UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                   FORM 10-QSB

(Mark One)

[X]  QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT
     OF 1934

                For the quarterly period ended September 30, 2006

[_]  TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT

      For the transition period from _________________ to _________________

                        Commission file number 000-52297


                                Assure Data, Inc.
        (Exact name of small business issuer as specified in its charter)

             Nevada                                               06-1678089
(State or other jurisdiction of                                 (IRS Employer
 incorporation or organization)                              Identification No.)

                       6680 Yosemite, Dallas, Texas 75214
                    (Address of principal executive offices)

                                 (972) 963-0007
                          (Issuer's telephone number)

     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 [X] No [ ].

     Indicate  by check mark  whether  the  registrant  is a shell  company  (as
defined in Rule 12b-2 of the Exchange Act: Yes [ ] No [X]

     Indicate by check mark whether the registrant is an  accelerated  filer (as
defined in Rule 12b-2 of the Exchange Act: Yes [ ] No [X].

                APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY
                  PROCEEDINGS DURING THE PRECEDING FIVE YEARS:

     Check whether the registrant filed all documents and reports required to be
filed by Section l2, 13 or 15(d) of the Exchange Act after the  distribution  of
securities under a plan confirmed by a court. Yes [ ] No [ ]

                      APPLICABLE ONLY TO CORPORATE ISSUERS

     State the number of shares  outstanding of each of the issuer's  classes of
common equity, as of November 20, 2006: 1,640,000 shares of common stock.

<PAGE>

                                ASSURE DATA, INC.

                              INDEX TO FORM 10-QSB

Contents                                                            PAGE

PART I.  FINANCIAL INFORMATION

ITEM 1:  Unaudited Financial Statements                                        2

         Balance Sheet  - September 30, 2006 (Unaudited)                       2

         Statements of Operations for the Three Months And Nine
         Months Ended September 30, 2006 and 2005(Unaudited)                   3

         Statements of Cash Flows for the Nine Months Ended
         September 30, 2006 and 2005 (Unaudited)                               4

         Notes to Unaudited Financial Statements                               5

ITEM 2:  Management Discussion and Analysis and Plan of Operations             7

ITEM 3:  Controls and Procedures                                               9

PART II  OTHER INFORMATION                                                     9

ITEM 1:  Legal Proceedings                                                     9

ITEM 2:  Unregistered Sales of Equity Securities and Use of Proceeds           9

ITEM 3:  Defaults Upon Senior Securities                                       9

ITEM 4:  Submission of Matters to Vote of Security Holders                     9

ITEM 5:  Other information                                                     9

ITEM 6:  Exhibits                                                              9

         Signatures                                                            9

         Certifications                                                       10




<PAGE>

                         PART I -- FINANCIAL INFORMATION
                          Item 1. Financial Statements


                                ASSURE DATA, INC.
                     Balance Sheet as of September 30, 2006
                                   (unaudited)



Assets

Current assets:
 Cash                                                         $  73,288
 Accounts receivable                                             29,339
                                                              ---------

        Total current assets                                    102,267

 Computer equipment, net of accumulated
  depreciation of $10,738
                                                                  4,306
                                                              ---------
 Total assets                                                 $ 106,933
                                                              =========

                      Liabilities and Stockholders' Equity

Current liabilities:

   Due to related party                                       $     961
   Deferred revenue                                                 782
   Payroll Liabilities                                              129
                                                              ---------

        Total current liabilities                                 1,872
                                                              ---------

Stockholders' equity:
    Common stock: $.001 par value.  Authorized: 100,000,000
       shares; issued and outstanding: 1,640,000                  1,640
    Additional paid-in capital                                  375,207
    Accumulated deficit                                        (271,786)
                                                              ---------

         Total stockholders' equity                             105,061
                                                              ---------

         Total liabilities and stockholders' equity           $ 106,933
                                                              =========


              The accompanying notes are an integral part of these
                       consolidated financial statements


                                       2
<PAGE>
<TABLE>
<CAPTION>

                                ASSURE DATA, INC.
                            Statements of Operations



                                            Three Months     Three Months     Nine Months      Nine Months
                                            Sept 30, 2006    Sept 30, 2005   Sept 30, 2006    Sept 30, 2005

                                             (Unaudited)      (Unaudited)     (Unaudited)      (Unaudited)
                                            -------------    -------------   -------------    -------------
<S>                                         <C>              <C>             <C>              <C>
Revenues                                    $      17,332    $      14,816   $      59,760    $      34,526
Cost of revenues                                   12,221            9,819          40,525           16,671
                                            -------------    -------------   -------------    -------------

Gross profit                                        5,111            4,997          19,235           17,835
                                            -------------    -------------   -------------    -------------

Operating expenses:
    Product development and marketing                --               --              --
    General and administrative                     38,991            1,918         142,417            5,084
                                            -------------    -------------   -------------    -------------
       Total operating expenses                    38,991            1,918         142,417            5,084
                                            -------------    -------------   -------------    -------------

       Profit (Loss) from operations              (33,880)           3,079        (123,182)          12,771

Other income:
       Interest income                                635             --             3,144             --
                                            -------------    -------------   -------------    -------------

       Net Income (loss)                    $     (33,245)   $       3,079   $    (120,038)   $      12,771
                                            =============    =============   =============    =============

Basic and diluted income (loss) per share   $       (0.02)   $        0.03   $       (0.07)   $        0.01
                                            =============    =============   =============    =============

Weighted average number of shares
   outstanding - basic and diluted              1,640,000        1,200,000       1,631,111        1,066,667
                                            =============    =============   =============    =============
</TABLE>



              The accompanying notes are an integral part of these
                       consolidated financial statements


                                       3
<PAGE>

                                ASSURE DATA, INC.
                            Statements of Cash Flows



                                                   Nine Months     Nine Months
                                                      Ended           Ended
                                                  Sept, 30 2006   Sept 30, 2005
                                                   (Unaudited)     (Unaudited)
                                                  -------------   -------------

Cash flows from operating activities:
   Net income (loss)                              $    (120,039)  $      12,771
   Adjustments to reconcile net income (loss) to
      net cash provide by (used in) operating
      activities:
        Depreciation                                      3,762           2,594
        Changes in assets and liabilities:
           Accounts receivable                          (15,220)         (1,496)
           Accounts payable and accrued expenses         (6,638)           --
           Due to Related Party                          (3,000)         34,047
           Deferred Revenue                                (337)           (813)
                                                  -------------   -------------

        Net cash provided by (used in)
          operating activities                         (141,472)         47,103
                                                  -------------   -------------

Cash flows from investing activities:
   Purchase of equipment                                   --              (453)
                                                  -------------   -------------
       Net cash provided by (used in)
          investing activities                             --              (453)
                                                  -------------   -------------
Cash flows from financing activities:
   Net proceeds from issuance of common stock            20,000         256,047
         Net cash provided by (used in)                    --              --
         Financing activities                            20,000         256,047
                                                  -------------   -------------


         Net decrease in cash                          (121,472)        302,697

Cash at beginning of period                             194,760             445
                                                  -------------   -------------

Cash at end of period                             $      73,288   $     303,142
                                                  =============   =============


              The accompanying notes are an integral part of these
                       consolidated financial statements


                                       4
<PAGE>

                                ASSURE DATA, INC.
                     NOTES TO UNAUDITED FINANCIAL STATEMENTS
                                  JUNE 30, 2006


ORGANIZATION

Assure Data,  Inc. (the  "Company") is a Nevada  Corporation  that was formed in
November 2002 and commenced operations in April 2003. The Company provides fully
automated remote data backup services for small to medium sized businesses.


BASIS OF PRESENTATION

The accompanying  unaudited consolidated financial statements have been prepared
in  accordance  with  generally  accepted  accounting   principles  for  interim
financial  statements and with the instructions to Form l0-QSB and Article 10 of
Regulation  S-B.  Accordingly,  they  do not  include  all the  information  and
disclosures required for annual financial statements. These financial statements
should be read in conjunction  with the  consolidated  financial  statements and
related  footnotes for the year ended December 31, 2005,  included in the Annual
Report filed on Form l0-KSB for the year then ended.

In the opinion of the  management  of Assure Data,  Inc.  (the  "Company"),  all
adjustments  (consisting  of normal  recurring  accruals)  necessary  to present
fairly the  Company's  financial  position as of  September  30,  2006,  and the
results of operations and cash flows for the nine-month  period ending September
30, 2006 have been included. The results of operations for the nine-month period
ended  September  30, 2006 are not  necessarily  indicative of the results to be
expected for the full year. For further  information,  refer to the consolidated
financial  statements  and footnotes  thereto  included in the Company's  Annual
Report filed on Form l0-KSB as filed with the Securities and Exchange Commission
for the year ended December 31, 2005.


SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

CASH AND CASH EQUIVALENTS

The Company  considers  all highly liquid  temporary  cash  investments  with an
original maturity of three months or less to be cash equivalents.

The Company maintains its cash in bank accounts at high credit quality financial
institutions. The balances at times may exceed federally insured limits.

ESTIMATES AND ASSUMPTIONS

The  preparation  of financial  statements,  in  conformity  with the  generally
accepted  accounting  principles,  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  revenues  and  expenses  during  the
reporting period. Actual results could differ from those estimates.

REVENUE ROCOGNITION

The Company charges its customers an initial set-up fee, which is refundable for
a 30 day period. The revenues from set-up fees are deferred and, upon expiration
of the refund period, recognized over the expected period of performance,  which
management has estimated to be three years. In the event a customer  contract is
cancelled, any remaining deferred set-up fee revenue is recognized in the period
of cancellation.

The Company  charges its  customers  monthly fees for its services  based on the
provisions of each customer's contract.  The monthly fees consist of a base fee,
a volume based data  transfer fee and a volume based data storage fee.  Revenues
are recognized in the month the services are provided.

The  revenues  from  set-up fees and monthly  fees are  recognized  based on the
Company's  determination  that the  criteria  provided  in SEC Staff  Accounting
Bulletin 104 - Revenue  Recognition  have been met. These criteria  include that
persuasive evidence of an arrangement exists,  delivery has occurred or services
have been rendered, the seller's price to the buyer is fixed or determinable and
collectibility is reasonably assured. The Company determines that these criteria


                                       5
<PAGE>

have  been met by  entering  into  written  contracts  with its  customers  that
specifically  state the fees for set-up and  monthly  services.  Set-up fees are
invoiced after the actual set-up has been  performed.  Monthly fees are invoiced
based on the actual usage during a particular month.  Collectibility of revenues
has not been an issue as of December 31, 2005.  However, if the set-up fees have
not been paid,  monthly  service would not be initiated.  If the monthly service
fees were not paid, the monthly service would be discontinued.

IMPAIRMENT OF LONG-LIVED ASSETS

The Company reviews long-lived assets and certain identifiable assets related to
those on a quarterly basis for impairment whenever  circumstances and situations
change such that there is an  indication  that the  carrying  amounts may not be
recovered.  At  September  30,  2006,  the  Company  does not  believe  that any
impairment has occurred.

INCOME TAXES

Income taxes are accounted for in accordance  with SFAS No. 109,  Accounting for
Income Taxes.  SFAS No. 109 requires the  recognition of deferred tax assets and
liabilities  to reflect  the future tax  consequences  of events  that have been
recognized in the Company's financial statements or tax returns.  Measurement of
the  deferred  items is based on  enacted  tax laws.  In the  event  the  future
consequences of differences  between financial  reporting bases and tax bases of
the Company's  assets and liabilities  result in a deferred tax asset,  SFAS No.
109  requires  an  evaluation  of the  probability  of being able to realize the
future benefits  indicated by such assets.  A valuation  allowance  related to a
deferred tax asset is recorded  when it is more likely than not that some or the
entire deferred tax asset will not be realized.

ALLOWANCE FOR DOUBTFUL ACCOUNTS

The allowance for doubtful accounts is based on the Company's  assessment of the
collectibilty of customer accounts and the aging of the accounts receivable.  If
there is a  deterioration  of a major  customer's  credit  worthiness  or actual
defaults are higher than the  Company's  historical  experience,  the  Company's
estimates of the  recoverability of amounts due it could be adversely  affected.
The Company  regularly  reviews  the  adequacy of the  Company's  allowance  for
doubtful  accounts through  identification  of specific  receivables where it is
expected  that payments will not be received.  The Company also  establishes  an
unallocated  reserve  that is applied to all amounts  that are not  specifically
identified.  In determining  specific  receivables  where collections may not be
received,  the Company reviews past due receivables and gives  consideration  to
prior  collection  history  and  changes  in  the  customer's  overall  business
condition.  The allowance  for doubtful  accounts  reflects the  Company's  best
estimate as of the reporting dates.  Changes may occur in the future,  which may
require the Company to reassess the collectibility of amounts, at which time the
Company may need to provide  additional  allowances in excess of that  currently
provided.  At September 30, 2006 no allowance  for doubtful  accounts was deemed
necessary.

FAIR VALUE OF FINANCIAL INSTRUMENTS

Statement of Financial Accounting Standard No. 107 `Disclosures about Fair Value
of  Financial  Instruments'  (SFAS 107)  requires the  disclosure  of fair value
information about financial instruments whether or not recognized on the balance
sheet,  for which it is practicable  to estimate the value.  Where quoted market
prices are not readily available,  fair values are based on quoted market prices
of comparable  instruments.  The carrying amount of cash,  accounts  payable and
accrued  expenses  approximate fair value because of the short maturity of those
instruments.

EARNINGS (LOSS) PER COMMON SHARE

The  Company  reports  profit  and loss per  common  share  in  accordance  with
Statement of Financial  Accounting  Standards  ("SFAS") no. 128,  "Earnings  per
Share". In the case of losses,  the per share effects of potential common shares
such as warrants, options, convertible debt and convertible preferred stock have
not been included, as the effect would be antidilutive.


                                       6
<PAGE>

STOCK BASED COMPENSATION

In December 2004, the FASB issued SFAS No. 123(R),  "Share-Based Payment," which
replaces SFAS No. 123 and  supersedes APB Opinion No. 25. Under SFAS No. 123(R),
companies  are  required  to  measure  the  compensation  costs  of  share-based
compensation  arrangements  based on the grant-date fair value and recognize the
costs in the financial  statements  over the period  during which  employees are
required to provide  services.  Share-based  compensation  arrangements  include
stock  options,   restricted  share  plans,   performance-based   awards,  share
appreciation  rights and employee  share purchase  plans.  In March 2005 the SEC
issued Staff Accounting  Bulletin No. 107, or "SAB 107". SAB 107 expresses views
of the staff regarding the  interaction  between SFAS No. 123(R) and certain SEC
rules and  regulations and provides the staff's views regarding the valuation of
share-based payment  arrangements for public companies.  SFAS No. 123(R) permits
public  companies to adopt its requirements  using one of two methods.  On April
14,  2005,  the SEC adopted a new rule  amending the  compliance  dates for SFAS
123R. Companies may elect to apply this statement either prospectively,  or on a
modified version of retrospective  application under which financial  statements
for  prior  periods  are  adjusted  on a basis  consistent  with  the pro  forma
disclosures  required for those  periods  under SFAS 123.  Effective  January 1,
2006,  the Company has fully adopted the provisions of SFAS No. 123R and related
interpretations  as provided by SAB 107. As such,  compensation cost is measured
on the date of grant as the excess of the current market price of the underlying
stock over the exercise price. Such compensation  amounts, if any, are amortized
over the respective  vesting  periods of the option grant.  The Company  applies
this statement prospectively.

RELATED PARTY TRANSACTIONS

During the nine  months  ended  September  30, 2006 an entity  controlled  by an
officer and director provided  approximately  $49,000 of product and services to
the Company which are included in cost of goods sold. The balance due to related
party of  approximately  $961 as of September 30, 2006 is non-interest  bearing,
due on demand and unsecured.

SALE OF COMMON STOCK

In March 2006, the Company  completed a private  offering in which 40,000 shares
of its common  stock were sold  resulting in proceeds of $19,960 net of offering
costs of $40.

RECENTLY ISSUED ACCOUNTING STANDARDS

In February  2006, the FASB issued FASB Statement No. 155, which is an amendment
of FASB  Statements  No. 133 and 140.  This  Statement;  a)  permits  fair value
re-measurement  for any hybrid  financial  instrument  that contains an embedded
derivative  that  otherwise  would  require  bifurcation,   b)  clarifies  which
interest-only strip and principal-only strip are not subject to the requirements
of  Statement  133,  c)  establishes  a  requirement  to evaluate  interests  in
securitized  financial  assets  to  identify  interests  that  are  freestanding
derivatives or that are hybrid  financial  instruments  that contain an embedded
derivative  requiring  bifurcation,  d) clarifies that  concentrations of credit
risk in the  form of  subordination  are not  embedded  derivatives,  e)  amends
Statement  140 to eliminate  the  prohibition  on a  qualifying  special-purpose
entity  from  holding a  derivative  financial  instrument  that  pertains  to a
beneficial  interest other than another derivative  financial  instrument.  This
statement is effective for financial statements for fiscal years beginning after
September 15, 2006.  Earlier  adoption of this  Statement is permitted as of the
beginning of an entity's fiscal year, provided the entity has not yet issued any
financial  statements for that fiscal year.  Management  believes this Statement
will have no impact on the financial statements of the Company once adopted.


                                       7
<PAGE>

In March 2006,  the FASB  issued  FASB  Statement  No.  156,  which  amends FASB
Statement  No.  140.  This  Statement  establishes,   among  other  things,  the
accounting  for  all  separately   recognized  servicing  assets  and  servicing
liabilities.  This Statement amends Statement 140 to require that all separately
recognized  servicing assets and servicing  liabilities be initially measured at
fair value, if practicable.  This Statement permits,  but does not require,  the
subsequent  measurement of separately  recognized servicing assets and servicing
liabilities  at fair  value.  An entity  that  uses  derivative  instruments  to
mitigate the risks  inherent in servicing  assets and servicing  liabilities  is
required to account for those derivative  instruments at fair value.  Under this
Statement,  an entity can elect subsequent fair value measurement to account for
its  separately  recognized  servicing  assets  and  servicing  liabilities.  By
electing  that  option,  an entity may  simplify  its  accounting  because  this
Statement  permits  income  statement  recognition  of the potential  offsetting
changes in fair value of those  servicing  assets and servicing  liabilities and
derivative  instruments  in  the  same  accounting  period.  This  Statement  is
effective for financial  statements for fiscal years  beginning  after September
15, 2006. Earlier adoption of this Statement is permitted as of the beginning of
an entity's  fiscal year,  provided the entity has not yet issued any  financial
statements for that fiscal year. Management believes this Statement will have no
impact on the financial statements of the Company once adopted.

In  September  2006,  the FASB issued FASB  Statement  No. 157.  This  Statement
defines  fair  value,  establishes  a  framework  for  measuring  fair  value in
generally accepted  accounting  principles (GAAP), and expands disclosures about
fair  value   measurements.   This  Statement  applies  under  other  accounting
pronouncements that require or permit fair value measurements,  the Board having
previously  concluded in those  accounting  pronouncements  that fair value is a
relevant measurement attribute. Accordingly, this Statement does not require any
new fair value measurements. However, for some entities, the application of this
Statement  will change  current  practices.  This  Statement  is  effective  for
financial statements for fiscal years beginning after November 15, 2007. Earlier
application is permitted  provided that the reporting  entity has not yet issued
financial  statements for that fiscal year.  Management  believes this Statement
will have no impact on the financial statements of the Company once adopted.











                                       8
<PAGE>

Item 2 - Management's Discussion and Analysis and Plan of Operations

General

Assure Data began operations in 2003 offering data backup services.  We obtained
$100,000 of initial funding from a private  placement in mid-2003.  In September
of 2005 the Company  completed  a public  offering  in which  600,000  shares of
common stock were sold resulting in proceeds of $300,000  before  offering costs
were paid.  In March of 2006 we completed a private  placement of 40,000  shares
resulting in proceeds of $20,000  before  offering  costs.  As of September  30,
2006, we have added 10 customers since inception,  and following is a summary of
our financial  results and  condition  for the three months ended  September 30,
2006 and 2005.

For the three months ended September 30, 2006 compared to the three months ended
September 30, 2005, revenues increased from $14,816 to $17,332 respectively,  an
increase of $2,3486 For the three months ended  September  30, 2006  compared to
the three  months ended  September  30, 2005,  cost of revenues  increased  from
$9,819 to $12,221, a increase of $2,402. The cost of revenue increase was due to
an increase in customers. For the three months ended September 30, 2006 compared
to the three months ended September 30, 2005, gross profit increased from $4,997
to $5,111 an increase of $114.  For the three  months ended  September  30, 2006
compared  to  the  three  months   ended   September   30,  2005,   general  and
administrative  expenses  increased  from $1,918 to $38,991.  This is due to the
hiring of the  Company's  first  employee,  and expanded use of  consultants  to
supply required services for the customers, as well as legal and accounting fees
associated with being a public Company.

For the nine months ended  September  30, 2006 compared to the nine months ended
September 30, 2005, revenues increased from $34,526 to $59,760 respectively,  an
increase  of $24,334.  The  additional  revenues  were due to an increase in the
number of customers and the overall billings for additional  services  requested
by our customers.  For the nine months ended  September 30, 2006 compared to the
nine months ended September 30, 2005, cost of revenues increased from $16,671 to
$40,525,  an increase of $23,854.  The cost of revenue  increase  was due to the
time spent by our first  employee,  and second  employee  as well as that of our
consultant  providing  services  on behalf of the  Company.  For the nine months
ended  September 30, 2006 compared to the nine months ended  September 30, 2005,
gross profit increased from $17,835 to $19,235,  an increase of $1,400.  For the
nine months ended September 30, 2006 compared to the nine months ended September
30, 2005, operating expenses for product development and marketing there were no
changes.  For the nine months  ended  September  30,  2006  compared to the nine
months ended September 30, 2005, general and  administrative  expenses increased
from $5,084 to $142,417.  This is due to the hiring of the  Company's  first two
employees,  and expanded use of consultants to supply required  services for the
customers,  as well as legal and accounting  fees associated with being a public
company.

We estimate the continuing  costs of being a public company to be $45,000 during
2006.  These  costs are being  paid  from  revenues  generated  by  services  to
customers,  and the proceeds from the March 2006 private placement. For the nine
months ended  September 30, 2006 compared to the nine months ended September 30,
2005, total operating expenses increased from $5,084 to $142,417. This is due to
the hiring of the Company's first two employees, and expanded use of consultants
to  supply  required  services  for the  customers,  as well as fees  legal  and
accounting  fees  associated  with the public  Company.  Other  total  operating
expense  changes  were due to the  changes  in the  number  of  customers  being
serviced, as well as the services being billed to the customers. Service charges
are not a  constant  set fee for most  customers.  Costs  for  bandwidth,  other
internet related fees, and marketing costs which are not fixed. Both revenue and
associated costs change each month. For the nine months ended September 30, 2006
there was a net loss of $(120,038)  compared to the nine months ended  September
30, 2005, net profit of $12,771.


                                       9
<PAGE>

Comparisons

Comparison of the three months ended September 30, 2006 and 2005:

Revenues increased to $17,332 for the three months ended September 30, 2006 from
$14,816 for the  comparable  2005 period,  representing  a increase of 17%. This
increase is attributed to an increase in the number of customers and the overall
billings for additional services requested by our customers.

Gross profit  increased to $5,111 for the three months ended  September 30, 2006
from $4,997 for the  comparable  2005 period,  representing  an increase of 23%.
This increase was due to a decrease in associated costs of servicing customers.

Operating expenses increased to $38,991 for the three months ended September 30,
2006 from $1,918 in the comparable 2005 period. This is due to the hiring of the
Company's  first  two  employees,  and  expanded  use of  consultants  to supply
required  services for the  customers.  Other changes to the operating  expenses
were due to the changes in the number of customers  being  serviced,  as well as
the services being billed to the customers,  as well as fees associated with the
public  Company.  Service  charges are no a constant set fee for most customers.
Costs for  bandwidth,  other internet  related fees and marketing  costs are not
fixed.

Comparison of the nine months ended September 30, 2006 and 2005:

Revenues  increased to $59,760 for the nine months ended September 30, 2006 from
$34,526 for the comparable 2005 period,  representing  and increase of 73%. This
increase is attributed to an increase in the number of customers and the overall
billings for additional services requested by our customers.

Gross profit  increased to $19,235 for the nine months ended  September 30, 2006
from $17,835 for the  comparable  2005 period,  representing  an increase of 8%.
This  increase  was due to  additional  billing to  existing  customers  and the
addition of new customers.

Operating expenses increased to $142,417 for the nine months ended September 30,
2006 from $5,084 in the comparable 2005 period. This is due to the hiring of the
Company's first two employees, and expanded use of consultants to supply
required services for the customers. Other changes to the operating expenses
were due to the changes in the number of customers being serviced, as well as
the services being billed to the customers, as well as fees associated with the
public Company. Service charges are no a constant set fee for most customers.
Costs for bandwidth, other internet related fees and marketing costs are not
fixed.


Liquidity

All of our cash needs have been met from the results of our  limited  operations
and the sale of our equity securities.  Our cash flow statement and statement of
operations are essentially the same.

With the completion of our September 2005 public offering, we believe that, even
though our  auditors  have  expressed  substantial  doubt  about our  ability to
continue as a going concern in the Company's  10-KSB for the year ended December
31, 2005, we will have  sufficient  financial  resources to meet our obligations
for at least the next twelve months and beyond. Assuming that we do not increase
our current capacity to provide services, our primary cash requirements would be
those  associated with maintaining our current customer base and maintaining our
status as a reporting  entity.  We believe  that on an annual  basis those costs
would not exceed $35,000. Based on this belief, we believe we will have adequate
financial  resources to meet our financial  obligations as we currently  conduct
business for at least 12 months. In addition,  we currently have the capacity to
add 36 more  customers  with an  average  monthly  service  charge  of $250  per
customer without  increasing our current monthly  expenses.  If all 36 customers
were added this would increase our monthly revenues by $9,000 per month. We have




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<PAGE>

added four additional  clients since January  1,2006.  These four companies have
combined expected monthly revenue in excess of $400 per month. In addition,  one
of our current  customers  has added a new division that we now backup that adds
an additional  $350 per month.  Other current clients are increasing the size of
the data being backed up and the revenues for those clients are increasing.

Plan of Development

The early stages of our business plan are complete. We have a functional service
with paying  customers and an increasing  monthly revenue stream.  We have a web
site that is listed with a number of search  engines,  and have a specific  `Add
Words'  agreement in place with Google,  from which we receive  phone calls from
potential customers weekly as well as `hits' that are turning into customers and
potential  customers.  This site  needs to be  expanded  and the mass  marketing
portion of our business plan will be started. Mr. Lisle, the president of Assure
Data,  is  currently  acting as a  consultant  to the  company,  and billing for
services  rendered.  Mr.  Kipness is now working full time as an  employee.  Mr.
Kipness will add additional  functionality  to our current  services and add new
services  that are related to the remote  backup  process now in place.  Two new
products  have  been  introduced  and  are  now  available  to a  select  set of
customers.  These  customers  are involved in the final testing of the services,
prior to general  release in the first  quarter of 2007.  The new products are a
Small Business version of our backup services,  and a Home/Personal version that
can be used by anyone with a high speed internet  connection  with no additional
hardware required to be installed at the users' location. As a result of working
with our  current  customer  base,  Assure Data has  started  providing  network
infrastructure  consulting  services.  Consulting services for the third quarter
were  approximately  $8,400 and are  expected  to rise in the fourth  quarter to
approximately $25,000.

Low cost office  space is  available  and all other  expenses  will be monitored
closely to assure  that the focus of the next phase of the  business  plan moves
ahead as planned.

As of October 15, 2005,  Max Kipness  became a full time  employee.  Mr Lisle is
acting as a consultant and charging for actual services rendered.  A second full
time employee was added as of July 1, 2006.

Capital Expenditures

As our business grows, we will have to acquire additional servers to accommodate
the growing disk storage capacity. Our current equipment can handle the needs of
20-30  customers.  A new  server  will be  required  for each  additional  20-30
customers.  We believe we will be able to add such equipment and finance it from
customer  charges  and  will  not  require  debt  or  equity  financing  for our
anticipated capital expenditures.

Future Obligations

We have no indebtedness or other continuing financial commitments.


Item 3.  Controls and Procedures

a) Within the 90-day period prior to the date of this report,  we carried out an
evaluation,  under the supervision and with the participation of our management,
including  the Chief  Executive  Officer  and Chief  Financial  Officer,  of the
effectiveness  of the  design  and  operation  of our  disclosure  controls  and
procedures  pursuant to Rule 13a-14 of the Securities  Exchange Act of 1934 (the
"Exchange  Act").  Based upon that evaluation,  the Chief Executive  officer and
Chief Financial  Officer  concluded that our disclosure  controls and procedures
are effective in timely  alerting them to material  information  relating to the
Company  required to be included in our Exchange Act filings.  The two Executive
Officers  responsible  for the financial  reporting and disclosure are in direct
control of the books and records of the Company and are involved  first-hand  in
the decision making process for material transactions.

b) There have been no significant  changes in our internal  controls or in other
factors,  which could  significantly  affect internal controls subsequent to the
date we carried out our evaluation.


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<PAGE>

                          PART II -- OTHER INFORMATION

Item 1.  Legal Proceedings

         None.

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

         None.

Item 3.  Defaults Upon Senior Securities

         None.

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

         None.

Item 5.  Other Information

         None

Item 6.  Exhibits .

         Exhibits

         31.1       Certification by CEO and CFO pursuant to 18 USC Section 1350
                    as adopted by Section 302 of the Sarbanes-Oxley Act of 2002.


         32.1       Certification by CEO and CFO pursuant to 18 USC Section 1350
                    as adopted by Section 906 of the Sarbanes-Oxley Act of 2002.




                                   SIGNATURES

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

         Date:  November 17, 2006

                                                      ASSURE DATA, INC.



                                                      By: /s/ Robert Lisle
                                                         -----------------------
                                                         Robert Lisle, President


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