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RELATED PARTY TRANSACTIONS
 3 Months Ended
Oct. 31, 2012
Related Party Transactions [Abstract]  
Related Party Transactions Disclosure [Text Block]

NOTE 5 – RELATED PARTY TRANSACTIONS

 

During the three months ended October 31, 2012, we received $9,473 from officers and directors in cash advances. These advances are not evidenced by a promissory note. We therefore impute interest expense to equity at the rate of 6% per annum. For the three months ended October 31, 2012, we imputed $1,606 in interest. From inception (July 21, 2009) to October 31, 2012, we received $29,739 in advances from related parties consisting of $24,325 of cash advances and $5,414 in expenses paid on behalf of the company. Also, from inception to October 31, 2012, we imputed $7,122 in interest on these advances.

 

During the three months ended October 31, 2012, we issued 16,250 shares to an accredited investor who entered into a subscription agreement with us back in May, 2012 for $6,500. The issuance of those 16,250 shares extinguished that stock payable. On September 1, 2012, this investor became a director of the Company.

 

Also, on September 1, 2012, we issued an additional 180,000 shares to this director for one year of services through August 31, 2013. We valued these shares at their grant date fair, recording an increase in Additional Paid Capital of $70,200 and a charge to general and administrative expense in the same amount.