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 March 31, 2001
                                                 ---------------

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

           For the transition period from _________________ to _________________

                        Commission file number 001-13559


                      Restaurant Teams International, Inc.
                      ------------------------------------
                 (Name of small business issuer in its charter)

               Texas                                    75-2337102
  (State of other jurisdiction of           (I.R.S. Employer Identification No.)
    incorporation or organization

 911 N.W. Loop 281, Suite 111, Longview, Texas            75604
   (Address of principal executive offices)             (Zip Code)

                    Issuer's telephone number (903) 295-6800


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[ ]


Number of shares outstanding of each of the issuer's classes of common stock, as
of May 15, 2001: 38,889,663 shares of common stock, par value $.01.

<PAGE>

                      RESTAURANT TEAMS INTERNATIONAL, INC.


                                                                        Page No.
                                                                        --------

PART I         FINANCIAL INFORMATION...............................         2

Item 1.        Financial Statements................................         2

               Condensed Balance Sheets for the Periods
               Ended March 31, 2001 and December 31, 2000..........         4

               Condensed Statements of Operations For the
               Three Month Periods Ended March 31, 2000 and
                March 31, 2001.....................................         6

               Notes to interim financial statements...............         7

Item 2.        Management's Discussion and Analysis of
               Financial Condition and Results of Operations.......         8


PART II        OTHER INFORMATION...................................         9

Item 2.        Changes in Securities...............................         9

Item 4.        Submission of Matters to a Vote of
               Security Holders....................................         9

Item 6.        Exhibits and Reports on Form 8-K....................         9

Signatures     ....................................................        10

Exhibit Index  ....................................................        11




                                                                               1

<PAGE>

Item  1.  FINANCIAL STATEMENTS




                      Restaurant Teams International, Inc.
                              Financial Statements
                              As of March 31, 2001






                                                                               2

<PAGE>


                      Restaurant Teams International, Inc.

                              Financial Statements


                              As of March 31, 2001


                                    Contents
Financial Statements

Balance Sheet ............................................................4
Statements of Operations .................................................6
Notes.....................................................................7









                                                                               3

<PAGE>


                      Restaurant Teams International, Inc.
                            Condensed Balance Sheets

                                                Dec. 31, 2000    March 31, 2001

ASSETS

CURRENT ASSETS
  Cash                                            $   49,431       $    2,770
  Trade accounts receivable                            1,970                0
  Inventories                                         32,676            7,920
  Prepaid Expenses                                         0                0
  Marketable Securities                               33,659                0
  Federal Income Tax Receivable                       38,030                0
                                                  ----------       ----------
                   Total Current Assets              155,766           10,690

PROPERTY AND EQUIPMENT, net                        2,849,016        2,504,766

GOODWILL, net                                        145,617          145,617

OTHER ASSETS
  Assets Held for Sale, net                          497,842          497,842

  Debenture Issuance Costs, net                       24,970                0

TOTAL ASSETS                                       3,673,211        3,158,915











                                                                               4

<PAGE>

LIABILITIES AND SHAREHOLDERS EQUITY

CURRENT LIABILITIES
  Accounts Payable                                      349,814         376,059
  Accrued Expenses and Other Liabilities                982,848         905,944

  Current Portion of Long Term Debt                     719,380         452,249
                                                    -----------     -----------
                   Total current liabilities          2,052,042       1,734,252

LONG TERM DEBT, net of current portion                1,103,038       1,074,438

DEFERRED LIABILITIES                                     24,819          24,819

SHAREHOLDERS EQUITY
  Preferred Stock                                             0               0
  Preferred Stock Series A                            1,999,920       1,999,920
  Common Stock                                          218,424         388,897
  Additional Paid In Capital                         12,096,407      12,096,407
  Treasury Stock                                       (761,150)       (761,150)
  Dividend Distribution                                (966,341)       (966,341)
  Accumulated Deficit                               (12,093,948)    (12,093,948)
  Current Earnings                                            0        (338,379)
                                                    -----------     -----------
                   Total Stockholders Equity            493,312         325,406

TOTAL LIABILITIES AND SHAREHOLDERS EQUITY             3,673,211       3,158,915






                                                                               5

<PAGE>
<TABLE>
<CAPTION>

                      Restaurant Teams International, Inc.
                        Condensed Statement of Operations

                                                                 March 31, 2001   March 31, 2000
<S>                                                                  <C>              <C>
REVENUES
  Restaurant Sales                                                      428,802        1,434,598
  Regulatory Services                                                         0          629,246
  Rental Income                                                          60,978           78,662
                                                                     ----------       ----------
                              Total Revenues                            489,780        2,142,506

OPERATING COSTS AND EXPENSES
  Cost of sales                                                         169,160          431,660
  Labor and benefits                                                    323,724          581,370
  Other operating expenses                                              235,656          231,680
  General & Administrative Expenses                                      50,804          150,101
  Depreciation & Amortization Expenses                                   22,500          116,979
                                                                     ----------       ----------
                              Total Operating Costs & Expenses          801,844        1,511,786

                              Operating Income (Loss)                  (312,064)         630,720

NON-OPERATING (INCOME) EXPENSE
  Interest Expense                                                        4,809          161,896
  Loss on sale of assets                                                 21,506          (28,140)
  Other income                                                                0                0

                              Total Non-Operating Income (Expense)       26,315          133,729

LOSS BEFORE INCOME TAXES                                               (338,379)         496,991

INCOME TAX BENEFIT                                                            0                0

NET INCOME (LOSS)                                                      (338,379)         496,991

NET LOSS PER COMMON SHARE, basic & diluted                               (0.009)            0.04


</TABLE>




                                                                               6

<PAGE>

Note 1.    Basis of Presentation

           The condensed financial statements of Restaurant Teams International,
           Inc.  (the  "Company")  as of March 31,  2000 and March 31, 2001 have
           been prepared by the Company,  pursuant to the rules and  regulations
           of the Securities and Exchange  Commission.  The Company operates one
           restaurants  under the name  Street  Talk Cafe and owns  three  other
           facilities which it leases to other operators.

           The information furnished herein reflects all adjustments (consisting
           of normal  recurring  accruals  and  adjustments),  which are, in the
           opinion  of  management,  necessary  to fairly  state  the  operating
           results for the respective periods.  However, these operating results
           are not necessarily  indicative of the results  expected for the full
           fiscal year. Certain  information and footnote  disclosures  normally
           included in annual financial  statements  prepared in accordance with
           generally accepted  accounting  principals have been omitted pursuant
           to such rules and regulations.  The notes to the condensed  financial
           statements  should  be read in  conjunction  with  the  notes  to the
           financial statements contained in the Form 10-KSB for the fiscal year
           ended  December  31,  2000.  Company  management  believes  that  the
           disclosures are sufficient for interim financial reporting purposes.



                                                                               7

<PAGE>

Item 2:  MANAGEMENT'S DISCUSSION AND ANALYSIS ON PLAN OF OPERATION

Forward-Looking Statements

         This  Quarterly  Report  on  Form  10-QSB  includes   "forward-looking"
statements  within the meaning of Section 27A of the  Securities Act of 1933, as
amended (the Securities Act), and Section 21E of the Securities  Exchange Act of
1934,  as amended (the  Exchange  Act),  which can be  identified  by the use of
forward-looking  terminology  such as,  "may",  "believe",  "expect",  "intend",
"anticipate",  "estimate"  or  "continue"  or  the  negative  thereof  or  other
variations  thereon  or  comparable  terminology.   All  statements  other  than
statements of historical fact included in this Form 10-QSB, are  forward-looking
statements.  Although the Company  believes that the  expectations  reflected in
such  forward-looking  statements are reasonable,  it can give no assurance that
such  expectations  will  prove to have been  correct.  Important  factors  with
respect to any such  forward-looking  statements,  including  certain  risks and
uncertainties  that could cause  actual  results to differ  materially  from the
Company's  expectations  ("Cautionary  Statements")  are  disclosed in this Form
10-QSB,  including,  without limitation, in conjunction with the forward-looking
statements  included in this Form 10-QSB,  and in the Company's Annual Report on
Form 10-KSB for the year ended December 31, 2000.  Important  factors that could
cause  actual  results to differ  materially  from those in the  forward-looking
statements  herein include,  but are not limited to, the newness of the Company,
the need for additional capital and additional financing,  the Company's limited
restaurant base, lack of geographic  diversification,  the risks associated with
expansion, a lack of marketing experience and activities,  risks of franchising,
seasonability,  the  choice  of site  locations,  development  and  construction
delays, need for additional personnel, increases in operating and food costs and
availability  of  supplies,   significant   industry   competition,   government
regulation,  insurance  claims and the ability of the Company to meet its stated
business  goals.  All  subsequent  written and oral  forward-looking  statements
attributable  to the  Company  or persons  acting on its  behalf  are  expressly
qualified in their entirety by the Cautionary Statements.


         The following  discussion  of the results of  operations  and financial
condition should be the Financial  Statements and related Notes thereto included
herein.


Overview

The Company was  organized in June 1990 as Bosko's,  Inc.  under the laws of the
State of  Delaware.  In November  1992 the  Company  changed its name to Fresh'n
Lite,  Inc.,  and in November 1995 the Company  merged into a Texas  corporation
also  bearing the name  Fresh'n  Lite,  Inc. On  September  15, 1998 the Company
changed its name to  Restaurant  Teams  International,  Inc. to more  accurately
reflect the  direction  management  is taking with  respect to  positioning  the
Company as a  multi-concept  holding  company.  The Company  currently  owns and
operates one Street Talk Cafe restaurant in The Colony, Texas.

Results of Operations

Comparison of Periods Ended March 31, 2000 and March 31, 2001.

         Revenues.  Operating  revenues  for period  ended  March 31,  2000 were
$2,142,506, with an operating profit of $496,991.

         Operating  revenues  for period ended March 31, 2001 were  $489,780,  a
437% decrease from 2000,  with an operating loss of $338,379.  The 437% decrease
in  revenues  from 2001 is  attributed  to the fact that the  Company  sold it's
Tanner's operations and ceased to operate the Regulatory Solutions division.

         Costs and  Expenses.  Costs and expenses for the period ended March 31,
2001  decreased by $709,942 or 47% to $801,844 as compared to $1,511,786 for the
corresponding  period ended March 31,200.  This was primarily due to the sale of
the Tanner's  restaurants and the lack of operating expenses associated with the
Regulatory  Solutions  division.   General  and  Administrative  Costs  in  2001
decreased by 66% to $50,804 as compared to $150,101 in 2000.  This  decrease was
primarily  due  to  the  previous  years   development  of   infrastructure   in
anticipation  of the future growth and  acquisitions.  Interest  expense in 2001
decreased by $157,060 to $4,809 from $161,869 in 2000.

                                                                               8

<PAGE>

         Net Income.  The Company had a net loss for the period  ended March 31,
2001 of $338,379  compared to net profit of $496,991  for the period ended March
31, 2000, representing ($.009) and $.04 per share, respectively.


Liquidity and Capital Resources

         Historically,  the Company has required  capital to fund the operations
and capital expenditure requirements of its Company-owned restaurants.

         The Company is  currently  operating  out of cash flow from  operations
however, management has determined that an immediate infusion of capital will be
required for the Company to maintain it's  operations and to be in a position to
make the acquisitions which have been targeted.

         The  Company's  principal  capital  requirements  are  the  funding  of
acquisitions.

PART II -  OTHER INFORMATION

         Item 2.  CHANGES IN SECURITIES

         None

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

         None

Item 6.    EXHIBITS AND REPORTS ON FORM 8-K

         (a)      Hereafter  set  forth  as an  exhibit  to the Form  10-QSB  of
                  Restaurant Teams International, Inc. is the following exhibit:

                  None

         (b)      Current Reports on Form 8-K:

                  None


                                                                               9

<PAGE>

                                   SIGNATURES

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

                                Restaurant Teams International,Inc.
                                (Registrant)


Date:    May 31, 2001           By:  /s/ Stanley L. Swanson
                                     ----------------------
                                     Stanley L. Swanson, Chief Executive Officer
                                     (Duly Authorized Signatory)


Date:    May 31, 2001           By:  /s/ Curtis A. Swanson
                                     ---------------------
                                     Curtis A. Swanson, Chief Financial Officer
                                       and Executive Vice President
                                     (Duly Authorized Signatory)