UNITED STATES
                   SECURITIES AND EXCHANGE COMMISSION

                          Washington, D.C. 20549


                          Form 10-QSB



(Mark One)
X...Quarterly report under section 13 or 15(d) of the Securities
Exchange Act of 1934 for the quarterly period ended November 30, 2005.

.....Transition report under section 13 or 15(d) of the Securities
Exchange Act of 1934 [No Fee Required] for the transition period
from _________ to _________.


			Commission File No:   0-23559

                      SUNBURST ACQUISITIONS III, INC.
                 ---------------------------------------
                 (Name of small business in its charter)

      Colorado                              84-14320001
----------------------               -----------------------
(State or other                      (IRS Employer Id.  No.)
jurisdiction of Incorporation)

Bellemarc Building, 1912 Sidewinder Drive, Suite 200-A  Park City, UT 84060
---------------------------------------------------------------------------
(Address of Principal Office)                                      Zip Code

Issuer's telephone number:    (949) 635-0647

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

 Yes __X__ No _ _ __

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

 Yes __X___ No ____  _

Applicable only to issuers involved in bankruptcy proceedings during
the past five years

Check whether the issuer has filed all documents and reports required
to be filed by Section 12, 13 or 15(d) of the Exchange Act after the
distribution of securities under a plan confirmed by a court.

 Yes __ X _ No __ _ __

Applicable only to corporate issuers

State the number of shares outstanding of each of the issuer's classes
of common equity, as of the latest practicable date.  At November 30,
2005, 33,303,840 shares were outstanding.

Transitional Small Business Disclosure
Format (Check one): Yes ____ _ No __ X_ _






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<PAGE>





PART 1 - FINANCIAL INFORMATION



ITEM 1.  FINANCIAL STATEMENTS AND EXHIBITS

       (a) The financial statements of registrant for the
three months ended November 30, 2005, follow.  The financial statements
reflect all adjustments which are, in the opinion of management,
necessary to a fair statement of the results for the interim period
presented.



                         SUNBURST ACQUISITIONS III, INC.

                            FINANCIAL STATEMENTS

                               November 30, 2005

                         SUNBURST ACQUISITIONS III, INC.

                         (A Development Stage Company)
















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<PAGE>



                     SUNBURST ACQUISITIONS III, INC.

                                BALANCE SHEET
                                November 30, 2005
                                (Unaudited)



   ASSETS

CURRENT ASSETS:
   Cash and cash equivalents                         $  13,275
                                                     ---------

     Total current assets                               13,275
                                                     ---------


     TOTAL ASSETS                                    $  13,275
                                                     =========

  LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)

CURRENT LIABILITIES:
   Accounts payable                                  $   5,174
   Notes payable - related party                        43,042
                                                     ---------

     Total current liabilities                          48,216

STOCKHOLDERS' EQUITY (DEFICIT)
   Preferred stock, no par value
     20,000,000 shares authorized;
     no shares issued and outstanding                        -
   Common stock, no par value;
     100,000,000 shares authorized;
     33,303,840 shares issued and
     outstanding                                     2,020,435
   Additional paid-in capital                           50,880
   Deficit accumulated
     during the development stage                   (2,106,256)
                                                     ---------
     Total stockholders' deficit                       (34,941)
                                                     ---------
     TOTAL LIABILITIES AND STOCKHOLDERS'
       DEFICIT                                       $  13,275
                                                     =========











    The accompanying notes are an integral part of the financial statements.

                                F-1




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<PAGE>




                   SUNBURST ACQUISITIONS III, INC.

                           (A Development Stage Company)
                             STATEMENTS OF OPERATIONS
                                    (Unaudited)


                             Period
                           August 27,
                              1997
                          (inception)
                               to         For the three months
                            November       ended November 30,
                            30, 2005        2005         2004
                         -----------   ---------    ---------

REVENUES                 $     1,067   $       -    $       -
                         -----------   ---------    ---------

EXPENSES
  Amortization                   300           -            -
  Consulting fees             12,728       5,175        1,125
  General office               2,474          95           74
  Legal fees                  47,582           -          430
  Professional fees           28,030           -            -
  Rent                         4,950         150          150
  Taxes and licenses             132           -            -
  Transfer agent              11,127         200          167
  Valuation allowance      2,000,000           -            -
                         -----------   ---------    ---------

      Total expense        2,107,323       5,620        1,946
                         -----------   ---------    ---------

NET LOSS                  (2,106,256)     (5,620)      (1,946)

Accumulated deficit
  Balance, beginning
  of period                        -  (2,100,636)  (2,092,542)
                         -----------   ---------    ---------

  Balance,
  end of period         $(2,106,256) $(2,106,256) $(2,094,488)
                         ===========  ===========  ===========
NET LOSS PER SHARE      $     (0.06) $     (0.00) $     (0.00)
                         ===========  ===========  ===========

WEIGHTED AVERAGE NUMBER
  OF SHARES OF COMMON
  STOCK AND COMMON STOCK
  EQUIVALENTS
  OUTSTANDING             34,002,365  33,303,840   33,303,840
                         ===========  ==========   ==========









    The accompanying notes are an integral part of the financial statements.

                                      F-2



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<PAGE>


                          Sunburst Acquisitions III, Inc.
                          (A Development Stage Company)
                            STATEMENTS OF CASH FLOWS
                                    (Unaudited)

                                        Period
                                    August 27, 1997
                                     (inception)         For the three months
                                    to November 30,        ended November 30,
                                        2005             2005        2004
                                  ---------------    ------------  ---------


CASH FLOWS FROM
    OPERATING ACTIVITIES:

  Net Loss                        $    (2,106,256)      $  (5,620)  $  (1,946)
  Adjustments to reconcile
     net loss to net cash flows
     from operating activities:
    Amortization                              300               -           -
    Rent expense                            3,750             150           -
    Stock issued for
     consulting fees                        4,935               -           -
    Increase(Decrease) in
     accounts payable                       5,174           2,556      (4,470)
    Increase in notes
     payable to related party              43,042          16,193       6,240
                                     ------------     -----------  ----------
  Net cash flows from
   operating activities                (2,049,055)         13,279        (176)

CASH FLOWS FROM
    INVESTING ACTIVITIES

  Increase in organization costs             (300)             -            -
                                    -------------   ------------   ----------

  Net cash flows from
   investing activities                      (300)             -            -

CASH FLOWS FROM
    FINANCING ACTIVITIES

  Issuance of common stock              2,007,500              -            -
  Issuance of preferred
   Stock                                    8,000              -            -
  Aditional paid-in capital                47,130              -          250
                                   --------------  -------------  -----------

  Net cash flows from
   financing activities                 2,062,630              -          250
                                   --------------  -------------  -----------

  Net increase in cash and
   cash equivalents                        13,275         13,279            74

CASH AND CASH EQUIVALENTS,
  Beginning of Period                           -             (4)            -
                                   --------------  -------------  ------------

CASH AND CASH EQUIVALENTS,
 End of Period                     $       13,275  $      13,275  $         74
                                   ==============  =============  ============





    The accompanying notes are an integral part of the financial statements.

                                      F-3



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<PAGE>
                          Sunburst Acquisitions III, Inc.

                          (A Development Stage Company)
                          NOTES TO FINANCIAL STATEMENTS
                                November 30, 2005
                                    (Unaudited)


1.  Management's Representation of Interim Financial Information
    ------------------------------------------------------------

The accompanying financial statements have been prepared by Sunburst
Acquisitions III, Inc. without audit pursuant to the rules and regulations of
the Securities and Exchange Commission.  Certain information and footnote
disclosures normally included in financial statements prepared in accordance
with generally accepted accounting principles have been condensed or omitted
as allowed by such rules and regulations, and management believes that the
disclosures are adequate to make the information presented not misleading.
These financial statements include all of the adjustments which, in the opinion
of management, are necessary to a fair presentation of financial position and
results of operations.  All such adjustments are of a normal and recurring
nature.  These financial statements should be read in conjunction with the
audited financial statements at August 31, 2005.





















                                     F-4




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<PAGE>


Item 2.   MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATIONS.

SPECIAL NOTE OF CAUTION REGARDING FORWARD-LOOKING STATEMENTS

Certain statements in this report, including statements in the
following discussion, which are not statements of historical fact, are
what are known as "forward-looking statements," which are basically
statements about the future. For that reason, these statements involve
risk and uncertainty since no one can accurately predict the future.
Words such as "plans," "intends," "will," "hopes," "seeks," "anticipates,"
"expects," and the like, often identify such forward-looking statements,
but are not the only indication that a statement is a forward-looking
statement. Such forward-looking statements include statements concerning
our plans and objectives with respect to the present and future operations
of the Company, and statements which express or imply that such present and
future operations will or may produce revenues, income or profits. Numerous
factors and future events could cause the Company to change such plans and
objectives, or fail to successfully implement such plans or achieve such
objectives, or cause such present and future operations to fail to produce
revenues, income or profits.

Therefore, the reader is advised that the following discussion should be
considered in light of the discussion of risks and other factors contained in
this report on Form 10QSB and in the Company's other filings with the Securities
and Exchange Commission. No statements contained in the following discussion
should be construed as a guarantee or assurance of future performance or future
results.

Liquidity and Capital Resources

As of November 30, 2005, the Company remains in the development stage. For the
period ended November 30, 2005, the Company's balance sheet reflects current and
total assets of $ 13,275, and current liabilities of $48,216.

Results of Operations

During the period from August 27, 1997 (inception) through November 30, 2005,
the Company has accumulated a deficit of $2,106,256. This deficit is primarily
the result of a $2,000,000 valuation allowance taken against a promissory note
from American Recruitment Conferences, Inc., a California corporation ("ARC")
and Workseek.com, Inc., a California corporation ("Workseek"). The promissory
note was issued to the Company to evidence a loan made in conjunction with
execution of an Agreement and Plan of Reorganizaton with ARC and Workseek,
dated August 30, 1999. The proposed transaction was not consummated and
recovery of the amount due under the promissory note was doubtful. As a
result, as of August 31, 2000, the promissory note receivable was offset
by a full allowance for realization.

During the period from inception to November 30, 2005, the Company has engaged
in no significant operations other than organizational activities, acquisition
of capital, preparation and filing of the registration of its securities under
the Securities Exchange Act of 1934, as amended, compliance with its periodical
reporting requirements, and efforts to locate a suitable merger or acquisition
candidate. No revenues were received by the Company during this period.

From the date of filing of its registration statement under the Securities
Exchange Act of 1934 (December 29, 1997) until the end of the fourth quarter of
its 2001 fiscal year, the Company filed all required periodic reports under the
Securities Exchange Act of 1934. After completing the filing of the report on
Form 10KSB for the fiscal year ended August 31, 2001, the Company ceased filing
reports in order to avoid incurring additional legal and accounting expenses.

After the 2001 fiscal year, the Company remained dormant throughout the fiscal
years ending August 31, 2002 and August 31, 2003. The Company incurred no
expenses for legal and accounting fees in 2002 and 2003, and it also ceased
all efforts related to seeking a suitable merger or acquisition candidate during
the period it remained dormant.

Plan of Operations and Need for Additional Financing

The Company's plan of operations since August 31, 2001 was to remain dormant in
order to avoid incurring legal and accounting fees related to compliance with
its reporting obligations. However, in February 2004 there was a change of
control,and the Company elected to begin taking the steps necessary to file
all delinquent



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<PAGE>

reports and to once again become current in compliance with its reporting
obligations under the Securities Exchange Act of 1934. As of the date of filing
of this report on Form 10QSB for the period ended November 30, 2005, the Company
has completed the filing of all delinquent periodic reports and is current with
its periodic reporting obligations under the Securities Exchange Act of 1934.

For the fiscal year ending August 31, 2006, the Company's plan of operations is
to remain current in compliance with its reporting obligations under the
Securities Exchange Act of 1934 and to engage in efforts to locate a suitable
merger oracquisition candidate. The Company will require additional capital in
order to pay the costs associated with making required filings and seeking
out suitable merger or acquisition candidates.

No specific commitments to provide additional funds have been made by management
or other stockholders, and the Company has no current plans, proposals,
arrangements or understandings with respect to the sale or issuance of
additional securities prior to the location of a merger or acquisition
candidate.  Accordingly, there can be no assurance that any additional funds
will be available to the Company to allow it to cover its expenses.
Notwithstanding the foregoing,to the extent that additional funds are required,
the Company anticipates receiving such funds in the form of advancements from
current shareholders without issuance of additional shares or other securities,
or through the private placement of restricted securities rather than through
a public offering.

The Company may also seek to compensate providers of services by issuances of
stockin lieu of cash.For information as to the Company's policy in regard to
payment for consulting services, see "Certain Relationships and Transactions."



Item 3.         CONTROLS AND PROCEDURES

As of the filing date of this report, we carried out an evaluation, under the
supervision and with the participation of our chief executive officer and chief
financial officer, of the effectiveness of the design and operation of our
disclosure controls and procedures.  Based on this evaluation, our chief
executive officer and chief financial officer concluded that our disclosure
controls and procedures are effective in timely alerting management to material
information required to be included in our periodic SEC reports.  It should be
noted that design of any system of controls is based in part upon certain
assumptions about the likelihood of future events, and there can be no assurance
that any design will succeed in achieving its stated goals under all potential
future conditions, regardless of how remote.

In addition, there has been no change in our internal control over financial
reporting during the most recent fiscal quarter that has materially affected,
or is reasonably likely to materially affect, our internal control over
financial reporting.






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<PAGE>

PART II - OTHER INFORMATION

ITEM 1.        LEGAL PROCEEDINGS

    None.

ITEM 2.        UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

    None.

ITEM 3.        DEFAULTS UPON SENIOR SECURITIES

    None.

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

    None.

ITEM 5.        OTHER INFORMATION

    None


ITEM 6.        EXHIBITS

               The following exhibits are filed herewith:

   31.1      Certifications pursuant to Rule 13a-14(a) or 15d-14(a) under the
              Securities Exchange Act of 1934, as amended, as adopted pursuant
              to Section 302 of the Sarbanes-Oxley Act of 2002.

   32.1      Certifications 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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<PAGE>


SIGNATURES



In accordance with the requirements of the Exchange Act, the registrant caused
this report to be signed on its behalf by the undersigned, thereunto duly
authorized.



SUNBURST ACQUISITIONS III, INC.

By: /S/ Scott MacCaughern
      Principal Executive Officer and Director


Date: January 17, 2006



















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