**FORM      10-Q**

**333-142516**

**SOUTHERN      BELLA, INC.**

| **Delaware**                                   |   | **20-8602410**                     |
|------------------------------------------------|--------|------------------------------------|
| (State                or other jurisdiction of |   | (I.R.S.                Employer    |
| incorporation                or organization)  |   | Identification                No.) |

| **1006                Delaware Avenue**                 |   |                      |   |
|---------------------------------------------------------|--------|---------------------------|--------|
| **Lexington,                Kentucky**                  |   | **40505-0464**            |   |
| (Address                of principal executive offices) |        | (Zip                code) |   |

**859)      231-0464**

| Large                accelerated filer        o           | Accelerated                filer         o |
|----------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------|
| Non-accelerated                filer          o | Smaller                reporting company                     x |

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**TABLE      OF CONTENTS**

| PART                I - FINANCIAL INFORMATION             |                                                                                                                                       | 1      |
|-----------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                                      |                                                                                                                                            |   |   |
|                                                      | Item                1. Financial Statements                                                                                                |   | 1 |
|                                                      |                                                                                                                                       |   |   |
|                                                      | Item                2. Management's Discussion and Analysis of Financial Condition and                Results                of Operations |   | 9 |
|                                                      |                                                                                                                                       |   |   |
|                                                      | Item                3. Quantitative and Qualitative Disclosures About Market                Risk                                           |   | 13 |
|                                                      |                                                                                                                                       |   |   |
|                                                      | Item                4. Controls and Procedures                                                                                             |   | 13 |
|                                                      |                                                                                                                                       |   |   |
| PART                II - OTHER                INFORMATION |                                                                                                                                       | 14     |
|                                                      |                                                                                                                                       |   |   |
|                                                      | Item                1. Legal Proceedings                                                                                                   |   | 14 |
|                                                      |                                                                                                                                       |   |   |
|                                                      | Item                1A. Risk Factors                                                                                                       |   | 14 |
|                                                      |                                                                                                                                       |   |   |
|                                                      | Item                2. Unregistered Sales of Equity Securities and Use of                Proceeds                                          |   | 14 |
|                                                      |                                                                                                                                       |   |   |
|                                                      | Item                3. Defaults Upon Senior Securities                                                                                     |   | 14 |
|                                                      |                                                                                                                                       |   |   |
|                                                      | Item                4. Submission of Matters to a Vote of Security Holders                                                                 |   | 14 |
|                                                      |                                                                                                                                       |   |   |
|                                                      | Item                5. Other Information                                                                                                   |   | 14 |
|                                                      |                                                                                                                                       |   |   |
|                                                      | Item                6. Exhibits                                                                                                            |   | 14 |
|                                                      |                                                                                                                                       |   |   |
| Signatures                                                |                                                                                                                                       | 15     |
|                                                      |                                                                                                                                       |   |   |
| Exhibits                                                  |                                                                                                                                       |   |

----

**PART      I - FINANCIAL INFORMATION**

**Item      1.**
** **
**FINANCIAL      STATEMENTS**
**      (UNAUDITED)**

**SOUTHERN      BELLA, INC.**

**INDEX      TO CONSOLIDATED FINANCIAL STATEMENTS **

|                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | **Page(s)** |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------|--------|
| Unaudited                Financial Statements:                                                                                                                                                                                                                                                                                                                                                                                                 |   |        |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |        |   |   |
| Unaudited                Consolidated Balance Sheets (Successor) as of September 30, 2008                and                December 31, 2007 – Successor                                                                                                                                                                                                                                                                                |   |        | 2      |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |        |   |   |
| Unaudited                Consolidated Statements of Operations for the three and nine months                ended                September 30, 2008 (Successor) and the period July 1, 2007 through                September 30, 2007 (Successor), January 1, 2007 through February                21, 2007                (Predecessor) and the period February 22, 2007 through September                30, 2007                (Successor) |   |        | 3      |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |        |   |   |
| Unaudited                Consolidated Statements of Cash Flows for the periods January 1,                2008                through September 30, 2008 and the period February 22, 2007 through                September 30, 2007 (Successor) with Statements of Cash Flows for                Dupree                Catering, Inc. (Predecessor) for the period January 1, 2007 through                February 21, 2007)                    |   |        | 4      |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |        |   |   |
| Notes                to Unaudited Consolidated Financial Statements                                                                                                                                                                                                                                                                                                                                                                            |   |        | 5      |   |

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**SOUTHERN      BELLA, INC.**

**CONSOLIDATED      BALANCE SHEETS - SUCCESSOR**

**AS      OF SEPTEMBER **
**30,      2008 AND DECEMBER 31, 2007**

**(UNAUDITED)**

|                                                                                                                                                                                                                |   |  **September 30, 2008** |     |  **December 31, 2007** |   |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------|----------|---------------------------------------|--------|
| **ASSETS**                                                                                                                                                                                                          |   |                                   |     |                                  |   |   |   |
| **CURRENT                ASSETS**                                                                                                                                                                                   |   |                                   |     |                                  |   |   |   |
| Cash                                                                                                                                                                                                                |   | $                                      | 45,040   |                                  | $      | 20,325 |   |
| Prepaid                expense                                                                                                                                                                                      |   |                                   | -        |                                  |   | 1,314 |   |
| **Total                current assets**                                                                                                                                                                             |   |                                   | 45,040   |                                  |   | 21,639 |   |
| Net                assets related to discontinued operations                                                                                                                                                        |   |                                   | 4,365    |                                  |   | 159,788 |   |
|                                                                                                                                                                                                                |   |                                   |     |                                  |   |   |   |
| **TOTAL                ASSETS**                                                                                                                                                                                     |   | $                                      | 49,405   |                                  | $      | 181,427 |   |
|                                                                                                                                                                                                                |   |                                   |     |                                  |   |   |   |
| **LIABILITIES                AND STOCKHOLDERS’ EQUITY**                                                                                                                                                       |   |                                   |     |                                  |   |   |   |
|                                                                                                                                                                                                                |   |                                   |     |                                  |   |   |   |
| **CURRENT                LIABILITIES**                                                                                                                                                                              |   |                                   |     |                                  |   |   |   |
| Net                liabilities related to discontinued operations                                                                                                                                                   |   | $                                      | 1,246    |                                  | $      | 108,887 |   |
|                                                                                                                                                                                                                |   |                                   |     |                                  |   |   |   |
| **Total                current liabilities**                                                                                                                                                                        |   |                                   | 1,246    |                                  |   | 108,887 |   |
|                                                                                                                                                                                                                |   |                                   |     |                                  |   |   |   |
| **STOCKHOLDERS’                EQUITY**                                                                                                                                                                       |   |                                   |     |                                  |   |   |   |
| Preferred                stock, $0.000001 par value, 20,000,000 shares authorized,                none issued and outstanding                                                                                       |   |                                   | -        |                                  |   | - |   |
| Common                stock, $0.000001 par value, 1,000,000,000 shares authorized,                8,666,667 shares issued and outstanding at September                30, 2008, and December 31, 2007, respectively |   |                                   | 9        |                                  |   | 9 |   |
| Additional                paid in capital                                                                                                                                                                           |   |                                   | 179,991  |                                  |   | 179,991 |   |
| Accumulated                deficit                                                                                                                                                                                  |   |                                   | (131,841 | )                                     |   | (107,460 | ) |
| **Total                stockholders’ equity**                                                                                                                                                                 |   |                                   | 48,159   |                                  |   | 72,540 |   |
|                                                                                                                                                                                                                |   |                                   |     |                                  |   |   |   |
| **TOTAL                LIABILITIES AND STOCKHOLDERS’ EQUITY**                                                                                                                                                 |   | $                                      | 49,405   |                                  | $      | 181,427 |   |

----

**SOUTHERN      BELLA, INC.**

**CONSOLIDATED      STATEMENTS OF OPERATIONS**

**FOR      THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2008      (SUCCESSOR)**

**AND      THE PERIOD JULY 1, 2007 THROUGH SEPTEMBER 30, 2007      (SUCCESSOR)**

**JANUARY      1, 2007 THROUGH FEBRUARY 21, 2007 (PREDECESSOR)**

**AND      THE PERIOD FEBRUARY 22, 2007 THROUGH SEPTEMBER 30, 2007      (SUCCESSOR)**

**(UNAUDITED)**

|                                                                                                |   | **SOUTHERN****BELLA**                                                                        |      | **SOUTHERN****BELLA**                                                                  |   | **SOUTHERN****BELLA**                                                               |   |  **DUPREE**                                                                                 |      | **SOUTHERN****BELLA**                                                                     |   |
|-----------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------|-----------|----------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------|-----------|-------------------------------------------------------------------------------------------|--------|
|                                                                                                |   |  **JULY 1, 2008****THROUGH****SEPTEMBER 30,****2008****(SUCCESSOR****)** |      | **JULY 1, 2007****THROUGH****SEPTEMBER 30,****2007****(SUCCESSOR****)** |   | **JANUARY 1,****2008****THROUGH****SEPTEMBER 30,****2008****(SUCCESSOR)** |   |  **JANUARY 1, 2007****THROUGH****FEBRUARY 21,****2007****(PREDECESSOR****)** |      | **FEBRUARY 22,****2007****THROUGH****SEPTEMBER 30,****2007****(SUCCESSOR****)** |   |
| **REVENUE**                                                                                         |   | $                                                                                            | -         |                                                                                   | $      | -                                                                                   |   | $                                                                                                | -         |                                                                                      | $      | - |   | $ | - |   |
| **COST                OF REVENUES**                                                                 |   |                                                                                         |      |                                                                                   |   |                                                                                |   |                                                                                             |      |                                                                                      |   |   |   |   |   |   |
| Salaries                and wage related expenses                                                   |   |                                                                                         | -         |                                                                                   |   | -                                                                                   |   |                                                                                             | -         |                                                                                      |   | - |   |   | - |   |
| Food                and beverages                                                                   |   |                                                                                         | -         |                                                                                   |   | -                                                                                   |   |                                                                                             | -         |                                                                                      |   | - |   |   | - |   |
| Other                costs of revenues                                                              |   |                                                                                         | -         |                                                                                   |   | -                                                                                   |   |                                                                                             | -         |                                                                                      |   | - |   |   | - |   |
| **Total                costs of revenues**                                                          |   |                                                                                         | -         |                                                                                   |   | -                                                                                   |   |                                                                                             | -         |                                                                                      |   | - |   |   | - |   |
|                                                                                                |   |                                                                                         |      |                                                                                   |   |                                                                                |   |                                                                                             |      |                                                                                      |   |   |   |   |   |   |
| **OPERATING                EXPENSES**                                                               |   |                                                                                         |      |                                                                                   |   |                                                                                |   |                                                                                             |      |                                                                                      |   |   |   |   |   |   |
| Advertising                expenses                                                                 |   |                                                                                         | -         |                                                                                   |   | -                                                                                   |   |                                                                                             | -         |                                                                                      |   | - |   |   | - |   |
| Professional                fees                                                                    |   |                                                                                         | -         |                                                                                   |   | 3,000                                                                               |   |                                                                                             | 11,000    |                                                                                      |   | - |   |   | 43,000 |   |
| Rent                and utilities                                                                   |   |                                                                                         | -         |                                                                                   |   | -                                                                                   |   |                                                                                             | -         |                                                                                      |   | - |   |   | - |   |
| General                and administrative                                                           |   |                                                                                         | -         |                                                                                   |   | -                                                                                   |   |                                                                                             | 570       |                                                                                      |   | - |   |   | 62 |   |
| **Total                operating expenses**                                                         |   |                                                                                         | -         |                                                                                   |   | 3,000                                                                               |   |                                                                                             | 11,570    |                                                                                      |   | - |   |   | 43,062 |   |
| **NET                LOSS FROM CONTINUING OPERATIONS**                                              |   |                                                                                         | -         |                                                                                   |   | (3,000                                                                              | )      |                                                                                             | (11,570   | )                                                                                         |   | - |   |   | (43,062 | ) |
| **DISCONTINUED                OPERATIONS (Note 6)**                                                 |   |                                                                                         |      |                                                                                   |   |                                                                                |   |                                                                                             |      |                                                                                      |   |   |
| Net                income from Dupree discontinued operations                                       |   | $                                                                                            | 1,296     |                                                                                   | $      | (23,688                                                                             | )      | $                                                                                                | 7,744     |                                                                                      | $      | (21,005 | ) | $ | 10,630 |   |
| Gain                on disposal of Dupree assets                                                    |   | $                                                                                            | 29,625    |                                                                                   | $      | -                                                                                   |   | $                                                                                                | 29,625    |                                                                                      | $      | - |   | $ | - |   |
| Impairment                of intangible asset related to Dupree business unit                       |   | $                                                                                            | (14,359   | )                                                                                      | $      | -                                                                                   |   | $                                                                                                | (50,180   | )                                                                                         | $      | - |   | $ | - |   |
| **NET                INCOME (LOSS) FROM DISCONTINUED OPERATIONS**                                   |   | $                                                                                            | 16,562    |                                                                                   | $      | (23,688                                                                             | )      | $                                                                                                | (12,811   | )                                                                                         | $      | (21,005 | ) | $ | 10,630 |   |
| **NET                INCOME (LOSS)**                                                                |   | $                                                                                            | 16,562    |                                                                                   | $      | (26,688                                                                             | )      | $                                                                                                | (24,381   | )                                                                                         | $      | (21,005 | ) | $ | (32,432 | ) |
| **BASIC                AND DILUTED EARNINGS PER SHARE FROM CONTINUING                OPERATIONS**   |   | $                                                                                            | 0.00      |                                                                                   | $      | (0.00                                                                               | )      | $                                                                                                | (0.00     | )                                                                                         | $      | - |   | $ | (0.01 | ) |
| **BASIC                AND DILUTED EARNINGS PER SHARE FROM DISCONTINUED                OPERATIONS** |   | $                                                                                            | 0.00      |                                                                                   | $      | (0.00                                                                               | )      | $                                                                                                | (0.00     | )                                                                                         | $      | (210.05 | ) | $ | 0.00 |   |
| **WEIGHTED                AVERAGE NUMBER OF SHARES OUTSTANDING**                                    |   |                                                                                         | 8,666,667 |                                                                                   |   | 7,745,921                                                                           |   |                                                                                             | 8,666,667 |                                                                                      |   | 100 |   |   | 7,745,921 |   |

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**SOUTHERN      BELLA, INC.**

**CONSOLIDATED      STATEMENTS OF CASH FLOW**

**FOR      THE PERIOD JANUARY 1, 2008 THROUGH SEPTEMBER 30, 2008 AND THE      PERIOD**

**FEBRUARY      22, 2007 THROUGH SEPTEMBER 30, 2007 (SUCCESSOR) WITH**

**STATEMENTS      OF CASH FLOW FOR DUPREE CATERING, INC. (PREDECESSOR)**

**FOR      THE PERIOD JANUARY 1, 2007 THROUGH FEBRUARY 21, 2007**

**(UNAUDITED)**

|                                                                                                |   | **SOUTHERN              BELLA**                                                         |    |  **DUPREE**                                                                              |   |  **SOUTHERN              BELLA**                                                          |   |
|-----------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------------|---------|-----------------------------------------------------------------------------------------------|--------|------------------------------------------------------------------------------------------------|--------|
|                                                                                                |   | **JANUARY 1, 2008****THROUGH****SEPTEMBER 30, 2008****(SUCCESSOR)** |    | **JANUARY                1, 2007****THROUGH****FEBRUARY 21, 2007****(PREDECESSOR)** |   | **FEBRUARY                22, 2007****THROUGH****SEPTEMBER 30, 2007****(SUCCESSOR)** |   |
| **CASH                FLOWS FROM OPERATING ACTIVITIES:**                                            |   |                                                                                    |    |                                                                                          |   |                                                                                           |   |   | *** |   |
| Net                loss from continuing operations                                                  |   | $                                                                                       | (11,570 | )                                                                                             | $      | -                                                                                              |   | $ | (43,062 | ) |
|                                                                                                |   |                                                                                    |    |                                                                                          |   |                                                                                           |   |   |   |   |
| **Change                in assets and liabilities**                                                 |   |                                                                                    |    |                                                                                          |   |                                                                                           |   |   |   |   |
| (Increase)/Decrease                in prepaid expenses                                              |   |                                                                                    | 1,314   |                                                                                          |   | -                                                                                              |   |   | (1,314 | ) |
| **Net                cash used in operating****activities**                                         |   |                                                                                    | (10,256 | )                                                                                             |   | -                                                                                              |   |   | (44,376 | ) |
|                                                                                                |   |                                                                                    |    |                                                                                          |   |                                                                                           |   |   |   |   |
| **CASH                FLOWS FROM FINANCING ACTIVITIES:**                                            |   |                                                                                    |    |                                                                                          |   |                                                                                           |   |   |   |   |
| Issuance                of stock for cash                                                           |   |                                                                                    | -       |                                                                                          |   | -                                                                                              |   |   | 180,000 |   |
| **Net                cash used in financing activities**                                            |   |                                                                                    | -       |                                                                                          |   | -                                                                                              |   |   | 180,000 |   |
|                                                                                                |   |                                                                                    |    |                                                                                          |   |                                                                                           |   |   |   |   |
| **NET                CASH PROVIDED BY DISCONTINUED OPERATIONS**                                     |   |                                                                                    | 34,971  |                                                                                          |   | 9,053                                                                                          |   |   | (115,389 | ) |
|                                                                                                |   |                                                                                    |    |                                                                                          |   |                                                                                           |   |   |   |   |
| **NET                INCREASE IN CASH AND****CASH                EQUIVALENTS**                      |   |                                                                                    | 24,715  |                                                                                          |   | 9,053                                                                                          |   |   | 20,235 |   |
|                                                                                                |   |                                                                                    |    |                                                                                          |   |                                                                                           |   |   |   |   |
| **CASH                AND CASH EQUIVALENTS -****BEGINNING                OF PERIOD**                |   |                                                                                    | 20,325  |                                                                                          |   | 16,062                                                                                         |   |   | - |   |
|                                                                                                |   |                                                                                    |    |                                                                                          |   |                                                                                           |   |   |   |   |
| **CASH                AND CASH EQUIVALENTS –****END                OF PERIOD**                |   | $                                                                                       | 45,040  |                                                                                          | $      | 25,115                                                                                         |   | $ | 20,235 |   |
|                                                                                                |   |                                                                                    |    |                                                                                          |   |                                                                                           |   |   |   |   |
| **SUPPLEMENTAL                INVESTING AND FINANCING DISCLOSURES**                                 |        |                                                                                         |    |                                                                                          |   |
| Acquisition                of Dupree Catering, Inc. **(Eliminated                in Presentation)** |        |                                                                                    |    |                                                                                          |   |                                                                                           |   |
| Cash                paid for acquisition                                                            |   | $                                                                                       | -       |                                                                                          | $      | -                                                                                              |   | $ | 110,000 |   |
| Customer                lists acquired                                                              |   |                                                                                    | -       |                                                                                          |   | -                                                                                              |   |   | (90,325 | ) |
| Accounts                receivable acquired                                                         |   |                                                                                    | -       |                                                                                          |   | -                                                                                              |   |   | (12,678 | ) |
| Fixed                assets acquired                                                                |   |                                                                                    | -       |                                                                                          |   | -                                                                                              |   |   | (5,628 | ) |
| Accounts                payable assumed                                                             |   |                                                                                    | -       |                                                                                          |   | -                                                                                              |   |   | 22,350 |   |
| Net                cash acquired                                                                    |   | $                                                                                       | -       |                                                                                          | $      | -                                                                                              |   | $ | 23,719 |   |

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**SOUTHERN      BELLA, INC.**

**NOTE      1 – BASIS OF PRESENTATION**

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***Reclassification***

**NOTE      2 – GOING CONCERN**

**NOTE      3 – LINE OF CREDIT**

**NOTE      4 – CUSTOMER LISTS**

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**NOTE      5 – DISCONTINUED OPERATIONS**

|                                                                                                                                                                                                                |   | **September 30, 2008** |   | **December 31, 2007** |   |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------|--------|---------------------------------|--------|
| Net                Assets Related to Discontinued Operations:                                                                                                                                                       |   |                             |   |                            |   |   |   |
| Accounts                receivable related to discontinued operations, net of allowance of                $505                and $0 at September 30, 2008, and December 31, 2007,                respectively |   | $                                | 4,365  |                            | $      | 87,819 |   |
| Fixed                assets related to discontinued operations, net of accumulated depreciation                of $0 and $4,173 at September 30, 2008, and December 31, 2007,                respectively      |   |                             | -      |                            |   | 6,734 |   |
| Customer                lists related to discontinued operations, net of accumulated amortization                of $90,325 and $25,090 at September 30, 2008, and December 31, 2007,                respectively   |   |                             | -      |                            |   | 65,235 |   |
| **Total                Net Assets Related to Discontinued Operations**                                                                                                                                              |   | $                                | 4,365  |                            | $      | 159,788 |   |
|                                                                                                                                                                                                                |   |                             |   |                            |   |   |   |
| Net                Liabilities Related to Discontinued Operations:                                                                                                                                                  |   |                             |   |                            |   |   |   |
| Accounts                payable and accrued expenses, related to discontinued                operations                                                                                                             |   |                             | 1,246  |                            |   | 98,887 |   |
| Related                party payables, related to discontinued operations                                                                                                                                           |   |                             | -      |                            |   | 10,000 |   |
| **Total                Net Liabilities Related to Discontinued                Operations**                                                                                                                          |   | $                                | 1,246  |                            | $      | 108,887 |   |

**NOTE      6 – BUSINESS COMBINATION**

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|                                                   |   |  **(Unaudited) Pro Forma**  |        |
|--------------------------------------------------------|--------|--------------------------------------------|-------------|
|                                                   |   | **Nine Month Period Ended** |        |
|                                                   |   | **September 30, 2008**           |        | **September 30, 2007** |   |
| **Sales**                                              |   | **$**                                      | **-**       |   | $ | - |   |
|                                                   |   |                                       |        |   |   |   |   |
| **Cost                of Sales**                       |   |                                       | **-**       |   |   | **-** |   |
| **Gross                Margin**                        |   |                                       | **-**       |   |   | **-** |   |
| **Operating                Expenses**                  |   |                                       | **11,570**  |   |   | **43,062** |   |
| **Other                Expenses**                      |   |                                       | **-**       |   |   | **-** |   |
| **Net                Loss from Continuing Operations** |   | **$**                                      | **(11,570** | **)** | $ | (43,062 | ) |

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| **Item 2.** | **MANAGEMENT'S                DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION****AND                RESULTS OF OPERATIONS**** ** |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------|

***Forward-Looking      Statements***

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**Three      Months Ended September 30, 2008 and September 30, 2007**

| Unaudited                (Pro Forma)  |   |   | Sept. 30, 2008  |   |   | Sept. 30, 2007  |   |
|--------------------------------------------|--------|--------|--------------------------------|--------|--------|--------------------------------|--------|
| Revenues                                   |   | $      | -                              |   | $      | -                              |   |
| Cost                of Revenues            |   | $      | -                              |   | $      | -                              |   |
| Operating                expenses          |   | $      | -                              |   | $      | 3,000                          |   |
| Other                Income (Expense)      |   | $      | -                              |   | $      | -                              |   |
| Net                Income (Loss)           |   | $      | -                              |   | $      | (3,000                         | )      |

| Unaudited                (Pro Forma)                                     |   |   | Sept. 30, 2008  |   |   | Sept. 30, 2007  |   |
|-------------------------------------------------------------------------------|--------|--------|--------------------------------|--------|--------|--------------------------------|--------|
| Net                income from Dupree discontinued operations                 |   | $      | 1,296                          |   | $      | (23,688                        | )      |
| Gain                on disposal of Dupree assets                              |   | $      | 29,625                         |   | $      | -                              |   |
| Impairment                of intangible asset related to Dupree business unit |   | $      | (14,359                        | )      | $      | -                              |   |
|                                                                          |   |   |                           |   |   |                           |   |
| Net                Income (Loss) from Discontinued Operations                 |   | $      | 16,562                         |   | $      | (23,688                        | )      |

----

**Nine      Months Ended September 30, 2008 and September 30, 2007**

| Unaudited                (Pro Forma)  |   |   | Sept. 30, 2008  |   |   | Sept. 30, 2007  |   |
|--------------------------------------------|--------|--------|--------------------------------|--------|--------|--------------------------------|--------|
| Revenues                                   |   | $      | -                              |   | $      | -                              |   |
| Cost                of Revenues            |   | $      | -                              |   | $      | -                              |   |
| Operating                expenses          |   | $      | 11,750                         |   | $      | 43,062                         |   |
| Other                Income (Expense)      |   | $      | -                              |   | $      | -                              |   |
| Net                Income (Loss)           |   | $      | (11,750                        | )      | $      | (43,062                        | )      |

|  Unaudited                (Pro Forma)                                    |   | Sept. 30, 2008 |    | Sept. 30, 2007 |   |
|-------------------------------------------------------------------------------|--------|--------------------------|---------|--------------------------|--------|
| Net                income (loss) from Dupree discontinued operations          |   | $                        | 7,744   |                     | $      | (10,375 | ) |
| Gain                on disposal of Dupree assets                              |   | $                        | 29,625  |                     | $      | - |   |
| Impairment                of intangible asset related to Dupree business unit |   | $                        | (50,180 | )                        | $      | - |   |
| Net                Income (Loss) from Discontinued Operations                 |   | $                        | (12,811 | )                        | $      | (10,375 | ) |

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**Item      3.**
**QUANTITATIVE      AND QUALITATIVE ANALYSIS ABOUT MARKET RISK**

**Item      4. **
**CONTROLS      AND PROCEDURES**

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**PART      II - OTHER INFORMATION**

**Item      1. **
**LEGAL      PROCEEDINGS**

**Item      1A. RISK FACTORS**

**Item      2. UNREGISTERED SALES OF EQUITY **
**SECURITIES**
**      AND USE OF PROCEEDS**

**Item      3. **
**DEFAULTS      UPON SENIOR SECURITIES.**

**Item      4. **
**SUBMISSION      OF MATTERS TO A VOTE OF SECURITY HOLDERS.**

**Item      5. **
**OTHER      INFORMATION.**

**Item      6. **
**EXHIBITS**

|   | No. |   | Description |
|--------|-----|--------|-------------|

|   | (2) |   | Share                Purchase Agreement(1) |
|--------|-----|--------|--------------------------------------------|

|   | (3) | (i) | Articles                of Incorporation(1) |
|--------|-----|-----|---------------------------------------------|

|   |   | (ii) | Bylaws(1) |
|--------|--------|------|-----------|

|   | (10) | (i) | Lease                Agreement with Harriet Dupree Bradley(1) |
|--------|------|-----|---------------------------------------------------------------|

|   |   | (ii) | Consulting                Agreement with Harriet Dupree Bradley dated March 1, 2007(1) |
|--------|--------|------|----------------------------------------------------------------------------------------|

|   |   | (iii) | Consulting                Agreement with Harriet Dupree Bradley dated August 29, 2007(1)  |
|--------|--------|-------|------------------------------------------------------------------------------------------------|

|  | (31) | Certification                as Adopted Pursuant to Section 302 (a) of the Sarbanes-Oxley Act                of 2002 |
|--|------|----------------------------------------------------------------------------------------------------------------------|

|  | (32) | Certification                Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section                906 of                the Sarbanes-Oxley Act of 2002 |
|--|------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   |   | (1) | Incorporated                herein by reference from Southern Bella Inc.’s Registration Statement on                Form SB-2, filed with the Securities and Exchange Commission on November                14, 2007. |
|--------|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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**SIGNATURES**

|                                   |   | Southern                Bella, Inc.               |
|----------------------------------------|--------|---------------------------------------------------|
|                                   |   | (Registrant)                                      |
|                                   |   |                                              |
| Date:                November 18, 2008 |   | /s/                Viola Heitz                    |
|                                   |   | Viola                Heitz, President,            |
|                                   |   | Chief                Executive Officer, Principal |
|                                   |   | Financial                Officer and Principal    |
|                                   |   | Accounting                Officer and Director    |

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