|                                             |
|--------------------------------------------------|
| OMB                  APPROVAL                    |
| OMB                  Number: 3235-0070           |
| Expires:                  January 31, 2008       |
| Estimated                  average burden        |
| hours                  per response...192.00 |

**UNITED      STATES**

**SECURITIES      AND EXCHANGE COMMISSION**

**Washington,      D.C. 20549**

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**FORM      10-Q**

| **x** | **QUARTERLY                REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE                ACT OF                1934** |
|-------|------------------------------------------------------------------------------------------------------------------------------------------|

| **o** | **TRANSITION                REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE                ACT OF                1934** |
|-------|-------------------------------------------------------------------------------------------------------------------------------------------|

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**BLACKHAWK      CAPITAL GROUP BDC, INC.**

| Delaware                                       | 20-1031329                         |
|------------------------------------------------|------------------------------------|
| (State                or other jurisdiction of | (I.R.S.                Employer    |
| incorporation                or organization)  | Identification                No.) |

| **14                    Wall Street, 11th                    Floor, New York, NY** | **10005**                     |
|------------------------------------------------------------------------------------|-------------------------------|
| (Address                    of principal executive                    offices)     | (Zip                    Code) |

**(212)      566-8300**

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| Class                                           |   | Outstanding                on May 9, 2007 |
|-------------------------------------------------|--------|-------------------------------------------|
| Common                Stock, $0.00001 par value |   | 30,511,481                                |

| SEC              1296 (12-05) | **Potential                persons who are to respond to the collection of information contained                in                this form are not required to respond unless the form displays a                currently                valid OMB control number.** |
|-------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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**BLACKHAWK      CAPITAL GROUP BDC, INC.**

**INDEX**

|                                   |                                                                                                                                                                                                   |   | **Page** |
|-----------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------|
| **PART                I. **  | ** FINANCIAL                INFORMATION**                                                                                                                                                    |   |     |
|                              |                                                                                                                                                                                              |   |     |
|  Item                1.      | Financial                Statements.                                                                                                                                                              |   | 1        |
|                              |                                                                                                                                                                                              |   |     |
|                              | Condensed                Statements of Assets and Liabilities as of March 31, 2007 (unaudited)                and                December 31, 2006                                                |   | 1        |
|                              |                                                                                                                                                                                              |   |     |
|                              | Condensed                Statements of Operations for the three months ended March 31, 2007                (unaudited) and March 31, 2006 (unaudited)                                             |   | 2        |
|                              |                                                                                                                                                                                              |   |     |
|                              | Condensed                Statements of Changes in Net Assets (Liabilities) for the three months                ended March 31, 2007 (unaudited) and year ended December 31,                2006   |   | 3        |
|                              |                                                                                                                                                                                              |   |     |
|                              | Condensed                Statement of Stockholders' Equity (Capital Deficit) for the three                months                ended March 31, 2007 (unaudited) and year ended December 31, 2006 |   | 4        |
|                              |                                                                                                                                                                                              |   |     |
|                              | Condensed                Statements of Cash Flows for the three months ended March 31, 2007                (unaudited) and March 31, 2006 (unaudited)                                             |   | 5        |
|                              |                                                                                                                                                                                              |   |     |
|                              | Notes                to Condensed Financial Statements                                                                                                                                            |   | 6        |
|                              |                                                                                                                                                                                              |   |     |
|  Item                2.      | Management’s                Discussion and Analysis of Financial Condition and Results of Operations.                                                                                       |   | 9        |
|                              |                                                                                                                                                                                              |   |     |
|  Item                3.      | Quantitative                and Qualitative Disclosures about Market Risk.                                                                                                                        |   | 12       |
|                              |                                                                                                                                                                                              |   |     |
|  Item                4.      | Controls                and Procedures.                                                                                                                                                           |   | 13       |
|                              |                                                                                                                                                                                              |   |     |
| ** PART                II.** | **OTHER                INFORMATION**                                                                                                                                                              |   |     |
|                              |                                                                                                                                                                                              |   |     |
|  Item                1.      | Legal                Proceedings.                                                                                                                                                                 |   | 13       |
|                              |                                                                                                                                                                                              |   |     |
| Item                1A.           | Risk                Factors                                                                                                                                                                       |   | 13       |
|                              |                                                                                                                                                                                              |   |     |
|  Item                2.      | Unregistered                Sales of Equity Securities and Use of Proceeds.                                                                                                                       |   | 13       |
|                              |                                                                                                                                                                                              |   |     |
| Item                3.       | Defaults                upon Senior Securities.                                                                                                                                                   |   | 13       |
|                              |                                                                                                                                                                                              |   |     |
|  Item                4.      | Submission                of Matters to a Vote of Security Holders.                                                                                                                               |   | 13       |
|                              |                                                                                                                                                                                              |   |     |
|  Item                5.      | Other                Information.                                                                                                                                                                 |   | 14       |
|                              |                                                                                                                                                                                              |   |     |
| Item                6.            | Exhibits.                                                                                                                                                                                         |   | 14       |

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**BLACKHAWK      CAPITAL GROUP BDC INC.**

----

|                                                                                                          |   | MARCH                31,2007 |         | DECEMBER                31,2006 |   |
|---------------------------------------------------------------------------------------------------------------|--------|------------------------------|--------------|---------------------------------|--------|
|                                                                                                          |   | (Unaudited)                  |         |                            |   |
| **ASSETS**                                                                                                    |   |                         |         |                            |   |
| Cash                                                                                                          |   | $                            | 407          |                            | $      | 637 |   |
| Prepaid                insurance                                                                              |   |                         | 3,600        |                            |   | 9,000 |   |
|                                                                                                          |   |                         |         |                            |   |   |   |
| **TOTAL                ASSETS**                                                                               |   | **$**                        | **4,007**    |                            | **$**  | **9,637** |   |
|                                                                                                          |   |                         |         |                            |   |   |   |
| **LIABILITIES**                                                                                               |   |                         |         |                            |   |   |   |
| Convertible                loan payable, including interest of $6,990 and $4,125,                respectively |   | $                            | 106,990      |                            | $      | 104,125 |   |
| Due                to affiliated company                                                                      |   |                         | 20,500       |                            |   | 8,000 |   |
| Accrued                expenses                                                                               |   |                         | 270,729      |                            |   | 193,936 |   |
| **TOTAL                LIABILITIES**                                                                          |   |                         | **398,219**  |                            |   | **306,061** |   |
|                                                                                                          |   |                         |         |                            |   |   |   |
|                                                                                                          |   |                         |         |                            |   |   |   |
| **NET                ASSETS (LIABILITIES)**                                                                   |   |                         |         |                            |   |   |   |
| Common                stock, par value $.00001 per share                                                      |   |                         |         |                            |   |   |   |
| 1,000,000,000                shares authorized,                                                               |   |                         |         |                            |   |   |   |
| 30,511,481                shares issued and                                                                   |   |                         |         |                            |   |   |   |
| outstanding                in 2007 and 2006, respectively                                                     |   |                         | 305          |                            |   | 305 |   |
| Additional                paid-in capital                                                                     |   |                         | 147,968      |                            |   | 147,968 |   |
| Accumulated                net investment loss                                                                |   |                         | (542,485     | )                               |   | (444,697 | ) |
| **TOTAL                NET LIABILITIES**                                                                      |   |                         | **(394,212** | **)**                           |   | **(296,424** | **)** |
|                                                                                                          |   |                         |         |                            |   |   |   |
| **TOTAL                LIABILITIES AND NET LIABILITIES**                                                      |   | **$**                        | **4,007**    |                            | **$**  | **9,637** |   |
|                                                                                                          |   |                         |         |                            |   |   |   |
| **NET                LIABILITIES VALUE PER COMMON SHARE**                                                     |   | **$**                        | **(.01292**  | **)**                           | **$**  | **(.00972** | **)** |

----

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**BLACKHAWK      CAPITAL GROUP BDC INC.**

----

|                                                            |   | THREE                MONTHS ENDED MARCH 31, |           |
|-----------------------------------------------------------------|--------|---------------------------------------------|----------------|
|                                                            |   | 2007                                        |           | 2006 |   |
| **INVESTMENT                INCOME**                            |   |                                        |           |   |   |
| Interest                income                                  |   | $                                           | -              |   | $ | 287 |   |
| **TOTAL                INVESTMENT INCOME**                      |   |                                        | **-**          |   |   | **287** |   |
|                                                            |   |                                        |           |   |   |   |   |
| **EXPENSES**                                                    |   |                                        |           |   |   |   |   |
| Professional                fees                                |   |                                        | 87,525         |   |   | 76,608 |   |
| Consulting                fees                                  |   |                                        | -              |   |   | 13,192 |   |
| Filing                fees                                      |   |                                        | 1,907          |   |   | 3,216 |   |
| Insurance                                                       |   |                                        | 5,491          |   |   | 2,503 |   |
| Interest                expense - affiliate                     |   |                                        | 2,865          |   |   | - |   |
| **TOTAL                EXPENSES**                               |   |                                        | **97,788**     |   |   | **95,519** |   |
|                                                            |   |                                        |           |   |   |   |   |
| **NET                INVESTMENT (LOSS) AND NET**                |   |                                        |           |   |   |   |   |
| **DECREASE                IN ASSETS RESULTING FROM OPERATIONS** |   | **$**                                       | **(97,788**    | **)** | **$** | **(95,232** | **)** |
|                                                            |   |                                        |           |   |   |   |   |
| **LOSS                PER COMMON SHARE, BASIC AND DILUTED**     |   | **$**                                       | **(0.00320**   | **)** | **$** | **(0.00403** | **)** |
|                                                            |   |                                        |           |   |   |   |   |
| **WEIGHTED                AVERAGE SHARES OUTSTANDING,**         |   |                                        |           |   |   |   |   |
| **BASIC                AND DILUTED**                            |   |                                        | **30,511,481** |   |   | **23,626,781** |   |

----

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**BLACKHAWK      CAPITAL GROUP BDC INC.**

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|                                                             |   | THREE                MONTHS ENDED MARCH 31, 2007 |         | YEAR                ENDED DECEMBER 31, 2006 |   |
|------------------------------------------------------------------|--------|--------------------------------------------------|--------------|---------------------------------------------|--------|
|                                                             |   | (Unaudited)                                      |         |                                        |   |
| **DECREASE                IN NET ASSETS FROM OPERATIONS**        |   |                                             |         |                                        |   |
| Net                investment loss                               |   | $                                                | (97,788      | )                                           | $      | (387,247 | ) |
|                                                             |   |                                             |         |                                        |   |   |   |
| **NET                DECREASE IN NET ASSETS**                    |   |                                             |         |                                        |   |   |   |
| **RESULTING                FROM OPERATIONS**                     |   |                                             | **(97,788**  | **)**                                       |   | **(387,247** | **)** |
|                                                             |   |                                             |         |                                        |   |   |   |
| **CAPITAL                STOCK TRANSACTIONS:**                   |   |                                             |         |                                        |   |   |   |
| Proceeds                from common stock sold                   |   |                                             | -            |                                        |   | - |   |
| Conversion                of a portion of amounts owed           |   |                                             |         |                                        |   |   |   |
| to                affiliate into common stock                    |   |                                             | -            |                                        |   | 68,847 |   |
| Offering                costs                                    |   |                                             | -            |                                        |   | - |   |
| Rescission                of preferred stock - founder           |   |                                             | -            |                                        |   | - |   |
|                                                             |   |                                             |         |                                        |   |   |   |
|  **NET                INCREASE IN NET ASSETS FROM**         |   |                                             |         |                                        |   |   |   |
| **CAPITAL                STOCK TRANSACTIONS**                    |   |                                             | **-**        |                                        |   | **68,847** |   |
|                                                             |   |                                             |         |                                        |   |   |   |
| **TOTAL                DECREASE IN NET ASSETS**                  |   |                                             | **(97,788**  | **)**                                       |   | **(318,400** | **)** |
|                                                             |   |                                             |         |                                        |   |   |   |
| **NET                ASSETS(LIABILITIES) - BEGINNING OF PERIOD** |   |                                             | **(296,424** | **)**                                       |   | **21,976** |   |
|                                                             |   |                                             |         |                                        |   |   |   |
| **NET                LIABILITIES - END OF PERIOD**               |   | **$**                                            | **(394,212** | **)**                                       | **$**  | **(296,424** | **)** |

----

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**BLACKHAWK      CAPITAL GROUP BDC INC.**

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|                                                                                                       |   |        |     | COMMON                STOCK |   | ADDITIONAL                PAID-IN |   | ACCUMULATED                NET INVESTMENT |   |
|-------------------------------------------------------------------------------------------------------|--------|--------|----------|-----------------------------|--------|-----------------------------------|--------|-------------------------------------------|--------|
|                                                                                                  |   | TOTAL  |     | SHARES                      |   | AMOUNT                            |   | CAPITAL                                   |   | LOSS |   |
| Balance                - December 31, 2005                                                            |   | $      | 21,976   |                        |   | 23,626,781                        |   | $                                         | 236    |   | $ | 79,190 |   | $ | (57,450 | ) |
|                                                                                                  |   |   |     |                        |   |                              |   |                                      |   |   |   |   |   |   |   |   |
| Net                loss                                                                               |   |   | (387,247 | )                           |   | -                                 |   |                                      | -      |   |   | - |   |   | (387,247 | ) |
|                                                                                                  |   |   |     |                        |   |                              |   |                                      |   |   |   |   |   |   |   |   |
| Conversion                of a portion of amount owed to affiliate (at $.01 per                share) |   |   | 68,847   |                        |   | 6,884,700                         |   |                                      | 69     |   |   | 68,778 |   |   | - |   |
| Balance                - December 31, 2006                                                            |   |   | (296,424 | )                           |   | 30,511,481                        |   |                                      | 305    |   |   | 147,968 |   |   | (444,697 | ) |
| Net                loss                                                                               |   |   | (97,788  | )                           |   | -                                 |   |                                      | -      |   |   | - |   |   | (97,788 | ) |
|                                                                                                  |   |   |     |                        |   |                              |   |                                      |   |   |   |   |   |   |   |   |
| Balance                - March 31, 2007                                                               |   | $      | (394,212 | )                           |   | 30,511,481                        |   | $                                         | 305    |   | $ | 147,968 |   | $ | (542,485 | ) |
| (Unaudited)                                                                                           |   |   |     |                        |   |                              |   |                                      |   |   |   |   |   |   |   |   |

----

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**BLACKHAWK      CAPITAL GROUP BDC INC.**

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|                                                                                               |   | THREE                MONTHS ENDED MARCH 31, |        |
|----------------------------------------------------------------------------------------------------|--------|---------------------------------------------|-------------|
|                                                                                               |   | 2007                                        |        | 2006 |   |
| **CASH                FLOWS FROM OPERATING****AND                INVESTING ACTIVITIES:**           |   |                                        |        |   |   |
| Net                investment loss and decrease in net assets resulting from operations            |   | $                                           | (97,788     | ) | $ | (95,232 | ) |
| Adjustments                to reconcile net decrease:                                              |   |                                        |        |   |   |   |   |
| Decrease                (increase) in prepaid expenses                                             |   |                                        | 5,400       |   |   | (12,747 | ) |
| Increase                in accrued expenses and accrued interest                                   |   |                                        | 79,658      |   |   | 51,748 |   |
|                                                                                               |   |                                        |        |   |   |   |   |
| **NET                CASH USED IN OPERATING AND INVESTING ACTIVITIES**                             |   |                                        | **(12,730** | **)** |   | **(56,231** | **)** |
|                                                                                               |   |                                        |        |   |   |   |   |
| **CASH                FLOWS FROM FINANCING ACTIVITIES:**                                           |   |                                        |        |   |   |   |   |
| Loan                from affiliated company                                                        |   |                                        | 12,500      |   |   | 25,005 |   |
| Due                to former stockholder in connection with common stock                rescission |   |                                        | -           |   |   | (45 | ) |
|                                                                                               |   |                                        |        |   |   |   |   |
| **NET                CASH PROVIDED BY FINANCING ACTIVITIES**                                       |   |                                        | **12,500**  |   |   | **24,960** |   |
|                                                                                               |   |                                        |        |   |   |   |   |
| **NET                DECREASE IN CASH**                                                            |   |                                        | **(230**    | **)** |   | **(31,271** | **)** |
|                                                                                               |   |                                        |        |   |   |   |   |
| **CASH                - BEGINNING OF PERIOD**                                                      |   |                                        | **637**     |   |   | **77,877** |   |
|                                                                                               |   |                                        |        |   |   |   |   |
| **CASH                - END OF PERIOD**                                                            |   | **$**                                       | **407**     |   | **$** | **46,606** |   |

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**BLACKHAWK      CAPITAL GROUP BDC INC.**

----

| **1** | **SIGNIFICANT                ACCOUNTING POLICIES** |
|-------|----------------------------------------------------|

***Business      description***

***Basis      of presentation***

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| **2** | **INCOME                TAXES** |
|-------|---------------------------------|

| **3** | **RELATED                PARTY TRANSACTIONS** |
|-------|-----------------------------------------------|

----

| **4** | **FINANCIAL                HIGHLIGHTS** |
|-------|-----------------------------------------|

|                                                                     |   | THREE                MONTHS ENDEDMARCH                31, 2007 |                     | THREE                MONTHS ENDEDMARCH                31, 2006 |   |  YEAR                ENDED DECEMBER                31, 2006 |   |
|--------------------------------------------------------------------------|--------|----------------------------------------------------------------|--------------------------|----------------------------------------------------------------|--------|------------------------------------------------------------------|--------|
| **Per                Share Data:**                                       |   |                                                           |                     |                                                           |   |                                                             |   |
| Net                (liability) asset value - beginning of period         |   | $                                                              | (                0.00972 | )                                                              | $      | 0.00093                                                          |   | $ | 0.00093 |   |
|                                                                     |   |                                                           |                     |                                                           |   |                                                             |   |   |   |   |
| Net                investment loss *                                     |   |                                                           | (0.00320                 | )                                                              |   | (0.00403                                                         | )      |   | (0.01371 | ) |
| Issuance                of common stock                                  |   |                                                           | -                        |                                                           |   | -                                                                |   |   | 0.01000 |   |
| Net                realized and unrealized gain (loss)**                 |   |                                                           | -                        |                                                           |   | -                                                                |   |   | (0.00694 | ) |
|                                                                     |   |                                                           |                     |                                                           |   |                                                             |   |   |   |   |
| Net                liability value - end of period                       |   | $                                                              | (0.01292                 | )                                                              |   | (0.00310                                                         | )      |   | (0.00972 | ) |
|                                                                     |   |                                                           |                     |                                                           |   |                                                             |   |   |   |   |
| **Total                return based on net asset (liability) value ***** |   |                                                           | (33                      | %)                                                             |   | (433                                                             | %)     |   | (1,474 | %) |
|                                                                     |   |                                                           |                     |                                                           |   |                                                             |   |   |   |   |
| Common                shares outstanding - end of period****             |   |                                                           | 30,511,481               |                                                           |   | 23,626,781                                                       |   |   | 30,511,481 |   |
|                                                                     |   |                                                           |                     |                                                           |   |                                                             |   |   |   |   |
| **Ratio/Supplemental                Data**:                              |   |                                                           |                     |                                                           |   |                                                             |   |   |   |   |
| Net                liabilities - end of period                           |   | $                                                              | (394,212                 | )                                                              | $      | (73,256                                                          | )      | $ | (296,424 | ) |
|                                                                     |   |                                                           |                     |                                                           |   |                                                             |   |   |   |   |
| Ratio                of net investment loss to average net assets*****   |   |                                                           | N/A                      |                                                           |   | (3,467                                                           | %)     |   | (3,524 | %) |
|                                                                     |   |                                                           |                     |                                                           |   |                                                             |   |   |   |   |
| Ratio                of operating expenses to average net assets*****    |   |                                                           | N/A                      |                                                           |   | 3,477                                                            | %      |   | 3,528 | % |

| * | Calculated                based on average shares outstanding during                period.. |
|---|----------------------------------------------------------------------------------------------|

| ** | Net                    realized and unrealized gain(loss) represents the dilutive effect                    of share                    issuance. |
|----|---------------------------------------------------------------------------------------------------------------------------------------------------|

| *** | Total                returns for periods of less than one year are not                annualized. |
|-----|---------------------------------------------------------------------------------------------------|

| **** | Common                shares outstanding are reduced by rescinded                shares. |
|------|------------------------------------------------------------------------------------------|

| ***** | Annualized                  for periods less than one year. No data for the three months ended                  March                  31, 2007 has been presented as the Company has net liabilities                  for the                  period. |
|-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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**Item      2. Management’s Discussion and Analysis of Financial Condition and Results of      Operations.**

*Overview*

*Accounting      Policies*

*Basis      of Presentation*

*Use      of Estimates in the Preparation of Financial Statements*

----

*Valuation      of Long-Lived and Intangible Assets*

*Income      Taxes*

*Portfolio      and Investment Activity*

*Investment      Strategy*

*Results      of Operations*

*Sales      Revenues*

----

*General      and Administrative Expenses*

*Other      Income (Expenses)*

*Liquidity      and Capital Resources*

----

**Item      3. Quantitative and Qualitative Disclosures about Market      Risk.**

----

**Item      4. Controls and Procedures.**

**PART      II. OTHER INFORMATION**

**Item      1. Legal Proceedings. **

**Item      1A. Risk Factors**

**Item      2. Unregistered Sales of Equity Securities and Use of      Proceeds.**

**Item      3. Defaults upon Senior Securities.**

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

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**Item      5. Other Information.**

**Item      6. Exhibits.**

| 31.1   | Certification                by Chief Executive Officer Pursuant to Section 302 of the Sarbanes                Oxley                Act of 2002 |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                            |
| 31.2   | Certification                by Chief Financial Officer Pursuant to Section 302 of the Sarbanes                Oxley                Act of 2002 |
|   |                                                                                                                                            |
| 32.1   | Certification                by Chief Executive Officer Pursuant to Section 906 of the Sarbanes                Oxley                Act of 2002 |
|   |                                                                                                                                            |
| 32.2   | Certification                by Chief Financial Officer Pursuant to Section 906 of the Sarbanes                Oxley                Act of 2002 |

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|                             | **BLACKHAWK                CAPITAL GROUP BDC, INC.** |
|----------------------------------|------------------------------------------------------|
|                             |                                                 |   |
|                             |                                                 |   |
| Date:                May 9, 2007 | By:                                        | /s/                Craig A. Zabala |
|                             |                                                 | Craig                A. Zabala, Chief Executive Officer |
|                             |                                                 |   |
|                             |                                                 |   |
| Date:                May 9, 2007 | By:                                        | /s/                Craig A. Zabala |
|                             |                                                 | Craig                A. Zabala, Acting Chief Financial                Officer |

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