**United
      States**


**Securities
      and Exchange Commission**


**Washington,
      DC 20549**





**FORM
      10-QSB**





(Mark
      One)




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





For
      the
      quarterly period ended March 31, 2008




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





For
      the
      transition period from _________________ to _________________




QUARTERLY
      REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE


SECURITIES
      EXCHANGE ACT OF 1934




Commission
      File Number **000-52184**




**THE
      SMALL BUSINESS COMPANY**


(Exact
      name of registrant as specified in its charter)




**Delaware**
            
            **55-0808106**(State
                or other jurisdiction of incorporation)
            
            (IRS
                Employer File Number)**674
                Via de La Valle, Suite 226, Solana**
              **Beach,
                CA**
            
            **92075**(Address
                of principal executive offices)
            
            (zip
                code)




**(858)
      481-5600**


(Registrant's
      telephone number, including area code)




Check
      whether the issuer: (1) filed all reports required to be filed by Section 13
      or
      15(d) of the 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 þ No o


**APPLICABLE
      ONLY TO CORPORATE ISSUERS**





Indicate
      by check mark whether the registrant is a shell company (as defined in Rule
      12b-2 of the Exchange Act)  Yes o No þ




As
      of May
      8, 2008, 21,069,501 shares of our common stock were
      outstanding.







**PART
      1—FINANCIAL INFORMATION**




**Item
      1. Financial Statements.**





**The
      Small Business Company, Inc.**


(A
      Development Stage Company)





Balance
      Sheets


(Unaudited)





June 30,March 31
            
            20072008
            
            (Audited)**ASSETS**Current
                AssetsCash
            
            $
            11,784
            
            $
            16,347Deposits
            
            
            299
            
            
            2,000Inventory
            
            
            1,143
            
            
            -Total
                Current Assets
            
            
            13,226
            
            
            18,347Long-Term
                AssetsPublication
                Rights
            
            
            25,000
            
            
            -Property
                and Equipment, net
            
            
            2,488
            
            
            3,640Total
                Long-Term Assets
            
            
            27,488
            
            
            3,640Total
                Assets
            
            $
            40,714
            
            $
            21,987







Statement
      of Stockholders' Equity


(Unaudited)





**LIABILITIES
                AND STOCKHOLDERS' EQUITY**Current
                LiabilitiesAccounts
                Payable
            
            $
            25,824
            
            $
            32,437Total
                Current Liabilities
            
            
            25,824
            
            
            32,437Long-Term
                LiabilitiesNotes
                Payable
            
            
            187,660
            
            
            138,215Credit
                Cards Payable
            
            
            75,993
            
            
            22,281Convertible
                Debentures
            
            
            300,000
            
            
            150,000Total
                Long Term Liabilities
            
            
            563,653
            
            
            310,496Total
                Liabilities
            
            
            589,477
            
            
            342,933Stockholders'
                EquityCommon
                Stock, authorized 500,000,000 shares, par value $0.0001, issued and
                outstanding on March 31, 2008 and June 30, 2007 is 19,222,834 and
                18,422,834 respectively
            
            
            1,923
            
            
            1,843Additional
                Paid-in Capital
            
            
            880,898
            
            
            785,175Outstanding
                Options
            
            
            25,000
            
            
            -Deficit
                Accomulated during Development Stage
            
            
            (1,456,584
            )
            
            (1,107,964
            )Total
                Stockholders' Equity
            
            
            (548,763
            )
            
            (320,946
            )Total
                Liabilities and Stockholders' Equity
            
            $
            40,714
            
            $
            21,987





The
      accompanying notes are an integral part of these statements







Statements
        of Cash Flows
 (Unaudited)
 
 November 26,Nine Months Ended
              
              Three Months Ended
              
              2002 (Inception)March 31,
              
              March 31,
              
              to March 31,2008
              
              2007
              
              2008
              
              2007
              
              2008IncomeConsulting
                  Revenue
              
              $
              1,476
              
              $
              284
              
              $
              -
              
              $
              284
              
              $
              279,756Cost
                  of Goods Sold
              
              
              467
              
              
              0
              
              
              0
              
              
              0
              
              
              467Gross
                  Profit
              
              
              1,009
              
              
              284
              
              
              -
              
              
              284
              
              
              279,289Operating
                  ExpensesGeneral
                  and
                Administrative
              
              
              228,825
              
              
              436,920
              
              
              48,094
              
              
              263,497
              
              
              1,304,923Advertising
              
              
              5,925
              
              
              -
              
              
              960
              
              
              -
              
              
              32,977Professional
                  Fees
              
              
              72,683
              
              
              -
              
              
              7,618
              
              
              -
              
              
              244,084Depreciation
              
              
              1,152
              
              
              483
              
              
              382
              
              
              285
              
              
              5,741Total
                  Expenses
              
              
              308,585
              
              
              437,403
              
              
              57,054
              
              
              263,782
              
              
              1,587,725Net
                  Loss from Operations
              
              
              (307,576
              )
              
              (437,119
              )
              
              (57,054
              )
              
              (263,498
              )
              
              (1,308,436
              )Other
                  ExpensesWarrant
                  Issue Expense
              
              
              -
              
              
              -
              
              
              -
              
              
              -
              
              
              (53,843
              )Interest
                  Expense
              
              
              (41,044
              )
              
              (4,506
              )
              
              (11,157
              )
              
              (3,667
              )
              
              (94,305
              )Net
                  Loss
              
              $
              (348,620
              )
              $
              (441,625
              )
              $
              (68,211
              )
              $
              (267,165
              )
              $
              (1,456,584
              )Basic
                  and Diluted(Loss)
                  per Share
              
              $
              (0.02
              )
              $
              (0.03
              )
              $
              (0.00
              )
              $
              (0.02
              )Weighted
                  AverageNumber
                  of Shares
              
              
              18,485,877
              
              
              16,210,954
              
              
              18,485,877
              
              
              16,210,954
 
 The
        accompanying notes are an integral part of these statements
  
  **The
        Small Business Company, Inc.**
 (A
        Development Stage Company)
 
 **NOTES
        TO UNAUDITED FINANCIAL STATEMENTS**
 **(March
        31, 2008 and June 30, 2007)**
 
 
 **NOTE
        1.**  **GENERAL
        ORGANIZATION AND BUSINESS**
 
 The
        Small
        Business Company, Inc. (“Company”) was incorporated in Delaware on November 26,
        2002. The Company, based in Solana Beach, California began business as Optibiz,
        LLC, a California limited liability company and then converted to a Delaware
        corporation on November 26, 2002.
 
 The
        Company is in its development stage even though it has produced limited revenues
        in proof-of-concept beta testing and business development consulting services.
        The company develops, packages and will market business improvement solutions
        for small business owners in the form of books, CD’s, and Business Coaching. The
        company will market these products through mixed media including national
        cable
        TV commercials.
 
 **NOTE
        2.**  **RESTATED
        FINANCIALS**
 
 During
        the year ended June 30, 2006, the Company erroneously recorded $75,000 as
        a
        liability entitled Convertible Notes Payable. In substance the note instrument
        was actually a prepayment for a deferred issue of 1,320,000 of shares of
        stock.
        There is no provision for interest or any repayment option other than the
        issuance of stock.
 
 The
        Company’s financial statements were revised to eliminate the payable and record
        a contra Subscriptions Receivable resulting in a $75,000 increase in equity,
        which will be written to the common stock and additional, paid in capital
        upon
        issue of the stock.
 
 The
        issue
        of stock has been recorded as of June 27, 2007.
  **NOTE
        3.**  **SUMMARY
        OF SIGNIFICANT ACCOUNT POLICIES**
 
 Accounting
        Basis
 
 The
        statements were prepared following generally accepted accounting principles
        of
        the United States of America consistently applied. The Company uses a June
        30
        fiscal year end.
  Cash
        and Cash Equivalents
 
 Cash
        and
        cash equivalents include all short-term liquid investments that are readily
        convertible to know amounts of cash and have original maturities of three
        months
        or less. As of June 30, 2006 there were no cash equivalents.
  
  Accounts
        Receivable
 
 The
        Company analyzes current accounts receivable for an allowance for doubtful
        accounts based on historical bad debt, customer credit-worthiness, the current
        business environment and historical experience with the customer. The allowance
        includes specific reserves for accounts where collection is deemed to be
        no
        longer probable.
 
 Advertising
        Costs
 Advertising
        Costs are expensed as incurred.
 
 March 31,
              
              December 31,2008
              
              2007Advertising Costs
              
              $
              5,925
              
              $
              4,965
 
 Use
        of
        Estimates
 
 The
        preparation of financial statements in conformity with accounting principles
        generally accepted in the United States of America requires management to
        make
        estimates and assumptions that affect the reported amounts of assets and
        liabilities and disclosure of contingent assets and liabilities at the date
        of
        the financial statements and the reported amounts of revenue and expenses
        during
        the reporting period. Actual results could differ from those
        estimates.
 
 Equipment
 
 Equipment
        is stated at cost. Depreciation is computed using the straight-line method
        over
        their estimated useful lives, which for computer equipment is three years.
        Maintenance and repairs are charged to expense as incurred. Fixed assets
        consist
        of the following
 
 March 31,
              
              December 31,2008
              
              2007Computers
              
              $
              7,629
              
              $
              7,629Equipment
              
              
              600
              
              
              600Less
                  Accumulated Depreciation
              
              
              (5,741
              )
              
              (5,359
              )Equipment,
                  net
              
              $
              2,488
              
              $
              2,870
 
 Publication
        Rights
 
 On
        March
        14, 2008 the Company issued 500,000 common shares to acquire the marketing
        and
        publication rights to a book. The fair value of the stock issued on the date
        of
        agreement was $0.05 per share, accordingly the rights are recorded at
        $25,000.
  
 
 Revenue
        Recognition
  Revenues
        from services are recognized when there is persuasive evidence of an
        arrangement, the fee is fixed or determinable, services have been rendered,
        payment has been contractually earned and it is reasonably assured that the
        related receivable or unbilled revenue is collectable.
 
 Income
        Taxes
 
 The
        provision for income taxes is the total of the current taxes payable and
        the net
        of the change in the deferred income taxes. Provision is made for the deferred
        income taxes where differences exist between the period in which transactions
        affect current taxable income and the period in which they enter into the
        determination of net income in the financial statements.
 
 Earnings
        Per Share
 
 Basic
        earnings per share are computed by dividing net income by the average number
        of
        common shares outstanding during the period. Diluted earnings per share takes
        into consideration the potentially dilutive effect of common stock equivalents,
        such as outstanding stock options and warrants, which if exercised or converted
        into common stock would then share in the earnings of the Company. In computing
        diluted earnings per share, the Company utilizes the treasury stock method
        and
        anti-dilutive securities are excluded.
 
 Outstanding
        options and warrants are considered anti-dilutive.
 
 Stock
        Based Compensation
 
 The
        Company accounts for its stock based compensation based upon provisions in
        SFAS
        No. 123, *Accounting
        for Stock-Based Compensation* .
        In this
        statement stock based compensation is divided into two general categories,
        based
        upon who the stock receiver is, namely: employees/directors and
        non-employees/directors. The employees/directors category is further divided
        based upon the particular stock issuance plan, namely compensatory and
        non-compensatory. The employee/directors non-compensatory securities are
        recorded at the sales price when the stock is sold. The compensatory stock
        is
        calculated and recorded at the securities’ fair value at the time the stock is
        given. SFAS 123 also provides that stock compensation paid to non-employees
        be
        recorded with a value which is based upon the fair value of the services
        rendered or the value of the stock given, whichever is more reliable. The
        Company has selected to utilize the fair value of the stock issued as the
        measure of the value of services obtained.
 
 **NOTE
        4.**  **GOING
        CONCERN**
 
 The
        accompanying financial statements have been prepared assuming that the Company
        will continue as a going concern, which contemplates the realization of assets
        and the liquidation of liabilities in the normal course of business. The
        Company
        is in its development stage and has incurred net losses $1,456,584 as of
        March
        31, 2008 . This
        condition creates an uncertainty as to the Company’s ability to continue as a
        going concern. Management is trying to raise additional capital through sales
        of
        common stock as well as seeking financing from third parties. The financial
        statements do not include any adjustments that might be necessary if the
        Company
        is unable to continue as a going concern.
  
 
 Management
        has produced limited revenues through business consulting and beta testing
        of
        its products. The company has authored four books and four instructional
        CD’s
        for small business owners and is testing its business coaching platform.
        The
        Company will begun full-scale marketing of its products and services during
        the
        current fiscal year as it continues to execute its business plan.
 
 Management
        plans to obtain $200,000 in each of three growth phases. Funds are expected
        from
        revenues generated by the sale of products and services, the sale of stock
        and
        the issuance of debt instruments. The first phase to begin upon becoming
        a
        publicly traded company includes funding to publish, print and market our
        book
        titles; re-format and re-program our master CD title, and the publication,
        packaging and marketing of our master CD.
 
 The
        second phase to begin ninety days after phase one funding includes money
        for
        additional staff; the final deployment of our e-commerce website; publication,
        packaging and marketing of additional CD’s and securing additional inventory of
        books.
 
 The
        third
        phase to begin sixty days after phase two funding includes money to expand
        marketing efforts; move corporate headquarters to a larger facility; hire
        additional staff; and begin creating additional books and CDs.
 
 The
        Company expects to generate significant revenues from the marketing of its
        products and services. If additional funding is not forthcoming implementation
        of the expansion phases will be delayed and the Company will implement its
        plan
        to minimize overhead by enforcing the employment agreements with its founders
        to
        pay them only what the Company can afford.
 
 **NOTE
        5.**  **COMMITMENTS,
        CONTINGENCIES AND RELATED PARTIES**
 
 Employment
        Agreements
 
 On
        March
        14, 2008 the Company replaced its CEO and accepted an employment agreement
        with
        a new officer and continued the agreement with its current COO. For each
        officer, the agreement provides an annual salary of up to $120,000 per year
        and
        a $500 monthly allowance for medical and dental insurance. However, the
        agreement specifically limits the salary to the current financial ability
        of the
        Company to pay the salary and provides for no back payment of unpaid amounts.
        Reported expenses reflect actual salaries in accordance with these
        agreements.
 
 The
        March
        14, 2008 employment agreement with the new officer included the issue of
        500,000
        common share options with a fair value of $0.05 per share. Accordingly the
        Outstanding Options were recorded at $25,000.
  
 
 Lease
        Commitments
 
 The
        Company leases approximately 1,000 square feet of office space in Solana
        Beach,
        California, from an unaffiliated third party, for an annual rental of
        approximately $30,000. Rent expense for the years ended June 30, 2006 and
        2005
        was $30,000 each and projection for next five years is the same although
        Company
        growth may require more space and a higher lease payment.
 
 **NOTE
        6.**  **CONVERTIBLE
        DEBENTURES**
 
 On
        February 16, 2007 the Company filed its intent to issue a minimum of three
        and a
        maximum of fifteen units of convertible debentures. Each unit consists of
        a
        $25,000 note convertible to common stock at the rate of $0.20 per share and
        a
        three year warrant to purchase 25,000 common shares at $0.20 per share. The
        debentures carry a 10% interest rate payable quarterly from the date of issue
        with the principle due December 31, 2009.
 
 The
        debentures and accumulated interest may be converted at anytime up to maturity
        for common stock at the rate of $0.20 per share. The Company can redeem the
        debentures after December 31, 2007 at 105% of the outstanding principle balance
        and with payment of accrued interest to the redemption date.
 
 The
        warrants expire three years after issue and may be exercised at any time
        commencing six months after final sale.
 
 On
        April
        1, 2007, The Board of Directors of the Company authorized an increase (from
        $375,000 to $750,000) in the aggregate principal amount of Debentures which
        may
        be sold and issued to investors. Accordingly, the maximum number of Units
        offered for sale ("Maximum Offering") has been increased from 15 Units to
        30
        Units.
  As
        of
        March 31, 2008 the Company has sold an additional six convertible debenture
        units for the aggregate total of $300,000 and recorded an additional $11,803
        imbedded derivative costs for a total of $23,605 associated with the issue
        of
        300,000 warrants. The calculation was made using the Black-Scholes pricing
        model
        using the following variables (1) 5.16% risk-free interest rate, (2) three
        years
        to maturity, (3) expected volatility of 2.05%, (4) zero expected dividends,
        and
        (5) a strike price of $.20.
 
 **NOTE
        7.**  **OPTIONS
        AND WARRANTS**
 
 Options
 
 The
        Company granted 500,000 common stock options as part of the employment agreement
        with the new officer. The details of the option agreement are still being
        negotiated as far as exercise price, vesting and other exercise consideration.
        Accordingly, the company recorded the value of the options at the current
        market
        price of $0.05 per share or $25,000.
  
 
 Warrants
 
 The
        Company accounts for non-cash stock-based compensation issued to non-employees
        in accordance with the provisions of SFAS No. 123 and EITF No. 96-18, Accounting
        for Equity Investments That Are Issued to Non-Employees for Acquiring, or
        in
        Conjunction with Selling Goods or Services. Common stock issued to non-employees
        and consultants is based upon the value of the services received or the quoted
        market price, whichever value is more readily determinable.
 
 The
        Company accounts for stock options and warrants issued to employees under
        the
        fair-value method based on the fair or calculated value of the equity
        instrument. This method requires the calculation of the fair value of the
        equity
        instrument. No options or warrants have been issued for employee
        compensation.
 
 On
        May
        12, 2003, the Company authorized the issuance of 5,000,000 shares of common
        stock and 5,000,000 warrants. The securities are sold as units consisting
        of one
        share of common stock and one warrant.
 
 Following
        is a list of warrants granted and their status:
 
 Warrants
              
              Exercise
              
              ExpirationGranted
              
              Price
              
              DateInception
                  to June 30, 2003
              
              
              903,334
              
              $
              0.50
              
              Expired
                  5/30/06Year
                  Ended June 30, 2004
              
              
              72,000
              
              
              0.75
              
              Expired
                  2/23/0720,000
              
              
              0.75
              
              Expired
                  4/5/07Year
                  Ended June 30, 2005
              
              
              108,000
              
              
              0.75
              
              Expired
                  8/20/07Period
                  Ended December 31, 2006
              
              
              500,000
              
              
              0.25
              
              11/1/08February
                  9, 2007`
              
              
              700,000
              
              
              0.20
              
              2/28/08June
                  30, 2007
              
              
              150,000
              
              
              0.20
              
              6/30/10
 
 On
        February 9, 2007 the Company entered into a one year consulting agreement
        that
        included the issue of 300,000 commons shares upon consummation of the agreement
        and the provision for the issue of warrants to purchase 700,000 common shares
        at
        $0.20 per share. The warrants will be issued ratably over the life of the
        contract on the first calendar day of the month.
 
 The
        Company recorded imbedded derivative costs of $42,041 associated with the
        issue
        of 700,000 warrants. The calculation was made using the Black-Scholes pricing
        model using the following variables (1) 5.16% risk-free interest rate, (2)
        one
        year to maturity, (3) expected volatility of 2.05%, (4) zero expected dividends,
        and (5) a strike price of $0.20.
  
 
 As
        of
        March 31, 2008 the Company has issued warrants to purchase 150,000 common
        shares
        at $0.20 per share associated with its issue of convertible debentures and
        recorded $11,802 imbedded derivative cost associated with their issue as
        detailed above in Note 6.
 
 No
        warrants have been exercised. There is no public market for the stock.
 
 **NOTE
        8.**  **STOCKHOLDERS’
        EQUITY**
 
 Common
        Stock
 
 The
        Small
        Business Company, Inc. (“Company”) was incorporated in Delaware on November 26,
        2002. The Company, based in San Diego, California, develops, packages and
        markets business improvement solutions for small business owners. The Company
        began business as Optibiz, LLC, a California limited liability company and
        then
        converted to a Delaware corporation on November 26, 2002.
 
 The
        Company is authorized 500,000,000 common shares with a $0.0001 par
        value.
 
 On
        November 26, 2002, 13,000,000 common shares were issued to the founders of
        the
        Company for services valued at $1,300.
 
 During
        the period from inception through June 30, 2003, 903,334 common shares were
        issued in private placements for $103,000 cash.
 
 During
        the year ended June 30, 2004, 92,000 common shares were issued at $0.25 per
        share or $23,000 cash and 493,000 common shares were issued for services
        at
        $0.25 per share or $123,250. Services were valued at the price per share
        stock
        was sold in our private placement.
 
 During
        the year ended June 30, 2005 1,364,000 common shares were issued for cash
        at
        $0.568 per share or $77,500. Additionally, 108,000 common shares were issued
        at
        $0.25 per share or $27,000 cash.
 
 During
        the year ended June 30, 2006 75,000 common shares were issued at $0.25 per
        share
        or $18,750 of services rendered and 10,000 common shares were issued at $0.25
        per share or $2,500 cash and $75,000 cash was received in prepayment of
        subscription agreements for 1,320,000 common shares to be issued at $0.0568
        per
        share no later than May 31, 2007.
 
 On
        August
        10, 2006 the Company received $25,000 prepayment on subscription agreements
        for
        300,000 common shares to be issued at $0.082 per share no later than August
        10,
        2007.
 
 On
        August
        21, 2006 the Company issued 100,000 common shares at $0.25 per share for
        services of $25,000.
 
 On
        November 2, 2006 the Company received $50,000 prepayment on a subscription
        agreement for 500,000 common shares to be issued at $0.10 per share no later
        than November 1, 2007.
  
 
 On
        January 20, 2007 the Company issued 40,000 common shares at $0.25 per share
        for
        $10,000 cash.
 
 On
        February 12, 2007 the Company issued 180,000 common shares at $0.25 per share
        for $55,000 cash.
 
 On
        February 20, 2007 the Company issued 300,000 common shares at $0.25 per share
        for consulting services valued at $75,000.
 
 On
        March
        13, 2007 the Company issued 10,000 common shares at $0.25 per share for services
        valued at $2,500.
 
 On
        April
        4, 2007 the Company issued 250,000 common shares at $0.10 per share for deferred
        issue of prepaid subscription received in the amount of $25,000.
 
 On
        May
        10, 2007 the Company issued 10,000 common shares at $0.25 per share for services
        valued at $2,500.
 
 On
        June
        14, 2007 the Company issued 187,500 common shares at $0.25 per share in payment
        of accrued interest in the amount of $46,856.
 
 On
        June
        27, 2007 the Company issued 300,000 common shares at $0.082 per share for
        deferred issue of prepaid subscription received in the amount of
        $25,000.
 
 On
        June
        27, 2007 the Company issued 1,000,000 common shares at $0.10 per share for
        deferred issue of prepaid subscription received in the amount of
        $100,000.
 
 On
        August
        15, 2007 the Company issued 100,000 common shares at $0.25 per share for
        services valued at $25,000.
 
 On
        September 24, 2007 the Company issued 200,000 common shares at $0.17 per
        share
        for services valued at $34,000.
 
 **NOTE
        9.**  **PROVISION
        FOR INCOME TAXES**
 
 The
        Company provides for income taxes under Statement of Financial Accounting
        Standards NO. 109, Accounting for Income Taxes. SFAS No. 109 requires the
        use of
        an asset and liability approach in accounting for income taxes. Deferred
        tax
        assets and liabilities are recorded based on the differences between the
        financial statement and tax bases of assets and liabilities and the tax rates
        in
        effect when these differences are expected to reverse.
 
 SFAS
        No.
        109 requires the reduction of deferred tax assets by a valuation allowance
        if,
        based on the weight of available evidence, it is more likely than not that
        some
        or all of the deferred tax assets will not be realized. In the Company’s
        opinion, it is uncertain whether they will generate sufficient taxable income
        in
        the future to fully utilize the net deferred tax asset. Accordingly, a valuation
        allowance equal to the deferred tax asset has been recorded. The total deferred
        tax asset is $243,752, which is calculated by multiplying a 22% estimated
        tax
        rate by the items making up the deferred tax account, the estimated NOL through
        June 30, 2007of $1,107,964. The total valuation allowance is a comparable
        $243,752.
  
 
 The
        provision for income taxes is comprised of the net changes in deferred taxes
        less the valuation account plus the current taxes payable as shown in the
        chart
        below for the years ended June 30, 2007 and 2006.
 
 June
                  30,
              
              2007
              
              2006Deferred
                  Tax Asset
              
              $
              149,022
              
              $
              23,075Less:
                  Valuation Allowance
              
              
              (149,022
              )
              
              (23,075
              )Net
                  Current Deferred Tax Asset
              
              $
              0
              
              $
              0
 
 Below
        is
        a chart showing the federal net operating losses and the years in which they
        will expire:
 
 Year
              
              Amount
              
              Expiration2003
              
              $
              90,278
              
              
              20232004
              
              
              225,883
              
              
              20242005
              
              
              9,547
              
              
              20252006
              
              
              104,885
              
              
              20262007
              
              
              677,372
              
              
              2027Total
                  NOL
              
              $
              1,107,964
 
 **NOTE
        10. THE EFFECT OF RECENTLY ISSUED ACCOUNTING STANDARDS**
 
 Below
        is
        a listing of the most recent Statement
        of Financial Accounting Standards (SFAS)
        SFAS 155-160 and their effect on the Company.
 
 **Statement
        No. 155 –** *Accounting
        for Certain Hybrid Financial Instruments*
  In
        February 2006, the FASB issued SFAS
        No.
        155, *Accounting
        for Certain Hybrid Financial Instruments* ,
        which
        amends SFAS No. 133, *Accounting
        for Derivatives Instruments and Hedging Activities* and SFAS
        No. 140, *Accounting
        for Transfers and Servicing of Financial Assets and Extinguishment of
        Liabilities* .
        SFAS
        No. 155 amends SFAS No. 133 to narrow the scope exception for interest-only
        and
        principal-only strips on debt instruments to include only such strips
        representing rights to receive a specified portion of the contractual interest
        or principle cash flows. SFAS No. 155 also amends SFAS No. 140 to allow
        qualifying special-purpose entities to hold a passive derivative financial
        instrument pertaining to beneficial interests that itself is a derivative
        instrument.
  
  **Statement
        No. 156 –** *Accounting
        for Servicing of Financial Assets*
  In
        March
        2006, the FASB issued SFAS
        No.
        156, *Accounting
        for Servicing of Financial Assets,* which
        provides an approach to simplify efforts to obtain hedge-like (offset)
        accounting. This Statement amends FASB Statement No. 140, *Accounting
        for Transfers and Servicing of Financial Assets and Extinguishments of
        Liabilities* ,
        with
        respect to the accounting for separately recognized servicing assets and
        servicing liabilities. The Statement (1) requires an entity to recognize
        a
        servicing asset or servicing liability each time it undertakes an obligation
        to
        service a financial asset by entering into a servicing contract in certain
        situations; (2) requires that a separately recognized servicing asset or
        servicing liability be initially measured at fair value, if practicable;
        (3)
        permits an entity to choose either the amortization method or the fair value
        method for subsequent measurement for each class of separately recognized
        servicing assets or servicing liabilities; (4) permits at initial adoption
        a
        one-time reclassification of available-for-sale securities to trading securities
        by an entity with recognized servicing rights, provided the securities
        reclassified offset the entity's exposure to changes in the fair value of
        the
        servicing assets or liabilities; and (5) requires separate presentation of
        servicing assets and servicing liabilities subsequently measured at fair
        value
        in the balance sheet and additional disclosures for all separately recognized
        servicing assets and servicing liabilities. SFAS No. 156 is effective for
        all
        separately recognized servicing assets and liabilities as of the beginning
        of an
        entity's fiscal year that begins after September 15, 2006, with earlier adoption
        permitted in certain circumstances. The Statement also describes the manner
        in
        which it should be initially applied.
  **Statement
        No. 157** **–** *Fair
        Value Measurements*
  In
        September 2006, the FASB issued SFAS No. 157, *Fair
        Value Measurements* ,
        to
        clarify how to measure fair value and to expand disclosures about fair value
        measurements. The expanded disclosures include the extent to which companies
        measure assets and liabilities at fair value, the information used to measure
        fair value, and the effect of fair value on earnings and is applicable whenever
        other standards require (or permit) assets and liabilities to be measured
        at
        fair value. SFAS 157 is effective for financial statements issued for fiscal
        years beginning after November 15, 2007 and interim periods within those
        fiscal
        years.
  **Statement
        No. 158 –** *Employers’
        Accounting for Defined Benefit Pension and Other Postretirement Plans—an
        amendment of FASB Statements No. 87, 88, 106, and 132(R)*
  In
        September 2006, the FASB issued SFAS No. 158, *Employers’
        Accounting for Defined Benefit Pension and Other Postretirement Plans—an
        amendment of FASB Statements No. 87, 88, 106, and 132(R).* To
        improve financial reporting by requiring an employer to recognize the overfunded
        or underfunded status of a defined benefit postretirement plan (other than
        a
        multiemployer plan) as an asset or liability in its statement of financial
        position and to recognize changes in that funded status in the year in which
        the
        changes occur through comprehensive income of a business entity or changes
        in
        unrestricted net assets of a not-for-profit organization. This Statement
        also
        improves financial reporting by requiring an employer to measure the funded
        status of a plan as of the date of its year-end statement of financial position,
        with limited exceptions.
  **Statement
        No. 159 –** *The
        Fair Value Option for Financial Assets and Financial Liabilities—Including an
        amendment of FASB Statement No. 115*
  
  In
        February 2007, the FASB issued SFAS No. 159, *The
        Fair Value Option for Financial Assets and Financial Liabilities—Including an
        amendment of FASB Statement No. 115.* This
        Statement permits entities to choose to measure many financial instruments
        and
        certain other items at fair value. The objective is to improve financial
        reporting by providing entities with the opportunity to mitigate volatility
        in
        reported earnings caused by measuring related assets and liabilities differently
        without having to apply complex hedge accounting provisions. This Statement
        is
        expected to expand the use of fair value measurement, which is consistent
        with
        the Board’s long-term measurement objectives for accounting for financial
        instruments.
  **Statement
        No. 141 (revised 2007) –** *Business
        Combinations*
  In
        December 2007, the FASB revised SFAS No. 141, *Business
        Combinations.* This
        revision changes the way the minority interest in a company is measured,
        recorded and reported in the parent companies financial statements to the
        end
        that a statement user can better evaluate the nature and financial effects
        of
        the business combination.
  **Statement
        No. 160 –** *Noncontrolling
        Interests in Consolidated Financial Statements—an amendment of ARB No.
        51*
  In
        December 2007, the FASB issued SFAS No. 160, *Noncontrolling
        Interests in Consolidated Financial Statements—an amendment of ARB No. 51.* A
        noncontrolling interest, sometimes called a minority interest, is the portion
        of
        equity in a subsidiary not attributable, directly or indirectly, to a parent.
        The objective of this Statement is to improve the relevance, comparability,
        and
        transparency of the financial information that a reporting entity provides in
        its consolidated financial statements related to the noncontrolling or minority
        interest.
  The
        adoption of these new Statements is not expected to have a material effect
        on
        the Company’s current financial position, results or operations, or cash
        flows.
  **Item
        2. Management’s Discussion and Analysis or Plan of
        Operation.**
  The
        following discussion and analysis is provided to increase the understanding
        of,
        and should be read in conjunction with, our unaudited financial statements
        and
        related notes included elsewhere in this Report. Historical results and
        percentage relationships among any amounts in these financial statements
        are not
        necessarily indicative of trends in operating results for any future period.
        This report contains “forward looking statements” within the meaning of the
        Private Securities Litigation Reform Act of 1995. The statements, which are
        not
        historical facts contained in this Report, including this Management’s
        discussion and analysis of financial condition and results of operation,
        and
        notes to our unaudited financial statements, particularly those that utilize
        terminology such as “may” “will,” “should,” “expects,” “anticipates,”
“estimates,” “believes,” or “plans” or comparable terminology are
        forward-looking statements. Such statements are based on currently available
        operating, financial and competitive information, and are subject to various
        risks and uncertainties. Future events and our actual results may differ
        materially from the results reflected in these forward-looking statements.
        Factors that might cause such a difference include, but are not limited to,
        dependence on existing and future key strategic and strategic end-user
        customers, limited ability to establish new strategic relationships, ability
        to
        sustain and manage growth, variability of operating results, our expansion
        and
        development of new service lines, marketing and other business development
        initiatives, the commencement of new engagements, competition in the industry,
        general economic conditions, dependence on key personnel, the ability to
        attract, hire and retain personnel who possess the technical skills and
        experience necessary to meet the service requirements of our clients, the
        potential liability with respect to actions taken by our existing and past
        employees, risks associated with international sales, and other risks described
        herein and in our other filings with the Securities and Exchange
        Commission.
  
  The
        safe
        harbor for forward-looking statements provided by Section 21E of the Securities
        Exchange Act of 1934 excludes issuers of “penny stock” (as defined under Rule
        3a51-1 of the Securities Exchange Act of 1934). Our common stock currently
        falls
        within that definition.
  All
        forward-looking statements in this document are based on information currently
        available to us as of the date of this report, and we assume no obligation
        to
        update any forward-looking statements. Forward-looking statements involve
        known
        and unknown risks, uncertainties and other factors that may cause the actual
        results to differ materially from any future results, performance or
        achievements expressed or implied by such forward looking
        statements.
  The
        following discussion of our financial condition and results of operations
        should
        be read in conjunction with our unaudited financial statements and related
        notes
        appearing elsewhere in this report.
  OVERVIEW
  We
        are a
        Delaware corporation with executive offices in California and are focused
        on the
        development of business improvement solutions for small business owners.
        We were
        incorporated in Delaware in 2002. Since that time, we have created and marketed,
        in management’s opinion, simple, powerful, affordable solutions to millions of
        small business owners. Our product line is founded on its patent-pending
        knowledge base - The “DARE Process” (Decide, Analyze, Realize and Evaluate);
        which process has been formatted into a series of books, high margin CD’s and
        internet downloads. In our opinion, these simple, yet powerful tools empower
        current and future small and home based business owners to succeed. We intend
        to
        compliment these tools with a global network of licensed business coaches,
“Your
        Small Business Coach”, who will provide subscription based personalized
        assistance to micro-entrepreneurs (sole proprietors to ten employees) and
        help
        build a more lasting relationship with our customers. We will market our
        products thought various channels including: an online and affiliate program;
        extensive product placement and press; joint ventures with industry associations
        and Direct Response cable TV commercials.
  Upon
        our
        next funding round, we expect to ramp up and launch marketing programs later
        in
        this quarter or early in our following quarter and roll out our first
        certificated training program for coaches during this timeframe while continuing
        efforts to reduce our operating expenses.
  
  SIGNIFICANT
        ACCOUNTING POLICIES
  Accounting
        Basis
  The
        statements were prepared following generally accepted accounting principles
        of
        the United States of America consistently applied. We use a June 30 fiscal
        year
        end.
  Cash
        and
        Cash Equivalents
  Cash
        and
        cash equivalents include all short-term liquid investments that are readily
        convertible to known amounts of cash and have original maturities of three
        months or less. As of December 31, 2007 there were no cash
        equivalents.
  Accounts
        Receivable
  The
        Company analyzes current accounts receivable for an allowance for doubtful
        accounts based on historical bad debt, customer credit-worthiness, the current
        business environment and historical experience with the customer. The allowance
        includes specific reserves for accounts where collection is deemed to be
        no
        longer probable.
  Advertising
        Costs
  Advertising
        Costs are expensed as incurred. Advertising costs of $ 5,925 were incurred
        for
        the period ended March 31, 2008, as compared to $4,965 and the quarter ended
        December 31, 2007.
  Use
        of
        Estimates
  The
        preparation of financial statements in conformity with accounting principles
        generally accepted in the United States of America requires management to
        make
        estimates and assumptions that affect the reported amounts of assets and
        liabilities and disclosure of contingent assets and liabilities at the date
        of
        the financial statements and the reported amounts of revenue and expenses
        during
        the reporting period. Actual results could differ from those
        estimates.
  Equipment
  Equipment
        is stated at cost. Depreciation is computed using the straight-line method
        over
        their estimated useful lives, which for computer equipment is three years.
        Maintenance and repairs are charged to expense as incurred. Fixed assets
        consist
        of the following
  March
                  31,
              
              December
                  31,2008
              
              2007Computers
              
              $
              7,629
              
              $
              7,629Equipment
              
              
              600
              
              
              600Less
                  Accumulated Depreciation
              
              
              (5,741
              )
              
              (5,359
              )Equipment,
                  net
              
              $
              2,488
              
              $
              2,870
  
  Revenue
        Recognition
  Revenues
        from services are recognized when there is persuasive evidence of an
        arrangement, the fee is fixed or determinable, services have been rendered,
        payment has been contractually earned and it is reasonably assured that the
        related receivable or unbilled revenue is collectable.
  Income
        Taxes
  The
        provision for income taxes is the total of the current taxes payable and
        the net
        of the change in the deferred income taxes. Provision is made for the deferred
        income taxes where differences exist between the period in which transactions
        affect current taxable income and the period in which they enter into the
        determination of net income in the financial statements.
  Earnings
        Per Share
  Basic
        earnings per share are computed by dividing net income by the average number
        of
        common shares outstanding during the period. Diluted earnings per share takes
        into consideration the potentially dilutive effect of common stock equivalents,
        such as outstanding stock options and warrants, which if exercised or converted
        into common stock would then share in the earnings of the Company. In computing
        diluted earnings per share, the Company utilizes the treasury stock method
        and
        anti-dilutive securities are excluded.
  Outstanding
        options and warrants are considered anti-dilutive.
  Stock
        Based Compensation
  The
        Company accounts for its stock based compensation based upon provisions in
        SFAS
        No. 123, Accounting for Stock-Based Compensation. In this statement stock
        based
        compensation is divided into two general categories, based upon who the stock
        receiver is, namely: employees/directors and non-employees/directors. The
        employees/directors category is further divided based upon the particular
        stock
        issuance plan, namely compensatory and non-compensatory. The employee/directors
        non-compensatory securities are recorded at the sales price when the stock
        is
        sold. The compensatory stock is calculated and recorded at the securities’ fair
        value at the time the stock is given. SFAS 123 also provides that stock
        compensation paid to non-employees be recorded with a value which is based
        upon
        the fair value of the services rendered or the value of the stock given,
        whichever is more reliable. The Company has selected to utilize the fair
        value
        of the stock issued as the measure of the value of services
        obtained.
  RESULTS
        OF OPERATIONS
  Liquidity
        and Capital Resources
  Three
        months ended March 31, 2008 vs. Three months ended March 31, 2007.
  Revenues:
        We had no consulting revenues for the three months ended March 31, 2008 as
        compared to $284 in revenues for the same period in 2007. Our history of
        producing limited revenues is due our initial focus on acquisition, research,
        development and beta testing of our products, and secondly, to identifying
        and
        developing a marketing plan to sell our products and consulting services.
        We
        expect to adopt and implement a marketing program for our products and services
        this year.
  
  Operating
        Expenses: Our operating expenses for the three months ended March 31, 2008
        decreased by $263,724, to $57,054, from $263,782 for the comparable period
        in
        2007. This decrease was due to past accounting, legal and consulting fees
        and
        related expenses of $156,212 due to costs associated with the registration
        of
        our securities. Other factors that increased operating expenses approximately
        $163,921 for the same period in 2007 were associated with book design and
        printing and the re-engineering and production of our compact discs, the
        engineering of our data base and marketing costs related to production of
        two
        television commercials.
  Net
        Loss:
        Due to the factors set forth above, our net loss decreased $210,111 to $57,054
        for the three months ended March 31, 2008 as compared to net losses $267,165
        for
        the comparable period in 2007.
  Off
        Balance Sheet Arrangements
  None
  Item
        3.
        Controls and Procedures.
  Our
        disclosure controls and procedures are designed to ensure that information
        required to be disclosed in reports that we file or submit under the Securities
        Exchange Act of 1934 is recorded, processed, summarized and reported within
        the
        time periods specified in the rules and forms of the Securities and Exchange
        Commission. Our Chief Executive Officer and the Chief Financial Officer have
        reviewed the effectiveness of our “disclosure controls and procedures” (as
        defined in the Securities Exchange Act of 1934 Rules 13a-14(c) and 15d-14(c))
        within the last ninety days and have concluded that the disclosure controls
        and
        procedures are effective to ensure that material information relating to
        The
        Small Business Company is recorded, processed, summarized, and reported in
        a
        timely manner. There were no significant changes in our internal controls
        or in
        other factors that could significantly affect these controls subsequent to
        the
        last day they were evaluated by our Chief Executive Officer and Chief Financial
        Officer.
  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
  Item
                  No.
              
              Description
              
              Method
                  of Filing31.1
              
              Certification
                  of David Larson pursuant to Rule 13a-14(a).
              
              Filed
                  electronically herewith32.1
              
              Chief
                  Executive Officer and Chief Financial Filed electronically herewith
                  Officer Certification pursuant to 18 U.S.C. § 1350 adopted pursuant to
                  Section 906 of the Sarbanes Oxley Act of
                  2002.
  SIGNATURES