realized by the lessor.

If at its inception, a lease meets any of the four lease criteria above, the lease is classified by the Company as a capital lease; and if none of the four criteria are met, the lease is classified by the Company as an operating lease.

Operating lease payments are recognized as an expense in the income statement on a straight-line basis over the lease term, whereby an equal amount of rent expense is attributed to each period during the term of the lease, regardless of when actual payments are made. This generally results in rent expense in excess of cash payments during the early years of a lease and rent expense less than cash payments in the later years. The difference between rent expense recognized and actual rental payments is recorded as deferred rent and included in liabilities.

Distinguishing Liabilities from Equity

 Distinguishing Liabilities from Equity

The Company relies on the guidance provided by ASC Topic 480, Distinguishing Liabilities from Equity, to classify certain redeemable and/or convertible instruments. The Company first determines whether a financial instrument should be classified as a liability. The Company will determine the liability classification if the financial instrument is mandatorily redeemable, or if the financial instrument, other than outstanding shares, embodies a conditional obligation that the Company must or may settle by issuing a variable number of its equity shares.

Once the Company determines that a financial instrument should not be classified as a liability, the Company determines whether the financial instrument should be presented between the liability section and the equity section of the balance sheet (“temporary equity”). The Company will determine temporary equity classification if the redemption of the financial instrument is outside the control of the Company (i.e. at the option of the holder). Otherwise, the Company accounts for the financial instrument as permanent equity.

Initial Measurement

The Company records its financial instruments classified as liability, temporary equity or permanent equity at issuance at the fair value, or cash received.

Subsequent Measurement – Financial Instruments Classified as Liabilities

The Company records the fair value of its financial instruments classified as liabilities at each subsequent measurement date. The changes in fair value of its financial instruments classified as liabilities are recorded as other income (expenses).

Fair Value of Financial Instruments

Fair Value of Financial Instruments

ASC Topic 820, Fair Value Measurements and Disclosures (“ASC Topic 820”) provides a framework for measuring fair value in accordance with generally accepted accounting principles.

ASC Topic 820 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. ASC Topic 820 establishes a fair value hierarchy that distinguishes between (1) market participant assumptions developed based on market data obtained from independent sources (observable inputs) and (2) an entity’s own assumptions about market participant assumptions developed based on the best information available in the circumstances (unobservable inputs).

The fair value hierarchy consists of three broad levels, which gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy under ASC Topic 820 are described as follows:

● Level 1 – Unadjusted quoted prices in active markets for identical assets or liabilities that are accessible at the measurement date.

● Level 2 – Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; inputs other than quoted prices that are observable for the asset or liability; and inputs that are derived principally from or corroborated by observable market data by correlation or other means.

● Level 3 – Inputs that are unobservable for the asset or liability.

Measured on a Recurring Basis

The following table presents information about our liabilities measured at fair value on a recurring basis, aggregated by the level in the fair value hierarchy within which those measurements fell:

			Fair Value Measurement Using
	Amount at Fair Value		Level 1		Level 2		Level 3
August 31, 2017
Liabilities
Derivative liability – conversion features pursuant to convertible notes payable	$	11,672,321	$	—	$	—	$	11,672,321
February 28, 2017
Liabilities
Derivative liability – conversion features pursuant to convertible notes payable	$	—	$	—	$	—	$	—

See Note 11, for specific inputs used in determining fair value.

The carrying amounts of the Company’s financial assets and liabilities, such as cash, accounts receivable, prepaid expenses and advances, accounts payable and accrued expenses, approximate their fair values because of the short maturity of these instruments.

Earnings (Loss) per Share

Earnings (Loss) per Share

Basic earnings (loss) per share is computed by dividing net income (loss) by the weighted average number of shares of common stock outstanding during the period. Diluted EPS excluded all dilutive potential shares if their effect was anti-dilutive.

Basic net loss per share is based on the weighted average number of common and common-equivalent shares outstanding. For the period from inception (July26, 2016) to August 31, 2016, there were no common shares outstanding. Potential common shares includable in the computation of fully-diluted per share results are not presented in the consolidated financial statements for the three and six months ended August 31, 2017 and period from inception (July 26, 2016) through August 31, 2016 as their effect would be anti-dilutive.

Basic loss per common share is computed based on the weighted average number of shares outstanding during the period. Diluted loss per share is computed in a manner similar to the basic loss per share, except the weighted-average number of shares outstanding is increased to include all common shares, including those with the potential to be issued by virtue of convertible debt and other such convertible instruments. Diluted loss per share contemplates a complete conversion to common shares of all convertible instruments only if they are dilutive in nature with regards to earnings per share.

The anti-dilutive shares of common stock outstanding for the three and six months ended August 31, 2017 and period from inception (July 26, 2016) through August 31, 2016 were as follows:

	For the Three Months Ended August 31, 2017	For the Six Months Ended August 31, 2017	Period from Inception (July 26, 2016) through August 31, 2016
Warrants	24,536,382	24,536,382	—
Convertible notes payable	84,188,094	84,188,094	—
Series F Convertible Preferred Stock	351,858,210	351,858,210	351,858,210

Recently Adopted Accounting Pronouncements

Recently Adopted Accounting Pronouncements

In January 2017, the Financial Accounting Standards Board (“FASB”) issued Accounting Standard Update (“ASU”) 2017-01, Business Combinations: Clarifying the Definition of a Business, which amends the current definition of a business. Under ASU 2017-01, to be considered a business, an acquisition would have to include an input and a substantive process that together significantly contributes to the ability to create outputs. ASU 2017-01 further states that when substantially all of the fair value of gross assets acquired is concentrated in a single asset (or a group of similar assets), the assets acquired would not represent a business. The new guidance also narrows the definition of the term “outputs” to be consistent with how it is described in Topic 606, Revenue from Contracts with Customers. The changes to the definition of a business will likely result in more acquisitions being accounted for as asset acquisitions. The guidance is effective for the annual period beginning after December 15, 2017, with early adoption permitted. The Company has elected to early adopt ASU 2017-01 and to apply it to any transaction, which occurred prior to the issuance date that has not been reported in financial statements that have been issued or made available for issuance.

Recently Issued Accounting Pronouncements

Recently Issued Accounting Pronouncements

In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606). The core principle of ASU 2014-09 is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods and services. This standard is effective for fiscal years and interim reporting periods beginning after December 15, 2016. In August 2015, the FASB issued ASU 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date.  The amendments in this update deferred the effective date for implementation of ASU 2014-09 by one year and is now effective for annual reporting periods beginning after December 15, 2017. Early application is permitted only as of annual reporting periods beginning after December 15, 2016 including interim reporting periods within that period. Topic 606 is effective for the Company in the first quarter of Fiscal 2019. The Company is currently evaluating the new revenue recognition guidance. The Company has completed its initial impact assessment and has commenced an in-depth evaluation of the adoption impact, which involves review of selected revenue arrangements. Based on the Company’s preliminary review, the Company believes that the timing and measurement of revenue for its customers will be similar to the Company’s current revenue recognition. However, this view is preliminary and could change based on further analysis associated with the conversion and implementation phases of our ASU 2014-09 project.

From March 2016 through September 2017, the FASB issued ASU 2016-08, Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net), ASU 2016-10, Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing, ASU 2016-11, Revenue Recognition (Topic 605) and Derivatives and Hedging (Topic 815): Rescission of SEC Guidance Because of Accounting Standards Updates 2014-09 and 2014-16 Pursuant to Staff Announcements at the March 3, 2016 EITF Meeting, ASU No. 2016-12, Revenue from Contracts with Customers (Topic 606):Narrow-Scope Improvements and Practical Expedients, ASU No. 2016-20, Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers and ASU No. 2017-13, Revenue Recognition (Topic 605), Revenue from Contracts with Customers (Topic 606), Leases (Topic 840), and Leases (Topic 842): Amendments to SEC Paragraphs Pursuant to the Staff Announcement at the July 20, 2017 EITF Meeting and Rescission of Prior SEC Staff Announcements and Observer Comments. These amendments are intended to improve and clarify the implementation guidance of Topic 606. The effective date and transition requirements for the amendments are the same as the effective date and transition requirements of ASU No. 2014-09 and ASU No. 2015-14.

In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842), which is effective for public entities for annual reporting periods beginning after December 15, 2018. Under ASU 2016-02, lessees will be required to recognize the following for all leases (with the exception of short-term leases) at the commencement date: 1) a lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis, and 2) a right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. The Company is currently evaluating the effects of ASU 2016-02 on its unaudited condensed financial statements.

In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230) Classification of Certain Cash Receipts and Cash Payments. ASU 2016-15 eliminates the diversity in practice related to the classification of certain cash receipts and payments for debt prepayment or extinguishment costs, the maturing of a zero-coupon bond, the settlement of contingent liabilities arising from a business combination, proceeds from insurance settlements, distributions from certain equity method investees and beneficial interests obtained in a financial asset securitization. ASU 2016-15 designates the appropriate cash flow classification, including requirements to allocate certain components of these cash receipts and payments among operating, investing and financing activities. The guidance is effective for the Company beginning after December 15, 2017, although early adoption is permitted. The Company is currently evaluating the effects of ASU 2016-15 on its unaudited condensed consolidated financial statements.

In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230) Restricted Cash a consensus of the FASB Emerging Issues Task Force. ASU 2016-18 requires restricted cash and cash equivalents to be included with cash and cash equivalents on the statement cash flows. The new standard is expected to be effective for fiscal years, and interim periods within those years, beginning after December 15, 2017, with early adoption permitted. The Company is currently evaluating the effects of ASU 2016-18 on its unaudited condensed consolidated financial statements.

In July 2017, the FASB issued ASU 2017-11, Earnings Per Share (Topic 260), Distinguishing Liabilities from Equity (Topic 480) and Derivatives and Hedging (Topic 815): I. Accounting for Certain Financial Instruments with Down Round Features; II. Replacement of the Indefinite Deferral for Mandatorily Redeemable Financial Instruments of Certain Nonpublic Entities and Certain Mandatorily Redeemable Noncontrolling Interests with a Scope Exception. Part I of this update addresses the complexity of accounting for certain financial instruments with down round features. Down round features are features of certain equity-linked instruments (or embedded features) that result in the strike price being reduced on the basis of the pricing of future equity offerings. Current accounting guidance creates cost and complexity for entities that issue financial instruments (such as warrants and convertible instruments) with down round features that require fair value measurement of the entire instrument or conversion option. Part II of this update addresses the difficulty of navigating Topic 480, Distinguishing Liabilities from Equity, because of the existence of extensive pending content in the FASB Accounting Standards Codification. This pending content is the result of the indefinite deferral of accounting requirements about mandatorily redeemable financial instruments of certain nonpublic entities and certain mandatorily redeemable noncontrolling interests. The amendments in Part II of this update do not have an accounting effect. This ASU is effective for fiscal years, and interim periods within those years, beginning after December 15, 2018. The Company is currently assessing the potential impact of adopting ASU 2017-11 on its unaudited condensed consolidated financial statements and related disclosures.

Subsequent Events

Subsequent Events

The Company has evaluated all transactions through the date the consolidated financial statements were issued for subsequent event disclosure.

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ACCOUNTING POLICIES (Tables)

6 Months Ended

Aug. 31, 2017

Accounting Policies [Abstract]

Schedule of fixed assets lives

Minor replacements and maintenance and repairs which do not improve or extend asset lives are expensed currently.

Demo Robots	4 years
Vehicles	3 years
Leasehold improvements	5 years, the life of the lease

Schedule of measured on a recurring basis

 The following table presents information about our liabilities measured at fair value on a recurring basis, aggregated by the level in the fair value hierarchy within which those measurements fell:

			Fair Value Measurement Using
	Amount at Fair Value		Level 1		Level 2		Level 3
August 31, 2017
Liabilities
Derivative liability – conversion features pursuant to convertible notes payable	$	11,672,321	$	—	$	—	$	11,672,321
February 28, 2017
Liabilities
Derivative liability – conversion features pursuant to convertible notes payable	$	—	$	—	$	—	$	—

Schedule of anti-dilutive shares of common stock outstanding

The anti-dilutive shares of common stock outstanding for the three and six months ended August 31, 2017 and period from inception (July 26, 2016) through August 31, 2016 were as follows:

	For the Three Months Ended August 31, 2017	For the Six Months Ended August 31, 2017	Period from Inception (July 26, 2016) through August 31, 2016
Warrants	24,536,382	24,536,382	—
Convertible notes payable	84,188,094	84,188,094	—
Series F Convertible Preferred Stock	351,858,210	351,858,210	351,858,210

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DEPOSITS (Tables)

6 Months Ended

Aug. 31, 2017

Deposits [Abstract]

Schedule of deposits on robots

Deposits on robots expected to be received within one year were comprised of the following:

	August 31, 2017		February 28, 2017
Deposits on robots	$	237,400	$	150,000

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REVENUE EARNING ROBOTS (Tables)

6 Months Ended

Aug. 31, 2017

Revenue Earning Robots

Schedule of revenue earning robots

5. REVENUE EARNING ROBOTS

Revenue earning robots consisted of the following:

	August 31, 2017			February 28, 2017
Revenue earning robots	$	32,520		$	85,050
Less: Accumulated depreciation		(5,390	)		(3,544	)
	$	27,130		$	81,506

During the six months ended August 31, 2017, the Company made total additions to revenue earning robots of $19,219. Due to several revenue earning robots becoming non-operational during the six months ended August 31, 2017, the Company wrote down revenue earning robots with a net book value of $59,889 to $0 as loss on impairment of fixed assets.

Depreciation expense was $6,594 and $13,706 for the three and six months ended August 31, 2017, respectively, and $0 for the period from inception (July 26, 2016) through August 31, 2016.

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FIXED ASSETS (Tables)

6 Months Ended

Aug. 31, 2017

Fixed Assets

Schedule of fixed assets

Fixed assets consisted of the following:

	August 31, 2017			February 28, 2017
Demo robots	$	67,305		$	—
Automobile		47,702			47,702
Leasehold improvements		7,660			—
		122,667			47,702
Less: Accumulated depreciation		(22,838	)		(2,650	)
	$	99,829		$	45,052

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CONVERTIBLE NOTES PAYABLE (Tables)

6 Months Ended

Aug. 31, 2017

Debt Disclosure [Abstract]

Schedule of convertible notes payable

Convertible notes payable consisted of the following:

					Balance			Balance
		Interest	Conversion		August 31,			February 28,
Issued	Maturity	Rate	Rate per Share		2017			2017
February 28, 2011	February 26, 2013 *	7%	$0.015		$	32,600		$	—
January 31, 2013	February 28, 2017 *	10%	$0.010			119,091			—
May 31, 2013	November 30, 2016 *	10%	$0.010			261,595			—
November 30, 2013	November 30, 2017	10%	$0.010			337,958			—
August 31, 2014	November 30, 2016 *	10%	$0.002			355,652			—
November 30, 2014	November 30, 2016 *	10%	$0.002			103,950			—
February 28, 2015	February 28, 2017 *	10%	$0.001			63,357			—
May 31, 2015	August 31, 2017	10%	$1.000			65,383			—
August 31, 2015	August 31, 2017	10%	$0.300			91,629			—
November 30, 2015	November 30, 2018	10%	$0.300			269,791			—
February 29, 2016	February 28, 2019	10%	60% discount	(2)		95,245			—
May 31, 2016	May 31, 2019	10%	$0.003			35,100			—
July 18, 2016	July 18, 2017	10%	$0.003			3,500			—
December 31, 2016	December 31, 2020	8%	35% discount	(2)		65,000			65,000
January 15, 2017	January 15, 2021	8%	35% discount	(2)		50,000			50,000
January 15, 2017	January 15, 2021	8%	35% discount	(2)		100,000			100,000
January 16, 2017	January 16, 2020	8%	35% discount	(2)		150,000			150,000
March 8, 2017	March 8, 2018	8%	40% discount	(2)		50,000			—
March 8, 2017	March 8, 2020	10%	40% discount	(2)		100,000			—
March 9, 2017	March 9, 2020	8%	35% discount	(2)		50,000			—
March 21, 2017	March 21, 2018	8%	40% discount	(2)		40,000			—
April 4, 2017	December 4, 2017	10%	40% discount	(2)		12,066			—
April 19, 2017	April 19, 2018	15%	50% discount	(2)		96,250			—
April 20, 2017	January 30, 2018	8%	40% discount	(1)		28,000			—
April 26, 2017	April 26, 2018	0%	$0.001			68			—
May 1, 2017	May 1, 2021	8%	35% discount	(2)		50,000			—
May 4, 2017	May 4, 2018	8%	40% discount	(2)		150,000			—
May 15, 2017	May 15, 2018	0%	$0.001			1,280			—
May 17, 2017	May 17, 2020	10%	40% discount	(1)		85,000			—
June 7, 2017	June 7, 2018	8%	40% discount	(2)		200,000			—
June 16, 2017	June 16, 2018	0%	$0.001			750			—
July 6, 2017	July 6, 2018	8%	40% discount	(2)		200,000			—
August 8, 2017	August 8, 2018	8%	40% discount	(2)		125,000			—
July 28, 2017	July 28, 2018	15%	50% discount	(2)		116,875			—
August 29, 2017	August 29, 2018	15%	50% discount	(2)		247,500			—
						3,752,640			365,000
Less: current portion of convertible notes payable						(3,438,129	)		—
Less: discount on noncurrent convertible notes payable						(247,626	)		—
Noncurrent convertible notes payable, net of discount					$	66,885		$	365,000
Current portion of convertible notes payable					$	3,438,129		$	—
Less: discount on current portion of convertible notes payable						(1,826,698	)		—
Current portion of convertible notes payable, net of discount					$	1,611,431		$	—

*	The indicated notes were in default as of August 31, 2017 and bear default interest of between 18% and 25% per annum.
(1)	The note is convertible beginning six months after the date of issuance.
(2)	The notes are accounted for and evaluated under ASC 480 as discussed in Note 3.

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DERIVATIVE LIABILITES (Tables)

6 Months Ended

Aug. 31, 2017

Derivative Liability [Abstract]

Schedule of fair value of derivative instruments

The Company estimated the fair value of the derivative liabilities using the Monte-Carlo model using the following key assumptions during the year ended August 31, 2017:

Strike price	$1.00 - $0.001
Fair value of Company common stock	$0.17
Dividend yield	0.00%
Expected volatility	85% - 65%
Risk free interest rate	1.01% - 1.57%
Expected term (years)	0.26 - 4.00

Schedule of Level 3 liabilities

The changes in the derivative liabilities (Level 3 financial instruments) measured at fair value on a recurring basis for the six months ended August 31, 2017 were as follows:

Addition of derivative liability pursuant to reverse recapitalization	$	9,035,437
Derivative liability in excess of face value of debt recorded to interest expense		2,823,125
Debt discount due to derivative liabilities		565,000
Change in fair value of derivative liabilities		(751,241	)
Balance as of August 31, 2017	$	11,672,321

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COMMITMENTS & CONTINGENCIES (Tables)

6 Months Ended

Aug. 31, 2017

Commitments and Contingencies Disclosure [Abstract]

Schedule of future minimum payments

At August 31, 2017, the Company’s future minimum payments are as follows:

August 31, 2018	$	95,329
August 31, 2019		98,404
August 31, 2020		97,601
August 31, 2021		56,973
August 31, 2022 and thereafter		33,808
	$	382,115

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GENERAL INFORMATION (Details Narrative) - shares	Aug. 28, 2017	Aug. 31, 2017	Jul. 25, 2017	Feb. 28, 2017
Common stock, issued		101,987,887		0
Robotic Assistance Devices, LLC ("RAD") [Member]
Common stock, issued			10,000
Robotic Assistance Devices, LLC ("RAD") [Member] | Series E Preferred Stock [Member]
Number of shares isuued under acquisition	3,350,000
Robotic Assistance Devices, LLC ("RAD") [Member] | Series F Convertible Preferred Stock [Member]
Number of shares isuued under acquisition	2,450

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GOING CONERN (Details Narrative) - USD ($)	1 Months Ended	6 Months Ended
	Aug. 31, 2016	Aug. 31, 2017	Feb. 28, 2017
Going Conern Details Narrative
Cash flow from operating activities	$ (2,240)	$ (926,450)
Accumulated deficit		(14,264,023)	$ (184,697)
Working capital		$ 13,790,446

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ACCOUNTING POLICIES (Details) - Robotic Assistance Devices, LLC ("RAD") [Member]	6 Months Ended
	Aug. 31, 2017
Demo Robots [Member]
Estimated useful lives	4 years
Vehicles [Member]
Estimated useful lives	3 years
Leasehold Improvements [Member]
Estimated useful lives	5 years

XML

ACCOUNTING POLICIES (Details 1) - Fair Value, Measurements, Recurring [Member] - USD ($)	Aug. 31, 2017	Feb. 28, 2017
Liabilities
Derivative liability - conversion features pursuant to convertible notes payable	$ 11,672,321
Level 1 [Member]
Liabilities
Derivative liability - conversion features pursuant to convertible notes payable
Level 2 [Member]
Liabilities
Derivative liability - conversion features pursuant to convertible notes payable
Level 3 [Member]
Liabilities
Derivative liability - conversion features pursuant to convertible notes payable	$ 11,672,321

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ACCOUNTING POLICIES (Details 2) - shares	1 Months Ended	3 Months Ended	6 Months Ended
	Aug. 31, 2016	Aug. 31, 2017	Aug. 31, 2017
Series F Convertible Preferred Stock [Member]
Anti-dilutive shares outstanding	351,858,210	351,858,210	351,858,210
Convertible notes payable [Member]
Anti-dilutive shares outstanding		84,188,094	84,188,094
Warrant [Member]
Anti-dilutive shares outstanding		24,536,382	24,536,382

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ACCOUNTING POLICIES (Details Narrative) - shares		6 Months Ended
	Jul. 25, 2017	Aug. 31, 2017	Feb. 28, 2017
Common stock, issued		101,987,887	0
Robotic Assistance Devices, LLC ("RAD") [Member]
Common stock, issued	10,000
Issuance of authorized common shares to sole shareholder	10,000
Robotic Assistance Devices, LLC ("RAD") [Member] | Minimum [Member]
Estimated useful lives		3 years
Robotic Assistance Devices, LLC ("RAD") [Member] | Maximum [Member]
Estimated useful lives		5 years

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DEPOSITS (Details) - USD ($)	Aug. 31, 2017	Feb. 28, 2017
Deposits Details
Deposits on robots	$ 237,400	$ 150,000

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REVENUE EARNING ROBOTS (Details) - Robotic Assistance Devices, LLC ("RAD") [Member] - USD ($)	Aug. 31, 2017	Feb. 28, 2017
Revenue earning robots	$ 32,520	$ 85,050
Less: Accumulated depreciation	(5,390)	(3,544)
Revenue earning robots	$ 27,130	$ 81,506

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REVENUE EARNING ROBOTS (Details Narrative) - USD ($)	1 Months Ended	3 Months Ended	6 Months Ended
	Aug. 31, 2016	Aug. 31, 2017	Aug. 31, 2017
Revenue earning		$ 35,000	$ 35,000
Loss on impairment of fixed assets		(92,942)	(92,942)
Depreciation expense		14,958	33,694
Robotic Assistance Devices, LLC ("RAD") [Member]
Revenue earning			19,219
Loss on impairment of fixed assets	59,889		0
Depreciation expense	$ 0	$ 6,594	$ 13,706

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FIXED ASSETS (Details) - USD ($)	Aug. 31, 2017	Feb. 28, 2017
Less: Accumulated depreciation	$ (22,838)	$ (2,650)
Fixed assets, net of accumulated depreciation	99,829	45,052
Robotic Assistance Devices, LLC ("RAD") [Member]
Gross	122,667	47,702
Less: Accumulated depreciation	(22,838)	(2,650)
Fixed assets, net of accumulated depreciation	99,829	45,052
Robotic Assistance Devices, LLC ("RAD") [Member] | Demo Robots [Member]
Gross	67,305
Robotic Assistance Devices, LLC ("RAD") [Member] | Vehicles [Member]
Gross	47,702	$ 47,702
Robotic Assistance Devices, LLC ("RAD") [Member] | Leasehold Improvements [Member]
Gross	$ 7,660

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FIXED ASSETS (Details Narrative) - Robotic Assistance Devices, LLC ("RAD") [Member] - USD ($)	1 Months Ended	3 Months Ended	6 Months Ended
	Aug. 31, 2016	Aug. 31, 2017	Aug. 31, 2017
Fixed assets acquired			$ 107,818
Loss on impairment of fixed assets	$ 33,053		0
Depreciation expense	$ 0	$ 8,364	$ 19,988

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NOTE RECEIVABLE (Details Narrative) - Notes Receivable [Member]

Mar. 13, 2017

USD ($)

Promissory note fee amount

$ 10,000

Third Party [Member]

Advances receivable

$ 40,000

Maturity date

Dec. 31, 2017

Description of note receivable interest

The note was subsequently amended to bear interest of 2% per month plus a $10,000 fee.

Description of note receivable collateral

It is payable on December 31, 2017 and is secured in senior rank on all assets of the borrower.

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CONVERTIBLE NOTES PAYABLE (Details)		6 Months Ended
		Aug. 31, 2017 USD ($) $ / shares	Feb. 28, 2017 USD ($)
Total convertible notes payable		$ 3,752,640	$ 365,000
Noncurrent convertible notes payable		(3,438,129)
Less: discount on noncurrent convertible notes payable		(247,626)
Noncurrent convertible notes payable, net of discount		66,885	365,000
Current portion of convertible notes payable		3,438,129
Less: discount on current portion of convertible notes payable		(1,826,698)
Current portion of convertible notes payable, net of discount		$ 1,611,431
7% Convertible Note Due February 26, 2013 [Member]
Issuance date	[1]	Feb. 28, 2011
Conversion rate per share | $ / shares	[1]	$ 0.015
Total convertible notes payable	[1]	$ 32,600
10% Convertible Note Due February 28, 2017 [Member]
Issuance date	[1]	Jan. 31, 2013
Conversion rate per share | $ / shares	[1]	$ 0.010
Total convertible notes payable	[1]	$ 119,091
10% Convertible Note Due November 30, 2016 [Member]
Issuance date	[1]	May 31, 2013
Conversion rate per share | $ / shares	[1]	$ 0.010
Total convertible notes payable	[1]	$ 261,595
10% Convertible Note Due November 30, 2017 [Member]
Issuance date		Nov. 30, 2013
Conversion rate per share | $ / shares		$ 0.010
Total convertible notes payable		$ 337,958
10% Convertible Note Due November 30, 2016 [Member]
Issuance date	[1]	Aug. 31, 2014
Conversion rate per share | $ / shares	[1]	$ 0.002
Total convertible notes payable	[1]	$ 355,652
10% Convertible Note Due November 30, 2016 [Member]
Issuance date	[1]	Nov. 30, 2014
Conversion rate per share | $ / shares	[1]	$ 0.002
Total convertible notes payable	[1]	$ 103,950
10% Convertible Note Due February 28, 2017 [Member]
Issuance date	[1]	Feb. 28, 2015
Conversion rate per share | $ / shares	[1]	$ 0.001
Total convertible notes payable	[1]	$ 63,357
10% Convertible Note Due August 31, 2017 [Member]
Issuance date		May 31, 2015
Conversion rate per share | $ / shares		$ 1.000
Total convertible notes payable		$ 65,383
10% Convertible Note Due August 31, 2017 [Member]
Issuance date		Aug. 31, 2015
Conversion rate per share | $ / shares		$ 0.300
Total convertible notes payable		$ 91,629
10% Convertible Note Due November 30, 2018 [Member]
Issuance date		Nov. 30, 2015
Conversion rate per share | $ / shares		$ 0.300
Total convertible notes payable		$ 269,791
10% Convertible Note Due February 28, 2019 [Member]
Issuance date		Feb. 29, 2016
Percentage of conversion rate discount	[2]	0.60
Total convertible notes payable		$ 95,245
10% Convertible Note Due May 31, 2019 [Member]
Issuance date		May 31, 2016
Conversion rate per share | $ / shares		$ 0.003
Total convertible notes payable		$ 35,100
10% Convertible Note Due July 18, 2017 [Member]
Issuance date		Jul. 18, 2016
Conversion rate per share | $ / shares		$ 0.003
Total convertible notes payable		$ 3,500
8% Convertible Note Due December 31, 2020 [Member]
Issuance date		Dec. 31, 2016
Percentage of conversion rate discount	[2]	0.35
Total convertible notes payable		$ 65,000	65,000
8% Convertible Note Due January 15, 2021 [Member]
Issuance date		Jan. 15, 2017
Percentage of conversion rate discount	[2]	0.35
Total convertible notes payable		$ 50,000	50,000
8% Convertible Note Due January 15, 2021 [Member]
Issuance date		Jan. 15, 2017
Percentage of conversion rate discount	[2]	0.35
Total convertible notes payable		$ 100,000	100,000
8% Convertible Note Due January 16, 2020 [Member]
Issuance date		Jan. 16, 2017
Percentage of conversion rate discount	[2]	0.35
Total convertible notes payable		$ 150,000	150,000
8% Convertible Note Due March 8, 2018 [Member]
Issuance date		Mar. 08, 2017
Percentage of conversion rate discount	[2]	0.40
Total convertible notes payable		$ 50,000
10% Convertible Note Due March 8, 2017 [Member]
Issuance date		Mar. 08, 2017
Percentage of conversion rate discount	[2]	0.40
Total convertible notes payable		$ 100,000
8% Convertible Note Due March 9, 2020 [Member]
Issuance date		Mar. 09, 2017
Percentage of conversion rate discount	[2]	0.35
Total convertible notes payable		$ 50,000
8% Convertible Note Due March 21, 2018 [Member]
Issuance date		Mar. 21, 2017
Percentage of conversion rate discount	[2]	0.40
Total convertible notes payable		$ 40,000
10% Convertible Note Due December 4, 2017 [Member]
Issuance date		Apr. 04, 2017
Percentage of conversion rate discount	[2]	0.40
Total convertible notes payable		$ 12,066
15% Convertible Note Due April 19, 2018 [Member]
Issuance date		Apr. 19, 2017
Percentage of conversion rate discount	[2]	0.50
Total convertible notes payable		$ 96,250
8% Convertible Note Due January 30, 2018 [Member]
Issuance date		Apr. 20, 2017
Percentage of conversion rate discount	[3]	0.40
Total convertible notes payable		$ 28,000
0% Convertible Note Due April 26, 2018 [Member]
Issuance date		Apr. 26, 2017
Conversion rate per share | $ / shares		$ 0.001
Total convertible notes payable		$ 68
8% Convertible Note Due May 1, 2021 [Member]
Issuance date		May 01, 2017
Percentage of conversion rate discount	[2]	0.35
Total convertible notes payable		$ 50,000
8% Convertible Note Due May 4, 2018 [Member]
Issuance date		May 04, 2017
Percentage of conversion rate discount	[2]	0.40
Total convertible notes payable		$ 150,000
0% Convertible Note Due May 15, 2018 [Member]
Issuance date		May 15, 2017
Conversion rate per share | $ / shares		$ 0.001
Total convertible notes payable		$ 1,280
10% Convertible Note Due May 17, 2020 [Member]
Issuance date		May 17, 2017
Percentage of conversion rate discount	[3]	0.40
Total convertible notes payable		$ 85,000
8% Convertible Note Due June 7, 2018 [Member]
Issuance date		Jun. 07, 2017
Percentage of conversion rate discount	[2]	0.40
Total convertible notes payable		$ 200,000
0% Convertible Note Due June 16, 2018 [Member]
Issuance date		Jun. 16, 2017
Conversion rate per share | $ / shares		$ 0.001
Total convertible notes payable		$ 750
8% Convertible Note Due July 6, 2018 [Member]
Issuance date		Jul. 06, 2017
Percentage of conversion rate discount	[2]	0.40
Total convertible notes payable		$ 200,000
8% Convertible Note Due August 8, 2018 [Member]
Issuance date		Aug. 08, 2017
Percentage of conversion rate discount	[2]	0.40
Total convertible notes payable		$ 125,000
15% Convertible Note Due July 28, 2018 [Member]
Issuance date		Jul. 28, 2017
Percentage of conversion rate discount	[2]	0.50
Total convertible notes payable		$ 116,875
15% Convertible Note Due August 29, 2018 [Member]
Issuance date		Aug. 29, 2017
Percentage of conversion rate discount	[2]	0.50
Total convertible notes payable		$ 247,500

[1] The indicated notes were in default as of August 31, 2017 and bear default interest of between 18% and 25% per annum.

[2] The notes are accounted for and evaluated under ASC 480 as discussed in Note 3.

[3] The note is convertible beginning six months after the date of issuance.

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CONVERTIBLE NOTES PAYABLE (Details Narrative) - USD ($)	1 Months Ended	3 Months Ended	6 Months Ended
	Aug. 31, 2016	Aug. 31, 2017	Aug. 31, 2017	Feb. 28, 2017
Debt discount recognized from derivative liabilities		$ 565,000	$ 565,000
Amortization of discount on convertible note payable		0	0
Proceeds from convertible promissory note			200,000
Current accrued interest payable		548,066	548,066
Noncurrent accrued interest payable		85,264	85,264
Accrued interest payable		$ 633,330	$ 633,330
Number of common stock shares canceled			600,000
Debt conversion amount converted			$ 76,009
Convertible notes payable [Member]
Debt conversion amount converted			$ 600

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RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)	1 Months Ended	6 Months Ended
	Aug. 31, 2016	Aug. 31, 2017	Feb. 28, 2017
Related Party Transactions Details Narrative
Net borrowings on loan payable - related party	$ 2,490	$ 23,262
Loan payable - related party		119,791	$ 62,529
Consulting fees for research and development		$ 56,230

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OTHER DEBT - VEHICLE LOAN (Details Narrative) - Robotic Assistance Devices, LLC ("RAD") [Member] - Vehicle Loan [Member] - USD ($)	1 Months Ended	6 Months Ended
	Dec. 31, 2016	Aug. 31, 2017	Feb. 28, 2017
Vehicle loan secured by automobile	$ 47,704
Term of debt	5 years
Payment of debt interest and principal	$ 1,019
Principal repayment of debt		$ 3,903
Total vehicle loan		42,131	$ 46,034
Current portion vehicle loan		8,230	7,900
Long-term vehicle loan		$ 33,901	$ 38,134

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DERIVATIVE LIABILITES (Details) - $ / shares	5 Months Ended
	Aug. 01, 2017	Aug. 31, 2017
Fair value of Company common stock		$ 0.17
Dividend yield	0.00%
Minimum [Member]
Strike price		0.001
Dividend yield	65.00%
Risk free interest rate	1.01%
Expected term (years)	3 months 3 days
Maximum [Member]
Strike price		$ 1.00
Dividend yield	85.00%
Risk free interest rate	1.57%
Expected term (years)	4 years

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DERIVATIVE LIABILITES (Details 1) - USD ($)	1 Months Ended	3 Months Ended	6 Months Ended
	Aug. 31, 2016	Aug. 31, 2017	Aug. 31, 2017
Derivative liability in excess of face value of debt recorded to interest expense			$ 2,823,125
Debt discount due to derivative liabilities		$ 565,000	565,000
Balance as of August 31, 2017		11,672,321	11,672,321
Fair Value, Measurements, Recurring [Member] | Level 3 [Member]
Addition of derivative liability pursuant to reverse recapitalization			9,035,437
Derivative liability in excess of face value of debt recorded to interest expense			2,823,125
Debt discount due to derivative liabilities			565,000
Change in fair value of derivative liabilities			(751,241)
Balance as of August 31, 2017		$ 11,672,321	$ 11,672,321

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DERIVATIVE LIABILITES (Details Narrative) - USD ($)	Aug. 31, 2017	Feb. 28, 2017
Derivative Liabilites Details Narrative
Derivative liabilities	$ 11,672,321

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SHAREHOLDERS' EQUITY (DEFICIT) (Details Narrative)	6 Months Ended
	Aug. 31, 2017 USD ($) shares
Number of common stock shares issued | shares	76,008,764
Debt conversion amount converted | $	$ 76,009
Number of common stock shares canceled | shares	600,000
Series E Preferred Stock [Member]
Number of shares issued | shares	1,000,000
Value of shares issued | $	$ 1,000
Series F Convertible Preferred Stock [Member]
Number of shares issued | shares	1,000
Value of shares issued | $	$ 1,000
Warrant [Member]
Number of shares issued | shares	8,922,279
Value of shares issued | $	$ 8,922
Convertible notes payable [Member]
Debt conversion amount converted | $	$ 600

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COMMITMENTS AND CONTINGENCIES (Details)	Aug. 31, 2017 USD ($)
Commitments And Contingencies Details
August 31, 2018	$ 95,329
August 31, 2019	98,404
August 31, 2020	97,601
August 31, 2021	56,973
August 31, 2022 and thereafter	33,808
Total	$ 382,115

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COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($)	3 Months Ended	6 Months Ended
	Aug. 31, 2017	Aug. 31, 2017	Feb. 28, 2017
First installment down payment on purchase		$ 230,400
Second installment down payment on purchase		230,400
Security deposit	$ 25,747	25,747
Rent expense	16,317	26,222
Orange County, CALIFORNIA [Member]
Security deposit	25,747	$ 25,747
Rent lease expire		2022-03
Northern CALIFORNIA [Member]
Security deposit
Rent lease expire		2020-08
Percentager of lease cost paid by company		75.00%
Percentager of lease cost paid by supplier		25.00%

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SUBSEQUENT EVENTS (Details Narrative)

1 Months Ended

3 Months Ended

6 Months Ended

Apr. 09, 2018

USD ($)

shares

Mar. 14, 2018

USD ($)

$ / shares

shares

Mar. 01, 2018

USD ($)

Feb. 21, 2018

USD ($)

Jan. 30, 2018

USD ($)

Jan. 17, 2018

USD ($)

Jan. 05, 2018

USD ($)

$ / shares

shares

Dec. 29, 2017

USD ($)

Dec. 28, 2017

USD ($)

Nov. 22, 2017

USD ($)

Oct. 16, 2017

USD ($)

Oct. 02, 2017

USD ($)

Number

$ / shares

shares

Sep. 25, 2017

USD ($)

Sep. 12, 2017

USD ($)

Sep. 02, 2017

USD ($)

Mar. 31, 2018

USD ($)

Sep. 30, 2017

USD ($)

Aug. 31, 2017

USD ($)

Aug. 31, 2017

USD ($)

Amortization of discount on convertible note payable

$ 0

$ 0

Professional fees, per month

$ 56,230

Subsequent Event [Member]

Principal face amount

$ 123,000

Number of options issued | shares

23,016,667

Subsequent Event [Member] | 10% Convertible Note Due March 8, 2017 [Member]

Gain on settlement of debt

$ 84,507

Repayment of convertible promissory notes

72,762

Prepayment penalty and other

20,833

Repayment of debt prinicipal

50,000

Repayment of debt interest

$ 1,929

Subsequent Event [Member] | 6100864 Canada Inc [Member]

Debt & interest transferred

$ 346,958

Subsequent Event [Member] | 6100864 Canada Inc [Member] | Convertible Redeemable Note Due September 1, 2018 [Member]

Principal face amount

$ 300,000

Description of conversion terms

The note converts into units of the Company comprised of one share of common stock and a conversion price equal to the lower of 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion, or $0.005.

Gain on settlement of debt

$ 1,090,521

Subsequent Event [Member] | 6100864 Canada Inc [Member] | 15% Convertible Redeemable Note Due September 25, 2018 [Member]

Principal face amount

$ 398,750

Description of conversion terms

The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion.

Subsequent Event [Member] | 6100864 Canada Inc [Member] | 15% Convertible Redeemable Note Due September 25, 2018 [Member]

Principal face amount

$ 398,750

Description of conversion terms

The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion.

Proceeds from note

$ 290,000

Amortization of discount on convertible note payable

$ 108,750

Subsequent Event [Member] | 6100864 Canada Inc [Member] | Collateralized Secured Promissory Note [Member]

Description of collateral

The note was initially secured by the pledge of the $500,250, 15% convertible promissory note issued to 6100864 Canada Inc. by the Company on November 22, 2017.

The note was initially secured by the pledge of the $345,000, 15% convertible promissory note issued to 6100864 Canada Inc. by the Company on October 16, 2017.

The note was initially secured by the pledge of the $398,750, 15% convertible promissory note issued to 6100864 Canada Inc. by the Company on September 25, 2017.

Repayment of convertible promissory notes

$ 435,000

$ 300,000

$ 290,000

Subsequent Event [Member] | 6100864 Canada Inc [Member] | 15% Convertible Redeemable Note Due October 16, 2018 [Member]

Principal face amount

$ 345,000

Description of conversion terms

The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion.

Proceeds from note

$ 300,000

Amortization of discount on convertible note payable

45,000

Subsequent Event [Member] | 6100864 Canada Inc [Member] | 15% Convertible Redeemable Note Due October 16, 2018 [Member]

Principal face amount

$ 345,000

Description of conversion terms

The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion.

Subsequent Event [Member] | 6100864 Canada Inc [Member] | 15% Convertible Redeemable Note Due November 22, 2018 [Member]

Principal face amount

$ 500,250

Description of conversion terms

The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Corporation’s common stock for the last 40 trading days prior to conversion.

Proceeds from note

$ 435,000

Amortization of discount on convertible note payable

$ 65,250

Subsequent Event [Member] | 6100864 Canada Inc [Member] | 15% Convertible Redeemable Note Due November 22, 2018 [Member]

Principal face amount

$ 500,250

Description of conversion terms

The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion.

Subsequent Event [Member] | 6100864 Canada Inc [Member] | 15% Convertible Note Due December 29, 2018 [Member]

Principal face amount

$ 330,000

Description of conversion terms

The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion.

Proceeds from note

$ 330,000

Subsequent Event [Member] | 6100864 Canada Inc [Member] | 15% Convertible Note Due January 30, 2019 [Member]

Principal face amount

$ 300,000

Description of conversion terms

The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion.

Proceeds from note

$ 300,000

Subsequent Event [Member] | 6100864 Canada Inc [Member] | 15% Convertible Note Due February 21, 2019 [Member]

Principal face amount

$ 300,000

Description of conversion terms

The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion.

Proceeds from note

$ 300,000

Subsequent Event [Member] | 6100864 Canada Inc [Member] | 15% Convertible Note Due March 1, 2019 [Member]

Principal face amount

$ 95,000

Description of conversion terms

The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion.

Proceeds from note

$ 95,000

Subsequent Event [Member] | 6100864 Canada Inc [Member] | 15% Convertible Note Due April 9, 2019 [Member]

Principal face amount

$ 55,000

Description of conversion terms

The promissory note is convertible into units of the Company comprised of one share of common stock and one warrant to purchase a share of common stock with a three-year maturity and a conversion price equal to 50% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion.

Proceeds from note

$ 55,000

Subsequent Event [Member] | Power Up Lending Group LTD [Member] | 8% Convertible Note Due June 20, 2018 [Member]

Debt & interest transferred

$ 128,000

Description of conversion terms

Convert all or any part of the note into fully paid and non-assessable shares of common stock at 60% multiplied by the Market Price (representing a discount rate of 40%). “Market Price” means the average of the lowest three trading prices for the common stock during the 20 trading day period ending on the latest complete trading day prior to the conversion date.

Proceeds from note

$ 125,000

Amortization of discount on convertible note payable

$ 3,000

Subsequent Event [Member] | Power Up Lending Group LTD [Member] | 10% Convertible Note Due August 28, 2018 [Member]

Principal face amount

$ 55,000

Description of conversion terms

The promissory note is convertible into units of the Company comprised of one share of common stock at 40% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion.

Proceeds from note

$ 50,000

Amortization of discount on convertible note payable

$ 5,000

Subsequent Event [Member] | WeSecure Robotics, Inc [Member] | Director [Member]

Salary, per month

$ 8,000

Commission paid, per month

500

Subsequent Event [Member] | WeSecure Robotics, Inc [Member] | Consultant [Member]

Professional fees, per month

1,000

Commission paid, per month

$ 500

Subsequent Event [Member] | WeSecure Robotics, Inc [Member] | Director & Consultant [Member]

Number of options issued | shares

450,000

Options exericse price (in dollars per share) | $ / shares

$ 0.05

Vesting date

Oct. 02, 2021

Subsequent Event [Member] | WeSecure Robotics, Inc [Member] | Promissory Note [Member] | Asset Purchase Agreement [Member]

Principal face amount

$ 125,000

Number of installments | Number

5

Face amount individual value of installment

$ 25,000

Subsequent Event [Member] | Crown Bridge Partners, LLC [Member] | 10% Convertible Note Due January 5, 2019 [Member]

Principal face amount

$ 250,000

Description of conversion terms

The promissory note is convertible into common shares of the Company and a conversion price equal to 60% of the lowest trading price of the Company’s common stock for the last 25 trading days prior to conversion.

Proceeds from note

$ 225,000

Amortization of discount on convertible note payable

$ 25,000

Number of options issued | shares

333,333

Options exericse price (in dollars per share) | $ / shares

$ 0.15

Subsequent Event [Member] | Crown Bridge Partners, LLC [Member] | Convertible Note Due March 14, 2018 [Member]

Principal face amount

$ 50,000

Proceeds from note

43,000

Amortization of discount on convertible note payable

5,000

Debt conversion fee

$ 2,000

Subsequent Event [Member] | Crown Bridge Partners, LLC [Member] | Convertible Note Due March 14, 2018 [Member] | Warrant [Member]

Number of options issued | shares

333,333

Options exericse price (in dollars per share) | $ / shares

$ 0.15

Maturity term (in years)

3 years

Subsequent Event [Member] | Crown Bridge Partners, LLC [Member] | 10% Convertible Note Due March 14, 2019 [Member]

Principal face amount

$ 50,000

Description of conversion terms

The promissory note is convertible into units of the Company comprised of one share of common stock at 40% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion.

Proceeds from note

$ 43,000

Amortization of discount on convertible note payable

5,000

Debt conversion fee

$ 2,000

Subsequent Event [Member] | Morningview [Member] | 8% Convertible Note Due January 17, 2019 [Member]

Principal face amount

$ 83,500

Description of conversion terms

The promissory note is convertible into units of the Company comprised of one share of common stock at 40% of the lowest bid price of the Company’s common stock for the last 40 trading days prior to conversion.

Proceeds from note

$ 71,000

Amortization of discount on convertible note payable

7,500

Debt conversion fee

$ 4,000

Subsequent Event [Member] | Eagle Equities [Member] | Collateralized Secured Promissory Note [Member]

Description of collateral

Collateralized promissory note for $200,000 from Eagle Equities maturing June 7, 2018, bearing interest at 8%.

Repayment of convertible promissory notes

$ 120,000