<PAGE>

                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                              Washington, DC 20549

                                   FORM 10-QSB

[X]     Quarterly  Report pursuant to Section 13 or 15(d) of the Securities
        Exchange  Act  of  1934

        For  the  quarterly  period  ended  MARCH  31,  2002

[ ]     Transition  Report  pursuant to 13 or 15(d) of the Securities Exchange
        Act  of  1934

        For  the  transition  period          to


          Commission  File  Number     000-32011
                                       ---------

                              BALSAM VENTURES, INC.
          -----------------------------------------------------------------
          (Exact name of small Business Issuer as specified in its charter)

     NEVADA                                             52-2219056
-------------------------------                         -------------------
(State or other jurisdiction of                         (IRS Employer
incorporation  or  organization)                        Identification No.)

SUITE 12, 5880 HAMPTON PLACE
VANCOUVER, BRITISH COLUMBIA, CANADA                     V6T 2E9
---------------------------------------                 ----------
(Address of principal executive offices)                (Zip Code)

Issuer's telephone number, including area code:         (604) 222-2657
                                                        --------------

                                 NOT APPLICABLE
          ---------------------------------------------------------------
          (Former  name,  former  address  and  former  fiscal  year  end
                          if changed since last report)

Check  whether  the issuer (1) 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 issuer was required to file such
reports),  and  (2) has been subject to such filing requirements for the past 90
days  [X]  Yes    [  ]  No

State the number of shares outstanding of each of the issuer's classes of common
stock,  as  of  the latest practicable date:  10,100,000 SHARES OF COMMON STOCK,
$0.001  PAR  VALUE  OUTSTANDING  AS  OF  MAY  9,  2002.


                                       1

<PAGE>

                         PART 1 - FINANCIAL INFORMATION

ITEM  1.          FINANCIAL  STATEMENTS

The accompanying unaudited financial statements have been prepared in accordance
with  the  instructions  to Form 10-QSB and Item 310 (b) of Regulation S-B, and,
therefore, do not include all information and footnotes necessary for a complete
presentation  of  financial  position,  results  of  operations, cash flows, and
stockholders'  equity  in  conformity  with  generally  accepted  accounting
principles.  In  the opinion of management, all adjustments considered necessary
for a fair presentation of the results of operations and financial position have
been  included  and  all  such  adjustments  are  of  a normal recurring nature.
Operating  results for the three months ended March 31, 2002 are not necessarily
indicative  of the results that can be expected for the year ending December 31,
2002.












                                       2

<PAGE>









                              BALSAM VENTURES INC.
                          (A DEVELOPMENT STAGE COMPANY)


                              FINANCIAL STATEMENTS


                                 MARCH 31, 2002
                                   (UNAUDITED)
                            (STATED IN U.S. DOLLARS)







                                       3

<PAGE>

<TABLE>
<CAPTION>
                             BALSAM  VENTURES  INC.
                          (A DEVELOPMENT STAGE COMPANY)

                                  BALANCE SHEET
                                   (UNAUDITED)
                            (STATED IN U.S. DOLLARS)


-------------------------------------------------------------------------
                                                  MARCH 31   DECEMBER 31
                                                    2002        2001
-------------------------------------------------------------------------
<S>                                               <C>        <C>

ASSETS

CURRENT
  Cash                                            $ 11,126   $ 14,877

SOFTWARE DEVELOPMENT COSTS                           8,675      8,675
                                                  -----------------------
                                                  $ 19,801   $ 23,552
=========================================================================
LIABILITIES

CURRENT
  Accounts payable                                $  6,421   $  1,809
                                                  -----------------------

SHAREHOLDER'S EQUITY

SHARE CAPITAL
  Authorized:
    100,000,000 common shares, par value
     with $0.001 per share

  Issued and outstanding:
    10,100,000 common shares                        10,100     10,100

  Additional paid-in capital                        64,900     64,900

DEFICIT ACCUMULATED DURING THE DEVELOPMENT STAGE
                                                   (61,620)   (53,257)
                                                  -----------------------
                                                    13,380     21,743
                                                  -----------------------

                                                  $ 19,801   $ 23,552
=========================================================================
</TABLE>


                                       4

<PAGE>

<TABLE>
<CAPTION>
                             BALSAM  VENTURES  INC.
                        (A  DEVELOPMENT  STAGE  COMPANY)

                          STATEMENT OF LOSS AND DEFICIT
                                   (UNAUDITED)
                            (STATED IN U.S. DOLLARS)


---------------------------------------------------------------------------
                                                                  INCEPTION
                                                                  AUGUST 17
                                           THREE MONTHS ENDED      1999 TO
                                                MARCH 31          MARCH 31
                                           2002         2001        2002
---------------------------------------------------------------------------
<S>                                     <C>          <C>          <C>

EXPENSES
  Consulting services                   $       127  $         -  $   227
  Domain registration                            46            -      251
  Professional fees                           7,768        1,607   56,002
  Office and sundry                             422          329    2,712
  Stock Transfer Services                         -            -    2,428
                                        -----------------------------------
        NET LOSS FOR THE PERIOD               8,363        1,936  $61,620
                                                                  =========

DEFICIT ACCUMULATED DURING THE
 DEVELOPMENT STAGE, BEGINNING OF PERIOD      53,257       34,268
                                        ------------------------
DEFICIT ACCUMULATED DURING THE
 DEVELOPMENT STAGE, END OF PERIOD       $    61,620  $    36,204
================================================================

NET LOSS PER SHARE                      $      0.01  $      0.01
================================================================

WEIGHTED AVERAGE NUMBER OF SHARES
 OUTSTANDING                             10,100,000   10,100,000
================================================================
</TABLE>


                                       5

<PAGE>

<TABLE>
<CAPTION>
                               BALSAM  VENTURES  INC.
                          (A  Development  Stage  Company)

                             STATEMENT  OF  CASH  FLOWS
                                     (Unaudited)
                             (Stated  in  U.S.  Dollars)


------------------------------------------------------------------------
                                                               INCEPTION
                                                               AUGUST 17
                                          THREE MONTHS ENDED    1999 TO
                                               MARCH 31        MARCH 31
                                            2002      2001       2002
------------------------------------------------------------------------
<S>                                       <C>       <C>       <C>

Cash Flows From Operating Activities
  Net loss for the period                 $(8,363)  $(1,936)  $(61,620)

Adjustments To Reconcile Net Loss To Net
Cash Used By Operating Activities
  Change in accounts payable                4,612       335      6,421
                                          ------------------------------
                                           (3,751)   (1,601)   (55,199)
                                          ------------------------------

Cash Flows From Investing Activity
Software development costs                      -         -     (8,675)
                                          ------------------------------

Cash Flows From Financing Activities
  Share capital                                 -         -     75,000
                                          ------------------------------

Increase (Decrease) In Cash                (3,751)   (1,601)    11,126

Cash, Beginning Of Period                  14,877    38,600          -
                                          ------------------------------

Cash, End Of Period                       $11,126   $36,999   $ 11,126
========================================================================
</TABLE>




                                       6

<PAGE>

<TABLE>
<CAPTION>

                                    BALSAM  VENTURES  INC.
                               (A  DEVELOPMENT  STAGE  COMPANY)

                             STATEMENT  OF  STOCKHOLDERS'  EQUITY

                                      MARCH  31,  2002
                                         (UNAUDITED)
                                 (STATED  IN  U.S.  DOLLARS)



                                COMMON  STOCK
                          ----------------------------------
                                                  ADDITIONAL     SHARE
                                                   PAID-IN   SUBSCRIPTIONS
                            SHARES      AMOUNT     CAPITAL    RECEIVABLE    DEFICIT     TOTAL
                          ---------------------------------------------------------------------
<S>                       <C>         <C>          <C>       <C>           <C>        <C>
Shares issued for cash
 at $0.001                 5,000,000  $     5,000  $      -  $         -   $      -   $  5,000

Shares issued for cash
 at $0.01                  5,000,000        5,000    45,000            -          -     50,000

Shares issued for cash
 at $0.20                    100,000          100    19,900            -          -     20,000

Subscriptions receivable           -            -         -       (2,500)         -     (2,500)

Net loss for the period            -            -         -            -     (2,926)    (2,926)
                          ---------------------------------------------------------------------

Balance, December 31,
 1999                     10,100,000       10,100    64,900       (2,500)    (2,926)    69,574

Subscriptions receivable           -            -         -        2,500          -      2,500

Net loss for the year              -            -         -            -    (31,342)   (31,342)
                          ---------------------------------------------------------------------

Balance, December 31,
 2000                     10,100,000       10,100    64,900            -    (34,268)    40,732

Net loss for the year              -            -         -            -    (18,989)   (18,989)
                          ---------------------------------------------------------------------

Balance, December 31,
 2001                     10,100,000       10,100    64,900            -    (53,257)    21,743

Net loss for the period            -            -         -            -     (8,363)    (8,363)
                          ---------------------------------------------------------------------

Balance, March 31, 2002   10,100,000  $    10,100  $ 64,900  $         -   $(61,620)  $ 13,380
                          =====================================================================

</TABLE>


                                       7

<PAGE>

                              BALSAM VENTURES INC.
                          (A DEVELOPMENT STAGE COMPANY)

                          NOTES TO FINANCIAL STATEMENTS

                                 MARCH 31, 2002
                                   (UNAUDITED)
                            (STATED IN U.S. DOLLARS)

1.     BASIS  OF  PRESENTATION  AND  OPERATIONS

Basis  of  Presentation

The  unaudited  financial  statements  as of March 31, 2002 included herein have
been  prepared  without  audit  pursuant  to  the  rules  and regulations of the
Securities and Exchange Commission. Certain information and footnote disclosures
normally  included  in  financial  statements prepared in accordance with United
States  generally  accepted accounting principles have been condensed or omitted
pursuant  to  such  rules  and  regulations.  In  the opinion of management, all
adjustments (consisting of normal recurring accruals) considered necessary for a
fair  presentation  have  been  included.  It  is suggested that these financial
statements  be  read in conjunction with the December 31, 2001 audited financial
statements  and  notes  thereto.

Operations

a)     Organization

The Company was incorporated in the State of Nevada, U.S.A., on August 17, 1999.

b)     Development  Stage  Activities

The Company plans to launch a free information website to assist and attract the
people  wanting  information on immigration to the USA. The Company plans to use
the  website  to  earn income from companies who are prepared to pay to have web
advertising  in  the  form  of  a button or banners on the website selling their
products or services. The Company plans to solicit advertisers who are targeting
sales  of  their  products  and  services at people using the Company's website.

The  Company  is  in the development stage, therefore, recovery of its assets is
dependent  upon  future  events,  the  outcome  of  which is indeterminable.  In
addition,  successful  completion  of  the Company's development program and its
transition,  ultimately  to the attainment of profitable operations is dependent
upon  obtaining  adequate  financing  to  fulfil  its development activities and
achieve  a  level  of  sales  adequate  to  support  its  cost  structure.

c)     Going  Concern

The Company will need additional working capital to be successful in its planned
activity  and  to  service  its current debt for the coming year and, therefore,
continuation  of  the Company as a going concern is dependent upon obtaining the
additional  working  capital  necessary to accomplish its objective.  Management
has  developed a strategy, which it believes will accomplish this objective, and
is  presently  engaged  in seeking various sources of additional working capital
including  equity  funding  through a private placement and long term financing.


                                       8

<PAGE>

                              BALSAM VENTURES INC.
                          (A DEVELOPMENT STAGE COMPANY)

                          NOTES TO FINANCIAL STATEMENTS

                                 MARCH 31, 2002
                                   (UNAUDITED)
                            (STATED IN U.S. DOLLARS)



2.     SIGNIFICANT  ACCOUNTING  POLICIES

The  financial  statements  of the Company have been prepared in accordance with
generally  accepted  accounting  principles  in  the  United  States.  Because a
precise  determination  of  many assets and liabilities is dependent upon future
events,  the  preparation  of  financial  statements  for  a  period necessarily
involves  the  use  of  estimates  which have been made using careful judgement.

The  financial  statements have, in management's opinion, been properly prepared
within  reasonable  limits  of  materiality  and  within  the  framework  of the
significant  accounting  policies  summarized  below:

a)     Development  Stage  Company

The  Company  is  a  developed  stage  company  as  defined in the Statements of
Financial  Accounting Standards No. 7. The Company is devoting substantially all
of  its  present  efforts  to  establish  a new business and none of its planned
principal operations have commenced. All losses accumulated since inception have
been  considered  as  part  of  the  Company's  development  stage  activities.

b)     Use  of  Estimates

The  preparation  of  financial statements in conformity with generally accepted
accounting principles 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 for the reporting period. Actual
results  could  differ  from  these  estimates.

c)     Software  Development  Costs

Software development costs represent capitalized costs of design, configuration,
coding,  installation  and  testing  of  the Company's website up to its initial
implementation.  Upon implementation the asset will be amortized to expense over
its  estimated  useful  life  of  three  years  using  the straight line method.
Ongoing  website  post-implementation costs of operation, including training and
application  maintenance,  will  be  charged  to  expense  as  incurred.


                                       9

<PAGE>

                              BALSAM VENTURES INC.
                          (A DEVELOPMENT STAGE COMPANY)

                          NOTES TO FINANCIAL STATEMENTS

                                 MARCH 31, 2002
                                   (UNAUDITED)
                            (STATED IN U.S. DOLLARS)



2.     SIGNIFICANT  ACCOUNTING  POLICIES  (Continued)

d)     Income  Taxes

The  Company  has  adopted Statement of Financial Accounting Standards No. 109 -
"Accounting  for  Income Taxes" (SFAS 109). This standard requires the use of an
asset  and  liability  approach for financial accounting and reporting on income
taxes.  If it is more likely than not that some portion or all if a deferred tax
asset  will  not  be  realized,  a  valuation  allowance  is  recognized.

e)     Financial  Instruments

The  Company's  financial  instruments  consist  of  cash  and accounts payable.

Unless  otherwise  noted,  it  is  management's opinion that this Company is not
exposed  to  significant  interest  or credit risks arising from these financial
instruments.  The  fair  value  of these financial instruments approximate their
carrying  values,  unless  otherwise  noted.

f)     Net  Loss  Per  Share

Net  loss  per  share  is calculated using the weighted average number of common
shares  outstanding  during  the  period.  Fully  diluted  loss per share is not
presented,  as  the  impact  of  the  exercise  of  options  is  anti-dilutive.



                                       10

<PAGE>

ITEM  2.     MANAGEMENT'S  DISCUSSION  AND  ANALYSIS  OR  PLAN  OF  OPERATIONS

FORWARD  LOOKING  STATEMENTS

The  information  in  this discussion contains forward-looking statements within
the  meaning  of  Section  27A  of  the  Securities Act of 1933, as amended, and
Section  21E  of  the  Securities  Exchange  Act  of  1934,  as  amended.  These
forward-looking statements involve risks and uncertainties, including statements
regarding  the  Company's capital needs, business strategy and expectations. Any
statements  contained  herein that are not statements of historical facts may be
deemed  to  be  forward-looking  statements.  In  some  cases,  you can identify
forward-looking  statements  by  terminology  such  as  "may", "will", "should",
"expect",  "plan",  "intend",  "anticipate",  "believe",  "estimate", "predict",
"potential"  or  "continue",  the  negative  of  such  terms or other comparable
terminology. Actual events or results may differ materially. In evaluating these
statements,  you  should consider various factors, including the risks described
below,  and, from time to time, in other reports the Company files with the SEC.
These  factors  may cause the Company's actual results to differ materially from
any  forward-looking statement. The Company disclaims any obligation to publicly
update  these  statements, or disclose any difference between its actual results
and  those  reflected  in  these  statements.  The  information  constitutes
forward-looking  statements  within  the  meaning  of  the  Private  Securities
Litigation  Reform  Act  of  1995.

OVERVIEW

We  have  developed  a  free  Internet  web site at our "www.usacitizenship.net"
domain  that  provides  a reliable source of information on immigration into the
United  States.  Our  business  plan is to draw users to our web site so that we
can  sell  and  generate  revenues from the sale of web site advertisements.  We
believe  that  the  an  Internet  web  site which offers free information on the
process  of  immigrating into the United States would attract substantial usage.
We  believe  that  if we are successful in attracting people to our web site, we
will  be  able  to  generate revenues from advertisers who are interested in the
demographics  of  our  web  site  users.

We  have  completed  the  development  of  our  web site and our web site is now
operational.  We  have  yet to achieve any sales of advertising on our web site.
Our  business  plan  is  to solicit advertisers whose target market includes the
users  of our web site in order to generate revenues.  Accordingly, our business
operations  are in a start-up phase and we have not earned any revenues to date.

PLAN  OF  OPERATIONS

Our  plan  of  operations  for the next twelve months will include the following
components,  subject  to  our  achieving  the  required  financing:

(1)     We  plan to undertake an advertising and marketing campaign now that the
development of our web site is complete.  The objectives of this advertising and
marketing  campaign  will  be to generate sales of advertising for our web site.
We  anticipate  that  the cost of these marketing expenses will be approximately
$6,000.

(2)     We  anticipate  spending  approximately  $6,000 on ongoing operating and
administrative  expenses.  We anticipate that our monthly operating costs of our
Web  site  and  the  costs  of  maintaining  the  accuracy  of  the  immigration
information  on  our  web  site  will  be  approximately  $500  per  month.

(3)     We  anticipate  spending approximately $10,000 on professional fees over
the  next  twelve  months  in complying with our reporting obligations under the
Securities


                                       11

<PAGE>

Exchange  Act  of  1934.

We  anticipate  that  we  will  be spend approximately $22,000 over twelve-month
period  following  March  31,  2002  pursuing our stated plan of operations.  Of
these  anticipated expenditures, we anticipate that $11,000 will be spent on our
plan  of  operations  over the six months following March 31, 2002.  Our present
cash  reserves  are  not  sufficient  for us to carry out our plan of operations
without  additional financing unless we are successful in achieving revenues, of
which  there is no assurance.  If we are successful in earning revenues, then we
may  increase  our  advertising  and  marketing  expenses in order to attempt to
generate  further revenues.  If we are not successful in generating revenues, we
may  be  forced  to  suspend  operations  of  our  immigration  web  site.

We  have entered into negotiations with Cool Can Technologies, Inc. ("Cool Can")
for  the  exclusive  worldwide licensing rights for Cool Can's beverage chilling
technology due to our current limited working capital position and the risk that
we  will not generate sufficient revenues from our immigration web site to cover
our operating expenses.  Cool Can's beverage chilling technology is currently in
the  development stage.  The goal of the technology is to produce a commercially
viable,  self-chilling  beverage  container  product.  The terms of the proposed
agreement  are  under  negotiation. It is anticipated that any license agreement
would  involve  a  combination  of cash payments and ongoing royalty payments to
Cool  Can. The agreement may also involve development expenditure commitments by
us.  These  discussions  are  currently in the negotiation stage.  No definitive
agreements  have  been  executed  to  date  and  there  is no assurance that any
definitive  agreements  will  be executed.   If we are successful in acquiring a
license  of  the Cool Can technology, there is no assurance that we will be able
to  achieve  sufficient  financing  that would be required to commercialize this
technology  and  to  earn  revenues.

Our  actual expenditures and business plan may differ from the one stated above.
Our  board of directors may decide not to pursue this plan.  In addition, we may
modify  the  plan  based  on  available  financing.

RESULTS  OF  OPERATIONS

We did not earn any revenues during the period ending March 31, 2002.  We do not
anticipate  earning  revenues  until  we  commence  sales  of advertising on our
immigration web site or we are successful in acquiring a license of the Cool Can
technology  and  are  successful  in  commercializing  this  technology.  We are
presently  in the development stage and we can provide no assurance that we will
be  successful  in or earning revenues from our immigration web site or from the
Cool  Can  technology  if  we  acquire  a  license  for  this  technology.

We  incurred  operating  expenses  in  the amount of $8,363 for the three months
ended  March 31, 2002 as compared to $1,936 for the three months ended March 31,
2001.  For  the  period  ended  March  31,  2002,  these operating expenses were
comprised  primarily  of  professional  fees  in  the amount of $7,768.  We also
incurred  office  and  sundry  expenses in the amount of $422 during this period
compared  to  $329  for the same period last year.  Additional expenses included
consulting  services of $127 and domain registration costs of $46 for the period
ending  March 31, 2002; these costs were not incurred in the quarter ended March
31,  2001.

We incurred a loss of $8,363 for the three months ended March 31, 2002.  Our net
loss  was  attributable  entirely  to  our  operating  expenses.

FINANCIAL  CONDITION

LIQUIDITY  AND  FINANCIAL  CONDITION


                                       12

<PAGE>

We  had  cash of $11,126 as of March 31, 2002, compared to cash of $14,877 as of
December  31,  2001.  We  had  working  capital  of $4,705 as of March 31, 2002,
compared  to  working  capital  as  of  $$13,068  as  of  December  31,  2001.

We will require additional financing if we are to continue operations as we have
yet  to  realize  revenues from our Internet web site operations and our plan of
operations  calls  for  expenses  in  the amount of $22,000 over the next twelve
months.  We  may  have to terminate operations of our immigration web site if we
do not achieve the necessary financing.  The amount of additional financing that
we  require in order to pursue our business plan will increase if: (a) the costs
of  implementing  our  business  plan  are  greater than anticipated; (b) we are
unsuccessful in earning sufficient revenues from web site operations in order to
sustain  continued operations; or (c) we conclude an agreement with Cool Can for
the  exclusive  worldwide  licensing rights to its technology and commit to fund
the  development  of  this  technology.  We  anticipate  that  if  we pursue any
additional  financing,  the  financing  would  be  an  equity financing achieved
through  the  sale of our common stock.  We do not have any arrangement in place
for  any debt or equity financing.  If we are successful in completing an equity
financing,  existing  shareholders will experience dilution of their interest in
our  company.  In  the  event  we are not successful in obtaining such financing
when  necessary,  we  may  not  be  able to proceed with our plan of operations.

We  anticipate  continuing  operating losses in the foreseeable future.  We base
this  expectation  in  part on the fact that we will incur substantial operating
expenses  in  completing  our  stated plan of operations before we will have the
opportunity  to  earn revenues.  Our future financial results are also uncertain
due to a number of factors, many of which are outside our control. These factors
include,  but  are  not  limited  to:

(1)  consumer  acceptance  of our web site as a commercially marketable Internet
     web  site  with  information and features sought by Internet users desiring
     information  on  immigration  to  the  United  States;
(2)  our  ability  to  successfully  market our web site to our potential users;
(3)  our  ability  to  successfully  market  our web site to advertisers who are
     prepared  to  pay  for  advertising  on  our  site;
(4)  the  introduction  of  competing  web  sites  and  services;
(5)  our  ability  to  secure  a license of the Cool Can technology, to fund the
     development  of  this  technology  and  to  realize  revenues  from
     commercialization  of  this  technology.





                                       13

<PAGE>

PART  II  -  OTHER  INFORMATION

ITEM  1.  LEGAL  PROCEEDINGS

We  are  not  a party to any material legal proceedings and to our knowledge, no
such  proceedings  are  threatened  or  contemplated.

ITEM  2.  CHANGES  IN  SECURITIES

We did not complete any unregistered sales of our common stock during our fiscal
quarter  ended  March  31,  2002.

ITEM  3.  DEFAULTS  UPON  SENIOR  SECURITIES

None.

ITEM  4.  SUBMISSION  OF  MATTERS  TO  A  VOTE  OF  SECURITY  HOLDERS

No  matters  were  submitted  to a vote of our security holders during our first
quarter  ended  March  31,  2002.

ITEM  5.  OTHER  INFORMATION

None.

ITEM  6.  EXHIBITS  AND  REPORTS  ON  FORM  8-K.

EXHIBITS

None.

REPORTS  ON  FORM  8-K

None.





                                       14

<PAGE>


                                   SIGNATURES

In  accordance with the requirements of the Securities and Exchange Act of 1934,
the  Registrant  has  duly  caused this report to be signed on its behalf by the
undersigned,  thereunto  duly  authorised.

BALSAM VENTURES, INC.

Date:   MAY 10, 2002


By:  /s/ Robert Smith
    ---------------------------------------
     ROBERT SMITH,
     PRESIDENT, SECRETARY AND TREASURER