SECURITIES ANDEXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 10-QSB

 

[X] QUARTERLY REPORTUNDER SECTION 13 OR 15(d)

OF THE SECURITIESEXCHANGE ACT OF 1934

 

[ ] TRANSITION REPORTPURSUANT TO SECTION 13 OR

15(d) OF THESECURITIES EXCHANGE ACT OF 1934

 

For the quarterlyperiod ended: September 30, 2004

 

Commission file number000-29353

   

ACCESSORY SPECIALISTSINCORPORATED

(Exact name of smallbusiness issuer as specified in its charter)

 

| Nevada  		
 88-0448316
(State or other jurisdiction		of   
 (I.R.S.		Employer
incorporation or		organization)   
 Identification		No.) 
770 East Warm Springs Rd.,		Suite 250
Las Vegas, Nevada  		
 89119
(Address of principal		executive offices   
 (zip		code)

    

(702) 866-5839

(Issuer's telephonenumber, including area code)

 

Check whether theissuer (1) filed all reports required to be filed by Section 13 or 15(d) of theSecurities Exchange Act of 1934 during the last 12 months (or for such shorterperiod that the registrant was required to file such reports), and (2) has beensubject to such filing requirements for the past 90 days.

 

Yes X No 

 

Indicate the numberof shares outstanding of each of the issuer's classes of common equity, as ofthe latest practicable date.

 

Class
Shares		Outstanding at September 30, 2004
Common Stock,		par value $0.001
8,716,370
 

ITEM 1. FINANCIALSTATEMENTS

ACCESSORY SPECIALISTSINCORPORATED

(A Development StageCompany)

BALANCE SHEET

ASSETS

 
September 30,		2004(Unaudited)
CURRENT ASSETS
$ 0  
TOTAL CURRENT ASSETS
0  
OTHER ASSETS
0  
TOTAL OTHER ASSETS
0   
$ 0  
LIABILITIES AND STOCKHOLDERS'		EQUITY 
CURRENT LIABILITIES
$0  
TOTAL CURRENT LIABILITIES
0  
STOCKHOLDERS' EQUITY   
Preferred stock, $0.001 par		value 
authorized 5,000,000 shares; 
None issued and Outstanding
0  
Common stock, $0.001 par		value, 
authorized 20,000,000 shares; 
8,716,370 issued and 
outstanding at 9/30/04 
8,716  
Additional paid-in capital
0  
(Deficit) accumulated during 
development stage
(8,716)  
TOTAL STOCKHOLDERS' EQUITY
0   
$ 0
 

 

The accompanying notesare an integral part of these financial statements.

ACCESSORY SPECIALISTSINCORPORATED

(A Development StageCompany)

STATEMENTS OFOPERATIONS

(Unaudited)

 
Three Months		Ended September 30,
Nine Months		Ended September 30,
January 18, 2000 (Inception)		to September 30, 2004
 
2004
2003
2004
2003
INCOME     
Revenue
$ 0
$ 0
$ 0
$ 0
$ 0      
EXPENSE     
General and     
Administrative
250
100
1,250
700
8,434
Organization Cost Expense
0
0
0
0
282      
TOTAL EXPENSES
250
100
1,250
700
8,716
 

NET (LOSS)
$ (250)
$ (100)
$ (1,250)
$ (700)
$ (8,716)      
Net Loss     
Per Weighted Share
$ (.00)
$ (.00)
$ (.00)
$ (.00)       
Weighted average     
number of common     
shares outstanding
8,716,370
7,366,370
8,716,370
7,366,370 
 

The accompanying notesare an integral part of these financial statements.

ACCESSORY SPECIALISTSINCORPORATED

(A Development StageCompany)

STATEMENTS OF CASHFLOWS

(Unaudited)

 
Nine Months Ended September		30,
January 18, 2000 (Inception)		to September 30, 2004
 
2004
2003
Cash Flows from   
Operating Activities:   
Net (loss)
$ (1,250)
$ (700)
$ (8,716)
Amortization
0
0
282
Stock Issued for services
0
0
5,000
Issuance of stock to

Convert debt to equity
1,250
700
3,716    
Changes in assets and   
Liabilities:   
Officers Advances
0
0
0    
Net cash (used) in    
operating activities
0
0
282    
Cash Flows from   
Investing Activities:   
Organization Costs
0
0
(282)    
Net Cash (used) in    
Investing activities
0
0
0    
Cash Flows from   
Financing Activities
0
0
0    
Net increase in cash
0
0
0    
Cash beginning of period
0
0
0    
Cash end of period
$ 0
$ 0
$ 0    
Supplemental Disclosure   
Interest paid
$ 0
$ 0
$ 0    
Taxes paid
$ 0
$ 0
$ 0    
Non-cash transactions:   
Number of shares issued   
For services
0
0
5,000,000    
Number of shares issued   
To convert debt to equity
1,250,000
700,000
3,716,370
The accompanying notesare an integral part of these financial statements.

ACCESSORY SPECIALISTSINCORPORATED

(A Development StageCompany)

NOTES TO FINANCIALSTATEMENTS

September 30, 2004

Note 1 - Basis ofPresentation

 

The condensed interimfinancial statements included herein, presented in accordance with United Statesgenerally accepted accounting principles and stated in US dollars, have beenprepared by the Company, without audit, pursuant to the rules and regulations ofthe Securities and Exchange Commission. Certain information and footnotedisclosures normally included in financial statements prepared in accordancewith generally accepted accounting principles have been condensed or omittedpursuant to such rules and regulations, although the Company believes that thedisclosures are adequate to make the information presented not misleading.

 

These statementsreflect all adjustments, consisting of normal recurring adjustments, which inthe opinion of management, are necessary for fair presentation of theinformation contained therein. It is suggested that these condensed interimfinancial statements be read in conjunction with the financial statements of theCompany for the year ended December 31, 2003 and notes thereto included in theCompany's 10-KSB annual report. The Company follows the same accounting policiesin the preparation of interim reports.

 

Results of operationfor the interim period are not indicative of annual results.

 

Note 2 - Goingconcern

 

The accompanyingfinancial statements have been prepared assuming that the Company will continueas a going concern, which contemplates the recoverability of assets and thesatisfaction of liabilities in the normal course of business. As a result, theCompany incurred accumulated net losses from January 18, 2000 (inception)through the period ended September 30, 2004 of $8,716. In addition, theCompany's development activities since inception have been financially sustainedthrough equity financing.

 

The ability of theCompany to continue as a going concern is dependent upon its ability to find asuitable acquisition/merger candidate, raise additional capital from the sale ofcommon stock and, ultimately, the achievement of significant operating revenues.The accompanying financial statements do not include any adjustments that mightbe required should the Company be unable to recover the value of its assets orsatisfy its liabilities.

 

NOTE 3 - STOCKHOLDERS EQUITY

 

On September 29,2004, the Company issued the sole officer of the Company 250,000 shares of its$.001 par value common stock for conversion of debt to equity of $250. Theshares were deemed to have been issued pursuant to an exemption provided bySection 4(2) of the Act, which exempts from registration "transactions by anissuer not involving a public offering."

ACCESSORY SPECIALISTSINCORPORATED

(A Development StageCompany)

NOTES TO FINANCIALSTATEMENTS

September 30, 2004

 

NOTE 4 - RELATED PARTY TRANSACTIONS

 

The Company neitherowns or leases any real or personal property. Office services are providedwithout charge by the officer and director of the Company. Such costs areimmaterial to the financial statements and accordingly, have not been reflectedtherein. The officer and director of the Company is involved in other businessactivities and may, in the future, become involved in other businessopportunities. If a specific business opportunity becomes available, such personmay face a conflict in selecting between the Company and their other businessinterests. The Company has not formulated a policy for the resolution of suchconflicts.

ITEM 2. PLAN OF OPERATION

 

The Company hasregistered its common stock on a Form 10-SB registration statement filedpursuant to the Securities Exchange Act of 1934, as amended (the "Exchange Act")and Rule 12(g) thereof. The Company files with the Securities and ExchangeCommission periodic and episodic reports under Rule 13(a) of the Exchange Act,including quarterly reports on Form 10-QSB and annual reports on Form 10-KSB.

 

We are currentlyseeking to engage in a merger with or acquisition of an unidentified foreign ordomestic company which desires to become a reporting ("public") company whosesecurities are qualified for trading in the United States secondary market. Wemeet the definition of a "blank check" company contained in Section (7)(b)(3) ofthe Securities Act of 1933, as amended. We have been in the developmental stagesince inception and have no operations to date. Other than issuing shares to oursole stockholder, we have not commenced any operational activities.

 

We will not acquireor merge with any entity which cannot provide audited financial statements at orwithin a reasonable period of time after closing of the proposed transaction. Weare subject to all the reporting requirements included in the Exchange Act.Included in these requirements is our duty to file audited financial statementsas part of our Form 8-K to be filed with the Securities and Exchange Commissionupon consummation of a merger or acquisition, as well as our audited financialstatements included in our annual report on 10-KSB. If such audited financialstatements are not available at closing, or within time parameters necessary toinsure our compliance with the requirements of the Exchange Act, or if theaudited financial statements provided do not conform to the representations madeby the target business, the closing documents may provide that the proposedtransaction will be voidable at the discretion of our present management.

 

We will not restrictour search for any specific kind of businesses, but may acquire a business whichis in its preliminary or development stage, which is already in operation, or inessentially any stage of its business life. It is impossible to predict at thistime the status of any business in which we may become engaged, in that suchbusiness may need to seek additional capital, may desire to have its sharespublicly traded, or may seek other perceived advantages which we may offer.

 

A businesscombination with a target business will normally involve the transfer to thetarget business of the majority of our common stock, and the substitution by thetarget business of its own management and board of directors.

 

We have, and willcontinue to have, no capital with which to provide the owners of businessopportunities with any cash or other assets. However, management believes wewill be able to offer owners of acquisition candidates the opportunity toacquire a controlling ownership interest in a company with securities registeredpursuant to Rule 12(g) of the Exchange Act. Our officer and director has notconducted market research and is not aware of statistical data to support theperceived benefits of a merger or acquisition transaction for the owners of abusiness opportunity.

 

Our sole officer anddirector has agreed that he will advance any additional funds which we need foroperating capital and for costs in connection with searching for or completingan acquisition or merger. Such advances have historically been converted toequity. There is no minimum or maximum amount the Officer and Director willadvance to us. We will not borrow any funds for the purpose of repaying advancesmade by such Officer and Director, and we will not borrow any funds to make anypayments to our promoters, management or their affiliates or associates.

Item 3. Controls andProcedures

 

The Company maintainsdisclosure controls and procedures designed to ensure that information requiredto be disclosed in reports filed under the Securities Exchange Act of 1934, asamended, is recorded, processed, summarized and reported within the specifiedtime periods. As of the end of the period covered by this report, the Company'ssole officer evaluated the effectiveness of the Company's disclosure controlsand procedures. Based on the evaluation, which disclosed no significantdeficiencies or material weaknesses, the Company's sole officer concluded thatthe Company's disclosure controls and procedures are effective. There were nochanges in the Company's internal control over financial reporting that occurredduring the Company's most recent fiscal quarter that have materially affected,or are reasonably likely to materially affect, the Company's internal controlover financial reporting.

 

PART II -- OTHERINFORMATION

ITEM 1. LEGAL PROCEEDINGS

 

There are no legalproceedings against us and we are unaware of any such proceedings contemplatedagainst us.

 

ITEM 2. UNREGISTERED SALES OF EQUITYSECURITIES AND USE OF PROCEEDS

 

On September 29,2004, the Company issued the sole officer of the Company 250,000 shares of its$.001 par value common stock for conversion of debt to equity of $250. Theshares were deemed to have been issued pursuant to an exemption provided bySection 4(2) of the Act, which exempts from registration "transactions by anissuer not involving a public offering."

 

ITEM 3. DEFAULTS UPON SENIORSECURITIES

 

Not applicable.

 

ITEM 4. SUBMISSION OF MATTERS TO AVOTE OF SECURITY HOLDERS

 

Not applicable.

ITEM 5. OTHER INFORMATION

 

Not applicable.

 

ITEM 6. EXHIBITS AND REPORTS ON FORM8-K

(a)    Exhibits SeeExhibit Table on page E-1

(b)    8-K - None

SIGNATURES

 

Pursuant to therequirements of the Securities Exchange Act of 1934, the registrant has dulycaused this report to be signed on its behalf by the undersigned thereunto dulyauthorized.

 

ACCESSORY SPECIALISTS INCORPORATED

 

By: /s/ Anthony N. DeMint                   
Anthony N. DeMint, President

 

Dated: November 10, 2004

EXHIBIT TABLE
**Exhibit

Number**Description
(3)(i)**Articles of		Incorporation 

(a) Articles		of Incorporation
(3)(ii)**Bylaws

(a) Bylaws
(4)**Instruments		defining the rights of security holders:
(4)(i)
(a) Articles		of Incorporation

(b) Bylaws

(c) Stock		Certificate Specimen
(31)**
Certification		Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
(32)**
Certification		Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
*Filed in Form 10-SB filed onFebruary 7, 2000

**Filed Herewith******* |
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