$MSTO 12-31-20 Filing Summary
DISCLOSURE I am not a financial advisor.
1 - This is my own summary -- read the report first before you start complaining.
2 - I DO NOT follow the chart technicals. If the chart is up or down that is your issue.
3 - I base my opinions on my sources!! You go find your own.
4 - If the CEO runs $MSTO to the ground which he has -- I am gonna call him out. If he flips this company into a rock star company I will give him the props for that too.
SUMMARY
Overall the company is in good shape. A few things had to change
1 - the property Josh CEO bought in his name had to be transferred to the company
2 - the CEO then had to take back a note against the down payment to the rental (that was a messed up move to begin with)
3 - some of the debt was converted
4 - the company declared a little bit of income around $72K (I guess that was from the rental income)
THOUGHT
1 - The company has started producing income from the rental property. I don't like that it is high end but it is what it is.
2 - CEO has to get away from taking money from the noteholder. That dude is a toxic nightmare and really bad for the company imagine and future growth of the company.
3 - The noteholder conversion rate may put pressure on the down side of the stock value unless he is willing to lay off selling and allow the company to grow.
4 - There does not appear to be any revenue from the auto JTEC division (which they would had if they sold a couple of the cars).
5 - It has taken nearly 18 months for the CEO to come around and embrace the public stock world. I trust his connections with the industry pans out.
6 - The company has taken an aggressive approach in launching the auto web site. I hope it will bring income.
7 - The company still needs to structure the advisory board in a fashion covering the sectors noted in the various PRs.
So the company seems to be moving in the right direction. Let's support their efforts and ask the company to reach out to the stockholders for some direction as well.
As ofDecember31, 2020,the number of shares outstanding of our Common Stockwas:370,293,815
As of September 30, 2020the number of shares outstanding of our Common Stockwas: 242,293,815
As ofDecember 31, 2019,the number of shares outstanding of our Common Stockwas: 70,793,815
GOING CONCERN
The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern, which contemplates the realization of assets and the liquidation of liabilities in the normal course of business. The Company currently has $52,345of cash on hand, a stockholders Deficit of $170,504with an accumulated Deficit of $2,021,523and current period revenues of $18,773from property management operations. The Company cannot be certain that it will be successful in its various growth strategies
NOTE 4 REAL ESTATE
On September 28, 2020, the Company purchased a real estate property at 246 Driftwood Road, Miramar Beach, FL 32550 for from its Chief Executive Officer. The Company agreed to a promissorynote of$220,000 which was loaned by its Chief Executive Officerfor the down payments of the prpoertyand assumeda 30 mortgage in the amount of $880,000 with a 7 year ARM at 5.125%. The Company currently has the property as a vacation rental and collects rental income
NOTE 5CONVERTIBLE NOTE PAYABLE AND DERIVATIVE LIABILITIES
On September 18, 2015, the Company and Braeden Storm Enterprises, Inc. (“Braeden”) entered into an unsecuredconvertible notes payable for $210,000 with a conversion price of $0.00001. On May 29, 2019, the Company and Braeden amended the convertible note to include interest accruing at 10% commencing September 18, 2015 and a conversion price of the lower of $0.001 or 50% of the lowest per share market value of the ten (10) trading days immediately preceding the conversion date. The total principal due at December 31, 2020was $0with an unamortized discount of $0resulting in a balance of $0at December 31, 2019. The Company had conversions of $25,900in principal and $0 in accrued interest during the twelvemonths ended December 31, 2019. Total principal due at December 31, 2019is $184,100with an unamortized discount of $0with a resulting balance of $184,100.
Derivative Liability:
As of December 31, 2020and 2019, the fair values of the conversion options on the convertible notes were determined to be $0and $1,472,979, respectivelyusing a Black-Scholes option-pricing model.During the twelvemonths ended December31, 2020and 2019, there was a losson mark-to-market of the conversion options of $366,265and $1,094,518,
OTC Markets Group Inc. OTC Pink Basic Disclosure Guidelines (v2.1December 2019)respectively. During the twelvemonths ended December 31, 2020, the gainon derivative liability was $1,106,715and during the twelve months ended December 31, 2019, the losson derivative liability was $2,324,110.
NOTE 7 RELATED PARTIES
As of December 31, 2020, the company owes its current Chief Executive Officer -$378,670($44,622–December 31, 2019) for advances made to the Company.
During the twelve months ended December 31, 2019,the company has issued 25,900,000 new sharesfor the conversion of $25,900 in principal and interest on convertible debtbringing the total outstanding shares to 70,793,815.During the twelve months ended December 31, 2020, the company has issued 299,500,000 new shares for the conversion of $261,650 in principal and interest on the convertible debt bringing the total outstanding shares to 370,293,815
