UNITED
STATES


SECURITIES
AND EXCHANGE COMMISSION


WASHINGTON,
D.C. 20549


_______________




FORM
10-Q


_______________




x
            QUARTERLY
      REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
      1934




For
the quarterly period ended September 30, 2008




o
            TRANSITION
      REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
      1934





For the transition period from
______to______.




INTERNATIONAL
MERGERS AND ACQUISITIONS CORP.


(Exact
name of registrant as specified in Charter)




Florida
            
            000-52717
            
            65-0968841(State
      or other jurisdiction of
              incorporation
      or organization)
            
            (Commission
      File No.)
            
            (IRS
      Employee Identification No.)





1835
Seneca Blvd


Winter
Springs, FL 32708


(Address
of Principal Executive Offices)


_______________




(407)341-5498


(Issuer
Telephone number)


_______________




(Former
Name or Former Address if Changed Since Last Report)




Check
whether the issuer (1) has filed all reports required to be filed by Section 13
or 15(d) of the Exchange Act during the preceding 12 months (or for such shorter
period that the issuer was required to file such reports), and (2)has been
subject to such filing requirements for the past 90 days. Yes x  No o




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




Large
Accelerated Filer o     Accelerated
Filer o     Non-Accelerated
Filer o     Smaller
Reporting Company x








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


Yes x  No o




State the
number of shares outstanding of each of the issuer’s classes of common equity,
as of November 13, 2008: 9,000,000 shares of common stock.























INTERNATIONAL
MERGERS AND ACQUISITIONS CORP.





FORM
10-Q




September
30, 2008




INDEX




PART
I --FINANCIAL INFORMATION




Item
      1.
            Financial
      StatementsItem
      2.
            Management’s
      Discussion and Analysis of Financial ConditionItem
      3
            Quantitative
      and Qualitative Disclosures About Market RiskItem
      4T.
            Control
      and Procedures




PART
II --OTHER INFORMATION




Item
      1
            Legal
      ProceedingsItem
      1A.
            Risk
      FactorsItem
      2.
            Unregistered
      Sales of Equity Securities and Use of ProceedsItem
      3.
            Defaults
      Upon Senior SecuritiesItem
      4.
            Submission
      of Matters to a Vote of Security HoldersItem
      5.
            Other
      InformationItem
      6.
            Exhibits
      and Reports on Form 8-K






SIGNATURE















Item 1. Financial
Information











INTERNATIONAL
MERGERS AND ACQUISITIONS CORP.


(F/K/A
CAPITAL VENTURES GROUP III, INC.)


(A
DEVELOPMENT STAGE COMPANY)











CONTENTS













PAGE
            1
            CONDENSED
      BALANCE SHEETS AS OF SEPTEMBER 30, 2008 (UNAUDITED) AND DECEMBER 31
      2007PAGE
            2
            CONDENSED
      STATEMENTS OF OPERATIONS FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30,
      2008 AND 2007 AND FOR THE PERIOD FROM DECEMBER 19, 1999 (INCEPTION) TO
      SEPTEMBER 30, 2008 (UNAUDITED)PAGES
            3
            CONDENSED
      STATEMENT OF CHANGES IN STOCKHOLDERS’ DEFICIENCY FOR THE PERIOD FROM
      DECEMBER 19, 1999 (INCEPTION) TO SEPTEMBER 30, 2008
      (UNAUDITED)PAGE
            4
            CONDENSED
      STATEMENTS OF CASH FLOWS FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2008 AND
      2007 AND FOR THE PERIOD FROM DECEMBER 19, 1999 (INCEPTION) TO SEPTEMBER
      30, 2008 (UNAUDITED)PAGES
            5 –
      8
            NOTES
      TO CONDENSED FINANCIAL STATEMENTS (UNAUDITED)
















INTERNATIONAL
      MERGERS & ACQUISITIONS CORP.F/K/A
      Capital Ventures Group III, Inc.(A
      Development Stage Company)CONDENSED
      BALANCE SHEETSSeptember
      30, 2008
            
            
            December
      31, 2007(Unaudited)ASSETSCURRENT
      ASSETSCash
            
            $
            3,413
            
            
            $
            25,582Accrued
      Interest Receivable
            
            
            2,538
            
            
            
            323Note
      Receivable
            
            
            29,500
            
            
            
            29,500TOTAL
      CURRENT ASSETS
            
            $
            35,451
            
            
            $
            55,405TOTAL
      ASSETS
            
            $
            35,451
            
            
            $
            55,405LIABILITIES
      AND STOCKHOLDERS' DEFICIENCYCURRENT
      LIABILITIESAccounts
      Payable and Accrued Expenses
            
            $
            21
            
            
            $
            963Accrued
      Consulting Expense
            
            
            60,000
            
            
            
            30,000Accrued
      Interest on Notes Payable, Shareholders
            
            
            2,069
            
            
            
            263Accrued
      Payroll
            
            
            45,213
            
            
            
            14,000Notes
      Payable - Shareholders
            
            
            29,000
            
            
            
            24,000TOTAL
      CURRENT LIABILITIES
            
            $
            136,303
            
            
            $
            69,226TOTAL
      LIABILITIES
            
            $
            136,303
            
            
            $
            69,226STOCKHOLDERS'
      DEFICIENCYPreferred
      stock, $0.001 par value, 10,000,000 shares authorized,0
      shares issued and outstanding
            
            
            -
            
            
            
            -Common
      stock, $0.001 par value, 100,000,000 shares authorized,9,000,000
      & 9,000,000 issued and outstanding, respectively
            
            $
            9,000
            
            
            $
            9,000Additional
      paid-in capital
            
            
            514,145
            
            
            
            514,145Deferred
      Stock Compensation
            
            
            (152,972
            )
            
            
            (305,944
            )Stock
      Subscription Receivable
            
            
            (33,300
            )
            
            
            (33,300
            )Accumulated
      deficit during development stage
            
            
            (437,725
            )
            
            
            (197,722
            )TOTAL
      STOCKHOLDERS' DEFICIENCY
            
            $
            (100,852
            )
            
            $
            (13,821
            )TOTAL
      LIABILITIES AND STOCKHOLDERS' DEFICIENCY
            
            $
            35,451
            
            
            $
            55,405





The
accompanying notes are an integral part of these condensed
unaudited financial statements.




1








INTERNATIONAL
      MERGERS & ACQUISITIONS CORP.F/K/A
      Capital Ventures Group III, Inc.(A
      Development Stage Company)CONDENSED
      STATEMENTS OF OPERATIONSFor
      the Period FromThree
      Month Ended
            
            
            Three
      Month Ended
            
            
            Nine
      Months Ended
            
            
            Nine
      Months Ended
            
            
            12/31/1999
      (Inception)September
      30, 2008
            
            
            September
      30, 2007
            
            
            September
      30, 2008
            
            
            September
      30, 2007
            
            
            September
      30, 2008(Unaudited)
            
            
            (Unaudited)
            
            
            (Unaudited)
            
            
            (Unaudited)
            
            
            (Unaudited)REVENUES
            
            $
            -
            
            
            $
            -
            
            
            $
            -
            
            
            $
            -
            
            
            $
            -EXPENSESConsulting
            
            $
            50,991
            
            
            $
            49,890
            
            
            $
            152,972
            
            
            $
            49,890
            
            
            $
            253,851Payroll
      Expenses
            
            
            15,213
            
            
            
            12,446
            
            
            
            40,511
            
            
            
            12,446
            
            
            
            66,109Professional
            
            
            3,556
            
            
            
            34,818
            
            
            
            45,280
            
            
            
            34,818
            
            
            
            107,194General
      & Administrative
            
            
            544
            
            
            
            4,998
            
            
            
            1,650
            
            
            
            5,148
            
            
            
            11,040Total
      Expenses
            
            $
            70,304
            
            
            $
            102,152
            
            
            $
            240,413
            
            
            $
            102,302
            
            
            $
            438,194LOSS
      FROM OPERATIONS
            
            $
            (70,304
            )
            
            $
            (102,152
            )
            
            $
            (240,413
            )
            
            $
            (102,302
            )
            
            $
            (438,194
            )OTHER
      INCOME (EXPENSE)Interest
      income
            
            $
            752
            
            
            
            
            
            
            $
            2,216
            
            
            $
            -
            
            
            $
            2,538Interest
      expense
            
            
            (616
            )
            
            
            
            
            
            
            (1,806
            )
            
            
            -
            
            
            
            (2,069
            )TOTAL
      OTHER INCOME (EXPENSE)
            
            $
            136
            
            
            $
            -
            
            
            $
            410
            
            
            $
            -
            
            
            $
            469INCOME
      TAX EXPENSE
            
            
            -
            
            
            
            -
            
            
            
            -
            
            
            
            -
            
            
            
            -NET
      LOSS
            
            $
            (70,168
            )
            
            $
            (102,152
            )
            
            $
            (240,003
            )
            
            $
            (102,302
            )
            
            $
            (437,725
            )NET
      LOSS PER SHARE,BASIC
      AND DILUTED
            
            $
            (0.01
            )
            
            $
            (0.01
            )
            
            
            (0.03
            )
            
            
            (0.03
            )WEIGHTED
      AVERAGE NUMBER OFCOMMON
      SHARES OUTSTANDING,BASIC
      AND DILUTED
            
            $
            9,000,000
            
            
            $
            8,680,354
            
            
            
            9,000,000
            
            
            
            3,588,251




The
accompanying notes are an integral part of these condensed
unaudited financial statements.




2










INTERNATIONAL
      MERGERS & ACQUISITIONS CORP.F/K/A
      Capital Ventures Group III, Inc.(A
      Development Stage Company)CONDENSED
      STATEMENT OF CASH FLOWSFor
      the Period FromNine
      Months Ended
            
            
            Nine
      Months Ended
            
            
            12/31/1999
      (Inception)September
      30, 2008
            
            
            September
      30, 2007
            
            
            to
      September 30, 2008(Unaudited)
            
            
            (Unaudited)
            
            
            (Unaudited)CASH
      FLOWS FROM OPERATING ACTIVITIES:Net
      loss
            
            $
            (240,003
            )
            
            $
            (102,302
            )
            
            $
            (437,726
            )Adjustments
      to reconcile net loss to net cash used in operating
      activities:Increase
      (Decrease) in-kind contributions
            
            
            -
            
            
            
            150
            
            
            
            7,570Accretion
      of Deferred Stock Compensation
            
            
            152,972
            
            
            
            49,890
            
            
            
            254,952Changes
      in operating assets and liabilities:Increase
      in accrued interest receivable
            
            
            (2,215
            )
            
            
            -
            
            
            
            (2,538
            )Increase
      (Decrease) in accounts payable & accrued expenses
            
            
            62,078
            
            
            
            24,702
            
            
            
            107,305Net
      cash used in operating activities
            
            $
            (27,168
            )
            
            $
            (27,560
            )
            
            $
            (70,437
            )CASH
      FLOWS FROM INVESTING ACTIVITIES:Issuance
      of Note Receivable
            
            
            -
            
            
            
            -
            
            
            
            (29,500
            )Net
      cash used in investing activities
            
            $
            -
            
            
            $
            -
            
            
            $
            (29,500
            )CASH
      FLOWS FROM FINANCING ACTIVITIES:Proceeds
      from issuance of common stock
            
            
            -
            
            
            
            74,453
            
            
            
            74,350Proceeds
      from shareholder loan
            
            
            5,000
            
            
            
            -
            
            
            
            29,000Net
      cash provided by financing activities
            
            $
            5,000
            
            
            $
            74,453
            
            
            $
            103,350NET
      INCREASE (DECREASE) IN CASH
            
            $
            (22,168
            )
            
            $
            46,893
            
            
            $
            3,413CASH,
      BEGINNING OF PERIOD
            
            
            25,582
            
            
            
            -
            
            
            
            -CASH,
      END OF PERIOD
            
            $
            3,414
            
            
            $
            46,893
            
            
            $
            3,413SUPPLEMENTAL
      CASH FLOW INFORMATION:Interest
      paid
            
            $
            -
            
            
            $
            -
            
            
            $
            -Income
      taxes paid
            
            $
            -
            
            
            $
            -
            
            
            $
            -




The
accompanying notes are an integral part of these condensed
unaudited financial statements.






3







INTERNATIONAL
MERGERS AND ACQUISITIONS CORP.


(f/k/a
CAPITAL VENTURES GROUP III, INC.)


(A
DEVELOPMENT STAGE COMPANY)


SEPTEMBER
30, 2008


NOTES TO CONDENSED FINANCIAL
STATEMENTS







NOTE 1 SUMMARY OF SIGNIFICANT
ACCOUNTING POLICIES AND ORGANIZATION




(A)
Organization




International
Mergers and Acquisitions Corp. (f/k/a Capital Ventures Group III, Inc.) (A
development stage company) (the "Company") was incorporated under the laws of
the State of Florida on December 19, 1999. The Company was organized to provide
business services and financing to emerging growth entities.





It is
management's opinion, however that all material adjustments (consisting of
normal recurring adjustments) have been made which are necessary for a fair
financial statement presentation.  The results for the interim period
are not necessarily indicative of the results to be expected for the
year.





Activities
during the development stage include developing the business plan and raising
capital.




(B) Use of
Estimates




In
preparing financial statements in conformity with generally accepted accounting
principles, management is required to make estimates and assumptions that affect
the reported amounts of assets and liabilities and the disclosure of contingent
assets and liabilities at the date of the financial statements and revenues and
expenses during the reported period.  Actual results could differ from
those estimates.




(C) Cash
Equivalents




For the
purpose of the cash flow statement, the Company considers all highly liquid
investments with original maturities of three months or less at the time of
purchase to be cash equivalents.




(D) Loss Per
Share





Basic and
diluted net loss per common share is computed based upon the weighted average
common shares outstanding as defined by Financial Accounting Standards No. 128,
“Earnings per Share.”  As of September 30, 2008 and 2007 there were no
common share equivalents outstanding.





(E) Income
Taxes




The
Company accounts for income taxes under the Statement of Financial Accounting
Standards No. 109, “Accounting for Income Taxes” (“Statement
109”).  Under Statement 109, deferred tax assets and liabilities are
recognized for the future tax consequences attributable to differences between
the financial statement carrying amounts of existing assets and liabilities and
their respective tax bases.  Deferred tax assets and liabilities are
measured using enacted tax rates expected to apply to taxable income in the
years in which those temporary differences are expected to be recovered or
settled.  Under Statement 109, the effect on deferred tax assets and
liabilities of a change in tax rates is recognized in income in the period that
includes the enactment date.




4


INTERNATIONAL
MERGERS AND ACQUISITIONS CORP.
 (f/k/a
CAPITAL VENTURES GROUP III, INC.)
 (A
DEVELOPMENT STAGE COMPANY)
 SEPTEMBER
30, 2008
 NOTES TO CONDENSED FINANCIAL
STATEMENTS




(F) Business
Segments





The
Company operates in one segment and therefore segment information is not
presented.





(G) Fair
Value




The
Company's financial instruments as defined by Statement of Financial Accounting
Standards No. 107, "Disclosures about Fair Value of Financial Instruments,"
include cash, note receivable, note payable shareholder and accrued
expenses.  All instruments are accounted for on a historical cost
basis, which, due to the short maturity of these financial instruments,
approximates fair value at the reporting dates.




(H) Revenue
Recognition




The
Company will recognize revenue on arrangements in accordance with Securities and
Exchange Commission Staff Accounting Bulletin No. 101, “Revenue Recognition in
Financial Statements” and No. 104, “Revenue Recognition”. In all cases, revenue
will be recognized only when the price is fixed or determinable, persuasive
evidence of an arrangement exists, the service is performed and collectability
is reasonably assured.




(I) Recent Accounting
Pronouncements




In March
2008, the FASB issued SFAS No. 161, “Disclosures about Derivative
Instruments and Hedging Activities, an amendment of FASB Statement No. 133”
(SFAS161). This statement is intended
to improve transparency in financial reporting by requiring enhanced disclosures
of an entity’s derivative instruments and hedging activities and their effects
on the entity’s financial position, financial performance, and cash flows.SFAS161 applies to all derivative
instruments within the scope of SFAS 133, “Accounting for Derivative Instruments
and Hedging Activities” (SFAS 133) as well as related hedged items, bifurcated
derivatives, and non derivative instruments that are designated and qualify as
hedging instruments. Entities with instruments subject toSFAS161 must provide more robust
qualitative disclosures and expanded quantitative disclosures.SFAS161 is effective prospectively for
financial statements issued for fiscal years and interim periods beginning after
November 15, 2008, with early application permitted. We are currently
evaluating the disclosure implications of this statement.




In May
2008, the FASB issued SFAS No. 162, “The Hierarchy of Generally Accepted
Accounting Principles.” SFAS No. 162 identifies the sources of accounting
principles and provides entities with a framework for selecting the principles
used in preparation of financial statements that are presented in conformity
with GAAP. The current GAAP hierarchy has been criticized because it is directed
to the auditor rather than the entity, it is complex, and it ranks FASB
Statements of Financial Accounting Concepts, which are subject to the same level
of due process as FASB Statements of Financial Accounting Standards, below
industry practices that are widely recognized as generally accepted but that are
not subject to due process. The Board believes the GAAP hierarchy should be
directed to entities because it is the entity (not its auditors) that is
responsible for selecting accounting principles for financial statements that
are presented in conformity with GAAP. SFAS 162 is effective 60 days following
the SEC’s approval of PCAOB Auditing Standard No. 6, Evaluating Consistency
of Financial Statements (AS/6). The adoption of FASB 162 is not expected to have
a material impact on the Company’s financial position.






5


INTERNATIONAL
MERGERS AND ACQUISITIONS CORP.
 (f/k/a
CAPITAL VENTURES GROUP III, INC.)
 (A
DEVELOPMENT STAGE COMPANY)
 SEPTEMBER
30, 2008
 NOTES TO CONDENSED FINANCIAL
STATEMENTS




In May
2008, the FASB issued SFAS No. 163, “Accounting for Financial Guarantee
Insurance Contracts-an interpretation of FASB Statement No. 60.” Diversity
exists in practice in accounting for financial guarantee insurance contracts by
insurance enterprises under FASB Statement No. 60, Accounting and Reporting by
Insurance Enterprises. This results in inconsistencies in the recognition and
measurement of claim liabilities. This Statement requires that an insurance
enterprise recognize a claim liability prior to an event of default (insured
event) when there is evidence that credit deterioration has occurred in an
insured financial obligation. This Statement requires expanded disclosures about
financial guarantee insurance contracts. The accounting and disclosure
requirements of the Statement will improve the quality of information provided
to users of financial statements.  SFAS 163 is effective for financial
statements issued for fiscal years beginning after December 15, 2008, and
interim periods within those fiscal years. The adoption of FASB 163 is not
expected to have a material impact on the Company’s financial
position.




NOTE
2 NOTE
RECEIVABLE





On
November 21, 2007 the company advanced $29,500 to James Crowell.  The
terms of the loan call for simple interest of 10% with a maturity date of 30
days from the date of the note.  In the event of default, the note
receivable balance will accrue interest at a rate of 16%.  Total
accrued interest receivable as of September 30, 2008 and December 31, 2007 was
$2,538 and $323 respectively.  On April 30, 2008 the term of the note
was extended to November 21, 2008.




NOTE 3 NOTE PAYABLE -
SHAREHOLDER





On
November 21, 2007 the company borrowed $24,000 from a
shareholder.  The terms of the loan call for simple interest of 10%
with a maturity date of 30 days from the date of the note.  In the
event of default, the note receivable balance will accrue interest at a rate of
16%.  Total accrued interest expense as of September 30, 2008 and
December 31, 2007 was $2,065 and $263, respectively.  On August 12,
2008 the term of the note was extended to May 21, 2009.





On
September 26, 2008 the company borrowed $5,000 from a
shareholder.  The terms of the loan call for simple interest of 8%
with a maturity date of 365 days from the date of the note.  In the
event of default, the note receivable balance will accrue interest at a rate of
14%.  Total accrued interest expense as of September 30, 2008 and
December 31, 2007 was $4 and $0, respectively





NOTE 4 STOCKHOLDERS’
DEFICIENCY




(A) Amendment to Articles of
Incorporation





During
June 2007, the Company amended its Articles of Incorporation to change its name from
Capital Ventures Group III, Inc. to International Mergers & Acquisitions
Corp. and change the capital structure toreflect 100,000,000
common and 10,000,000 blank check preferred shares with a par value of
$0.001.  The financial statements have been retroactively adjusted to
reflect the changes.






6


INTERNATIONAL
MERGERS AND ACQUISITIONS CORP.
 (f/k/a
CAPITAL VENTURES GROUP III, INC.)
 (A
DEVELOPMENT STAGE COMPANY)
 SEPTEMBER
30, 2008
 NOTES TO CONDENSED FINANCIAL
STATEMENTS


(B) Contribution of Common
Stock





During
June 2007, the principal stockholder contributed 122,500 shares of common stock
to the Company for no consideration.  The shares were cancelled by the
Company upon receipt.




(C) Common Stock Issued for
Cash




On
December 17, 1999, the Company issued 1,000,000 shares of common stock to its
founders for cash of $1,000 ($0.001 per share).




During
July 2007, the Company issued 6,750,000 shares of common stock to four
individuals for cash of $6,750 ($0.001 per share).





During
July 2007, the Company issued 270,000 shares of common stock to three
individuals for cash of $99,900 ($0.37 per share).  As of September
30, 2007, a subscription receivable of $33,300 remains uncollected.




(D) In-Kind
Contribution




For the
period ended December 31, 2007 the stockholder of the Company paid $150 of
operating expenses on behalf of the Company (See Note 5).





During
2006, 2005, 2004, 2003, 2002, 2001, 2000 and 1999, the stockholder of the
Company paid $150, $550, $150, $150, $150, $150, $150 and $5,970, respectively,
of operating expenses on behalf of the Company
(See Note 5).




(E) Stock issued for
Services




In July
2007, the Company entered into advisory agreements with five individuals
to   provide assist with the due diligence, strategic planning,
marketing, negotiation, and closing activities with a target company. The
agreements call for the advisors to provide services for a period of two
years.  In addition the Company sold the advisors 652,500 shares of
common stock for cash proceeds of $653 and recorded the fair value of the common
stock of $241,425. The fair value of the common stock will be recognized over
the two year term of the agreements. For the nine months ended September 30,
2008, the Company has recognized consulting expense of $152,972 under the
agreements.




During
June 2007, the Company issued 450,000 shares of common stock to its CEO under an
employment agreement for cash of $450 and recorded the fair value of the common
stock of $166,500 that vest over a two year period.  For the nine
months ended September 30, 2008, the Company has recognized a payroll expense of
$40,511 under the agreement.




NOTE
5   RELATED PARTY
TRANSACTIONS




A
stockholder of the Company paid $7,570 of expenses on behalf of the Company from
inception (See Note 4 (D)).





Stockholders
in the company advanced $24,000 on November 21, 2007 and $5,000 on September 26,
2008 under the terms of two notes payable (See Note 3).






7


INTERNATIONAL
MERGERS AND ACQUISITIONS CORP.
 (f/k/a
CAPITAL VENTURES GROUP III, INC.)
 (A
DEVELOPMENT STAGE COMPANY)
 SEPTEMBER
30, 2008
 NOTES TO CONDENSED FINANCIAL
STATEMENTS




NOTE
6    COMMITMENTS AND
CONTINGINCIES




(A) Employment
Agreement




On June
28, 2007, the Company entered into an employment agreement with an individual to
become the CEO.  The agreement calls for a monthly salary of $4,000,
of which half will accrue until the Company has raised $500,000 in a private
placement and 450,000 shares of common stock that vest monthly over a two year
period.  The CEO subsequently waived all salary payments until such
time as the company has raised a minimum of $500,000.  The employment
agreement is at will and can be terminated immediately by the Company or the CEO
with 60 days notice.




(B) Consulting
Agreements




During
July 2007, the Company entered into five separate advisory agreements with
individuals to serve as advisors to assist with the due diligence, strategic
planning, marketing, negotiation, and closing activities with a target
company.  The advisory agreements call for the issuance of a total of
652,500 shares of common stock.  The shares vest monthly over a two
year period and were valued at a recent cash offering price of $0.37 per share
(See Note 4(E)).




During
June 2007, the Company entered into a consulting agreement for strategic
planning services for a period of twelve months for a monthly fee of
$5,000.  The monthly fee will accrue until the Company raises $500,000
in a private placement.  In June 2008 the consulting agreement expired
and was not renewed




NOTE
7   GOING
CONCERN





As
reflected in the accompanying financial statements, the Company is in the
development stage with no operations, has a deficit accumulated since inception
of $437,725, negative cash flows from operations since inception of $70,437 and
a shareholder’s deficit of $100,852 for the period ending September 30,
2008.  This raises substantial doubt about its ability to continue as
a going concern.  The ability of the Company to continue as a going
concern is dependent on the Company’s ability to raise additional capital and
implement its business plan.  The financial statements do not include
any adjustments that might be necessary if the Company is unable to continue as
a going concern.




Management
believes that actions presently being taken to obtain additional funding and
implement its strategic plans provide the opportunity for the Company to
continue as a going concern.




NOTE
8   SUBSEQUENT
EVENT




On
October 20, 2008 the company entered a non-binding letter of intent to acquire
all of the issued and outstanding membership units of Comoe, L.L.C. for
2,400,000 share of IMAC common stock.  As of October 27 2008, no
definitive agreements have been entered into and this transaction has not
closed.







8






Item 2.   Management’s Discussion and Analysis
or Plan of Operation





We intend to enter into a business
combination with a target company in exchange for cash and/or our securities. As
of October 20, 2008, the company entered a non-binding letter of intent to
acquire all of the issued and outstanding membership units of Comoe, L.L.C. for
2,400,000 share of IMAC common stock.  As of October 27, 2008, no
definitive agreements have been entered into and this transaction has not
closed.




Management
anticipates seeking out a target company through solicitation. Such solicitation
may include newspaper or magazine advertisements, mailings and other
distributions to law firms, accounting firms, investment bankers, financial
advisors and similar persons, the use of one or more World Wide Websites and
similar methods. No estimate can be made as to the number of persons who will be
contacted or solicited. Management may engage in such solicitation directly or
may employ one or more other entities to conduct or assist in such solicitation.
Management and its affiliates will pay referral fees to consultants and others
who refer target businesses for mergers into public companies in which
management and its affiliates have an interest. Payments are made if a business
combination occurs, and may consist of cash or a portion of the stock in the
Company retained by management and its affiliates, or both.





Our
Certificate of Incorporation provides that we may indemnify our officers and/or
directors for liabilities, which can include liabilities arising under the
securities laws. Therefore, our assets could be used or attached to satisfy any
liabilities subject to such indemnification.




Results of
Operation




We did not have any operating income
from inception through September 30, 2008. From inception through the period
ended September 30, 2008, we recognized a net loss from operations of $437,725.
For the three months ended September 30, 2008, we recognized a net loss from
operations of $70,168. Expenses for the three months were comprised of costs
mainly associated with consulting, legal, accounting and
office.




Liquidity and Capital
Resources




At September 30, 2008, we had cash of
$3,413. Therefore we have
limited capital resources and will rely upon the issuance of common stock and
additional capital contributions from shareholders to fund administrative
expenses pending acquisition of an operating company. In the event such efforts
areunsuccessful, contingent plans have been
arranged to provide that our current director is to fund required future filings
under the 1934 Act, and existing shareholders have expressed an interest in
additional funding if necessary to continue as a going concern.  Notwithstanding the above,
neither our currnet officer and director or any shareholder has agreed in
writing tofund our operations, if needed, going
forward and therefore they areunder no obligationto do so.


On
November 21, 2007 we borrowed $24,000 from a shareholder.  The terms
of the loan call for simple interest of 10% with a maturity date of 30 days from
the date of the note.  As of year end the note was in
default.  Upon default of the note payable the balance will accrue
interest at a rate of 16%.   Total accrued interest expense as of
September 30, 2008 and December 31, 2007 was $2,065 and $263,
respectively.  The term of the note was subsequently extended to
November 21, 2008.







9




On
September 26, 2008 the company borrowed $5,000 from a
shareholder.  The terms of the loan call for simple interest of 8%
with a maturity date of 365 days from the date of the note.  In the
event of default, the note receivable balance will accrue interest at a rate of
14%.  Total accrued interest expense as of September 30, 2008 and
December 31, 2007 was $4 and $0, respectively.




We
currently do not have enough cash to satisfy our minimum cash requirements for
the next twelve months. As reflected in the accompanying financial statements,
we are in the development stage with limited operations. This raises substantial
doubt about our ability to continue as a going concern. Our ability to continue
as a going concern is dependent on our ability to raise additional capital. The
financial statements do not include any adjustments that might be necessary if
we are unable to continue as a going concern.




Plan of
Operation




During
the next twelve months, the Company will actively seek out and investigate
possible business opportunities with the intent to acquire or merge with one or
more business ventures. Because the Company has limited funds, it may be
necessary for the sole officer and director to either advance funds to the
Company or to accrue expenses until such time as a successful business
consolidation can be made.




The
Company will not make it a condition that the target company must repay funds
advanced by its officers and directors. Management intends to hold expenses to a
minimum and to obtain services on a contingency basis when possible. However, if
the Company engages outside advisors or consultants in its search for business
opportunities, it may be necessary for the Company to attempt to raise
additional funds. As of the date hereof, the Company has not made any
arrangements or definitive agreements to use outside advisors or consultants or
to raise any capital. In the event the Company does need to raise capital most
likely the only method available to the Company would be the private sale of its
securities.





Because
of the nature of the Company as a development stage company, it is unlikely that
it could make a public sale of securities or be able to borrow any significant
sum from either a commercial or private lender. There can be no assurance that
the Company will able to obtain additional funding when and if needed, or that
such funding, if available, can be obtained on terms acceptable to the
Company.




The Company does not intend to hire any
employees, with the possible exception of part-time clerical assistance on an
as-needed basis. Outside advisors or consultants will be used only if they can
be obtained for minimal cost or on a deferred payment basis. Management is
convinced that it will be able to operate in this manner and to continue its
search for business opportunities during the next twelve
months.
  On October 20, 2008 the company entered
a non-binding letter of intent to acquire all of the issued and outstanding
membership units of Comoe, L.L.C. for 2,400,000 share of IMAC common
stock.  As of October 27, 2008, no definitive agreements have been
entered into and this transaction has not closed.




Critical Accounting
Policies




The
Company’s financial statements and related public financial information are
based on the application of accounting principles generally accepted in the
United States (“GAAP”). GAAP requires the use of estimates; assumptions,
judgments and subjective interpretations of accounting principles that have an
impact on the assets, liabilities, revenue and expense amounts reported.






10






These
estimates can also affect supplemental information contained in our external
disclosures including information regarding contingencies, risk and financial
condition. We believe our use if estimates and underlying accounting assumptions
adhere to GAAP and are consistently and conservatively applied. We base our
estimates on historical experience and on various other assumptions that we
believe to be reasonable under the circumstances. Actual results may differ
materially from these estimates under different assumptions or conditions. We
continue to monitor significant estimates made during the preparation of our
financial statements.




Our
significant accounting policies are summarized in Note 1 of our financial
statements. While all these significant accounting policies impact its financial
condition and results of operations, views certain of these policies as
critical. Policies determined to be critical are those policies that have the
most significant impact on financial statements and require management to use a
greater degree of judgment and estimates. Actual results may differ from those
estimates. Our management believes that given current facts and circumstances,
it is unlikely that applying any other reasonable judgments or estimate
methodologies would cause effect on our  results of operations,
financial position or liquidity for the periods presented in this
report.




Recent Accounting
Pronouncements




In March
2008, the FASB issued SFAS No. 161, “Disclosures about Derivative Instruments
and Hedging Activities, an amendment of FASB Statement No. 133” (SFAS 161). This
statement is intended to improve transparency in financial reporting by
requiring enhanced disclosures of an entity’s derivative instruments and hedging
activities and their effects on the entity’s financial position, financial
performance, and cash flows. SFAS 161 applies to all derivative instruments
within the scope of SFAS 133, “Accounting for Derivative Instruments and Hedging
Activities” (SFAS 133) as well as related hedged items, bifurcated derivatives,
and nonderivative instruments that are designated and qualify as hedging
instruments. Entities with instruments subject to SFAS 161 must provide more
robust qualitative disclosures and expanded quantitative disclosures. SFAS 161
is effective prospectively for financial statements issued for fiscal years and
interim periods beginning after November 15, 2008, with early application
permitted. We are currently evaluating the disclosure implications of this
statement.




In May
2008, the FASB issued SFAS No. 162, “The Hierarchy of Generally Accepted
Accounting Principles.” SFAS No. 162 identifies the sources of accounting
principles and provides entities with a framework for selecting the principles
used in preparation of financial statements that are presented in conformity
with GAAP. The current GAAP hierarchy has been criticized because it is directed
to the auditor rather than the entity, it is complex, and it ranks FASB
Statements of Financial Accounting Concepts, which are subject to the same level
of due process as FASB Statements of Financial Accounting Standards, below
industry practices that are widely recognized as generally accepted but that are
not subject to due process. The Board believes the GAAP hierarchy should be
directed to entities because it is the entity (not its auditors) that is
responsible for selecting accounting principles for financial statements that
are presented in conformity with GAAP. The adoption of FASB 162 is not expected
to have a material impact on the Company’s financial position.




In May
2008, the FASB issued SFAS No. 163, “Accounting for Financial Guarantee
Insurance Contracts-an interpretation of FASB Statement No. 60.” Diversity
exists in practice in accounting for financial guarantee insurance contracts by
insurance enterprises under FASB Statement No. 60, Accounting and Reporting by
Insurance Enterprises. This results in inconsistencies in the recognition and
measurement of claim liabilities. This Statement requires that an insurance
enterprise recognize a claim liability prior to an event of default (insured
event) when there is evidence that credit deterioration has occurred in an
insured financial obligation. This Statement requires expanded disclosures about
financial guarantee insurance contracts. The accounting and disclosure
requirements of the Statement will improve the quality of information provided
to users of financial statements. The adoption of FASB 163 is not expected to
have a material impact on the Company’s financial position.




Off Balance Sheet
Transactions





None.






11




Item
3. Quantitative and Qualitative Disclosures About Market Risk





Not required for smaller reporting
companies.


Item
4T.  Controls and Procedures





Pursuant
to Rule 13a-15(b) under the Securities Exchange Act of 1934 (“Exchange Act”),
the Company carried out an evaluation, with the participation of the Company’s
management, including the Company’s Chief Executive Officer (“CEO”) and Chief
Accounting Officer (“CAO”) (the Company’s principal financial and accounting
officer), of the effectiveness of the Company’s disclosure controls and
procedures (as defined under Rule 13a-15(e) under the Exchange Act) as of the
end of the period covered by this report. Based upon that evaluation, the
Company’s CEO and CAO concluded that the Company’s disclosure controls and
procedures are effective to ensure that information required to be disclosed by
the Company in the reports that the Company files or submits under the Exchange
Act, is recorded, processed, summarized and reported, within the time periods
specified in the SEC’s rules and forms, and that such information is accumulated
and communicated to the Company’s management, including the Company’s CEO and
CAO, as appropriate, to allow timely decisions regarding required
disclosure.





Internal
control over financial reporting is a process to provide reasonable assurance
regarding the reliability of consolidated financial reporting and the
preparation of financial statements for external purposes in accordance with
U.S. generally accepted accounting principles.  There has been no change in
the Company’s internal control over financial reporting during the quarter ended
September 30, 2008 that has materially affected, or is reasonably likely to
materially affect, the Company’s internal control over financial
reporting.




There
have been no significant changes in the Company’s internal controls or in other
factors that could significantly affect internal controls subsequent to the date
the Chief Executive Officer and the Chief Financial Officer carried out this
evaluation.








12









PART
II - OTHER INFORMATION




Item
1. Legal Proceedings.




We are
not engaged in any litigation, and we are unaware of any claims or complaints
that could result in future litigation.





Item
1A. Risk Factors





None





Item
2. Unregistered Sales of Equity Securities and Use of Proceeds




None.




Item
3. Defaults Upon Senior Securities.




On
November 21, 2007 we borrowed $24,000 from a shareholder. The terms of the loan
call for simple interest of 10% with a maturity date of 30 days from the date of
the note. As of year end the note was in default. Upon default of the note
payable the balance will accrue interest at a rate of 16%. Total accrued
interest expense as of September 30, 2008 and December 31, 2007 was $2,065 and
$263, respectively. The term of the note was subsequently extended to November
21, 2008.




Item
4. Submission of Matters to a Vote of Security Holders.




None.




Item
5. Other Information.




None




Item
6. Exhibits and Reports of Form 8-K.




(a)           Exhibits




31.1
Certifications pursuant to Section 302 of Sarbanes Oxley Act of
2002


32.1
Certifications pursuant to Section 906 of Sarbanes Oxley Act of
2002




(b)           Reports
of Form 8-K




None.






13











SIGNATURES




Pursuant
to the requirements of the Securities Exchange Act of 1934, as amended, the
registrant caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.




Signature
            
            Title
            Date/s/
      Robert Palumbo
            
            President,
      Chief Executive Officer,
            November
      13, 2008Robert
      Palumbo
            
            Chief
      Financial Officer, Director













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