----

----

| Nevada                                                         | 26-1607874                        |
|----------------------------------------------------------------|-----------------------------------|
| (State or other jurisdiction of incorporation or organization) | (IRS Employer Identification No.) |

----

----

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

----

|     |                                                                                                                                                                                                                                       |   |   |
|----------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|
| Part I   | Financial Information                                                                                                                                                                                                                      |   | 3      |
|     |                                                                                                                                                                                                                                       |   |   |
| Item 1.  | Financial Statements:                                                                                                                                                                                                                      |   | 3      |
|     |                                                                                                                                                                                                                                       |   |   |
|     | Condensed Balance Sheets for the period ended February 28, 2010 (unaudited) and for the year ended May 31, 2009                                                                                                                  |   | 3      |
|     |                                                                                                                                                                                                                                       |   |   |
|     | Unaudited Condensed Statements of Operations for the three and nine months ended February 28, 2010 and 2009, and cumulative during development stage from February 24, 2006 (inception) through February 28, 2010 |   | 4      |
|     |                                                                                                                                                                                                                                       |   |   |
|     | Unaudited Statements of Stockholders' Equity for the period from February 24, 2006 (inception) through February 28,2010                                                                                                                    |   | 5      |
|     |                                                                                                                                                                                                                                       |   |   |
|     | Unaudited Condensed Statements of Cash Flows for the nine months ended February 28, 2010 and 2009, and cumulative during development stage from February 24, 2006 (inception) through February 28, 2010                               |   | 6      |
|     |                                                                                                                                                                                                                                       |   |   |
|     | Notes to Financial Statements (unaudited)                                                                                                                                                                                                  |   | 7      |
|     |                                                                                                                                                                                                                                       |   |   |
| Item 2.  | Management's Discussion and Analysis of Financial Condition and Results of Operations                                                                                                                                                      |   | 8      |
|     |                                                                                                                                                                                                                                       |   |   |
| Item 3.  | Quantitative and Qualitative Disclosures About Market Risk                                                                                                                                                                  |   | 10     |
|     |                                                                                                                                                                                                                                       |   |   |
| Item 4T. | Controls and Procedures                                                                                                                                                                                                               |   | 10     |
|     |                                                                                                                                                                                                                                       |   |   |
| Part II  | Other Information                                                                                                                                                                                                                          |   | 11     |
|     |                                                                                                                                                                                                                                       |   |   |
| Item 1.  | Legal Proceedings                                                                                                                                                                                                                          |   | 11     |
|     |                                                                                                                                                                                                                                       |   |   |
| Item 1A. | Risk Factors                                                                                                                                                                                                                          |   | 11     |
|     |                                                                                                                                                                                                                                       |   |   |
| Item 2.  | Unregistered Sales of Equity Securities and Use of Proceeds                                                                                                                                                                                |   | 11     |
|     |                                                                                                                                                                                                                                       |   |   |
| Item 3.  | Defaults Upon Senior Securities                                                                                                                                                                                                  |   | 11     |
|     |                                                                                                                                                                                                                                       |   |   |
| Item 4.  | (Removed and Reserved)                                                                                                                                                                                                                |   | 11     |
|     |                                                                                                                                                                                                                                       |   |   |
| Item 5.  | Other Information                                                                                                                                                                                                                     |   | 11     |
|     |                                                                                                                                                                                                                                       |   |   |
| Item 6.  | Exhibits                                                                                                                                                                                                                                   |   | 11     |
|     |                                                                                                                                                                                                                                       |   |   |
|     | Signatures                                                                                                                                                                                                                                 |   | 11     |

----

| HIGHLAND BUSINESS SERVICES, INC.                                                                    |
|-----------------------------------------------------------------------------------------------------|
| (A DEVELOPMENT STAGE ENTERPRISE)                                                                    |
| CONDENSED BALANCE SHEETS                                                                            |   |
|                                                                                                |   |   |   |   |   |   |   |
|                                                                                                |   |   |   |   |   |   |   |
|                                                                                                |   |   |   |   |   |   |   |
|                                                                                                |   |   |   |   |   |   |   |
|                                                                                                |   |   | February 28, |   |   | May 31, |   |
|                                                                                                |   |   | 2010 |   |   | 2009 |   |
|                                                                                                |   |   | (unaudited) |   |   | (audited) |   |
| ASSETS                                                                                              |
|                                                                                                |   |   |   |   |   |   |   |
| CURRENT ASSETS                                                                                      |   |   |   |   |   |   |   |
|      Cash                                                                  |   |   | $ | 330 |   |   | $ | 93 |   |
|      Accounts Receivable                                                   |   |   |   | 2,890 |   |   |   | - |   |
|      Prepaid Expenses - Fees                                               |   |   |   | - |   |   |   | - |   |
|                                                                                                |   |   |   |   |   |   |   |   |   |
| TOTAL CURRENT ASSETS - Cash                                                                         |   |   |   | 3,220 |   |   |   | 93 |   |
|                                                                                                |   |   |   |   |   |   |   |   |   |
| Total Assets                                                                                        |   |   | $ | 3,220 |   |   | $ | 93 |   |
|                                                                                                |   |   |   |   |   |   |   |   |   |
|                                                                                                |   |   |   |   |   |   |   |   |   |
|                                                                                                |   |   |   |   |   |   |   |   |   |
|                                                                                                |   |   |   |   |   |   |   |   |   |
|                                                                                                |   |   |   |   |   |   |   |   |   |
| LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)                                                      |
|                                                                                                |   |   |   |   |   |   |   |   |   |
|                                                                                                |   |   |   |   |   |   |   |   |   |
| TOTAL CURRENT LIABILITIES - Accounts Payable                                                        |   | $ | - |   |   | $ | 150 |   |
|                                                                                                |   |   |   |   |   |   |   |   |   |
| COMMITMENTS AND CONTINGENCIES                                                                       |   |   |   |   |   |   |   |   |
|                                                                                                |   |   |   |   |   |   |   |   |   |
| STOCKHOLDERS' EQUITY (DEFICIT)                                                                      |   |   |   |   |   |   |   |   |
|                                                                                                |   |   |   |   |   |   |   |   |   |
|      Common stock, par value $.001, 75,000,000                             |   |   |   |   |   |   |   |   |
|         shares authorized, 6,946,100 issued and outstanding |   |   | 6,946 |   |   |   | 6,946 |   |
|      Paid in Capital                                                       |   |   |   | 52,462 |   |   |   | 36,696 |   |
|      (Deficit) accumulated during the development stage                    |   |   | (56,188 | ) |   |   | (43,699 | ) |
|                                                                                                |   |   |   |   |   |   |   |   |   |
|                                                                                                |   |   |   |   |   |   |   |   |   |
| Total Stockholders' Equity (Deficit)                                                                |   |   |   | 3,220 |   |   |   | (57 | ) |
|                                                                                                |   |   |   |   |   |   |   |   |   |
| Total Liabilities and Stockholders' Equity (Deficit)                                                |   | $ | 3,220 |   |   | $ | 93 |   |
|                                                                                                |   |   |   |   |   |   |   |   |   |
|                                                                                                |   |   |   |   |   |   |   |   |   |
|                                                                                                |   |   |   |   |   |   |   |   |   |
|                                                                                                |   |   |   |   |   |   |   |   |   |
| SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS                                                      |

----

| HIGHLAND BUSINESS SERVICES, INC.               |   |
|------------------------------------------------|--------|
| (A DEVELOPMENT STAGE ENTERPRISE)               |   |
| CONDENSED STATEMENTS OF OPERATIONS             |   |
| (UNAUDITED)                                    |   |
|                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                           |   |   |   |   |   |   |   |   |   |   |   |   |   | Cumulative |   |
|                                           |   |   |   |   |   |   |   |   |   |   |   |   |   | from |   |
|                                           |   |   |   |   |   |   |   |   |   |   |   |   |   | February 24, 2006 |   |
|                                           |   | For the three months ended |   |   | For the nine months ended |   |   | (Inception) |   |
|                                           |   | February 28, |   |   | February 28, |   |   | to |   |
|                                           |   | 2010 |   |   | 2009 |   |   | 2010 |   |   | 2009 |   |   | February 28, 2010 |   |
|                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| REVENUES                                       |   | $ | 3,220 |   |   | $ | - |   |   | $ | 3,220 |   |   | $ | - |   |   | $ | 3,220 |   |
|                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| EXPENSES                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    General and administrative   |   |   | (4,316 | ) |   |   | (5,010 | ) |   |   | (15,709 | ) |   |   | (20,305 | ) |   |   | (59,417 | ) |
|                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    Total expenses               |   |   | (4,316 | ) |   |   | (5,010 | ) |   |   | (15,709 | ) |   |   | (20,305 | ) |   |   | (59,417 | ) |
|                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    Interest Income              |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 6 |   |   |   | 9 |   |
|                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| NET (LOSS)                                     |   | $ | (1,096 | ) |   | $ | (5,010 | ) |   | $ | (12,489 | ) |   | $ | (20,299 | ) |   | $ | (56,188 | ) |
|                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| NET (LOSS) PER SHARE - BASIC                   |   |   | * |   |   |   | * |   |   |   | * |   |   |   | * |   |   |   |   |   |
|                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| WEIGHTED AVERAGE NUMBER OF                     |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   COMMON SHARES OUTSTANDING          |   |   | 6,946,100 |   |   |   | 6,946,100 |   |   |   | 6,946,100 |   |   |   | 6,946,100 |   |   |   |   |   |
|                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| *  less than $(.01) per share        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| SEE ACCOMPANYING NOTES TO FINANCIAL STATEMENTS |

----

| HIGHLAND BUSINESS SERVICES, INC.                                                 |   |
|----------------------------------------------------------------------------------|--------|
| (A DEVELOPMENT STAGE ENTERPRISE)                                                 |   |
| STATEMENTS OF STOCKHOLDERS' EQUITY                                               |   |
| (UNAUDITED)                                                                      |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   | (Deficit) |   |   |   |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   | Accumulated |   |   |   |   |
|                                                                             |   |   |   |   |   |   |   | Shareholders' |   |   |   |   |   | During the |   |   |   |   |
|                                                                             |   | Common Stock |   |   | Services - |   |   | Paid-in |   |   | Development |   |   |   |   |
|                                                                             |   | Shares |   |   | Amount |   |   | Deferred |   |   | Capital |   |   | Stage |   |   | Total |   |
| Balances, at inception                                                           |   |   | - |   |   | $ | - |   |   | $ | - |   |   | $ | - |   |   | $ | - |   |   | $ | - |   |
|  Issuance of common stock, February 24, 2006                                |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|     at $.001 per share for future services                   |   |   | 6,000,000 |   |   |   | 6,000 |   |   |   | (6,000 | ) |   |   |   |   |   |   |   |   |   |   | - |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  Value of services subsequently rendered                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  for previously issued shares of common stock                               |   |   |   |   |   |   |   |   |   |   | 960 |   |   |   |   |   |   |   |   |   |   |   | 960 |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  Services contributed to capital                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 549 |   |   |   |   |   |   |   | 549 |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  Net (loss) for the period                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (1,509 | ) |   |   | (1,509 | ) |
| Balances, May 31, 2006                                                           |   |   | 6,000,000 |   |   |   | 6,000 |   |   |   | (5,040 | ) |   |   | 549 |   |   |   | (1,509 | ) |   |   | - |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  Value of services subsequently rendered                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  for previously issued shares of common stock                               |   |   |   |   |   |   |   |   |   |   | 2,557 |   |   |   |   |   |   |   |   |   |   |   | 2,557 |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  Services contributed to capital                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 2,277 |   |   |   |   |   |   |   | 2,277 |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  Net (loss) for the year                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (4,834 | ) |   |   | (4,834 | ) |
| Balances, May 31, 2007                                                           |   |   | 6,000,000 |   |   |   | 6,000 |   |   |   | (2,483 | ) |   |   | 2,826 |   |   |   | (6,343 | ) |   |   | - |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Shares issued for cash in a private placement at $0.01 per share on May 28, 2008 |   |   | 946,100 |   |   |   | 946 |   |   |   |   |   |   |   | 8,515 |   |   |   |   |   |   |   | 9,461 |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Value of services subsequently rendered                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| for previously issued shares of common stock                                     |   |   |   |   |   |   |   |   |   |   | 2,483 |   |   |   |   |   |   |   |   |   |   |   | 2,483 |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Services contributed to capital                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 9,172 |   |   |   |   |   |   |   | 9,172 |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net (loss) for the year                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (11,646 | ) |   |   | (11,646 | ) |
| Balances, May 31, 2008                                                           |   |   | 6,946,100 |   |   |   | 6,946 |   |   |   | - |   |   |   | 20,513 |   |   |   | (17,989 | ) |   |   | 9,470 |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Services contributed to capital                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 16,183 |   |   |   |   |   |   |   | 16,183 |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net (loss) for the year                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (25,710 | ) |   |   | (25,710 | ) |
| Balances, May 31, 2009                                                           |   |   | 6,946,100 |   |   |   | 6,946 |   |   |   | - |   |   |   | 36,696 |   |   |   | (43,699 | ) |   |   | (57 | ) |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| (unaudited)                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Services contributed to capital                                                  |   |   |   |   |   |   |   |   |   |   |   |   |   |   | 15,766 |   |   |   |   |   |   |   | 15,766 |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net (loss) for the period                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   | (12,489 | ) |   |   | (12,489 | ) |
| Balances, February 28, 2010 (unaudited)                                          |   |   | 6,946,100 |   |   | $ | 6,946 |   |   | $ | - |   |   | $ | 52,462 |   |   | $ | (56,188 | ) |   | $ | 3,220 |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| The accompanying notes are an integral part of these financial statements        |

----

| HIGHLAND BUSINESS SERVICES, INC.                                                         |   |
|------------------------------------------------------------------------------------------|--------|
| (A DEVELOPMENT STAGE ENTERPRISE)                                                         |   |
| CONDENSED STATEMENTS OF CASH FLOWS                                                       |   |
| (UNAUDITED)                                                                              |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |
|                                                                                     |   |   |   |   |   |   |   | Cumulative |   |
|                                                                                     |   |   |   |   |   |   |   | from |   |
|                                                                                     |   |   |   |   |   |   |   | February 24, 2006 |   |
|                                                                                     |   | For the nine months ended |   |   | (Inception) |   |
|                                                                                     |   | February 28, |   |   | to |   |
|                                                                                     |   | 2010 |   |   | 2009 |   |   | February 28, 2010 |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |
| OPERATING ACTIVITIES                                                                     |   |   |   |   |   |   |   |   |   |
|          Net (loss)                         |   | $ | (12,489 | ) |   | $ | (20,299 | ) |   | $ | (56,188 | ) |
|          Stock issued for services          |   |   | - |   |   |   | - |   |   |   | 6,000 |   |
|          Contributed capital                |   |   | 15,766 |   |   |   | 11,013 |   |   |   | 43,947 |   |
|          Accounts receivable                |   |   | (2,890 | ) |   |   |   |   |   |   | (2,890 | ) |
|          Accounts payable                   |   |   | (150 | ) |   |   |   |   |   |   | - |   |
|          Prepaid expenses                   |   |   | - |   |   |   | (40 | ) |   |   | - |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
| NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES                                      |   |   | 237 |   |   |   | (9,327 | ) |   |   | (9,131 | ) |
|                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
| FINANCING ACTIVITIES                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
|          Proceeds from sale of common stock |   |   | - |   |   |   | - |   |   |   | 9,461 |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
| NET CASH PROVIDED BY FINANCING ACTIVITIES                                                |   |   | - |   |   |   | - |   |   |   | 9,461 |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
| NET INCREASE (DECREASE) IN CASH                                                          |   |   | 237 |   |   |   | (9,327 | ) |   |   | 330 |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
| CASH, BEGINNING OF PERIOD                                                                |   |   | 93 |   |   |   | 9,470 |   |   |   | - |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
| CASH, END OF PERIOD                                                                      |   | $ | 330 |   |   | $ | 143 |   |   | $ | 330 |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
| SUPPLEMENTAL SCHEDULE OF NON-CASH INVESTING AND FINANCING ACTIVITIES                     |   |   |   |   |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
|    Shareholder advances on behalf of company                              |   | $ | 15,766 |   |   | $ | 7,633 |   |   | $ | 23,399 |   |
|    Shareholder's debt contributed to capital                              |   |   | (15,766 | ) |   |   | (7,633 | ) |   |   | (23,399 | ) |
|                                                                                     |   | $ | - |   |   | $ | - |   |   | $ | - |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                     |   |   |   |   |   |   |   |   |   |   |   |   |
| The accompanying notes are an integral part of these financial statements                |   |

----

----

----

----

----

| EXHIBIT NO. | DESCRIPTION                                                                                                                  |
|-------------|------------------------------------------------------------------------------------------------------------------------------|
|        |                                                                                                                         |
| 31.1   | Certification of Chief Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002                           |
|        |                                                                                                                         |
| 31.2        | Certification of Chief Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002                      |
|        |                                                                                                                         |
| 32.1        | Certification Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002  |

|                       |   |   | Highland Business Services, Inc.(Registrant)               |   |
|----------------------------|--------|--------|------------------------------------------------------------|--------|
|                       |   |   |                                                       |   |
|                       |   |   |                                                       |   |
| Dated: April 14, 2010 |   |   | /s/ Rodger D Spainhower                                    |   |
|                       |   |   | Name: Rodger D Spainhower                             |   |
|                       |   |   | Title: Chief Executive Officer and Chief Financial Officer |   |
|                       |   |   |                                                       |   |

|                       |   |   |                                              |   |
|----------------------------|--------|--------|---------------------------------------------------|--------|
|                       |   |   |                                              |   |
| Dated: April 14, 2010 |   |   | /s/ Marie C Moffett                               |   |
|                       |   |   | Name: Marie C Moffett                             |   |
|                       |   |   | Title: President and Chief Operating Officer |   |
|                       |   |   |                                              |   |

----