UNITED STATES


SECURITIES AND EXCHANGE
COMMISSION


Washington, D.C.
20549







FORM 10-Q





[ X ]
            QUARTERLY REPORT UNDER SECTION
      13 0R 15(d) OF THE SECURITIES EXCHANGE ACT OF
  1934





For the quarterly period
ended June 30,
2008





[ 
       ]
            TRANSITION REPORT UNDER SECTION
      13 0R 15(d) OF THE SECURITIES EXCHANGE ACT OF
  1934





For the transition period
from_______to_______.





Commission file number000-33309




GLOBETRAC
      INC.(Exact
      name of
      registrant asspecified in its
charter)




Delaware
              (State
      or other jurisdiction of
              incorporation
      or organization)
            33-0953557
              (I.R.S.
      Employer
              Identification
      No.)1100 Melville Street,
      Suite610,
      Vancouver, British Columbia, V6E 4A6
              (Address
      of principal executive offices)1-800-648-4287
              (Issuer’s
      telephone number)____________________________________________________________
              (Former
      name, former address and former fiscal year, if changed since last
      report)





Indicate by check markwhether the issuer (1) filed all reports required to be filed by Section
13 or 15(d) of the Exchange Act during the past 12 months (or for such shorter
period that the registrant was required to file such reports), and (2) has been
subject to such filing requirements for the past 90 days.


[ X ] Yes [   ]
No


Indicate
by check mark whether the registrant is a large accelerated filer, an
accelerated filer, a non-accelerated filer, or a smaller reporting
company.  See the definitions of “large accelerated filer”,
“accelerated filer” and “smaller reporting company in Rule 12b-2 of the Exchange
Act.
 Large
      accelerated filer
                o
                Accelerated
      filer
                oNon-accelerated
      filer
                o(Do not check if a smaller reporting
company)
                Smaller
      reporting company
                x


Indicate
by check mark whether the registrant is a shell company (as defined in Rule
12b-2 of the Exchange Act).


[ 
 ] Yes [ X ]  No




APPLICABLE ONLY TO CORPORATE
ISSUERS





State the
number of shares outstanding of each of the issuer’s classes of common equity,
as of the latest practicable date.





Class
            
            Outstanding
      at August 13, 2008Common
      Stock - $0.001 par value
            
            89,883,198




PART
I – FINANCIAL INFORMATION
 
 Item
1.                      Financial
Statements.
 GLOBETRAC
INC.
 BALANCE
SHEETS
 June
      30,
                  
                  
                  December
      31,2008
                  
                  
                  2007(Unaudited)
                  
                  
                  consolidatedASSETSCurrent
      assetsCash
                  
                  $
                  58,985
                  
                  
                  $
                  16,922Accounts
      receivableNet
      of allowance for doubtful accounts of $7,327 and $7,327 atJune
      30, 2008 and December 31, 2007 respectively
                  
                  
                  15,925
                  
                  
                  
                  41,955Prepaids
                  
                  
                  2,919
                  
                  
                  
                  5,034Total
      current assets
                  
                  $
                  77,829
                  
                  
                  $
                  63,911LIABILITIES
      AND STOCKHOLDERS' DEFICITCurrent
      liabilitiesAccounts
      payable
                  
                  $
                  96,945
                  
                  
                  $
                  91,442Accrued
      professional fees
                  
                  
                  47,093
                  
                  
                  
                  64,885Convertible
      notes payable, including accrued interest
                  
                  
                  -
                  
                  
                  
                  2,015,576Advances
      payable
                  
                  
                  -
                  
                  
                  
                  32,346Due
      to related parties
                  
                  
                  -
                  
                  
                  
                  414,406Note
      payable to related party, including accrued interest
                  
                  
                  -
                  
                  
                  
                  754,795Total
      current liabilities
                  
                  
                  144,038
                  
                  
                  
                  3,373,450Commitments
      and contingencies
                  
                  
                  -
                  
                  
                  
                  -Stockholders'
      deficitPreferred
      stock $0.001 par value, 5,000,000 authorized, none issued
    andoutstanding
      at June 30, 2008 and December 31, 2007
                  
                  
                  -
                  
                  
                  
                  -Common
      stock $0.001 par value, 200,000,000 common shares
    authorized,89,883,198
      and 22,190,000 issued and outstanding at June 30, 2008 andDecember
      31, 2007 respectively
                  
                  
                  89,883
                  
                  
                  
                  22,190Additional
      paid in capital
                  
                  
                  1,167,085
                  
                  
                  
                  1,167,085Accumulated
      deficit
                  
                  
                  (1,335,232
                  )
                  
                  
                  (4,511,922
                  )Accumulated
      other comprehensive income
                  
                  
                  12,055
                  
                  
                  
                  13,108Total
      stockholders' deficit
                  
                  
                  (66,209
                  )
                  
                  
                  (3,309,539
                  )Total
      liabilities and stockholders' deficit
                  
                  $
                  77,829
                  
                  
                  $
                  63,911
  The
accompanying notes are an integral part of these financial
statements
  1
 GLOBETRAC
INC.
 STATEMENTS
OF OPERATIONS (UNAUDITED)
 Three
      Months Ended
                  
                  
                  Six
      Months EndedJune
      30,
                  
                  
                  June
      30,2008
                  
                  
                  2007
                  
                  
                  2008
                  
                  
                  2007consolidated
                  
                  
                  
                  
                  
                  consolidatedRoyalty
      income
                  
                  $
                  38,708
                  
                  
                  $
                  15,046
                  
                  
                  $
                  72,904
                  
                  
                  $
                  36,338Operating
      expenses:General
      and administrative
                  
                  
                  26,921
                  
                  
                  
                  32,137
                  
                  
                  
                  45,659
                  
                  
                  
                  56,918Net
      income (loss) from operations
                  
                  
                  11,787
                  
                  
                  
                  (17,091
                  )
                  
                  
                  27,245
                  
                  
                  
                  (20,580
                  )Interest
      expense
                  
                  
                  -
                  
                  
                  
                  (46,746
                  )
                  
                  
                  (46,618
                  )
                  
                  
                  (92,979
                  )Net
      income (loss) from operations before franchise tax and forgiveness of
      debt
                  
                  
                  11,787
                  
                  
                  
                  (63,837
                  )
                  
                  
                  (19,373
                  )
                  
                  
                  (113,559
                  )Franchise
      tax
                  
                  
                  -
                  
                  
                  
                  (25
                  )
                  
                  
                  -
                  
                  
                  
                  (6,189
                  )Net
      income (loss) from operations before forgivenes of debt
                  
                  
                  11,787
                  
                  
                  
                  (63,862
                  )
                  
                  
                  (19,373
                  )
                  
                  
                  (119,748
                  )Forgiveness
      of debt
                  
                  
                  3,196,063
                  
                  
                  
                  -
                  
                  
                  
                  3,196,063
                  
                  
                  
                  -Net
      income (loss)
                  
                  $
                  3,207,850
                  
                  
                  $
                  (63,862
                  )
                  
                  $
                  3,176,690
                  
                  
                  $
                  (119,748
                  )Net
      income (loss) per share - basic and diluted
                  
                  $
                  0.14
                  
                  
                  $
                  (0.00
                  )
                  
                  $
                  0.14
                  
                  
                  $
                  (0.01
                  )Weighted
      average number of shares outstanding - basic and diluted
                  
                  
                  22,933,881
                  
                  
                  
                  22,190,000
                  
                  
                  
                  22,561,941
                  
                  
                  
                  22,190,000
  The
accompanying notes are an integral part of these financial
statements
  2
 GLOBETRAC
INC.
 STATEMENT
OF STOCKHOLDERS' DEFICIT AND COMPREHENSIVE INCOME (UNAUDITED)
 Common
      Stock Issued
                  
                  
                  
                  
                  
                  AccumulatedAdditional
                  
                  
                  
                  
                  
                  OtherNumber
      of
                  
                  
                  
                  
                  
                  Paid-in
                  
                  
                  Accumulated
                  
                  
                  ComprehensiveShares
                  
                  
                  Amount
                  
                  
                  Capital
                  
                  
                  Deficit
                  
                  
                  Income
      (Loss)
                  
                  
                  TotalBalance
      at January 1, 2007
                  
                  
                  22,190,000
                  
                  
                  $
                  22,190
                  
                  
                  $
                  1,167,085
                  
                  
                  $
                  (4,310,003
                  )
                  
                  $
                  19,123
                  
                  
                  $
                  (3,101,605
                  )Net
      loss for the six  months endedJune
      30, 2007
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  (119,748
                  )
                  
                  
                  -
                  
                  
                  
                  (119,748
                  )Foreign
      currency exchange loss
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  (5,309
                  )
                  
                  
                  (5,309
                  )Comprehensive
      loss
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  (125,057
                  )Balance
      at June 30, 2007
                  
                  
                  22,190,000
                  
                  
                  
                  22,190
                  
                  
                  
                  1,167,085
                  
                  
                  
                  (4,429,751
                  )
                  
                  
                  13,814
                  
                  
                  
                  (3,226,662
                  )Net
      loss for the six months endedDecember
      31, 2007
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  (82,171
                  )
                  
                  
                  -
                  
                  
                  
                  (82,171
                  )Foreign
      currency exchange loss
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  (706
                  )
                  
                  
                  (706
                  )Comprehensive
      loss
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  (82,877
                  )Balance
      at December 31, 2007
                  
                  
                  22,190,000
                  
                  
                  
                  22,190
                  
                  
                  
                  1,167,085
                  
                  
                  
                  (4,511,922
                  )
                  
                  
                  13,108
                  
                  
                  
                  (3,309,539
                  )Shares
      issued for debt, advances,and
      related party debt
                  
                  
                  67,693,198
                  
                  
                  
                  67,693
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  67,693(3,241,846
                  )Net
      income for the six monthsended
      June 30, 2008
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  3,176,690
                  
                  
                  
                  -
                  
                  
                  
                  3,176,690Foreign
      currency exchange loss
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  (1,053
                  )
                  
                  
                  (1,053
                  )Comprehensive
      income
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  -
                  
                  
                  
                  3,175,637Balance
      at June 30, 2008
                  
                  
                  89,883,198
                  
                  
                  $
                  89,883
                  
                  
                  $
                  1,167,085
                  
                  
                  $
                  (1,335,232
                  )
                  
                  $
                  12,055
                  
                  
                  $
                  (66,209
                  )
 The
accompanying notes are an integral part of these financial
statements
  3
 GLOBETRAC
INC.
 STATEMENTS
OF CASH FLOWS FOR
THE SIX MONTHS ENDED JUNE 30, 2008 AND 2007 (UNAUDITED)
 2008
                  
                  
                  2007consolidatedCash
      flows from operating activities:Net
      income (loss)
                  
                  $
                  3,176,690
                  
                  
                  $
                  (119,748
                  )Adjustments
      to reconcile net income (loss) to net cash provided by (used in) operating
      activities:Forgiveness
      of convertible notes payable
                  
                  
                  (1,472,825
                  )
                  
                  
                  -Forgiveness
      of interest on convertible notes payable
                  
                  
                  (540,014
                  )
                  
                  
                  -Forgiveness
      of advances payable
                  
                  
                  (31,705
                  )
                  
                  
                  -Forgiveness
      of debt due to related parties
                  
                  
                  (404,292
                  )
                  
                  
                  -Forgiveness
      of debt on note payable to related party
                  
                  
                  (480,000
                  )
                  
                  
                  -Forgiveness
      of interest on note payable to related party
                  
                  
                  (267,227
                  )
                  
                  
                  -Changes
      in operating assets and liabilities:Accounts
      receivable
                  
                  
                  26,030
                  
                  
                  
                  14,881Prepaids
                  
                  
                  2,115
                  
                  
                  
                  -Accounts
      payable
                  
                  
                  5,504
                  
                  
                  
                  (19,625
                  )Accrued
      professional fees
                  
                  
                  (17,792
                  )
                  
                  
                  364Accrued
      interest on convertible notes payable
                  
                  
                  34,187
                  
                  
                  
                  68,185Advances
      payable
                  
                  
                  14
                  
                  
                  
                  -Due
      to related parties
                  
                  
                  -
                  
                  
                  
                  381Accrued
      interest on note payable to related party
                  
                  
                  12,431
                  
                  
                  
                  24,795Net
      cash provided by (used in) operating activities
                  
                  
                  43,116
                  
                  
                  
                  (30,767
                  )Effect
      of foreign currency exchange
                  
                  
                  (1,053
                  )
                  
                  
                  (5,309
                  )Net
      increase (decrease) in cash
                  
                  
                  42,063
                  
                  
                  
                  (36,076
                  )Cash,
      beginning of period
                  
                  
                  16,922
                  
                  
                  
                  44,175Cash,
      end of period
                  
                  $
                  58,985
                  
                  
                  $
                  8,099Supplemental
      disclosure of cash flow information:Cash
      paid during the period for:Income
      taxes
                  
                  $
                  -
                  
                  
                  $
                  6,189Interest
                  
                  $
                  -
                  
                  
                  $
                  2,650Non-cash
      changes in assets and liabilities:Conversion
      of convertible notes payable into common shares
                  
                  $
                  (36,924
                  )
                  
                  $
                  -Conversion
      of advances payable into common shares
                  
                  $
                  (655
                  )
                  
                  $
                  -Conversion
      of debt due to related parties to common shares
                  
                  $
                  (10,114
                  )
                  
                  $
                  -Conversion
      of note payable to related party to common shares
                  
                  $
                  (20,000
                  )
                  
                  $
                  -Issuance
      of common shares for debt
                  
                  $
                  67,693
                  
                  
                  $
                  -Advance
      receivable offset against accounts payable
                  
                  $
                  -
                  
                  
                  $
                  5,000
  The
accompanying notes are an integral part of these financial
statements
  4
  GLOBETRAC
INC.
 NOTES
TO FINANCIAL STATEMENTS
 JUNE
30, 2008
 (UNAUDITED)
 NOTE
1 – ORGANIZATION AND NATURE OF OPERATIONS
  Nature
of Operations
 
 GlobeTrac
Inc. (GlobeTrac or the Company) was incorporated in the state of Delaware on
March 2, 2000 as 411 Place.com Inc.  On February 28, 2001, the Company
changed its name to Artescope, Inc. and on July 29, 2002 changed its name to
GlobeTrac Inc.  The Company’s principal executive offices are
headquartered in Canada.  On August 27, 2002 the Company acquired 100%
of the shares of Global Axxess Corporation Limited (Global Axxess), a company
incorporated in Ireland.  On June 12, 2008 the Company sold its shares
of Global Axxess, its only subsidiary.  Global Axxess owned 100% of
the issued and outstanding shares of Globetrac Limited (Limited), a company
incorporated in the United Kingdom, until March 20, 2007 when Limited was
officially dissolved and all of Limited’s assets and liabilities were assumed by
GlobeTrac. As a result of terminating its operations in Europe, the Company is
seeking new business opportunities.
 
 The
Company was in the business of selling, marketing, distributing and installing
global wireless tracking and telematics equipment in Europe until November 1,
2004 when they exchanged certain of their assets and certain liabilities in
Globetrac Limited and their rights to the global wireless tracking and
telematics business in Europe for a six percent royalty on gross sales of all
existing and qualified potential customers that the Company has in
Europe.
 
 Basis
of Presentation
 
 The
unaudited financial statements included herein have been prepared in conformity
with accounting principles generally accepted in the United States for interim
financial information and pursuant to the rules and regulations of the
Securities and Exchange Commission.  They do not include all information
and notes required by generally accepted accounting principles for complete
financial statements. However, except as disclosed herein, there have been no
material changes in the information disclosed in the notes
to  consolidated financial statements included in the Annual report on
Form 10-KSB of GlobeTrac for the year ended December 31, 2007. In the opinion of
management, all adjustments (including normal recurring accruals) considered
necessary for a fair presentation have been included. Operating results for the
three and six month periods ended June 30, 2008 are not necessarily indicative
of the results that may be expected for any other interim period or the entire
year. For further information, these unaudited   financial statements
and the related notes should be read in conjunction with the Company’s
consolidated audited financial statements for the year ended December 31, 2007
included in the Company’s report on Form 10-KSB.
  NOTE
2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
 
 Reclassifications
 
 Certain
prior period amounts in the accompanying financial statements have been
reclassified to conform to the current period’s presentation. These
reclassifications had no effect on the results of operations or financial
position for any period presented.
 
 Recent
Accounting Pronouncements
 
 In
September 2006, the Financial Accounting Standards Board (FASB) issued
Statement of Financial Accounting Standards (SFAS) No. 157 (SFAS 157),
Fair Value
Measurements. SFAS 157 defines fair value, establishes a framework for
measuring fair value and enhances disclosures about fair value measures required
under other accounting pronouncements, but does not change existing guidance as
to whether or not an instrument is carried at fair value. SFAS 157 was effective
for the Company on January 1, 2008.  The adoption of SFAS 157 did not
have a significant impact on our financial statements.
  5
  GLOBETRAC
INC.
 NOTES
TO FINANCIAL STATEMENTS
 JUNE
30, 2008
 (UNAUDITED)
 NOTE
2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, continued
 
 Recent
Accounting Pronouncements, continued
 
 In
February 2007, the FASB issued SFAS No. 159 (SFAS 159), The Fair Value Option for Financial
Assets and Financial Liabilities—Including an amendment of FASB Statement
No. 115. SFAS 159 permits entities to choose to measure
many financial instruments and certain other items at fair value. Unrealized
gains and losses on items for which the fair value option has been elected will
be recognized in earnings at each subsequent reporting date. SFAS 159 was
effective for the Company on January 1, 2008. The adoption of SFAS 159 did
not have a material impact on the Company’s financial statements as the Company
did not elect the fair value option for any of its financial assets or
liabilities.
 In
June 2007, the Emerging Issues Task Force (EITF) of the FASB reached a
consensus on Issue No. 07-3 (EITF 07-3), Accounting for Nonrefundable Advance
Payments for Goods or Services Received for Use in Future Research and
Development Activities.  EITF 07-3 requires that non-refundable
advance payments for goods or services that will be used or rendered for future
research and development activities should be deferred and capitalized. As the
related goods are delivered or the services are performed, or when the goods or
services are no longer expected to be provided, the deferred amounts would be
recognized as an expense. This Issue is effective for financial statements
issued for fiscal years beginning after December 15, 2007 and earlier
application is not permitted. This consensus is to be applied prospectively for
new contracts entered into on or after the effective date. We adopted EITF 07-3
on January 1, 2008. The adoption of EITF 07-3 did not have a material impact on
our financial statements.
  In
February 2008 the FASB staff issued Staff Position No. 157-2 (FSP FAS 157-2)
effective date of FASB
Statement No.157.FSP FAS 157-2 delayed the effective date of
SFAS 157 for non-financial assets and non-financial liabilities, except for
items that are recognized or disclosed at fair value in the financial statements
on a recurring basis.  The provisions of FSP FAS 157-2 will be
effective for the Company on January 1, 2009.
  In
March 2008, the FASB issued SFAS No. 161 (SFAS 161), Disclosures about Derivative
Instruments and Hedging Activities – An Amendment of FASB Statement No. 133
(SFAS 133). This statement is intended to improve financial
reporting of derivative instruments and hedging activities by requiring enhanced
disclosures about (a) how and why an entity uses derivative instruments, (b) how
derivative instruments and related hedged items are accounted for under SFAS 133
and its related interpretations and (c) how derivative instruments and related
hedged items affect an entity’s financial position, financial performance and
cash flows. The provisions of SFAS 161 are effective for fiscal years beginning
after November 15, 2008.  SFAS 161 will be effective for the
Company on January 1, 2009.  The Company is currently evaluating the
impact adoption of SFAS 161 may have on its financial statement
disclosures.
 
 In
May, 2008, FASB issued SFAS No. 162 (SFAS 162), The Hierarchy of Generally Accepted
Accounting Principles. SFAS 162 identifies the sources of accounting
principles and the framework for selecting the principles used in the
preparation of financial statements of nongovernmental entities that are
presented in conformity with generally accepted accounting principles (GAAP) in
the United States (the GAAP hierarchy). SFAS 162 is effective 60 days following
the SEC's approval of the Public Company Accounting Oversight Board amendments
to AU Section 411, The Meaning
of Present Fairly in Conformity With Generally Accepted Accounting
Principles. The Company is currently reviewing the effect, if any; the
proposed guidance will have on its financial statements
disclosures.
  6
 GLOBETRAC
INC.
 NOTES
TO FINANCIAL STATEMENTS
 JUNE
30, 2008
 (UNAUDITED)
 NOTE
3 – GOING CONCERN
 
 The
Company was in the business of selling, marketing, distributing and installing
global wireless tracking and telematics equipment in Europe until November 1,
2004 when they exchanged their rights to sell, market, distribute and install
global wireless tracking and telematics equipment in Europe as well as specific
assets and liabilities, for a royalty of 6% on future gross sales to current
customers and qualified potential customers in Europe. There is no cap on the
royalties and royalties are to be paid for the duration of 11 years, ending
October 31, 2015.  The Company has accumulated a deficit of $1,335,232
since inception and additional financing will be required by the Company to fund
and support its operations. Management plans to mitigate its losses in future
years by controlling its operating expenses and seeking out new business
opportunities.   However, there is no assurance that the Company
will be able to obtain additional financing, control their operating expenses or
be successful in locating or acquiring a viable business.  The
financial statements do not include any adjustments that might result from the
outcome of these uncertainties.
 
 NOTE
4 – CONVERTIBLE NOTES PAYABLE AND RELATED CONVERTIBLE ACCRUED INTEREST DUE ON
DEMAND
 
 June
      30,
                  2008
                
                
                December
      31,
                  2007Notes
      payable due on demand, unsecured, bearing interest at 8% per
      annum,convertible
      into common shares of the Company at $0.50 per share at
theoption
      of the Company (a)
                
                $
                -
                
                
                $
                673,809Notes
      payable due on demand, unsecured, bearing interest at 10% per
      annum,convertible
      into common shares of the Company at the option of the Companyor
      the lender at market price less 20%, with a minimum conversion
      priceof
      $0.15 per share (b)
                
                
                -
                
                
                
                835,940Convertible
      accrued interest (c)
                
                
                -
                
                
                
                505,827Total
      convertible notes payable and related convertible accrued
      interest
                
                $
                -
                
                
                $
                2,015,576
 
 (a)  On
June 23, 2008, the holders of convertible notes payable totaling $667,323 agreed
to forgive the debt and on June 30, 2008, $6,486 in convertible notes payable
were  converted into 6,485,970 shares of the Company’s common
stock  (Note 8).
 
 (b)   On
June 23, 2008, the holders of convertible notes payable in the amount of
$805,502 agreed to forgive the notes and on June 30, 2008, convertible notes
payable totaling $30,437 were converted into 30,437,600 shares of the Company’s
common stock  (Note 8).
 
 (c)  On
June 23, 2008, $540,014 in interest accrued on convertible notes payable was
forgiven.
 
 NOTE
5 – ADVANCES PAYABLE
 
 At June
30, 2008 and December 31, 2007, the Company had advances payable of $0 and
$32,346 respectively, to outside third parties.  On June 23, 2008 $31,705
in advances payable were forgiven and on June 30, 2008, $655 in advances payable
were converted into 655,400 shares of the Company’s common stock  (Note
8).
  7
 
 GLOBETRAC
INC.
 NOTES
TO FINANCIAL STATEMENTS
 JUNE
30, 2008
 (UNAUDITED)
 NOTE
6 – DUE TO RELATED PARTIES
 
 June
      30,
                  2008
                
                
                December
      31,
                  2007Due
      to companies sharing a common officer (a)
                
                $
                -
                
                
                $
                161,550Advance
      payable to a director (b)
                
                
                -
                
                
                
                13,766Accrued
      management fees due to a director (c)
                
                
                -
                
                
                
                239,090Due
      to related parties
                
                $
                -
                
                
                $
                414,406
 
 (a)  On
June 23, 2008, $161,551 in debt was forgiven by these related
companies.  During the six months ended June 30, 2008 and 2007 the
Company paid $31,500 and $31,800 respectively, in administrative fees to a
company sharing a common officer.
 
 (b)  On
June 23, 2008, $13,215 in debt was forgiven by a director  of the
Company and on June 30, 2008 the $551 in  advances payable to a
director was converted into 550,626 shares of the Company’s common
stock.  (Note 8)
 
 (c)  On
June 23, 2008, $229,527 in accrued management fees were forgiven by a director
of the Company and on June 30, 2008, $9,564 in accrued management fees due to a
director were converted into 9,563,602 shares of the Company’s common
stock  (Note 8).
 
 NOTE 7 – NOTE PAYABLE TO RELATED
PARTY
 
 June
      30,
                  2007
                
                
                December
      31, 2006Note
      payable, unsecured, bears interest at 10% per annum,note
      was due on November 27, 2004 (a)
                
                $
                -
                
                
                $
                500,000Accrued
      interest (b)
                
                
                -
                
                
                
                254,795Note
      payable to related party including accrued interest
                
                $
                -
                
                
                $
                754,795
  (a)  On
June 23, 2008 $480,000 of the note payable to a related party was forgiven and
on June 30, 2008, $20,000 of the note payable was converted into 20,000,000
shares of the Company’s common stock  (Note 8).
 
 (b)  On
June 23, 2008, $267,227 in accrued interest was forgiven.
 
 NOTE
8 – COMMON STOCK
 
 On June
30, 2008, 67,693,198 shares of the Company’s common stock were issued at $0.001
per share in settlement of $67,693 in debt  (Notes 4, 5, 6 and
7).
 
 NOTE
9 – SALE OF SUBSIDIARY
 
 On June
12, 2008 the Company sold all of its shares in Global Axxess for $2 to an
unrelated party.  The sale of Global Axxess did not have any effect on
the Companies operations because Global Axxess was inactive.
  8
 
 Item 2. Management’s
Discussion and Analysis or Plan of Operation
 Forward-Looking
Statements
  Certain
information included in this Form 10-Q and other materials filed or to be filed
by us with the Securities and Exchange Commission (as well as information
included in oral or written statements made by us or on our behalf), may contain
forward-looking statements about our current and expected performance trends,
growth plans, business goals and other matters.  These statements may be
contained in our filings with the Securities and Exchange Commission, in our
press releases, in other written communications, and in oral statements made by
or with the approval of one of our authorized officers.  Words or phrases
such as “believe,” “plan,” “will likely result,” “expect,” “intend,” “will
continue,” “is anticipated,” “estimate,” “project,” “may,” “could,” “would,”
“should,” and similar expressions are intended to identify forward-looking
statements.  These statements, and any other statements that are not
historical facts, are forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995, as codified in Section 27A of
the Securities Act of 1933 and Section 21E of the Securities Exchange Act of
1934, as amended from time to time (the “Act”).
  In
connection with the “safe harbor” provisions of the Act, we have identified and
filed important factors, risks and uncertainties that could cause our actual
results to differ materially from those projected in forward-looking statements
made by us, or on our behalf (see Part I, Item 1, “Risk Factors” included in our
Form 10-KSB for the fiscal year ended December 31, 2007). These cautionary
statements are to be used as a reference in connection with any forward-looking
statements. The factors, risks and uncertainties identified in these cautionary
statements are in addition to those contained in any other cautionary
statements, written or oral, which may be made or otherwise addressed in
connection with a forward-looking statement or contained in any of our
subsequent filings with the Securities and Exchange Commission. Because of these
factors, risks and uncertainties, we caution against placing undue reliance on
forward-looking statements. Although we believe that the assumptions underlying
forward-looking statements are reasonable, any of the assumptions could be
incorrect, and there can be no assurance that forward-looking statements will
prove to be accurate. Forward-looking statements speak only as of the date on
which they are made. We do not undertake any obligation to modify or revise any
forward-looking statement to take into account or otherwise reflect subsequent
events or circumstances arising after the date that the forward-looking
statement was made.
  General
  This
discussion and analysis should be read in conjunction with our interim unaudited
financial statements and related notes included in this Form 10-Q and the
audited consolidated financial statements and related notes thereto included in
our Annual Report on Form 10-KSB for the fiscal year ended December 31,
2007.  The inclusion of supplementary analytical and related information
herein may require us to make appropriate estimates and assumptions to enable us
to fairly present, in all material respects, our analysis of trends and
expectations with respect to our results of operations and financial position
taken as a whole.
 
 On June
12, 2008 we sold all of the shares of our subsidiary, Global Axxess Corporation
Limited to an unrelated party.
  In this
discussion “we”, “us” or “our” means GlobeTrac Inc. (GlobeTrac) and will be
referred to as such throughout the balance of this document.
 
 Our
Objectives and Areas of Focus
 
 At June
30, 2008, our only source of income is a six percent commission/royalty that we
receive from WebTech Wireless Inc. (“WebTech”), based on all qualified sales of
any product or service offered by WebTech. A qualified sale means all of
WebTech’s invoiced sales of products or services to a customer that has ordered
at least one product or service before November 26, 2005, whether sold by
WebTech or by a licensee, affiliate or agent of Webtech. A customer is a list of
customers that was provided to WebTech by GlobeTrac. There is no cap on the
royalty receivable and royalties are to be paid by WebTech for eleven years,
beginning November 1, 2004 and ending October 31, 2015.
  9
  On June
23, 2008 certain debt holders forgave $3,196,063 in debt.  On June 30,
2008 certain debt holders who agreed to convert $67,693 in debt into common
shares of the Company’s common stock.
  Due to
limited operations, we are presently seeking new business
opportunities.
 
 Challenges
and Risks
 
 We have
accumulated a deficit of approximately $1.3 million to date and will require
additional debt or equity financing to continue operations and to seek out new
business opportunities. We plan to mitigate our losses in future years through
the receipt of the royalty payments from Webtech and locating a viable
business.
 
 There is
no assurance that we will be able to obtain additional financing, be successful
in seeking new business opportunities, receive any royalties from WebTech or
that we will be able to reduce operating expenses. Our financial statements do
not include any adjustments that might result from the outcome of these
uncertainties.
 
 Critical
Accounting Policies and Estimates
 
 An
appreciation of our critical accounting policies is necessary to understand our
financial results. These policies may require management to make difficult and
subjective judgments regarding uncertainties, and as a result, such estimates
may significantly impact our financial results. The precision of these estimates
and the likelihood of future changes depend on a number of underlying variables
and a range of possible outcomes. Other than our accounting for our royalty
revenue and allowance for doubtful accounts, our critical accounting policies do
not involve the choice between alternative methods of accounting. We have
applied our critical accounting policies and estimation methods
consistently.
  Reclassifications
  Certain
prior year amounts in the accompanying financial statements have been
reclassified to conform to the current year’s presentation.  These
reclassifications had no effect on the results of operations or financial
position for any period presented. On the June 30, 2007 balance sheet,
accounts payable and accrued liabilities were reported on one
line.  On the June 30, 2008 balance sheet, we reported the June 30,
2007 accounts payable and accrued professional fees on separate
lines.
 
 Recent
Accounting Pronouncements
 
 In
September 2006, the Financial Accounting Standards Board (FASB) issued
Statement of Financial Accounting Standards (SFAS) No. 157 (SFAS 157),
Fair Value
Measurements. SFAS 157 defines fair value, establishes a framework for
measuring fair value and enhances disclosures about fair value measures required
under other accounting pronouncements, but does not change existing guidance as
to whether or not an instrument is carried at fair value. SFAS 157 was effective
for us on January 1, 2008.  The adoption of SFAS 157 did not have a
significant impact on our financial statements.
 
 In
February 2007, the FASB issued SFAS No. 159 (SFAS 159), The Fair Value Option for Financial
Assets and Financial Liabilities—Including an amendment of FASB Statement
No. 115. SFAS 159 permits entities to choose to measure
many financial instruments and certain other items at fair value. Unrealized
gains and losses on items for which the fair value option has been elected will
be recognized in earnings at each subsequent reporting date. SFAS 159 was
effective for us on January 1, 2008. The adoption of SFAS 159 did not have
a material impact on our financial statements as we did not elect the fair value
option for any of our financial assets or liabilities.
  10
 
 In
June 2007, the Emerging Issues Task Force (EITF) of the FASB reached a
consensus on Issue No. 07-3 (EITF 07-3), Accounting for Nonrefundable Advance
Payments for Goods or Services Received for Use in Future Research and
Development Activities.  EITF 07-3 requires that non-refundable
advance payments for goods or services that will be used or rendered for future
research and development activities should be deferred and capitalized. As the
related goods are delivered or the services are performed, or when the goods or
services are no longer expected to be provided, the deferred amounts would be
recognized as an expense. This Issue is effective for financial statements
issued for fiscal years beginning after December 15, 2007 and earlier
application is not permitted. This consensus is to be applied prospectively for
new contracts entered into on or after the effective date. We adopted EITF 07-3
on January 1, 2008. The adoption of EITF 07-3 did not have a material impact on
our financial statements.
  In
February 2008 the FASB staff issued Staff Position No. 157-2 (FSP FAS 157-2)
effective date of FASB
Statement No.157.FSP FAS 157-2 delayed the effective date of
SFAS 157 for non-financial assets and non-financial liabilities, except for
items that are recognized or disclosed at fair value in the financial statements
on a recurring basis.  The provisions of FSP FAS 157-2 will be
effective for us on January 1, 2009.
  In
March 2008, the FASB issued SFAS No. 161 (SFAS 161), Disclosures about Derivative
Instruments and Hedging Activities – An Amendment of FASB Statement No. 133
(SFAS 133). This statement is intended to improve financial
reporting of derivative instruments and hedging activities by requiring enhanced
disclosures about (a) how and why an entity uses derivative instruments, (b) how
derivative instruments and related hedged items are accounted for under SFAS 133
and its related interpretations and (c) how derivative instruments and related
hedged items affect an entity’s financial position, financial performance and
cash flows. The provisions of SFAS 161 are effective for fiscal years beginning
after November 15, 2008.  SFAS 161 will be effective for us
on January 1, 2009.  We are currently evaluating the impact that
adoption of SFAS 161 may have on our financial statement
disclosures.
  In
May, 2008, FASB issued SFAS No. 162 (SFAS 162), The Hierarchy of Generally Accepted
Accounting Principles. SFAS 162 identifies the sources of accounting
principles and the framework for selecting the principles used in the
preparation of financial statements of nongovernmental entities that are
presented in conformity with generally accepted accounting principles (GAAP) in
the United States (the GAAP hierarchy). SFAS 162 is effective 60 days following
the SEC's approval of the Public Company Accounting Oversight Board amendments
to AU Section 411, The Meaning
of Present Fairly in Conformity With Generally Accepted Accounting
Principles. We are currently reviewing the effect, if any; the proposed
guidance will have on our financial statements disclosures.
 
 Financial
Condition
 
 During
the six months ended June 30, 2008, we had net income of $3,176,690, primarily
due to forgiveness of debt of $3,196,063.  As of June 30, 2008, we had
a cash balance of $58,985, accounts receivable of $15,925, and prepaids of
$2,919.  When these current assets are offset against our current
obligations of $96,945 in accounts payable and $47,093 in accrued
professional fees, we are left with a working capital deficit of
$66,209.
 
 During
the six months ended June 30, 2008 we reduced our debt by approximately $3.3
million by accepting the terms of letter agreements received from our creditors
on June 23, 2008.
 
 We
believe that our cash as of the date of this filing is not sufficient to satisfy
our working capital needs for the next year.  We anticipate funding
our working capital needs for the next twelve months through royalty payments
from WebTech, equity capital markets, private advances and loans. Although the
foregoing actions are expected to cover our anticipated cash needs for working
capital and capital expenditures for at least the next twelve months, no
assurance can be given that we will be able collect any royalty payments or
raise sufficient cash to meet our cash requirements.
  11
  Over the
next twelve months we plan to seek out a viable new business
opportunity.  If we enter into a new business opportunity, will need
to raise additional working capital and we may be required to hire additional
employees, independent contractors as well as purchase or lease additional
equipment.  We plan to raise this additional working capital through
the private placement of shares, private advances and loans.
 
 We
anticipate continuing to rely on equity sales of common stock or the issuance of
convertible debt to fund our operations and to seek out or enter into new
business opportunities. The issuance of any additional shares will result in
dilution to our existing shareholders.
 
 We are
not currently conducting any research and development activities. We do not
anticipate conducting such activities in the near future.
 
 Related-Party
Transactions
 
 During
the six months ended June 30, 2008 we paid $31,500 in administrative fees to a
company controlled by our president.
 
 During
June 2008 a total of $404,292 that was due to related parties was forgiven and a
total of $10,114 that was due to related parties was converted into 10,114,228
shares of our common stock.
 
 During
June 2008, $20,000 of the $500,000 note payable to a related party was converted
into 20,000,000 shares of our common stock, the remaining $480,000 was forgiven
and $267,226 of accrued interest on this note payable was forgiven.
 
 COMPARISON
OF THE THREE AND SIX MONTHS ENDED JUNE 30, 2008 AND 2007
 
 Overall
Results of Operations
 
 During
the three months ended June 30, 2008, we had a net income of $3,207,850, which
was an increase of $3,271,712 over our net loss of $63,862, for the three months
ended June 30, 2007.
 
 During
the six months ended June 30, 2008, we had a net income of $3,176,690, which was
an increase of $3,296,438 over our net loss of $119,748, for the six months
ended June 30, 2007.
  The
increase  in net income for the three and six months ended June 30,
2008, as compared to the three and six months ended June 30, 2007 was primarily
the due to the forgiveness of debt by our creditors.  Our royalty
revenue also increased due to WebTech securing some large contracts and interest
expense decreased due to our note payable and convertible debt being forgiven or
converted into shares of our common stock.
 
 If we are
not successful in acquiring a viable business, over the next year we expect our
net income to be approximately $50,000.
  Revenues
 
 Our
revenue increased by $23,662 or 157% from $15,046 for the three months ended
June 30, 2007 to $38,708 during the three months ended June 30,
2008.
 
 Our
revenue increased by $36,566 or 101% from $36,338 for the six months ended June
30, 2007 to $72,904 for the six months ended June 30, 2008.
  12
  All of
the revenue was the result of a 6% royalty which relates to the Termination and
Transfer Agreement signed on October 18, 2005. The increase in our revenue was
due to WebTech securing some large contracts during the period.  We
expect our revenue to be approximately $160,000 over the next
year.  We do not expect revenue to increase unless we locate a new
revenue generating business opportunity.
  Operating
Expenses
 
 Our
operating expenses decreased by $5,216 or 16% from $32,137 for the three months
ended June 30, 2007 to $26,921 for the three months ended June 30,
2008.  This decrease was primarily caused by a decrease in
professional fees of approximately $3,000 and the results of our efforts to
control our operating costs.
 
 Our
operating expenses decreased by $11,259 or 20% from $56,918 for the six months
ended June 30, 2007 to $45,659 for the six months ended June 30,
2008.  This decrease was primarily caused by a decrease in
professional fees of approximately $9,000 and the results of our efforts to
reduce our operating costs.
 
 We expect
our operating costs to be approximately $110,000 over the next year, unless we
locate a new viable business.
 
 Interest
Expense
 
 Our
interest expense decreased by $46,746 or 100% from $46,746 for the three months
ended June 30, 2007 to $0 for the three months ended June 30, 2008.
 
 Our
interest expense decreased by $46,361 or 50% from $92,979 for the six months
ended June 30, 2007 to $46,618 for the six months ended June 30,
2008.
 
 With the
acceptance of the terms of the debt forgiveness and debt settlement letter
agreements from our creditors, we do not expect to have any interest expense
during the next year.
  Off-Balance-Sheet
Arrangements
 
 We have
no off-balance sheet arrangements that have or are reasonably likely to have a
current or future effect on our financial condition, changes in financial
condition, revenue or expenses, results of operations, liquidity, capital
expenditures or capital resources that we expect to be material to investors. We
do not have any non-consolidated, special-purpose entities.
 
 Liquidity
and Capital Resources
 
 As of
June 30, 2008, we had a cash balance of $58,985 and cash flow from operations of
$43,116 for the six months then ended. During the six months ended June 30,
2008, we primarily funded our operations with the royalty revenue we received
from WebTech.
 
 The notes
to our unaudited financial statements as of June 30, 2008, contain footnote
disclosure regarding our uncertain ability to continue as a going concern. We
have not generated sufficient revenues to cover our expenses, and we have
accumulated a deficit of $1,335,232. As of June 30, 2008, we had $144,038 in
current liabilities, when these liabilities are offset against our current
assets of $77,829 we are left with a working capital deficit of $66,209 and as
such we cannot assure that we will succeed in locating a viable business
opportunity or that we will be able to achieve a profitable level of operations
sufficient to meet our ongoing cash needs. We have, however, successfully
generated sufficient working capital through royalty revenues until the date of
this filing.
  Below is
a discussion of our sources and uses of funds for the six months ended June 30,
2008.
  13
 
 Net
Cash Used In Operating Activities
 
 Net cash
provided by operating activities during the six months ended June 30, 2008
was $43,116. This cash was primarily provided by a collection of $26,030 in
accounts receivable, utilization of $2,115 in prepaid expenses, increases of
$5,503 in accounts payable, $34,187 in accrued interest on the convertible notes
payable, $14 in advances payable and $12,431 in accrued interest on the note
payable to a related party.  These amounts were offset by a payment of
$17,792 in accrued professional fees, forgiveness of convertible notes payable
of $1,472,826, forgiveness of interest on convertible notes payable of $540,014,
forgiveness of advances payable of $31,705, forgiveness of debt due to related
parties of $404,292 forgiveness of note payable to related party of $480,000and
forgiveness of interest on note payable to related party of
$267,226.
 
 Net
Cash Provided By Financing Activities
 
 We did
not have any financing activities during the six months ended June 30,
2008.
  Net
Cash Used In Investing Activities
 
 We did
not have any investing activities during the six months ended June 30,
2008.
 
 Contingencies
and Commitments
 
 We had no
contingencies or long-term commitments at June 30, 2008.
 
 Contractual
Obligations
 
 Due to
the forgiveness of debt and conversion of debt to common shares we have no
contractual obligations at June 30, 2008.
 
 Internal
and External Sources of Liquidity
 
 We have
funded our operations principally from royalty revenue and advances from related
and other parties.
 
 Inflation
 
 We do not
believe that inflation will have a material impact on our future
operations.
  14
 Item
3.  Quantitative and Qualitative Disclosures About Market
Risk.
 
 GlobeTrac
is a smaller reporting company as defined by Rule 12b-2 of the Exchange Act and
is not required to provide the information required under this
item.
 
 Item
4.  Controls and Procedures.
 
 Disclosure Controls and
Procedures
 
 Disclosure
controls and procedures are designed to ensure that information required to be
disclosed in the reports filed or submitted under the Exchange Act is recorded,
processed, summarized and reported, within the time period specified in the
SEC’s rules and forms.  Disclosure controls and procedures include,
without limitation, controls and procedures designed to ensure that information
required to be disclosed in the reports filed under the Exchange Act is
accumulated and communicated to management, including John daCosta, GlobeTrac’s
Chief Executive Officer and Chief Financial Officer, as appropriate, to allow
timely decisions regarding required disclosure.
 
 Mr.
daCosta has evaluated the effectiveness of the design and operation of
GlobeTrac’s disclosure controls and procedures (as such term is defined in Rules
13a-15 and 15d-15 under the Securities Exchange Act of 1934 (the “Exchange Act”)) as of the end
of the period covered by this quarterly report (the “Evaluation
Date”).  Based on such evaluation, Mr. daCosta has concluded
that, as of the Evaluation Date, GlobeTrac’s disclosure controls and procedures
are effective to ensure that information required to be disclosed in the reports
GlobeTrac files and submits under the Exchange Act is recorded, processed,
summarized and reported as and when required.
 
 Changes in Internal
Controls
 
 During
the quarter of the fiscal year covered by this report, there were no changes in
GlobeTrac’s internal controls or, to GlobeTrac’s knowledge, in other factors
that have materially affected, or are reasonably likely to materially affect,
these controls and procedures subsequent to the Evaluation Date.
 
 Management’s Report on
Internal Controls over Financial Reporting
 
 GlobeTrac
is a smaller reporting company as defined by Rule 12b-2 of the Exchange Act and
is not required to provide the information required under this
item.
 
 PART
II – OTHER INFORMATION
 
 Item
1.  Legal Proceedings.
 
 GlobeTrac
is not a party to any pending legal proceedings and, to the best of GlobeTrac’s
knowledge, none of GlobeTrac’s property or assets are the subject of any pending
legal proceedings.
 
 Item
1A.  Risk Factors.
 
 GlobeTrac
is a smaller reporting company as defined by Rule 12b-2 of the Exchange Act and
is not required to provide the information required under this
item.
 
 Item
2.  Unregistered Sales of Equity Securities and Use of
Proceeds.
 
 During
the quarter of the fiscal year covered by this report, (i) GlobeTrac did not
modify the instruments defining the rights of its shareholders, (ii) no rights
of any shareholders were limited or qualified by any other class of securities,
and (iii) GlobeTrac did not sell any unregistered equity securities that have
not previously been disclosed in a Form 8-K filed with the SEC.
 
 Item
3.  Defaults Upon Senior Securities.
 
 During
the quarter of the fiscal year covered by this report, no material default has
occurred with respect to any indebtedness of GlobeTrac.  Also, during
this quarter, no material arrearage in the payment of dividends has
occurred.
  15
 
 Item
4.  Submission of Matters to a Vote of Security Holders.
 
 No matter
was submitted to a vote of security holders through the solicitation of proxies
or otherwise, during the quarter of the fiscal year covered by this
report.
 
 Item
5.  Other Information.
 
 During
the quarter of the fiscal year covered by this report, GlobeTrac reported all
information that was required to be disclosed in a report on Form
8-K.
 
 Item
6.  Exhibits
 
 (a) Index
to and Description of Exhibits
 
 All
Exhibits required to be filed with the Form 10-Q are included in this quarterly
filing or incorporated by reference to GlobeTrac’s previous filings with the
SEC, which can be found in their entirety at the SEC website at www.sec.gov under SEC
File Number 000-33309 and SEC File Number 333-66590.
 
 Exhibit
                Description
                Status3.1
                Articles
      of Incorporation filed as an Exhibit to GlobeTrac’s registration statement
      on Form SB-2 filed on August 2, 2001, and incorporated herein by
      reference.
                Filed3.2
                Bylaws
      filed as an Exhibit to GlobeTrac’s registration statement on Form SB-2
      filed on August 2, 2001, and incorporated herein by
    reference.
                Filed3.3
                Certificate
      of Amendment to Articles of Incorporation changing the Issuer’s name to
      GlobeTrac Inc. filed as an exhibit to GlobeTrac’s Form 10-KSB filed on
      April 15, 2003, and incorporated herein by reference.
                Filed3.4
                Notification
      of Dissolution for Globetrac Limited dated March 14, 2007, filed as an
      exhibit to GlobeTrac’s Form 10-KSB filed on April 16, 2007, and
      incorporated herein by reference.
                Filed10.1
                Master
      Distributorship Agreement dated June 19, 2002 among WebTech Wireless
      International, WebTech Wireless Inc. and Global Axxess Corporation Limited
      filed as an attached exhibit to GlobeTrac’s Form 8-K (Current Report)
      filed on September 11, 2002, and incorporated herein by
      reference.
                Filed10.2
                Loan
      Agreement dated November 27, 2002 between GlobeTrac Inc. and David
      Patriquin with attached promissory note dated November 27, 2002 filed as
      an exhibit to GlobeTrac’s Form 10-KSB (Annual Report) filed on April 15,
      2003, and incorporated herein by reference.
                Filed10.3
                Amendment
      Letter Agreement dated June 4, 2003, between WebTech Wireless
      International Inc. and Globetrac Limited for the purpose of amending terms
      of the Master Distributorship Agreement filed as an exhibit to GlobeTrac’s
      Form 10-KSB (Annual Report) filed on April 7, 2004, and incorporated
      herein by reference.
                Filed10.4
                Amendment
      Letter Agreement dated March 8, 2004 between WebTech Wireless
      International Inc. and Globetrac Limited for the purpose of amending terms
      of the Master Distributorship Agreement filed as an exhibit to GlobeTrac’s
      Form 10-KSB (Annual Report) filed on April 7, 2004, and incorporated
      herein by reference.
                Filed10.5
                Letter
      Agreement dated November 26, 2004 among Global Axxess Corporation Limited,
      WebTech Wireless International and WebTech Wireless Inc., filed as an
      exhibit to GlobeTrac’s Form 8-K (Current Report) filed on December 22,
      2004, and incorporated herein by reference.
                Filed10.6
                Termination
      and Transfer Agreement dated November 1, 2004 among GlobeTrac Inc., Global
      Axxess Corporation Limited, Globetrac Limited, WebTech Wireless Inc., and
      WebTech Wireless International, filed as an exhibit to GlobeTrac’s Form
      8-K (Current Report) filed on November 14, 2005, and incorporated herein
      by reference.
                Filed14
                Code
      of Ethics filed as an exhibit to GlobeTrac’s Form 10-KSB filed on April
      15, 2003, and incorporated herein by reference.
                Filed31
                Certifications
      pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
                Included32
                Certification
      pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of
      the Sarbanes-Oxley Act of 2002.
                Included
 
 16
 
 SIGNATURES
 
 In
accordance with the requirements of the Securities Exchange Act of 1934,
GlobeTrac Inc. has caused this report to be signed on its behalf by the
undersigned duly authorized person.
  GLOBETRAC INC.Dated:
      August 13, 2008
                  By:
                  /s/ John
      daCostaJohn
      daCosta
                    CEO,
      President and CFO
                    Principal Executive
      Officer
                    and Principal
      Financial Officer)