UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                              Washington, DC 20549


                                   FORM 10-QSB

              [X] QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE
                         SECURITIES EXCHANGE ACT OF 1934
                  For the quarterly period ended June 30, 2002

       [ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT
      For the transition period from _________________ to _________________


                        Commission file number: 2-96392-A


                             TANGENT SOLUTIONS, INC.
        (Exact name of small business issuer as specified in its charter)


                        DELAWARE                     65-0952956
           (State or other jurisdiction             (IRS Employer
         of incorporation or organization)        Identification No.)


                  6801 POWERLINE ROAD, FT. LAUDERDALE, FL 33309
                    (Address of principal executive offices)


                                 (954) 935-8100
                           (Issuer's telephone number)


Check whether the  registrant  filed all  documents  and reports  required to be
Filed by Section 12, 13 or 15(d) of the Exchange Act after the  distribution  of
Securities under a plan confirmed by a court. Yes [X]   No [ ]

State the number of shares outstanding of each of the issuer's classes of common
Equity, as of the latest practicable date: 15,646,383

Transitional Small Business Disclosure Format (check one): Yes [ ]   No [X]



<page>



PART I   FINANCIAL INFORMATION


Item 1. Financial Statements:

Consolidated Balance Sheet June 30, 2002

Consolidated  Statements of Operations for the Six Months and Three Months Ended
June 30, 2002 and 2001

Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2002 and
2001

Selected Notes to Consolidated Financial Statements


Item 2. Management's Discussion and Analysis of June 30, 2002 Results


PART II   OTHER INFORMATION

Item 1. Legal Proceedings

Item 2. Changes in Securities

Item 3. Defaults Upon Senior Securities

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

Item 5. Other Information

Item 6. Exhibits and Reports on Form 8-K


Signatures



<page>



Part 1   Financial Information


Item 1.  Financial Statements




                    TANGENT SOLUTIONS, INC. AND SUBSIDIARIES
                           CONSOLIDATED BALANCE SHEET
                                  JUNE 30, 2002
                                   (Unaudited)

ASSETS
Current Assets:
     Cash and cash equivalents ...................................       66,081
     Accounts receivable, net of allowance
          for doubtful accounts of $ 75,000 ......................       57,827
     Other current assets ........................................        5,577
     Current assets of discontinued operations ...................       90,442
                                                                      ----------
                                                                      ----------

                    Total current assets .........................      219,927

     Property, plant, and equipment, net of
         accumulated depreciation of $ 13,876 ....................       46,422
                                                                      ----------
                                                                      ----------
                    Total assets .................................      266,349
                                                                      ==========
                                                                      ==========


LIABILITIES AND STOCKHOLDER'S DEFICIT
Current liabilities:
     Current maturities of long term obligations .................      242,623
     Accounts payable and accrued expenses .......................      240,901
     Deferred revenue ............................................       80,429
     Current liabilities of discountinued operations .............      124,501
     Other current liabilities ...................................      158,503
                                                                      ----------
                                                                      ----------
                    Total current liabilities ....................      846,957

     Long term obligations, net of current maturities ............      117,546
                                                                      ----------
                                                                      ----------

                    Total liabilities ............................      964,503
                                                                      ----------
                                                                      ----------


Stockholders' deficit:
     Preferred stock, par value $.001, authorized
          1,000,000 shares, no shares issued and
          outstanding ............................................         --
     Common stock, par value $.001, 100,000,000
          shares authorized, 15,455,215 issued and
          outstanding.............................................       15,455
     Additional paid in capital ..................................    8,296,695
     Accumulated deficit .........................................   (9,010,304)
                                                                      ----------
                                                                      ----------

                    Total stockholder deficit ....................     (698,154)
                                                                      ----------
                                                                      ----------

                    Total liabilities and stockholders' deficit...      266,349
                                                                      ==========



<page>


                    TANGENT SOLUTIONS, INC. AND SUBSIDIARIES
                      CONSOLIDATED STATEMENT OF OPERATIONS
                 FOR THE SIX MONTHS ENDED JUN 30, 2002 AND 2001
                                   (Unaudited)


                                                       2002            2001
                                                   ------------    ------------
                                                   ------------    ------------
Sales ..........................................   $    686,423    $    551,134
Cost of Sales ..................................        214,078          59,475
                                                   ------------    ------------
                                                   ------------    ------------

Gross Profit ...................................        472,345         491,659

Selling, general and administrative ............        439,215         697,095
                                                   ------------    ------------
                                                   ------------    ------------

Income (loss) from continuing operations
     before other income (expense) .............         33,130        (205,436)
                                                   ------------    ------------
                                                   ------------    ------------

Other Income (expense):
Interest income (expense), net .................        (10,751)           --
Other Income (expense), net ....................          2,227            --
                                                   ------------    ------------
                                                   ------------    ------------

Total other income (expense) ...................         (8,524)           --
                                                   ------------    ------------
                                                   ------------    ------------

Income (loss) from continuing operations .......         24,606        (205,436)

Discontinued operations
    Income (Loss) from discontinued
        operations Quick Credit Corp. ..........        (11,157)       (326,932)
                                                   ------------    ------------
                                                   ------------    ------------

Net income (loss) ..............................   $     13,449    $   (532,368)
                                                   ============    ============
                                                   ============    ============

Basic and Diluted Income (Loss)
     per Common Shares:

Net income (loss) from continuing
     operations.................................   $       0.00    $      (0.01)
                                                   ============    ============
                                                   ============    ============
Net income (loss) from discontinued
     operations ................................   $      (0.00)   $      (0.02)
                                                   ============    ============
                                                   ============    ============
Net income (loss) ..............................   $       0.00    $      (0.04)
                                                   ============    ============
                                                   ============    ============

Weighted average number of
     shares outstanding ........................     15,509,365      14,905,088
                                                   ============    ============


<page>



                    TANGENT SOLUTIONS, INC. AND SUBSIDIARIES
                      CONSOLIDATED STATEMENT OF OPERATIONS
                FOR THE THREE MONTHS ENDED JUN 30, 2002 AND 2001
                                   (Unaudited)


                                                       2002            2001
                                                   ------------    ------------
                                                   ------------    ------------
Sales ..........................................   $    207,868    $    364,174
Cost of Sales ..................................        176,468          29,336
                                                   ------------    ------------
                                                   ------------    ------------

Gross Profit ...................................         31,400         334,838

Selling, general and administrative ............        114,384         266,407
                                                   ------------    ------------
                                                   ------------    ------------

Income (loss) from continuing
     operations before other
     income (expense) ..........................        (82,984)         68,431
                                                   ------------    ------------
                                                   ------------    ------------

Other Income (expense):
Interest income (expense), net ..... ...........         (2,018)           (538)
Other Income (expense), net ....................          2,227            --
                                                   ------------    ------------
                                                   ------------    ------------

Total other income (expense) ...................            209            (538)
                                                   ------------    ------------
                                                   ------------    ------------

Income (loss) from continuing operations .......        (82,775)         67,893

Discontinued operations:
    Income (Loss) from discontinued operations
        Quick Credit Corp. .....................         69,415         (36,228)
                                                   ------------    ------------
                                                   ------------    ------------

Net income (loss) ..............................   $    (13,360)   $     31,665
                                                   ============    ============
                                                   ============    ============


Basic and Diluted Income (Loss)
     per Common Shares:

Net income (loss) from continuing
     operations ................................   $      (0.01)   $       0.00
                                                   ============    ============
                                                   ============    ============
Net income (loss) from discontinued
     operations ................................   $       0.00    $      (0.00)
                                                   ============    ============
                                                   ============    ============
Net income (loss) .... .........................   $      (0.00)   $       0.00
                                                   ============    ============
                                                   ============    ============

Weighted average number of
    shares outstanding .........................     15,508,444      14,905,088
                                                   ============    ============


<page>


                    TANGENT SOLUTIONS, INC. AND SUBSIDIARIES
                      CONSOLIDATED STATEMENT OF CASH FLOWS
                 FOR THE SIX MONTHS ENDED JUNE 30, 2002 AND 2001
                                   (Unaudited)


                                                        2002           2001
                                                     -----------    -----------
                                                     -----------    -----------
Cash flows from operating activities
     Net income (loss) ...........................   $    13,449    $  (532,368)
                                                     -----------    -----------
                                                     -----------    -----------

         Adjustments to reconcile net income
             (loss) to net cash used in
             operating activities
                   Depreciation/Amortization .....        (5,174)        66,035
                   Accounts receivable ...........        39,063        274,365
                   Reorg loan from third party
                        investor .................                     (700,000)
                   Accts payable & accrued
                        expenses .................      (114,638)       384,404
                   Current Assets of
                        Discontinued Operations ..        90,442              0
                   Deferred Revenue ..............       (53,951)         2,153
                                                     -----------    -----------
                                                     -----------    -----------

Net cash used by operating
       activities ................................       (30,809)      (505,411)
                                                     -----------    -----------
                                                     -----------    -----------

         Funds provided by new financing .........                    1,385,000


Net increase (decrease) in cash ..................       (30,809)       879,589

Cash -- beginning of period ......................        96,890         12,310
                                                     -----------    -----------
                                                     -----------    -----------

Cash -- end of period ............................   $    66,081    $   891,899
                                                     ===========    ===========
                                                     ===========    ===========

Supplemental disclosure of cash
      flow information

      Cash paid for interest during the year ....................         5,705
      Cash paid for income taxes during the year ................             0



<page>



                             TANGENT SOLUTIONS, INC.
                     SELECTED NOTES TO FINANCIAL STATEMENTS
                                   (Unaudited)

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 and with the instructions to Form
10-QSB and Article 10 of Regulation S-X. Accordingly, they do not include all of
the  information  and  footnotes  required by  accounting  principals  generally
accepted in the United States of America for complete financial  statements.  In
the opinion of  management,  all  adjustments  considered  necessary  for a fair
presentation  consisting of normal recurring  accruals) have been included.  The
preparation of financial  statements in conformity  with  accounting  principles
generally  accepted by the United States of America 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
during the reported  period.  Actual results could differ from those  estimates.
For further  information,  refer to the  consolidated  financial  statements and
footnotes thereto included in the Company's Annual Report on Form 10-KSB for the
year ended December 31, 2001.

2.   Business

Tangent  Solutions,   Inc.,  a  Delaware  corporation,   through  its  operating
subsidiaries  (collectively  with  the  subsidiaries,  the  "Company"),  creates
software and  provides  services  primarily  to the mortgage  lending and credit
agency   industries.   The  Company  also  fulfills  requests  from  independent
membership clubs for credit information products.  All of the Company's business
operations are conducted  through  Engineered  Business  Systems,  Inc. ("EBS"),
Quick Credit Corp. ("QCC"), and Consumer Guardian,  Inc. ("CGI").  EBS, acquired
by the Company in December  1996,  develops and sells quality  control  software
products and services  for the  mortgage  and credit  industry.  QCC is a wholly
owned  corporation,  formed by the  Company in  February  1998,  which  compiles
information  provided by credit  repositories,  organizes the information in the
form of reports,  and sells the  comprehensive  credit reports to its customers.
QCC ceased  operations  and sold its client  base in April of 2002 (see Note 4).
CGI is a wholly owned  corporation  and was formed by the Company in August 2001
to  specialize  in  membership  club  services and consumer  credit.  During the
quarter ended June 30, 2002, CGI was inactive.

On  September  1, 2000,  the  Company  and its  subsidiaries  filed a  voluntary
petition for relief under Chapter 11 of the United States Bankruptcy Code in the
United  States  Bankruptcy  Court for the  Southern  District of  Florida.  From
September 1, 2000 through April 30, 2001, the Company  operated its business and
managed  its affairs as a  debtor-in-possession.  The United  States  Bankruptcy
Court  confirmed the joint Plan of  Reorganization  (the "Plan") on May 1, 2001.
The final decree from the  Bankruptcy  Court was issued January 15, 2002. All of
the common and  preferred  stock that was  outstanding  prior to May 1, 2001 was
cancelled  and new shares of common  stock were  issued in  accordance  with the
Plan.  Majority  holders  of the  Company's  voting  shares  before May 1, 2001,
received the majority of voting shares after that date.  Therefore,  a change of
control did not occur. The Company continued its basis of accounting and did not
adopt  fresh  start  accounting,  which  would  apply if there  were a change in
control.

3.  Uncertainty -- Going Concern

The Company's  continued  long-term  existence is dependent  upon its ability to
implement its business plan after  emerging from  bankruptcy on May 1, 2001. The
Company must resolve its liquidity problems, principally by raising capital thru
the sale of equity,  increasing sales and achieving profitable  operations.  The
Company  experienced a profit from continuing  operations of $24,606 for the six
months  ended June 30,  2002.  However,  at June 30,  2002,  the  Company  had a
stockholders'  deficit of  $698,154.  Additionally,  the QCC  subsidiary  of the
Company was delinquent on four note payable payments of approximately $67,000 at
June 30, 2002. These matters raise doubt about the Company's ability to continue
as a going concern.

Management's  plans in regard to this matter are to create  additional  products
and  refine  existing  products,   much  of  which  is  completed  and  awaiting
introduction  to the  marketplace.  It also  plans to expand  its  sales  force,
increase  market  penetration  and  volume of sales and to  further  reduce  its
operating  costs to generate  positive  cash flow (see Note 4). To do this,  the
Company  must raise  equity in order to finance  its  expansion,  and to improve
liquidity and sustain  operations.  The financial  statements do not include any
adjustments that might result from the outcome of this uncertainty.



4.  Discontinued Operations

On April 23, 2002, the Company  elected to close the operations of QCC effective
April 30,  2002 and sell its assets.  On May 16,  2002,  the Company  sold QCC's
customer  list to a  competitor.  The sales  agreement  provided  for an initial
payment of $10,000 and monthly payments over the next twelve months based upon a
formula related to the amount of sales generated from the customer list. Because
the future  payments are contingent upon sales from the customer list, the sales
price cannot be certain.  The statement of operations  has been prepared to show
the effects of the discontinued operation.

5.  Segment Information

Segment  information  for the six  months  ended  June 30,  2002 and 2001 was as
follows:

                                                     QCC
                                           EBS  (Discontinued)  Corporate Total
                                          ----  --------------  ---------  -----

                                 June 30, 2002
                                 (in thousands)

Sales ..................................   686        235           --      921
Operating income (loss) ................   250       (116)         (217)     83
Other income (expense)                      (8)       105             5     102
Depreciation and amortization ..........   --          --            13      13
Total assets ...........................    78         90            98     266
Capital expenditures ...................   --          --           --       --

                                 June 30, 2001
                                 (in thousands)

Sales ..................................   551        328           --      879
Operating income (loss) ................   160       (599)         (92)    (531)
Depreciation and amortization ..........    --         --            1        1
Total Assets ...........................    75          2          941    1,018
Capital expenditures ...................    --         --           --       --



6. Equity transactions during the quarter. There were 52,071 shares cancelled by
the Board of  Directors  due to shares  issued in  anticipation  of legal action
decisions by the  bankruptcy  court.  Since the  decisions  were in favor of the
Company,  such shares were cancelled.  An additional 3,000 shares were cancelled
that were issued to employees but never  distributed  prior to their termination
of employment.


7. New Accounting  Issues.  In June,  2002, the Financial  Accounting  Standards
Board  issued  SFAS No. 146 on  "Accounting  for Costs  Associated  with Exit of
Disposal Activities." The Company is reviewing the requirements and implications
of adopting  such  standards  by December  31, 2002.  This  Statement  addresses
financial  and  reporting  for  such  costs  associated  with  exit or  disposal
activities  and  nullifies  Emerging  Issues Task Force  (EITF)  Issue No. 94-3,
"Liability Recognition for Certain Employee Termination Benefits and Other Costs
to Exit an Activity (including Certain Costs Incurred in a Restructuring)."  The
Company  currently does not believe adopting such standards will have a material
effect on the presentation of the financial statements.


<page>


Item 2.   Management's Discussion and Analysis or Plan of Operation

The following  discussion of the  Company's  financial  condition and results of
operations should be read in conjunction with the Financial Statements and Notes
thereto, appearing elsewhere in this document.

Statements in this "Management's  Discussion and Analysis of Financial Condition
and Results of Operations" and elsewhere in this document, as well as statements
made in press releases  and/or  statements that may be made by the Company or by
officers,  directors, or employees of the Company acting on the Company's behalf
that are not  statements  of historical  or current  fact,  constitute  "forward
looking  statements"  within the  meaning of the Private  Securities  Litigation
Reform Act 1995.  Such  forward-looking  statements  involve  known and  unknown
risks,  uncertainties,  and other  unknown  factors  that could cause the actual
results of the Company to be materially different from the historical results or
from any future results expressed or implied by such forward looking statements.
In addition to statements that explicitly describe such risks and uncertainties,
readers  are urged to consider  statements  labeled  with the terms  "believes,"
"belief,"  "expects,"  "intends,"  "anticipates,"  or "plans"  to be  uncertain,
forward-looking  statements. The forward-looking statements contained herein are
also subject generally to other risk and  uncertainties  that are described from
time-to-time in the Company's reports and registration statements filed with the
Securities and Exchange Commission.

The  following  table sets  forth  information  on  operations  for the  periods
indicated.


                                  Three Month Consolidation

                                               2002                   2001
                                        -----------------     ------------------
                                            $         %           $         %
                                        ---------   -----     ---------   ------
Sales from continuing operations        $ 207,868    100%     $ 364,174    100%
Cost of sales                             176,468     85%        29,336      8%
Operating Expenses                        114,384     55%       266,407     73%
Income (loss) from continuing
    operations                            (82,984)   (40%)       68,431     19%
Gain (loss) from discontinued
    operations                             69,415     34%       (36,228)   (10%)
Net income (Loss)                         (13,360)    (7%)        31,665     9%


By subsidiary:

Engineered Business Systems, Inc.
                                               2002                   2001
                                        -----------------     ------------------
                                            $         %           $         %
                                        ---------   -----     ---------   ------
Net sales                               $ 207,868    100%     $ 364,174     100%
Cost of sales                             176,468     85%        29,336       8%


Quick Credit Corporation
    (discontinued operations)
                                               2002                   2001
                                        -----------------     ------------------
                                            $         %           $         %
                                        ---------   -----     ---------   ------
Net sales                               $  77,468    100%     $ 146,364     100%
Cost of sales                               3,073      0%        88,713      61%




                                  Six Month Consolidation

                                               2002                   2001
                                        -----------------     ------------------
                                            $         %           $         %
                                        ---------   -----     ---------   ------
Sales from continuing operations        $ 686,423    100%     $ 551,134    100%
Cost of sales                             214,078     32%        59,475     11%
Operating Expenses                        439,215     64%       697,095    127%
Income (loss) from continuing
    operations                            33,130       5%      (205,436)    38%
Gain (loss) from discontinued
    operations                           (11,157)     (2%)     (326,932)   (60%)
Net income (Loss)                         13,449       2%      (523,368)   (93%)


By subsidiary:

Engineered Business Systems, Inc.
                                               2002                   2001
                                        -----------------     ------------------
                                            $         %           $         %
                                        ---------   -----     ---------   ------
Net sales                               $ 686,423    100%     $ 551,134     100%
Cost of sales                             214,078     32%        59,475      11%


Quick Credit Corporation
    (discontinued operations)
                                               2002                   2001
                                        -----------------     ------------------
                                            $         %           $         %
                                        ---------   -----     ---------   ------
Net sales                               $ 235,398   100%     $ 328,125     100%
Cost of sales                             143,088    61%       226,847      42%




The Company  emerged from its Chapter 11  bankruptcy  proceeding on May 1, 2001.
Thus,  the Company's  balance sheets and statements of operations and cash flows
after this date reflect a material change and are not necessarily  comparable to
the results for the quarter ended June 30, 2001.



Three Months Ended June 30, 2002 vs. Three Months Ended June 30, 2001

Consolidated

Sales from  continuing  operations for the three months ended June 30, 2002 were
$207,868, a decrease of 57% over the $364,174 in continuing operations sales for
the same period in 2001. This decrease was primarily due to a lag in the sale of
several EBS software licenses for its ACES(TM) and DESC(TM) products, which were
in the process of revision.  Sales of  discontinued  operations were $77,468 for
the quarter  ended June 30, 2002 as compared  with  $146,364 in the same quarter
ended in 2001, a decrease of $68,896.

Cost of sales from continuing operations for the quarter ended June 30, 2002 was
$176,468  compared  to $29,346 for the same period of 2001.  This  increase  was
primarily  a result of more  lower  sales of its EBS  quality  control  products
licenses.  Cost of sales for discontinued  operations was $3,073 for the quarter
ended June 30, 2002 as  compared to $88,713,  a decrease of $85,640 for the same
period in 2001.

Gross profits for the quarter ended June 30, 2002 for continuing operations were
$31,400, or 16% of revenue, as compared to $334,838, or 100% of revenue,  during
the same period in 2001.

Selling,   general  and  administrative   expenses  from  continuing  operations
decreased to $114,384  for the three  months  ended June 30, 2002 from  $266,407
during the same period in 2001, a decrease of $152,023.  This was  primarily due
to the general decrease in expenses over the long term implemented by management
of the Company.

The loss from  continuing  operations  for the  quarter  ended June 30, 2002 was
$82,984,  as compared to a gain from  continuing  operations  of $68,431 for the
same quarter in 2001.  This  represents a decrease of  $151,415,  attributed  to
lower sales. The gain from discontinued  operations at June 30, 2002 was $69,415
as opposed to a loss of $36,0284  for the same period in 2001.  This  represents
revenue from the sale of an asset and revenue from a customer  that  involves no
cost.



Six Months Ended June 30, 2002 vs. Six Months Ended June 30, 2001

Sales from  continuing  operations  for the six months  ended June 30, 2002 were
$686,423,  an increase of 20% over the $551,134 in continuing  operations  sales
for the same period in 2001.  This increase was primarily due to two large sales
of several EBS software licenses for its ACES(TM) and DESC(TM)  products.  Sales
of discontinued  operations were $235,398 for the six months ended June 30, 2002
as compared  with  $328,125 in the same six months  ended in 2001, a decrease of
$92,727.

Cost of sales from continuing  operations for the six months ended June 30, 2002
was $214,078  compared to $59,475 for the same period of 2001. Cost of sales for
discontinued  operations  was $143,088 for the six months ended June 30, 2002 as
compared to $226,847, a decrease of $83,759 for the same period in 2001.

Gross profits for the six months ended June 30, 2002 for  continuing  operations
were $472,345,  or 69% of revenue,  as compared to $491,659,  or 90% of revenue,
during the same period in 2001.

Selling,   general  and  administrative   expenses  from  continuing  operations
decreased  to  $439,215  for the six months  ended June 30,  2002 from  $697,095
during the same period in 2001, a decrease of $257,880.  This was  primarily due
to the general decrease in expenses over the long term implemented by management
of the Company.

The income from continuing operations for the six months ended June 30, 2002 was
$33,130,  as compared to a loss from  continuing  operations of $205,436 for the
same period in 2001.  This  represents  an increase of  $238,566.  The loss from
discontinued  operations  at June 30,  2002 was  $11,157 as opposed to a loss of
$326,932 for the same period in 2001.

Liquidity.  Currently,  the Company is undergoing severe liquidity problems. The
revenue  generated  in the past four  months  has not been  sufficient  to match
expenses.  This  is due to a drop  in new  sales  of  software  licenses,  which
management  believes  is due to the  general  economy  and the  mortgage  banks'
hesitation  concerning capital investment in our products,  and the usual summer
doldrums.  The Company is making additional cuts in its monthly expenses,  which
will help the situation  somewhat,  but only additional new sales will solve the
current liquidity problems. Additional efforts are being made to increase sales,
including interviewing  for-commission-only sales personnel. The management team
will also join the sales and  marketing  team to create new sales  revenue.  The
Company has met with many potential  investors and investment  bankers,  but has
not received any definite commitments for funding the Company.

Management  believes  that the Company is meeting its business  objectives as it
nears completion of its first phase of redevelopment,  but is in need of raising
capital to sustain  its  operations.  The Company  was  successful  in forming a
credible  management  and sales team that have gained the  confidence of outside
investors  who have funded the Company to date.  The Company was  certified as a
"Secure  Facility" by TruSecure and established  its IBM  partner-in-development
program.  This  prompted the Company to  re-engineer  its EBS Xchange to a level
which management believes will be the premier credit engine in the industry. The
Company has also completed the implementation of its Enterprise Solution,  which
allows  management the ability to manage its subsidiaries  much more effectively
through the integration of its accounting  functions and  information  delivery.
ACES(TM) and DESC(TM) were redeveloped and now contain many more wanted features
and can also deliver  credit  reports via the internet.  As all the products and
services come together,  they form a confluence to deliver better solutions to a
greater  market  base.  The  Company  is  extremely  encouraged  by its  dynamic
marketing  and sales  group that has gained the  respect  and support of Company
personnel and has revitalized  its recognition in the mortgage  industry and now
anticipates  new and profitable  contracts to be consummated in the near future.
The Company has taken every  precaution  in assuring that expenses are kept to a
minimum, and as indicated earlier, salaries have been kept at a modest level and
expenses have been reduced.  The research and  development of this past year, as
stated above,  will serve as the  foundation  for  additional R&D to continue to
improve and upgrade its proprietary software in the marketplace.  Without a near
term  solution to its capital  needs,  the Company  cannot  implement its needed
marketing strategy.

The Company has incorporated its consumer services  business,  Consumer Guardian
in 2001.  The Company  started this division as a result of market  research and
analysis that leads management to believe that there would be strong interest in
its services and products. In the future, this should minimize the impact of the
boom-and-bust  cycles of the mortgage industry,  which have affected the Company
in the past. The Company is currently  preparing a comprehensive  identity theft
program,  which is scheduled for launch in late 2002.  However,  there can be no
assurance that the operations of CGI will be successful.

Recently,  the Company  joined  IBM's  Partners  and ASP  Business  Partners-in-
Development  programs.  The Company's lead-time in marketing its products should
be greatly reduced. Having access to world-class technology both in hardware and
software  development tools gives the Company's products tremendous  scalability
and reliability as well as cross platform availability. The Company's ability to
access the IBM laboratories and IBM's development teams will keep the Company on
the leading edge of technology.  The Company will also be able to take advantage
of IBM's vast  marketing  channels and financing  options for the benefit of the
Company's customers. No assurances can be given that the above plans will result
in increased sales and cash flows.

Over 30% of the Company  payroll is spent on Research &  Development  so that it
can develop and re-engineer products for our current markets. This investment is
being made to ensure continuity of the Company's  participation in the financial
markets with products that are  state-of-the-art  and competitive.  The research
and development of this past year, as stated above, will serve as the foundation
for additional R&D to continue to improve and upgrade the Company's  proprietary
software in the marketplace.

As the  Company  grows its  recently  introduced  ACES(TM)/ASP  application,  it
expects  that it will need to purchase  additional  IBM  products  and may offer
larger  customers  the option of  purchasing  their own system and placing it in
either the Company's or IBM's secured facility.  These combinations  provide new
options and  opportunities for the Company.  However,  there can be no assurance
that the new options and  opportunities  will result in increased sales and cash
flows.



Short & Long Term Plans for the Company

The Company embarked on a transformation  of its IT  infrastructure.  Management
determined  that if the Company did not have a reliable  and  scalable  platform
going  forward,  it could only expect  operational  and service  problems in the
future. It was determined that a secure hardware platform should be implemented.
The IBM iSeries was chosen.  Additionally  a  company-wide  Enterprise  Software
Platform was necessary so that  operations  would be simplified,  along with the
entire  accounting  and  auditing  functions.  The VAI Systems  2000 was chosen.
Because of these changes, the Company will easily move into its e-commerce niche
to become  technologically  competitive  with the current  leaders in the Credit
Granting  and  Consumer  Credit  industries.  These  changes  will  allow  us to
concentrate on gaining market share through smart and effective marketing and an
increased  sales effort.  In order to do e-commerce in a secure manner,  we have
secured a certification  from ICSA, and now have the ability to deliver personal
and confidential information in the most secure manner. However, there can be no
assurance  that these  actions  will  increase  sales or cash flows or  decrease
expenses.

EBS' flagship product,  ACES(TM),  is regarded by experts as the leading quality
control  software  package in the  mortgage  banking  industry.  The Company has
released a new and improved version  entitled ACES Silver.  This product will be
given to all ACES'98  users at no added  charge,  providing  they  extend  their
software   maintenance  contract  for  three  additional  years.  Most  of  this
distribution  is  complete.  Our  customers  will enjoy the greater  reliability
offered by ACES(TM)  Silver,  and the Company will also  benefit,  both from the
reduced  need to  provide  software  maintenance  and the  additional  recurring
revenue  created.  ACES(TM) is now being  offered as an ASP  application,  which
should expand our market. This became available on-line effective July1, 2002.

During  quarter  ended June 30, 2002,  EBS released its ACES(TM)  Gold  version,
which offers enhanced features from the predecessor  ACES(TM) 2000 version.  The
marketplace has accepted this new release  enthusiastically.  Other features are
planned in the  future for both  ACES(TM)  Silver and Gold  versions,  which are
expected to give an  additional  competitive  edge to the  Company,  although no
assurances can be given that this will be the case.

In April 2002, QCC and all of its  affiliates  were notified by one of the major
repositories  that all  credit  services  were being  discontinued  immediately.
Management  of the Company met and decided to sell the QCC  customer  list after
all other alternatives were evaluated. After a concentrated search, necessitated
by the  inability  to provide  full  service to our  customers,  we sold the QCC
customer  list to a  major  competitor  for a sum of  money  to be  paid  over a
one-year  period,  the amount to be  determined  by the net  amount of  business
generated by the customer  list. It is estimated by  management  that the entire
net proceeds to the Company will total between $130,000 to $200,000, although no
assurances can be given that the Company will realize these amounts. Since Quick
Credit has been a drain on the cash flow of the Company  since  inception,  this
event allows the Company to focus on research and  development  and marketing of
its high margin leading technologies.

The Company has  substantially  reduced SG&A expenses for continuing  operations
for the long  term  and  continues  to seek  additional  reductions.  Management
believes that cash on hand, will not be sufficient to sustain the Company during
the  current  quarter.  The Company  will be  dependent  on securing  additional
financing.  The  Company is also  dependent  on sales that must  materialize  as
management has projected, and sales are vulnerable to circumstances that are out
of  the  Company's  control,  such  as  outside  market  conditions,  additional
terrorist  incidents,  the health and well-being of our sales teams or any other
unforeseen  barriers.  In order to implement its marketing strategy,  additional
capital is required by the Company.  Management is in  discussions  with several
groups to raise  the  necessary  funding  for the  Company,  but there can be no
assurances that it will result in a financing.


<page>


PART II      OTHER INFORMATION

Item 1.   Legal Proceedings

From time to time,  various claims,  charges,  and litigation may be asserted or
commenced against the Company arising from, or related to, contractual  matters,
intellectual  property,  personal injury,  insurance  coverage and personnel and
employment disputes.  The Company may be involved in some litigation that, while
the outcome cannot be predicted with  certainty,  the Company does not expect to
have a material or adverse effect on the consolidated financial position.  There
are no known or suspected lawsuits against the Company at this time.


Item 2.   Changes in Securities

None.


Item 3.   Defaults on Senior Securities

The Company is delinquent on payments totaling  approximately $68,000 on four of
its six notes payable


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

None.


Item 5.   Other Information

None.


Item 6.   Reports on Form 8-K

On May 28, 2002,  the Company filed Form 8-K in which the Company  disclosed the
resignation of Charles M. Moche as Chief  Financial Officer.  Additionally,  the
Company announced the discontinuance of the Quick Credit Corporation operations,
Due to  actions  taken by one of the  major  credit  repositories.  The  Company
immediately  sold its customer  list to a  competitor  and proceeds of the sales
will be paid over a 12-month period based on actual revenues  generated from the
customer list.

<page>


                                   SIGNATURES

In accordance  with the  requirements  of the Exchange Act, the  registrant  has
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.



                                    Tangent Solutions, Inc.




Date: September 5, 2002             By: /s/ Vito A. Bellezza
                                    ______________________________________

                                    President and CEO and Director