It seems that 40million in "debt" will soon be gone.
The acquisition of Poolworks (Germany) Ltd. includes an accounts payable balance of $40,574,273 to a former owner along with accrued interest. Although the liability was assumed in the transaction, we are evaluating options including debt forgiveness or renegotiation and capital contributions relative to this debt. Accordingly, Momentous took the position that an asset of $40,574,273 was acquired in the form of goodwill but that the value is unsustainable and therefor immediately expense it as an asset impairment.
Operations recorded through the business combination of Poolworks (Germany) Ltd. from February 8, 2017 through March 31, 2017 are as follows:
Revenue
$
33,058
Other Income
166
Total Revenue
$
33,224
Costs of Goods Sold:
Web Server Costs
$
15,363
Gross profit
$
17,861
Administrative Costs:
Payroll
38,038
Office
4,438
Accounting fees
655
Rent
4,872
Travel
1,024
Currency Translation
(78)
Total Operating Costs
$
48,949
Net Loss
$
(31,088)
