0001376474-14-000031.txt : 20140214 0001376474-14-000031.hdr.sgml : 20140214 20140214092340 ACCESSION NUMBER: 0001376474-14-000031 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 9 CONFORMED PERIOD OF REPORT: 20131231 FILED AS OF DATE: 20140214 DATE AS OF CHANGE: 20140214 FILER: COMPANY DATA: COMPANY CONFORMED NAME: AMERICAN LASER HEALTHCARE Corp CENTRAL INDEX KEY: 0001534099 STANDARD INDUSTRIAL CLASSIFICATION: BLANK CHECKS [6770] IRS NUMBER: 453417732 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 000-54541 FILM NUMBER: 14611035 BUSINESS ADDRESS: STREET 1: 1 TECHNOLOGY DRIVE STREET 2: SUITE I-807 CITY: IRVINE STATE: CA ZIP: 92618 BUSINESS PHONE: 949-873-8899 MAIL ADDRESS: STREET 1: 1 TECHNOLOGY DRIVE STREET 2: SUITE I-807 CITY: IRVINE STATE: CA ZIP: 92618 FORMER COMPANY: FORMER CONFORMED NAME: BioLaser Technology Inc. DATE OF NAME CHANGE: 20120228 FORMER COMPANY: FORMER CONFORMED NAME: Amberwood Acquisition Corp DATE OF NAME CHANGE: 20111102 10-Q 1 alhc_10q.htm FORM 10-Q SECURITIES AND EXCHANGE COMMISSION             

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

[X]    QUARTERLY REPORT UNDER SECTION 13 O R 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended December 31, 2013

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

For the transition period from ................................to ...............................

Commission file number 000-54541

AMERICAN LASER HEALTHCARE CORPORATION

(Exact name of registrant as specified in its charter)


Delaware

00-0000000

(State or other jurisdiction of
incorporation or organization)

(I.R.S. Employer
Identification No.)


1 Technology Drive, Suite I-807

Irvine, California 92618

(Address of principal executive offices) (zip code)

949-873-8899

(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 is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of "large accelerated filer," "accelerated filer" and "smaller reporting company" in Rule 12b-2 of the Exchange Act.


Large accelerated filer

Accelerated Filer

Non-accelerated filer
(do not check if smaller reporting company)

Smaller reporting company [X]



Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes [X]       No [ ]

Indicate the number of shares outstanding of each of the issuer's classes of stock, as of the latest practicable date.


Class

Outstanding at January 28, 2014

Common Stock, par value $0.0002

9,349,500


Documents incorporated by reference:

None



1





Table of Contents

 

 

 

 

 

 

 

 

 

 

 

 

 

PART I - FINANCIAL INFORMATION

 

 

Item 1.

Financial Statements

3

 

 

Balance Sheets as of December 31, 2013 (Unaudited) and September 30, 2013

3

 

 

Statements of Operations for the Three Months Ended December 31, 2013 and 2012 (Unaudited)

4

 

 

Statements of Cash Flows for the Three Months Ended December 31, 2013 and 2012 (Unaudited)

5

 

 

Notes to Financial Statements

6

 

Item 2.

Management’s Discussion and Analysis of Financial Condition and Results of Operations 11

11

 

Item 3.

Quantitative and Qualitative Disclosures about Market Risk

12

 

Item 4.

Controls and Procedures

12

PART I I - OTHER INFORMATION

 

 

Item 1.

Legal Proceedings

13

 

Item 2.

Risk Factors

13

 

Item 3.

Unregistered Sales of Equity Securities and Use of Proceeds

13

 

Item 4.

Defaults upon Senior Securities

13

 

Item 6.

Other Information

13

 

Item 7.

Subsequent Events

13

 

Item 8

Exhibits

13

SIGNATURES

14





2




PART I – FINANCIAL INFORMATION


Item 1. Financial Statements





American Laser Healthcare Corporation

Balance Sheets

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31,

 

September 30,

 

2013

 

2013

 

(Unaudited)

 

 

ASSETS

 

 

 

 

 

Current Assets

 

 

 

 

 

Cash

$

 65,379

 

$

 30,915

Accounts receivable

 

 77,160

 

 

 35,000

Inventories

 

 15,057

 

 

 13,667

Prepaid expenses

 

 11,024

 

 

 10,186

 Total current assets

 

 168,620

 

 

 89,768

Furniture and office equipment, net

 

 24,143

 

 

 26,875

Intangible assets, net

 

 13,750

 

 

 14,000

Deposits

 

 6,099

 

 

 9,002

 Total long-term assets

 

 43,992

 

 

 49,877

TOTAL ASSETS

$

 212,612

 

$

 139,645

 

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS’ DEFICIT

 

 

 

 

 

Current liabilities

 

 

 

 

 

Accounts payable

$

 116,854

 

$

 34,180

Accrued bonus

 

 95,000

 

 

 95,000

Accrued liabilities

 

 -

 

 

 16,041

Promissory note payable

 

 200,000

 

 

 200,000

Interest payable

 

 10,750

 

 

 9,250

Total current liabilities

 

 422,604

 

 

 354,471

Stockholders’ deficit

 

 

 

 

 

Preferred stock, $0.0001 par value, 20,000,000 shares authorized; none issued and none outstanding as of December 31, 2013 and September 30, 2013

 

 -

 

 

 -

Common stock, $0.0002 par value, 100,000,000 shares authorized; 9,299,500 shares issued and outstanding at December 31, 2013 and September 30, 2013 (1)

 

 1,860

 

 

 1,860

Additional paid-in capital

 

 640,326

 

 

 640,326

Accumulated deficit

 

 (852,178)

 

 

 (857,012)

Total stockholders’ deficit

 

 (209,992)

 

 

 (214,826)

TOTAL LIABILITIES AND STOCKHOLDERS’ DEFICIT

$

 212,612

 

$

 139,645


(1)

All common shares amounts and per share amounts in these financial statements reflect the one-for-ten reverse stock split of the issued and outstanding shares of common stock of the Company, effective April 11, 2013; and the five-for-one stock split of the issued and outstanding shares of common stock of the Company, effective April 28, 2012, including retroactive adjustment of common share amounts.



The accompanying notes are an integral part of the financial statements




3





American Laser Healthcare Corporation

Statements of Operations

(Unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months

 

Ended December 31,

 

2013

 

2012

 

 

 

 

 

Sales

$

 232,435

 

$

 -

 

Cost of sales

 

 133,399

 

 

 -

 

Gross Profit

 

 99,036

 

 

 -

 

 

 

 

 

 

 

 

Operating expenses

 

 

 

 

 

 

 General and administrative

 

83,711

 

 

88,368

 

 Research and development

 

 8,900

 

 

 22,718

 

Total operating expenses

 

92,611

 

 

111,086

 

 

 

 

 

 

 

 

Income (loss) from operations

 

6,425

 

 

(111,086)

 

 

 

 

 

 

 

 

Other income (expense)

 

 

 

 

 

 

 Other income

 

 -

 

 

 15,000

 

 Interest expense

 

 (1,591)

 

 

 (1,357)

 

Total other income (expense)

 

 (1,591)

 

 

 13,643

 

 

 

 

 

 

 

 

Income (loss) before income taxes

 

4,834

 

 

(97,443)

 

 

 

 

 

 

 

 

Income taxes

 

 -

 

 

 -

 

 

 

 

 

 

 

 

Net income (loss)

$

4,834

 

$

(97,443)

 

 

 

 

 

 

 

 

Earnings (loss) per common share-basic and diluted

$

0.00

 

$

(0.01)

 

 

 

 

 

 

 

 

Weighted average number of common shares

 

 

 

 

 

 

 outstanding-basic and diluted

 

 9,299,500

 

 

 9,037,179

 



The accompanying notes are an integral part of the financial statements




4





American Laser Healthcare Corporation

Statements of Cash Flows

(Unaudited)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months

 

Ended December 31,

 

2013

2012

OPERATING ACTIVITIES

 

 

 

 

Net income (loss)

$

 4,834

$

 (97,443)

 Adjustments to reconcile net income (loss) to net cash provided by

 

 

 

 

 (used in) operating activities

 

 

 

 

Depreciation and amortization

 

 2,982

 

 426

Security deposit in lieu of rent expenses

 

 2,903

 

 -

Change in operating assets and liabilities

 

 

 

 

Accounts receivable

 

 (42,160)

 

 -

Inventory

 

 (1,390)

 

 (31,880)

Prepaid expenses

 

 (838)

 

 (8,985)

Interest payable

 

 1,500

 

 1,574

Accounts payable

 

 82,674

 

 14,500

Accrued liabilities

 

 (16,041)

 

 23,252

Net cash provided by (used in) operating activities

 

 34,464

 

 (98,556)

INVESTING ACTIVITIES

 

 

 

 

Purchase of fixed assets

 

 -

 

 (3,464)

Net cash used in investing activities

 

 -

 

 (3,464)

FINANCING ACTIVITIES

 

 

 

 

Proceeds from issuance of promissory notes

 

 -

 

 11,000

Proceeds from issuance of common stock and

 

 

 

 

 stockholders' additional paid-in capital

 

 -

 

 87,500

Proceeds from common stock issuable

 

 -

 

 (67,500)

Net cash provided by financing activities

 

 -

 

 31,000

Net increase (decrease) in cash

 

 34,464

 

 (71,020)

Cash at beginning of period

 

 30,915

 

 71,824

Cash at end of period

$

 65,379

$

 804

 Supplemental disclosure of cash flow information

 

 

 

 

 Cash paid for:

 

 

 

 

 Interest

$

 -

$

 -

 Taxes

$

 -

$

 -

 Non-cash transactions:

 

 

 

 

Security deposit applied to facility rent

$

 2,903

$

 -



The accompanying notes are an integral part of the financial statements




5





American Laser Healthcare Corporation

Notes to Financial Statements

(Unaudited)



Note 1: Basis of Presentation


The accompanying unaudited interim condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information and the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements. In the opinion of management, all adjustments (consisting only of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three-month period ended December 31, 2013 are not necessarily indicative of the results that may be expected for the full fiscal year. For further information, refer to the financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended September 30, 2013.


Nature of Operations

 

American Laser Healthcare Corporation (“ALHC” or “the Company”) was incorporated on September 21, 2011 under the laws of the State of Delaware to engage in any lawful corporate undertaking, including, but not limited to, selected mergers and acquisitions. The Company is an SEC reporting company that intends to improve health and wellness by providing access to innovative diagnostics and treatment for patients with pain and other common medical conditions. The Company plans to do this by creating and managing a profitable medical device product development business coupled with a healthcare service business that provides a protocol and pathway for the adoption and implementation of Low Level Light Therapy (LLLT).

 

The Company possesses an FDA cleared device with patented methodology, the MB Bioenergy Light Therapy System, and insurance reimbursement codes to allow payment for treatment.

 

On August 1, 2012, the Company offered a Private Placement Offering Memorandum (PPM) of 1,000,000 shares of common stock at $1.00 per share for an aggregate of $1,000,000, and through December 31, 2013, has received $339,500 in stock subscriptions.

 

Basis of Presentation

 

The summary of significant accounting policies presented below is designed to assist in understanding the Company's financial statements. Such financial statements and accompanying notes are the representations of the Company's management, who are responsible for their integrity and objectivity. These accounting policies conform to accounting principles generally accepted in the United States of America ("GAAP") in all material respects, and have been consistently applied in preparing the accompanying financial statements.

 

Use of Estimates

 

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates.

 

Concentration of Risk

 

Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash. The Company places its cash with high quality banking institutions. From time to time, the Company maintains cash balances at certain institutions in excess of the Federal Deposit Insurance Corporation limit.

 



6




Income Taxes

 

Under ASC 740, "Income Taxes", deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Valuation allowances are established when it is more likely than not that some or all of the deferred tax assets will not be realized.


Inventories


Inventories are stated at cost. Cost is determined using the first-in, first-out method (FIFO). All inventories are finished units and accessories for the units.


Furniture and Office Equipment


Furniture, office equipment, machinery and equipment are stated at cost. Depreciation is calculated on the straight-line method over the estimated useful lives of 3 years of the assets.


Loss per Common Share

 

The Company has adopted ASC 260 “Earnings Per Share”. Basic loss per common shares excludes dilution and is computed by dividing net loss by the weighted average number of common shares outstanding during the period. Diluted loss per common share reflect the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the loss of the entity. As of December 31, 2013 and September 30, 2013, there are no outstanding dilutive securities.


Revenue Recognition


Revenue is recognized when the following criteria have been met: (1) persuasive evidence of an arrangement exists; (2) delivery has occurred or services have been rendered, and the customer takes ownership and assumes risk of loss; (3) the seller’s price to the buyer is fixed or determinable; and (4) collection is reasonably assured. The Company has generated $232,435 and $0 in revenues for the three months ended December 31, 2013 and 2012, respectively.


Allowance for Doubtful Accounts.


The Company does not require collateral from its customers with respect to accounts receivable. The Company determines any required allowance by considering a number of factors, including the terms for each customer, and the length of time accounts receivable are outstanding. Management provides an allowance for accounts receivable whenever it is evident that they become uncollectible. The Company has determined that no allowance for doubtful accounts was required at December 31, 2013 and September 30, 2013.


Share-Based Compensation


The Company follows the provisions of ASC 718, Share-Based Payment, which requires all share-based payments to employees and non-employees to be recognized in the income statement based on their fair values. The Company uses the Black-Scholes pricing model for determining the fair value of share-based compensation.



Note 2: Going Concern


The Company has sustained a cumulative net loss and accumulated deficit of $852,178, since inception of the Company on September 21, 2011. The Company's continuation as a going concern is dependent on its ability to



7




generate sufficient cash flows from operations to meet its obligations, which it has not been able to accomplish to date, and /or obtain additional financing from its stockholders and/or other third parties.

 

Management plans to raise additional funds for operations through a private placement that is ongoing and through December 31, 2013, the Company has raised $339,500, including $26,000 proceeds from conversion from two notes payable. The private placement is for up to $1,000,000. In addition, the Company has generated $232,435 in revenues through the sales of LLLT machines during the three months ended December 31, 2013.


These financial statements have been prepared on a going concern basis, which assumes the Company will continue its operations. The continuation of the Company as a going concern is dependent upon financial support from its stockholders, the ability of the Company to obtain necessary equity financing to continue operations, successfully locating and negotiate with a business entity for the combination of that target company with the Company.

 

There is no assurance that the Company will ever be profitable. The 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 should the Company be unable to continue as a going concern.


Note 3: Recent Accounting Pronouncements


We do not expect the adoption of recently issued accounting pronouncement to have a significant impact on our results of operations, financial position or cash flow.


Note 4: Inventories


As of December 31, 2013, the Company has finished goods in inventories of $14,597 for medical devices and of $460 in accessories for the medical devices. 


Note 5: Prepaid Expenses


Prepaid expenses of $10,000 are for legal fees, $186 for insurance and $838 for workers compensation insurance.


Note 6: Intangible Assets


The Company owns a patent with a book value at the acquisition date of $15,000. The patent was acquired in the period ending September 30, 2012 and is being amortized over 16 years at a monthly amortization expense of $78. Accumulated amortization at December 31, 2013 was $1,250.

Note 7: Research and Development Expenses


The Company incurred research and development expenses of $8,900 and $22,718 for the three months ended December 31, 2013 and 2012, respectively. These expenses consisted of engineering and software development costs in updating the MB Bioenergy Light Therapy System to a touch screen display model.


Note 8: Stock Issuance


There were no stock issuances during the three months ended December 31, 2013.


Note 9: Warrants Issuance


There were no warrant issuances during the three months ended December 31, 2013.


Note 10: Related Party Transactions


There were no related party transactions during the three months ended December 31, 2013.





8




Note 11: Notes Payable


The Company has a short-term unsecured note of $100,000 with a 6% annual interest rate, dated March 16, 2012, which was renewed through March 16, 2014. Principal and accrued interest is due on March 16, 2014. This note is convertible to 100,000 common shares at the conversion price of $1.00 per share after April 11, 2013. Interest expense for the three months ended December 31, 2013 and 2012 totaled 1,591and $1,357, respectively.


On January 2, 2013, the Company entered into a Valued Added Reseller (VAR) agreement with Amest Corporation located in Rancho Santa Margarita, California. Amest Corporation is engaged in the manufacturing and servicing of medical equipment under a US FDA 510K clearance, with registration number K030275. As agreed, Amest Corporation would transfer the manufacturing and servicing rights under the FDA clearance to the Company. The Company is currently in the process of that transfer. In exchange, the Company will pay cash or issue a $100,000 promissory note to Amest Corporation. The VAR agreement shall expire in one year and is automatically renewed for an additional one year, and can be cancelled by either party with a 30 days notification. The Company will also purchase products from Amest Corporation and will re-label, re-sell or distribute such products with the Company's name. Amest is currently the sole supplier to the Company, and the Company effectively has the exclusive right to purchase these products from Amest as the Company has the US patent related to these products. A promissory note in an amount of $100,000 was issued to Amest Corporation prior to the completion of the transfer.


Based on the terms of the VAR agreement, the note payable to Amest Corporation was due in full as of December 31, 2013. As of the date of this filing, the note has not been paid and the Company is in negotiations with Amest Corporation to extend the term of the note and implement a monthly payment plan to pay down the balance.


Note 12: Commitments and Contingencies


Liabilities for loss contingencies arising from claims, assessments, litigation, fines, and penalties and other sources are recorded when it is probable that a liability has been incurred and the amount can be reasonably estimated. Legal costs incurred in connection with loss contingencies are expensed as incurred. As of December 31, 2013, the Company has no contingent liability that is required to be recorded.


Legal


The Company is named in a lawsuit entitled Cadovimex-USA GJ Trade Corporation v. ALH, et. al., pending in Orange County Superior Court, case number 30-2013-00676455-CU-FR.CJC. In the lawsuit it is alleged that the Company conspired with others to defraud a creditor of a California corporation called Mac Beam, Inc. It is alleged that the Company received all property of Mac Beam, Inc. without paying compensation for it, and that the purpose of the transfer was to render Mac Beam, Inc. unable to pay a judgment held against it by Cadovimex-USA GJ Trade Corp. Thus, as relevant to the Company, Cardovimex-USA GJ Trade Corp seeks to hold the Company liable for the amount of the aforementioned judgment, general, special and punitive damages, costs and attorney’s fees.


However, the underlying judgment was fully reversed by Division Three of the Fourth District Court of Appeal of California on December 13, 2013 in a non-published decision, case number G047387. Accordingly, it is anticipated that the current claims will eventually be dismissed because once the Appellate Court decision becomes final for all purposes and the remittitur issues, there will no longer be a judgment to enforce. Barring matters such as Cadovimex-USA GJ Trade Corp seeking review by the California Supreme Court, it is anticipated that the decision will become final in February of 2014.


Note 13: Lease Agreement


The Company entered a lease agreement with Irvine Company to lease an office unit located in Irvine, California, effective November 5, 2012. The lease term was one year with monthly lease payment of $2,904. The Company incurred rent expense of $9,074 and $8,221 for the three months ended December 31, 2013 and 2012, respectively. The lease was renewed for an additional one year through October 31, 2014 at a monthly rate of $2,989. The lease is subject to renew upon expiration. In accordance with the lease terms, the Company made a security deposit that totaled $9,002. A portion of the security deposit in the amount of $2,903 was applied to facility rent for the month of October 2013.



9





Note 14: Subsequent Events


On January 10, 2014, the Company received $50,000 through a Private Placement Offering. The common shares were issued at a price of $1.00 per share for a total of 50,000 common shares.





10





Item 2: Management Discussion and Analysis of Financial Condition and Results of Operations


Executive Overview


American Laser Healthcare Corporation (“ALHC” or “the Company”) was incorporated on September 21, 2011 under the laws of the State of Delaware to engage in any lawful corporate undertaking, including, but not limited to, selected mergers and acquisitions. The Company intends to improve health and wellness by providing access to innovative diagnostics and treatment for patients with pain and other common medical conditions. The Company plans to do this by creating and managing a profitable medical device product development business coupled with a healthcare service business that provides a protocol and pathway for the adoption and implementation of Low Level Light Therapy (LLLT).

 

The Company possesses a patent to an FDA cleared device with patented methodology, the MB Bioenergy Light Therapy System, and insurance reimbursement codes to allow payment for unattended treatment.


In addition, two models of the MB Bioenergy Light Therapy System are developed and ready to sell to nursing homes and in-home-health-services providers domestically. The Company started sales preparations in November, 2012, including marketing materials. The company’s focus is on nursing homes that currently bill for pain management services. The Company will also market its products to the in-home healthcare service providers where reimbursement for pain management is somewhat less limited.


Liquidity and Capital Resources


Our cash balance at December 31, 2013 was $65,379. Management does not believe our cash balance will be enough to fund operations for the next twelve months, and as such the Company is looking to raise additional funds of $1,000,000 through either borrowing or equity raises including a private placement operations until we begin to generate more significant revenue from operations.


There was no cash provided by financing activities for the three months ended December 31, 2013.


The Company has two short-term notes in amounts of $100,000 due March 16, 2014 and $100,000 due December 31, 2013. The principle and interest payments for the three notes are accrued on a monthly basis. As of the date of this filing, the note payable due on December 31, 2013 has not been paid and the Company is in negotiations with the note holder to extend the term of the note and implement a monthly payment plan to pay down the balance.


Our financial statements for the three months ended December 31, 2013 include an explanatory paragraph relating to our ability to continue as a going concern. Based on the Company recently exiting the development stage and beginning to generate revenues, we are optimistic about our ability to obtain sales orders and/or additional equity or debt financing to continue to support planned operations and satisfy obligations.


Results of Operations


We have recently exited our development stage and have generated revenues of $232,435 and $0 for the three months ended December 31, 2013 and 2012, respectively.


We incurred operating expenses of $92,611 and $111,086 for the three months ended December 31, 2013 and 2012, respectively. These expenses consisted of general and administrative expenses, professional fees, salaries, and research and development expenses incurred in connection with the day to day operation of our business. Our net income for the three months ended December 31, 2013 was $4,834. Our net loss for the three months ended December 31, 2012 was $97,443.


Off- Balance Sheet Arrangements


We have no off-balance sheet arrangements.



11





Commitments and Contingent Liabilities


Liabilities for loss contingencies arising from claims, assessments, litigation, fines, and penalties and other sources are recorded when it is probable that a liability has been incurred and the amount can be reasonably estimated. Legal costs incurred in connection with loss contingencies are expensed as incurred. As of December 31, 2013, the Company has no contingent liability that is required to be recorded.



Item 3: Quantitative and Qualitative Disclosures About Market Risk


Not applicable



Item 4: Controls and Procedures


Evaluation of Disclosure Controls and Procedures


Based on their evaluation of our disclosure controls and procedures(as defined in Rule 13a-15e under the Securities Exchange Act of 1934 the "Exchange Act"), our principal executive officer and principal financial officer have concluded that as of the end of the period covered by this quarterly report on Form 10-Q such disclosure controls and procedures were not effective to ensure that information required to be disclosed by us in reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in Securities and Exchange Commission rules and forms because of the identification of a material weakness in our internal control over financial reporting which we view as an integral part of our disclosure controls and procedures. The material weakness relates to the lack of segregation of duties in financial reporting, as our financial reporting and all accounting functions are performed by an external consultant with no oversight by a professional with accounting expertise. Our CEO does not possess accounting expertise and our company does not have an audit committee. This weakness is due to the company’s lack of working capital to hire additional staff. To remedy this material weakness, we intend to engage another accountant to assist with financial reporting as soon as our finances will allow.


Changes in Internal Control over Financial Reporting


Except as noted above, there have been no changes in our internal control over financial reporting identified in connection with the evaluation required by paragraph (d) of Exchange Act Rules 13a-15 or 15d-15 that occurred during our first quarter that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.


Internal Control over Financial Reporting


Management is responsible for establishing and maintaining adequate internal control over financial reporting for the Company. As of December 31, 2013and September 30, 2013, the Company had identified deficiencies in internal controls that constituted material weaknesses in internal controls. Due to these material weaknesses, management concluded that internal controls over financial reporting as of December 31, 2013 and September 30, 2013 were ineffective, based on COSO’s framework.




12





Part II – OTHER INFORMATION



Item 1: Legal Proceedings


The Company is named in a lawsuit entitled Cadovimex-USA GJ Trade Corporation v. ALH, et. al., pending in Orange County Superior Court, case number 30-2013-00676455-CU-FR.CJC. In the lawsuit it is alleged that the Company conspired with others to defraud a creditor of a California corporation called Mac Beam, Inc. It is alleged that the Company received all property of Mac Beam, Inc. without paying compensation for it, and that the purpose of the transfer was to render Mac Beam, Inc. unable to pay a judgment held against it by Cadovimex-USA GJ Trade Corp. Thus, as relevant to the Company, Cardovimex-USA GJ Trade Corp seeks to hold the Company liable for the amount of the aforementioned judgment, general, special and punitive damages, costs and attorney’s fees.


However, the underlying judgment was fully reversed by Division Three of the Fourth District Court of Appeal of California on December 13, 2013 in a non-published decision, case number G047387. Accordingly, it is anticipated that the current claims will eventually be dismissed because once the Appellate Court decision becomes final for all purposes and the remittitur issues, there will no longer be a judgment to enforce. Barring matters such as Cadovimex-USA GJ Trade Corp seeking review by the California Supreme Court, it is anticipated that the decision will become final in February of 2014.


Item 1A: Risk Factors


There have been no material changes to American Laser Healthcare Corporation’s risk factors as previously disclosed in our most recent 10-K filing for the fiscal year ending September 30, 2013.


Item 2: Unregistered Sales of Equity Securities and Use of Proceeds


There have been no unregistered sales of equity securities during the three months ended December 31, 2013.


Item 3: Defaults upon Senior Securities


None


Item 5: Other Information


None



Item 6: Exhibits



List of Exhibits


31.1 Certification

32.1 Certification of Chief Executive Officer

101 XBRL exhibits




13





Signatures



Pursuant to the requirements of Section 13 or 15(d) 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.




 

 

AMERICAN LASER HEALTHCARE CORPORATION

 

 

 

 

 

By: /s/ David Janisch

 

 

Chief Executive Officer and Principal Accounting Officer

 

 

 

 

 

 








February 14, 2014




14



EX-31.1 2 alhc_ex31z1.htm CERTIFICATION Certification

EXHIBIT 31.1



Certification Pursuant to Section 302 of the Sarbanes-Oxley Act


I, David Janisch, certify that:

 

 

 

1.

I have reviewed this report on Form 10-Q of American Laser Healthcare Corporation;


 

 

2.

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


 

 

3.

Based on my knowledge, the schedules of investments included in this report fairly present in all material respects the investments of the registrant as of the end of the fiscal quarter for which the report is filed;


 

 

4.

The small business issuer’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have:


 

 

 

 

(a)

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


 

 

 

 

(b)

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


 

 

 

 

(c)

Evaluated the effectiveness of the small business issuer’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report, based on such evaluation; and


 

 

 

 

(d)

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


 

 

 

5.

The small business issuer’s other certifying officer(s) and I have disclosed to the small business issuer’s auditors and the audit committee of the small business issuer’s board of directors (or persons performing the equivalent functions):

 

(a)

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


 

 

 




(b)

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


 

 

 

 

 

 

 

 

 

 

February 14, 2014

 

 

 

/s/ David Janisch

 

 

 

 

David Janisch

 

 

 

 

Chief Executive Officer and Principal Accounting Officer




EX-32.1 3 alhc_ex32z1.htm CERTIFICATION Certification

EXHIBIT 32.1


CERTIFICATION OF CHIEF EXECUTIVE OFFICER

PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002



In connection with the Quarterly Report on Form 10-Q of American Laser Healthcare Corporation (the “Company”) for the quarterly period ended December 31, 2013 (the “Report”), I, David Janisch, Chief Executive Officer of the Company, certify, pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:


 

 

 (i)

the Report fully complies with the requirements of Section 13(a) or Section 15(d) of the Securities Exchange Act of 1934, as amended; and


 

 

(ii)

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




 

 

/S/ David Janisch

David Janisch

Chief Executive Officer and Principal Accounting Officer


February 14, 2014




EX-101.INS 4 alhc-20131231.xml XBRL INSTANCE DOCUMENT 10-Q 2013-12-31 false American Laser Healthcare Corp 0001534099 --09-30 9349500 Smaller Reporting Company No Yes Yes 2014 Q1 <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><b>Note 1: Basis of Presentation</b></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt;text-align:justify;text-autospace:none'>The accompanying unaudited interim condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information and the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements. In the opinion of management, all adjustments (consisting only of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three-month period ended December 31, 2013 are not necessarily indicative of the results that may be expected for the full fiscal year. For further information, refer to the financial statements and notes thereto included in the Company&#146;s Annual Report on Form 10-K for the fiscal year ended September 30, 2013.</p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'><i>Nature of Operations</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>American Laser Healthcare Corporation (&#147;ALHC&#148; or &#147;the Company&#148;) was incorporated on September 21, 2011 under the laws of the State of Delaware to engage in any lawful corporate undertaking, including, but not limited to, selected mergers and acquisitions. The Company is an SEC reporting company that intends to improve health and wellness by providing access to innovative diagnostics and treatment for patients with pain and other common medical conditions. The Company plans to do this by creating and managing a profitable medical device product development business coupled with a healthcare service business that provides a protocol and pathway for the adoption and implementation of Low Level Light Therapy (LLLT).</p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>The Company possesses an FDA cleared device with patented methodology, the MB Bioenergy Light Therapy System, and insurance reimbursement codes to allow payment for treatment.</p> <p style='margin:0in;margin-bottom:.0001pt'>&#160;</p> <p style='margin:0in;margin-bottom:.0001pt'>On August 1, 2012, the Company offered a Private Placement Offering Memorandum (PPM) of 1,000,000 shares of common stock at $1.00 per share for an aggregate of $1,000,000, and through December 31, 2013, has received $339,500 in stock subscriptions.</p> <p style='margin:0in;margin-bottom:.0001pt'>&#160;</p> <p style='margin:0in;margin-bottom:.0001pt'><i>Basis of Presentation</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>The summary of significant accounting policies presented below is designed to assist in understanding the Company's financial statements. Such financial statements and accompanying notes are the representations of the Company's management, who are responsible for their integrity and objectivity. These accounting policies conform to accounting principles generally accepted in the United States of America (&quot;GAAP&quot;) in all material respects, and have been consistently applied in preparing the accompanying financial statements.</p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'><i>Use of Estimates</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates.</p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'><i>Concentration of Risk</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash. The Company places its cash with high quality banking institutions. From time to time, the Company maintains cash balances at certain institutions in excess of the Federal Deposit Insurance Corporation limit.</p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'><i>Income Taxes</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>Under ASC 740, &quot;Income Taxes&quot;, deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Valuation allowances are established when it is more likely than not that some or all of the deferred tax assets will not be realized.</p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'><i>Inventories</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>Inventories are stated at cost. Cost is determined using the first-in, first-out method (FIFO). All inventories are finished units and accessories for the units.</p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'><i>Furniture and Office Equipment</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>Furniture, office equipment, machinery and equipment are stated at cost. Depreciation is calculated on the straight-line method over the estimated useful lives of 3 years of the assets. </p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'><i>Loss per Common Share</i></p> <p style='margin:0in;margin-bottom:.0001pt'><i>&nbsp;</i></p> <p style='margin:0in;margin-bottom:.0001pt'>The Company has adopted ASC 260 &#147;Earnings Per Share&#148;. Basic loss per common shares excludes dilution and is computed by dividing net loss by the weighted average number of common shares outstanding during the period. Diluted loss per common share reflect the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the loss of the entity. As of December 31, 2013 and September 30, 2013, there are no outstanding dilutive securities.</p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'><i>Revenue Recognition</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>Revenue is recognized when the following criteria have been met: (1) persuasive evidence of an arrangement exists; (2) delivery has occurred or services have been rendered, and the customer takes ownership and assumes risk of loss; (3) the seller&#146;s price to the buyer is fixed or determinable; and (4) collection is reasonably assured. The Company has generated $232,435 and $0 in revenues for the three months ended December 31, 2013 and 2012, respectively.</p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'><i>Allowance for Doubtful Accounts. </i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>The Company does not require collateral from its customers with respect to accounts receivable. The Company determines any required allowance by considering a number of factors, including the terms for each customer, and the length of time accounts receivable are outstanding. Management provides an allowance for accounts receivable whenever it is evident that they become uncollectible. The Company has determined that no allowance for doubtful accounts was required at December 31, 2013 and September 30, 2013.</p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'><i>Share-Based Compensation</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>The Company follows the provisions of ASC 718, Share-Based Payment, which requires all share-based payments to employees and non-employees to be recognized in the income statement based on their fair values. The Company uses the Black-Scholes pricing model for determining the fair value of share-based compensation.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><b>Note 2: Going Concern</b></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>The Company has sustained a cumulative net loss and accumulated deficit of $852,178, since inception of the Company on September 21, 2011. The Company's continuation as a going concern is dependent on its ability to generate sufficient cash flows from operations to meet its obligations, which it has not been able to accomplish to date, and /or obtain additional financing from its stockholders and/or other third parties.</p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>Management plans to raise additional funds for operations through a private placement that is ongoing and through December 31, 2013, the Company has raised $339,500, including $26,000 proceeds from conversion from two notes payable. The private placement is for up to $1,000,000. In addition, the Company has&nbsp;generated $232,435 in&nbsp;revenues through the sales of LLLT machines during the three months ended December 31, 2013.</p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>These financial statements have been prepared on a going concern basis, which assumes the Company will continue its operations. The continuation of the Company as a going concern is dependent upon financial support from its stockholders, the ability of the Company to obtain necessary equity financing to continue operations, successfully locating and negotiate with a business entity for the combination of that target company with the Company.</p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>There is no assurance that the Company will ever be profitable. The 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 should the Company be unable to continue as a going concern.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><b>Note 3: Recent Accounting Pronouncements</b></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>We do not expect the adoption of recently issued accounting pronouncement to have a significant impact on our results of operations, financial position or cash flow.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><b>Note 4: Inventories</b></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>As of December 31, 2013, the Company has finished goods in inventories of $14,597 for medical devices and of $460 in accessories for the medical devices.&nbsp;</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><b>Note 5: Prepaid Expenses</b></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>Prepaid expenses of $10,000 are for legal fees, $186 for insurance and $838 for workers compensation insurance.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><b>Note 6: Intangible Assets</b></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt;margin-bottom:10.0pt;line-height:115%'><font style='line-height:115%'>The Company owns a patent with a book value at the acquisition date of $15,000. The patent was acquired in the period ending September 30, 2012 and </font><font style='line-height:115%'>is being amortized over 16 years at a monthly amortization expense of $78. Accumulated amortization at December 31, 2013 was </font><font style='line-height:115%'>$1,250</font><font style='line-height:115%'>.</font></p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><b>Note 7: Research and Development Expenses</b></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>The Company incurred research and development expenses of $8,900 and $22,718 for the three months ended December 31, 2013 and 2012, respectively. These expenses consisted of engineering and software development costs in updating the MB Bioenergy Light Therapy System to a touch screen display model.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><b>Note 8: Stock Issuance</b></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>There were no stock issuances during the three months ended December 31, 2013.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><b>Note 9: Warrants Issuance</b></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>There were no warrant issuances during the three months ended December 31, 2013.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><b>Note 10: Related Party Transactions</b></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>There were no related party transactions during the three months ended December 31, 2013.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><b>Note 11: Notes Payable</b></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>The Company has a short-term unsecured note of $100,000 with a 6% annual interest rate, dated March 16, 2012, which was renewed through March 16, 2014. Principal and accrued interest is due on March 16, 2014. This note is convertible to 100,000 common shares at the conversion price of $1.00 per share after April 11, 2013. Interest expense for the three months ended December 31, 2013 and 2012 totaled 1,591 and $1,357, respectively.</p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>On January 2, 2013, the Company entered into a Valued Added Reseller (VAR) agreement with Amest Corporation located in Rancho Santa Margarita, California. Amest Corporation is engaged in the manufacturing and servicing of medical equipment under a US FDA 510K clearance, with registration number K030275. As agreed, Amest Corporation would transfer the manufacturing and servicing rights under the FDA clearance to the Company. The Company is currently in the process of that transfer. In exchange, the Company will pay cash or issue a $100,000 promissory note to Amest Corporation. The VAR agreement shall expire in one year and is automatically renewed for an additional one year, and can be cancelled by either party with a 30 days notification. The Company will also purchase products from Amest Corporation and will re-label, re-sell or distribute such products with the Company's name. Amest is currently the sole supplier to the Company, and the Company effectively has the exclusive right to purchase these products from Amest as the Company has the US patent related to these products. A promissory note in an amount of $100,000 was issued to Amest Corporation prior to the completion of the transfer.</p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>Based on the terms of the VAR agreement, the note payable to Amest Corporation was due in full as of December 31, 2013. As of the date of this filing, the note has not been paid and the Company is in negotiations with Amest Corporation to extend the term of the note and implement a monthly payment plan to pay down the balance.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><b>Note 12: Commitments and Contingencies</b></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>Liabilities for loss contingencies arising from claims, assessments, litigation, fines, and penalties and other sources are recorded when it is probable that a liability has been incurred and the amount can be reasonably estimated. Legal costs incurred in connection with loss contingencies are expensed as incurred. As of December 31, 2013, the Company has no contingent liability that is required to be recorded.</p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'><i>Legal</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>The Company is named in a lawsuit entitled Cadovimex-USA GJ Trade Corporation v. ALH, et. al., pending in Orange County Superior Court, case number 30-2013-00676455-CU-FR.CJC. In the lawsuit it is alleged that the Company conspired with others to defraud a creditor of a California corporation called Mac Beam, Inc. It is alleged that the Company received all property of Mac Beam, Inc. without paying compensation for it, and that the purpose of the transfer was to render Mac Beam, Inc. unable to pay a judgment held against it by Cadovimex-USA GJ Trade Corp. Thus, as relevant to the Company, Cardovimex-USA GJ Trade Corp seeks to hold the Company liable for the amount of the aforementioned judgment, general, special and punitive damages, costs and attorney&#146;s fees.</p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>However, the underlying judgment was fully reversed by Division Three of the Fourth District Court of Appeal of California on December 13, 2013 in a non-published decision, case number G047387. Accordingly, it is anticipated that the current claims will eventually be dismissed because once the Appellate Court decision becomes final for all purposes and the remittitur issues, there will no longer be a judgment to enforce. Barring matters such as Cadovimex-USA GJ Trade Corp seeking review by the California Supreme Court, it is anticipated that the decision will become final in February of 2014.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><b>Note 13: Lease Agreement</b></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>The Company entered a lease agreement with Irvine Company to lease an office unit located in Irvine, California, effective November 5, 2012. The lease term was one year with monthly lease payment of $2,904. The Company incurred rent expense of $9,074 and $8,221 for the three months ended December 31, 2013 and 2012, respectively. The lease was renewed for an additional one year through October 31, 2014 at a monthly rate of $2,989. The lease is subject to renew upon expiration. In accordance with the lease terms, the Company made a security deposit that totaled $9,002. A portion of the security deposit in the amount of $2,903 was applied to facility rent for the month of October 2013.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><b>Note 14: Subsequent Events</b></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>On January 10, 2014, the Company received $50,000 through a Private Placement Offering. The common shares were issued at a price of $1.00 per share for a total of 50,000 common shares.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><i>Nature of Operations</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>American Laser Healthcare Corporation (&#147;ALHC&#148; or &#147;the Company&#148;) was incorporated on September 21, 2011 under the laws of the State of Delaware to engage in any lawful corporate undertaking, including, but not limited to, selected mergers and acquisitions. The Company is an SEC reporting company that intends to improve health and wellness by providing access to innovative diagnostics and treatment for patients with pain and other common medical conditions. The Company plans to do this by creating and managing a profitable medical device product development business coupled with a healthcare service business that provides a protocol and pathway for the adoption and implementation of Low Level Light Therapy (LLLT).</p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>The Company possesses an FDA cleared device with patented methodology, the MB Bioenergy Light Therapy System, and insurance reimbursement codes to allow payment for treatment.</p> <p style='margin:0in;margin-bottom:.0001pt'>&#160;</p> <p style='margin:0in;margin-bottom:.0001pt'>On August 1, 2012, the Company offered a Private Placement Offering Memorandum (PPM) of 1,000,000 shares of common stock at $1.00 per share for an aggregate of $1,000,000, and through December 31, 2013, has received $339,500 in stock subscriptions.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><i>Basis of Presentation</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>The summary of significant accounting policies presented below is designed to assist in understanding the Company's financial statements. Such financial statements and accompanying notes are the representations of the Company's management, who are responsible for their integrity and objectivity. These accounting policies conform to accounting principles generally accepted in the United States of America (&quot;GAAP&quot;) in all material respects, and have been consistently applied in preparing the accompanying financial statements.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><i>Use of Estimates</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><i>Concentration of Risk</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash. The Company places its cash with high quality banking institutions. From time to time, the Company maintains cash balances at certain institutions in excess of the Federal Deposit Insurance Corporation limit.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><i>Income Taxes</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>Under ASC 740, &quot;Income Taxes&quot;, deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Valuation allowances are established when it is more likely than not that some or all of the deferred tax assets will not be realized.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><i>Inventories</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>Inventories are stated at cost. Cost is determined using the first-in, first-out method (FIFO). All inventories are finished units and accessories for the units.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><i>Furniture and Office Equipment</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>Furniture, office equipment, machinery and equipment are stated at cost. Depreciation is calculated on the straight-line method over the estimated useful lives of 3 years of the assets. </p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><i>Loss per Common Share</i></p> <p style='margin:0in;margin-bottom:.0001pt'><i>&nbsp;</i></p> <p style='margin:0in;margin-bottom:.0001pt'>The Company has adopted ASC 260 &#147;Earnings Per Share&#148;. Basic loss per common shares excludes dilution and is computed by dividing net loss by the weighted average number of common shares outstanding during the period. Diluted loss per common share reflect the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the loss of the entity. As of December 31, 2013 and September 30, 2013, there are no outstanding dilutive securities.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><i>Revenue Recognition</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>Revenue is recognized when the following criteria have been met: (1) persuasive evidence of an arrangement exists; (2) delivery has occurred or services have been rendered, and the customer takes ownership and assumes risk of loss; (3) the seller&#146;s price to the buyer is fixed or determinable; and (4) collection is reasonably assured. The Company has generated $232,435 and $0 in revenues for the three months ended December 31, 2013 and 2012, respectively.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><i>Allowance for Doubtful Accounts. </i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>The Company does not require collateral from its customers with respect to accounts receivable. The Company determines any required allowance by considering a number of factors, including the terms for each customer, and the length of time accounts receivable are outstanding. Management provides an allowance for accounts receivable whenever it is evident that they become uncollectible. The Company has determined that no allowance for doubtful accounts was required at December 31, 2013 and September 30, 2013.</p> <!--egx--><p style='margin:0in;margin-bottom:.0001pt'><i>Share-Based Compensation</i></p> <p style='margin:0in;margin-bottom:.0001pt'>&nbsp;</p> <p style='margin:0in;margin-bottom:.0001pt'>The Company follows the provisions of ASC 718, Share-Based Payment, which requires all share-based payments to employees and non-employees to be recognized in the income statement based on their fair values. The Company uses the Black-Scholes pricing model for determining the fair value of share-based compensation.</p> 1000000 1.00 1000000 339500 232435 0 0 0 -852178 -339500 -26000 14597 460 10000 186 838 1250 100000 0.0600 2012-03-16 Principal and accrued interest is due on March 16, 2014. This note is convertible to 100,000 common shares at the conversion price of $1.00 per share after April 11, 2013. 1591 1357 The Company entered a lease agreement with Irvine Company to lease an office unit located in Irvine, California, effective November 5, 2012. The lease term was one year with monthly lease payment of $2,904. 9074 8221 50000 1.00 50000 65379 30915 77160 35000 15057 13667 11024 10186 24143 26875 13750 14000 6099 9002 43992 49877 212612 139645 116854 34180 95000 95000 16041 200000 200000 10750 9250 422604 354471 0 0 1860 1860 640326 640326 -852178 -857012 -209992 -214826 212612 139645 0.0001 0.0001 20000000 20000000 0 0 0 0 0.0002 0.0002 100000000 100000000 9299500 9299500 9299500 9299500 232435 133399 99036 83711 88368 8900 22718 92611 111086 6425 -111086 -1591 -1357 1591 -13643 4834 -97443 0.00 -0.01 9299500 9037179 9299500 9037179 4834 -97443 2982 426 2903 -42160 -1390 -31880 -838 -8985 1500 1574 82674 14500 -16041 23252 34464 -98556 3464 -3464 11000 87500 -67500 31000 34464 -71020 30915 71824 65379 804 2903 0001534099 2013-10-01 2013-12-31 0001534099 2014-01-28 0001534099 2013-12-31 0001534099 2013-09-30 0001534099 2012-10-01 2012-12-31 0001534099 fil:PrivatePlacementOfferingMemorandumPPMMember 2012-08-01 0001534099 fil:PrivatePlacementOfferingMemorandumPPMMember 2013-12-31 0001534099 2011-09-21 2013-12-31 0001534099 fil:ShortTermNote1Member 2013-12-31 0001534099 fil:ShortTermNote1Member 2013-10-01 2013-12-31 0001534099 fil:ShortTermNote1Member 2012-10-01 2012-12-31 0001534099 fil:LegalAndConsultingServicesMember 2013-10-01 2013-12-31 0001534099 fil:January102014Member 2013-10-01 2013-12-31 0001534099 fil:January102014Member 2014-01-10 0001534099 2012-09-30 0001534099 2012-12-31 pure iso4217:USD shares iso4217:USD shares Preferred stock, $0.0001 par value, 20,000,000 shares authorized; none issued and none outstanding at December 31, 2013 and September 30, 2013. See Note 9. EX-101.CAL 5 alhc-20131231_cal.xml XBRL TAXONOMY EXTENSION CALCULATION LINKBASE DOCUMENT EX-101.DEF 6 alhc-20131231_def.xml XBRL TAXONOMY EXTENSION DEFINITION LINKBASE DOCUMENT EX-101.LAB 7 alhc-20131231_lab.xml XBRL TAXONOMY EXTENSION LABELS LINKBASE DOCUMENT Short-term Debt, Date Details Inventories {1} Inventories Note 3: Recent Accounting Pronouncements Note 2: Going Concern CASH FLOWS FROM FINANCING ACTIVITIES CASH FLOWS FROM INVESTING ACTIVITIES CASH FLOWS FROM OPERATING ACTIVITIES Interest expense Interest expense Accounts receivable Document Fiscal Period Focus Note 1: Basis of Presentation Net Income (Loss) Net Income (Loss) General and administrative Preferred Stock, Shares Outstanding Entity Filer Category Share Price Purpose of Offering Note 4: Inventories Non-cash transactions: Change in Accounts payable Sales Common Stock, Shares Authorized Short-term Debt, Type Finite-Lived Intangible Assets, Amortization Expense Inventories, medical device accessories Common Stock Current Fiscal Year End Date Lease Agreement, Description Revenue Recognition Use of Estimates Net cash (used) in investing activities Net cash (used) in investing activities Change in Interest payable Weighted average number of common shares outstanding, Diluted Current liabilities Total current assets Total current assets Inventories Current Assets Entity Voluntary Filers Time Reference Short-term Debt, Terms Note 9: Warrants Issuance Proceeds from issuance of common stock and stockholders' additional paid in capital Change in Prepaid expenses Statements of Cash Flows Statements of Operations Cash and equivalents Document Fiscal Year Focus Entity Current Reporting Status Purchase Commitment, Excluding Long-term Commitment Short-term Debt Allowance For Doubtful Accounts. Notes Change in Inventory Total current liabilities Total current liabilities Interest payable LIABILITIES AND STOCKHOLDERS' (DEFICIT) EQUITY Note 12: Commitments and Contingencies Net cash provided by financing activities Net cash provided by financing activities Purchase of fixed assets Purchase of fixed assets Depreciation and amortization Research and development Common Stock, Par Value ASSETS Prepaid Insurance Inventories, medical devices Basis of Presentation Net cash used in operating activities Net cash used in operating activities Change in operating assets and liabilities Other income (expense) Preferred stock Amendment Flag Document Period End Date Document and Entity Information: Time Reference {1} Time Reference Short-term Note 1 Common Stock, Value, Subscriptions Share-based Compensation {1} Share-based Compensation Total stockholders' equity (deficit) Total stockholders' equity (deficit) Accrued bonus Short-term Debt, Type {1} Short-term Debt, Type Revenues Purpose of Offering {1} Purpose of Offering Income Taxes Net increase (decrease) in cash Common Stock, Shares Outstanding Total liabilities and stockholders' (deficit) equity Total liabilities and stockholders' (deficit) equity Additional paid-in capital Promissory note payable Total long-term assets Total long-term assets January 10, 2014 Nature of Operations Note 14: Subsequent Events Note 13: Lease Agreement Note 11: Notes Payable Note 10: Related Party Transactions Note 8: Stock Issued Note 7: Research and Development Expenses Adjustments to reconcile Net (Loss) to net cash provided (used) by operating activities Other income Preferred Stock, Shares Issued Preferred Stock, Shares Authorized Furniture & office equipment, net Loss Per Common Share Furniture and Office Equipment Total other income (expense) Total other income (expense) Cost of sales Stockholders' equity (deficit) Entity Common Stock, Shares Outstanding Purchase Commitment, Excluding Long-term Commitment {1} Purchase Commitment, Excluding Long-term Commitment Aggregate value of shares authorized Statement {1} Statement Statement Security deposit applied to facility rent Proceeds from issuance of promissory notes Change in Accounts receivable Weighted average number of common shares outstanding, Basic Gross Profit Gross Profit Accounts payable Operating Leases, Rent Expense Legal and consulting services Prepaid expenses for Workders Compensation Insurance Represents the expenses incurred for prepaying Workers Compensation Insurance. 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Note 11: Notes Payable (Details) (USD $)
3 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Interest expense $ 1,591 $ (13,643)
Short-term Note 1
   
Short-term Debt 100,000  
Short-term Debt, Weighted Average Interest Rate 6.00%  
Short-term Debt, Date Mar. 16, 2012  
Short-term Debt, Terms Principal and accrued interest is due on March 16, 2014. This note is convertible to 100,000 common shares at the conversion price of $1.00 per share after April 11, 2013.  
Interest expense $ 1,591 $ 1,357
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Note 1: Basis of Presentation: Allowance For Doubtful Accounts. (Details) (USD $)
Dec. 31, 2013
Sep. 30, 2013
Details    
Allowance for Doubtful Accounts Receivable $ 0 $ 0
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Note 1: Basis of Presentation: Inventories (Policies)
3 Months Ended
Dec. 31, 2013
Policies  
Inventories

Inventories

 

Inventories are stated at cost. Cost is determined using the first-in, first-out method (FIFO). All inventories are finished units and accessories for the units.

XML 16 R37.htm IDEA: XBRL DOCUMENT v2.4.0.8
Note 6: Intangible Assets (Details) (USD $)
3 Months Ended
Dec. 31, 2013
Details  
Finite-Lived Intangible Assets, Amortization Expense $ 1,250
XML 17 R9.htm IDEA: XBRL DOCUMENT v2.4.0.8
Note 4: Inventories
3 Months Ended
Dec. 31, 2013
Notes  
Note 4: Inventories

Note 4: Inventories

 

As of December 31, 2013, the Company has finished goods in inventories of $14,597 for medical devices and of $460 in accessories for the medical devices. 

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Note 1: Basis of Presentation: Allowance For Doubtful Accounts. (Policies)
3 Months Ended
Dec. 31, 2013
Policies  
Allowance For Doubtful Accounts.

Allowance for Doubtful Accounts.

 

The Company does not require collateral from its customers with respect to accounts receivable. The Company determines any required allowance by considering a number of factors, including the terms for each customer, and the length of time accounts receivable are outstanding. Management provides an allowance for accounts receivable whenever it is evident that they become uncollectible. The Company has determined that no allowance for doubtful accounts was required at December 31, 2013 and September 30, 2013.

XML 20 R28.htm IDEA: XBRL DOCUMENT v2.4.0.8
Note 1: Basis of Presentation: Revenue Recognition (Policies)
3 Months Ended
Dec. 31, 2013
Policies  
Revenue Recognition

Revenue Recognition

 

Revenue is recognized when the following criteria have been met: (1) persuasive evidence of an arrangement exists; (2) delivery has occurred or services have been rendered, and the customer takes ownership and assumes risk of loss; (3) the seller’s price to the buyer is fixed or determinable; and (4) collection is reasonably assured. The Company has generated $232,435 and $0 in revenues for the three months ended December 31, 2013 and 2012, respectively.

XML 21 R30.htm IDEA: XBRL DOCUMENT v2.4.0.8
Note 1: Basis of Presentation: Share-based Compensation (Policies)
3 Months Ended
Dec. 31, 2013
Policies  
Share-based Compensation

Share-Based Compensation

 

The Company follows the provisions of ASC 718, Share-Based Payment, which requires all share-based payments to employees and non-employees to be recognized in the income statement based on their fair values. The Company uses the Black-Scholes pricing model for determining the fair value of share-based compensation.

XML 22 R31.htm IDEA: XBRL DOCUMENT v2.4.0.8
Note 1: Basis of Presentation: Nature of Operations (Details) (USD $)
Dec. 31, 2013
Sep. 30, 2013
Dec. 31, 2013
Private Placement Offering Memorandum (PPM)
Aug. 01, 2012
Private Placement Offering Memorandum (PPM)
Common Stock, Shares Authorized 100,000,000 100,000,000   1,000,000
Share Price       $ 1.00
Aggregate value of shares authorized       $ 1,000,000
Common Stock, Value, Subscriptions     $ 339,500  
XML 23 R8.htm IDEA: XBRL DOCUMENT v2.4.0.8
Note 3: Recent Accounting Pronouncements
3 Months Ended
Dec. 31, 2013
Notes  
Note 3: Recent Accounting Pronouncements

Note 3: Recent Accounting Pronouncements

 

We do not expect the adoption of recently issued accounting pronouncement to have a significant impact on our results of operations, financial position or cash flow.

XML 24 R32.htm IDEA: XBRL DOCUMENT v2.4.0.8
Note 1: Basis of Presentation: Revenue Recognition (Details) (USD $)
3 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Details    
Revenues $ 232,435 $ 0
XML 25 R40.htm IDEA: XBRL DOCUMENT v2.4.0.8
Note 13: Lease Agreement (Details) (USD $)
3 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Operating Leases, Rent Expense $ 9,074 $ 8,221
Legal and consulting services
   
Lease Agreement, Description The Company entered a lease agreement with Irvine Company to lease an office unit located in Irvine, California, effective November 5, 2012. The lease term was one year with monthly lease payment of $2,904.  
XML 26 R2.htm IDEA: XBRL DOCUMENT v2.4.0.8
Balance Sheets (December 31, 2013 Unaudited) (USD $)
Dec. 31, 2013
Sep. 30, 2013
Current Assets    
Cash and equivalents $ 65,379 $ 30,915
Accounts receivable 77,160 35,000
Inventories 15,057 13,667
Prepaid expense 11,024 10,186
Total current assets 212,612 139,645
Furniture & office equipment, net 24,143 26,875
Intangible assets 13,750 14,000
Deposits 6,099 9,002
Total long-term assets 43,992 49,877
Total current assets 212,612 139,645
Current liabilities    
Accounts payable 116,854 34,180
Accrued bonus 95,000 95,000
Accrued liabilities   16,041
Promissory note payable 200,000 200,000
Interest payable 10,750 9,250
Total current liabilities 422,604 354,471
Stockholders' equity (deficit)    
Preferred stock 0 [1] 0 [1]
Common Stock 1,860 [2] 1,860 [2]
Additional paid-in capital 640,326 640,326
Accumulated equity (deficit) (852,178) (857,012)
Total stockholders' equity (deficit) (209,992) (214,826)
Total liabilities and stockholders' (deficit) equity $ 212,612 $ 139,645
[1] Preferred stock, $0.0001 par value, 20,000,000 shares authorized; none issued and none outstanding at December 31, 2013 and September 30, 2013.
[2] See Note 9.
XML 27 R6.htm IDEA: XBRL DOCUMENT v2.4.0.8
Note 1: Basis of Presentation
3 Months Ended
Dec. 31, 2013
Notes  
Note 1: Basis of Presentation

Note 1: Basis of Presentation

 

The accompanying unaudited interim condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information and the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States for complete financial statements. In the opinion of management, all adjustments (consisting only of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three-month period ended December 31, 2013 are not necessarily indicative of the results that may be expected for the full fiscal year. For further information, refer to the financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended September 30, 2013.

 

Nature of Operations

 

American Laser Healthcare Corporation (“ALHC” or “the Company”) was incorporated on September 21, 2011 under the laws of the State of Delaware to engage in any lawful corporate undertaking, including, but not limited to, selected mergers and acquisitions. The Company is an SEC reporting company that intends to improve health and wellness by providing access to innovative diagnostics and treatment for patients with pain and other common medical conditions. The Company plans to do this by creating and managing a profitable medical device product development business coupled with a healthcare service business that provides a protocol and pathway for the adoption and implementation of Low Level Light Therapy (LLLT).

 

The Company possesses an FDA cleared device with patented methodology, the MB Bioenergy Light Therapy System, and insurance reimbursement codes to allow payment for treatment.

 

On August 1, 2012, the Company offered a Private Placement Offering Memorandum (PPM) of 1,000,000 shares of common stock at $1.00 per share for an aggregate of $1,000,000, and through December 31, 2013, has received $339,500 in stock subscriptions.

 

Basis of Presentation

 

The summary of significant accounting policies presented below is designed to assist in understanding the Company's financial statements. Such financial statements and accompanying notes are the representations of the Company's management, who are responsible for their integrity and objectivity. These accounting policies conform to accounting principles generally accepted in the United States of America ("GAAP") in all material respects, and have been consistently applied in preparing the accompanying financial statements.

 

Use of Estimates

 

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates.

 

Concentration of Risk

 

Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash. The Company places its cash with high quality banking institutions. From time to time, the Company maintains cash balances at certain institutions in excess of the Federal Deposit Insurance Corporation limit.

 

Income Taxes

 

Under ASC 740, "Income Taxes", deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Valuation allowances are established when it is more likely than not that some or all of the deferred tax assets will not be realized.

 

Inventories

 

Inventories are stated at cost. Cost is determined using the first-in, first-out method (FIFO). All inventories are finished units and accessories for the units.

 

Furniture and Office Equipment

 

Furniture, office equipment, machinery and equipment are stated at cost. Depreciation is calculated on the straight-line method over the estimated useful lives of 3 years of the assets.

 

Loss per Common Share

 

The Company has adopted ASC 260 “Earnings Per Share”. Basic loss per common shares excludes dilution and is computed by dividing net loss by the weighted average number of common shares outstanding during the period. Diluted loss per common share reflect the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the loss of the entity. As of December 31, 2013 and September 30, 2013, there are no outstanding dilutive securities.

 

Revenue Recognition

 

Revenue is recognized when the following criteria have been met: (1) persuasive evidence of an arrangement exists; (2) delivery has occurred or services have been rendered, and the customer takes ownership and assumes risk of loss; (3) the seller’s price to the buyer is fixed or determinable; and (4) collection is reasonably assured. The Company has generated $232,435 and $0 in revenues for the three months ended December 31, 2013 and 2012, respectively.

 

Allowance for Doubtful Accounts.

 

The Company does not require collateral from its customers with respect to accounts receivable. The Company determines any required allowance by considering a number of factors, including the terms for each customer, and the length of time accounts receivable are outstanding. Management provides an allowance for accounts receivable whenever it is evident that they become uncollectible. The Company has determined that no allowance for doubtful accounts was required at December 31, 2013 and September 30, 2013.

 

Share-Based Compensation

 

The Company follows the provisions of ASC 718, Share-Based Payment, which requires all share-based payments to employees and non-employees to be recognized in the income statement based on their fair values. The Company uses the Black-Scholes pricing model for determining the fair value of share-based compensation.

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Note 4: Inventories (Details) (USD $)
Dec. 31, 2013
Details  
Inventories, medical devices $ 14,597
Inventories, medical device accessories $ 460
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Note 1: Basis of Presentation: Use of Estimates (Policies)
3 Months Ended
Dec. 31, 2013
Policies  
Use of Estimates

Use of Estimates

 

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates.

XML 30 R36.htm IDEA: XBRL DOCUMENT v2.4.0.8
Note 5: Prepaid Expenses (Details) (USD $)
Dec. 31, 2013
Details  
Prepaid legal fees $ 10,000
Prepaid Insurance 186
Prepaid expenses for Workders Compensation Insurance $ 838
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Note 1: Basis of Presentation: Income Taxes (Policies)
3 Months Ended
Dec. 31, 2013
Policies  
Income Taxes

Income Taxes

 

Under ASC 740, "Income Taxes", deferred tax assets and liabilities are recognized for the future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Valuation allowances are established when it is more likely than not that some or all of the deferred tax assets will not be realized.

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Note 2: Going Concern
3 Months Ended
Dec. 31, 2013
Notes  
Note 2: Going Concern

Note 2: Going Concern

 

The Company has sustained a cumulative net loss and accumulated deficit of $852,178, since inception of the Company on September 21, 2011. The Company's continuation as a going concern is dependent on its ability to generate sufficient cash flows from operations to meet its obligations, which it has not been able to accomplish to date, and /or obtain additional financing from its stockholders and/or other third parties.

 

Management plans to raise additional funds for operations through a private placement that is ongoing and through December 31, 2013, the Company has raised $339,500, including $26,000 proceeds from conversion from two notes payable. The private placement is for up to $1,000,000. In addition, the Company has generated $232,435 in revenues through the sales of LLLT machines during the three months ended December 31, 2013.

 

These financial statements have been prepared on a going concern basis, which assumes the Company will continue its operations. The continuation of the Company as a going concern is dependent upon financial support from its stockholders, the ability of the Company to obtain necessary equity financing to continue operations, successfully locating and negotiate with a business entity for the combination of that target company with the Company.

 

There is no assurance that the Company will ever be profitable. The 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 should the Company be unable to continue as a going concern.

XML 34 R3.htm IDEA: XBRL DOCUMENT v2.4.0.8
Statement of Financial Position - Parenthetical (December 31, 2013 Unaudited) (USD $)
Dec. 31, 2013
Sep. 30, 2013
Balance Sheets    
Preferred Stock, Par Value $ 0.0001 $ 0.0001
Preferred Stock, Shares Authorized 20,000,000 20,000,000
Preferred Stock, Shares Issued 0 0
Preferred Stock, Shares Outstanding 0 0
Common Stock, Par Value $ 0.0002 $ 0.0002
Common Stock, Shares Authorized 100,000,000 100,000,000
Common Stock, Shares Issued 9,299,500 [1] 9,299,500 [1]
Common Stock, Shares Outstanding 9,299,500 [1] 9,299,500 [1]
[1] See Note 9.
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Note 12: Commitments and Contingencies
3 Months Ended
Dec. 31, 2013
Notes  
Note 12: Commitments and Contingencies

Note 12: Commitments and Contingencies

 

Liabilities for loss contingencies arising from claims, assessments, litigation, fines, and penalties and other sources are recorded when it is probable that a liability has been incurred and the amount can be reasonably estimated. Legal costs incurred in connection with loss contingencies are expensed as incurred. As of December 31, 2013, the Company has no contingent liability that is required to be recorded.

 

Legal

 

The Company is named in a lawsuit entitled Cadovimex-USA GJ Trade Corporation v. ALH, et. al., pending in Orange County Superior Court, case number 30-2013-00676455-CU-FR.CJC. In the lawsuit it is alleged that the Company conspired with others to defraud a creditor of a California corporation called Mac Beam, Inc. It is alleged that the Company received all property of Mac Beam, Inc. without paying compensation for it, and that the purpose of the transfer was to render Mac Beam, Inc. unable to pay a judgment held against it by Cadovimex-USA GJ Trade Corp. Thus, as relevant to the Company, Cardovimex-USA GJ Trade Corp seeks to hold the Company liable for the amount of the aforementioned judgment, general, special and punitive damages, costs and attorney’s fees.

 

However, the underlying judgment was fully reversed by Division Three of the Fourth District Court of Appeal of California on December 13, 2013 in a non-published decision, case number G047387. Accordingly, it is anticipated that the current claims will eventually be dismissed because once the Appellate Court decision becomes final for all purposes and the remittitur issues, there will no longer be a judgment to enforce. Barring matters such as Cadovimex-USA GJ Trade Corp seeking review by the California Supreme Court, it is anticipated that the decision will become final in February of 2014.

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Document and Entity Information
3 Months Ended
Dec. 31, 2013
Jan. 28, 2014
Document and Entity Information:    
Entity Registrant Name American Laser Healthcare Corp  
Document Type 10-Q  
Document Period End Date Dec. 31, 2013  
Amendment Flag false  
Entity Central Index Key 0001534099  
Current Fiscal Year End Date --09-30  
Entity Common Stock, Shares Outstanding   9,349,500
Entity Filer Category Smaller Reporting Company  
Entity Current Reporting Status No  
Entity Voluntary Filers Yes  
Entity Well-known Seasoned Issuer Yes  
Document Fiscal Year Focus 2014  
Document Fiscal Period Focus Q1  
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Note 13: Lease Agreement
3 Months Ended
Dec. 31, 2013
Notes  
Note 13: Lease Agreement

Note 13: Lease Agreement

 

The Company entered a lease agreement with Irvine Company to lease an office unit located in Irvine, California, effective November 5, 2012. The lease term was one year with monthly lease payment of $2,904. The Company incurred rent expense of $9,074 and $8,221 for the three months ended December 31, 2013 and 2012, respectively. The lease was renewed for an additional one year through October 31, 2014 at a monthly rate of $2,989. The lease is subject to renew upon expiration. In accordance with the lease terms, the Company made a security deposit that totaled $9,002. A portion of the security deposit in the amount of $2,903 was applied to facility rent for the month of October 2013.

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Statements of Operations (Unaudited) (USD $)
3 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Statements of Operations    
Sales $ 232,435  
Cost of sales 133,399  
Gross Profit 99,036  
Operating expenses    
General and administrative 83,711 88,368
Research and development 8,900 22,718
Total operating expenses 92,611 111,086
Loss from operations 6,425 (111,086)
Other income (expense)    
Other income (1,591) (1,357)
Interest expense (1,591) 13,643
Total other income (expense) 4,834 (97,443)
Net Income (Loss) $ 4,834 $ (97,443)
Earnings (Loss) per common share - basic and diluted $ 0.00 $ (0.01)
Weighted average number of common shares outstanding, Basic 9,299,500 9,037,179
Weighted average number of common shares outstanding, Diluted 9,299,500 9,037,179
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Note 7: Research and Development Expenses
3 Months Ended
Dec. 31, 2013
Notes  
Note 7: Research and Development Expenses

Note 7: Research and Development Expenses

 

The Company incurred research and development expenses of $8,900 and $22,718 for the three months ended December 31, 2013 and 2012, respectively. These expenses consisted of engineering and software development costs in updating the MB Bioenergy Light Therapy System to a touch screen display model.

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Note 6: Intangible Assets
3 Months Ended
Dec. 31, 2013
Notes  
Note 6: Intangible Assets

Note 6: Intangible Assets

 

The Company owns a patent with a book value at the acquisition date of $15,000. The patent was acquired in the period ending September 30, 2012 and is being amortized over 16 years at a monthly amortization expense of $78. Accumulated amortization at December 31, 2013 was $1,250.

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Note 1: Basis of Presentation: Concentration of Risk (Policies)
3 Months Ended
Dec. 31, 2013
Policies  
Concentration of Risk

Concentration of Risk

 

Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash. The Company places its cash with high quality banking institutions. From time to time, the Company maintains cash balances at certain institutions in excess of the Federal Deposit Insurance Corporation limit.

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Note 14: Subsequent Events
3 Months Ended
Dec. 31, 2013
Notes  
Note 14: Subsequent Events

Note 14: Subsequent Events

 

On January 10, 2014, the Company received $50,000 through a Private Placement Offering. The common shares were issued at a price of $1.00 per share for a total of 50,000 common shares.

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Note 10: Related Party Transactions
3 Months Ended
Dec. 31, 2013
Notes  
Note 10: Related Party Transactions

Note 10: Related Party Transactions

 

There were no related party transactions during the three months ended December 31, 2013.

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Note 8: Stock Issued
3 Months Ended
Dec. 31, 2013
Notes  
Note 8: Stock Issued

Note 8: Stock Issuance

 

There were no stock issuances during the three months ended December 31, 2013.

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Note 9: Warrants Issuance
3 Months Ended
Dec. 31, 2013
Notes  
Note 9: Warrants Issuance

Note 9: Warrants Issuance

 

There were no warrant issuances during the three months ended December 31, 2013.

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Note 11: Notes Payable
3 Months Ended
Dec. 31, 2013
Notes  
Note 11: Notes Payable

Note 11: Notes Payable

 

The Company has a short-term unsecured note of $100,000 with a 6% annual interest rate, dated March 16, 2012, which was renewed through March 16, 2014. Principal and accrued interest is due on March 16, 2014. This note is convertible to 100,000 common shares at the conversion price of $1.00 per share after April 11, 2013. Interest expense for the three months ended December 31, 2013 and 2012 totaled 1,591 and $1,357, respectively.

 

On January 2, 2013, the Company entered into a Valued Added Reseller (VAR) agreement with Amest Corporation located in Rancho Santa Margarita, California. Amest Corporation is engaged in the manufacturing and servicing of medical equipment under a US FDA 510K clearance, with registration number K030275. As agreed, Amest Corporation would transfer the manufacturing and servicing rights under the FDA clearance to the Company. The Company is currently in the process of that transfer. In exchange, the Company will pay cash or issue a $100,000 promissory note to Amest Corporation. The VAR agreement shall expire in one year and is automatically renewed for an additional one year, and can be cancelled by either party with a 30 days notification. The Company will also purchase products from Amest Corporation and will re-label, re-sell or distribute such products with the Company's name. Amest is currently the sole supplier to the Company, and the Company effectively has the exclusive right to purchase these products from Amest as the Company has the US patent related to these products. A promissory note in an amount of $100,000 was issued to Amest Corporation prior to the completion of the transfer.

 

Based on the terms of the VAR agreement, the note payable to Amest Corporation was due in full as of December 31, 2013. As of the date of this filing, the note has not been paid and the Company is in negotiations with Amest Corporation to extend the term of the note and implement a monthly payment plan to pay down the balance.

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Note 2: Going Concern (Details) (USD $)
3 Months Ended 27 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2013
Sep. 30, 2013
Details        
Net Income (Loss) $ 4,834 $ (97,443) $ (852,178)  
Accumulated equity (deficit) (852,178)   (852,178) (857,012)
Funds raised through ongoing private placement     (339,500)  
Proceeds from issuance of promissory notes   11,000 (26,000)  
Sales $ 232,435      
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Note 1: Basis of Presentation: Basis of Presentation (Policies)
3 Months Ended
Dec. 31, 2013
Policies  
Basis of Presentation

Basis of Presentation

 

The summary of significant accounting policies presented below is designed to assist in understanding the Company's financial statements. Such financial statements and accompanying notes are the representations of the Company's management, who are responsible for their integrity and objectivity. These accounting policies conform to accounting principles generally accepted in the United States of America ("GAAP") in all material respects, and have been consistently applied in preparing the accompanying financial statements.

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Note 1: Basis of Presentation: Furniture and Office Equipment (Policies)
3 Months Ended
Dec. 31, 2013
Policies  
Furniture and Office Equipment

Furniture and Office Equipment

 

Furniture, office equipment, machinery and equipment are stated at cost. Depreciation is calculated on the straight-line method over the estimated useful lives of 3 years of the assets.

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Note 14: Subsequent Events (Details) (January 10, 2014, USD $)
3 Months Ended
Dec. 31, 2013
Jan. 10, 2014
January 10, 2014
   
Proceeds from Issuance of Private Placement $ 50,000  
Share Price   $ 1.00
Shares, Issued   50,000
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Statements of Cash Flows (Unaudited) (USD $)
3 Months Ended 27 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Dec. 31, 2013
CASH FLOWS FROM OPERATING ACTIVITIES      
Net Income (Loss) $ 4,834 $ (97,443) $ (852,178)
Adjustments to reconcile Net (Loss) to net cash provided (used) by operating activities      
Depreciation and amortization 2,982 426  
Security deposit in lieu of rent expenses 2,903    
Change in operating assets and liabilities      
Change in Accounts receivable (42,160)    
Change in Inventory (1,390) (31,880)  
Change in Prepaid expenses (838) (8,985)  
Change in Interest payable 1,500 1,574  
Change in Accounts payable 82,674 14,500  
Change in Accrued liabilities (16,041) 23,252  
Net cash used in operating activities 34,464 (98,556)  
CASH FLOWS FROM INVESTING ACTIVITIES      
Purchase of fixed assets   (3,464)  
Net cash (used) in investing activities   (3,464)  
CASH FLOWS FROM FINANCING ACTIVITIES      
Proceeds from issuance of promissory notes   11,000 (26,000)
Proceeds from issuance of common stock and stockholders' additional paid in capital   87,500  
Proceeds from common stock issuable   (67,500)  
Net cash provided by financing activities   31,000  
Net increase (decrease) in cash 34,464 (71,020)  
Cash at beginning of period 30,915 71,824  
Cash at end of period 65,379 804 65,379
Non-cash transactions:      
Security deposit applied to facility rent $ 2,903    
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Note 5: Prepaid Expenses
3 Months Ended
Dec. 31, 2013
Notes  
Note 5: Prepaid Expenses

Note 5: Prepaid Expenses

 

Prepaid expenses of $10,000 are for legal fees, $186 for insurance and $838 for workers compensation insurance.

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Note 1: Basis of Presentation: Loss Per Common Share (Policies)
3 Months Ended
Dec. 31, 2013
Policies  
Loss Per Common Share

Loss per Common Share

 

The Company has adopted ASC 260 “Earnings Per Share”. Basic loss per common shares excludes dilution and is computed by dividing net loss by the weighted average number of common shares outstanding during the period. Diluted loss per common share reflect the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the loss of the entity. As of December 31, 2013 and September 30, 2013, there are no outstanding dilutive securities.

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Note 7: Research and Development Expenses (Details) (USD $)
3 Months Ended
Dec. 31, 2013
Dec. 31, 2012
Details    
Research and development $ 8,900 $ 22,718
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Note 1: Basis of Presentation: Nature of Operations (Policies)
3 Months Ended
Dec. 31, 2013
Policies  
Nature of Operations

Nature of Operations

 

American Laser Healthcare Corporation (“ALHC” or “the Company”) was incorporated on September 21, 2011 under the laws of the State of Delaware to engage in any lawful corporate undertaking, including, but not limited to, selected mergers and acquisitions. The Company is an SEC reporting company that intends to improve health and wellness by providing access to innovative diagnostics and treatment for patients with pain and other common medical conditions. The Company plans to do this by creating and managing a profitable medical device product development business coupled with a healthcare service business that provides a protocol and pathway for the adoption and implementation of Low Level Light Therapy (LLLT).

 

The Company possesses an FDA cleared device with patented methodology, the MB Bioenergy Light Therapy System, and insurance reimbursement codes to allow payment for treatment.

 

On August 1, 2012, the Company offered a Private Placement Offering Memorandum (PPM) of 1,000,000 shares of common stock at $1.00 per share for an aggregate of $1,000,000, and through December 31, 2013, has received $339,500 in stock subscriptions.