SECURITIES
AND EXCHANGE COMMISSION

WASHINGTON,
D.C. 20549

––––––––––––––––



|(Mark One)                                      |  | FORM 10-K                                                                                   
|----------------------------------------------- |  | --------------------------------------------------------------------------------------------
|x                                               |  | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
    SECURITIES EXCHANGE ACT OF 1934    
|For the fiscal year ended
    December 31, 2010
|Or                                             
|                                                |  | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF
    THE SECURITIES EXCHANGE ACT OF 1934



Commission
File Number333-151177



REVOLUTIONARY
CONCEPTS, INC.

(Exact name of
Registrant as specified in its charter)



|Nevada                       |  | 7382                         |  | 27-0094868         
|---------------------------- |  | ---------------------------- |  | -------------------
|(State or other Jurisdiction |  | (Primary Standard Industrial |  | (I.R.S. Employer   
|of Incorporation or          |  | Classification Code Number)  |  | Identification No.)
|Organization)                |  |                              |  |                    



Revolutionary
Concepts, Inc.

6000
Fairview Road, Suite 1425

Charlotte,
NC 28210

980-225-5376



(Address and
telephone number of principal executive offices and principal place of business)



Securities Registered
Pursuant to Section 12(b) of the Act:



|Title
    of each class                      |  | Names
    of each exchange on which registered
|-------------------------------------------- |  | ----------------------------------------------
|Common Stock, par value
    $0.001 per share |  | OTCBB                                         
|                                             |  |                                               



|(Title of Class)
|----------------
|None            

Securities
registered pursuant to section 12(g) of the Act:

Indicate
by check mark if the registrant is well-known seasoned issuer, as defined in Rule 405 of the Securities Act. YesoNoý

Indicate
by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. YesoNoý

Indicate
by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities
Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file
such reports), and (2) has been subject to such filing requirements for the past 90 days. YesýNoo

Indicate
by check mark whether the registrant has submitted electronically and posted on its corporate Website, if any, every Interactive
Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such
shorter period that the registrant was required to submit and post such files.  Yes  o  No
ý

Indicate
by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein, and
will not be contained, to the best of Registrant's knowledge, in definitive proxy or information statements incorporated by reference
in Part III of this Form 10-K or any amendment to this form 10-K.o

Indicate
by check mark whether the Registrant is a large accelerated filer, an accelerated filer, or a non-accelerated filer. See definition
of "accelerated filer and large accelerated filer" in Rule 12b-2of the Exchange Act. (Check one):

|                             |  |                    |  |                                                                     |  |                               
|---------------------------- |  | ------------------ |  | ------------------------------------------------------------------- |  | ------------------------------
|Large accelerated
    filero |  | Accelerated filero |  | Non-accelerated filero(Do not check if a smaller reporting company) |  | Smaller reporting
    companyý



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

State
the aggregate market value of the voting and non-voting common equity held by non-affiliates computed by reference to the price
at which the common equity was last sold, or the average bid and asked price of such common equity, as of the last business day
of the registrant’s most recently completed second fiscal quarter. Solely for purposes of the foregoing calculation, all
of the registrant’s directors and officers are deemed to be affiliates.This determination of affiliate status for
this purpose does not reflect a determination that any persons are affiliates for any other purposes. $1,024,237



State
the number of shares outstanding of each of the issuer’s classes of equity securities, as of the latest practicable date:
At May 17, 2011, there were 37,857,533shares of Common Stock, $0.001 par value per share issued and outstanding



Documents Incorporated
By Reference

None





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Table of Contents









TABLE OF
CONTENTS



|PART  I                                                                                                                   | Page                                                                                                | 
|------------------------------------------------------------------------------------------------------------------------- | --------------------------------------------------------------------------------------------------- | 
|ITEM 1:                                                                                                                   | BUSINESS                                                                                            | 
|ITEM 1A                                                                                                                   | RISK FACTORS                                                                                        | 
|ITEM 2:                                                                                                                   | PROPERTIES                                                                                          | 
|ITEM 3:                                                                                                                   | LEGAL PROCEEDINGS                                                                                   | 
|ITEM 4:                                                                                                                   | REMOVED AND RESERVED                                                                                | 
|                                                                                                                          |                                                                                                     | 
|PART  II                                                                                                                  |                                                                                                     | 
|ITEM 5:                                                                                                                   | MARKET FOR COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER
    PURCHASES OF EQUITY SECURITIES | 
|ITEM 6:                                                                                                                   | SELECTED FINANCIAL DATA                                                                             | 
|ITEM 7:                                                                                                                   | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
    AND RESULTS OF OPERATIONS           | 
|ITEM 7A:                                                                                                                  | QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK                                          | 
|ITEM 8:                                                                                                                   | FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA                                                         | 
|ITEM 9:                                                                                                                   | CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND
    FINANCIAL DISCLOSURE            | 
|ITEM 9A:                                                                                                                  | CONTROLS AND PROCEDURES                                                                             | 
|ITEM 9B:                                                                                                                  | OTHER INFORMATION                                                                                   | 
|                                                                                                                          |                                                                                                     | 
|PART  III                                                                                                                 |                                                                                                     | 
|ITEM 10:                                                                                                                  | DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE                                              | 
|ITEM 11:                                                                                                                  | EXECUTIVE COMPENSATION                                                                              | 
|ITEM 12:                                                                                                                  | SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT
    AND RELATED STOCKHOLDER MATTERS  | 
|ITEM 13:                                                                                                                  | CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR
    INDEPENDENCE                       | 
|ITEM 14:                                                                                                                  | PRINCIPAL ACCOUNTANT FEES AND SERVICES                                                              | 
|                                                                                                                          |                                                                                                     | 
|PART  IV                                                                                                                  |                                                                                                     | 
|ITEM 15:                                                                                                                  | EXHIBITS, FINANCIAL STATEMENT SCHEDULES                                                             | 
|                                                                                                                          |                                                                                                     | 
|SIGNATURES                                                                                                                |                                                                                                     | 
|                                                                                                                          |                                                                                                     | 
|CERTIFICATION PURSUANT TO SECTION 302 (a) OF THE SARBANES-OXLEY
    ACT OF 2002                                           |                                                                                                     | 
|                                                                                                                          |                                                                                                     | 
|CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350 AS ADOPTED PURSUANT TO SECTION
    906 OF THE SARBANES-OXLEY ACT OF 2002 |                                                                                                     | 







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Table of Contents


Special Note Regarding
Forward-Looking Statements



Some of our
statements under "Business," "Properties," "Legal Proceedings," "Management's Discussion and
Analysis of Financial Condition and Results of Operations,"" the Notes to Financial Statements and elsewhere in this
report constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section
21E of the Securities Exchange Act of 1934. These statements are subject to certain events, risks and uncertainties that may be
outside our control. Some of these forward-looking statements include statements of:



·management's plans, objectives and budgets for its future operations and future economic performance;

·capital budget and future capital requirements;

·meeting future capital needs;

·realization of any deferred tax assets;

·the level of future expenditures;

·impact of recent accounting pronouncements;

·the outcome of regulatory and litigation matters;

·the assumptions described in this report underlying such forward-looking statements; and

·Actual results and developments may materially differ from those expressed in or implied by such statements due to a number
of factors, including:

othose described in the context of such forward-looking statements;

ofuture product development and manufacturing costs;

ochanges in our incentive plans;

otimely development and acceptance of new products;

othe markets of our domestic and international operations;

othe impact of competitive products and pricing;

othe political, social and economic climate in which we conduct operations; and

othe risk factors described in other documents and reports filed with the Securities and Exchange Commission.



In some cases,
forward-looking statements are identified by terminology such as "may," "will," "should," "could,"
"would," "expects," "plans," "intends," "anticipates," "believes,"
"estimates," "approximates," "predicts," "potential" or "continue" or the negative
of such terms and other comparable terminology.



Although we
believe that the expectations reflected in these forward-looking statements are reasonable, it cannot guarantee future results,
levels of activity, performance or achievements. Moreover, neither we nor anyone else assumes responsibility for the accuracy
and completeness of such statements and is under no duty to update any of the forward-looking statements after the date of this
report.



Unless otherwise
noted, references in this Form 10-K to “Revolutionary Concepts”, “RCI”, “we”, “us”,
“our”, and the “Company” means Revolutionary Concepts, Inc., a Nevada corporation.





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Table of Contents


PART
I



Item 1.    Business

The
Company is a development stage company with no history of revenue. The Company was incorporated as a Nevada corporation on February
28, 2005 to reincorporate and re-domesticate two existing North Carolina entities; Revolutionary Concepts, Inc. and DVMS, LLC.
The Company intends to develop and market smart camera technologies that enable remote monitoring.



The
Company’s efforts to date have been devoted to establishing a remote video monitoring system that permits interactive two-way
communications called the EyeTalk Communicator (“EyeTalk”). The Company engaged Photonic Discovery/UNC-Charlotte Optoelectronics
and Optical Communication in 2009 to assist in identifying the best development partner for the EyeTalk Technology. Imaging Solutions
Group of Rochester NY was the company recommended and as a result, RCI established a relationship with Imaging Solutions Group,
a leading manufacturer of smart camera technology. Since the implementation of the EyeTalk technology is dependent on various
other emerging technologies (smart phone, 3G/4G broadband) the research and development has coincided with the pace of these technologies.
The system by design will provide for continuous software development and updates. Software as a Service (SAAS) is the next generation
of virtual service delivery.



The
Company has funded development through three private offerings in 2005, 2007 and 2009. The Company also borrowed $307,500 from
four non-related parties at 4% interest to fund ongoing operations, and new patent applications. These promissory notes began
to become due in October 2008 and were repaid in November 2008 by issuing 630,811 shares of restricted commons stock from authorized
shares. In 2010, the Company partnered with US Financial and Rainco Industries to assist in Investor Relations activities and
to identify additional funding sources. As a result of this partnership, the Company has resolved additional debt obligations,
is now trading on both the US and Frankfurt stock exchanges and is also now listed with Standards and Poors.



In
July and August 2009, the Company issued two notes payable in the total amount of $20,000. The two notes were later combined at
the note holder’s request into one note.  The note bears interest at a rate of 10%.   Principal
and interest were due in May 2010. In 2009, the board of directors agreed to guarantee a personal loan to the President of the
Company, Mr. Ron Carter of $75,000 with interest of 10%, by a shareholder.  The note became due in November 2010.





Introduction to the EyeTalk Communicator



The
Company has designed and patented a communications and monitoring system which it expects to give users the ability to remotely
and interactively monitor and communicate with, and have control of a smart camera offering multiple applications for use.



The
EyeTalk is primarily a smart camera technology supported by a software platform with a hardware component of an external unit
deployed at a chosen location. The system communicates to the user and also retrieves and stores information captured by the system
camera. Access to the information may be achieved via a Personal Data Assistant (PDA), Handheld Computer (HC), Cellular phone,
or other compatible device. The EyeTalk software platform will be able to interface with many new smart devices available in the
market place today.



As
an entry management solution, the EyeTalk system allows seamless communication to a residence allowing the owner to interact remotely
with visitors to the home or building via any common personal communication device with the benefit of audio, video and data archive
ability. The system utilizes smart technology to synergistically improve communication, security, convenience, messaging, and
manage deliveries and guest. As a by-product, the system also supports the need for verification of emergency situations that
now cripple many municipalities across the nation burdened with the incidence of false alarms. The EyeTalk system provides a means
of owner verification prior to the triggering of an alarm if desired.



The
Company expects the EyeTalk technology to provide benefits in the property management space and also has use as an application
in the medical monitoring space with the benefits of fall prevention and detection.



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Preemption,
Prevention and Protection –

The
EyeTalk technology may augment the capabilities of current residential and commercial security monitoring systems through audio,
video and data communication which are interactive and which can be used on a remote basis. Additionally, the value of video as
evidence in legal proceedings will help support crime reduction.



As
a medical application, the EyeTalk technology provides remote monitoring of patients and family members. The system incorporates
fall prevention technology and offers a remote fall detection technology. The EyeTalk technology allows remote monitoring via
handheld smart devices.



The
technology is also very versatile and offers a wide range of uses and solutions ranging from verifying deliveries, confirming
the safe arrival of school age kids and daily safe entry management.





Convenience
and Efficiency – The EyeTalk technology may add convenience to home and business owners, providing remote access, screening
of visitors and acceptance and monitoring of packages. As a medical monitoring solution, the systems remote video and 2 way audio
connection establishes a virtual connection for instant and immediate interaction.



The
EyeTalk has four distinct physical parts:



- an internal unit(s) (the ‘Indoor
Mobile Monitor’)
- an external unit(s) (the ‘Welcome
System’)
- a Central Application Server which may
be a home personal computer (“PC”)
- a remote access device, typically a
standard smart phone or compatible device



The
system is expandable to include multiple peripheral devices. The main components of the system (the Indoor Mobile Monitor, the
Welcome System and the Central Application Server) communicate with each other by way of RF communications using 802.11n or higher
wireless LAN.



The
Company management believes that the EyeTalk technology significantly differs from existing systems. The EyeTalk allows two way
communications via a wireless network camera that communicates with a variety of other remote communication devices such as cell
phones, PDAs, smart phones, computers, security and video monitoring devices. The smart camera technology enables the EyeTalk
system to greet visitors when triggered, provide instructions or commands, offer directives to delivery personnel, provide an
immediate connection between patients and nurses or medical staff as well as provide a wide range of security applications.



Further,
the EyeTalk technology allows owners to more accurately recognize and address true threats. The Company believes this will relieve
the large number of false alarm security calls and unneeded emergency personnel visits. Unlike many competitors the EyeTalk system
is not dependent on the internet although it can use the internet as a platform.



The
EyeTalk systems are triggered and activated by an array of inputs such as motion, biometric sensors, metal detection underground
fiber optic sensors, etc. When the system is activated by a trigger, it is programmed to provide standard greetings, directives,
commands, etc.. The EyeTalk can then notify designated personnel of the triggering event, sending images of the current situation
and permitting audible responses.



The
Company management expects to compete by emphasizing the unique aspects of the EyeTalk technology in marketing directly to distributors
and end users. The Company also intends to compete by direct contact with larger end users such as hospitals, banks, and government
agencies concerned with homeland security.



As
with many development stage companies, the Company is currently considered to be in unsound financial condition. Our Auditor has
expressed substantial doubt about our ability to continue as a going concern. Persons should not invest unless they can afford
to lose their entire investments. The Company sustained net losses of $(529,798) and $(912,479), for the years ended December
31, 2009 and 2010 respectively. The Company has accumulated a deficit of $2,809,229, since inception in March, 2004. Further,
it may incur significant losses through 2011 and beyond, as it further develops and attempts to commercialize the remote network
camera video system.



As of December
31, 2010, the Company had 37,857,533 shares of its common stock outstanding.



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Corporate Information and History



The
company was founded in 2004 as Revolutionary Concepts, Inc., a North Carolina corporation and its subsidiary, D.V. M. S., LLC
for the purpose of developing a network camera video device. The Company reincorporated in Nevada in February 2005 as Revolutionary
Concepts, Inc. to re-domicile the North Carolina corporation to a Nevada corporation by the same name.



Our
principal executive offices are located at 6000 Fairview Rd, Suite 1425, Charlotte, NC 28210. The Company’s telephone number
is 980-225-5376. The President of the Company is Ronald Carter. The company maintains a corporate website at www.revolutionaryconceptsinc.com.
 The contents of our website are not part of this annual report and should not be relied upon with respect to the annual report.



To
date, our efforts have been largely devoted to developing the Company’s corporate structure, supporting investor relations
and seeking patent protection around verticals of the core system. The Company is currently focused on the development stage now
that the supporting technologies for the EyeTalk system have emerged. The Company management hopes, but cannot guarantee, to release
its remote network camera video system into the general marketplace in late 2011. The wireless infrastructure, the bandwidth necessary
for seamless video transmission, the emerging number of smart devices to fully support the EyeTalk technology are essentially
in place.



In
2011, the Company management is also seeking to acquire a company in the security space to assist in the effective roll out of
the smart camera technology.



Item 1A.    RISK
FACTORS

THE COMPANY
CANNOT ASSURE THAT IT WILL EVER GENERATE SIGNIFICANT REVENUES, DEVELOP OPERATIONS, OR MAKE A PROFIT. ITS INDEPENDENT AUDITORS
HAVE NOTED THAT THERE IS SUBSTANTIAL DOUBT ABOUT THE ABILITY TO CONTINUE AS A GOING CONCERN.



The Company’s
independent auditors have noted that there is substantial doubt that it can continue as a going concern. As reflected in our financial
statements the Company has had cumulative operating losses. The Company currently has a negative net worth, extremely limited
cash and suffered net losses $(529,798) at December 31, 2009 and $(912,479) at December 31, 2010. We had accumulated deficits
to our stockholder’s equity of $(1,901,567) and $(2,814,046) for the years ended 2009 and 2010 respectively. Management
expects the losses to continue, thereby requiring addition capital, some of which may be generated from this offering. There can
be no assurance that our plans will be successful. Our financial statements do not include any adjustments relating to the recoverability
and classification of recorded assets, or the amounts and classification of liabilities that might be necessary in the event the
Company cannot continue in existence.



OUR OFFICERS HAVE RECEIVED LOANS
THAT MAY HAVE TO BE EXPENSED AND WHICH MAY CREATE CERTAIN TAX OBLIGATIONS.



From our date
of incorporation, February 2005, through the date of this filing, the officers of the Company have not taken salaries but have
taken advances from the Company, some of which have been repaid. The Company has booked these loans to shareholders as unpaid
capital contributions on the balance sheet. As of December 31, 2009, the Company had loans to shareholders of approximately $157,585
to its officers and directors. As of December 31, 2010, the outstanding loans to the officers and directors were $109,952. The
loans carry an interest rate of 5% and have been recorded as “Unpaid Capital Contributions”. If for any reason some
of these loans default they will be written off as compensation expense in the income statement and the company has already accrued
estimated payroll taxes due at $7, 470 as of December 31, 2010 for the principal amount of the unpaid capital contributions.



The
company is a development stage company with no operating history for you to evaluate and it has not proven an ability to generate
profits.



The Company
is a developmental stage company. Although it has developed a working prototype and has identified potential markets, it is still
in the research and development stage and expects, but cannot guarantee, to enter the commercialization phase in late 2011. The
Company has no meaningful revenues so it will be difficult for you to evaluate an investment in the Company’s securities.
From inception to date, the Company has had no revenues. The Company may never be able to become profitable.

An investor
should also consider the uncertainties and difficulties frequently encountered by companies such as ours, in their early stages
of development. Our revenue and income potential is unproven and our business model is still emerging. If our business model does
not prove to be profitable, investors may lose all of their investment.



The
company has had no revenues and anticipateS losses for the foreseeable future.



Since inception
the Company has had no revenues. The Company has not achieved profitability and expects to continue to incur net losses throughout
fiscal 2011 and possibly subsequent fiscal periods. The Company expects to incur significant operating expenses and, as a result,
will need to generate significant revenues to achieve profitability, which may not occur. Even if it does achieve profitability,
it may be unable to sustain or increase profitability on an ongoing basis.



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If
the company fails to implement its Commercialization strategy, the business, financial condition and results of operations could
be materially and adversely affected.

The
Company’s future financial performance and success are dependent in large part upon its ability to implement the commercialization
strategy successfully. It has engaged third party consultants to identify potential clients for the Company’s technology,
although the Company has no means to determine whether this strategy will be successful. The Company may not be able to successfully
implement its commercialization strategy with or without the involvement of these third parties. If it is unable to do so, the
long-term growth and profitability may be adversely affected. Even if it is able to successfully implement some or all of the
initiatives of the business plan, operating results may not improve to the extent it expects, or at all.



Implementation
of our commercialization strategy could also be affected by a number of factors beyond our control, such as increased competition,
legal developments, general economic conditions, increased operating costs or expenses. In addition, to the extent, the Company
has misjudged the nature and extent of industry trends or its competition; it may have difficulty achieving the strategic objectives.
The Company may also decide to alter or discontinue certain aspects of its business strategy at any time. Any failure to successfully
implement the business strategy may adversely affect the business, financial condition and results of operations and thus the
ability to service its indebtedness, including its ability to make principal and interest payments on indebtedness.



The
Company depends on its patent and proprietary rights to develop and protect technologies and products, which rights may not offer
sufficient protection from infringement by third parties.



The Company
has been issued a patent by the U.S. Patent Office for its patented network camera video technology. Management believes that
this is a valid patent. However, there can be no assurances that the patent and the network camera video technology will be enforceable
or generate revenues for the Company.



The Company’s
inability to protect its intellectual property through sufficient patent protection will adversely affect that Company’s
ability to survive and other companies may be able to develop substantially similar technologies in competition with the Company.
If those other companies enter the marketplace with their own similar products, the value of the Company’s patent will be
substantially diminished.



The Company’s
success will depend on its ability to obtain and enforce protection under United States and foreign patent laws and other intellectual
property laws for the technology that the Company intends to market and license, to develop and preserve the confidentiality of
trade secrets and to operate without infringing the proprietary rights of third parties.



The Company
cannot assure you that our technology will not be breached, that it will have adequate remedies for any breach, or that its trade
secrets and proprietary know-how will not otherwise become known or be independently discovered by others. Consequently, such
breach could have a negative effect on its financial performance and results of operations.



Litigation
to enforce its patent against unauthorized users will be expensive and time consuming, and their outcome is uncertain. Any delay
or other factor which negatively affects the Company’s ability to fund operations and develop revenues.



Litigation to
enforce the Company’s patented technology against unauthorized users can be a lengthy, time-consuming and expensive process
and there can be no assurance of the results of such litigation. The Company has engaged patent counsel to consider enforcement
actions against those using the technology but who do not have a licensing agreement for it. In addition, if the company fails
to provide adequate proprietary protection, our names, brand name reputation, revenues and potential profitability may be negatively
affected.

The
company expects to have its product manufactured by third parties over which it has no control and it currently does not have
any agreements for the manufacture of the product. the company is subject to fluctuations in the cost and availability of raw
materials and the possible loss of suppliers.



While the Company
has had discussions with third party suppliers regarding the manufacture of its product, it currently has no arrangements. The
Company expects to depend on third party manufacturers over which it will have no control. The Company is dependent upon the pricing
by these companies and the availability and pricing of raw materials to produce its products. The availability of suppliers and
the price and availability of the raw materials will be affected by numerous factors beyond its control. The Company does not
have the resources, facilities or experience to manufacture the EyeTalk product or any of its component parts. Such contract manufacturers
may be the sole source of production and may have limited experience at manufacturing, a product similar to the company’s.



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The
company MAY have insufficient liquidity to CONTINUE.



The Company
did not receive any proceeds from the sale of common stock from an S-1 offering; however, the Company will receive the exercise
price for each warrant exercised. If none of the warrants are exercised, the Company will need additional sources of capital or
it may not be able to continue operations. The Company is devoting substantially all of its present efforts to establishing
a new business and will need additional capital to continue implementing the business plan. The Company has generated no revenue.
If it cannot raise additional capital from the exercise of its warrants, it will have to seek other sources of financing or it
may be forced to curtail or terminate business plans. There is no assurance that additional sources of financing will be available
at all or at a reasonable cost.



The Company
has estimated the costs of completion of the commercialization at $2,500,000, which represents the development of the medical
application. The residential application costs have not been determined. We believe that the at least part of the medical development
will be able to be applied to the residential application. Since there is no assurance that any of the warrants will be exercised
the Company will have to initiate discussions regarding loans through commercial banks or from other funding sources. It expects
to continue these discussions in the hopes of arranging financing to provide sufficient liquidity. There is no assurance that
any of these discussions will prove successful



sales,
marketing and distribution capabilities have not been fully implemented. If the company fails to effectively sell, market and
distribute the EYETALK product, the business and results of operations will suffer.



The Company
does not currently have a sales staff, marketing plan or other distribution facilities. It has engaged third parties to assist
in identifying potential users of the EyeTalk technology. If it is unable to create sales, marketing and distribution capabilities
or enter into licensing and similar agreements with third parties to perform these functions, it may not be able to successfully
commercialize the EyeTalk product, In order to successfully commercialize any of its product candidates, it must either internally
develop sales, marketing and distribution capabilities or make arrangements with third parties to perform these services.



the
company may have exposure to legal claim that could cause significant losses.



The EyeTalk
product will likely be relied upon to provide methods of security from personal harm or property loss. To the extent that the
EyeTalk product malfunctions or experiences down times, losses could occur which would give rise to legal claims against the company.
There is no accurate method to predict the extent of exposure to these potential claims. It may therefore be susceptible to lawsuits
that could cause it to incur substantial liabilities and/or limit commercialization of its EyeTalk product. Product liability
insurance for the technology industry is generally expensive, if available at all. The Company does not currently have any product
liability insurance. If it is unable to obtain sufficient insurance coverage on reasonable terms or to otherwise protect against
potential product liability claims, it may be unable to commercialize the product candidates. A successful product liability claim
brought against the company in excess of its insurance coverage, if any, may cause it to incur substantial liabilities and, as
a result, the business may fail.



Competition
in the electronic security world is fierce and the company may not be able to compete and survive.



The electronic
security industry is very competitive. It is constantly changing and the Company expects competition to intensify in the future.
Increased competition will result in reduced profit margins on products. The Company believes that its ability to compete successfully
depends on a number of factors, including establishing brand awareness and market presence on a rapid basis; the quality of its
marketing services; ease of use; and industry and general economic trends. The failure of any number of these factors could cause
additional losses.



the
principal stockholders control the business affairs in which case you will have little or no participation in the business affairs.



Currently, our
principal stockholders own 46.05% of our common stock. As a result, they will have control over all matters requiring approval
by its stockholders without the approval of minority stockholders. In addition, they will be able to elect all of the members
of the Board of Directors, which will allow them to control the affairs and management. They will also be able to affect most
corporate matters requiring stockholder approval by written consent, without the need for a duly noticed and duly-held meeting
of stockholders. As a result, they will have significant influence and control over all matters requiring approval by the stockholders.
Accordingly, you will be limited in your ability to affect change in how the Company conducts business.



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the
company may incur significant costs to ensure compliance with corporate governance and accounting requirements.



The Company
expects to incur significant costs associated with its public company reporting requirements, costs associated with applicable
corporate governance requirements, including requirements under the Sarbanes-Oxley Act of 2002 and other rules implemented by
the SEC. It expects all of these applicable rules and regulations to increase the legal and financial compliance costs and to
make some activities more time-consuming and costly. While it has no experience as a public company, it estimates that these additional
costs will total approximately $50,000 per year. The Company also expects that these applicable rules and regulations may make
it more difficult and more expensive for it to obtain director and officer liability insurance and it may be required to accept
reduced policy limits and coverage or incur substantially higher costs to obtain the same or similar coverage. As a result, it
may be more difficult for to attract and retain qualified individuals to serve on the board of directors or as executive officers.
It is currently evaluating and monitoring developments with respect to these newly applicable rules, and cannot predict or estimate
the amount of additional costs that may be incurred or the timing of such costs.



the
company HAs NOT YET ESTABLISED AN INDEPENDENT AUDIT COMMITTEE OR COMPENSATION COMMITTEE.



The Company
has not yet appointed an audit committee or compensation committee as required by Sarbanes-Oxley. The Company is working to appoint
these committee members by the end of the current year.



Risks
Relating to the company’s SECURITIES



the
company has never paid dividends on its common stock and you may never receive dividends. There is a risk that an investor in
the company will never see a return on investment and the stock may become worthless.



The Company
has never paid dividends on its common stock. It intends to retain earnings, if any, to finance the development and expansion
of the business. Future dividend policy will be at the discretion of the Board of Directors and will be contingent upon future
earnings, if any, the financial condition, capital requirements, general business conditions and other factors. Future dividends
may also be affected by covenants contained in loan or other financing documents, which may be executed by the Company in the
future. Therefore, there can be no assurance that cash dividends of any kind will ever be paid. If you are counting on a return
on your investment in the common stock, the shares are a risky investment.



BECAUSE WE
ARE QUOTED ON THE OTCQB INSTEAD OF AN EXCHANGE OR NATIONAL QUOTATION SYSTEM, OUR INVESTORS MAY HAVE A TOUGHER TIME SELLING THEIR
STOCK OR EXPERIENCE NEGATIVE VOLATILITY ON THE MARKET PRICE OF OUR STOCK.



Our common stock
is traded on the OTCQB. The OTCQB is often highly illiquid. There is a greater chance of volatility for securities that trade
on the OTCQB as compared to a national exchange or quotation system. This volatility may be caused by a variety of factors, including
the lack of readily available price quotations, the absence of consistent administrative supervision of bid and ask quotations,
lower trading volume, and market conditions. Investors in our common stock may experience high fluctuations in the market price
and volume of the trading market for our securities. These fluctuations, when they occur, have a negative effect on the market
price for our securities. Accordingly, our stockholders may not be able to realize a fair price from their shares when they determine
to sell them or may have to hold them for a substantial period of time until the market for our common stock improves.



there
is a potential market overhang that could depress the value of the company’s common stock and Future sales of its common
stock could put a downward pressure on the price of your shares and adversely affect the price of your shares.



Because the
principal stockholders own approximately 46.05% of our Common Stock regardless of the number of warrants exercised they may dispose
of a substantial percentage of their stock subject to Rule 144 trading volume limitations. If substantial amounts of any of these
shares are sold there may be downward price pressures on the Common Stock price, causing the market price of the Common Stock
to decrease in value. In addition, this selling activity could:



§Decrease the level of public interest in its common stock;

§Inhibit buying activity that might otherwise help support the market price of its common stock; and

§Prevent possible upward price movements in its common stock.



An arbitrary
determination of the offering price increases the risk that purchasers of the shares in the offering will pay more than the value
the public market ultimately assigns to its common stock and more than an independent appraisal value of the Company.



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Because
the company’s shares are deemed high risk “penny stocks,” you may have difficulty selling them in the secondary
trading market.



The Commission
has adopted regulations which generally define a "penny stock" to be any equity security that has a market price (as
therein defined) less than $5.00 per share or with an exercise price of less than $5.00 per share, subject to certain exceptions.
Additionally, if the equity security is not registered or authorized on a national securities exchange, the equity security also
constitutes a "penny stock." As the Company’s common stock falls within the definition of penny stock, these regulations
require the delivery, prior to any transaction involving its common stock, of a risk disclosure schedule explaining the penny
stock market and the risks associated with it. These regulations generally require broker-dealers who sell penny stocks to persons
other than established customers and accredited investors to deliver a disclosure schedule explaining the penny stock market and
the risks associated with that market. Disclosure is also required to be made about compensation payable to both the broker-dealer
and the registered representative and current quotations for the securities. These regulations also impose various sales practice
requirements on broker-dealers. In addition, monthly statements are required to be sent disclosing recent price information for
the penny stocks. The ability of broker/dealers to sell the Company’s common stock and the ability of shareholders to sell
its common stock in the secondary market is limited. As a result, the market liquidity for its common stock is severely and adversely
affected. The Company can provide no assurance that trading in its common stock will not be subject to these or other regulations
in the future, which would negatively affect the market for its common stock.



FAILURE TO
ACHIEVE AND MAINTAIN EFFECTIVE INTERNAL CONTROLS IN ACCORDANCE WITH SECTION 404 OF THE SARBANES-OXLEY ACT COULD HAVE A MATERIAL
ADVERSE EFFECT ON OUR BUSINESS AND OPERATING RESULTS.



It may be time
consuming, difficult and costly for us to develop and implement the additional internal controls, processes and reporting procedures
required by the Sarbanes-Oxley Act. We may need to hire additional financial reporting, internal auditing and other finance staff
in order to develop and implement appropriate additional internal controls, processes and reporting procedures. If we are unable
to comply with these requirements of the Sarbanes-Oxley Act, we may not be able to obtain the independent accountant certifications
that the Sarbanes-Oxley Act requires of publicly traded companies.



If we fail to
comply in a timely manner with the requirements of Section 404 of the Sarbanes-Oxley Act regarding internal control over
financial reporting or to remedy any material weaknesses in our internal controls that we may identify, such failure could result
in material misstatements in our financial statements, cause investors to lose confidence in our reported financial information
and have a negative effect on the trading price of our common stock.

Pursuant to
Section 404 of the Sarbanes-Oxley Act and current SEC regulations, , we are required to prepare assessments regarding internal
controls over financial reporting and, furnish a report by our management on our internal control over financial reporting. We
have begun the process of documenting and testing our internal control procedures in order to satisfy these requirements, which
is likely to result in increased general and administrative expenses and may shift management time and attention from revenue-generating
activities to compliance activities. While our management is expending significant resources in an effort to complete this important
project, there can be no assurance that we will be able to achieve our objective on a timely basis. Failure to achieve and maintain
an effective internal control environment or complete our Section 404 certifications could have a material adverse effect
on our stock price.



In addition,
in connection with our on-going assessment of the effectiveness of our internal control over financial reporting, we may discover
“material weaknesses” in our internal controls as defined in standards established by the Public Company Accounting
Oversight Board, or the PCAOB. A material weakness is a significant deficiency, or combination of significant deficiencies, that
results in more than a remote likelihood that a material misstatement of the annual or interim financial statements will not be
prevented or detected. The PCAOB defines “significant deficiency” as a deficiency that results in more than a
remote likelihood that a misstatement of the financial statements that is more than inconsequential will not be prevented
or detected.



In the event
that a material weakness is identified, we will employ qualified personnel and adopt and implement policies and procedures to
address any material weaknesses that we identify. However, the process of designing and implementing effective internal controls
is a continuous effort that requires us to anticipate and react to changes in our business and the economic and regulatory environments
and to expend significant resources to maintain a system of internal controls that is adequate to satisfy our reporting obligations
as a public company. We cannot assure you that the measures we will take will remediate any material weaknesses that we may identify
or that we will implement and maintain adequate controls over our financial process and reporting in the future.

Any failure
to complete our assessment of our internal control over financial reporting, to remediate any material weaknesses that we may
identify or to implement new or improved controls, or difficulties encountered in their implementation, could harm our operating
results, cause us to fail to meet our reporting obligations or result in material misstatements in our financial statements. Any
such failure could also adversely affect the results of the periodic management evaluations of our internal controls and, in the
case of a failure to remediate any material weaknesses that we may identify, would adversely affect the annual auditor attestation
reports regarding the effectiveness of our internal control over financial reporting that are required under Section 404
of the Sarbanes-Oxley Act. Inadequate internal controls could also cause investors to lose confidence in our reported financial
information, which could have a negative effect on the trading price of our common stock.



WE DO NOT INTEND TO PAY DIVIDENDS



We do not anticipate
paying cash dividends on our common stock in the foreseeable future. We may not have sufficient funds to legally pay dividends.
Even if funds are legally available to pay dividends, we may nevertheless decide in our sole discretion not to pay dividends.
The declaration, payment and amount of any future dividends will be made at the discretion of the board of directors, and will
depend upon, among other things, the results of our operations, cash flows and financial condition, operating and capital requirements,
and other factors our board of directors may consider relevant. There is no assurance that we will pay any dividends in the future,
and, if dividends are rapid, there is no assurance with respect to the amount of any such dividend.



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OPERATING
HISTORY AND LACK OF PROFITS COULD LEAD TO WIDE FLUCTUATIONS IN OUR SHARE PRICE. THE PRICE AT WHICH YOU PURCHASE OUR COMMON SHARES
MAY NOT BE INDICATIVE OF THE PRICE THAT WILL PREVAIL IN THE TRADING MARKET. YOU MAY BE UNABLE TO SELL YOUR COMMON SHARES AT OR
ABOVE YOUR PURCHASE PRICE, WHICH MAY RESULT IN SUBSTANTIAL LOSSES TO YOU. THE MARKET PRICE FOR OUR COMMON SHARES IS PARTICULARLY
VOLATILE GIVEN OUR STATUS AS A RELATIVELY UNKNOWN COMPANY WITH A SMALL AND THINLY TRADED PUBLIC FLOAT.



The market for
our common shares is characterized by significant price volatility when compared to seasoned issuers, and we expect that our share
price will continue to be more volatile than a seasoned issuer for the indefinite future. The volatility in our share price is
attributable to a number of factors. First, as noted above, our common shares are sporadically and thinly traded. As a consequence
of this lack of liquidity, the trading of relatively small quantities of shares by our shareholders may disproportionately influence
the price of those shares in either direction. The price for our shares could, for example, decline precipitously in the event
that a large number of our common shares are sold on the market without commensurate demand, as compared to a seasoned issuer
which could better absorb those sales without adverse impact on its share price. Secondly, we are a speculative or “risky”
investment due to our limited operating history and lack of profits to date, and uncertainty of future market acceptance for our
potential products. As a consequence of this enhanced risk, more risk-adverse investors may, under the fear of losing all or most
of their investment in the event of negative news or lack of progress, be more inclined to sell their shares on the market more
quickly and at greater discounts than would be the case with the stock of a seasoned issuer. Many of these factors are beyond
our control and may decrease the market price of our common shares, regardless of our operating performance. We cannot make any
predictions or projections as to what the prevailing market price for our common shares will be at any time, including as to whether
our common shares will sustain their current market prices, or as to what effect that the sale of shares or the availability of
common shares for sale at any time will have on the prevailing market price.



Shareholders
should be aware that, according to SEC Release No. 34-29093, the market for penny stocks has suffered in recent years from
patterns of fraud and abuse. Such patterns include (1) control of the market for the security by one or a few broker-dealers
that are often related to the promoter or issuer; (2) manipulation of prices through prearranged matching of purchases and
sales and false and misleading press releases; (3) boiler room practices involving high-pressure sales tactics and unrealistic
price projections by inexperienced sales persons; (4) excessive and undisclosed bid-ask differential and markups by selling
broker-dealers; and (5) the wholesale dumping of the same securities by promoters and broker-dealers after prices have been
manipulated to a desired level, along with the resulting inevitable collapse of those prices and with consequent investor losses.
Our management is aware of the abuses that have occurred historically in the penny stock market. Although we do not expect to
be in a position to dictate the behavior of the market or of broker-dealers who participate in the market, management will strive
within the confines of practical limitations to prevent the described patterns from being established with respect to our securities.
The occurrence of these patterns or practices could increase the volatility of our share price.



VOLATILITY
IN OUR COMMON SHARE PRICE MAY SUBJECT US TO SECURITIES LITIGATION, THEREBY DIVERTING OUR RESOURCES THAT MAY HAVE A MATERIAL EFFECT
ON OUR PROFITABILITY AND RESULTS OF OPERATIONS.

As discussed
in the preceding risk factors, the market for our common shares is characterized by significant price volatility when compared
to seasoned issuers, and we expect that our share price will continue to be more volatile than a seasoned issuer for the indefinite
future. In the past, plaintiffs have often initiated securities class action litigation against a company following periods of
volatility in the market price of its securities. We may in the future be the target of similar litigation. Securities litigation
could result in substantial costs and liabilities and could divert management’s attention and resources.

COMPLIANCE WITH CHANGING
REGULATION OF CORPORATE GOVERNANCE AND PUBLIC DISCLOSURE WILL RESULT IN ADDITIONAL EXPENSES AND POSE CHALLENGES FOR OUR MANAGEMENT
TEAM.

Changing
laws, regulations and standards relating to corporate governance and public disclosure, including the Dodd-Frank Wall Street Reform
and Consumer Protection Act and the rules and regulations promulgated thereunder, the Sarbanes-Oxley Act and SEC regulations,
have created uncertainty for public companies and significantly increased the costs and risks associated with accessing the U.S.
public markets. Our management team will need to devote significant time and financial resources to comply with both existing
and evolving standards for public companies, which will lead to increased general and administrative expenses and a diversion
of management time and attention from revenue generating activities to compliance activities.



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SHOULD ONE
OR MORE OF THE FOREGOING RISKS OR UNCERTAINTIES MATERIALIZE, OR SHOULD THE UNDERLYING ASSUMPTIONS PROVE INCORRECT, ACTUAL RESULTS
MAY DIFFER SIGNIFICANTLY FROM THOSE ANTICIPATED, BELIEVED, ESTIMATED, EXPECTED, INTENDED OR PLANNED.

Item 1B.    UNRESOLVED
STAFF COMMENTS

This Item is not applicable to us as we are not an accelerated filer, a large accelerated filer, or a well-seasoned issuer

Item 2.    PROPERTIES

The
Company does not currently have a fixed office space. The Company’s president has allowed the Company to utilize his home
office for Company business at no charge, until we begin generating revenues. Additionally, Directors Claude McDougal and Solomon
Ali are allowing the Company to use its mailing address and conference room at no cost to the Company. The address is 6000 Fairview
Rd. Suite 1425, Charlotte, NC 28210.

Item 3.    LEGAL
PROCEEDINGS

RCI was involved
in two lawsuits, one in state court regarding legal malpractice, and one in federal court, to refute the false claims of a purported
inventor, Emmanuel Ozoeneh. RCI sued its former law firm for legal malpractice regarding the handling of RCI’s foreign patent
rights. The Defendants moved to have the suit dismissed, claiming that the state court did not have jurisdiction to hear the case.
The Court ruled in favor of RCI, and the Defendants are now appealing the ruling.



RCI also sued
Emmanuel Ozoeneh in federal court. Ozoeneh was a former business partner in a prior business venture with CEO Ron Carter. Ozoeneh
began making false claims that he was the inventor of the EyeTalk system. RCI filed suit in federal court to have Carter declared
the sole inventor. This case has been resolved to the satisfaction of RCI. The terms of the agreement are confidential, but the
result was that Ronald Carter and RCI were declared as the sole inventor and retains all rights to the patent(s) for the EyeTalk
system.



On
October 5, 2010, the Company received notice that a claim for judgment had been filed in Mecklenburg County by a shareholder for
a note that was in default as of June 1, 2010, in the amount of $20,559, plus 10% interest. On January 7, 2011, the note holder
amended the filing to include a personal loan to our president that was in default as of December 1, 2010 in the amount of $80,437,
plus 10% interest, which the Company guaranteed.  The total amount of the claim is $100,996, plus interest accumulated
through the original due dates, and 18% interest after the default date of the notes through the date of the judgment and then
at the statutory rate until resolved . On the 10th day of May 2011, a summary judgment was entered on behalf of the
plaintiff against Mr. Carter and the Company. Mr. Carter and the company are working to resolve the matters and are unable to
determine the final outcome until settlement is reached or payment arrangements have been made.



Item 4.    REMOVED
AND RESERVED



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PART
II

Item 5.    Marketfor Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases
of Equity Securities



Shares
of our common stock commenced trading on September 13 2010, on the National Association of Securities Dealers Inter-dealer Quotation
System Over The Counter Bulletin Board under the symbol “REVOQB. For the periods indicated, the following table sets forth
the high and low bid prices per share of common stock, as reported by the Over the Counter Bulletin Board. These prices represent
inter-dealer quotations without retail markup, markdown, or commission and may not necessarily represent actual transactions.





|                                                    | High       | Low       
|--------------------------------------------------- | ---------- | ----------
|Fiscal Year 2010                                    |            |           
|                                                    |            |           
|                                                    |            |           
|Third
    Quarter (September 13– September 30 2010) | $
    0.27 | $
    0.15
|Fourth
    Quarter (October – December 2010)        | $
    0.82 | $
    0.24
|                                                    |            |           
|Fiscal Year 2011                                    |            |           
|First
    Quarter (January – March 2011)            | $
    0.60 | $
    0.05
|                                                    |            |           
|                                                    |            |           
|                                                    |            |           
|                                                    |            |           



On April 14, 2011,
the closing bid price of our common stock was $0.055.



Holders



As of December
31, 2010, there were 37,857,533 shares of our common stock issued and outstanding and held by 236 holders of record. We believe
many of the shares of our common stock are held in “street name” and, therefore, we believe the actual number of shareholders
is slightly higher.



Dividends



We may never
pay any dividends to our shareholders. We did not declare any dividends for the year ended December 31, 2010. Our Board of Directors
does not intend to distribute dividends in the near future. The declaration, payment and amount of any future dividends will be
made at the discretion of the Board of Directors, and will depend upon, among other things, the results of our operations, cash
flows and financial condition, operating and capital requirements, and other factors as the Board of Directors considers relevant.
There is no assurance that future dividends will be paid, and if dividends are paid, there is no assurance with respect to the
amount of any such dividend.



Transfer Agent



Island Stock
Transfer, 100 Second Avenue South, Suite 705S, St Petersburg, FL 33701 acts as transfer agent for our common stock.



Item 6.    SELECTED
FINANCIAL DATA

Not
required under Regulation S-K for “smaller reporting companies.”



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Item 7.    Management's
Discussion and Analysis of Financial Condition and Results of Operations ("MD&A")

The
Company's MD&A is comprised of significant accounting estimates made in the normal course of its operations, overview of the
Company's business conditions, results of operations, liquidity and capital resources and contractual obligations. The Company
did not have any off balance sheet arrangements as of December 31, 2009 or 2010.

The
discussion and analysis of the company’s financial condition and results of operations is based upon its financial statements,
which have been prepared in accordance with generally accepted accounting principles generally accepted in the United States (or
"GAAP"). The preparation of those financial statements requires us to make estimates and judgments that affect the reported
amount of assets and liabilities at the date of its financial statements. Actual results may differ from these estimates under
different assumptions or conditions.



Critical
accounting policies are those that reflect significant judgments or uncertainties, and potentially result in materially different
results under different assumptions and conditions. The company has described below what it believes are its most critical accounting
policies. SEE ALSO NOTES 1 and 2 TO FINANCIAL STATEMENTS, "SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES."



SUMMARY
OF CRITICAL ACCOUNTING POLICIES



Revenue
recognition



The
Company will recognize sales revenue at the time of delivery when ownership has transferred to the customer, when evidence of
a payment arrangement exists and the sales proceeds are determinable and collectable. Provisions will be recorded for product
returns based on historical experience. To date, the Company’s revenue is primarily comprised of interest income.



Options and
warrants issued



The
Company allocates the proceeds received from equity financing and the attached options and warrants issued, based on their relative
fair values, at the time of issuance. The amount allocated to the options and warrants is recorded as additional paid in capital.



Stock-based
compensation



(Included
in Accounting Standards Codification (“ASC”) 718 “Share Based Payment”, previously SFAS No. 123(R) “Accounting
for stock based compensation”)



The
Company will account for its employee stock based compensation arrangements in accordance with the provisions of Accounting Principles
Board (“APB”) Opinion No. 25. “Accounting for Stock Issued to Employees”, and related interpretations.
As such, compensation expense for stock options, common stock and other equity instruments issued to non-employees for services
received will be based upon the fair value of the equity instruments issued, as the services are provided and the securities earned.
SFAS No. 123, “Accounting for Stock-Based Compensation”, requires entities that continue to apply the provisions of
APB Opinion No. 25 for transactions with employees to provide pro forma net earnings (loss) and pro forma earnings (loss) per
share disclosures for employee stock option grants as if the fair-value-based method defined in SFAS No. 123 had been applied
to these transactions. For the period from inception (March 12, 2004) to December 31, 2010, no stock options were committed to
be issued to employees.



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Income taxes



Income
taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future
tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities
and their respective tax bases and operating loss carry forwards that are available to be carried forward to future years for
tax purposes. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in
the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and
liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. When it is not considered
to be more likely than not that a deferred tax asset will be realized, a valuation allowance is provided for the excess. Although
the Company has significant loss carry forwards available to reduce future income for tax purposes, no amount has been reflected
on the balance sheet for deferred income taxes as any deferred tax asset has been fully offset by a valuation allowance.





Use of Estimates



The
preparation of the financial statements in conformity with generally accepted accounting principles requires management to make
certain estimates and assumptions, where applicable, that affect the reported amounts of assets and liabilities and disclosures
of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of revenues and
expenses during the reporting period. While actual results could differ from those estimates, management does not expect such
variances, if any, to have a material effect on the financial statements.



Research
and Development Costs



Research
and development costs are expensed as incurred in accordance with generally accepted accounting principles in the United States
of America. Research is planned search or critical investigation aimed at discovery of new knowledge with the hope that such knowledge
will be useful in developing a new product or service or a new process or technique or in bringing about a significant improvement
to an existing product or process. Development is the translation of research findings or other knowledge into a plan or design
for a new product or process or for a significant improvement to an existing product or process whether intended for sale or use.
It includes the conceptual formulation, design, and testing of product alternatives, construction of prototypes, and operation
of pilot plants. It does not include routine or periodic alterations to existing products, production lines, manufacturing processes,
and other on-going operations even though those alterations may represent improvements and it does not include market research
or market testing activities. Elements of costs shall be identified with research and development activities as follows: The costs
of materials and equipment or facilities that are acquired or constructed for research and development activities and that have
alternative future uses shall be capitalized as tangible assets when acquired or constructed. The cost of such materials consumed
in research and development activities and the depreciation of such equipment or facilities used in those activities are research
and development costs. However, the costs of materials, equipment, or facilities that are acquired or constructed for a particular
research and development project and that have no alternative future uses and therefore no separate economic values are research
and development costs at the time the costs are incurred. Salaries, wages, and other related costs of personnel engaged in research
and development activities shall be included in research and development costs. The costs of contract services performed by others
in connection with the research and development activities of an enterprise, including research and development conducted by others
in behalf of the enterprise, shall be included in research and development costs.



Depreciation



Is
computed using the straight-line method over the assets’ expected useful lives.



Amortization



Deferred
charges are amortized using the straight-line method over five and six years.



Cash and
Cash Equivalents



Cash
and cash equivalents include cash on hand, deposits in banks with maturities of three months or less, and all highly liquid investments
which are unrestricted as to withdrawal or use, and which have original maturities of three months or less.



Concentrations
of Credit Risk



Financial
instruments that subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents. The Company
maintains its cash and cash equivalents with high-quality institutions. Deposits held with banks may exceed the amount of insurance
provided on such deposits. Generally these deposits may be redeemed upon demand and therefore bear minimal risk.



Fair Value
of Financial Instruments



The
carrying value of financial instruments including cash and cash equivalents, receivables, accounts payable and accrued expenses,
approximates their fair value at December 31, 2009 due to the relatively short-term nature of these instruments.



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Supplies



Supplies
are experimental materials used for research and development purpose. Actual cost is used to value these materials and supplies.





Valuation
of Long-Lived Assets



The
Company periodically analyzes its long-lived assets for potential impairment, assessing the appropriateness of lives and recoverability
of unamortized balances through measurement of undiscounted operating cash flows on a basis consistent with accounting principles
generally accepted in the United States of America.



Intangible
and Other Long-Lived Assets, Net



(Included in
Accounting Standards Codification (“ASC”) 350 “Goodwill and Other Intangible Assets” previously SFAS No.
142 and ASC 985 “Accounting for Costs of Computer Software to be Sold, Leased, or Otherwise Marketed” previously SFAS
No. 86)



Intangible
assets are comprised of software development costs and legal fees incurred in order to obtain the patent. The software development
costs are capitalized in accordance with SFAS 86. Costs of producing product masters incurred subsequent to establishing technological
feasibility shall be capitalized. Those costs include coding and testing performed subsequent to establishing technological feasibility.
Software production costs for computer software that is to be used as an integral part of a product or process shall not be capitalized
until both (a) technological feasibility has been established for the software and (b) all research and development activities
for the other components of the product or process have been completed. The fees incurred in order to obtain the patent are capitalized
in accordance with SFAS 142 “Goodwill and Other Intangible Assets. This Statement applies to costs of internally developing
identifiable intangible assets that an entity recognizes as assets APB Opinion 17, paragraphs 5 and 6. The Company periodically
analyzes its long-lived assets for potential impairment, assessing the appropriateness of lives and recoverability of unamortized
balances through measurement of undiscounted operating cash flows on a basis consistent with accounting principles generally accepted
in the United States of America.



Comprehensive
Income



(Included in
ASC 220 “Reporting Comprehensive Income” previously SFAS No. 130)



Statement
of Financial Accounting Standards (SFAS) No. 130, “Reporting Comprehensive Income,” establishes standards for reporting
and display of comprehensive income, its components and accumulated balances. Comprehensive income as defined includes all changes
in equity during a period from non-owner sources. Accumulated comprehensive income, as presented in the accompanying statement
of changes in shareholders' equity consists of changes in unrealized gains and losses on foreign currency translation. This comprehensive
income is not included in the computation of income tax expense or benefit.



Related Parties



For
the purposes of these financial statements, parties are considered to be related if one party has the ability, directly or indirectly,
to control the party or exercise significant influence over the party in making financial and operating decisions, or vice versa,
or where the Company and the party are subject to common control or common significant influence. Related parties may be individuals
or other entities.



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Unpaid Capital
Contributions



“Unpaid
Capital Contributions”are short-term loans to our officers and directors in lieu of salary or other compensation. These
loans are unsecured, bear a 5% interest and have five year repayment term. The total balance of loans to officers and directors
was $157,585and $109,952 in 2009 and 2010, respectively.



Management
expects these loans on a rolling basis throughout the term of the five year loans. After deducting re-payments made by the officers
and adding accumulated interest, balances were due as of year ended 2009 and 2010 as follows:







|                      |  |   | 12/31/09 |  |  | 12/31/10 |        
|--------------------- |  | - | -------- |  |  | -------- | -------
|Ron Carter            |  | $ | 83,675   |  |  | $        | 12,577 
|Garry  Stevenson      |  |   | 31,676   |  |  |          | 33,042 
|Bethiel Tesfasillasie |  |   | 42,234   |  |  |          | 44,086 
|                      |  | $ | 157,585  |  |  | $        | 109,952







In the event
that the loans are not fully repaid, any shortfall will be written off as compensation expense in its income statement.



Earnings (Loss) Per Common Share



Basic
earnings (loss) per common share are computed on the basis of the weighted average number of common shares outstanding during
the period.



Diluted
earnings (loss) per share are computed on the basis of the weighted average number of common shares and dilutive securities (such
as convertible preferred stock) outstanding. Dilutive securities having an anti-dilutive effect on diluted earnings (loss) per
share are excluded from the calculation.



Overview – Business Conditions



We
are a development stage company with no history of revenue. We were incorporated as a Nevada corporation on February 28, 2005
to reincorporate and re-domesticate two existing North Carolina entities; Revolutionary Concepts, Inc. and DVMS, LLC. We intend
to develop and market camera technologies that enable remote monitoring.



Efforts
to date have been devoted to establishing a remote video monitoring system that permits interactive two-way communications called
the EyeTalk Communicator (“EyeTalk”). In 2009, the Company engaged Photonic Discovery/UNC-Charlotte Optoelectronics
and Optical Communication to assist in identifying an ideal development partner for the EyeTalk technology. Imaging Solutions
Group of Rochester, NY is the Company identified. RCI and ISG have collaborated regarding the development of both the residential
and medical applications of the EyeTalk system. Since the implementation of the EyeTalk technology is dependent on various other
emerging technologies (smart phone, 3G/4G broadband) the research and development has coincided with the pace of these technologies.
The system by design will provide for continuous software development and updates. Software as a Service (SAAS) is a means of
recurring revenue and continuous upgrades.



We
have funded our development through three private offerings in 2005, 2007 and 2009. We also borrowed $307,500 from four non-related
parties at 4% interest to fund ongoing operations, and patent new applications. These promissory notes began to become due in
October 2008 and were repaid in November 2008 by issuing 630,811 shares of restricted commons stock from authorized shares. In
2010, the Company partnered with US Financial and Rainco Industries to assist with Investor Relations services and in identifying
additional funding sources. This relationship has enabled RCI to achieve a listing with Standard and Poors, approval to trade
on the Frankfurt Stock Exchange and the resolution of a portion of the Company’s debt.



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Introduction
to the EyeTalk Communicator



Our
Company designed and patented a communications and monitoring system which it expects to give users the ability to remotely and
interactively monitor and communicate with, and have control of a smart camera in a variety of markets.



The
EyeTalk technology is primarily a software platform with a hardware component of an external smart camera deployed at a chosen
location. The system offers two-way communication and it streams video to designated PC or handheld devices such as PDA’s,
smart phones or other smart devices. . The software interface allows the system to offer preprogrammed messages, greeting, commands,
etc. The software maintains information captured by the EyeTalk system. Access to the information may be achieved via a Personal
Data Assistant (PDA), Handheld Computer (HC), Smart phone, or other compatible device. The EyeTalk software platform will be able
to communicate with many of the smartphone and other devices that are currently available in the market place.



As
a residential application, the EyeTalk system allows seamless communication to a residence allowing the owner to interact remotely
with visitors to the home or building via any common personal communication device with the benefit of audio, video and data communication.
The system utilizes new technology to synergistically improve communication, security, convenience, messaging, and manage deliveries
and guest.



According
to USBX (US Business Exchange), “iSuppli, a respected technology market research firm, announced this quarter that they
project IP video surveillance camera revenue to grow to more than $9.0 billion by 2011, a compound annual growth rate of 13.2%”.
Declining cost of new surveillance technology have improved the viability of enhanced security systems while boosting the affordability
and demand for basic security systems among families in the middle to lower-middle income strata of society.”



Our
management believes that the EyeTalk technology will fill the technology gap related to false alarms in the security monitoring
industry. Some municipalities no longer respond to calls from alarm companies unless an emergency has been visually verified.
Traditional security monitoring companies rarely offer visual verification and therefore cannot visually ascertain that the signal
is not a false alarm.



The
EyeTalk system also records and archives via data, video and audio records. The system provides a centralized control system using
a user-friendly application with a means for storing digital images and provides enhanced security features.



The
EyeTalk system does not require wiring from the exterior of the building to its interior however in new construction wired systems
are anticipated. The Company believes that the system, when fully implemented, will be relatively inexpensive to install and maintain.



Our
management expects the EyeTalk to provide three primary benefits:



Protection– The EyeTalk may augment the capabilities of current residential and commercial security monitoring systems through
audio, video and data communication which are interactive and which can be used on a remote basis.



Monitoring– The EyeTalk may allow the user to better facilitate the task of entry management in non-threatening circumstances,
such as latch key school children, and deliveries allowing the user to maintain better control and understanding of what is going
on at any given location or property .



Convenience– The EyeTalk may add convenience to home and business owners, providing remote access, screening of visitors and acceptance
and monitoring of packages.



The
EyeTalk has four distinct physical parts:



- an internal unit(s) (the ‘Indoor
Mobile Monitor’)
- an external unit(s) (the ‘Smart
Camera EyeTalk Technology)
- a Central Application Server which may
be a home personal computer (“PC”)
- a remote access device, typically a
standard smart phone or other compatible smart device



The EyeTalk
system is expandable to include multiple peripheral devices. The main components of the system (the Indoor Mobile Monitor, the
Smart Camera and the Central Application Server) communicate with each other by way of RF communications using 802.11b or higher
wireless LAN. The Central Application Server will communicate with the remote access device by way of a dial-up modem connection,
DSL, cable modem or other Internet-compatible method of communication.



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INDUSTRY



The
United States security services have generally divided the market into the following segments: security officer and investigation
services, armored car services, monitoring services, and consulting. Security officer and investigation services are the oldest
and largest segment of the security industry.



According
to the USBX 2006 Year End Security Update the network camera video segment of the security industry is valued at $7 Billion annually
and has experienced a 20% annual growth rate. While noting that the public market support for the segment has remained strong
and actually led all security industry segments in 2007, hardware and software costs have shrunk which has pressured margins in
the industry. According to USBX, “iSuppli, a respected technology market research firm, announced this quarter that they
project IP video surveillance camera revenue to grow to more than $9.0 billion by 2011, a compound annual grown rate of 13.2%”



The
report notes that each vertical market has differing applications but banking, gaming and inventory control are the premier growth
applications. An estimated $45 billion annually is lost in inventory shrinkage and bank fraud and network camera video is often
at the forefront of industry efforts.



USBX
also published a separate “white paper” in 2006 entitled “The Security Killer App: Intelligent Video Surveillance.”
The white paper cites John Chambers, CEO of Cisco Systems and notes major contracts including $255 Million from Lockheed Martin
for video of New York City subways and $2.5 Billion from Boeing to secure U. S. borders. The paper focuses on quickly developing
vertical markets for intelligent video in retail, banking and financial and public safety and transit sectors.





Our
management believes that the EyeTalk technology significantly differs from existing systems. The EyeTalk allows two way communication
via a wireless smart camera that communicates with a variety of other remote communication devices such as smart phones, PDAs,
smart devices , computers, security and video monitoring devices. Supported by its software interface the EyeTalk system can be
used to greet visitors, provide instructions to delivery personnel, interact between remote staff and patients in medical settings,
as well as in security applications.



Further,
the EyeTalk allows security owners monitoring personnel to more accurately recognize and address the threat presented as well
as verifying a true threat. We believe this will relieve the large number of false alarm security calls and unneeded emergency
personnel visits. Unlike many competitors the EyeTalk system is not dependent on the internet although it can use the internet
as a platform.



The
communication can be initiated by a broad array of technologies, such as doorbells, glass breakage, heat or motion detectors,
weapons detectors, biometric signaling or voluntarily. The EyeTalk is programmed to manage most events with standard greetings,
identifications, commands, or directions. The EyeTalk can then notify designated personnel of the triggered event, sending images
of the current situation and permitting audible response.



We
expect to compete by emphasizing the unique aspects of the EyeTalk technology in its marketing directly to distributors and end
users. We also intend to compete by direct contact with larger end users such as hospitals, banks, and government agencies concerned
with homeland security.



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Future Plans and Potential Markets



Our
management believes it has the capability to enter into a growing security marketplace. We are hopeful that the security industry
will continue to experience increased spending on detection devices such as the EyeTalk for the residential, commercial, institutional,
medical and homeland security markets. EyeTalk’s ability to shift detection to a preemptive and preventive solution we anticipate
will give the EyeTalk technology a clear competitive advantage.



Our
management also believes the EyeTalk has advantages over existing and competing technologies. Many of these applications may not
relate to the security field at all, but may nonetheless be commercially useful. The additional commercial benefits of the EyeTalk
include:



- monitors appointments
- monitors deliveries
- records employee arrivals and departures
- provides remote access
- provides a database of activity to and from a facility



Our
management also expects to identify additional companies that may be interested in licensing arrangements for sales to consumers.
It believes the EyeTalk provides consumers with the functions and features that are superior to those currently available and
offered by competitors. These include:



- allows the occupant to view, record or respond to visitors
or guests without opening the door or even being in the home
- detects a visitor, providing a measure
of convenience to guests who no longer need to search for and activate a doorbell button
- allows remote access to visitors by the owner/occupant of
the building
- allows deliveries to be made and monitored while the owner
of the home is away from the premises
- detects intruders, allowing for an immediate response from
the property owner
- serves as a deterrent to criminals whose
entry can be chronicled by the system and who cannot determine if persons are at home or not because of the nature of the remote
interaction system.
- functions as a recordkeeping database
of all visitors to the home, welcomed or un-welcomed, with date, time and photographic records.
- alerts the owner of a power outage at the facility.



Our management
plans to use the following business development strategies:



1)    
Use internal contacts in the local medical community to negotiate placement in hospital patient rooms, senior living rooms, recovery
rooms and other medical applications.

2)    
Arrange a schedule of appearances at security industry trade shows and presentations to trade groups.

3)    
Continue development of phase one of our contract with Photonic Discovery/UNC-Charlotte Optoelectronics and Optical Communication



Sales Strategy



We
plan to acquire an existing security provider with established industry recognition in sales and service. The EyeTalk technology
sales will be integrated into the ongoing operation of the security provider/new entity. This will enable to develop the technology,
train installers and provide a turn-key service to end users. In expanding sales opportunities the product brand will be promoted
via marketing, advertising and the website. Staff installers will be positioned to provide training to various resellers.



—Direct Selling

—Consumers, Internet, other direct marketing methods

—Multi-Tiered Distribution

—Existing security companies

—Determined by Market Size

—Determined by Geography

—Identification of Vertical Markets Rapid revenue growth in the shortest possible timeframe

—Sales leverage through different, but proven, sales and marketing techniques.

—Geographically, the initial focus will be on the North American and European marketplaces.

—The next two major markets will be Latin America and Asia, including Australia.



To
date, our management has delayed the commercialization phase, due to its efforts to improve upon the application of the hardware
and software and also awaiting further development of wireless broadband technology to increase to sufficiently allow seamless
video transmission and audio more efficiently.



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Patent
and Intellectual Property

On
March 20, 2007, the United States Patent and Trademark Office issued to the Company a patent, number 7,193,644 B2. The patent
abstract states:



“The
invention is audio-video communication and answering system that synergistically improves communication between an exterior
and an interior of a business or residence and a remote location, enables messages to be stored and accessed from both locally
and remotely, and enables viewing, listening, and recording from a remote location. The system's properties make it particularly
suitable as a sophisticated door answering-messaging system. The system has a DVMS module on the exterior. The DVMS module has
a proximity sensor, a video camera, a microphone, a speaker, an RF transmitter, and an RF receiver. The system also has a computerized
controller with a graphic user interface DVMS database application. The computerized controller is in communication with a public
switching telephone network, and an RF switching device. The RF switching device enables communication between the DVMS module
and the computerized controller. The RF switching device can be in communication with the other RF devices, such as a cell phone,
PDA, or computer.”



A
complete copy of the patent is on file at our offices and can be inspected.



In
March, 2007, we commenced a lawsuit in the Superior Courts of Mecklenburg County, North Carolina against its prior patent attorneys.
The lawsuit alleges that we retained these attorneys and requested that they file a Non-publication Request (“the Request”)
pursuant to 35 U.S.C. § 122, in order to ensure that the Application would not be published by the United States Patent &
Trademark Office (“USPTO”) until issued as a patent. The lawsuit further alleges that the attorneys failed to file
the Request.



The
purpose of the Request was for international patent rights under procedures established by the Patent Cooperation Treaty and U.S.
law implementing that treaty. By virtue of the publication of the Application in the United States without the filing of a corresponding
PCT or other foreign application relating back to a date before the date of publication, one or more requirements of patentability
in certain advantageous foreign jurisdictions, including the European Union, Japan, and others, to wit the absolute public novelty
of the invention, can no longer be fulfilled by the Company.



We
believe our claims have merit in the lawsuit. We are unable to determine what rights it may still have, if any, to patent or intellectual
property protection in other jurisdictions.



COMPETITION



We
expect to compete with much larger and better financed companies in the remote monitoring industry, all of which have superior
name recognition, such as ADT, ATT, Pinkerton’s and others.RCI owns the patent by which many of the aforementioned
companies will be dependent upon and “MAY” already be infringing in some manner



Remote
monitoring is available through a variety of media and processes, including systems integrators, closed circuit television systems,
intrusion detection systems, and others. These systems typically incorporate ultrasonic, infrared, vibration, microwave and other
sensors to detect door and window openings, glass breakage, vibration, motion, temperature, and noise and transmit through alarms
and other peripheral equipment.



For
example, the ATT remote monitor integrates with Cingular and Yahoo through cell phones and wireless internet. The user can remotely
select the device and determine whether notification will be triggered by door sensors, motion sensors, temperature sensors or
a combination. The user can remotely control cameras with pan, tilt and zoom features. The user can download and record or view
live camera. The EyeTalk system provides similar capablilities; however with two-way communication and a programmable software
interface enabling the system to effectively manage itself if the user desires.



Industry
analysts report that both Cysco and IBM are developing new hardware and software applications for remote monitoring that, if successful,
could have profound implications for the industry.



Regulation



We
are subject to the same federal, state and local laws as other companies conducting business in the software field. Our products
are subject to copyright laws. We may become the subject of infringement claims or legal proceedings by third parties with respect
to its current or future products. In addition, we may initiate claims or litigation against third parties for infringement of
its proprietary rights, or to establish the validity of our proprietary rights. Any such claims could be time-consuming, divert
management from our daily operations, result in litigation, cause product delays or lead us to enter into royalty or licensing
agreements rather than disputing the merits of such claims. Moreover, an adverse outcome in litigation or a similar adversarial
proceedings could subject us to significant liabilities to third parties, require the expenditure of significant resources to
develop non-infringing products, require disputed rights to be licensed from others or require us to cease the marketing or use
of certain products, any of which could have a material adverse effect on our business and operating results.



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Results of Operations



Comparison of Twelve months Periods
Ended December 31, 2009 and December 31, 2010



Assets.

Assets decreased
by $1,168 to $28,142 as of December 31, 2010, or approximately 4%, from $29,310 as of December 31, 2009. This decrease was primarily
due to the additional accumulated depreciation and amortization costs offset by an increase in prepaid expenses.



Liabilities.Total liabilities increased by $300,320 to $643,401 as of December 31, 2010, or approximately 87%, from $343,081 as of December
31, 2009. The increase was primarily due to increases accounts payable, notes payable, accrued payroll expenses for payroll that
has not been paid to date and the related expected payroll liability and a contingent payroll liability that we have booked on
unpaid capital contributions. As our company continued to develop its technology, it has incurred additional development and legal
cost associated with protecting its IP rights and furthering the abilities of the technology. We have reclassed $338,763.18 in
accounts payable to long term notes payable to reflect the assignment by some of our creditors of their balance to a note from
an investor that will be paid one year or more past the original due date.



Stockholders'
Equity.Stockholders' equity decreased by $301,398 to $(637,489) as of December 31, 2010 or approximately 96% from $(313,771)
as of December 31, 2009 The decrease was due primarily to increases in paid in capital from the issuance of stock for services
valued at $522,877 and losses of $912,479.



Our company
is still a development-stage company and have not had revenues from our operations or reached the level of our planned operations.  Our
general and administrative expenses were $916,003 and $537,227 for the years ended December 31, 2010 and 2009, respectively.  General
and administrative expenses principally consist of those costs required to maintain our corporate existence, and to meet our statutory
requirements as a small public reporting company.  Such costs include legal fees, accounting fees, auditing fees, transfer
agent costs, and other fees for filing our reports with the Securities and Exchange Commission. Other significant costs include
continued research and development and professional fees both related to our further development of our principal product EyeTalk
and the related patent.



Liquidity and Capital Resources



General.
Our primary sources of cash have been sales of common stock through private placements, notes converted to stock and loans
from affiliates. We are a developmental stage company and will rely upon more established third party vendors for many aspects
of the manufacture, sale and distribution of its product, if it becomes commercially available in this regard. We previously contracted
with Absolutely New, Inc. a California company to identify potential licenses from their database. Under the agreement, Absolutely
New identified approximately twenty companies that it believes have a particular use for the EyeTalk. We did not renew the agreement
with Absolutely New. We will nonetheless pay Absolutely New twenty percent of any proceeds received as a result of the sale, license,
assignment or transfer of the EyeTalk to one of the identified companies for 24 months the termination of the agreement. The termination
of the agreement was on September 28th, 2008. We have engaged Photonic Discovery/UNC-Charlotte Optoelectronics and Optical Communication
to design the hardware for the EyeTalk system. We expect the software and other sensing technology will be developed by Fusion
Next, a North Carolina company. Since the implementation of the EyeTalk technology is dependent on various other emerging technologies
(smart phone, 3G/4G broadband) the research and development has coincided with the pace of these technologies. The system by design
will provide for continuous software development and updates.



Cash Flows
from Operating Activities.Net cash used in operations of $122,666 for the twelve-months period ended December 31, 2010 was
attributable to a net loss of $912,479 which was offset by non-cash expense for depreciation and amortization $13,352 and $263,354
was due an increase in accounts payable, long term notes payable and accrued expenses and 18,250,922 shares issued for services
and retirement of debt to vendors, recorded at an average of $.0296 per share.



Cash Flows
from Investing Activities.Net cash provided by financing activities was zero for the year ended December 31, 2010..



Cash Flows
from Financing Activities. Net cash provided by financing activities of $123,096 for the twelve-month period ended December
31, 2010 was attributable to the issuance of shares for services, plus the repayment of unpaid capital contributions in the amount
of $67,881 and the issuance of notes payable $56,966.



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Recent Accounting
Pronouncements

FASB Accounting
Standards Codification



(Accounting
Standards Update (“ASU”) 2009-01)



In
June 2009, FASB approved the FASB Accounting Standards Codification (“the Codification”) as the single source of authoritative
nongovernmental GAAP. All existing accounting standard documents, such as FASB, American Institute of Certified Public Accountants,
Emerging Issues Task Force and other related literature, excluding guidance from the Securities and Exchange Commission (“SEC”),
have been superseded by the Codification. All other non-grandfathered, non-SEC accounting literature not included in the Codification
has become non-authoritative. The Codification did not change GAAP, but instead introduced a new structure that combines all authoritative
standards into a comprehensive, topically organized online database. The Codification is effective for interim or annual periods
ending after September 15, 2009, and impacts the Company’s financial statements as all future references to authoritative
accounting literature will be referenced in accordance with the Codification. There have been no changes to the content of the
Company’s financial statements or disclosures as a result of implementing the Codification during the fiscal year ended
December 31, 2009.



As a result
of the Company’s implementation of the Codification during the fiscal year ended December 31, 2009, previous references
to new accounting standards and literature are no longer applicable. In the current annual financial statements, the Company will
provide reference to both new and old guidance to assist in understanding the impacts of recently adopted accounting literature,
particularly for guidance adopted since the beginning of the current fiscal year but prior to the Codification.



Subsequent Events



(Included in
Accounting Standards Codification (“ASC”) 855 “Subsequent Events”, previously SFAS No. 165 “Subsequent
Events”)



SFAS No. 165
established general standards of accounting for and disclosure of events that occur after the balance sheet date, but before the
financial statements are issued or available to be issued (“subsequent events”). An entity is required to disclose
the date through which subsequent events have been evaluated and the basis for that date. For public entities, this is the date
the financial statements are issued. SFAS No. 165 does not apply to subsequent events or transactions that are within the scope
of other GAAP and did not result in significant changes in the subsequent events reported by the Company. SFAS No. 165 became
effective for interim or annual periods ending after June 15, 2009 and did not impact the Company’s financial statements.
The Company evaluated for subsequent events through the issuance date of the Company’s financial statements. No recognized
or non-recognized subsequent events were noted.



Determination
of the Useful Life of Intangible Assets



(Included in
ASC 350 “Intangibles — Goodwill and Other”, previously FSP SFAS No. 142-3 “Determination of the Useful
Lives of Intangible Assets”)



FSP
SFAS No. 142-3 amended the factors that should be considered in developing renewal or extension assumptions used to determine
the useful life of a recognized intangible asset under previously issued goodwill and intangible assets topics. This change was
intended to improve the consistency between the useful life of a recognized intangible asset and the period of expected cash flows
used to measure the fair value of the asset under topics related to business combinations and other GAAP. The requirement for
determining useful lives must be applied prospectively to intangible assets acquired after the effective date and the disclosure
requirements must be applied prospectively to all intangible assets recognized as of, and subsequent to, the effective date. FSP
SFAS No. 142-3 became effective for financial statements issued for fiscal years beginning after December 15, 2008, and interim
periods within those fiscal years. The adoption of FSP SFAS No. 142-3 did not impact the Company’s financial statements.





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Noncontrolling
Interests



(Included in
ASC 810 “Consolidation”, previously SFAS No. 160 “Noncontrolling Interests in Financial Statements an amendment
of ARB No. 51”)



SFAS No. 160
changed the accounting and reporting for minority interests such that they will be recharacterized as noncontrolling interests
and classified as a component of equity. SFAS No. 160 became effective for fiscal years beginning after December 15, 2008

with early application
prohibited. The Company implemented SFAS No. 160 at the start of fiscal 2009 and no longer records an intangible asset when the
purchase price of a noncontrolling interest exceeds the book value at the time of buyout. The adoption of SFAS No. 160 did not
have any other material impact on the Company’s financial statements.



Consolidation
of Variable Interest Entities — Amended



(To be included
in ASC 810 “Consolidation”, SFAS No. 167 “Amendments to FASB Interpretation No. 46(R)”)



SFAS
No. 167 amends FASB Interpretation No. 46(R) “Consolidation of Variable Interest Entities regarding certain guidance for
determining whether an entity is a variable interest entity and modifies the methods allowed for determining the primary beneficiary
of a variable interest entity. The amendments include: (1) the elimination of the exemption for qualifying special purpose entities,
(2) a new approach for determining who should consolidate a variable-interest entity, and (3) changes to when it is necessary
to reassess who should consolidate a variable-interest entity. SFAS No. 167 is effective for the first annual reporting period
beginning after November 15, 2009, with earlier adoption prohibited. The Company will adopt SFAS No. 167 in fiscal 2010 and does
not anticipate any material impact on the Company’s financial statements.



"Safe
Harbor" Statement Under the Private Securities Litigation Reform Act of 1995

This
Annual Report on Form 10-K and certain information incorporated herein by reference contain forward-looking statements within
the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. All statements included or incorporated
by reference in this Annual Report on Form 10-K, other than statements that are purely historical, are forward-looking statements.

Words
such as "anticipates," "expects," "intends," "plans," "believes," "seeks,"
"estimates," and similar expressions also identify forward-looking statements. Forward-looking statements are not guarantees
of future performance and are subject to risks and uncertainties that could cause actual results to differ materially from the
results contemplated by the forward-looking statements. These forward-looking statements are based on management's expectations
as of the date hereof, that necessarily contain certain assumptions and are subject to certain risks and uncertainties. The Company
does not undertake any responsibility to update these statements in the future. The Company's actual future performance and results
could differ from that contained in or suggested by these forward-looking statements as a result of the factors set forth in this
Management's Discussion and Analysis of Financial Condition and Results of Operations, the Business Risks described in Item 1
of this Report on Form 10-K and elsewhere in the Company's filings with the Securities and Exchange Commission.



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Item 8.    Financial
Statements and Supplementary Data

The
information required as to this Item is incorporated by reference from the financial statements and supplementary data listed
in Item 15 of Part IV of this report.

Item 9.    Changes
in and Disagreements with Accountants on Accounting and Financial Disclosure

There
are no events required to be disclosed by the Item.

Item 9A.    Controls
and Procedures

As
of the end of the period covered by this report, Revolutionary Concepts, Inc. management, including the Chief Executive Officer
and Chief Financial Officer, conducted an evaluation of the effectiveness of our disclosure controls and procedures pursuant to
Exchange Act Rule 13a-15(e). Based upon that evaluation, the Chief Executive Officer and the Chief Financial Officer concluded
that such disclosure controls and procedures are effective in alerting them on a timely basis to material information relating
to Revolutionary Concepts required to be included in Revolutionary Concepts’ periodic filings under the Exchange Act.



Management's
Report on Internal Control Over Financial Reporting

Our principal executive officer and our principal financial officer, are responsible for establishing and maintaining adequate
internal control over financial reporting, as such term is defined in Exchange Act Rules 13a-15(f). Management is required
to base its assessment of the effectiveness of our internal control over financial reporting on a suitable, recognized control
framework, such as the framework developed by the Committee of Sponsoring Organizations (COSO). The COSO framework, published
in Internal Control-Integrated Framework, is known as the COSO Report. Our principal executive officer and our principal
financial officer have chosen the COSO framework on which to base their assessment.



This
annual report on Form 10-K does not include an attestation report of our registered public accounting firm regarding internal
control over financial reporting. Management’s report was not subject to attestation by our registered public accounting
firm pursuant to temporary rules of the Securities and Exchange Commission that permit us to provide only management’s report
in this annual report on Form 10-K.



It
should be noted that any system of controls, however well designed and operated, can provide only reasonable and not absolute
assurance that the objectives of the system are met. In addition, the design of any control system is based in part upon certain
assumptions about the likelihood of certain events. Because of these and other inherent limitations of control systems, there
can be no assurance that any design will succeed in achieving its stated goals under all potential future conditions, regardless
of how remote.



Based
on this evaluation, our principal executive officer and our principal financial officer concluded that our disclosure controls
and procedures were effective as of December 31, 2010.



Changes
in Internal Control Over Financial Reporting

During
the fiscal year ended December 31, 2010, there were no changes in our internal control over financial reporting that have
materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.



Item 9B.    Other
Information

None.



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PART
III

Item 10.    Directors
and Executive Officers and Corporate Governance





|Directors and Executive Officers. |     |      
|--------------------------------- | --- | -----
|                                  |     |      
|Name                              | Age | Title
|                                  |     |      
|Ronald Carter                     |     | 56   
|                                  |     |      
|Garry Stevenson                   |     | 60   
|                                  |     |      
|Bethiel Tesfasillasie             |     | 37   
|                                  |     |      
|Claude McDougal                   |     | 57   
|                                  |     |      
|Solomon Ali                       |     | 48   
|                                  |     |      









Our
Bylaws provide that we shall have that number of directors determined by the majority vote of the board of directors. Currently
we have five directors. Each director will serve until our next annual shareholder meeting. Directors are elected for one-year
terms. Our Board of Directors elects our officers at the regular annual meeting of the Board of Directors following the annual
meeting of shareholders. Vacancies may be filled by a majority vote of the remaining directors then in office. Our directors and
executive officers are as follows:



Ron
Carter – Founder, President, CEO, Chairman and Director

Mr.
Carter is the inventor of the EYETALK. He is a North Carolina native, married with three children. As a career government employee,
Mr. Carter has been responsible for housing code, planning and development in several metropolitan areas in North Carolina. Mr.
Carter formerly worked from the City of Charlotte as the Chief Housing Development Specialist from 1995 until 2004. Prior to this
position, Mr. Carter was served as the Housing Rehabilitation Supervisor in Winston-Salem, NC.



Mr.
Carter is a graduate of North Carolina A&T State University in Greensboro, where he earned a BA degree in Political Science.
He is the 1988 recipient of the President’s Award presented by the North Carolina Section 8 Housing Association. He also
founded the Professional Housing Rehabilitation Association of North Carolina Housing and served as Chairman of Education and
Training for the NC Community Development Association.

Garry
Stevenson – CFO, Vice President, Director, Secretary

Mr.
Stevenson is a successful and proven entrepreneur. He has been the owner and CEO of Body Image, LLC, a fitness center for women
and Point of Love and Grace Inc. of Shelby, NC, a group home for boys, since 2000. Mr. Stevenson has over thirty years of corporate
experience; he served as Senior Vice President of World Connect Communications from 1997 until 2003. He worked for twenty-five
years in corporate management as Division Manager at United Parcel Service where he retired in 1997.

Mr.
Stevenson received a Juris Doctor Degree from North Carolina Central University School of Law in 1976.He is married and the father
of three children.

Bethiel
Tesfasillasie– Director

Ms.
Tesfasillasie is an established professional. Ms. Tesfasillasie became the youngest vice president at World Connect Communications
from 1999 until 2001. She also had a successful career as a Quality Inspector Technician for IBM from 1994 to 1998. From 2001
and 2003 she was in the sales and accounting department of a local car dealer. Ms. Tesfasillasie became a licensed real estate
agent in 2003 and continues her real estate from time to time.

Ms.
Tesfasillasie was born in East Africa and moved to the United States with her family when she was eleven years old. She was raised
in Charlotte, NC and attended the Charlotte-Mecklenburg public schools. Ms. Tesfasillasie graduated from West Charlotte High School
and received her Bachelors Degree in Chemistry from University of North Carolina at Charlotte.

Ms.
Tesfaillasie is a Board Member of the Charlotte Black Chamber of Commerce and speaks four languages. In 2001, Ms. Tesfaillasie
filed for protection from creditors under a chapter of the U. S. Bankruptcy Code which was discharged and closed in 2005.

Claude McDougal
– Vice President, Director

As
President and CEO of the U.S. Financial Alliance Consultants, LLC Group of companies, Claude D. McDougal has grown
a secure foundational base that is built on a vast wealth of resources providing services in various financial and insurance arenas.
Prior to forming USFAC, Claude McDougal spent over 20 years in one of the distribution arms for the financial giant Citigroup.
As a Senior Vice President in that organization, Claude was directly responsible for recruiting, mentoring and developing Regional
Vice Presidents as well as expanding revenue streams through cross-selling various financial products.

Solomon
Ali – Vice President, Director

Mr.
Ali comes to Revolutionary Concepts with 22 years’ experience in investor relations, corporate finance, investment banking,
mergers, acquisitions, corporate structure, and raising investment capital through capital markets, debt and private equity. He
is a highly qualified corporate executive, and previously served as Vice President for Primerica, R & R Investments, and raised
over $80 million in investment capital and structured financing in his last two transactions. His experience also includes corporate
valuation, capitalization structure, development of Private Placement Memoranda, business plans, client positioning, and managing
the investment process with securities attorneys and CPA's for SEC regulatory compliance and corporate registration filings.



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Section 16(a) Beneficial
Ownership Reporting Compliance

Section 16(a)
of the Exchange Act requires our officers, directors, and persons who own more than ten percent of a registered class of
our equity securities to file reports of securities ownership and changes in such ownership with the SEC and NASDAQ. Officers,
directors, and greater-than-ten-percent stockholders are required by SEC regulations to furnish us with copies of all Section 16(a)
forms that they file.

Based
solely upon a review of Forms 3, Forms 4, and Forms 5 furnished to us pursuant to Rule 16a-3 under the Exchange Act, we believe
that all such forms required to be filed pursuant to Section 16(a) of the Exchange Act during the year ended December 31,
2010 were timely filed, as necessary, by the officers, directors, and security holders required to file such forms, except that
Mr. Carter filed one Form 4 late.

Involvement
in Certain Legal Proceedings



To
the best of our knowledge, during the past five years, none of the following occurred with respect to a present or former director
or executive officer of our Company: (1) any bankruptcy petition filed by or against any business of which such person was a general
partner or executive officer either at the time of the bankruptcy or within two years prior to that time; (2) any conviction in
a criminal proceeding or being subject to a pending criminal proceeding (excluding traffic violations and other minor offenses);
(3) being subject to any order, judgment or decree, not subsequently reversed, suspended or vacated, of any court of any competent
jurisdiction, permanently or temporarily enjoining, barring, suspending or otherwise limiting his involvement in any type of business,
securities or banking activities; and (4) being found by a court of competent jurisdiction (in a civil action), the SEC or the
commodities futures trading commission to have violated a federal or state securities or commodities law, and the judgment has
not been reversed, suspended or vacated.



Indemnification
of Officers and Directors



As
permitted by Nevada law, our Articles of Incorporation provide that we will indemnify its directors and officers against expenses
and liabilities they incur to defend, settle, or satisfy any civil or criminal action brought against them on account of their
being or having been Company directors or officers unless, in any such action, they are adjudged to have acted with gross negligence
or willful misconduct.



Pursuant
to the foregoing provisions, we have been informed that, in the opinion of the Securities and Exchange Commission, such indemnification
is against public policy as expressed in that Act and is, therefore, unenforceable.



Exclusion of
Liability



The
Nevada Business Corporation Act excludes personal liability for directors for monetary damages based upon any violation of
their fiduciary duties as directors, except as to liability for any breach of the duty of loyalty, acts or omissions
not in good faith or which involve intentional misconduct or a knowing violation of law, acts in violation of the Nevada Business
Corporation Act, or any transaction from which a director receives an improper personal benefit. This exclusion of liability
does not limit any right that a director may have to be indemnified and does not affect any director's liability under
federal or applicable state securities laws.



Code of Conduct
and Ethics



We
are committed to maintaining the highest standards of business conduct and ethics. We have adopted a code of conduct and ethics
applicable to our directors, officers and employees. The code of conduct and ethics reflects our values and the business practices
and principles of behavior that support this commitment. The code of conduct and ethics satisfies SEC rules for a “code
of ethics” required by Section 406 of the Sarbanes-Oxley Act of 2002, as well as the American Stock Exchange rules for a
“code of conduct and ethics.” A form of the code of conduct and ethics is filed as Exhibit 14.1 was filed
as an Exhibit to the Company's Registration Statement on Form S-1 (Registration No.333-151177).



Item 11.    Executive
Compensation

No
compensation was awarded to or paid to any executive officer or director of the Company during the years 2005 through 2010 other
than $46,937 in 2008 and $35,446 in 2009 recorded as other income and salary to our CEO Ron Carter. Salary for 2010 has been recorded,
but remains unpaid.



The following
table and the accompanying notes provide summary information for each of the last five fiscal years concerning cash and non-cash
compensation paid or accrued.



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Summary Compensation Table





|                          |      |                |               |         |           | Non-Equity         |                      |              
|------------------------- | ---- | -------------- | ------------- | ------- | --------- | ------------------ | -------------------- | -------------
|Name And                  |      |                |               | Stock   | Option    | Incentive
    Plan | All
    Other        |              
|Principal Position        | Year | Salary
    ($) | Bonus
    ($) | Awards  | Awards($) | Compensation       | Compensation
    ($) | Total
    ($)
|Ronald
    Carter         | 2005 | 0              | 0             | 0       | 0         | 0                  | $0                   | 0            
|Chairman of Board         | 2006 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|And
    CEO               | 2007 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|                          | 2008 | 0              | 0             | 0       | 0         | 0                  | 46,937               | 46,937       
|                          | 2009 | 35,446         | 0             | 0       | 0         | 0                  | 0                    | 35,446       
|                          | 2010 | 92,308         | 0             | 0       | 0         | 0                  | 0                    | 92,308       
|Gary
    Stevenson        | 2005 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|CFO                       | 2006 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|                          | 2007 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|                          | 2008 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|                          | 2009 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|                          | 2010 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|Bethiel
    Tesfasillasie | 2005 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|Director                  | 2006 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|                          | 2007 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|                          | 2008 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|                          | 2009 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|                          | 2010 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|Claude
    McDougal       | 2005 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|Vice
    President And    | 2006 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|Director                  | 2007 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|                          | 2008 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|                          | 2009 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|                          | 2010 | 46,154         | 0             | 188,271 | 0         | 0                  | 0                    | 234,425      
|Solomon
    Ali           | 2005 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|Vice
    President And    | 2006 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|Director                  | 2007 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|                          | 2008 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|                          | 2009 | 0              | 0             | 0       | 0         | 0                  | 0                    | 0            
|                          | 2010 | 46,154         | 0             | 282,407 | 0         | 0                  | 0                    | 328,561      



The
officers and directors have taken limited salary but have taken loans in lieu of salary or other compensation.
These loans are unsecured, bear a 5% interest and have five year repayment term. The total balance of loans to officers and directors
was $157,585 and $109,952 in 2009 and 2010, respectively and have been recorded as “Unpaid Capital Contributions”.
The shares issued to directors, Claude McDougal and Solomon Ali, were issued as part of their agreements and valued at the market
value at the time of issuance, $0.10 per share. The salaries for 2010 have not been paid, but have been accrued.



The
Company expects these loans to be repaid on a rolling basis throughout the term of the five year loans. After subtracting re-payments
made and adding in accumulated interest, the following balances were owed as of years ended 2009 and 2010.



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|                      |  |   | 12/31/09 |   | 12/31/10
|--------------------- |  | - | -------- | - | --------
|Ron Carter            |  | $ | 83,675   | $ | 12,577  
|Garry  Stevenson      |  |   | 31,676   |   | 33,042  
|Bethiel Tesfasillasie |  |   | 42,234   |   | 44,086  
|                      |  | $ | 157,585  | $ | 109,95  







In
the event that the loans are not fully repaid, any shortfall will be expensed as salary to the officers. The company does not
consider these advances to be management compensation, but we have been advised by tax counsel that there is a possibility that
the Internal Revenue Service may disagree with its position, in which case it will be required to book the advances as compensation
and will owe applicable taxes on the entire amounts, together with possible penalties and interest.



2010 and 2009
OUTSTANDING EQUITY AWARDS AT FISCAL YEAR-END TABLE



|                      |                       | Option Awards                                                                                   | Stock Awards                                                                                    |                                                                                                                                                                       
|--------------------- | --------------------- | ----------------------------------------------------------------------------------------------- | ----------------------------------------------------------------------------------------------- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------
|                      |                       | Number of
        Securities
        Underlying
        Unexercised
        Options
        (#) | Number of
        Securities
        Underlying
        Unexercised
        Options
        (#) | Equity
        Incentive
        Plan Awards:
        Number of
        Securities
        Underlying
        Unexercised
        Unearned
        Options
        (#)
|                      | Name                  | Exercisable                                                                                     | Unexercisable                                                                                   |                                                                                                                                                                       
|Ronald Carter         | 2009
        2010     | 0 0
        0 0                                                                                 |                                                                                                 | 0 0
        0 0                                                                                                                                                       
|                     
|Garry Stevenson       | 2009 2010             |                                                                                                 |                                                                                                 | 0
        0                                                                                                                                                           
|                      |                       |                                                                                                 |                                                                                                 |                                                                                                                                                                       
|Bethiel Tesfalillasie | 2009 0
        2010 0 | 0
        0                                                                                     |                                                                                                 | 0
        0                                                                                                                                                           
|Claude McDougal       | 2009 0
        2010 0 | 0
        0                                                                                     |                                                                                                 | 0
        0                                                                                                                                                           
|Solomon Ali           | 2009 0
        2010 0 | 0
        0                                                                                     |                                                                                                 | 0
        0                                                                                                                                                           





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2010 and 2009
OPTION EXERCISES AND STOCK VESTED TABLE





|                      |      | Option
    Awards                             | Stock
    Awards                  
|--------------------- | ---- | --------------------------------------------- | ----------------------------------
|Name                  | Year | Number
    of Shares Acquired on Exercise (#) | Value
    Realized on Exercise ($)
|Ronald Carter         | 2009 | 0                                             | 0                                 
|                      | 2010 | 0                                             | 0                                 
|Garry Stevenson       | 2009 | 0                                             | 0                                 
|                      | 2010 | 0                                             | 0                                 
|Betheil Tesfasillasie | 2009 | 0                                             | 0                                 
|                      | 2010 | 0                                             | 0                                 
|Claude McDougal       | 2009 | 0                                             | 0                                 
|                      | 2010 | 0                                             | 0                                 
|Solomon Ali           | 2009 | 0                                             | 0                                 
|                      | 2010 | 0                                             | 0                                 



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2010 and 2009
PENSION BENEFITS TABLE



|                                                 |      |                   |   |                                                                      |   |                                                                          |  |                                                             
|------------------------------------------------ | ---- | ----------------- | - | -------------------------------------------------------------------- | - | ------------------------------------------------------------------------ |  | ------------------------------------------------------------
|Name                                             |      | Plan
        Name |   | Number of
        Years
        Credited
        Service
        (#) |   | Present
        Value
        of Accumulated
        Benefit
        ($) |  | Payments During Last
        Fiscal
        Year
        ($)
|Ronald
    Carter                                | 2009 | 0                 | 0 | 0                                                                    | 0
|                                                 | 2010 | 0                 | 0 | 0                                                                    | 0
|                                                 |      | 0                 |   | 0                                                                    |   | 0                                                                       
|                                                 |      |                   |   |                                                                     
|                                                 |      |                   |   |                                                                     
|                                                 |      |                   |   |                                                                     
|                                                 |      |                   |   |                                                                     
|Garry Stevenson 2009 0 0 0 0

2010 0 0 0 0       |      |                   |   | 0                                                                    |   | 0                                                                        |  | 0                                                           
|Bethiel Tesfasillasie 2009 0 0 0 0

2010 0 0 0 0 |      |                   |   | 0                                                                    |   | 0                                                                        |  | 0                                                           
|Claude McDougal 2009 0 0 0 0

2010 0 0 0 0       |      |                   |   | 0                                                                    |   | 0                                                                        |  | 0                                                           
|Solomon Ali 2009 0 0 0 0

2010 0 0 0 0           |      |                   |   | 0                                                                    |   | 0                                                                        |  | 0                                                           
|                                                 |      |                   |   |                                                                      |   |                                                                          |  |                                                             





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2010 and 2009
NONQUALIFIED DEFERRED COMPENSATION TABLE



|     |  |                                                                         |  |                                                                                  |  |                                                                    |  |                                                                   |  |                                                                      
|---- |  | ----------------------------------------------------------------------- |  | -------------------------------------------------------------------------------- |  | ------------------------------------------------------------------ |  | ----------------------------------------------------------------- |  | ---------------------------------------------------------------------
|Name |  | Executive Contributions
        in Last
        Fiscal Year
        ($) |  | Registrant
        Contributions in Last
        Fiscal
        Year
        ($) |  | Aggregate Earnings
        in Last
        Fiscal Year
        ($) |  | Aggregate
        Withdrawals /
        Distributions
        ($) |  | Aggregate Balance at
        Last
        Fiscal Year-End
        ($)



|Ronald
    Carter         |  | 2009
        2010 |  | 0
        0 |  | 0
        0 |  |  |  | 0
        0 |  | 0
        0 |  |  |  | 0
        0
|------------------------- |  | ----------------- |  | ----------- |  | ----------- |  |  |  | ----------- |  | ----------- |  |  |  | -----------
|                          |  | 2010              |  |             |  |             |  | 
|Garry Stevenson           |  | 2009
        2010 |  | 0
        0 |  | 0
        0 |  |  |  | 0
        0 |  | 0
        0 |  |  |  | 0
        0
|Bethiel
    Tesfasillasie |  | 2009
        2010 |  | 0
        0 |  | 0
        0 |  |  |  | 0
        0 |  | 0
        0 |  |  |  | 0
        0
|Claude
    McDougal       |  | 2009
        2010 |  | 0
        0 |  | 0
        0 |  |  |  | 0
        0 |  | 0
        0 |  |  |  | 0
        0
|Solomon
    Ali           |  | 2009
        2010 |  | 0
        0 |  | 0
        0 |  |  |  | 0
        0 |  | 0
        0 |  |  |  | 0
        0
|                          |  |                   |  |             |  |             |  |  |  |             |  |             |  |  |  |            





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2010 and 2009
DIRECTOR COMPENSATION TABLE



|                                                                                                                                                                     |                     |                                 |  |                  |             |                   |             |                                            |             |                                                   |             |                             |             |                      
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ------------------- | ------------------------------- |  | ---------------- | ----------- | ----------------- | ----------- | ------------------------------------------ | ----------- | ------------------------------------------------- | ----------- | --------------------------- | ----------- | ---------------------
|                                                                                                                                                                     |                     |                                 |  |                  |             |                   |             |                                            |             | Change in Pension Value and nonqualified Deferred |             |                             |             |                      
|Name                                                                                                                                                                 | Year                | Fees Earned or Paid in Cash ($) |  | Stock Awards ($) |             | Option Awards ($) |             | Non-Equity Incentive Plan Compensation ($) |             | Compensations Earnings ($)                        |             | All other Compensations ($) |             | Totals ($)           
|Ronald
    Carter                                                                                                                                                    | 2009 2010           | 35,446
        92,308           |  | 0
        0      |             | 0
        0       |             | 0
        0                                |             | 0
        0                                       |             | 0
        0                 |             | 35,446
        92,308
|Garry
    Stevenson
    2009 2010
    
    
    0
        0
    
    0
        0
    
    0
        0
    
    0
        0
    
    0
        0
    
    0
        0 | Garry
    Stevenson | 2009 2010                       |  |                  | 0
        0 |                   | 0
        0 |                                            | 0
        0 |                                                   | 0
        0 |                             | 0
        0 |                      
|Garry
    Stevenson                                                                                                                                                  | 2009 2010           |                                 |  | 0
        0      |             | 0
        0       |             | 0
        0                                |             | 0
        0                                       |             | 0
        0                 |             | 0
        0          

Garry
Stevenson

2009

2010



0

0

0

0

0

0

0

0

0

0

0

0

0

0

2009

2010



0

0

0

0

0

0

0

0

0

0

0

0

0

0

2009

2010



0

46,154

0

188,271

0

0

0

0

0

0

0

0

0

234,425

2009

2010



0

46,154

0

282,407

0

0

0

0

0

0

0

0

0

328,561

| |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 
| |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 





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2010 and 2009
ALL OTHER COMPENSATION TABLE



|                          |  |                   |  |                                             |  |                        |  |                        |  |                                                          |  |                              |  |                                         |  |            
|------------------------- |  | ----------------- |  | ------------------------------------------- |  | ---------------------- |  | ---------------------- |  | -------------------------------------------------------- |  | ---------------------------- |  | --------------------------------------- |  | -----------
|Name                      |  | Year              |  | Perquisites and Other Personal Benefits ($) |  | Tax Reimbursements ($) |  | Insurance Premiums ($) |  | Company Contributions to Retirement and 401(k) Plans ($) |  | Serverance Payments/Accruals |  | Change in Control Payments/Accruals ($) |  | Total ($)  
|Ronald
    Carter         |  | 2010
        2009 |  | 0
        0                                 |  | 0
        0            |  | 0
        0            |  | 0
        0                                              |  | 0
        0                  |  | 0
        0                             |  | 0
        0
|                          |  |                   |  |                                             |  |                        |  |                       
|Garry Stevenson           |  | 2010
        2009 |  | 0
        0                                 |  | 0
        0            |  | 0
        0            |  | 0
        0                                              |  | 0
        0                  |  | 0
        0                             |  | 0
        0
|Bethiel
    Tesfasillasie |  | 2010
        2009 |  | 0
        0                                 |  | 0
        0            |  | 0
        0            |  | 0
        0                                              |  | 0
        0                  |  | 0
        0                             |  | 0
        0
|Claude
    McDougal       |  | 2010
        2009 |  | 0
        0                                 |  | 0
        0            |  | 0
        0            |  | 0
        0                                              |  | 0
        0                  |  | 0
        0                             |  | 0
        0
|Solomon
    Ali           |  | 2010
        2009 |  | 0
        0                                 |  | 0
        0            |  | 0
        0            |  | 0
        0                                              |  | 0
        0                  |  | 0
        0                             |  | 0
        0
|                          |  |                   |  |                                             |  |                        |  |                        |  |                                                          |  |                              |  |                                         |  |            





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2010 and 2009
PERQUISITES TABLE



|                          |  |                   |  |                                                     |  |                                                |  |                |  |                           |  |                                                                      
|------------------------- |  | ----------------- |  | --------------------------------------------------- |  | ---------------------------------------------- |  | -------------- |  | ------------------------- |  | ---------------------------------------------------------------------
|Name                      |  | Year              |  | Personal Use of
        Company
        Car/Parking |  | Financial Planning/
        Legal
        Fees |  | Club
     Dues |  | Executive
     Relocation |  | Total Perquisites
        and
        Other Personal
        Benefits
|                          |  |                   |  |                                                     |  |                                                |  |                |  |                           |  |                                                                      
|Ronald Carter             |  | 2009
        2010 |  | 0
        0                                         |  | 0
        0                                    |  |                |  | 0
        0               |  | 0
        0                                                          
|                          |  | 2010              |  |                                                     |  |                                                |  |               
|Garry Stevenson           |  | 2010
        2009 |  | 0
        0                                         |  | 0
        0                                    |  |                |  | 0
        0               |  | 0
        0                                                          
|Bethiel
    Tesfasillasie |  | 2009
        2010 |  | 0
        0                                         |  | 0
        0                                    |  |                |  | 0
        0               |  | 0
        0                                                          
|Claude
    McDougal       |  | 2009
        2010 |  | 0
        0                                         |  | 0
        0                                    |  |                |  | 0
        0               |  | 0
        0                                                          
|Solomon
    Ali           |  | 2009
        2010 |  | 0
        0                                         |  | 0
        0                                    |  |                |  | 0
        0               |  | 0
        0                                                          
|                          |  |                   |  |                                                     |  |                                                |  |                |  |                           |  |                                                                      





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2010 and 2009
POTENTIAL PAYMENTS UPON TERMINATION OR CHANGE IN CONTROL TABLE



|                          |  |                   |  |                                                                                                                           |  |                                                                                                          |  |                               |             |             |             |             |  |                           |              |            
|------------------------- |  | ----------------- |  | ------------------------------------------------------------------------------------------------------------------------- |  | -------------------------------------------------------------------------------------------------------- |  | ----------------------------- | ----------- | ----------- | ----------- | ----------- |  | ------------------------- | ------------ | -----------
|Name                      |  | Benefit           |  | Before
        Change in
        Control
        Termination
        w/o Cause
        or for
        Good
        Reason |  | After Change in
        Control
        Termination
        w/o Cause or
        for Good
        Reason |  | Voluntary
        Termination |             | Death       |             | Disability  |  | Change in
        Control | Basic salary |            
|                          |  |                   |  |                                                                                                                           |  |                                                                                                          |  |                               |             |             |             |             |  | -                         |              |            
|Ronald
    Carter         |  | 2009
        2010 |  | 0
        0                                                                                                               |  | 0
        0                                                                                              |  | 0
        0                   | 0
        0 | 0
        0 |             | 0
        0 |  | 0
        0               |              | 0
        0
|                          |  |                   |  |                                                                                                                           |  |                                                                                                          |  |                               |             |            
|Garry Stevenson           |  | 2009
        2010 |  | 0
        0                                                                                                               |  | 0
        0                                                                                              |  | 0
        0                   | 0
        0 | 0
        0 | 0
        0 | 0
        0 |  | 0
        0               |              | 0
        0
|Bethiel
    Tesfasillasie |  | 2009
        2010 |  | 0
        0                                                                                                               |  | 0
        0                                                                                              |  | 0
        0                   | 0
        0 | 0
        0 | 0
        0 | 0
        0 |  | 0
        0               |              | 0
        0
|Claude
    McDougal       |  | 2009
        2010 |  | 0
        0                                                                                                               |  | 0
        0                                                                                              |  | 0
        0                   | 0
        0 | 0
        0 | 0
        0 | 0
        0 |  | 0
        0               |              | 0
        0
|Solomon
    Ali           |  | 2009
        2010 |  | 0
        0                                                                                                               |  | 0
        0                                                                                              |  | 0
        0                   | 0
        0 | 0
        0 | 0
        0 | 0
        0 |  | 0
        0               |              | 0
        0
|                          |  |                   |  |                                                                                                                           |  |                                                                                                          |  |                               |             |             |             |             |  |                           |              |            



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Item 12.    Security
Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters



The
following table contains certain information as of December 31, 2010as to the number of shares
of Common Stock beneficially owned by (i) each person known by the Company to own beneficially more than 5% of the Company’s
Common Stock, (ii) each person who is a Director of the Company, (iii) all persons as a group who are Directors and Officers of
the Company, and as to the percentage of the outstanding shares held by them on such dates.



Current

Name and Position
Shares 	Percentage



|Ron Carter
        President/CEO, Director         | 10,241,960 | .2705 
|-------------------------------------------------- | ---------- | ------
|Garry
    Stevenson, Vice President, CFO, Director | 2,050,600  | .0542 
|Bethiel
    Tesfasillasie, Director                | 434,800    | .0115 
|Claude
    McDougal, Vice President, Director      | 1,882,713  | .0497 
|Solomon
    Ali, Vice President, Director          | 2,824,071  | .0746 
|Totals                                             | 17,434,144 | 46.05%



DESCRIPTION OF SECURITIES



Our
authorized capital stock consists of 65,000,000 shares of Common Stock, par value $.001 per share. The following statements relating
to the capital stock set forth the material terms of our securities; however, reference is made to the more detailed provisions
of, and such statements are qualified in their entirety by reference to, the Certificate of Incorporation, amendment to the Certificate
of Incorporation and the By-laws, copies of which are filed as exhibits to this registration statement.



COMMON STOCK



Holders
of shares of common stock are entitled to one vote for each share on all matters to be voted on by the stockholders. Holders of
common stock do not have cumulative voting rights. Holders of common stock are entitled to share ratably in dividends, if any,
as may be declared from time to time by the Board of Directors in its discretion from funds legally available therefore. In the
event of a liquidation, dissolution or winding up of the Company, the holders of common stock are entitled to share pro rata all
assets remaining after payment in full of all liabilities. All of the outstanding shares of common stock are fully paid and non-assessable.
Holders of common stock have no preemptive rights to purchase our common stock. There are no conversion or redemption rights or
sinking fund provisions with respect to the common stock.



The
Board of Directors does not at present intend to seek stockholder approval prior to any issuance of currently authorized stock,
unless otherwise required by law or stock exchange rules.



PREFERRED
STOCK



The
Company is authorized to issue 10,000,000 shares of Preferred Stock, $0.001 par value, of which none shares have issued. beenThe Board of Directors may issue such shares of Preferred Stock in one or more series, with such voting powers, designations,
preferences and rights or qualifications, limitations or restrictions thereof as shall be stated in the resolution or resolutions.



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DIVIDENDS



Dividends,
if any, will be contingent upon our revenues and earnings, if any, capital requirements and financial conditions. The payment
of dividends, if any, will be within the discretion of our Board of Directors. We presently intend to retain all earnings, if
any, for use in its business operations and accordingly, the Board of Directors does not anticipate declaring any dividends prior
to a business combination.



INDEMNIFICATION OF DIRECTORS AND
OFFICERS.



Neither
our Articles of Incorporation nor Bylaws prevent us from indemnifying our officers, directors and agents to the extent permitted
under the Nevada Revised Statute ("NRS"). NRS Section 78.502, provides that a corporation shall indemnify any director,
officer, employee or agent of a corporation against expenses, including attorneys' fees, actually and reasonably incurred by him
in connection with any the defense to the extent that a director, officer, employee or agent of a corporation has been successful
on the merits or otherwise in defense of any action, suit or proceeding referred to Section 78.502(1) or 78.502(2), or in defense
of any claim, issue or matter therein.



NRS
78.502(1) provides that a corporation may indemnify any person who was or is a party or is threatened to be made a party to any
threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative, except
an action by or in the right of the corporation, by reason of the fact that he is or was a director, officer, employee or agent
of the corporation, or is or was serving at the request of the corporation as a director, officer, employee or agent of another
corporation, partnership, joint venture, trust or other enterprise, against expenses, including attorneys' fees, judgments, fines
and amounts paid in settlement actually and reasonably incurred by him in connection with the action, suit or proceeding if he:
(a) is not liable pursuant to NRS 78.138; or (b) acted in good faith and in a manner which he reasonably believed to be in or
not opposed to the best interests of the corporation, and, with respect to any criminal action or proceeding, had no reasonable
cause to believe his conduct was unlawful.



NRS
Section 78.502(2) provides that a corporation may indemnify any person who was or is a party or is threatened to be made a party
to any threatened, pending or completed action or suit by or in the right of the corporation to procure a judgment in its favor
by reason of the fact that he is or was a director, officer, employee or agent of the corporation, or is or was serving at the
request of the corporation as a director, officer, employee or agent of another corporation, partnership, joint venture, trust
or other enterprise against expenses, including amounts paid in settlement and attorneys' fees actually and reasonably incurred
by him in connection with the defense or settlement of the action or suit if he: (a) is not liable pursuant to NRS 78.138; or
(b) acted in good faith and in a manner which he reasonably believed to be in or not opposed to the best interests of the corporation.
Indemnification may not be made for any claim, issue or matter as to which such a person has been adjudged by a court of competent
jurisdiction, after exhaustion of all appeals there from, to be liable to the corporation or for amounts paid in settlement to
the corporation, unless and only to the extent that the court in which the action or suit was brought or other court of competent
jurisdiction determines upon application that in view of all the circumstances of the case, the person is fairly and reasonably
entitled to indemnity for such expenses as the court deems proper.



NRS
Section 78.747 provides that except as otherwise provided by specific statute, no director or officer of a corporation is individually
liable for a debt or liability of the corporation, unless the director or officer acts as the alter ego of the corporation. The
court as a matter of law must determine the question of whether a director or officer acts as the alter ego of a corporation.



No
pending material litigation or proceeding involving our directors, executive officers, employees or other agents as to which indemnification
is being sought exists, and we are not aware of any pending or threatened material litigation that may result in claims for indemnification
by any of our directors or executive officers.



Insofar
as indemnification for liabilities arising under the Securities Act may be permitted to directors, officers or persons controlling
us pursuant to the foregoing provisions, we have been informed that, in the opinion of the Securities and Exchange Commission,
such indemnification is against public policy as expressed in the Securities Act and is therefore unenforceable. In the event
that a claim for indemnification against such liabilities (other than the payment by the registrant of expenses incurred or paid
by a director, officer or controlling person of the registrant in the successful defense of any action, suit or proceeding) is
asserted by such director, officer or controlling person in connection with the securities being registered, we will, unless in
the opinion of our counsel the matter has been settled by controlling precedent, submit to a court of appropriate jurisdiction
the question whether such indemnification by us is against public policy as expressed hereby in the Securities Act and we will
be governed by the final adjudication of such issue.

Amendment
of our Bylaws

Our
bylaws may be adopted, amended or repealed by the affirmative vote of a majority of our outstanding shares. Subject to applicable
law, our bylaws also may be adopted, amended or repealed by our Board of Directors.



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Item 13.    Certain
Relationships and Related Transactions, and Director Independence

On
January 19, 2005, the Company entered into a Consulting Services Agreement with Sedgefield Capital Corporation, a North Carolina
management consultant firm. Sedgefield agreed to provide a range of advisory services including services related to payments of
the preparation of a suitable private placement and a follow on registration statement seeking to register the shares sold in
the 2005 private placement. Among other things, Sedgefield agreed to assist the Company in selecting securities counsel, auditors,
transfer agents, edgarizing service providers, provide assistance in the selection of accounting services. They have also introduced
the Company to strategic partners for marketing, public relations and distribution.



The
company paid Sedgefield $150,000 and issued 670,000 restricted common shares, to date under the Agreement with Sedgefield Capital
Corporation. Sedgefield owns less than 1% 0f the issued and outstanding shares of the Company. These fees were to cover the costs
of legal and audit expenses in connection with the public offering, initial listing in a recognized securities manual such as
Standard & Poors or Mergent, registration fees and costs, costs of “Edgarization” and other services required
for effectiveness. Sedgefield also assisted in the negotiations with our transfer agents, and has agreed to assist in preparation
of materials and to attend meetings, roadshows and consultations with brokers and other industry professionals. A significant
portion of these services continued for some time after we had established a trading market.



Gene
Johnston, who is affiliated with Sedgefield, has agreed to assist the Company with bookkeeping and to work with our tax accountants
and auditor in preparing information requested. These are areas that were not a part of the agreement with Sedgefield. Mr. Johnston
is not under contract, but has agreed to work on a month to month basis, until the Company is in a position to staff the accounting
area.



As
of December 31, 2007, the Company mutually terminated a marketing and public relations agreement with Red Moon Marketing, Inc.
and NexCom, both of Charlotte, North Carolina. These agreements involved marketing to a specific Fortune 1000 company, but discussions
with that company ended in 2007. The Company paid $83,580.10 to NexCom (Chad T. Jenkins) along with 56,000 shares of restricted
common stock and $50,000 to Red Moon and 87,500 sharers of restricted common stock. Red Moon created the website for the Company
and provided certain maintenance and upgrades during the existence of their agreement. NexCom made introductions to Motorola Corporation
to enter into a joint venture or similar manufacturing and marketing agreement. NexCom continued discussions on our behalf and
believed them to be successful until Motorola decided to completely exit the security monitoring space to focus on core needs.
Shortly thereafter we terminated the agreement with NexCom



Unpaid Capital
Contributions



As of December
31, 2009, the Company had Loans to Shareholders of approximately $157,585 to its officers and directors. As of December 31, 2010,
the outstanding loans were $109,952. The advances carry an interest rate of 5% and have been recorded as “Unpaid Capital
Contributions”. In the event that the loans are not fully repaid, any shortfall will be written off as compensation expense
in our income statement.

Stock
Option Agreements

The
Company has not entered into stock option agreements with the any individuals or companies. The management does anticipate that
to secure the services of certain prospective employee that a stock option plan will need to be effective in the very near future.
The Company anticipates that such a plan would allow for options at competitive market rates.



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Item 14.    Principal
Accounting Fees and Services

Thefinancial statements for the years ended December 31, 2009 and 2010 have been audited by our auditors, Bongiovanni &
Associates, P.A.  The Chief Executive Officer pre-approves all audit and non-audit services prior to the performance of services
by our independent accountants.  The percentage of hours expended on the audit by persons other than full time, permanent
employees of each accounting firm was 20 hours.



Audit Fees



Aggregate
fees billed to us during years ended December 31, 2009 and 2010 for professional services by our principal accountants, for the
audit of our annual financial statements and the review of quarterly financial statements were $3,000 and $2,000, respectively.



Audit-Related Fees



There
were no fees billed to us in the previous two fiscal years for assurance and related services our principal accountants that are
reasonably related to the performance of the audit or review of our financial statements and that are not reported in the previous
paragraph.



Tax Fees



Aggregate
fees billed to us during the years ended December 31, 2009 and 2010 for professional services by our principal accountants for
tax compliance, tax advice, and tax planning were $500 and $500, respectively.



All Other Fees



Aggregate
fees billed during the years ended December 31, 2009 and 2010 for products or other services by our principal accountants that
are not reported in the previous three paragraphs were $3,133 and $0, respectively.



Item 15.    Exhibits,
Financial Statement Schedules

(a)	Documents included as part
of this report:

1. The financial statements
for the Registrant are included in this report.



|Balance Sheets at December 31, 2009 and
    2010;                                       |  |  | 37 | 
|--------------------------------------------------------------------------------------- |  |  | -- | 
|Statements of Operations for the years ended December 31,
    2009 and 2010; 38         |  |  | —  | 
|Statements of Stockholders' Deficit for the years ended
    December 31, 2009 and 2010; |  |  | 39 | 
|Statements of Cash Flows for the years ended December 31,
    2009, and 2010;           |  |  | 41 | 
|Notes to Financial Statements 42                                                        |  |  |    | 
|                                                                                        |  |  |    | 



2. See the Index to Exhibits on page 50
of this Form 10-K. 50



(b)Exhibits required by Item 601
of Regulation S-K. See item (a) 3 above. 51



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BONGIOVANNI
& ASSOCIATES, C.P.A.’s

19720 Jetton
Road, 3 rd Floor

Cornelius,
North Carolina 28031 (USA)





Report of
Independent Registered Public Accounting Firm





To the Board of Directors of

Revolutionary Concepts, Inc.



We have audited
the accompanying balance sheet of Revolutionary Concepts, Inc. (“The Company”) as of December 31, 2010, and the statements
of loss, stockholders’ accumulated deficit, and cash flows for the year ended December 31, 2010. These financial statements
are the responsibility of the Company’s management. Our responsibility is to express an opinion on these financial statements
based on our audit.



We conducted
our audit in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require
that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material
misstatement. The Company is not required to have nor were we engaged to perform an audit of its internal control over financial
reporting. Our audit included consideration of internal control over financial reporting as a basis for designing audit procedures
that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness for the Company’s
internal control over financial reporting. Accordingly, we express no such opinion. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles
used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe
that our audit provides a reasonable basis for our opinion.



In our opinion,
the financial statements referred to above present fairly, in all material respects, the financial position of Revolutionary Concepts,
Inc. as of December 31, 2010 and the results of its operations and its cash flows for the year ended December 31, 2010, in conformity
with accounting principles generally accepted in the United States of America.



The accompanying
financial statements have been prepared assuming that the Company will continue as a going concern. The Company has suffered recurring
losses, negative cash flows from operations and has a net working capital deficiency, factors which raise substantial doubt about
the Company's ability to continue as a going concern. Management's plans in regards to these matters are described in note 1.
The financial statements do not include any adjustments that might result from the outcome of this uncertainty.





/s/ Bongiovanni & Associates

Bongiovanni & Associates

Certified Public Accountants

Cornelius, North Carolina

The United States of America

May 18, 2011





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Revolutionary
Concepts, Inc.

(A Development
Stage Company)



Balance Sheets

as of December
31,



|                                                              |  | 2010 |            | 2009
|------------------------------------------------------------- |  | ---- | ---------- | ----
|ASSETS                                                        |  |      |            |     
|Current
    Assets                                            |  |      |            |     
|Cash
    and Cash Equivalents                                 |  | $    | 184        |     
|Total Current Assets                                          |  |      | 184        |     
|                                                              |  |      |            |     
|Fixed Assets                                                  |  |      |            |     
|Accumulated Depreciation                                      |  |      | (10,577    | )   
|Computer                                                      |  |      | 11,331     |     
|Total Fixed Assets                                            |  |      | 754        |     
|Other Assets                                                  |  |      |            |     
|Accumulated Amortization                                      |  |      | (74,602    | )   
|Security Deposits                                             |  |      | 1,500      |     
|Organizational Costs                                          |  |      | —          |     
|Prepaids                                                      |  |      | 12,000     |     
|Patent
    Costs                                              |  |      | 88,306     |     
|Total Other Assets                                            |  |      | 27,204     |     
|                                                              |  |      |            |     
|TOTAL
    ASSETS                                              |  | $    | 28,142     |     
|                                                              |  |      |            |     
|LIABILITIES AND STOCKHOLDERS'
    EQUITY                      |  |      |            |     
|Current Liabilities                                           |  |      |            |     
|Accounts Payable                                              |  | $    | 28,646     |     
|Notes Payable                                                 |  |      | 77,785     |     
|Long Term Notes Payable                                       |  |      | 338,763    |     
|Accrued
    Payroll expenses                                  |  |      | 214,946    |     
|Total Current Liabilities                                     |  |      | 643,401    |     
|                                                              |  |      |            |     
|Stockholders' Equity                                          |  |      |            |     
|Preferred Stock 10,000,000
    shares authorized, none issued |  |      |            |     
|Common Stock, .001
    par value, 19,606,611 shares           |  |      |            |     
|issued and outstanding,
    65,000,000 authorized             |  |      | 37,858     |     
|Paid in Capital                                               |  |      | 2,248,651  |     
|Unpaid Capital contributions                                  |  |      | (109,952   | )   
|Deficit
    accumulated during the development stage          |  |      | (2,814,046 | )   
|                                                              |  |      | (637,489   | )   
|                                                              |  |      |            |     
|TOTAL
    LIABILITIES AND STOCKHOLDERS' EQUITY                |  | $    | 28,142     |     







See notes to financial
statements



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Revolutionary
Concepts, Inc.

(A Development
Stage Company)

STATEMENT OF
INCOME (LOSS)

For years ending
December 31, 2009 and 2010

and the period
from March 12, 2004 (Inception) to December 31, 2020





|                                          |  |                  |            |                  |  | March
    12, 2004
|----------------------------------------- |  | ---------------- | ---------- | ---------------- |  | ------------------
|                                          |  | Year
    Ending  |            | Year
    Ending  |  | (Inception)
    to
|                                          |  | December
    31, |            | December
    31, |  | December
    31,  
|                                          |  | 2009             |            | 2009             |  | 2010              
|                                          |  |                  |            |                  |  |                   
|OPERATING
    EXPENSES                    |  |                  |            |                  |  |                   
|Automobile Expense                        |  | $                | 4,608      |                  |  | $                 
|Bank Charges                              |  |                  | 713        |                  |  |                   
|Compensation                              |  |                  | 184,625    |                  |  |                   
|Depreciation and
    Amortization Expense |  |                  | 13,352     |                  |  |                   
|Interest Expense                          |  |                  | 92,880     |                  |  |                   
|License and Permits                       |  |                  | 500        |                  |  |                   
|Office Expense                            |  |                  | 3,436      |                  |  |                   
|Office Supplies                           |  |                  | 971        |                  |  |                   
|Payroll taxes                             |  |                  | 11,936     |                  |  |                   
|Printing and Reproduction                 |  |                  | 570        |                  |  |                   
|Professional Fees                         |  |                  | 597,648    |                  |  |                   
|Product Research
    and Development      |  |                  |            |                  |  |                   
|Taxes                                     |  |                  | 64         |                  |  |                   
|Telephone Expense                         |  |                  | 1,192      |                  |  |                   
|Travel Expense                            |  |                  | 3,792      |                  |  |                   
|Website Development                       |  |                  | 729        |                  |  |                   
|Other
    Expenses                        |  |                  | 1,217      |                  |  |                   
|Total Operating Expenses                  |  | $                | 916,003    |                  |  | $                 
|                                          |  |                  |            |                  |  |                   
|OTHER
    INCOME                          |  |                  |            |                  |  |                   
|Interest
    and other income             |  |                  | 5,754      |                  |  |                   
|                                          |  |                  |            |                  |  |                   
|NET
    (LOSS)                            |  | $                | (912,479   | )                |  |                   
|                                          |  |                  |            |                  |  |                   
|                                          |  |                  |            |                  |  |                   
|Weighted number of
    shares outstanding |  |                  | 20,870,596 |                  |  |                   
|                                          |  |                  |            |                  |  |                   
|(Loss) per weighted
    number of shares  |  |                  |            |                  |  |                   
|outstanding                               |  |                  | (0.04      | )                |  |                   



See notes to financial
statements



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Revolutionary
Concepts, Inc.

(A Development
Stage Company)



STATEMENTS
OF STOCKHOLDER'S ACUMULATED DEFICIT

For the years
ending December 31,

2004,
2005, 2006, 2007, 2008, 2009 and 2010



|                                           |  |               |            |       |  |             |        | Unpaid       |  |             |           |      
|------------------------------------------ |  | ------------- | ---------- | ----- |  | ----------- | ------ | ------------ |  | ----------- | --------- | -----
|                                           |  | Number
    of |            | Par   |  | Paid
    in |        | Capital      |  | Accumulated |           |      
|                                           |  | Shares        |            | Value |  | Capital     |        | Contribution |  | (Deficit)   |           | Total
|BALANCE
    MARCH 12, 2004                 |  |               | 10,000     |       |  |             | 1      |              |  |             | 32,499    |      
|(Date of Inception)                        |  |               |            |       |  |             |        |              |  |             |           |      
|Contributed Capital                        |  |               |            |       |  |             |        |              |  |             | 99,500    |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Unpaid capital contributions               |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Net (Loss)                                 |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|BALANCE DECEMBER
    31, 2004              |  |               | 10,000     |       |  | $           | 1      |              |  | $           | 131,999   |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Shares issued after
    re-domicile        |  |               | 15,990,000 |       |  |             | 15,999 |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Shares for professional
    services       |  |               | 1,000,000  |       |  |             | 1,000  |              |  |             | 99,000    |      
|Issued February 2005
    at $.10 per share |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Private Placement
    Memorandum I         |  |               | 850,000    |       |  |             | 850    |              |  |             | 455,151   |      
|Issued from March
    2005 to 12/31/05     |  |               |            |       |  |             |        |              |  |             |           |      
|at $.50 per share                          |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Unpaid capital contributions               |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Net (Loss)                                 |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|BALANCE DECEMBER
    31, 2005              |  |               | 17,850,000 |       |  | $           | 17,850 |              |  | $           | 686,150   |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Private Placement
    Memorandum I         |  |               | 150,000    |       |  |             | 150    |              |  |             | 61,994    |      
|Issued from 12/31/05
    to March 2006     |  |               |            |       |  |             |        |              |  |             |           |      
|at $.50 per share                          |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Shares repurchased
    with cash           |  |               | (144,000   | )     |  |             | (144   | )            |  |             | (9,500    | )    
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Capital contributions
    repaid           |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Net (Loss)                                 |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|BALANCE
    DECEMBER 31, 2006              |  |               | 17,856,000 |       |  | $           | 17,856 |              |  | $           | 738,644   |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Private Placement
    Memorandum II        |  |               | 642,200    |       |  |             | 642    |              |  |             | 320,458   |      
|Issued from May 2007
    to October 2007   |  |               |            |       |  |             |        |              |  |             |           |      
|at $.50 per share                          |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Shares for professional
    services       |  |               | 313,500    |       |  |             | 314    |              |  |             | 156,436   |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Capital contributions
    repaid           |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Net (Loss)                                 |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|BALANCE
    DECEMBER 31, 2007              |  |               | 18,811,700 |       |  | $           | 18,812 |              |  | $           | 1,215,538 |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Shares issued for
    retirement of debt   |  |               | 630,811    |       |  |             | 631    |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Paid in capital                            |  |               |            |       |  |             |        |              |  |             | 314,775   |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Unpaid capital contributions               |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Net (Loss)                                 |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|BALANCE
    DECEMBER 31, 2008              |  |               | 19,442,511 |       |  | $           | 19,443 |              |  | $           | 1,530,313 |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Shares issued for
    warrants             |  |               | 20,000     |       |  |             | 20     |              |  |             | 15,480    |      
|10,000 Class A @0.65/share                 |  |               |            |       |  |             |        |              |  |             |           |      
|10,000 Class B @0.90/share                 |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Private Placement
    Memorandum III       |  |               | 111,600    |       |  |             | 112    |              |  |             | 139,388   |      
|Issued from April
    21 to Sept. 30, 2009 |  |               |            |       |  |             |        |              |  |             |           |      
|at $1.25 per share                         |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Shares for professional
    services       |  |               | 32,500     |       |  |             | 32     |              |  |             | 40,593    |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Unpaid capital contributions               |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Net (Loss)                                 |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|BALANCE
    DECEMBER 31, 2009              |  |               | 19,606,611 |       |  | $           | 19,607 |              |  | $           | 1,725,774 |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Shares for services                        |  |               | 18,250,922 |       |  |             | 18,251 |              |  |             | 522,877   |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Unpaid capital contributions               |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|Net (Loss)                                 |  |               |            |       |  |             |        |              |  |             |           |      
|                                           |  |               |            |       |  |             |        |              |  |             |           |      
|BALANCE
    DECEMBER 31, 2010              |  |               | 37,857,533 |       |  | $           | 37,858 |              |  | $           | 2,248,651 |      









See notes to financial
statements





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Table of Contents




Revolutionary
Concepts, Inc.

(A Development
Stage Company)



STATEMENTS
OF CASH FLOWS

For the years
ending December 31, 20098 and 2009

and the period
from March 12, 2004 (Inception) to December 31, 2009



|                                                                                          |  |                  |            |                  |  | March
    12, 2004
|----------------------------------------------------------------------------------------- |  | ---------------- | ---------- | ---------------- |  | ------------------
|                                                                                          |  | Year ended       |            | Year ended       |  | (Inception)
    to
|                                                                                          |  | December
    31, |            | December
    31, |  | December
    31,  
|                                                                                          |  | 2010             |            | 2009             |  | 2010              
|CASH
    FLOWS FROM OPERATING ACTIVITIES                                                  |  |                  |            |                  |  |                   
|Net (Loss)                                                                                |  | $                | (912,479   | )                |  |                   
|Adjustments to reconcile
    net loss to net cash from operating activities:              |  |                  |            |                  |  |                   
|Depreciation and amortization                                                             |  |                  | 13,352     |                  |  |                   
|(Increase) in other
    assets                                                            |  |                  | (12,000.00 | )                |  |                   
|Common stock shares
    and paid in capital for services                                  |  |                  | 522,877    |                  |  |                   
|Increase
    in (decrease) accounts payable, long term notes payable and accrued expenses |  |                  | 263,354    |                  |  |                   
|NET CASH USED BY OPERATING
    ACTIVITIES                                                 |  |                  | (122,666   | )                |  |                   
|                                                                                          |  |                  |            |                  |  |                   
|CASH FLOWS FROM INVESTING
    ACTIVITIES                                                  |  |                  |            |                  |  |                   
|Purchase of equipment                                                                     |  |                  | —          |                  |  |                   
|Investment
    in patent costs                                                            |  |                  | —          |                  |  |                   
|NET CASH USED BY INVESTING
    ACTIVITIES                                                 |  |                  | —          |                  |  |                   
|                                                                                          |  |                  |            |                  |  |                   
|CASH FLOWS FROM FINANCING
    ACTIVITIES                                                  |  |                  |            |                  |  |                   
|Issuance of common
    stock shares from private placements                               |  |                  | —          |                  |  |                   
|Issuance of common
    stock shares for warrants                                          |  |                  | —          |                  |  |                   
|Issuance of common
    stock shares for retirement of liabilities                         |  |                  | 18,251     |                  |  |                   
|Issuance of notes
    payable                                                             |  |                  | 56,966     |                  |  |                   
|Retirement of notes
    payable                                                           |  |                  | —          |                  |  |                   
|Paid in capital from
    private placements and warrants                                  |  |                  | —          |                  |  |                   
|Capital contributions                                                                     |  |                  | —          |                  |  |                   
|Common stock shares
    repurchased with cash                                             |  |                  | —          |                  |  |                   
|Unpaid
    capital contributions                                                          |  |                  | 47,633     |                  |  |                   
|NET CASH PROVIDED
    BY FINANCING ACTIVITIES                                             |  |                  | 123,098    |                  |  |                   
|                                                                                          |  |                  |            |                  |  |                   
|NET INCREASE(DECREASE)
    IN CASH                                                        |  |                  | 184        |                  |  |                   
|                                                                                          |  |                  |            |                  |  |                   
|CASH
    BALANCE BEGINNING OF PERIOD                                                      |  |                  | 0          |                  |  |                   
|                                                                                          |  |                  |            |                  |  |                   
|CASH
    BALANCE END OF PERIOD                                                            |  | $                | 184        |                  |  |                   
|                                                                                          |  |                  |            |                  |  |                   
|SUPPLEMENTAL DISCLOSURES                                                                  |  |                  |            |                  |  |                   
|Interest
    paid                                                                         |  | $                | 88,970     |                  |  |                   





See notes to financial
statements





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Table of Contents




REVOLUTIONARY
CONCEPTS, INC.

(A
Development Stage Company)

NOTES TO FINANCIAL
STATEMENTS as of December 31, 2010



NOTE 1 - SUMMARY OF SIGNIFICANT
ACCOUNTING POLICIES



Nature of
operations- Revolutionary Concepts, Inc. (the “Company”) was originally organized in North Carolina on March
12, 2004.  On February 28, 2005 the Company was reorganized and re-domiciled as a Nevada corporation.  The
Company is in the product development stage.  Recently, the Company completed the initial development of a working prototype
of the EyeTalk Communicator (“EyeTalk”).  This technology has many applications.  The EyeTalk
specifically provides wireless technology that offers consumers an opportunity to interact with visitors to their front door.  This
is initiated through a doorbell or a motion sensor, which sets off a series of events that result in a phone call to the consumer
who then can interact with the visitor through both video and audio.  This same wireless technology could also be made
portable so that you could see a child’s sporting event or school play even when you not present.  The Company
is also exploring other applications for the technology.  The company may need to raise additional capital to further
develop the EyeTalk and to begin the commercialization of the EyeTalk technology.  They have obtained a patent on certain
key components of the technology.



Basis of
presentation- These financial statements have been prepared in conformity with generally accepted accounting principles in
the United States of America and have been consistently applied in the preparation of the financial statements on a going concern
basis, which assumes the realization of assets and the discharge of liabilities in the normal course of operations for the foreseeable
future.  The Company maintains its financial records on an accrual method of accounting.  The Company’s
ability to continue as a going concern is dependent upon continued ability to obtain financing to repay its current obligations
and fund working capital until it is able to achieve profitable operations.  The Company will seek to obtain capital
from equity financing through the exercise of warrants and through future common share private placements.  The Company
may also seek debt financing, if available.  Management hopes to realize sufficient sales in future years to achieve
profitable operations.  There can be no assurance that the Company will be able to raise sufficient debt or equity capital
on satisfactory terms.  If management is unsuccessful in obtaining financing or achieving profitable operations, the
Company may be required to cease operations.  The outcome of these matters cannot be predicted at this time.  These
financial statements do not give effect to any adjustments which could be necessary should the Company be unable to continue as
a going concern and, therefore, be required to realize its assets and discharge its liabilities in other than the normal course
of business and at amounts differing from those reflected in the financial statements.



Revenue recognition– The Company will recognize sales revenue at the time of delivery when ownership has transferred to the customer, when
evidence of a payment arrangement exists and the sales proceeds are determinable and collectable.  Provisions will be
recorded for product returns based on historical experience.  To date, the Company’s revenue is primarily comprised
of interest income.



Options and
warrants issued– The Company allocates the proceeds received from equity financing and the attached options and warrants
issued, based on their relative fair values, at the time of issuance.  The amount allocated to the options and warrants
is recorded as additional paid in capital.



Stock-based
compensation– The Company will account for its employee stock based compensation arrangements in accordance with the
provisions of Accounting Principles Board (“APB”) Opinion No. 25.  “Accounting for Stock Issued to
Employees”, and related interpretations.  As such, compensation expense for stock options, common stock and other
equity instruments issued to non-employees for services received will be based upon the fair value of the equity instruments issued,
as the services are provided and the securities earned.  SFAS No. 123, “Accounting for Stock-Based Compensation”,
requires entities that continue to apply the provisions of APB Opinion No. 25 for transactions with employees to provide pro forma
net earnings (loss) and pro forma earnings (loss) per share disclosures for employee stock option grants as if the fair-value-based
method defined in SFAS No. 123 had been applied to these transactions.  For the period from inception (March 12, 2004)
to December 31, 2007, no stock options were committed to be issued to employees.



Income taxes– Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized
for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets
and liabilities and their respective tax bases and operating loss carry forwards that are available to be carried forward to future
years for tax purposes.  Deferred tax assets and liabilities are measured using enacted tax rates expected to apply
to taxable income in the years in which those temporary differences are expected to be recovered or settled.  The effect
on deferred tax assets and liabilities of a change



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Table of Contents






REVOLUTIONARY
CONCEPTS, INC.

(A
Development Stage Company)

NOTES TO FINANCIAL
STATEMENTS as of December 31, 2010



NOTE 1 - SUMMARY OF SIGNIFICANT
ACCOUNTING POLICIES (Continued)



in tax rates
is recognized in income in the period that includes the enactment date.  When it is not considered to be more likely
than not that a deferred tax asset will be realized, a valuation allowance is provided for the excess.  Although the
Company has significant loss carry forwards available to reduce future income for tax purposes, no amount has been reflected on
the balance sheet for deferred income taxes as any deferred tax asset has been fully offset by a valuation allowance.



Loss per
share– Basic loss per share has been calculated using the weighted average number of common shares issued and outstanding
during the year.



Use of Estimates- The preparation of the financial statements in conformity with generally accepted accounting principles requires
management to make certain estimates and assumptions, where applicable, that affect the reported amounts of assets and liabilities
and disclosures of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts
of revenues and expenses during the reporting period. While actual results could differ from those estimates, management does
not expect such variances, if any, to have a material effect on the financial statements.



Research
and Development Costs- Research and development costs are expensed as incurred in accordance with generally accepted accounting
principles in the United States of America.   Researchis planned search or critical investigation aimed at discovery
of new knowledge with the hope that such knowledge will be useful in developing a new product or service or a new process or technique
or in bringing about a significant improvement to an existing product or process. Development is the translation
of research findings or other knowledge into a plan or design for a new product or process or for a significant improvement to
an existing product or process whether intended for sale or use. It includes the conceptual formulation, design, and testing of
product alternatives, construction of prototypes, and operation of pilot plants. It does not include routine or periodic alterations
to existing products, production lines, manufacturing processes, and other on-going operations even though those alterations may
represent improvements and it does not include market research or market testing activities. Elements of costs shall be identified
with research and development activities as follows:  The costs of materials and equipment or facilities that are acquired
or constructed for research and development activities and that have alternative future uses shall be capitalized as tangible
assets when acquired or constructed. The cost of such materials consumed in research and development activities and the depreciation
of such equipment or facilities used in those activities are research and development costs. However, the costs of materials,
equipment, or facilities that are acquired or constructed for a particular research and development project and that have no alternative
future uses and therefore no separate economic values are research and development costs at the time the costs are incurred.  Salaries,
wages, and other related costs of personnel engaged in research and development activities shall be included in research and development
costs. The costs of contract services performed by others in connection with the research and development activities
of an enterprise, including research and development conducted by others in behalf of the enterprise, shall be included in research
and development costs.



Depreciation– is computed
using the straight-line method over the assets’ expected useful lives.



Amortization– Deferred
charges are amortized using the straight-line method over six years.



NOTE 2 – RECENT ACCOUNTING
PRONOUNCEMENTS



The Company
has reviewed all recently issued, but not yet effective, accounting pronouncements and do not believe the future adoption of any
such pronouncements may be expected to cause a material impact on its financial condition or the results of its operations.



FASB Accounting Standards Codification



(Accounting Standards Update (“ASU”)
2009-01)



In June
2009, FASB approved the FASB Accounting Standards Codification (“the Codification”) as the single source of authoritative
nongovernmental GAAP. All existing accounting standard documents, such as FASB, American Institute of Certified Public Accountants,
Emerging Issues Task Force and other related literature, excluding guidance from the Securities and Exchange



(47)


Table of Contents




REVOLUTIONARY
CONCEPTS, INC.

(A
Development Stage Company)

NOTES TO FINANCIAL
STATEMENTS as of December 31, 2010



NOTE 2 – RECENT ACCOUNTING
PRONOUNCEMENTS (Continued)



Commission (“SEC”),
have been superseded by the Codification. All other non-grandfathered, non-SEC accounting literature not included in the Codification
has become non-authoritative. The Codification did not change GAAP, but instead introduced a new structure that combines all authoritative
standards into a comprehensive, topically organized online database. The Codification is effective for interim or annual periods
ending after September 15, 2009, and impacts the Company’s financial statements as all future references to authoritative
accounting literature will be referenced in accordance with the Codification. There have been no changes to the content of the
Company’s financial statements or disclosures as a result of implementing the Codification during the fiscal year ended
December 31, 2009.



As a result
of the Company’s implementation of the Codification during the fiscal year ended December 31, 2009, previous references
to new accounting standards and literature are no longer applicable. In the current annual financial statements, the Company will
provide reference to both new and old guidance to assist in understanding the impacts of recently adopted accounting literature,
particularly for guidance adopted since the beginning of the current fiscal year but prior to the Codification.



Subsequent Events



(Included in
Accounting Standards Codification (“ASC”) 855 “Subsequent Events”, previously SFAS No. 165 “Subsequent
Events”)



SFAS No. 165
established general standards of accounting for and disclosure of events that occur after the balance sheet date, but before the
financial statements are issued or available to be issued (“subsequent events”). An entity is required to disclose
the date through which subsequent events have been evaluated and the basis for that date. For public entities, this is the date
the financial statements are issued. SFAS No. 165 does not apply to subsequent events or transactions that are within the scope
of other GAAP and did not result in significant changes in the subsequent events reported by the Company. SFAS No. 165 became
effective for interim or annual periods ending after June 15, 2009 and did not impact the Company’s financial statements.
The Company evaluated for subsequent events through the issuance date of the Company’s financial statements. No recognized
or non-recognized subsequent events were noted.



Determination of the Useful Life
of Intangible Assets



(Included in
ASC 350 “Intangibles — Goodwill and Other”, previously FSP SFAS No. 142-3 “Determination of the Useful
Lives of Intangible Assets”)



FSP SFAS
No. 142-3 amended the factors that should be considered in developing renewal or extension assumptions used to determine the useful
life of a recognized intangible asset under previously issued goodwill and intangible assets topics. This change was intended
to improve the consistency between the useful life of a recognized intangible asset and the period of expected cash flows used
to measure the fair value of the asset under topics related to business combinations and other GAAP. The requirement for determining
useful lives must be applied prospectively to intangible assets acquired after the effective date and the disclosure requirements
must be applied prospectively to all intangible assets recognized as of, and subsequent to, the effective date. FSP SFAS No. 142-3
became effective for financial statements issued for fiscal years beginning after December 15, 2008, and interim periods within
those fiscal years. The adoption of FSP SFAS No. 142-3 did not impact the Company’s financial statements.



Non-controlling Interests



(Included in
ASC 810 “Consolidation”, previously SFAS No. 160 “Non-controlling Interests in Financial Statements an amendment
of ARB No. 51”)



SFAS No. 160
changed the accounting and reporting for minority interests such that they will be re-characterized as non-controlling interests
and classified as a component of equity. SFAS No. 160 became effective for fiscal years beginning after December 15, 2008, with
early application prohibited. The Company implemented SFAS No. 160 at the start of fiscal 2009 and no longer records an intangible
asset when the purchase price of a non-controlling interest exceeds the book value at the time of buyout. The adoption of SFAS
No. 160 did not have any other material impact on the Company’s financial statements.



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Table of Contents




REVOLUTIONARY
CONCEPTS, INC.

(A
Development Stage Company)

NOTES TO FINANCIAL
STATEMENTS as of December 31, 2010



NOTE 2 – RECENT ACCOUNTING
PRONOUNCEMENTS (Continued)



Consolidation of Variable Interest
Entities — Amended



(To be included in ASC 810 “Consolidation”,
SFAS No. 167 “Amendments to FASB Interpretation No. 46(R)”)



SFAS No. 167
amends FASB Interpretation No. 46(R) “Consolidation of Variable Interest Entities regarding certain guidance for determining
whether an entity is a variable interest entity and modifies the methods allowed for determining the primary beneficiary of a
variable interest entity. The amendments include: (1) the elimination of the exemption for qualifying special purpose entities,
(2) a new approach for determining who should consolidate a variable-interest entity, and (3) changes to when it is necessary
to reassess who should consolidate a variable-interest entity. SFAS No. 167 is effective for the first annual reporting period
beginning after November 15, 2009, with earlier adoption prohibited. The Company will adopt SFAS No. 167 in fiscal 2010 and does
not anticipate any material impact on the Company’s financial statements.



In January 2010,
the Financial Accounting Standards Board (“FASB”) issued guidance to amend the disclosure requirements related to
recurring and nonrecurring fair value measurements. The guidance requires new disclosures on the transfers of assets and
liabilities between Level 1 (quoted prices in active market for identical assets or liabilities) and Level 2 (significant other
observable inputs) of the fair value measurement hierarchy, including the reasons and the timing of the transfers. Additionally,
the guidance requires a roll forward of activities on purchases, sales, issuance, and settlements of the assets and liabilities
measured using significant unobservable inputs (Level 3 fair value measurements). The guidance became effective for the Company
with the reporting period beginning January 1, 2010, except for the disclosure on the roll forward activities for Level 3
fair value measurements, which will become effective for the Company in the reporting period beginning July 1, 2011. Other
than requiring additional disclosures, adoption of this new guidance did not have a material impact on our consolidated financial
statements.



On February 24,
2010, the FASB issued guidance in the “Subsequent Events” topic of the FASC to provide updates including: (1) requiring
the company to evaluate subsequent events through the date in which the financial



statements are
issued; (2) amending the glossary of the “Subsequent Events” topic to include the definition of “SEC filer”
and exclude the definition of “Public entity”; and (3) eliminating the requirement to disclose the date through
which subsequent events have been evaluated. This guidance was prospectively effective upon issuance. The adoption of this guidance
did not impact the Company’s consolidated results of operations of financial condition.



The Company
adopted ASC Topic 718, using a modified prospective application transition method, which establishes accounting for stock-based
awards in exchange for employee services. Under this application, the Company is required to record stock-based compensation expense
for all awards granted after the date of adoption and unvested awards that were outstanding as of the date of adoption. ASC Topic
718 requires that stock-based compensation cost is measured at grant date, based on the fair value of the award, and recognized
in expense over the requisite services period. Any subsequent changes in the market value of the underlying common stock are reflected
in the expense recorded in the subsequent period in which that change occurs.



Common stock,
stock options and warrants issued to other than employees or directors in exchange for services are recorded on the basis of their
fair value, as required by ASC Topic 718, which is measured as of the date required by ASC Topic 505-50. In accordance with ASC
Topic 505-50, the non-employee stock options or warrants are measured at their fair value as of the earlier of the date at which
a commitment for performance to earn the equity instruments is reached (“performance commitment date”) or the date
at which performance is complete (“performance completion date”).



No other accounting
standards or interpretations issued recently are expected to a have a material impact on the Company’s consolidated financial
position, operations or cash flows.

NOTE 3 – RELATED
PARTY TRANSACTIONS



The Board of
Directors have authorized the officers of the company to receive advances from the company for the foreseeable future, in lieu
of taking compensation, under terms of promissory notes bearing 5% interest, beginning January 1, 2006. As of December 31,



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Table of Contents




REVOLUTIONARY
CONCEPTS, INC.

(A
Development Stage Company)

NOTES TO FINANCIAL
STATEMENTS as of December 31, 2010



NOTE 3 – RELATED PARTY
TRANSACTIONS (Continued)



2009 and 2010
the advances totaled $157,585 and $109,952, respectively. These advances are described as unpaid capital contributions for financial
reporting purposes.

NOTE 4 – ACCOUNTS
PAYABLE



Accounts payable consist of the following:



|                                  |  | 12/31/10 |         | 12/31/09
|--------------------------------- |  | -------- | ------- | --------
|Professional
    fees             |  | $        | 28,446  |         
|Other                             |  |          | 5,491   |         
|Accrued payroll and payroll taxes |  |          | 214,946 |         
|Legal fees                        |  |          | 85,995  |         
|Consulting fees                   |  |          | 252,968 |         
|                                  |  | $        | 585,616 |         
|                                  |  |          |         |         









NOTE 5 – COMITMENTS AND
CONTENGINCIES



Liabilities
for loss contingencies, arising from claims, assessments, litigation, fines and penalties and other sources are recorded when
it is probable that a liability has been incurred and the amount of the assessment and/or remediation can be reasonably estimated.  Recoveries
from third parties, which are probable of realization are separately recorded, and are not offset against the related liability,
in accordance with FASB No. 39, “Offsetting of Amounts Related to Certain Contracts.”  The Company is the
plaintiff in a lawsuit seeking damages against the law firm retained to file for “EyeTalk” product patent.



The Company
alleges professional malpractice by a patent agent, professional malpractice by attorneys, failure to supervise a non-attorney
employee, respondent superior, misappropriation of funds and breach of contract.  The outcome of this lawsuit cannot
be determined at this time and attorney’s fees associated with the lawsuit are contingent upon a successful outcome in this
case.



In July and
August 2009 the Company issued two notes payable in the total amount of $20,000. The two notes were later combined at the note
holder’s request into on note.  The note bears interest at a rate of 10%.   Principal and interest
were due in May 2010. In 2009, the board of directors agreed to guarantee a personal loan to the President of the Company, Mr.
Ron Carter of $75,000 with interest of 10%, by a shareholder.  The note became due in November 2010.



On October 5,
2010, the company received notice that a claim for judgment had been filed in Mecklenburg County by a shareholder for the note
that was in default as of May 2010. On January 7, 2011, the note holder amended the filing to include the personal loan.  The
amount of the claim is $100,996, plus interest at 18% and legal costs. The Company is working to resolve the matter through the
court system, but is unable to determine the outcome.

.

NOTE 6 – CAPITAL FINANCING



The Company,
though a Private Placement Memorandum (“PPM”) dated April 24, 2007, raised capital of $321,100.  The PPM
offered 642,200 shares of common stock at a price of $.50 per share.  Expenses of this offering, $18,000, were paid
from the proceeds and included legal and accounting expenses, filling fees, printing costs and other offering costs.  No
commission, discount, finder’s fee or other similar remuneration or compensation was paid, directly or indirectly to any
person for soliciting any prospective purchaser.  This was a non-contingent offering and there was no minimum number
of shares required to be sold, except the minimum of $1,000 (2,000 shares) per purchaser was required to accredited investors.  During
2009, the company raised $139,500 in a private placement priced at $1.25 per share for a total of 111,600 shares and had 10,000
Class A warrants exercised at $0.65 per share and 10,000 Class B warrants exercised at $0.90 per share, for 20,000 common shares.  During
the nine months ending September 30, 2010 the Company had 14,538 Class A warrants exercised at $0.65 per share and 10,000 Class
B warrants exercised at $0.90 per share, for 24,538 common shares, increasing paid in capital $18,450.  The warrants
have now expired and no further warrants may be exercised.



(50)


Table of Contents








REVOLUTIONARY
CONCEPTS, INC.

(A
Development Stage Company)

NOTES TO FINANCIAL
STATEMENTS as of December 31, 2010



NOTE 7 – INTELLECTUAL
PROPERTY



The patent no.
US 7,193644 B2, for the prototype was successfully obtained on March 20, 2007.  In accordance with FASB 86, the Company
has established a technological feasibility date on July 21, 2004, the date that Phase I was delivered and presented.  
The software development costs have been analyzed and it has been determined that all software development costs were incurred
subsequent to the feasibility date.  The useful life of capitalized software costs has been assumed to be 5 years.  Total
software development costs were $32,200 and the appropriate minimum amortization has been taken, also in accordance with FASB
86.  The following are patent pending applications;  Video system for individually selecting and viewing events
at a venue.  The Detection and viewing system method for providing multiple viewing opportunities of events at a venue.  Feeding
pacifier with removable fluid source.  Mole surveillance system.  Medical audio/video communications system.  Real
estate audio/video monitoring communication system.



NOTE 8 – COMMON STOCK
SHARES FOR SERVICES



In January 2005,
the Company issued one million shares of common stock for professional, legal and consulting fees.  This transaction
was recorded in accordance with FASB 123R at $.10 per share.  These initial shares for services were issued before the
Company raised any capital by private offering and was therefore valued at the value of services provided.  In the year
ending December 31, 2007, the Company issued 313,500 shares of common stock for professional services.  These transactions
were also recorded in accordance with FASB 123R at $.50 per share based on the value indicated from the shares sold in the prior
private placement memorandum. In July 2010, the Company issued 4,706,784 shares of restricted common stock for professional services.  These
shares were valued at $.10 the price being quoted on the OTC Pinksheets on the date of issue. In October 2010, the company issued
17,400 restricted common shares for services.



NOTE 9 – CONVERSION OF
DEBT TO EQUITY



On April 24,
2008 the Company issued two notes payable in the amount of $7,500 to unrelated parties.  On May 5, 2008 the Company
issued another note payable $300.000 to another non-related party at 4% interest which began to come due in October, 2008. These
promissory notes were secured by a pledge of up to 612,000 shares of restricted common stock from our authorized but unissued
shares. The Company has issued 631,000 shares of restricted common stocks to the note holders in exchange for the retirement of
debt and interest payable. During November and December 2010, the Company issued 13,517,200 shares of restricted common stocks
to the note holders in exchange for the retirement of debt and interest payable.



NOTE 10
– NOTES PAYABLE



In July and
August 2009 the Company issued two notes payable in the total amount of $20,000.  These notes bear interest at a rate
of 10%.   Principal and interest are due in May 2010. These notes are in default and a claim for judgment has been
filed.  In September and October 2010 the Company issued notes payable to US Financial and Richard Carter totaling $57,785,
affiliates of two of our board members.  The notes bear an interest of 10% and become due starting in November 2010.



We have reclassed
$338,763.18 in accounts payable to long term notes payable to reflect the assignment by some of our creditors of their balance
to a note from an investor that will be paid one year or more past the original due date.



NOTE 11
– GOING CONCERN



The losses sustained
by the Company raise substantial doubt about the Company’s ability to continue as a going concern.  These financial
statements do not include any adjustments relating to the recoverability and classification of recorded assets, or the amounts
and classification of liabilities that might be necessary in the event the Company cannot continue in existence.



Note 12
– Subsequent Events



On October 1,
2010, the board of directors of the Company approved an amendment to the Company’s Articles of Incorporation, as amended
to date, increasing the number of authorized shares of common stock from 65,000,000 to 1,000,000,000.  The increase
in authorized shares will become effective pursuant to approval by a majority of shareholders and a Certificate of Amendment to
the Articles of Incorporation filed with the Secretary of State of the State of Nevada on, and effective as of the filing date.
A shareholder vote has not taken place to date.



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Table of Contents






REVOLUTIONARY
CONCEPTS, INC.

(A
Development Stage Company)

NOTES TO FINANCIAL
STATEMENTS as of December 31, 2010



Note 12 – Subsequent
Events (Continued)



On
October 5, 2010, the Company received notice that a claim for judgment had been filed in Mecklenburg County by a shareholder for
a note that was in default as of June 1, 2010, in the amount of $20,559, plus 10% interest. On January 7, 2011, the note holder
amended the filing to include a personal loan to our president that was in default as of December 1, 2010 in the amount of $80,437,
plus 10% interest, which the Company guaranteed.  The total amount of the claim is $100,996, plus interest accumulated
through the original due dates, and 18% interest after the default date of the notes through the date of the judgment and then
at the statutory rate until resolved . On the 10th day of May 2011, a summary judgment was entered on behalf of the
plaintiff against Mr. Carter and the Company. Mr. Carter and the company are working to resolve the matters and are unable to
determine the final outcome until settlement is reached or payment arrangements have been made.





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Table of Contents






SIGNATURES

Pursuant
to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report
to be signed on its behalf by the undersigned thereunto duly authorized.





Revolutionary
Concepts, Inc.



By:/s/ Ron
Carter 	April 15, 2011

Ron Carter

President and
Chief Executive Officer



By: /s/ Garry
Stevenson 	April 15, 2011

Garry Stevenson

Chief Financial
Officer, Principal Accounting Officer and Director





Pursuant to the requirements of the
Securities Exchange Act of 1934, this Report has been signed below by the following persons on behalf of the registrant and in
the capacities and on the dates indicated.





|Signature                                                              | Title    | Date        
|---------------------------------------------------------------------- | -------- | ------------
|                                                                       |          |             
|/s/ Ron Carter
        
        Name: Ron Carter                       | Director | May 17, 2011
|                                                                       |          |             
|/s/ Garry Stevenson
        Name: Garry Stevenson                      | Director | May 17, 2011
|                                                                       |          |             
|/s/ Bethiel Tesfasillasie
        
        Name: Bethiel Tesfasillasie | Director | May 17, 2011
|                                                                       |          |             
|/s/ Claude McDougal
        
        Name: Claude McDougal             | Director | May 17, 2011
|                                                                       |          |             
|/s/ Solomon Ali                                                        | Director | May 17, 2011
|                                                                      

Name: Solomon Ali









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Table of Contents






Exhibit Index



The following
is a list of Exhibits on file with the commission:



|Exhibit
    No. |  | Description
    of Exhibit
|--------------- |  | --------------------------



|-------------- -------------------
        
        3.1* Articles
        of Incorporation
        
        3.2* Bylaws
        
        4.1* Form of Stock Certificate
        
        4.2* Form of Class A Warrant
        Certificate
        
        4.3* Form of Class B Warrant
        Certificate
        
        4.4* Warrant Agreement
        
        10.1* Agreement with Absolutely
        New
        
        10.2* Agreement with Dr.
        Jones
        
        10.3* Agreement with Tillman
        Wright
        
        10.4* Agreement with JDSL
        
        10.7* Consulting Agreement
        with Sedgefield Capital
        
        10.8* Additional Services
        Agreement with Sedgefield Capital
        
        14.1* Code of Ethics
        
        31.1  Certification
        of our Chief Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of
        2002.(2)
        31.2  Certification
        of our Chief Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of
        2002.(2)
        32.1  Certification
        of our Chief Executive Officer Pursuant to Section 906 of the Sarbanes-Oxley Act of
        2002.(2)
        32.2  Certification
        of our Chief Financial Officer Pursuant to Section 906 of the Sarbanes-Oxley Act of
        2002.(2)
        
        99.2* US Patent
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
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