UNITED STATES
             SECURITIES AND EXCHANGE COMMISSION
                    Washington, DC 20549

                         FORM 10-QSB
 QUARTERLY REPORT FOR SMALL BUSINESS ISSUERS SUBJECT TO THE
               1934 ACT REPORTING REQUIREMENTS

[X] QUARTERLY REPORT UNDER SECTION 13 OR 15(D) OF THE
   SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2000
Commission File No. 000-30253






                      MUSIC ETC., INC.
   (Exact name of registrant as specified in its charter)







Nevada                                            88-0426887
(State of organization) (I.R.S. Employer Identification No.)

8764 Carlitas Joy Court, Las Vegas, NV 89117
(Address of principal executive offices)

Registrant's telephone number, including area code (702) 228-4688

Check whether the issuer (1) filed all reports required to
be file by Section 13 or 15(d) of the Exchange Act during
the past 12 months and (2) has been subject to such filing
requirements for the past 90 days.  Yes X

There are 6,000,000 shares of common stock outstanding as of
September 30, 2000.



                 PART I - FINANCIAL INFORMATION

ITEM 1.   FINANCIAL STATEMENTS

FINANCIAL STATEMENTS

                        TABLE OF CONTENTS


                                                            PAGE
     ACCOUNTANT'S LETTER                                       1

     BALANCE SHEET - ASSETS                                    2

     BALANCE SHEET - LIABILITIES AND STOCKHOLDERS' EQUITY      3

     STATEMENT OF OPERATIONS                                 4-5

     STATEMENT OF STOCKHOLDERS' EQUITY                         6

     STATEMENT OF CASH FLOWS                                 7-8

     NOTES TO FINANCIAL STATEMENTS                          9-13
                  INDEPENDENT AUDITORS' REPORT





Board of Directors                             October 13, 2000

MUSIC ETC., INC.

Las Vegas, Nevada



     I  have  audited  the accompanying Balance Sheets  of  MUSIC

ETC.,  INC.  (A  Development Stage Company), as of September  30,

2000,  and  December  31,  1999, and the  related  statements  of

stockholders'  equity for September 30, 2000,  and  December  31,

1999,  and  statements of operation and cash flows for the  three

months ending September 30, 2000, and September 30, 1999, for the

nine months ended September 30, 2000, and September 30, 1999, and

the two years ended December 31, 1999, and December 31, 1998, and

the period September 20, 1993 (inception), to September 30, 2000.

These   financial  statements  are  the  responsibility  of   the

Company's management. My responsibility is to express an  opinion

on these financial statements based on my audit.



     I  conducted my audit in accordance with generally  accepted

auditing  standards. Those standards require  that  we  plan  and

perform  the  audit to obtain reasonable assurance about  whether

the  financial  statements are free of material misstatement.  An

audit  includes  examining, on a test basis, evidence  supporting

the amounts and disclosures in the financial statements. An audit

also  includes  assessing  the  accounting  principles  used  and

significant  estimates made by management, as well as  evaluating

the  overall financial statement presentation. I believe that  my

audit provides a reasonable basis for my opinion.



     In  my  opinion, the financial statements referred to  above

present  fairly, in all material respects, the financial position

of  MUSIC ETC. (A Development Stage Company), as of September 30,

2000,  and  December  31,  1999, and the  related  statements  of

stockholders'  equity for September 30, 2000,  and  December  31,

1999,  and  statements of operation and cash flows for the  three

months ending September 30, 2000, and September 30, 1999, for the

nine months ended September 30, 2000, and September 30, 1999, and

the two years ended December 31, 1999, and December 31, 1998, and

the period September 20, 1993 (inception), to September 30, 2000,

in conformity with generally accepted accounting principles.



     The  accompanying  financial statements have  been  prepared

assuming  the  Company  will continue  as  a  going  concern.  As

discussed in Note #5 to the financial statements, the Company has

had  no operations and has no established source of revenue. This

raises substantial doubt about its ability to continue as a going

concern.  Management's  plan  in  regard  to  these  matters   is

described  in Note #5. These financial statements do not  include

any  adjustments  that  might result from  the  outcome  of  this

uncertainty.



/s/ Barry L. Friedman

Barry L. Friedman

Certified Public Accountant

1582 Tulita Drive

Las Vegas, NV 89123

(702) 361-8414











                        MUSIC ETC., INC.

                  (A Development Stage Company)





                          BALANCE SHEET





                             ASSETS





<TABLE>
<S>                            <C>              <C>
                                9 Mos. Ending     Year Ended
                               Sept. 30, 2000    Dec.31, 1999
                                ------------     -----------

CURRENT ASSETS                        $    0            $    0
                                     -------           -------

     TOTAL CURRENT ASSETS             $    0            $    0
                                     -------           -------

OTHER ASSETS                          $    0            $    0
                                     -------           -------


     TOTAL OTHER ASSETS               $    0            $    0
                                     -------           -------

     TOTAL ASSETS                     $    0            $    0
                                     -------           -------
</TABLE>


















 The accompanying notes are an integral part of these financial

                           statements



                              - 2-

                        MUSIC ETC., INC.

                  (A Development Stage Company)





                          BALANCE SHEET





              LIABILITIES AND STOCKHOLDERS' EQUITY





<TABLE>
<S>                                     <C>               <C>
                                          9 Mos. Ending     Year Ended
                                         Sept. 30, 2000    Dec.31, 1999
                                           -----------      -----------

CURRENT LIABILITIES

     Officers Advances (Note #8)             $   3,267            $   267
                                           -----------          ---------
TOTAL CURRENT LIABILITIES                    $   3,267            $   267
                                           -----------          ---------

STOCKHOLDERS EQUITY (Note #4)

Preferred Stock, $0.001 Par Value
Authorized 10,000,000 Shares
Issued and Outstanding
At September 30, 2000 - None                     $   0

Common stock, $.001 par value
authorized 50,000,000 shares
issued and outstanding at
December 31, 1999 - 6,000,000 shares                            $   6,000
September 30, 2000 - 6,000,000 shares            6,000

   Additional paid in Capital                   -2,315             -2,315

   Accumulated loss during
    the development stage                       -6,952             -3,952
                                               -------             ------

TOTAL STOCKHOLDERS' EQUITY                  $   -3,267           $   -267
                                          ------------         ----------

TOTAL LIABILITIES AND
STOCKHOLDERS EQUITY                              $   0              $   0
                                               -------             ------
</TABLE>






 The accompanying notes are an integral part of these financial

                           statements



                              - 3 -

                        MUSIC ETC., INC.

                  (A Development Stage Company)





                     STATEMENT OF OPERATIONS





<TABLE>
<S>                  <C>            <C>           <C>            <C>
                      3 Mos.Ended    3 Mos.Ended   9 Mos.Ended   9 Mos.Ended
                       September      September     September     September
                          30,            30,           30,           30,
                         2000           1999          2000           1999
                        ------         ------        -------       --------


REVENUE                     $   0           $   0         $   0         $   0
                           ------          ------         -----        ------
EXPENSES

 General, Selling
 and Administrative     $   1,000         $   267     $   3,000       $   267
                        ---------         -------     ---------       -------

 Total Expenses         $   1,000         $   267     $   3,000       $   267
                        ---------         -------     ---------       -------
Net Profit/Loss (-)     $  -1,000         $  -267     $  -3,000       $  -267
                        ---------         -------     ---------       -------
Net Loss per share -
 Basic and diluted
 (Note #2)              $  -.0002         $   Nil    $   -.0005       $   Nil
                        ---------         -------    ----------       -------

Weighted average
number of common
shares outstanding      6,000,000       6,000,000     6,000,000     6,000,000
                        ---------       ---------     ---------     ---------
</TABLE>


















 The accompanying notes are an integral part of these financial

                           statements



                              - 4 -

                        MUSIC ETC., INC.

                  (A Development Stage Company)





               STATEMENT OF OPERATIONS (Continued)





<TABLE>
<S>                      <C>             <C>            <C>
                                                         Sep. 20, 1993
                           Year Ended     Year Ended      (Inception)
                          December 31,   December 31,    to September
                                                              30,
                              1999           1998            2000
                            --------       --------        ---------

REVENUE                          $  0             $  0             $  0
                                -----           ------            -----
EXPENSES

 General, Selling
 and Administrative            $  267             $  0         $  6,952
                              -------           ------        ---------

 Total Expenses                $  267             $  0         $  6,952
                              -------            -----        ---------
Net Profit/Loss (-)            $ -267             $  0        $  -6,952
                              -------            -----        ---------
Net loss per share -
 Basic and diluted
 (Note #2)                     $  Nil           $  Nil        $  -.0012
                              -------            -----        ---------

Weighted average
number of common
shares outstanding          6,000,000        6,000,000        6,000,000
                            ---------        ---------        ---------
</TABLE>






























 The accompanying notes are an integral part of these financial

                           statements



                              - 5 -

                        MUSIC ETC., INC.

                  (A Development Stage Company)





          STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY





<TABLE>
<S>                   <C>           <C>           <C>            <C>
                                                    Additional     Accumu-
                         Common         Stock        paid-in        lated
                         Shares        Amount        Capital       Deficit
                         -------      --------       --------      --------

Balance,
December 31, 1998          25,000        $  3,685          $   0    $  -3,685

September 21, 1999
Changed from no par
Value to $.001                             -3,660         +3,660

September 21, 1999
Forward Stock Split
240 to 1                5,975,000          +5,975         -5,975

Net loss year ended
December 31, 1999                                                        -267
                       ----------        --------      ---------    ---------

Balance,
December 31, 1999       6,000,000        $  6,000      $  -2,315    $  -3,952

Net loss Jan. 1, 2000
To September 30, 2000                                                  -3,000
                       ----------        --------      ---------    ---------

Balance,
September 30, 2000      6,000,000        $  6,000      $  -2,315    $  -6,952
                       ----------        --------      ---------    ---------
</TABLE>






















The accompanying notes are an integral part of these financial statements







                              - 6 -

                        MUSIC ETC., INC.

                  (A Development Stage Company)





                     STATEMENT OF CASH FLOWS





<TABLE>
<S>                   <C>            <C>           <C>            <C>
                       3 Mos.Ended    3 Mos.Ended   9 Mos.Ended   9 Mos.Ended
                      September 30,    September     September     September
                                          30,           30,           30,
                           2000          1999          2000          1999
                         --------      --------      --------      ---------
Cash Flow from
Operating Activities
Net Loss                  $ -1,000         $  -267      $ -3,000       $ -267

Adjustment to
reconcile
net loss to net cash
provided by operating
activities

Changes in Assets
and Liabilities

Increase in current
Liabilities

Officers Advances           +1,000            +267        +3,000         +267
                           -------         -------       -------       ------

Net cash used in
operating Activities         $   0           $   0         $   0        $   0

Cash Flows from
Investing Activities             0               0             0            0

Cash Flows from
Financing Activities
Issuance of Common
Stock                            0               0             0            0

Net increase
(decrease)
in cash                      $   0           $   0         $   0        $   0

Cash, beginning
of period                        0               0             0            0


Cash, end of period          $   0           $   0         $   0        $   0
</TABLE>                    ------          ------       -------       ------






 The accompanying notes are an integral part of these financial

                           statements



                              - 7 -

                        MUSIC ETC., INC.

                  (A Development Stage Company)





               STATEMENT OF CASH FLOWS (CONTINUED)

<TABLE>
<S>                      <C>             <C>             <C>
                                                         Sep. 20, 1993
                           Year Ended      Year Ended     (Inception)
                          December 31,    December 31,    to September
                                                              30,
                              1999            1998            2000
                           ----------      -----------    ------------
Cash Flow from
Operating Activities
Net Loss                       $  -267             $   0      $  -6,952

Adjustment to reconcile
net loss to net cash
provided by operating
activities

Changes in Assets
and Liabilities

Increase in current
Liabilities

Officers Advances                 +267                 0         +3,267
                                ------            ------        -------

Net cash used in
operating Activities             $   0             $   0      $  -3,685

Cash Flows from
Investing Activities                 0                 0              0

Cash Flows from
Financing Activities
Issuance of Common
Stock                                0                 0         +3,685
                                ------            ------        -------
Net increase
(decrease)
in cash                          $   0             $   0          $   0


Cash, beginning
of period                            0                 0              0
                                ------            ------         ------

Cash, end of period              $   0             $   0          $   0
                                ------            ------         ------
</TABLE>








 The accompanying notes are an integral part of these financial

                           statements



                              - 8 -

                        MUSIC ETC., INC.

                  (A Development Stage Company)





                  NOTES TO FINANCIAL STATEMENTS



            September 30, 2000, and December 31, 1999







NOTE 1 - HISTORY AND ORGANIZATION OF THE COMPANY



     The Company was organized September 20, 1993, under the laws

     of  the  State  of  Nevada as MUSIC ETC., INC.  The  Company

     currently has no operations and in accordance with SFAS  #7,

     is considered a development stage company.





NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES



     Accounting Method



          The Company records income and expenses on the accrual

          method.



     Estimates



          The  preparation of financial statements in  conformity

          with  generally accepted accounting principles requires

          management  to  make  estimates  and  assumptions  that

          affect  the  reported amounts of assets and liabilities

          and disclosure of contingent assets and liabilities  at

          the  date  of the financial statements and the reported

          amounts  of  revenue and expenses during the  reporting

          period.   Actual  results  could  differ   from   those

          estimates.



     Cash and equivalents



          The Company maintains a cash balance in a non-interest-

          bearing  bank that currently does not exceed  federally

          insured  limits. For the purpose of the  statements  of

          cash  flows,  all  highly liquid investments  with  the

          maturity of three months or less are considered  to  be

          cash  equivalents. There are no cash equivalents as  of

          September 30, 2000.











                              - 9 -

                        MUSIC ETC., INC.

                  (A Development Stage Company)





            NOTES TO FINANCIAL STATEMENTS (CONTINUED)



            September 30, 2000, and December 31, 1999





 NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)



     Income Taxes



          Income  taxes  are  provided for  using  the  liability

          method  of  accounting in accordance with Statement  of

          Financial  Accounting Standards  No.  109  (SFAS  #109)

          "Accounting for Income Taxes". A deferred tax asset  or

          liability  is  recorded  for all  temporary  difference

          between  financial  and  tax  reporting.  Deferred  tax

          expense  (benefit) results from the net  change  during

          the year of deferred tax assets and liabilities.



     Reporting on Costs of Start-up Activities



          In  April  1998,  the American Institute  of  Certified

          Public  Accountants issued Statement of  Position  98-5

          ("SOP   98-5"),  "Reporting  the  Costs   of   Start-up

          Activities"  which provides guidance on  the  financial

          reporting  of start-up costs and organizational  costs.

          It   requires   costs   of  start-up   activities   and

          organization costs to be expensed as incurred.  SOP 98-

          5   is  effective  for  fiscal  years  beginning  after

          December  15, 1998, with initial adoption  reported  as

          the   cumulative  effect  of  a  change  in  accounting

          principal.



     Loss Per Share



          Net  loss  per  share  is provided in  accordance  with

          Statement  of  Financial Accounting Standards  No.  128

          (SFAS  #128) "Earnings Per Share". Basic loss per share

          is  computed  by  dividing losses available  to  common

          stockholders by the weighted average number  of  common

          shares outstanding during the period. Diluted loss  per

          share  reflects  per  share  amounts  that  would  have

          resulted if dilative common stock equivalents had  been

          converted  to common stock. As of September  30,  2000,

          the  Company  had no dilative common stock  equivalents

          such as stock options.







                             - 10 -





                        MUSIC ETC., INC.

                  (A Development Stage Company)





            NOTES TO FINANCIAL STATEMENTS (CONTINUED)



            September 30, 2000, and December 31, 1999





 NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)



     Year End



         The  Company  has selected December 31st as  its  fiscal

         year-end.





     Year 2000 Disclosure



          The year 2000 issue had no effect on this Company.





NOTE 3 - INCOME TAXES



     There  is no provision for income taxes for the period ended

     September 30, 2000, due to the net loss and no state  income

     tax  in  Nevada,  the  state of the Company's  domicile  and

     operations.  The Company's total deferred tax  asset  as  of

     December 31, 1999, is as follows:



        Net operation loss carry forward              $  3,952
        Valuation allowance                           $  3,952
        Net deferred tax asset                            $  0


     The federal net operating loss carry forward will expire  in

     2017 to 2019.































                             - 11 -

                        MUSIC ETC., INC.

                  (A Development Stage Company)



            NOTES TO FINANCIAL STATEMENTS (CONTINUED)



            September 30, 2000, and December 31, 1999



NOTE 4 - STOCKHOLDERS' EQUITY



     Common Stock



     The  authorized common stock of the corporation consists  of

     50,000,000, shares with a par value $.001 per share.



     On July 27, 1995, the Company issued 20 shares of its no par

     value  common stock in consideration of $200.00 in  cash  to

     one of its directors.



     On July 27, 1997, the Company issued 24,980 shares of its no

     par value common stock in consideration of $5,996.00 in cash

     to three additional directors.



     On  September  21,  1999, the State of Nevada  approved  the

     company's   restated   Articles  of   Incorporation,   which

     increased its capitalization from 25,000 common shares of no

     par  value to 50,000,000 common shares with a par  value  of

     $.001 and added 10,000,000 preferred shares with a par value

     of $.001.



     On  September 21, 1999, the company forward split its common

     stock  240:1,  thus  increasing the  number  of  outstanding

     common shares from 25,000 to 6,000,000 shares.



     Preferred Stock



     The  authorized preferred stock of the corporation  consists

     of 10,000,000 shares with a par value of $0.001 per share.



NOTE 5 - GOING CONCERN



The  Company's financial statements are prepared using  generally

accepted  accounting principles applicable  to  a  going  concern

which  contemplates the realization of assets and liquidation  of

liabilities  in  the  normal  course of  business.  However,  the

Company  does not have significant cash or other material assets,

nor does it have an established source of revenues sufficient  to

cover  its operating costs and to allow it to continue as a going

concern.   The   stockholders/officers  and  or  directors   have

committed  to  advancing  the  operating  costs  of  the  Company

interest free.









                             - 12 -

                        MUSIC ETC., INC.

                  (A Development Stage Company)





            NOTES TO FINANCIAL STATEMENTS (CONTINUED)



            September 30, 2000, and December 31, 1999





NOTE 6 - RELATED PARTY TRANSACTIONS



     The  Company  neither owns nor leases any real  or  personal

     property.  An  officer  of the corporation  provides  office

     services  without charge. Such costs are immaterial  to  the

     financial   statements  and  accordingly,  have   not   been

     reflected therein. The officers and directors of the Company

     are  involved in other business activities and  may  in  the

     future, become involved in other business opportunities.  If

     a  specific  business  opportunity becomes  available,  such

     persons may face a conflict in selecting between the Company

     and  their  other  business interests. The Company  has  not

     formulated a policy for the resolution of such conflicts.





NOTE 7 - WARRANTS AND OPTIONS



     There are no warrants or options outstanding to acquire  any

     additional shares of common or preferred stock.



NOTE 8 - OFFICERS ADVANCES



     While  the Company was seeking additional capital to advance

     it's  Business Plan, an officer of the Company has  advanced

     funds on behalf of the Company to pay for any costs incurred

     by it.  These funds are interest free.

































                             - 13 -





ITEM 2.   MANAGEMENT'S PLAN OF OPERATION



NOTE REGARDING PROJECTIONS AND FORWARD LOOKING STATEMENTS



This  statement  includes  projections  of  future  results   and

"forward-looking statements" as that term is defined  in  Section

27A  of  the  Securities Act of 1933 as amended (the  "Securities

Act"), and Section 21E of the Securities Exchange Act of 1934  as

amended (the "Exchange Act"). All statements that are included in

this  Registration Statement, other than statements of historical

fact,   are   forward-looking  statements.  Although   Management

believes that the expectations reflected in these forward-looking

statements  are  reasonable, it can give no assurance  that  such

expectations  will prove to have been correct. Important  factors

that  could  cause actual results to differ materially  from  the

expectations are disclosed in this Statement, including,  without

limitation,   those  expectations  reflected  in  forward-looking

statements contained in this Statement.



                        Plan of Operation



The  Company's Plan of Operation has not changed since the filing

of  its  amended Form 10-SB filed with the SEC on June 23,  2000.

The  description of the current plan of operation is incorporated

by reference to Section 2 of its amended Form 10-SB.



              Competition Music Etc. may encounter



Music  Etc.  is an insignificant participant among  firms,  which

engage  in  business combinations with financing  of  development

stage  enterprises.  There  are many established  management  and

financial  consulting companies and venture capital  firms  which

have  significantly  greater financial and  personnel  resources,

technical expertise and experience than Music Etc. In view of our

company's    limited   financial   resources    and    management

availability, it will continue to be at a significant competitive

disadvantage.



                            Employees



The Company's only employees at the present time are its officers

and  directors,  who will devote as much time  as  the  Board  of

Directors determine is necessary to carry out the affairs of  the

Company.



                   PART II - OTHER INFORMATION



ITEM 1.   LEGAL PROCEEDINGS



The  Company  is  not  a  party  to any  material  pending  legal

proceedings and, to the best of its knowledge, no such action has

been threatened by or against the Company.



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



No such matters were submitted during the most recent quarter.



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



EXHIBITS



3.1   The  exhibits,  consisting of  the  Company's  Articles  of

Incorporation, are attached to the Company's Amended Form  10-SB,

filed  on  June  23,  2000. These exhibits  are  incorporated  by

reference to that Form.



3.2   The  exhibits,  consisting of  the  Company's  Bylaws,  are

attached  to the Company's Amended Form 10-SB, filed on June  23,

2000. These exhibits are incorporated by reference to that Form.



23   Consent of Independent Certified Public Accountant



27   Financial Data Schedule



                           SIGNATURES



Pursuant  to  the  requirements of Section 12 of  the  Securities

Exchange  Act  of  1934,  the Registrant  has  duly  caused  this

registration  statement  to  be  signed  on  its  behalf  by  the

undersigned, thereunto duly authorized.







                           Music Etc., Inc.







                           By: /s/ Lewis Eslick

                              Lewis Eslick, President







                           Date: November 14, 2000