SECURITIES AND EXCHANGE COMMISSION
                              Washington D.C. 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: June 30, 2000


                         Commission file number 33-5203

                                THE ENTITY, INC.
                               -------------------
        (Exact name of small business issuer as specified in its charter)

         Colorado                                84-0953839
         --------                                ----------
(State or other jurisdiction of                  (I.R.S. Employer incorporation
or organization)                                 Identification No.)


             10200 W. 44th Avenue, Suite 400, Wheat Ridge, CO 80033
               ---------------------------------------------------
                     Address of principal executive offices)

                                 (303) 422-8127
                                 ---------------
                           (Issuer's telephone number)


Check  whether  the  registrant  (1) filed all  reports  required to be filed by
Section 13 or 15(d) of the  Exchange  Act of 1934  during the past 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

As of June 30, 2000, 81,400,000 shares of common stock were outstanding.

Transitional Small Business Disclosure Format: Yes      No  X


<PAGE>



                          PART I--FINANCIAL INFORMATION

Item 1. Financial Statements.

         For financial information,  please see the financial statements and the
notes thereto, attached hereto and incorporated herein by this reference.

         The  financial  statements  have been prepared by The Entity,  Inc.
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 generally accepted
accounting  principles  have been  condensed or omitted as allowed by such rules
and  regulations,  and management  believes that the disclosures are adequate to
make the  information  presented  not  misleading.  These  financial  statements
include  all  of the  adjustments  which,  in the  opinion  of  management,  are
necessary  to  a  fair  presentation  of  financial   position  and  results  of
operations.  All such  adjustments are of a normal and recurring  nature.  These
financial  statements  should be read in conjunction with the audited  financial
statements at September 30, 1999, included in the Company's Form 10-KSB.



<PAGE>
<TABLE>
<CAPTION>



                                THE ENTITY, INC.
                          (A Development Stage Company)


                                  BALANCE SHEET
                                   (unaudited)

                                                                 June 30,             September 30,
                                                                  2000                  1999
                                                                  ----                  ----

<S>                                                           <C>                     <C>

Current Assets:

Cash and cash equivalents                                           $0                      $0





TOTAL ASSETS                                                      $ 0                     $ 0

              LIABILITIES AND STOCKHOLDERS' EQUITY

Current liabilities:


Accounts payable, related parties                               $9,624                  $9,624


Retained Earnings (deficit)                                   (71,374)                (71,374)


TOTAL LIABILITIES & STOCKHOLDERS' EQUITY                          $(0)                    $(0)

</TABLE>

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

                                       F-1


<PAGE>
<TABLE>
<CAPTION>


                                THE ENTITY, INC.
                          (A Development Stage Company)


                             STATEMENT OF OPERATIONS
                                   (unaudited)



                                      Three Months Ending June      Three Months Ending June 30,
                                                     30, 2000                             1999
<S>                                                <C>                              <C>

Revenue & interest                                         $0                               $0



Rent & Office                                              $0                               $0

Travel                                                     $0                               $0



Weighted average number of                         81,400,000                       81,400,000
common shares
</TABLE>

    The accompanying notes are an integral part of the financial statements.
                                       F-2
<PAGE>
<TABLE>
<CAPTION>


                                THE ENTITY, INC.
                          (A Development Stage Company)


                             STATEMENT OF OPERATIONS
                                   (unaudited)



                                      Nine Months Ending June      Nine Months Ending June 30,
                                                     30, 2000                             1999
<S>                                                <C>                              <C>

Revenue & interest                                         $0                               $0



Rent & Office                                              $0                               $0

Travel                                                     $0                               $0



Weighted average number of                         81,400,000                       81,400,000
common shares
</TABLE>

    The accompanying notes are an integral part of the financial statements.
                                       F-3


<PAGE>
<TABLE>
<CAPTION>


                                THE ENTITY, INC.
                          (A Development Stage Company)


                             STATEMENT OF CASH FLOWS
                                   (unaudited)


                                                Nine Months Ending            Nine Months Ending
                                                   June 30, 2000               June 30, 1999
<S>                                                            <C>                          <C>

Cash flows from operating activities:

Cash provided (used) by operating                              $0                           $0
activities



Cash at beginning of period                                    $0                           $0



Cash at end of period                                          $0                           $0


The accompanying notes are an integral part of the financial statements.
                                       F-4

</TABLE>

<PAGE>


                                THE ENTITY, INC.
                          NOTES TO FINANCIAL STATEMENTS
                  FOR THE QUARTER ENDED JUNE 30, 2000 AND 1999

NOTE 1  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

               The  following  is  a  summary  of  The  Entity,  Inc.  (Company)
               significant accounting policies:

               Organizations

               The  Company  was  incorporated  July 7,  1983  under the laws of
               Colorado  under  the  name of  Moonstone,  Inc.  for the  primary
               purpose  of  seeking  acquisitions  of  business  or  properties,
               without limitation as to geographic location or type of business.
               Moonstone,  Inc.,  a  publicly  traded  entity,  merged  with The
               Entity,  Inc.  Moonstone,  Inc.,  the surviving  entity after the
               merger, changed its name to The Entity, Inc.

               On December  23,  1997,  an  application  for  Reinstatement  and
               Corporate  Report  was  approved  and  submitted  after a special
               stockholders'  meeting.  Many of the corporate  records have been
               lost or destroyed.  Since the completion of the initial offering,
               the  Company  has  not  engaged  in  any  operations  nor  has it
               generated  any  revenue.  The  Company  has been  engaged  in the
               identification  and  evaluation  of target  business  entities or
               assets for possible acquisition.

               Cash and Cash Equivalents

               For  purpose  of the  statement  of cash  flows,  cash  and  cash
               equivalents include cash in banks and money market accounts.  The
               Company has no cash accounts at the present time.

               Deferred Organization Expenses

               Cost incurred in connection with the organization were charged to
               expenses using the straight-line method over 60 months.

               Income Taxes

               The  Financial  Accounting  Standards  Board  (FASB)  has  issued
               Statement of  Financial  Accounting  Standards  Number 109 ("SFAS
               109"),  "Accounting  for Income  Taxes," which  requires a change
               from the  deferred  method to the  assets and  liability  method,
               deferred income taxes are recognized for the tax  consequences of
               "temporary  differences" by applying enacted  statutory tax rates
               applicable to future years to  differences  between the financial
               statement  carrying  amounts and the tax basis of existing assets
               and liabilities.

               At  September  30,  1999,  the  Company  had net  operating  loss
               carryforwards  of  approximately  $71,370 for federal  income tax
               purposes. These carryforwards,  if not utilized to offset taxable
               income,  will expire at the end of 2002. There is no provision or
               benefit for income taxes in fiscal 1999.

                                       F-5


<PAGE>



                                THE ENTITY, INC.
                          NOTES TO FINANCIAL STATEMENTS
                      FOR THE QUARTER ENDED JUNE 30, 2000



NOTE 1 -       SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (cont.)

               Use of Estimates in the Preparation of Financial Statements

               The  preparation  of  financial  statements  in  conformity  with
               generally accepted  accounting  principles requires management to
               make estimates and assumptions that affect the reported amount of
               assets and liabilities  and disclosures of contingent  assets and
               liabilities  at the  date  of the  financial  statements  and the
               reported  amounts of revenues and expenses  during the  reporting
               period. Actual results could differ from those estimates.

NOTE 2 -       GOING CONCERN

               The  accompanying  financial  statements  have been  prepared  in
               conformity with generally accepted accounting  principles,  which
               contemplates  continuation  of the  Company  as a going  concern.
               However,  the Company has sustained an operation  loss this year.
               As shown in the financial  statements,  the Company  incurred net
               losses in the prior years. At June 30, 2000, current  liabilities
               exceed current assets by $9,624.  These factors indicate that the
               Company has substantial  doubt about its ability to continue as a
               going  concern.  The  financial  statements  do not  include  any
               adjustments  relating to the recoverability and classification of
               recorded assets, or the amounts and classification of liabilities
               that might be necessary in the event the Company cannot  continue
               in existence.

               In view of these  matters,  realization of a major portion of the
               assets  in the  accompanying  balance  sheet  is  dependent  upon
               continued  operations of the Company,  which in turn is dependent
               upon the Company's  ability to meet its  financial  requirements,
               and the success of its future operations.

                                       F-6




<PAGE>



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

Results of Operations for the Quarter Ended June 30, 2000
- ----------------------------------------------------------

     The  Company  had no revenue or  operations  for the  period.  The  Company
incurred no general and  administrative  expenses in the period in 2000 or 1999.
The Company had no profit or loss on operations  for the period in 2000 or 1999.
There was no net profit or loss for the period.

Results of Operations for the Nine Month Period Ended June 30, 2000
- -------------------------------------------------------------------
     The Company had no revenue or  operations  for the nine month  period ended
June 30, 2000. The Company incurred no general and  administrative  expenses for
the nine month  period  ended June 30,  2000 or 1999.  The  Company  incurred no
operating  profit or loss for the nine  month  period  ended  June 30 in 2000 or
1999.

     The trend of operating  losses can be expected to continue until and unless
the company acquires or merges with a profitable business.

     (b) Liquidity and Capital  Resources.  At June 30, 2000, the Company had no
cash or other assets with which to conduct operations. There can be no assurance
that the Company will be able to complete its business plan and to exploit fully
any business  opportunity that management may be able to locate on behalf of the
Company.  Due to the lack of a specified  business  opportunity,  the Company is
unable to predict the period for which it can conduct  operations.  Accordingly,
the Company will need to seek additional  financing  through loans, the sale and
issuance  of  additional  debt  and/or  equity  securities,  or other  financing

<PAGE>


arrangements.  Management  of the Company and its counsel have advised that they
will pay certain costs and expenses of the Company from their  personal funds as
interest free loans in order to facilitate development of the Company's business
plan.  Management  believes that the Company has inadequate  working  capital to
pursue  any  operations  at  this  time;  however,  loans  to the  Company  from
management and its counsel may facilitate  development of the business plan. For
the foreseeable future, the Company through its management and counsel intend to
pursue  acquisitions  as a means to develop the  Company.  The Company  does not
intend  to  pay  dividends  in the  foreseeable  future.  As of  the  end of the
reporting period,  the Company had no material cash or cash  equivalents.  There
was no significant change in working capital during this quarter.

         (c) Year 2000 issues "Year 2000  problems"  result  primarily  from the
inability of some computer software to properly store,  recall or use data after
December 31, 1999. The Company is engaged primarily in  organizational  and fund
raising  activities and  accordingly,  does not rely on  information  technology
("IT")  systems.  Accordingly  the  Company  does  not  believe  that it will be
materially affected by Year 2000 problems.  The Company relies on non-IT systems
that may suffer from Year 2000 problems including  telephone systems,  facsimile
and other office machines.  Moreover,  the Company relies on third-parties  that
may suffer from Year 2000 problems  that could affect the  Company's  operations
including banks and utilities. In light of the Company's minimal operations, the
Company  does not believe  that such  non-IT  systems or  third-party  Year 2000
problems  will  affect  the  Company  in a  manner  that  is  different  or more
substantial  than such  problems  affect  other  similarly  situated  companies.
Consequently,  the  Company  does not  currently  intend to conduct a  readiness
assessment  of Year 2000  problems or develop a detained  contingency  plan with
respect to Year 2000 problems that may affect the Company or third-parties.

         The foregoing is a "Year 2000 Readiness  Disclosure" within the meaning
of the Year 2000 Information and Readiness Disclosure Act of 1998.



<PAGE>



PART II--OTHER INFORMATION

Item 1. Legal Proceedings.
- --------------------------

There are no  pending  legal  proceedings,  and the  Company is not aware of any
threatened  legal  proceedings,  to which the Company is a party or to which its
property is subject.

Item 2. Changes in Securities.
- ------------------------------

         (a) There have been no material modifications in any of the instruments
defining  the  rights  of  the  holders  of  any  of  the  Company's  registered
securities.

         (b)  None  of the  rights  evidenced  by  any  class  of the  Company's
registered  securities have been materially limited or qualified by the issuance
or modification of any other class of the Company's securities.

Item 3. Defaults Upon Senior Securities.
- ----------------------------------------

         (Not applicable)

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

         (Not applicable)

Item 5. Other Information.
- --------------------------

         (Not applicable)

Item 6. Exhibits and Reports on Form 8-K.
- -----------------------------------------

         (a) Exhibits

         No exhibits as set forth in Regulation SB, are considered necessary for
this filing.

         (b) Reports on Form 8-K

         No  reports on Form 8-K were filed  during the  quarter  for which this
report is filed.




<PAGE>


                                   SIGNATURES


         In accordance with the  requirements of the Securities  Exchange Act of
1934, as amended,  the registrant  caused this report to be signed on its behalf
by the undersigned, thereunto duly authorized.

                                                     THE ENTITY, INC.


Date:  August 25, 2000
                                                 /s/Larry Carr
                                                 ------------------
                                                    Larry Carr, President