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                     U.S. SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                   FORM 10-KSB

(Mark One)

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

For the fiscal year ended September 30, 2001

                                       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 000-28611

                             ISEMPLOYMENT.COM, INC.
             -------------------------------------------------------
                     (Name of small business in its charter)

          WYOMING                                                86-0970152
          -------                                                ----------
(State or other jurisdiction of                               (I.R.S. Employer
incorporation or organization)                               Identification No.)

   213-380 Pelissier Street, Windsor
           Ontario, Canada                                        N9A 6W8
  -----------------------------------                             -------
(Address of principal executive offices)                        (Zip Code)

Issuer's Telephone Number (519)-258-8318
                          --------------

Securities Registered Pursuant To Section 12(B) Of The Act:  None
Securities Registered Pursuant To Section 12(G) Of The Act:

Common Stock, Par Value $.001 Per Share
-----------------------
(Title of Class)

         Check whether the issuer (1) filed all reports required to be filed by
Section 13 or 15(d) of the Exchange Act 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 [ ]

         Check if there is no disclosure of delinquent filers in response to
Item 405 of Regulation S-B is not contained in this form, and no disclosure will
be contained, to the best of the registrant's knowledge, in definitive proxy or
information statements incorporated by reference in Part III of this Form 10-KSB
or any amendment to this Form 10-KSB. [ ]

The registrant's revenue for the year ended September 30, 2001 was $0.

The aggregate market value of the voting and non-voting common equity held by
non-affiliates of the registrant on February 25, 2002, was $685,000.

As of February 25, 2002, there were 2,578,238 shares of the registrant's common
stock, $.001 par value per share, issued and outstanding.

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

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                       DOCUMENTS INCORPORATED BY REFERENCE
                          See the Exhibit Index hereto.


PART I

ITEM 1.  DESCRIPTION OF BUSINESS.

OVERVIEW

         ISEmployment.com, Inc. as of September 30, 2001 had not engaged in any
operations other than organizational and development matters. ISEmployment.com
is an Internet based development stage company, which will provide human
resources and recruiting services on-line. ISEmployment.com's site will
differentiate itself from other employment-related sites by creating a virtual
human resources center and a virtual recruitment and selection system.
ISEmployment.com's targeted market will be providing its services to United
States corporations, which are recruiting information systems professionals.

         The company is a "small business issuer" for purposes of disclosure and
filings under the Securities Act of 1933 and the Securities Act of 1934.

BUSINESS

         ISEmployment.com is a development stage company, which will provide
on-line human resources and recruiting services for the Information Systems
industry. ISEmployment.com's website and on-line service is anticipated to be
operational by the 30th of June 2002. ISEmployment.com's on-line human resources
and recruiting services specifically addresses the tight labor market in the
United States for Information System Professionals and also provides a cost
effective mechanism for employers to access the relative abundance of qualified
foreign candidates. This service is different from the job and resume posting
sites currently available on the Internet by providing virtual human resources
center and a virtual recruitment and selection system. The system also contains
an advance module that simplifies the hiring of foreign workers.

         ISEmployment.com's site is a virtual human resource site designed to
automate the recruiting and selection process. Our site requires the candidate
to input their personal information, which includes name, address, and location
preference, wage expectancy and job position sought. A candidate is required to
detail his or her hardware and software experience, showing both years
experience as well as age of experience. This information is gathered by a
precise technical application, a project resume and a section, which allows the
candidate to "paste" their version of their resume (candidates' resumes will be
searched using a "keyword" search application). The candidate will then be
required to complete a soft skill evaluation section of the database. This
section will allow the potential employer a brief insight into the candidate's
personality. The system will then ask the candidate to input three work-related
references that will be verified by ISEmployment.com's human resources
assistants. Once completed, the reference checks will be available for potential
employers to view on-line. If applicable, the candidate will be asked to fill
out the immigration questionnaires that will be presented as a form letter once
the process is complete. The pre-immigration screen will cover questions related


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to inadmissibility issues, such as prior arrests, convictions and refused entry
into the United States of America. This visa assistance is only for TN (NAFTA)
visas only. If the candidate requires additional information or immigration
assistance, they will be linked automatically to approved immigration lawyers.
Once the data is entered into the database, one of ISEmployment.com's human
resources assistants will contact the candidate to check for truth and accuracy.
Once this is completed, the information becomes active in the database and the
applicant will be allowed to modify the application as time goes on. The system
will automatically e-mail each candidate every fifteen days, requesting his or
her status and availability.

         An employer interested in the site is requested to complete a site
registration set up questionnaire and is issued a password. Once the set up is
complete, the employer will be asked to complete the profile section, which will
provide background information for candidates to use prior to an interview. When
the employer is ready to search the database, they will be prompted by the
system to log in using their assigned password. Once accepted, the employer will
then be allowed to input the skill set(s) that they are seeking along with the
years of experience required. The employer will then initiate the search query
and the system will produce a list of candidates, their skills that match the
query, along with the percentile rank of the match of skills to the query. The
output at this point will not offer personal information, references or
candidate qualifiers. The employer will only see the skill set synopsis, which
consist of the educational history, project resume, the candidates' personal
resume and soft skill evaluation. Once the employer selects the candidate(s)
that they wish to interview, their account automatically gets debited for each
selection. The employer is notified of the charge and the contact information
for each candidate is then given. Along with the contact information, the system
will allow the employer access to each candidate's audio/video clip and
reference checks.

         ISEmployment.com will also offer an "hr tools" section, which will
allow registered users access to chat sessions and human resource links. The
chat sessions will run at posted intervals and will offer free advice on current
human resource issues, including such issues as immigration, recruiting and
relocation. An accredited professional in the field will head each chat session.
The "hr tools" will offer the candidate numerous help pages like the dos and
don'ts of interviews, salary calculators and relocation information.

         ISEmployment.com is currently looking into the feasibility of becoming
an "Application Service Provider" in the market place. An "ASP" is a company
that runs software for other companies on centralized servers. This
consideration will be dependent on our perception of the current market and if
there is a current market demand to be fill with a new product.

HISTORY

         Messrs. Murray and Ulakovich founded ISEmployment.com on March 7, 2000.
Messrs. Murray and Ulakovich both have backgrounds in the traditional
recruitment and placement industry and determined there was an opportunity to
provide such services on-line. On June 30, 2000, ISEmployment.com and Magical
Marketing, Inc., a "blank check" company, merged in a share exchange that
resulted in Magical Marketing acquiring all of the issued outstanding capital
stock of ISEmployment.com for an aggregate of 400,000 shares of Magical
Marketing. In connection with the merger, Magical Marketing changed its name to
ISEmployment.com, Inc.


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COMPETITION

         The market for online recruiting services is relatively new, intensely
competitive and rapidly evolving. There are minimal barriers to entry, and
current and new competitors can launch new web sites and add content at
relatively low costs within relatively short time periods. We expect competition
to persist and intensify and the number of competitors to increase significantly
in the future. We compete against other online recruiting services, such as
Monster.com, Headhunter.net, Career Path and Career Mosaic, as well as corporate
Internet sites, and not-for-profit web sites operated by individuals,
educational institutions and governments. In addition to this online
competition, we compete against a variety of companies that provide similar
content through one or more media, such as classified advertising, radio and
television. Many of our current and potential competitors, including those
mentioned above, have significantly greater financial, technical and marketing
resources, longer operating histories, better name recognition and more
experience that we do. Many of our competitors also have established
relationships with employers, recruiters and other job posters. To compete
successfully, we must attract employers, recruiters and job seekers, and
generate fees. The competitive factors attracting employers, recruiters and job
seekers to our web site include the quality of presentation and the relevance,
timeliness, depth and breadth of recruiting information and services offered on,
and the ease of use of, our web site. Our competitors' services may be
sufficiently attractive to employers, recruiters and job seekers to dissuade
them from using our web site. If we are unable to attract a significant number
of employers, recruiters and job seekers to our web site, our business,
financial condition and results of operation will suffer.

THE MARKET

         The Internet is an increasingly significant global medium for
communications, content and commerce. Growth in Internet usage has been fueled
by a number of factors, including the availability of a growing number of useful
products and services, the large and growing installed base of personal
computers in the workplace and home, advances in the performance and speed of
personal computers and modems, improvements in network infrastructure, easier
and cheaper access to the Internet and increased awareness of the Internet among
businesses and consumers.

         The increasing functionality, accessibility and overall usage of the
Internet and online services have made them an attractive commercial medium.
Thousands of companies have created corporate websites that feature information
about their product offerings and advertise employment opportunities. Through
the web, Internet content providers are able to deliver timely personalized
content in a manner not possible through traditional media. Internet content can
be continuously updated, distributed to a large number of consumers on a
real-time basis, and accessed by users at any time. Industry publications
indicate that the historical and projected adoption of online/Internet services
represents a faster rate of penetration than occurred with traditional media,
such as radio, broadcast television and cable television.


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         For job seekers, online recruiting can provide the ability to rapidly
and more easily build, update and distribute their resumes, conduct job searches
and gather information about employers. Online recruiting can also help to
reduce the time of a job search by permitting job seekers to define their
specific job needs and be contacted automatically when desired jobs become
available. Online recruiting is also proving to be attractive to employers and
recruiters because job seekers anywhere in the world at anytime and more cost
effectively than print media can access online job advertisements. Forrester
Research estimates that online spending by employers for recruitment will grow
from $1.2 billion in 2000 to $7.1 billion in 2005.

GROWTH STRATEGY

         ISEmployment.com's objective is to be one of the leading providers of
online recruiting services to employers and recruiters, especially within the
information systems niche of that field. The industry is currently served by a
small number of on-line systems that are interactively passive and have limited
capability. In contrast, ISEmployment.com's system is an advanced search engine
with a unique immigration function that will allow employers to access
additional qualified candidates. In addition to providing an advanced search
engine, the key elements of ISEmployment.com's strategy are the following:

Increase Awareness of ISEmployment.com.

         We plan to increase awareness of the ISEmployment.com brand through an
aggressive marketing campaign that combines a combination of online and
traditional advertising, direct marketing and strategic relationships.

Aggressively Build and Expand Our Sales Force.

         We plan to rapidly expand our direct sales and telephone sales efforts
by developing and then adding to our existing sales force and by opening
additional sales offices in key metropolitan areas to further penetrate these
markets.

Promote and Enhance Web Site Functionality.

         We intend to make the process of posting and searching job
opportunities on our web site easier and faster by increasing the usability and
functionality of our web site. With the re-launch of our web site planned for
June 2002 we expect to create this ease of use for our customers.

Develop Strategic Relationships.

         We will enter into and evaluate strategic relationships as a means to
increase traffic to our web site, enhance visibility of job opportunities,
increase awareness of the ISEmployment.com brand, and provide marketing and
cross-promotional opportunities


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EMPLOYEES

         ISEmployment.com currently has 2 employees. ISEmployment.com relies
heavily on its current officers in operating and management of its business.

RISK FACTORS

         An investment in our shares involves a high degree of risk. The
achievement of our business objectives is subject to a number of market and
other factors beyond our control, and our future prospects are speculative.

We have no operating history or any revenues or earnings from operations. We
have no significant assets or financial resources.

         We have operated at a loss to date and will, in all likelihood,
continue to have operating expenses without corresponding revenues. We have had
losses since our inception and we are likely to have losses for the foreseeable
future, raising doubts about our ability to continue as a company.

We have had losses since our inception.

         We currently have no sales and the accounts payable and future
commitments exceed our cash balance. We have a working capital deficit of
$482,219. It is likely that we will continue to lose money for the foreseeable
future. These factors raise substantial doubt about our ability to continue as a
company. In order to continue as a company, develop and commercialize our
technology and achieve a profitable level of operations, we will need additional
capital or financing. If we fail to obtain additional capital or financing on
reasonable terms to achieve our business plan, you may lose your investment.

We face significant competition from competitors who have significantly greater
financial resources.

         While we provide a "total solution" content program at our Internet
site, many of these competitors offer one or more Internet sites with
information products similar to individual items we will provide over the
Internet; and many of these competitors may have significantly greater financial
resources than we do. These financial resources could be deployed to more
aggressively compete on the Internet or through more traditional media, to our
disadvantage, at any time.

We expect competition to persist and intensify. Competitors using other media to
deliver information products could adapt their businesses to include the
Internet as a medium for delivering their products. Competitors could develop or
offer services that provide significant performance, price, creative or other
advantages over those offered by us, and any competitor or group of competitors
could have a material adverse effect on our business.

We will require additional funds to achieve our current business strategy.



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         We will require more capital to achieve our current business strategy.
If such funds are unavailable we may have to substantially curtail operations or
cease operations altogether. As we require additional funds to sustain our
planned expansion and growth we will have to seek additional equity or other
financing. Such financing may not be available. Even if it is, it may be on
terms that are materially adverse to your interests with respect to dilution of
book value, dividend preferences, liquidation preferences, or other terms.

         We cannot guarantee that we will be able to obtain additional
financing, as we need it. When our operations require additional financing, if
we are unable to obtain it on reasonable terms, we could be forced to
restructure, file for bankruptcy, sell assets or cease operations, any of which
could put your investment dollars at significant risk.

If the Internet proves not to be a viable commercial marketplace, it could have
a material adverse effect on our business.

         We expect almost all of our future revenue to come from services we
will offer over the Internet. The business use of the Internet is still in its
infancy, and it is possible that the Internet may not prove to be a viable
commercial marketplace. Known issues in this regard include inadequate
development of Internet infrastructure to date, competing technology, delays in
the development of new standards and protocols required for handling increased
Internet activity and the possibility of significant government regulation
(locally, nationally and internationally). Moreover, concerns over the security
of Internet transactions and the privacy of users may inhibit the growth of the
Internet, particularly as a means of conducting commercial transactions. To the
extent that our activities involve the storage and transmission of proprietary
information, security breaches could expose us to a risk of loss or litigation
and possible liability. We cannot assure you that contractual provisions
attempting to limit our liability in such areas will be adequately implemented
or enforceable, or that other parties will accept such contractual provisions as
part of our agreements.

         We have not fully resolved some other critical issues concerning our
use of the Internet, including reliability, cost, and ease of deployment,
administration and quality of service. This may affect our ability to maintain
our business, expand marketing, improve communications and increase business
efficiencies.

If we do not successfully develop new and enhanced Internet services, our
revenues could be adversely impacted.

Business on the Internet is characterized by:

         o    rapid technological change;

         o    frequent changes in user requirements and preferences;

         o    frequent new product and service introductions embodying new
              processes and technologies; and

         o    evolving industry standards and practices that could render our
              information delivery practices obsolete.


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         Our success will depend partly on our ability to improve our existing
services, develop new service offerings, and use Web technology to enhance our
existing offerings, extend our market reach, and respond to technological
advances, emerging industry standards and competitive offerings. We cannot
assure you that we will be successful in these endeavors.

Evolving Internet technology and standards increase the risk that system
interruptions will occur.

         Our Internet operations are also vulnerable to interruption by fire,
power loss, telecommunications failure and other events beyond our control.
System interruptions that result in the unavailability of our Web site, or
slower response times for users, could reduce the fees we collect from consumers
and businesses using our database information over the Internet.

Our shares are deemed "penny stock" and are subject to additional market
disclosure.

         A penny stock is generally defined to be any equity security not listed
on NASDAQ or a national securities exchange that has a market price of less than
$5.00 per share, subject to certain exceptions. Our shares are not currently
traded on NASDAQ or a national exchange and, therefore, our shares would be
deemed penny stocks for purposes of the Exchange Act if and at any time our
shares trades below $5.00 per share. In such case, trading in our shares would
be regulated pursuant to "penny stock" rules. These rules may limit the ability
or willingness of brokers and other market participants to make a market in our
shares and may limit the ability of our shareholders to sell in the secondary
market, through brokers, dealers or otherwise. We also understand that many
brokerage firms will discourage their customers from trading in shares falling
within the "penny stock" definition due to the added regulatory and disclosure
burdens imposed by these Exchange Act rules.

A large percentage of our stock is owned by relatively few people, including
officers and directors.

          Our officers and directors beneficially owned or controlled a total of
approximately 1,900,000 shares, or approximately 74% of our outstanding common
stock. These shareholders could, if they were to act together, affect the
outcome of other stockholder votes, which could, among other things, affect
elections of directors, delay or prevent a change in control or other
transaction that might be beneficial to you as a stockholder.

Technology and Internet stocks have been and may continue to be volatile.

         The market for Internet and technology related stocks generally have
been subject to wide fluctuations in price and volume that often appear to be
unrelated to the operating success of these companies. Such volatility can
present risks for investors. Moreover, such volatility often leads to securities
litigation brought by investors who are seeking to recoup losses resulting from
rapid and significant drops in price and/or volume.


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ITEM 2.  DESCRIPTION OF PROPERTY.

         ISEmployment leases its office facilities from Mr. Murray on a
month-to-month basis. Rent is $1,495 per month in Canadian dollars or
approximately $970 in U.S. dollars at September 30, 2001, exchange rates.
Isemployment.com is also obligated to pay for certain common area and property
taxes under the terms of the lease. The terms of the lease are as favorable to
the company as could have been negotiated with an unaffiliated entity or person.

         The company's Web site is http://www.isemployment.com.

ITEM 3.  LEGAL PROCEEDINGS.

         The company is not subject to any material litigation nor, to the
company's knowledge, is any material litigation currently threatened against the
company.

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

         No matters were submitted to a vote of the security holders during the
fourth quarter of the fiscal year ending on September 30, 2001.


PART II

ITEM 5.  MARKET FOR COMMON EQUITY AND RELATED STOCKHOLDER MATTERS

         ISEmployment.com's common stock is listed and traded on the
over-the-counter market under the symbol "IPYC".

         The company has approximately 72 holders of record of its common stock.

DIVIDEND POLICY

         The company has never paid a cash dividend on its common stock. The
company does not anticipate paying any cash dividends in the foreseeable future
and intends to retain future earnings, if any, for the development of its
business.

CHANGES IN SECURITIES

         The company did not issue any additional equity securities during the
year ended September 30, 2001, which were not registered under the Securities
Act of 1933, as amended, except:

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         On June 19, 2001, ISEmployment.com and International Technical
Recruiting, Inc. entered into a Bill of Sale and Assignment of Intellectual
Property Rights, in accordance with the agreement the software program
consisting of the sub-skill section of ITR's recruiting assistance program was
assigned to ISEmployment.com in exchange for 1.5 million shares of common stock
of ISEmployment.com. Messrs. Murray and Ulakovich own 100% of ITR. The 1.5
million shares exchanged in the transaction was based on management's
best-estimated value of the sub-skill section of the program and maybe
considered arbitrary. Management did not receive a third party appraisal of the
value of intellectual property. Management believes, given its financial
condition, that the transaction was fair and on terms no less favorable to the
company than it would have expected to negotiate with an unaffiliated third
party.

         The foregoing transaction did not involve any underwriters,
underwriting discounts or commissions or any public offering, and the company
believes that the transaction was exempt from the registration requirements of
the Securities Act under Rule 506 of Regulation D of the Securities Act of 1933.

         The recipients in the transaction represented their intention to
acquire the securities for investment only and not with a view to or for sale in
connection with any distribution thereof, and appropriate legends were affixed
to the share certificates and instruments issued in such transactions. All of
the recipients had adequate access to information about the company.

SHARES ELIGIBLE FOR FUTURE SALE

         Messrs. Murray and Ulakovich hold 1.5 million shares of common stock of
ISEmployment.com that they could sell in accordance with the requirements of
Rule 144.

          ISEmployment.com has not registered its shares for resale under the
securities or "blue sky" laws of any state and has no plans to register or
qualify its shares in any state. Current shareholders and persons, who desire to
purchase the shares in any trading market that may develop in the future, should
be aware that there might be significant state blue-sky restrictions upon the
ability of new investors to purchase the securities. These restrictions could
reduce the size of any potential trading market. Under federal law, non-issuer
trading or resale of ISEmployment.com's common stock may be exempt from most
state registration or qualification requirements. However, some states may
continue to restrict the ability to register or qualify ISEmployment.com's
common stock for both initial sale and secondary trading by regulations
prohibiting or imposing limitations on the sale of securities of blank check
issuers.

         ISEmployment.com's selling efforts, and any secondary trading market,
which may develop, may only be conducted in those jurisdictions where an
applicable exemption is available or where the shares have been registered.
ISEmployment.com has no current plan to register its shares for offer and sale
within any state. Investors should be aware that state law limitations might
affect the transferability or the ability to resell the shares. ISEmployment.com
has not taken, and does not contemplate taking, any steps to ensure compliance
with state securities laws.

         ISEmployment.com does not have lock-up agreements with its shareholders
affirming that they will not sell their respective shares until such time as
ISEmployment.com has successfully consummated a merger or acquisition and
ISEmployment.com is no longer classified as a blank check company.




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ITEM 6. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS

         The company as of September 30, 2001, had not engaged in any operations
other than organizational and developmental matters. ISEmployment.com is an
Internet based development stage company, which will provide human resources and
recruiting services on-line. ISEmployment.com's site will differentiate itself
from other employment-related sites by creating a virtual human resources center
and a virtual recruitment and selection system. ISEmployment.com's targeted
market will be providing its services to United States corporations, which are
recruiting Information Systems employees.

         The company is a development stage company. In order to fund operations
through September 30, 2001, that company has relied on funding raised from the
issuance of notes payable to various unrelated parties. These notes payable are
convertible into common stock of the company.

RESULTS OF OPERATIONS

FISCAL YEAR ENDED SEPTEMBER 30, 2001 COMPARED TO FISCAL YEAR ENDED SEPTEMBER 30,
2000

SYSTEM DEVELOPMENT EXPENSES. System development expenses consist primarily of
concept development, evaluation of alternatives, programming and other Internet
based expenses. Development expenses were $9,530 for the year ending period
September 30, 2001 compared to $150,537 for the year ending September 30, 2000.

GENERAL AND ADMINISTRATIVE EXPENSES. General and administrative expenses consist
primarily of personnel costs related to general management functions, finance,
accounting, payroll expenses and professional fees related to legal, audit and
tax matters. General and administrative expenses were $248,246 for the year
ending September 30, 2001 compared to $71,165 for the year ending September 30,
2000.

INCOME TAXES. The company has no income tax provision for the periods presented
due to its net operating loss and valuation allowance for deferred tax assets.
The net operating loss may be carried forward for up to 20 years. As such, the
company does not anticipate any liability for income taxes for the fiscal year
ended September 30, 2001. See Note 6 to financial statements.

Management believes that there was no material effect on operations or the
financial condition of the company as a result of inflation in 2001.

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LIQUIDITY AND CAPITAL RESOURCES

         The company's cash requirements have exceeded its cash flow from
operations. The company historically has satisfied cash requirements through
borrowings. As of September 30, 2001, the company had $0 cash and/or cash
equivalents.

         The company's success will be dependent upon its ability to generate
sufficient cash flow to meet its obligations on a timely basis, to obtain
financing or refinancing as may be required, and ultimately to attain
profitability. The company believes that it has insufficient cash resources to
fund the company's operations through fiscal 2002. The company as of September
30, 2001 did not have any current arrangements or commitments for any future
financing. The company may not be able to obtain sufficient financing to satisfy
its cash requirements. The company may be required to obtain financing on terms
that are not favorable to it and its shareholders. If the company is unable to
obtain additional financing when needed, it may be required to delay or scale
back, which could have a material adverse effect on its business, financial
condition and results of operations.

         The company has financed its operations through the issuance of notes
payable by the company. The company had a working capital deficit of $482,219 at
September 30, 2001. The company estimates that it will need additional funds for
on-going web site development, marketing, promotions, and for general working
capital purposes over the next 12 months, including the company's plans to hire
additional full time management personnel and acquire additional office space.

         Net cash used in operating activities was $155,767 during the year
ending September 30, 2001. The usage of cash is primarily attributable to the
net operating loss including general administrative costs of $248,246. During
the year ending September 30, 2001, the company was in its development stage and
did not generate any revenues. During 2002, management expects that the company
will generate revenues through advertising and sponsorships, and fees and
commissions on transactions and sales occurring through its web site.

         Net cash used in investing activities was $37,790 during the year
ending September 30, 2001, representing payments and advances to related
parties.

         Net cash provided by financing activities was $190,613 during the year
ending September 30, 2001, representing proceeds of $191,239 from issuance of
notes payable subject to conversion rights.

         The company's financial statements have been prepared assuming that it
will continue as a going concern. The company's losses from operations since its
inception and the company's on going need for capital to finish the development
of the database raise substantial doubt as to its ability to continue as a going
concern.

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         Management believes that cash expected to be generated from operations,
current cash reserves, and existing financial arrangements will not be
sufficient for the company to meet its capital expenditures and working capital
needs for its operations as presently conducted. The company's future liquidity
and cash requirements will depend on a wide range of factors, including expected
results from operations as revenues are generated. In particular, as the company
does not expect cash flows from operations to be sufficient in the next twelve
months, the company is considering raising capital either through a private
placement or an initial public offering. There can be no assurance that such
capital would be raised in sufficient amounts to meet the company's financial
need in the next twelve months.

RECENT ACCOUNTING PRONOUNCEMENTS

         During December 1999, the Securities and Exchange Commission released
Staff accounting Bulletin 101, "Revenue Recognition" to establish guidelines for
revenue recognition and enhance revenue recognition disclosure requirements. The
Bulletin clarifies basic criteria for the culmination of the earnings process
and is effective in fiscal year 2001. The adoption of Staff Accounting Bulletin
101 did not have a material effect on the financial statements of the company.

         In December 1999, the Emerging Issues Task Force issued EITF No. 99-17,
"Accounting of Advertising Barter Transactions" (EITF 99-17). EITF 99-17 is
effective for years ended December 31, 2000. The adoption of EITF 99-17 did not
have a material effect on the financial statements.

         Costs of Start-Up Activities- The American Institute of Certified
Public Accountants issued Statement of Position ("SOP") No. 98-5, Reporting on
the Costs of Start-Up Activities. The standard provides guidance on the
financial reporting costs for start-up costs and organization costs. This
standard requires cost of start-up and organization costs to be expensed as
incurred, and is effective for fiscal years beginning after December 15, 1998.
The company accounts for start-up costs and organization costs in accordance
with SOP No. 98-5.

         Software Development Costs - In March 1998, the American Institute of
Certified Public Accountants issued SOP No. 98-1, Accounting for the Costs of
Computer Software Developed or Obtained for Internal Use. SOP No. 98-1 states
that for software obtained or developed for internal use, computer software
costs that are incurred in the preliminary project stage should be expensed as
incurred. Costs to develop internal use computer software during the application
development stage should be capitalized under a fixed-asset model, as long as
those costs meet certain predefined characteristics. SOP No. 98-1 also provides
that these capitalized development costs should be amortized in a systematic and
rational manner over the estimated useful life of the software. Training and
maintenance costs incurred during the post-implementation operating stage should
be expensed as incurred. This statement is effective for financial statement
periods ending after December 15, 1999. The company accounts for software
development costs in accordance with SOP No. 98-1.

         Web Site Development Costs- In 2000 the Emerging Issues Task Force
issued EITF No. 00-2 addressing accounting for web site development costs. The
task force consensus requires the expensing of all costs incurred in the
planning stage. The EITF also requires that costs incurred to develop graphics,
the web site application and the web site infrastructure should be accounted for
in accordance with SOP 98-1, as discussed in the preceding paragraph. The
consensuses in this issue are effective for fiscal quarters beginning after June
30, 2000. The Company accounts for web site development costs in accordance with
EITF No. 00-2.



                                       13
<PAGE>

ITEM 7.  FINANCIAL STATEMENTS








                             ISEMPLOYMENT.COM, INC.
                   (Formerly Known as Magical Marketing, Inc.)
                          (A Development Stage Company)
                              Financial Statements
                     Years Ended September 30, 2001 and 2000











                                       14
<PAGE>



                          INDEPENDENT AUDITOR'S REPORT
                          ----------------------------


Board of Directors
ISEmployment.com, Inc.

         We have audited the accompanying balance sheets of ISEmployment.com,
Inc. (A Development Stage Company) as of September 30, 2001 and 2000, and the
related statements of operations, stockholders' deficit, and cash flows for the
years then ended and the period from October 20, 1999 (development stage
inception) to September 30, 2001. These financial statements are the
responsibility of the Company's management. Our responsibility is to express an
opinion on these financial statements based on our audits.

         We conducted our audits in accordance with U.S. generally accepted
auditing standards. Those standards require that we plan and perform the audit
to obtain reasonable assurance about whether the financial statements are free
of material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant estimates
made by management, as well as evaluating the overall financial statement
presentation. We believe that our audits provide a reasonable basis for our
opinion.

         In our opinion, the financial statements referred to above present
fairly, in all material respects, the financial position of ISEmployment.com,
Inc. as of September 30, 2001 and 2000, and the results of its operations and
its cash flows for the years then ended and the period from October 20, 1999
(development stage inception) to September 30, 2001 in conformity with U.S.
generally accepted accounting principles.

         The accompanying financial statements have been prepared assuming that
the Company will continue as a going concern. As discussed in Note 2, the
Company has a cumulative loss of $479,478 and limited cash resources with which
to carry out management's plans. These conditions raise substantial doubt about
its ability to continue as a going concern. Management's plans regarding these
matters are also described in Note 2. The financial statements do not include
any adjustments that might result from the outcome of this uncertainty.



Levitz, Zacks & Ciceric
San Diego, California
February 14, 2002



                                       15
<PAGE>
<TABLE>

                                ISEMPLOYMENT.COM, INC.
                     (Formerly Known as Magical Marketing, Inc.)
                            (A Development Stage Company)
                                    Balance Sheets
                             September 30, 2001 and 2000

                                     ...ASSETS...
<CAPTION>

                                                                2001         2000
                                                             ----------   ----------
<S>                                                          <C>          <C>
Current Assets:
  Cash                                                       $     -0-    $   2,944
  Due from officers                                              1,291        2,515
  Receivables from a related party                              39,611          597
                                                             ----------   ----------

      Total current assets                                      40,902        6,056

Fixed assets                                                     2,388          -0-
Deposits                                                           353          -0-
                                                             ----------   ----------

      Total assets                                           $  43,643    $   6,056
                                                             ==========   ==========

                      ...LIABILITIES AND STOCKHOLDERS' DEFICIT

Current Liabilities:
  Accounts payable and accrued expenses                      $ 125,469    $  20,719
  Checks issued in excess of cash in bank                          -0-          626
  Loans payable in common stock                                397,652      206,413
                                                             ----------   ----------

      Total current liabilities                                523,121      227,758
                                                             ----------   ----------

Stockholders' Deficit:
  Common stock; $.001 par value; 100,000,000 shares
    authorized; 2,100,000 (600,000 for 2000) shares issued
    and outstanding                                              2,100          600
  Paid-in deficit                                               (1,900)        (400)
  Receivable for common stock                                     (200)        (200)
  Deficit accumulated during the development stage            (479,478)    (221,702)
                                                             ----------   ----------

      Total stockholders' deficit                             (479,478)    (221,702)
                                                             ----------   ----------

      Total liabilities and stockholders' deficit            $  43,643    $   6,056
                                                             ==========   ==========



                    See accompanying notes to financial statements

</TABLE>
                                          16
<PAGE>
<TABLE>

                                     ISEMPLOYMENT.COM, INC.
                          (Formerly Known as Magical Marketing, Inc.)
                                 (A Development Stage Company)
                                    Statements of Operations
                          Years Ended September 30, 2001 and 2000 and
                                the Period from October 20, 1999
                  (Date of Development Stage Inception) to September 30, 2001

<CAPTION>
                                     October 20, 1999
                                    (Development Stage
                                      Inception) to         Year Ended          Year Ended
                                    September 30, 2001   September 30, 2000  September 30, 2000
                                     -----------------   -----------------   -----------------
<S>                                  <C>                 <C>                 <C>
System development costs             $        160,067    $          9,530    $        150,537

General and administrative costs              319,411             248,246              71,165
                                     -----------------   -----------------   -----------------

Loss before income taxes                      479,478             257,776             221,702

Income taxes                                      -0-                 -0-                 -0-
                                     -----------------   -----------------   -----------------

      Net loss                       $        479,478    $        257,776    $        221,702
                                     =================   =================   =================


Basic and diluted loss per share     $           (.51)   $           (.26)   $           (.25)
                                     =================   =================   =================


Weighted average basic and diluted
  shares outstanding                          934,782             975,000             900,000
                                     =================   =================   =================







</TABLE>

                         See accompanying notes to financial statements


                                               17
<PAGE>
<TABLE>

                                                       ISEMPLOYMENT.COM, INC.
                                             (Formerly Known as Magical Marketing, Inc.)
                                                    (A Development Stage Company)
                                                 Statements of Stockholders' Deficit
                                             Years Ended September 30, 2001 and 2000 and
                                                  the Period from October 20, 1999
                                     (Date of Development Stage Inception) to September 30, 2001
<CAPTION>

                                                                                                           Deficit
                                                                                          Receivable     Accumulated
                                                                             Paid-in         for         During the
                                                                             Capital        Common       Development
                                 Date           Shares         Amount       (Deficit)        Stock          Stage           Total
                              ------------   ------------   ------------   ------------   ------------   ------------   ------------
<S>                         <C>                <C>          <C>            <C>            <C>            <C>            <C>
Balance, October 1,
  1999 and October
  20, 1999                                     1,000,000    $     1,000    $        75    $       -0-    $    (1,075)   $       -0-

Capital
  Contribution              03/31/2000                                             880                                          880

Merger
  Transaction:              06/30/2000
      Shares issued                              400,000            400           (400)
      Shares canceled                           (800,000)          (800)           800
      Recapitalization                                                          (1,755)          (200)         1,075           (880)

Net loss for the
  year ended
  September 30, 2000                                                                                        (221,702)      (221,702)
                                             ------------   ------------   ------------   ------------   ------------   ------------

Balance,
  September 30, 2000                             600,000            600           (400)          (200)      (221,702)      (221,702)

Purchase of intellectual
  property                  06/30/2001         1,500,000          1,500         (1,500)

Net loss for the year ended
  September 30, 2001                                                                                        (257,776)      (257,776)
                                             ------------   ------------   ------------   ------------   ------------   ------------

Balance,
  September 30, 2001                           2,100,000    $     2,100    $    (1,900)   $      (200)   $  (479,478)   $  (479,478)
                                             ============   ============   ============   ============   ============   ============





                                           See accompanying notes to financial statements
</TABLE>

                                                                 18
<PAGE>
<TABLE>

                                        ISEMPLOYMENT.COM, INC.
                             (Formerly Known as Magical Marketing, Inc.)
                                    (A Development Stage Company)
                                       Statements of Cash Flows
                             Years Ended September 30, 2001 and 2000 and
                                   the Period from October 20, 1999
                     (Date of Development Stage Inception) to September 30, 2001
<CAPTION>

                                                      October 20, 1999
                                                    (Development Stage
                                                       Inception) to    Year Ended      Year Ended
                                                       September 30,   September 30,   September 30,
                                                           2001             2001            2000
                                                       -------------   -------------   -------------
<S>                                                    <C>             <C>             <C>
Cash flows from operating activities:
  Net loss                                             $   (479,478)   $   (257,776)   $   (221,702)
  Adjustments to reconcile net loss to net
   cash used in operating activities:
      System development expenses incurred
        by assumption of a related party loan                96,555             -0-          96,555
      System development expenses incurred
        by assumption of advances payable                    42,147             -0-          42,147
      Increase in accounts payable                          123,081         102,362          20,719
      Increase in deposits                                     (353)           (353)            -0-
                                                       -------------   -------------   -------------

       Net cash used in operating activities               (218,048)       (155,767)        (62,281)
                                                       -------------   -------------   -------------

Cash flows from investing activities:
   Payments of amounts due from officers                    (26,291)        (23,776)         (2,515)
   Proceeds from amounts due from officers                   25,000          25,000             -0-
   Advances to related party                                (39,611)        (39,014)           (597)
                                                       -------------   -------------   -------------

      Net cash used in investing activities                 (40,902)        (37,790)         (3,112)
                                                       -------------   -------------   -------------

Cash flows from financing activities:
  Proceeds from loans payable in common stock               397,652         191,239         206,413
  Repayment of a related party loan                         (96,555)            -0-         (96,555)
  Repayment of advances payable                             (42,147)            -0-         (42,147)
  Checks issued in excess of cash in bank                       626             -0-             626
  Payment of checks issued in excess of cash in bank           (626)           (626)            -0-
                                                       -------------   -------------   -------------

       Net cash provided by financing activities            258,950         190,613          68,337
                                                       -------------   -------------   -------------

       Net increase (decrease) in cash                           -0-         (2,944)          2,944

Cash at beginning of period                                      -0-          2,944             -0-
                                                       -------------   -------------   -------------

Cash at end of period                                  $         -0-   $         -0-   $      2,944
                                                       =============   =============   =============

Interest paid                                          $         -0-   $         -0-   $         -0-
Tax paid                                               $         -0-   $         -0-   $         -0-


                            See accompanying notes to financial statements
</TABLE>


                                                  19
<PAGE>


                             ISEMPLOYMENT.COM, INC.
                   (Formerly Known as Magical Marketing, Inc.)
                          (A Development Stage Company)
                            Statements of Cash Flows
                                   (Continued)
                   Years Ended September 30, 2001 and 2000 and
                        the Period from October 20, 1999
           (Date of Development Stage Inception) to September 30, 2001




Supplemental disclosure of non-cash investing and financing activities:


During the year ended September 30, 2001, the Company acquired telephone
equipment in the amount of $2,388 by assuming a payable from a Company related
through common ownership.

During the year ended September 30, 2000, the Company incurred system
development expenses by assuming a loan payable to a stockholder's parent in the
amount of $96,555 and assuming advances payable in the amount of $42,147. These
funds were initially borrowed by the stockholder and an entity related to the
Company through common ownership. The funds were expended by these parties in
conjunction with the development of the concept, programming, database and Web
site that are intended to be used by the Company.

Prior to the merger, the Company's former majority stockholder made a
contribution to capital by paying certain Company expenses in the amount of
$880.











                                       20
<PAGE>


                             ISEMPLOYMENT.COM, INC.
                   (Formerly Known as Magical Marketing, Inc.)
                          (A Development State Company)
                          Notes to Financial Statements
                     Years Ended September 30, 2001 and 2000


Note 1.  THE COMPANY AND A SUMMARY OF ITS SIGNIFICANT ACCOUNTING POLICIES

         The Company was incorporated under the laws of the State of Wyoming on
         February 27, 1997 as Magical Marketing, Inc. (Magical Marketing). The
         Company ceased all operating activities during the period from February
         27, 1997 to October 20, 1999 and was considered dormant.

         On June 30, 2000, ISEmployment.com, Inc. (ISEmployment), a Delaware
         corporation, and Magical Marketing, merged. Magical Marketing became
         the surviving corporation and adopted the name ISEmployment.com, Inc.
         The Company issued 400,000 shares of common stock to the shareholders
         of the former ISEmployment.com, Inc. and Magical Marketing's majority
         stockholder canceled his 800,000 shares of common stock in connection
         with the merger. The merger transaction is treated as a
         recapitalization and is accounted for as a reverse acquisition and
         recorded at historical cost with no goodwill or other intangibles
         recorded. The 400,000 common share decrease as a result of the merger
         transaction reflects the exchange of ISEmployment's 2,000,000 shares
         (Note 5) for 400,000 shares of Company common stock and the retirement
         of 800,000 shares of Company common stock. If the Company's financial
         statements were prepared for the period from March 7, 2000, the date of
         ISEmployment's formation, through September 30, 2000, they would be
         substantially the same as the accompanying financial statements.

         The Company is primarily engaged in raising capital and developing an
         on-line human resources and recruiting service for the information
         systems industry.

         Revenue Recognition
         -------------------

         Revenue from providing services to customers will be recognized when
         the services are rendered.




                                       21
<PAGE>

                             ISEMPLOYMENT.COM, INC.
                   (Formerly Known as Magical Marketing, Inc.)
                          (A Development State Company)
                          Notes to Financial Statements
                     Years Ended September 30, 2001 and 2000


Note 1.  THE COMPANY AND A SUMMARY OF ITS SIGNIFICANT ACCOUNTING POLICIES
         (continued)

         Capitalization of Internal-Use Software Costs
         ---------------------------------------------

         The Company follows the guidance in Statement of Position 98-1,
         Accounting for Costs of Computer Software Developed or Obtained for
         Internal Use, and EITF 00-2, Accounting for Web Site Development Costs.
         During the preliminary project stage, the Company expenses internal and
         external costs it incurs, or assumes from related parties, to develop
         internal-use software and systems. During the application development
         project stage the Company capitalizes such costs and will amortize them
         on the straight-line method over their expected useful lives.
         Substantially, all costs incurred by the Company to date relate to the
         preliminary project and planning stage including conceptual
         formulation, evaluation of alternatives, determination of
         functionalities and identification of graphics and content.
         Accordingly, such costs have been expensed as system development costs.

         Fixed Assets
         ------------

         The cost of fixed assets is being depreciated on a straight-line basis
         over its estimated useful life of five years.

         Start-Up Costs
         --------------

         The Company expenses organization and start-up costs as incurred.

         Income Taxes
         ------------

         Deferred taxes are provided on a liability method whereby deferred tax
         assets are recognized for deductible temporary differences and deferred
         tax liabilities are recognized for taxable temporary differences.
         Temporary differences are the differences between the reported amount
         of assets and liabilities and their tax bases. Deferred tax assets are
         reduced by a valuation allowance when, in the opinion of management, it
         is more likely than not that some portion or all of the deferred tax
         assets will not be realized. Deferred tax assets and liabilities are
         adjusted for the effects of changes in tax laws and rates on the date
         of enactment.


                                       22
<PAGE>

                             ISEMPLOYMENT.COM, INC.
                   (Formerly Known as Magical Marketing, Inc.)
                          (A Development Stage Company)
                          Notes to Financial Statements
                                   (Continued)
                     Years Ended September 30, 2001 and 2000


Note 1.  THE COMPANY AND A SUMMARY OF ITS SIGNIFICANT ACCOUNTING POLICIES
         (continued)

         Use of Estimates
         ----------------

         The preparation of financial statements in conformity with generally
         accepted accounting principles requires management to make estimates
         and assumptions that affect certain reported amounts and disclosures.
         Accordingly, actual results could differ from those estimates.

         Foreign Currency
         ----------------

         The Company generates and expends cash in both U.S. dollars and
         Canadian dollars. Management believes that the Company's primary
         economic environment is U.S. dollars.

         The Company's financial statements have been prepared on the basis of
         U.S. dollars, however certain transactions during the year were
         executed in Canadian dollars. Gains or losses from changes in Canadian
         dollar to U.S. dollar exchange rates for transactions denominated in
         Canadian dollars are included in the determination of operating results
         in the period in which the exchange rate changes. No significant
         transaction gains or losses were incurred for the years ended September
         30, 2001 and 2000.

         New Accounting Pronouncements
         -----------------------------

         The Company does not expect the adoption of any issued, but not yet
         effective, accounting pronouncements to have a material effect, if any,
         on its financial position or results of operations.

Note 2.  GOING CONCERN UNCERTAINTY

         As shown in the financial statements, the Company has cumulative losses
         of $479,478 and $-0- of cash at September 30, 2001. The Company
         currently has no sales. These factors, among others, raise substantial
         doubt about the Company's ability to continue as a going concern. In
         order to develop and commercialize its technology and continue as a
         going concern, the Company will need, among other things, additional
         capital resources and financing.


                                       23
<PAGE>

                             ISEMPLOYMENT.COM, INC.
                   (Formerly Known as Magical Marketing, Inc.)
                          (A Development Stage Company)
                          Notes to Financial Statements
                                   (Continued)
                     Years Ended September 30, 2001 and 2000


Note 2.  GOING CONCERN UNCERTAINTY (continued)

         Management's plans to obtain such resources for the Company include (1)
         raising additional capital through sales of common stock, the proceeds
         of which would be used to perfect the Company's technology and services
         and satisfy immediate operating needs; and (2) using common stock to
         pay for consulting and professional services.

         Subsequent to September 30, 2001, management entered into an agreement
         with an investment banking company wherein the investment bankers will
         endeavor to obtain, on a best-efforts basis, up to $2 million in
         financing for the Company through the sale of its common stock (Note
         12). In addition, management expects to seek other potential joint
         venture partners or merger candidates that would provide financial,
         technical and/or marketing resources to enable the Company to realize
         the potential value of its technology. However, management cannot
         provide any assurances that the Company will be successful in
         accomplishing any of its plans.

         The ability of the Company to continue as a going concern is dependent
         upon its ability to successfully accomplish the plans described in the
         preceding paragraphs and eventually secure other sources of financing
         and attain profitable operations. The accompanying financial statements
         do not include any adjustments that might be necessary should the
         Company be unable to continue as a going concern.

Note 3.  DUE FROM OFFICERS

         The Company has advanced funds to its President and Chief Executive
         Officer from time to time. The advances are non-interest bearing and
         due on demand.

Note 4.  LOANS PAYABLE IN COMMON STOCK

         The Company's loans payable of $397,652 at September 30, 2001, are due
         and payable once the Company becomes publicly traded on the NASDAQ OTC
         market. Payment of the balance is to be made by issuing shares of
         Company common stock at prices ranging from $0.50 to $0.85 per share
         for a total of 478,238 shares. The loans are non-interest bearing. The


                                       24
<PAGE>


                             ISEMPLOYMENT.COM, INC.
                   (Formerly Known as Magical Marketing, Inc.)
                          (A Development Stage Company)
                          Notes to Financial Statements
                                   (Continued)
                     Years Ended September 30, 2001 and 2000


Note 4.  LOANS PAYABLE IN COMMON STOCK (continued)

         loans are from third party investors. In the event that the Company
         does not publicly trade on the NASDAQ OTC market, no repayment or other
         satisfaction of the debt will occur. Subsequent to year end, these
         loans were converted to common shares (Note 12).

Note 5.  RECEIVABLE FOR COMMON STOCK

         On March 7, 2000, the former ISEmployment.com issued 2,000,000 shares
         of its common stock in exchange for $200 in receivables. The
         receivables are non-interest bearing and due on demand. The receivables
         are carried in the balance sheet as a reduction to common stock.

Note 6.  INCOME TAXES

         The Company's provision for income taxes consists of the following at
         September 30:

                                                        2001            2000
                                                    ------------    ------------

            Currently payable                       $        -0-    $       -0-
            Deferred taxes                              131,000          75,000
            Valuation allowance                        (131,000)        (75,000)
                                                    ------------    ------------

                                                    $        -0-    $       -0-
                                                    ============    ============

         Income tax at the federal statutory rate is reconciled to the Company's
         actual income tax provision as follows:

                                                        2001            2000
                                                    ------------    ------------

         Federal income tax benefit at statutory rate        34%            34%
         Change in valuation allowance                      (34)           (34)
                                                    ------------    ------------
                                                              0%             0%
                                                    ============    ============


                                       25
<PAGE>

                             ISEMPLOYMENT.COM, INC.
                   (Formerly Known as Magical Marketing, Inc.)
                          (A Development Stage Company)
                          Notes to Financial Statements
                                   (Continued)
                     Years Ended September 30, 2001 and 2000


Note 6.  INCOME TAXES (continued)

         The Company's deferred tax assets at September 30, 2001 and 2000,
         consist of $206,000 and $75,000, respectively, associated with start-up
         costs capitalized for income tax purposes offset by $206,000 and
         $75,000 valuation allowances. The valuation allowance will be evaluated
         each year considering evidence about whether the asset will be
         realized.

Note 7.  LOSS PER SHARE

         Basic loss per share is calculated by dividing the net loss to the
         common shareholders by the weighted average number of shares
         outstanding for the period. Diluted loss per share reflects the
         potential dilution of securities that could share in earnings of an
         entity such as convertible debt, stock options and warrants. The
         Company has loans payable of $397,652 at September 30, 2001, that are
         payable once the Company becomes publicly traded on the NASDAQ OTC
         market by issuing shares of the Company common stock at prices ranging
         from $0.50 $0.85 per share for a total of 478,238 shares. Diluted loss
         per share is the same as basic loss per share as all contracts to issue
         shares were anti-dilutive.

         For the years ended September 30, 2001 and 2000, common stock
         outstanding is adjusted retroactively to equivalent shares as a result
         of 1,000 for 1 stock split during October 1999.

Note 8.  STOCK SPLIT AND OTHER TRANSACTIONS

         On October 20, 1999, the Board of Directors authorized a 1,000 for 1
         stock split, and changed the authorized number of shares to 100,000,000
         shares and the par value to $.001. As a result of the split, an
         additional 999,000 shares were issued. All references in the
         accompanying financial statements to the number of common shares and
         per-share amounts have been restated to reflect this stock split.

         On June 30, 2000, the Company issued 400,000 shares to the prior
         shareholders of ISEmployment.com, Inc. (pre-merger company) and
         canceled 800,000 shares of Magical Marketing, Inc. These shares were
         issued pursuant to the Plan of Reorganization and Merger.


                                       26
<PAGE>

                             ISEMPLOYMENT.COM, INC.
                   (Formerly Known as Magical Marketing, Inc.)
                          (A Development Stage Company)
                          Notes to Financial Statements
                                   (Continued)
                     Years Ended September 30, 2001 and 2000


Note 9.  OPERATING LEASE

         On June 1, 2000, the Company entered into an agreement to lease office
         facilities under an operating lease expiring in May 2005. The lease was
         canceled and the Company forfeited its deposit on the facility.

Note 10. RELATED PARTY TRANSACTIONS

         In June 2001, the Company purchased all rights to certain software
         developed by a company wholly owned by the Company's Co-Chief Executive
         Officers in exchange for one million five hundred thousand shares of
         the Company's common stock. This software was developed prior to the
         formation of the original ISEmployment.com and its merger with Magical
         Marketing, Inc. and was developed to be a part of the Company's
         recruiting data base and web site. The Company recorded the transfer at
         transferors' historical cost basis of the assets which approximates
         zero.

         During the year ended September 30, 2000, the Company incurred system
         development expenses, consisting primarily of salaries for the
         Company=s founders, by assuming a loan payable to a stockholder=s
         parent in the amount of $96,555. These funds were borrowed by the
         stockholder and an entity related to the Company through common
         ownership. The funds were expended by these parties in conjunction with
         the development of the concept, programming, data base and web site
         that are intended to be used by the Company. The loan was repaid by the
         Company in April 2000.

         The Company leases its office facilities from a stockholder on a
         month-to-month basis. Rent is $1,495 per month in Canadian dollars or
         approximately $970 in U.S. dollars at September 30, 2001 exchange
         rates. Rent at September 30, 2000 is $938 per month in Canadian dollars
         or approximately $631 in U.S. dollars at September 30, 2000 exchange
         rates. Rent expense on this facility for the years ended September 30,
         2001 and 2000 totaled $10,272 and $1,897, respectively. The Company is
         also obligated to pay for certain common area fees and property taxes
         under the terms of the lease. These fees and property taxes total
         $1,000 per month in Canadian dollars or approximately $650 in U.S.
         dollars at September 30, 2001 exchange rates.


                                       27
<PAGE>


                             ISEMPLOYMENT.COM, INC.
                   (Formerly Known as Magical Marketing, Inc.)
                          (A Development Stage Company)
                          Notes to Financial Statements
                                   (Continued)
                     Years Ended September 30, 2001 and 2000


Note 10. RELATED PARTY TRANSACTIONS (continued)

         The Company has advanced funds to its officers in the amount of $1,291
         and $2,515 at September 30, 2001 and 2000, respectively.

         The Company has advances to an entity related through common ownership
         in the amount of $39,611 and $597 at September 30, 2001 and 2000,
         respectively. These receivables from a related party are non-interest
         bearing and are due on demand.

         In the year ended September 30, 2001, the Company acquired telephone
         equipment from a Company related through common ownership by assuming a
         payable for $2,388.

Note 11. FAIR VALUE OF FINANCIAL INSTRUMENTS

         The carrying value of cash and accounts payable approximates fair value
         due to their short term nature. The fair value of the loans payable and
         receivables from a related party are not determinable because quoted
         market prices are not available and the cost of obtaining an
         independent valuation is excessive.

Note 12. SUBSEQUENT EVENTS

         Financing
         ---------

         In November 2001, the Company entered into a six-month financing
         agreement with an investment banking company (the investment bankers).
         Under the terms of the agreement, the investment bankers will endeavor
         to obtain up to $2,000,000 of financing for the Company through the
         sale of up to 1,000,000 shares of the Company's common stock at a price
         of $2.00 per share in exchange for a sales commission equal to 9% of
         the total amount of proceeds generated by the sale. Additionally, the
         agreement requires the Company to issue to the investment bankers a
         number of warrants to purchase shares of the Company's common stock
         equal to 10% of the total shares issued under the financing. The
         warrants entitle the investment bankers to purchase shares of common
         stock at a price equal to 150% of the offering price under the
         financing for four years from the end of the financing agreement.


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<PAGE>

                             ISEMPLOYMENT.COM, INC.
                   (Formerly Known as Magical Marketing, Inc.)
                          (A Development Stage Company)
                          Notes to Financial Statements
                                   (Continued)
                     Years Ended September 30, 2001 and 2000


Note 12. SUBSEQUENT EVENTS (continued)

         In December 2001, the Company obtained an unpriced quotation on the
         NASD OTC Bulletin Board from NASD Regulation, Inc. As a result, the
         Company issued 478,238 shares to the individual lenders holding
         $397,652 in loans to the Company payable in common shares at September
         30, 2001 (Note 4).













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<PAGE>



ITEM 8. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND
FINANCIAL DISCLOSURE

         As filed on Form 8-K/A, dated October 25, 2001, as a part of the merger
of Magical Marketing, Inc. and ISEmployment.com on June 30, 2000, Levitz, Zacks
& Ciceric was selected by the board of directors of ISEmployment.com to serve as
independent public accountants for the combined companies. Levitz, Zacks &
Ciceric has served as ISEmployment.com, Inc.'s independent public accountants
since January 1, 2000. Robison, Hill & Co., Magical Marketings, Inc.'s
accountants, has never served as independent public accountants for
ISEmployment.com, Inc. During the two most recent fiscal years there were no
disagreement between Magical Marketing, Inc. and Robison, Hill & Co. regarding
any matter of accounting principles or practices, nor did the financial
statements contain an adverse opinion or disclaimer of opinion, or was modified
as to uncertainty, audit scope or accounting principles.


PART III

ITEM 9. DIRECTORS, EXECUTIVE OFFICERS, PROMOTERS AND CONTROL PERSONS; COMPLIANCE
WITH SECTION 16(A) OF THE EXCHANGE ACT.

DIRECTORS AND EXECUTIVE OFFICERS

The current executive officers (as of February 25, 2002) of the company are as
follows:

   NAME                         AGE                   POSITION
   ----------------             ---            -----------------------
   Scott F. Murray              32             Co-Chief Executive Officer
   Frank Ulakovich              30             Co-Chief Executive Officer


BIOGRAPHIES OF THE DIRECTORS AND EXECUTIVE OFFICERS

MANAGEMENT

Information as to the directors and officers of the company is as follows:

         Directors and officers are elected annually and serve for a one year
term or until their successor are elected and qualified. Information as to the
directors and officers of the ISEmployment.com is as follows:



                                       30
<PAGE>

         Scott Murray, age 32, has served as a director of ISEmployment.com,
Inc. since its inception and became Co-Chief Executive Officer and President at
that time; he also has served as Chief Financial Officer since June 2000. Mr.
Murray served as President of International Technical Recruiting, Inc. a
traditional recruitment and placement firm that represents many Fortune 500
companies. Mr. Murray was a co-founder of ITR, which was established in 1995 and
is presently inactive. Mr. Murray has also assumed the role of Chief Financial
Officer of ISEmployment.com. Mr. Murray founded ISEmployment.com with Mr.
Ulakovich, his Co-Chief Executive; these responsibilities include strategic
planning, quality control and management of the ISEmployment.com's personnel.
Mr. Murray serves Chairman of the Society of Manufacturing Engineers and holds a
seat on the Regional Committee for the Society of Manufacturing Engineers.

         Frank Ulakovich, age 30, has served as a Chairman of the Board of
ISEmployment.com, Inc. since its inception and became Co-Chief Executive Officer
at that time; he also has served as Secretary since June 2000. Mr. Ulakovich has
served as Vice-President Technical Recruiting of ITR from its inception in 1995
through the first quarter of 2000. Mr. Ulakovich directed the operations and
expansion of ITR's technical division.

SECTION 16(A) BENEFICIAL OWNERSHIP REPORTING COMPLIANCE

         Section 16(a) of the Securities Exchange Act of 1934, as amended,
requires the company's directors, executive officers and persons who own more
than 10% of a class of the company's equity securities which are registered
under the Exchange Act to file with the Securities and Exchange Commission
initial reports of ownership and reports of changes of ownership of such
registered securities. Such executive officers, directors and greater than 10%
beneficial owners are required by Commission regulation to furnish the company
with copies of all Section 16(a) forms filed by such reporting persons.

         To the company's knowledge, based solely on a review of the copies of
such reports furnished to the company and on representations that no other
reports were required, the officers required to file such reports have filed
their respective Forms as required by Section 16(a) on the Securities and
Exchange Act of 1934, however, Messrs. Murray and Ulakovich filed their Form 4s
late.


ITEM 10. EXECUTIVE COMPENSATION

         Scott F. Murray and Frank Ulakovich each receive a $48,000 a year in
salary in 2001, $9,000 in 2000 and $0 in 1999. They do not receive any other
benefits. It is anticipated that in the future senior management will be
provided additional benefits comparable for their industry.

DIRECTOR COMPENSATION

         The company reimburses directors for out-of-pocket expenses incurred in
connection with the rendering of services as a director.



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<PAGE>

ITEM 11. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT

         Unless otherwise indicated, the address of the directors and officers
is c/o ISEmployment.com, Inc. 213-380 Pelissier Street, Windsor Ontario, Canada.
Beneficial ownership is defined to mean the power to vote and/or to dispose of
the securities regardless of any economic interest therein. In computing number
and percentage ownership of shares of common stock beneficially owned by a
person, shares of common stock subject to options and warrants held by that
person that are exercisable within 60 days are deemed outstanding. Such shares
of common stock, however, are not deemed outstanding for purposes of computing
the percentage ownership of stockholders other than such person.

         The following table sets forth certain information as to shares of
common stock owned by (i) each person known to beneficially own more than 5% of
the outstanding common stock, (ii) each director and named executive officer of
the company, and (iii) all executive officers and directors of the company as a
group. Unless otherwise indicated, each person has sole voting and investment
power over the shares beneficially owned by him.

                                                     Percent of Common Stock
Amount of Common Stock Beneficially Owned            Beneficially Owned
-----------------------------------------         ------------------------------
Directors and Officers

 Scott Murray (1) 950,000                                      37%
 213-380 Pelissier Street Windsor, Ontario, Canada

 Frank Ulakovich (1) 950,000                                   37%
 213-380 Pelissier Street Windsor, Ontario, Canada

(1) Messrs. Murray and Ulakovich hold no options, warrants, rights, conversion
privilege or similar obligations of ISEmployment.com, Inc.

ITEM 12. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

         On June 19, 2001, ISEmployment.com and International Technical
Recruiting, Inc. entered into a Bill of Sale and Assignment of Intellectual
Property Rights, in accordance with the agreement the software program
consisting of the sub-skill section of ITR's recruiting assistance program was
assigned to ISEmployment.com in exchange for 1.5 million shares of common stock
of ISEmployment.com. Messrs. Murray and Ulakovich own 100% of ITR. The 1.5
million shares exchanged in the transaction was based on management's
best-estimated value of the sub-skill section of the program and maybe
considered arbitrary. Management did not receive a third party appraisal of the
value of intellectual property. Management believes, given its financial
condition, that the transaction was fair and on terms no less favorable to the
company than it would have expected to negotiate with an unaffiliated third
party.

                                       32
<PAGE>

         Except for the lease between Mr. Murray and the company for the
company's executive offices described above in Property, no member of the
management, officers, or directors is or has a direct or indirect interest in a
material transaction or contract with the company.

         The company incurred system development expenses, consisting primarily
of salaries for the company's founders, by assuming a loan payable to a
stockholder's parent in the amount of $96,555. These funds were borrowed by the
stockholder and an entity related to the company through common ownership. The
funds were expended by the parties in conjunction with the development of the
concept, programming, database and web site that are intended to be used by the
company. The loan was repaid by the company prior to September 30, 2001.

         The company leases its office facilities from a stockholder on a
month-to-month basis. Rent is $1,495 per month in Canadian dollars or
approximately $970 in U.S. dollars at September 30,2001 exchange rates.
Isemployment.com is also obligated to pay for certain common area and property
taxes under the terms of the lease. Rent expenses on this facility for the year
ended September 30, 2001 totaled $10,272.

         The company has advanced funds to its officers in the amount of $1,291
as of September 30, 2001, and $2,515 as of September 30, 2000. The company lent
funds to an entity related through common ownership in the amount of $39,611 as
of September 30, 2001, and $597 as of September 30, 2000. These advances are
non-interest bearing and are due on demand.

         No director or officer is personally liable for the repayment of
amounts of any financing received by the company.

ITEM 13. EXHIBITS, LIST AND REPORTS ON FORM 8-K.

(a) EXHIBIT INDEX

2.1      Plan of Merger between ISEmployment.com, Inc. and the shareholders of
         Magical Marketing, Inc., dated June 30, 2000 (Incorporated by reference
         from registrant's Exhibit 2.1 to the Current Report on Form 8-K, filed
         July 17, 1999)

3.1      Articles of Incorporation of ISEmployment.com, Inc. (Incorporated by
         reference from registrant's exhibits 3.1 and 3.2 to the Registration of
         Securities on Form 10-SB, filed December 22, 1999)


                                       33
<PAGE>

3.2      By-Laws of ISEmployment.com, Inc. (Incorporated by reference from
         registrant's exhibit 3.3 to the Registration of Securities on Form
         10-SB, filed December 22, 1999)

4.1      Form of Common Stock Certificate (Incorporated by reference from
         registrant's exhibit 3.2 to the Registration of Securities on Form
         SB-2, filed November 16, 2000)

(b) Reports on Form 8-K

         On January 12, 2001 and October 25, 2001, the company amended it
previously filed 8-K concerning the merger of ISEmployment.com, Inc. and Magical
Marketing, Inc. to report that in connection with the merger the company changed
its accountants.




                                       34
<PAGE>


SIGNATURES

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


ISEmployment.com, Inc.
(Registrant)

By: /S/ SCOTT MURRAY
----------------------------------
Scott Murray
Director, President and
Co-Chief Executive Officer
(Duly authorized officer)

Date: March 8, 2002

         Pursuant to the requirements of the Exchange Act, this report has been
signed below by the following persons on behalf of the registrant in the
capacities indicated and on the date indicated.




ISEMPLOYMENT.COM, INC.


By:  /s/ Scott Murray
----------------------

Scott Murray, President and
 Co-Chief Executive Officer,
Signing in his capacity as
Principal executive officer, principal
Accounting officer and director

Date: March 8, 2002




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