UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                   FORM 10-QSB

(Mark One)
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
    ACT OF 1934

    For the quarterly period ended: March 31, 2004

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

    For the transition period from ____________ to _____________

                        Commission File Number: 000-30554


                                FUTURE CARZ, INC.
             (Exact name of registrant as specified in its charter)

            Nevada                                         88-0431029
(State or other jurisdiction of             (I.R.S. Employer Identification No.)
 incorporation or organization)

717 Union Street, Suite K, San Diego, CA                     92101
(Address of principal executive offices)                   (Zip Code)

                                 (619) 696-3690
              (Registrant's telephone number, including area code)

                                       N/A
         (Former name, former address and former fiscal year, if changed
                               since last report)

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 [ ]

          APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS
                        DURING THE PRECEDING FIVE YEARS:

Indicate  by check mark  whether  the  registrant  has filed all  documents  and
reports  required  to be filed by  Sections  12,  13 or 15(d) of the  Securities
Exchange Act of 1934 subsequent to the  distribution of securities  under a plan
confirmed by a court. Yes [ ] No [ ]

                      APPLICABLE ONLY TO CORPORATE ISSUERS:

Indicate the number of shares  outstanding  of each of the  issuer's  classes of
common stock, as of the latest practicable date: 52,856,900
<PAGE>
                                FUTURE CARZ, INC.
                  FOR THE QUARTERLY PERIOD ENDED MARCH 31, 2004

                                TABLE OF CONTENTS

                                                                           Page
                                                                           ----
PART I - FINANCIAL INFORMATION

          Item 1. Unaudited Financial Statements                              3

                  Balance Sheet                                               4

                  Statements of Operations                                    5

                  Statements of Cash Flows                                    6

                  Notes to Financial Statements                               7

          Item 2. Management's Discussion and Plan of Operation               9

          Item 3. Controls and Procedures                                    11

PART II - OTHER INFORMATION

          Item 1. Legal Proceedings                                          12

          Item 2. Changes in Securities                                      12

          Item 3. Default Upon Senior Securities                             12

          Item 4. Submission of Matters to a Vote of Security Holders        12

          Item 5. Other Information                                          12

          Item 6. Exhibits                                                   12

SIGNATURES                                                                   13

                                       2
<PAGE>
                         PART I - FINANCIAL INFORMATION

ITEM 1. UNAUDITED FINANCIAL STATEMENTS

     The  accompanying  unaudited  consolidated  financial  statements have been
prepared in accordance  with  accounting  principles  generally  accepted in the
United  States of America for interim  financial  reporting  and pursuant to the
rules and regulations of the Securities and Exchange Commission  ("Commission").
While these statements  reflect all normal recurring  adjustments  which are, in
the opinion of management, necessary for fair presentation of the results of the
interim  period,  they  do not  include  all of the  information  and  footnotes
required by  accounting  principles  generally  accepted in the United States of
America for complete financial statements. For further information, refer to the
financial statements and footnotes thereto,  which are included in the Company's
Annual Report on Form 10-KSB  previously  filed with the  Commission on April 2,
2004.


                                       3
<PAGE>
                                Future Carz, Inc.
                           Consolidated Balance Sheet
                                 March 31, 2004
                                   (Unaudited)

                                     ASSETS

CURRENT ASSETS
   Cash                                                             $       346
   Accounts receivable                                                    3,068
                                                                    -----------
     Total current assets                                                 3,414
                                                                    -----------
LEASE ASSETS
   Net investment in operating lease vehicles                           434,863
   Vehicles held for lease                                              183,000
                                                                    -----------
                                                                        617,863
                                                                    -----------

                                                                    $   621,277
                                                                    ===========

                     LIABILITIES AND STOCKHOLDERS' EQUITY

CURRENT LIABILITIES
   Accounts payable and accrued expenses                            $   175,180
   Operating advances - related parties                                   2,500
   Notes payable                                                         16,000
   Loans payable                                                        400,000
                                                                    -----------
     Total current liabilities                                          593,680
                                                                    -----------
STOCKHOLDERS' EQUITY
   Preferred stock, $0.001 par value, 5,000,000 shares
    authorized, no shares issued and outstanding                             --
   Common stock, $0.001 par value, 100,000,000 shares
    authorized, 52,856,900 shares issued and
   outstanding                                                           52,857
   Additional paid-in capital                                         6,641,216
   Stock subscription                                                     9,750
   Deferred compensation                                                (16,500)
   Accumulated (deficit)                                             (6,659,726)
                                                                    -----------
                                                                         27,597
                                                                    -----------

                                                                    $   621,277
                                                                    ===========

   The accompanying notes are an integral part of these financial statements.

                                       4
<PAGE>
                                Future Carz, Inc.
                      Consolidated Statements of Operations
                                   (Unaudited)


                                            For the three months ended March 31,
                                                2004                   2003
                                            ------------           ------------

REVENUE                                     $     29,024           $     12,697
                                            ------------           ------------
EXPENSES
   General and administrative                     16,497                 18,820
   Depreciation and amortization                  10,874                  4,924
   Non-cash stock compensation                     4,125                     --
                                            ------------           ------------
                                                  31,496                 23,744
                                            ------------           ------------

NET OPERATING (LOSS)                              (2,472)               (11,047)
                                            ------------           ------------
OTHER INCOME (EXPENSE)
   Sale of license                               130,000                     --
   Legal settlement                              (19,750)                    --
   Interest expense                              (12,148)                    --
                                            ------------           ------------
                                                  98,102                     --
                                            ------------           ------------

NET INCOME (LOSS)                           $     95,630           $    (11,047)
                                            ============           ============

PER SHARE INFORMATION

WEIGHTED AVERAGE SHARES OUTSTANDING -
 BASIC AND DILUTED                            52,856,900             52,540,233
                                            ============           ============

NET INCOME (LOSS) PER COMMON SHARE          $       0.00           $      (0.00)
                                            ============           ============

   The accompanying notes are an integral part of these financial statements.

                                       5
<PAGE>
                                Future Carz, Inc.
                      Consolidated Statements of Cash Flows
                                   (Unaudited)


                                            For the three months ended March 31,
                                                 2004                    2003
                                               --------                --------
Cash flow from operating activities
   Net cash provided by (used in) operating
    expenses                                   $    659                $ (8,330)
                                               --------                --------

Cash flow from investing activities
  Purchase of lease vehicles                         --                 (31,890)
                                               --------                --------
   Net cash (used in) investing activities           --                 (31,890)
                                               --------                --------
Cash flow from financing activities
   Net cash provided by financing activities         --                      --
                                               --------                --------

Net (decrease) in cash                             (659)                (40,220)

Cash - beginning                                  1,005                  53,663
                                               --------                --------
Cash - ending                                  $    346                $ 13,443
                                               ========                ========

   The accompanying notes are an integral part of these financial statements.

                                       6
<PAGE>
                                Future Carz, Inc.
                   Notes to Consolidated Financial Statements
                                 March 31, 2004
                                   (Unaudited)


NOTE 1. BASIS OF PRESENTATION

The accompanying  unaudited consolidated financial statements have been prepared
in accordance with accounting principles generally accepted in the United States
of America for  interim  financial  information.  They do not include all of the
information and footnotes required by accounting  principles  generally accepted
in the United  States of  America  for  complete  financial  statements.  In the
opinion of management,  all  adjustments,  consisting  only of normal  recurring
adjustments, considered necessary for a fair presentation, have been included in
the accompanying unaudited consolidated financial statements.  Operating results
for the periods presented are not necessarily indicative of the results that may
be  expected  for  the  full  year.  For  further  information,   refer  to  the
consolidated  financial statements and notes thereto,  included in the Company's
Form 10-KSB as of and for the two years ended December 31, 2003.

NOTE 2. EARNINGS PER SHARE

The Company  calculates  net income (loss) per share as required by Statement of
Financial  Accounting Standards 128, "Earnings per Share." Basic earnings (loss)
per share is calculated  by dividing net income  (loss) by the weighted  average
number of common shares outstanding for the period.  Diluted earnings (loss) per
share is calculated by dividing net income (loss) by the weighted average number
of common shares and dilutive common stock equivalents  outstanding.  During the
periods presented, common stock equivalents were not considered, as their effect
would be anti-dilutive.

NOTE 3. GOING CONCERN

The Company's financial statements are presented on a going concern basis, which
contemplates  the  realization of assets and  satisfaction of liabilities in the
normal course of business.

The Company has experienced losses from operations as a result of its investment
necessary to achieve its operating plan, which is long-range in nature.  For the
three months ended March 31, 2004 the Company  incurred a net operating  loss of
$2,472 and has a working capital deficit of $590,266.

The ability of the Company to continue as a going concern is dependent  upon its
ability  to  raise  additional  capital  and,  ultimately,  the  achievement  of
significant  operating revenues.  The accompanying  financial  statements do not
include any  adjustments  that might be required should the Company be unable to
recover the value of its assets or satisfy its liabilities.

                                       7
<PAGE>
                                Future Carz, Inc.
                   Notes to Consolidated Financial Statements
                                 March 31, 2004
                                   (Unaudited)

NOTE 4.  LITIGATION SETTLEMENT

On January 28, 2004 the Company  agreed to issue 650,000  shares of common stock
in settlement  of  litigation.  The shares were  subscribed at their fair market
value of $0.015 on that date,  for a total of $9,750.  In  connection  with this
settlement,  the Company also  recorded a note payable of $10,000.  This note is
non-interest bearing and is due on January 28, 2005.

NOTE 5.  NOTE PAYABLE, RELATED PARTY

On March 28,  2003,  amounts  due under a  subscription  for common  stock as of
December 31, 2002, in the amount of $136,000 were  transferred to a note payable
to a shareholder.  The face amount of the note payable was $136,000 and the note
bore no  interest.  Therefore,  the  Company  recorded  a discount  of  $25,000,
representing  interest  at 10% per annum  against  additional  paid in  capital.
Interest  expense of $9,000 was recognized for the year ended December 31, 2003.
The resulting note payable and imputed interest balance was $120,000 at December
31, 2003.

On March 31, 2004 the Company sold  certain  developmental  licensing  rights in
Maricopa County to Western Ventures,  Inc., an Arizona  corporation for $130,000
in exchange for all but $6,000 of the remaining note balance, after discount and
imputed interest. The Company reduced notes payable,  related party by $114,000,
recognized  other income in the amount of $130,000  and  reversed the  remaining
$16,000 discount against additional paid in capital.

NOTE 6.  SUBSEQUENT EVENT

On April 30, 2004, the Company defaulted on a payment of principal in the amount
of $400,000  and  interest  in the amount of $4,000 on a note due Hoosier  State
Building  and Loan,  Ltd.  The  promissory  note is secured by lease  assets and
matured  on April 30,  2004.  As of the date of this  filing  the  Company is in
discussions with the note holder to renew the note.

                                       8
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND PLAN OF OPERATION

FORWARD-LOOKING STATEMENTS

    This Quarterly Report contains forward-looking statements about Future Carz,
Inc.'s  business,  financial  condition and prospects that reflect  management's
assumptions and beliefs based on information currently available. We can give no
assurance that the  expectations  indicated by such  forward-looking  statements
will be realized. If any of our management's assumptions should prove incorrect,
or if any of the risks and  uncertainties  underlying such  expectations  should
materialize,  Future  Carz'  actual  results  may differ  materially  from those
indicated by the forward-looking statements.

    The key  factors  that are not within our control and that may have a direct
bearing on operating results include,  but are not limited to, acceptance of our
services, our ability to expand our customer base, managements' ability to raise
capital  in the  future,  the  retention  of key  employees  and  changes in the
regulation of our industry.

    There may be other risks and circumstances  that management may be unable to
predict.  When  used  in this  Quarterly  Report,  words  such  as,  "BELIEVES,"
"EXPECTS,"   "INTENDS,"   "PLANS,"   "ANTICIPATES,"   "ESTIMATES"   and  similar
expressions are intended to identify forward-looking  statements,  as defined in
Section  21E of the  Securities  Exchange  Act of 1934,  although  there  may be
certain forward-looking statements not accompanied by such expressions.

    The safe harbors of  forward-looking  statements  provided by Section 21E of
the  Exchange  Act are  unavailable  to  issuers  of penny  stock.  As we issued
securities  at a price below $5.00 per share,  our shares are  considered  penny
stock and such safe  harbors set forth under the Reform Act are  unavailable  to
us.

GENERAL

    Future Carz,  Inc.  ("Future  Carz" or the  "Company")  was organized by the
filing of articles of incorporation  with the Secretary of State of the State of
Nevada on July 13, 1999, under the name Future Carz.com,  Inc. Subsequently,  on
February  5, 2001,  we filed an  amendment  to the  articles  of  incorporation,
whereby we changed our name to Future Carz,  Inc. We have never been the subject
of any bankruptcy or receivership action.

    In October 2002, we entered into an agreement with The Jack Watters Group to
obtain necessary  capital to satisfy our debt obligations and to reconfigure our
operations   to  achieve   profitability   and   increase   revenue   generating
capabilities.

    We were originally founded to capitalize on two significant  emerging trends
transforming the automobile  financing  market: a dramatic rise in the number of
sub-prime  consumers  and a  marked  increase  in used  car  leasing.  Sub-prime
consumers are individuals with limited credit  histories,  low incomes,  or past
credit  issues  that  prevent  them  from  accessing  traditional   (conforming)
financing.  This group now  accounts  for roughly  45% of the credit  population
nationwide.  Through a predecessor company,  our management  identified a unique
opportunity for high-yield  profits with  comparatively  low exposure to risk in
the sub-prime segment of the automobile  financing market. The innovation behind
the  opportunity was an  unconventional  approach to leasing rather than selling
used vehicles.

    Our  current  service  offering is designed to meet the needs of the growing
sub-prime credit sector seeking quality used automobiles. We offer an attractive
alternative to buying a used car or leasing a new one. The concept is to provide
closed-end  leases  on used  vehicles  in a  format  that is  acceptable  to the
sub-prime consumer, yet reduces risk of default for us.

                                       9
<PAGE>
    Our leasing  system  incorporates  both new and used cars.  Lessees  have an
option to take out a warranty  for $10 a week that  covers the  vehicle's  major
components. As of March 31, 2004, 15 lessees have chosen to purchase a warranty.
The lease  requires  the lessee to return the  vehicle  to an  approved  service
location for a checkup every three months.  The general lease offering  includes
an acquisition  fee of $500 in cash with an average weekly payment of $60. These
payments are due each Friday. If the lessee fails to make the payment on Friday,
the lessee will receive a phone call on Saturday. If no response occurs prior to
Monday, a collection agency is contacted and takes a more aggressive approach to
receive  payment or, as a last resort,  the vehicle is  repossessed.  The leased
vehicle title remains in our name during the entire lease period.

    Customers view the opportunity to drive a quality vehicle as a luxury and in
many cases, we may be their last resort to obtain reliable  transportation.  The
added benefit of building good credit is an unexpected  bonus.  For this reason,
we command a sense of loyalty with our customers. Many of these individuals will
eventually  improve their credit rating and look for newer  vehicles or upgraded
transportation.  Through our approach, we can produce strong repeat customer and
referral business.

    In November 2002 the present  management  team began building  relationships
with automotive  rebuilders in southern California to provide a source of supply
for  quality  late  model   automobiles.   Rebuilders  were  required  to  build
automobiles to the Company's  specifications and provide a limited warranty.  To
date the Company has acquired over 50 vehicles from these sources.

    In December  2002 the Company  opened a leasing  center under the name Accel
Auto Carz  located at 717 Union  Street in San Diego,  CA. In June of 2003,  the
Company opened a leasing  center in Hammond,  IN under the name Accel Auto Carz.
As of March 31,  2004,  the Company has leased 36  vehicles.  The Company  makes
credit  decisions  taking into  account the  prospective  lessee's  present job,
credit history and future prospects.  For the period beginning  December 1, 2002
to date, the Company has suffered three defaults on lease payments. In all three
defaults the vehicles  were  repossessed.  Two of the three  vehicles  have been
released with the third in inventory ready to be released.

     In May 2003, the Company finalized arrangements with Hoosier State Building
and Loan, Ltd. for a business line of credit. Under the terms of four promissory
notes,  Hoosier  extended  a line of credit of  $400,000  backed by liens on the
Company's  leased  vehicles and leases.  The Company used these funds to acquire
additional  inventory for its San Diego and Hammond leasing centers. As of April
30, 2004,  the Company has defaulted in the payment of $400,000 in principal and
$4,000 in interest on these notes. The Company is in negotiations to renew these
notes.

Revenue from services provided

    The  Company's  revenue from  services  provided was $29,024 for the quarter
ended March 31, 2004.  For the prior quarter ended March 31, 2003,  revenue from
services  provided was $12,697.  This increase in revenue is attributable to the
Company's continuing leasing activity in San Diego, CA and Hammond, IN.

Operating expenses

    Operating  expenses totaled $31,496 and $23,744 for the quarters ended March
31, 2004 and 2003,  respectively.  The increase in expenses is  attributable  to
increased leasing activity.

    In  addition,  the  Company's  interest  expense was $12,148 for the quarter
ended  March 31,  2004,  up from zero in the prior  year,  due to notes  payable
entered into to acquire vehicles for lease.

                                       10
<PAGE>
Net Income

     The Company  generated  net income in the amount of $95,630 for the quarter
ended  March  31,  2004.  The net  income  was a result  of a  one-time  sale of
developmental  licensing rights resulting in $130,000 of other income.  This net
income represents an increase of $84,583 over the net loss for the prior quarter
2003 of $11,047.

Liquidity and Capital Resources

    The Company  experienced a net decrease of $659 in our cash position  during
the quarter  ended  March 31,  2004,  as  compared to a net  decrease of $40,220
during the quarter  ended March 31,  2003.  The Company  used cash in  operating
activities  of $659 for the quarter  ended March 31, 2004,  as compared to using
$8,330  of cash for the  quarter  ended  March 31,  2003.  The  Company  retired
$114,000  of notes  payable as a result of the sale of  developmental  licensing
rights in a noncash  transaction,  during the quarter ending March 31, 2004. The
Company purchased lease vehicles with cash in the amount of $31,890,  during the
quarter ended March 31, 2004.

    The Company  obtained no new  financing  during the quarter  ended March 31,
2004.

Cash needs for the next twelve months

    The Company has  defaulted on a note payable to Hoosier  State  Building and
Loan,  Ltd. in the  principal  amount of $400,000  which was due April 30, 2004.
Unless the  Company is able to renew this note on  favorable  terms the  Company
will be forced to surrender its vehicles held for lease, and its leased vehicles
including the leases to satisfy this debt. Based on current  information on hand
and the Company's latest  expectation for its operations for the next 12 months,
the Company  may face an issue of whether  its  available  cash  resources  from
operations and capital will allow it to continue as a going concern.

    The Company  cannot give any assurance that it will be able to generate cash
from  operations  to meet its  needs  for the  next 12  months.  There  may be a
shortfall  in our cash if the  Company  fails to do so. The  Company may need to
obtain additional financing in the event that it is unable to realize sufficient
revenue or collect accounts  receivable.  Furthermore,  the Company's ability to
satisfy the redemption of future debt obligations that it may enter into will be
primarily  dependent upon the future financial and operating  performance of the
Company.  Such  performance  is  dependent  upon  financial,  business and other
general economic factors, many of which are beyond the Company's control. If the
Company  is unable to  generate  sufficient  cash flow to meet its  future  debt
service  obligations or provide adequate long-term  liquidity,  the Company will
have to pursue one or more  alternatives,  such as reducing or delaying  capital
expenditures,  refinancing debt,  selling assets or operations or raising equity
capital. There can be no assurance that such alternatives can be accomplished on
satisfactory  terms,  if at all, or in a timely manner.  If the Company does not
have  sufficient  cash  resources  when needed,  the Company will not be able to
continue operations as a going concern.

ITEM 3. CONTROLS AND PROCEDURES

    Within 90 days prior to the date of filing of this report, we carried out an
evaluation,  under the supervision and with the participation of our management,
including the Chief Executive Officer (who also effectively  serves as the Chief
Financial  Officer),  of the design and operation of our disclosure controls and
procedures. Based on this evaluation, our Chief Executive Officer concluded that
our disclosure  controls and  procedures are effective for gathering,  analyzing
and  disclosing  the  information  we are required to disclose in the reports we
file  under  the  Securities  Exchange  Act of 1934,  within  the  time  periods
specified in the SEC's rules and forms.  There have been no significant  changes
in our internal  controls or in other  factors that could  significantly  affect
internal controls subsequent to the date of this evaluation.

                                       11
<PAGE>
                           PART II - OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

    In 2001, the Company and its officers and directors were named as defendants
in a lawsuit  in the State of Arizona  brought by  investors  and  creditors  of
American Automotive Group relating to allegations of securities fraud by certain
shareholders of American  Automotive Group. The Company was named in the lawsuit
due to its asset  purchase  of American  Automotive  Group's  auto lease  assets
during the 2001 for common stock of the Company. The claim is for remediation of
$162,000, including attorney's fees. As of January 28, 2004, this litigation was
settled  and  dismissed  with   prejudice.   The  Company   executed  a  $10,000
non-interest  bearing note due January 28, 2005 and will issue 650,000 shares of
common  stock,  valued at the closing  price of the common  stock on January 28,
2004 of $0.015 per share, or $9,750, in settlement of this litigation.

ITEM 2. CHANGES IN SECURITIES

    On January 28, 2004, the Company recorded a stock subscription in the amount
of 650,000  shares of $0.001 par value common stock as settlement of litigation.
These  shares will be issued upon receipt by the Company of direction of to whom
these shares will be issued and in what amounts.

ITEM 3. DEFAULT UPON SENIOR SECURITIES

     The Company has  defaulted  in the  payment of  principal  in the amount of
$400,000 on a loan due to Hoosier State Building and Loan, Ltd.

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

    NONE

ITEM 5. OTHER INFORMATION

    NONE

ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K

                               Description
                               -----------

Exhibit 31     Section 302 Certification

Exhibit 32     Certification  Pursuant to 18 U.S.C.  Section  1350,  As Adopted,
               Section 906 of the Sarbanes-Oxley Act of 2002

                                       12
<PAGE>
                                   SIGNATURES

    In accordance  with Section 13 or 15(d) of the Exchange Act, the  registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.

                                Future Carz, Inc.
                                  (Registrant)

      Signature                           Title                         Date
      ---------                           -----                         ----


/s/ M. David Fesko              Chief Executive Officer and         May 14, 2004
---------------------------     Chief Financial Officer
M. David Fesko


                                       13