----

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**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: September 30, 2005**

**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 000-30550**

**RecycleNet      Corporation**

**(Exact      name of small business issuer in its charter)**

| **Utah**                                                                                             | **87-0301924**                                                      |
|------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------|
| **(State                or other jurisdiction of **incorporation                or organization)**** | **(IRS                Employer Identification                No.)** |

**175      East 400 South, Suite 900, Salt Lake City Utah, 84111**

**(Address      of principal executive offices, including Zip Code)**

**801-531-0404**

**(Issuer's      telephone number,)**

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**RECYCLENET      CORPORATION AND SUBSIDIARIES**

**FORM      10-QSB**

**QUARTER      ENDED September 30, 2005**

**TABLE      OF CONTENTS**

| **PART                I - FINANCIAL INFORMATION**                                                                                               | **Page**                                                                                                    |
|-------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------|
|                                                                                                                                            |                                                                                                        |   |
| Item                1.                                                                                                                          | Financial                Statements                                                                         |   |
|                                                                                                                                            |                                                                                                        |   |
|  Condensed                Consolidated Balance Sheets - September 30, 2005 and December 31,                2004                (Unaudited) | 3                                                                                                           |
|                                                                                                                                            |                                                                                                        |   |
|  Condensed                Consolidated Statements of Operations for the Three and Nine Months                Ended                         |                                                                                                        |
|  September                30, 2005 and 2004 (Unaudited)                                                                                    | 4                                                                                                           |
|                                                                                                                                            |                                                                                                        |   |
|  Condensed                Consolidated Statements of Cash Flows for the Nine Months Ended                                                  |                                                                                                        |
|  September                30, 2005 and 2004 (Unaudited)                                                                                    | 5                                                                                                           |
|                                                                                                                                            |                                                                                                        |   |
|  Notes                to Condensed Consolidated Financial Statements                                                                       | 6                                                                                                           |
|                                                                                                                                            |                                                                                                        |   |
| Item                2.                                                                                                                          | Management’s                Discussion and Analysis                                                   | 7 |
|                                                                                                                                            |                                                                                                        |   |
| Item                3.                                                                                                                          | Controls                and Procedures                                                                      | 9 |
|                                                                                                                                            |                                                                                                        |   |
|                                                                                                                                            |                                                                                                        |   |
| **PART                II - OTHER INFORMATION**                                                                                                  |                                                                                                        |
|                                                                                                                                            |                                                                                                        |   |
| Item                1.                                                                                                                          | Legal                Proceedings                                                                            | 10 |
|                                                                                                                                            |                                                                                                        |   |
| Item                2.                                                                                                                          | Changes                in Securities and Small Business Issuer Purchase of Equity                Securities | 10 |
|                                                                                                                                            |                                                                                                        |   |
| Item                3.                                                                                                                          | Default                Upon Senior Securities                                                               | 10 |
|                                                                                                                                            |                                                                                                        |   |
| Item                4.                                                                                                                          | Submission                of Matters to a Vote of Security Holders                                          | 10 |
|                                                                                                                                            |                                                                                                        |   |
| Item                5.                                                                                                                          | Other                Information                                                                            | 10 |
|                                                                                                                                            |                                                                                                        |   |
| Item                6.                                                                                                                          | Exhibits                and Reports on Form 8-K                                                             | 10 |
|                                                                                                                                            |                                                                                                        |   |
| Signatures                                                                                                                                      | 11                                                                                                          |

----

**PART      I - FINANCIAL INFORMATION**

| **ITEM              1.** | **FINANCIAL                STATEMENTS** |
|--------------------------|-----------------------------------------|

| **RECYCLENET                CORPORATION AND SUBSIDIARIES**                     |   |
|--------------------------------------------------------------------------------|--------|
| **CONDENSED                CONSOLIDATED BALANCE SHEETS**                       |   |
| **(UNAUDITED)**                                                                |   |   |   |   |   |
|                                                                           |   | **September                30****,** |   | **December                31,** |   |
|                                                                           |   | **2005** |   | **2004** |   |
| **ASSETS**                                                                     |   |   |   |   |   |
| **Current                Assets**                                              |   |   |   |   |   |
| Cash                                                                           |   | $ | 220,060 |   | $ | 274,244 |   |
| Trade                accounts receivable, net of $2,500 allowance for bad debt |   |   | 14,740 |   |   | 13,027 |   |
| Other                receivables                                               |   |   | 3,594 |   |   | 10,314 |   |
| Prepaid                expenses                                                |   |   | 1,500 |   |   | 4,693 |   |
| Advances                to related party - current                             |   |   | - |   |   | 4,573 |   |
| **Total                Current Assets**                                        |   |   | 239,894 |   |   | 306,851 |   |
| **Property                and Equipment**                                      |   |   |   |   |   |   |   |
| Computer                equipment                                              |   |   | 44,146 |   |   | 41,306 |   |
| Less:                Accumulated depreciation                                  |   |   | (28,626 | ) |   | (24,578 | ) |
| **Net                Property and Equipment**                                  |   |   | 15,520 |   |   | 16,728 |   |
| **Total                Assets**                                                |   | $ | 255,414 |   | $ | 323,579 |   |
|                                                                           |   |   |   |   |   |   |   |
| **LIABILITIES                AND STOCKHOLDERS' EQUITY**                        |   |   |   |   |   |   |   |
| **Current                Liabilities**                                         |   |   |   |   |   |   |   |
| Trade                accounts payable                                          |   | $ | 10,640 |   | $ | 664 |   |
| Accrued                liabilities                                             |   |   | 28,250 |   |   | 18,141 |   |
| Deferred                revenue                                                |   |   | 125,606 |   |   | 96,525 |   |
| **Total                Current Liabilities**                                   |   |   | 164,496 |   |   | 115,330 |   |
| **Stockholders'                Equity**                                        |   |   |   |   |   |   |   |
| Class                N convertible shares (and Class X shares of Amalco) -     |   |   |   |   |   |   |   |
| $0.01                par value; 70,896,789 shares authorized; 61,175,681       |   |   |   |   |   |   |   |
| shares                issued and outstanding                                   |   |   | 611,757 |   |   | 611,757 |   |
| Common                shares - $0.01 par value; 179,103,211 shares             |   |   |   |   |   |   |   |
| authorized;                76,471,792 and 76,421,792 shares issued and         |   |   |   |   |   |   |   |
| outstanding,                respectively                                       |   |   | 764,718 |   |   | 764,218 |   |
| Additional                paid-in capital                                      |   |   | 34,315 |   |   | 33,565 |   |
| Accumulated                deficit                                             |   |   | (1,319,872 | ) |   | (1,201,291 | ) |
| **Total                Stockholders' Equity**                                  |   |   | 90,918 |   |   | 208,249 |   |
| **Total                Liabilities and Stockholders' Equity**                  |   | $ | 255,414 |   | $ | 323,579 |   |

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| **RECYCLENET                CORPORATION AND SUBSIDIARIES**            |   |                                    |       |                                   |   |        |   |     |       |
|-----------------------------------------------------------------------|--------|-----------------------------------------|------------|----------------------------------------|--------|-------------|--------|----------|------------|
| **CONDENSED                CONSOLIDATED STATEMENTS OF OPERATIONS**    |   |                                    |       |                                   |   |        |   |
| **(UNAUDITED)**                                                       |   |                                    |       |                                   |   |        |   |     |       |
|                                                                  |   | **For                The Three Months** |       | **For                The Nine Months** |   |
|                                                                  |   | **Ended                September 30,**  |       | **Ended                September 30,** |   |
|                                                                  |   | **2005**                                |       | **2004**                               |   | **2005**    |   | **2004** |       |
| **Sales**                                                             |   | $                                       | 213,116    |                                   | $      | 182,288     |   | $        | 614,173    |   | $ | 571,847 |   |
|                                                                  |   |                                    |       |                                   |   |        |   |     |       |   |   |   |   |
| **Operating                Expenses**                                 |   |                                    |       |                                   |   |        |   |     |       |   |   |   |   |
| Selling,                general and administrative expenses           |   |                                    | 231,435    |                                   |   | 174,812     |   |     | 730,140    |   |   | 554,780 |   |
| Foreign                currency exchange (gain) loss                  |   |                                    | 426        |                                   |   | (6,588      | )      |     | 2,614      |   |   | (7,103 | ) |
|                                                                  |   |                                    |       |                                   |   |        |   |     |       |   |   |   |   |
| **Total                Operating Expenses**                           |   |                                    | 231,861    |                                   |   | 168,224     |   |     | 732,754    |   |   | 547,677 |   |
|                                                                  |   |                                    |       |                                   |   |        |   |     |       |   |   |   |   |
| **Income                (Loss) From Continuing Operations**           |   |                                    | (18,745    | )                                      |   | 14,064      |   |     | (118,581   | ) |   | 24,170 |   |
|                                                                  |   |                                    |       |                                   |   |        |   |     |       |   |   |   |   |
| **Discontinued                Operations**                            |   |                                    |            |                                   |   |             |   |     |       |   |   |   |   |
| Loss                from discontinued operations                      |   |                                    | -          |                                   |   | (234        | )      |     | -          |   |   | (1,153 | ) |
|                                                                  |   |                                    |       |                                   |   |        |   |     |       |   |   |   |   |
| **Net                Income (Loss)**                                  |   | $                                       | (18,745    | )                                      | $      | 13,830      |   | $        | (118,581   | ) | $ | 23,017 |   |
|                                                                  |   |                                    |       |                                   |   |        |   |     |       |   |   |   |   |
| **Basic                Income (Loss) Per Common Share From**          |   |                                    |       |                                   |   |        |   |     |       |   |   |   |   |
| Continuing                Operations                                  |   | $                                       | -          |                                   | $      | -           |   | $        | (0.01      | ) |   | - |   |
| Discontinued                Operations                                |   |                                    | -          |                                   |   | -           |   |     | -          |   |   | - |   |
| **Basic                Income (Loss) Per Common Share**               |   | $                                       | -          |                                   | $      | -           |   | $        | (0.01      | ) | $ | - |   |
|                                                                  |   |                                    |       |                                   |   |        |   |     |       |   |   |   |   |
| **Diluted                Income (Loss) Per Common Share From**        |   |                                    |       |                                   |   |        |   |     |       |   |   |   |   |
| Continuing                Operations                                  |   | $                                       | -          |                                   | $      | -           |   | $        | (0.01      | ) | $ | - |   |
| Discontinued                Operations                                |   |                                    | -          |                                   |   | -           |   |     | -          |   |   | - |   |
| **Diluted                Income (Loss) Per Common Share**             |   | $                                       | -          |                                   | $      | -           |   | $        | (0.01      | ) | $ | - |   |
|                                                                  |   |                                    |       |                                   |   |        |   |     |       |   |   |   |   |
| **Basic                Weighted-Average Common Shares Outstanding**   |   |                                    | 76,471,792 |                                   |   | 76,421,792  |   |     | 76,444,869 |   |   | 76,421,792 |   |
|                                                                  |   |                                    |       |                                   |   |        |   |     |       |   |   |   |   |
| **Diluted                Weighted-Average Common Shares Outstanding** |   |                                    | 76,471,792 |                                   |   | 137,597,473 |   |     | 76,444,869 |   |   | 137,597,473 |   |

----

| **RECYCLENET                CORPORATION AND SUBSIDIARIES**                                                                       |   |     |     |     |   |
|----------------------------------------------------------------------------------------------------------------------------------|--------|----------|----------|----------|--------|
| **CONDENSED                CONSOLIDATED STATEMENTS OF CASH FLOWS**                                                               |   |     |     |     |   |
| **(UNAUDITED)**                                                                                                                  |   |     |     |     |   |
|                                                                                                                             |   |     |     |     |   |
| ***For                The Nine Months Ended September 30,***                                                                     |   | **2005** |     | **2004** |   |
|                                                                                                                             |   |     |     |     |   |
| **Cash                Flows From Operating Activities:**                                                                         |   |     |     |     |   |
| Net                income (loss)                                                                                                 |   | $        | (118,581 | )        | $      | 23,017 |   |
| Adjustments                to reconcile net income (loss) to net cash provided                by (used in) operating activities: |   |     |     |     |   |   |   |
| Depreciation                                                                                                                     |   |     | 4,048    |     |   | 1,698 |   |
| Foreign                currency exchange (gain) loss                                                                             |   |     | 2,614    |     |   | (7,103 | ) |
| Issuance                of common shares for consulting services                                                                 |   |     | -        |     |   | 4,140 |   |
| Issuance                of common shares for marketing expense                                                                   |   |     | 1,250    |     |   | - |   |
| Changes                in assets and liabilities:                                                                                |   |     |     |     |   |   |   |
| Accounts                and other receivables                                                                                    |   |     | 5,060    |     |   | 18,818 |   |
| Prepaid                expenses                                                                                                  |   |     | 3,193    |     |   | 1,574 |   |
| Accounts                payable and accrued liabilities                                                                          |   |     | 15,606   |     |   | 625 |   |
| Deferred                revenue                                                                                                  |   |     | 28,606   |     |   | 38,113 |   |
|                                                                                                                             |   |     |     |     |   |   |   |
| **Net                Cash Provided By (Used In) Operating Activities**                                                           |   |     | (58,204  | )        |   | 80,882 |   |
|                                                                                                                             |   |     |     |     |   |   |   |
| **Cash                Flows From Investing Activities:**                                                                         |   |     |     |     |   |   |   |
| Collection                of advances to related party                                                                           |   |     | 4,502    |     |   | 4,244 |   |
| Purchase                of property and equipment                                                                                |   |     | (2,922   | )        |   | (2,145 | ) |
|                                                                                                                             |   |     |     |     |   |   |   |
| **Net                Cash Provided By Investing Activities**                                                                     |   |     | 1,580    |     |   | 2,099 |   |
|                                                                                                                             |   |     |     |     |   |   |   |
| **Cash                Flows From Financing Activities:**                                                                         |   |     | -        |     |   | - |   |
|                                                                                                                             |   |     |     |     |   |   |   |
| **Effect                of Exchange Rate Changes on Cash**                                                                       |   |     | 2,440    |     |   | 10,288 |   |
|                                                                                                                             |   |     |     |     |   |   |   |
| **Net                Change in Cash**                                                                                            |   |     | (54,184  | )        |   | 93,269 |   |
|                                                                                                                             |   |     |     |     |   |   |   |
| **Cash                at Beginning of Period**                                                                                   |   |     | 274,244  |     |   | 213,296 |   |
|                                                                                                                             |   |     |     |     |   |   |   |
| **Cash                at End of Period**                                                                                         |   | $        | 220,060  |     | $      | 306,565 |   |

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**RECYCLENET      CORPORATION AND SUBSIDIARIES**

**NOTES      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**(UNAUDITED)**

**NOTE      1-ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES**

**Basis      of Presentation —**

**Advances      to Related Party**
**—**

**NOTE      2-STOCKHOLDERS’ EQUITY**

*Grantor      Balance Sheet Presentation of Unvested, Forfeitable Equity Instruments Granted      to a Nonemployee*

**NOTE      3-BASIC AND DILUTED INCOME (LOSS) PER COMMON SHARE**

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|                                                                                                                                                                                |   | **For                The Three Months** |       | **For                The Nine Months** |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------|------------|----------------------------------------|--------|
|                                                                                                                                                                                |   | **Ended                September 30,**  |       | **Ended                September 30,** |   |
|                                                                                                                                                                                |   | **2005**                                |       | **2004**                               |   | **2005** |   | **2004** |   |
| Weighted-average                number of common shares used in basic income (loss) per common share                calculation                                                     |   |                                    | 76,471,792 |                                   |   | 76,421,792 |   |   | 76,444,869 |   |   | 76,421,792 |   |
|                                                                                                                                                                                |   |                                    |       |                                   |   |   |   |   |   |   |   |   |   |
| Incremental                potentially issuable common shares from assumed conversion of Class                N                common shares                                        |   |                                    | -          |                                   |   | 61,175,681 |   |   | - |   |   | 61,175,681 |   |
|                                                                                                                                                                                |   |                                    |       |                                   |   |   |   |   |   |   |   |   |   |
| Weighted-average                number of common shares and dilutivepotential                common shares used in diluted income (loss) percommon                share calculation |   |                                    | 76,471,792 |                                   |   | 137,597,473 |   |   | 76,444,869 |   |   | 137,597,473 |   |

| **ITEM              2.** | **MANAGEMENT'S                DISCUSSION AND ANALYSIS** |
|--------------------------|---------------------------------------------------------|

**Cautionary      Statement Regarding Forward_Looking Statements**

**Overview**

**Results      of Operations**

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**Sales      Revenues**

|                          |   | **For                the Three Months Ended** |    | **For                the Nine Months Ended** |   |
|-------------------------------|--------|-----------------------------------------------|---------|----------------------------------------------|--------|
|                          |   | **September                30,**              |    | **September                30,**             |   |
|                          |   | **2005**                                      |    | **2004**                                     |   | **2005** |   | **2004** |   |
|                          |   |                                          |    |                                         |   |   |   |   |   |
| Sales                Revenues |   | $                                             | 213,100 |                                         | $      | 182,300 |   | $ | 614,200 |   | $ | 571,800 |   |

**Operating      Expenses **

|                                               |   | **For                the Three Months Ended** |    | **For                the Nine Months Ended** |   |
|----------------------------------------------------|--------|-----------------------------------------------|---------|----------------------------------------------|--------|
|                                               |   | **September                30,**              |    | **September                30,**             |   |
|                                               |   | **2005**                                      |    | **2004**                                     |   | **2005** |   | **2004** |   |
|                                               |   |                                          |    |                                         |   |   |   |   |   |
| General                and Administrative Expenses |   | $                                             | 231,400 |                                         | $      | 174,800 |   | $ | 730,100 |   | $ | 555,800 |   |

**Net      Income (Loss)**

|                             |   | **For                the Three Months Ended** |    | **For                the Nine Months Ended** |   |
|----------------------------------|--------|-----------------------------------------------|---------|----------------------------------------------|--------|
|                             |   | **September                30,**              |    | **September                30,**             |   |
|                             |   | **2005**                                      |    | **2004**                                     |   | **2005** |   | **2004** |   |
|                             |   |                                          |    |                                         |   |   |   |   |   |
| Net                profit (loss) |   | $                                             | (18,700 | )                                            | $      | 13,800 |   | $ | (118,600 | ) | $ | 23,000 |   |

----

**Liquidity      and Capital Resources**

**Deferred      Revenue**

| **ITEM              3.** | **CONTROLS                AND PROCEDURES** |
|--------------------------|--------------------------------------------|

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**PART      II - OTHER INFORMATION**

| **ITEM              1.** | **LEGAL                PROCEEDINGS** |
|--------------------------|--------------------------------------|

| **ITEM              2.** | **CHANGES                IN SECURITIES AND SMALL BUSINESS ISSUER PURCHASE OF EQUITY                SECURITIES** |
|--------------------------|-----------------------------------------------------------------------------------------------------------------|

| **ITEM              3.** | **DEFAULT                UPON SENIOR SECURITIES** |
|--------------------------|---------------------------------------------------|

| **ITEM              4.** | **SUBMISSION                OF MATTERS TO A VOTE OF SECURITY                HOLDERS** |
|--------------------------|---------------------------------------------------------------------------------------|

| **ITEM              5.** | **OTHER                INFORMATION** |
|--------------------------|--------------------------------------|

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

| Exhibit | Description                                                                                                                                                                               |
|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 31.1    | Certification                of the Chief Executive Officer pursuant to Section 302 of the                Sarbanes-Oxley Act of 2002                                                      |
| 31.2    | Certification                of the Chief Financial Officer pursuant to Section 302 of the                Sarbanes-Oxley Act of 2002                                                      |
| 32.1    | Certification                of Chief Executive Officer pursuant to U.S.C Section 1350 as adopted                pursuant to Section 906 of the Sarbanes-Oxley Act of                2002 |
| 32.2    | Certification                of Chief Financial Officer pursuant to U.S.C Section 1350 as adopted                pursuant to Section 906 of the Sarbanes-Oxley Act of                2002 |

----

**SIGNATURES**

|                            | RecycleNet                Corporation                                                                                                          |
|---------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------|
|                            |                                                                                                                                           |
|                            |                                                                                                                                           |
| November                1, 2005 | /s/ Paul              Roszel                    |
|                            | Paul                Roszel, President                and Chairman                of the Board of Directors                                     |
|                            |                                                                                                                                           |
|                            |                                                                                                                                           |
| November                1, 2005 | /s/ Richard              Ivanovick                                                                                                        |
|                            | Richard                Ivanovick, C.A., Chief Financial and Accounting                Officer                                                  |
|                            |                                                                                                                                           |

----