UNITED STATES

                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                   FORM 10-QSB

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


                  For the quarterly period ended March 31, 2006

                        Commission file number 0001027484

                             TILDEN ASSOCIATES, INC.
        -----------------------------------------------------------------
        (Exact name of small business issuer as specified in its charter)


                DELAWARE                                        11-3343019
---------------------------------------------              -------------------
(State or other jurisdiction of incorporation               (I.R.S. Employer
             or organization)                              Identification No.)


                300 Hempstead Turnpike, West Hempstead, NY 11552
                ------------------------------------------------
                    (Address of principal executive offices)


                                 (516) 746-7911
                ------------------------------------------------
                (Issuer's telephone number, including area code)


              ----------------------------------------------------
              (Former name, former address and former fiscal year,
                         if changed since last report)

The number of shares outstanding of each of the issuer's classes of common
equity, as of the latest practicable date: March 31, 2006 was 16,225,903 shares
of Common Stock - $.0005 par value.

Transitional Small Business Disclosure Format:   Yes [ ] No [X]

<PAGE>

                        Table of Contents for Form 10-QSB



                                                                            Page
PART I - FINANCIAL INFORMATION

Item 1.     Financial Statements

            Consolidated Balance Sheets at March 31, 2006 (unaudited)
            and December 31, 2005 (audited)                                   3

            Consolidated Statements of Income for the Three Month
            Periods Ended March 31, 2006 and 2005 (unaudited)                 4

            Consolidated Statements of Cash Flows for the Three
            Month Periods Ended March 31, 2006 and 2005 (unaudited)           5

            Notes to Condensed Consolidated Financial Statemtents        6 - 13


Item 2.     Management's Discussion and Analysis or Plan of Operation   14 - 15

Item 3.     Controls and Procedures                                          16

PART II - OTHER INFORMATION

Item 1.     Legal Proceedings                                                16

Item 2.     Changes in Securities and Use of Proceeds                        16

Item 3.     Defaults Upon Senior Securities                                  16

Item 4.     Submission of Matters to a Vote of Security Holders              16

Item 5.     Other Information                                                16

Item 6.     Exhibits                                                         16


SIGNATURE                                                                    17

CERTIFICATION                                                           18 - 19

                                       2
<PAGE>

PART I - FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS

                             TILDEN ASSOCIATES, INC.
                           CONSOLIDATED BALANCE SHEETS

<TABLE>
<CAPTION>
                                                                       March 31, 2006     December 31, 2005
                                                                     -----------------    -----------------
ASSETS                                                                  (Unaudited)           (Audited)
<S>                                                                  <C>                  <C>
Current Assets
     Cash and cash equivalents                                       $         848,307    $         444,637
     Accounts and notes receivables from franchisees, net of
      allowance $435,323 and $449,523 at March 31, 2006 and
      December 31, of 2005, respectively                                       594,128              509,660
     Loan receivable - Stockholders                                             65,182
     Loan receivable - Oilmatic                                                 55,403               65,000
     Prepaid expenses and other current assets                                  30,166               46,515
                                                                     -----------------    -----------------
                Total Current Assets                                         1,593,186            1,065,812

Property, Plant and Equipment
     Property and equipment, net of accumulated depreciation
      of $19,992 and $19,723 at March 31, 2006 and December
      31, 2005, respectively                                                     5,900                6,169
                                                                     -----------------    -----------------

Other Assets
     Intangible assets, net                                                    567,624              568,003
     Security deposits                                                          58,852               52,052
                                                                     -----------------    -----------------
                Total Other Assets                                             626,476              620,055
                                                                     -----------------    -----------------

                Total Assets                                         $       2,225,562    $       1,692,036
                                                                     =================    =================

LIABILITIES AND SHAREHOLDERS' EQUITY

Current Liabilities
     Accounts payable and accrued expenses                           $         134,486    $          95,988
     Deposits on franchise acquisitions                                        409,311              260,500
     Income taxes payable                                                      126,943               40,143
     Notes payable, current portion                                             18,700               21,422
                                                                     -----------------    -----------------
                Total Current Liabilities                                      689,440              418,053

Non-Current Liabilities
     Notes payable, net of current portion                                          --                1,933
     Security deposits                                                         108,859               83,359
                                                                     -----------------    -----------------
                Total Liabilities                                              798,299              503,345
                                                                     -----------------    -----------------

Shareholders' Equity
     Common stock, $.0005 par value; 30,000,000 shares authorized,
        16,225,903 and 11,425,903 shares issued and outstanding at
        March 31, 2006 and December 31, 2005, respectively                       5,746                5,713
     Additional paid - in capital                                            1,704,934            1,639,966
     Retained earnings (accumulated deficit)                                  (263,417)            (436,988)
                                                                     -----------------    -----------------
                                                                             1,447,263            1,208,691
     Less: treasury stock - 40,000 shares, stated at cost                      (20,000)             (20,000)
                                                                     -----------------    -----------------
                Total Shareholders' Equity                                   1,427,263            1,188,691
                                                                     -----------------    -----------------
                Total Liabilities and Shareholders' Equity           $       2,225,562    $       1,692,036
                                                                     =================    =================
</TABLE>

            See notes to condensed consolidated financial statements.

                                       3
<PAGE>

                             TILDEN ASSOCIATES, INC.
                        CONSOLIDATED STATEMENTS OF INCOME
                                   (UNAUDITED)

<TABLE>
<CAPTION>
                                                                   Three Months Ended
                                                                        March 31,
                                                               ---------------------------
                                                                   2006           2005
                                                               ------------   ------------
<S>                                                            <C>            <C>
Revenues
     Initial franchise acquisition fees                        $    175,000   $     25,000
     Royalty fees                                                   151,032        130,721
     Market Area Sales                                              100,000             --
     Sales from operations of company stores                         11,416         22,104
     Sale of equipment purchased for resale                          64,958             --
     Sale of Company owned locations                                 35,000        100,000
     Advertising income                                                  --          1,414
     Rental income from realty rental                               117,913         74,315
     Miscellaneous income                                             7,095          3,544
                                                               ------------   ------------
           Total  Revenue                                           662,414        357,098
                                                               ------------   ------------
Cost of Operations
     Broker's fees                                                   61,996         12,000
     Costs of locations purchased for resale                             --         58,105
     Franchise development fees                                      10,326         13,298
     Costs of operation of company owned stores                       6,613         16,388
     Costs of equipment for resale                                   43,175             --
     Rent paid for real estate sublet                               123,281         65,273
                                                               ------------   ------------
           Total  Operating  Costs                                  245,391        165,064
                                                               ------------   ------------

Gross Profit                                                        417,023        192,034
Selling, general and administrative expenses                        164,981        173,893
                                                               ------------   ------------

           Income (loss) from operations before other income
              and expenses and provision for income taxes           252,042         18,141

Other  Income  (Expense)
     Interest income                                                  8,328          4,736
     Interest expense                                                    --           (565)
                                                               ------------   ------------
           Total other income (expenses)                              8,328          4,171
                                                               ------------   ------------

Income (loss) before provision for income  taxes                    260,370         22,312
Provision for income taxes
     Current                                                         86,800          2,750
     Deferred                                                            --             --
                                                               ------------   ------------
           Net Income                                          $    173,570   $     19,562
                                                               ============   ============
Per Share Data
     Basic earnings per share                                  $       0.01   $       0.00
                                                               ============   ============
     Diluted earnings per share                                $       0.01   $       0.00
                                                               ============   ============
Weighted Average Shares Outstanding
     Basic                                                       15,873,166     11,425,903
                                                               ============   ============
     Diluted                                                     16,978,484     11,425,903
                                                               ============   ============
</TABLE>

            See notes to condensed consolidated financial statements.

                                       4
<PAGE>

                             TILDEN ASSOCIATES, INC.
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (UNAUDITED)

<TABLE>
<CAPTION>
                                                                      Three Months Ended
                                                                          March 31,
                                                                 ----------------------------
                                                                     2006            2005
                                                                 ------------    ------------
<S>                                                              <C>             <C>
Operating Activities
  Net income                                                     $    173,570    $     19,562
  Adjustmens to reconcile net income to net cash used
        for operating activities:
    Depreciation and amortization                                         648             976
    Provision for bad debt                                             26,803          52,953
    Gain on sale of company owned location                                 --         (58,270)
  Changes in operating assets and liabilities
    Accounts and notes receivable                                    (111,271)        (24,935)
    Loan receivable - Stockholders                                    (65,182)
    Loan receivable - Oilmatic                                          9,597              --
    Prepaid expenses                                                   16,349              --
    Security deposits receivable                                       (6,800)             --
    Accounts payable and accrued expenses                              38,500          17,437
    Deposits on franchise acquisitions                                148,811          30,000
    Income taxes payable                                               86,800           1,753
    Security deposits payable                                          25,500           7,859
                                                                 ------------    ------------
Net cash provided by operating activities                             343,325          47,335
                                                                 ------------    ------------


Financing Activities
   Stock issued upon exercise of stock options                         65,000              --
   Repayment of notes payable                                          (4,655)        (15,299)
                                                                 ------------    ------------
Net cash (used for) financing activities                               60,345         (15,299)
                                                                 ------------    ------------

Net increase (decrease) in cash                                       403,670          32,036
Cash and cash equivalents at beginning of the period                  444,637         258,826
                                                                 ------------    ------------

Cash and cash equivalents at end of the period                   $    848,307    $    290,862
                                                                 ============    ============


Supplemental Cash Flow Information:
    Interest paid                                                $         --    $        565
                                                                 ============    ============
    Income taxes paid                                            $         --    $      2,247
                                                                 ============    ============
</TABLE>

            See notes to condensed consolidated financial statements.

                                       5
<PAGE>

              NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 1 - General, Business and  of Significant Accounting Policies

General

         The accompanying unaudited financial statements have been prepared in
accordance with accounting principles generally accepted in the United States of
America for interim financial statements and the instructions to Form 10-QSB
related to interim period financial statements. Accordingly, these financial
statements do not include certain information and footnotes required by
accounting principles generally accepted in the United States of America for
complete financial statements. However, the accompanying unaudited financial
statements contain all adjustments (consisting only of normal recurring
accruals) which, in the opinion of management, are necessary in order to make
the financial statements not misleading. The results of operations for interim
periods are not necessarily indicative of the results to be expected for the
full year. For further information, refer to our financial statements and the
footnotes thereto contained in our Annual Report on Form 10-KSB for the year
ended December 31, 2005. The March 31, 2006 balance sheet contained herein was
derived from the audited financial statements for the year ended December 31,
2005 included in our Annual Report on Form 10-KSB for the year ended December
31, 2005.

Business Activity

         The company was incorporated in the state of Delaware in June 1995 and
is in the business of selling automotive franchises and administering and
supporting full service automotive repair centers under the name "TILDEN FOR
BRAKES CAR CARE CENTERS". The majority of franchises are currently located in
New York, Florida and Colorado with twelve states being represented and
expansion plans for several additional states.

Significant Accounting Policies

Principles of Consolidation

         The consolidated financial statements include all wholly owned
subsidiaries. All inter-company profits and transactions have been eliminated in
consolidation.

Use of Estimates

         The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates and
assumptions that affect the amounts reported in the financial statements and
accompanying notes. Actual results could differ from the estimates.

Revenue Recognition

         The Company recognizes revenue in several ways: Initial fees from sale
of franchises, market area sales to market developer partners, royalties (as a
percentage of gross revenues) from franchisees, equipment sales, rental of
premises to franchisees and the operation of Company owned automotive repair
centers which are developed for potential sale to franchisees.

         Franchise fee revenue for initial franchise fees and from market area
sales to market developer partners is recognized upon the execution of a
franchise agreement and when all material services or conditions relating to the
sale have been successfully completed by the Company. Market developer partners
receive a percentage of royalty fees for development and management of their
market and are responsible for substantially all training and other services
required in opening new franchises in their regions.

         Equipment sales are recorded upon delivery and installation of
equipment to franchisees.

Cash and Cash Equivalents

Cash and cash equivalents include cash in banks and short-term investments with
original maturities of less than three months.

Advertising Costs

         The Company's franchise agreement requires that franchisees remit
advertising fees to a cooperative advertising fund managed by the Company.
Corporate advertising is expensed as incurred.

                                       6
<PAGE>

Income Taxes

         The Company provides for income taxes under the provisions of Statement
of Financial Accounting Standards No. 109 "Accounting for Income Taxes" ("SFAS
No. 109"). SFAS No. 109 requires that an asset and liability based approach be
used in accounting for income taxes.

         Deferred income tax assets and liabilities are recorded to reflect the
tax consequences on future years of the temporary differences of revenue and
expense items for financial statement and income tax purpose. Valuation
allowances are provided against assets, which are not likely to be realized. In
December 2004, the Financial Accounting Standards Board ("FASB") issued
Statement of Financial Accounting Standards ("SFAS") No. 123 (Revised 2004),
"Share-Based Payment" ("SFAS 123(R)"). SFAS 123(R) requires compensation costs
related to share-based payment transactions to be recognized in our financial
statements. With limited exceptions, the amount of compensation cost is measured
based on the grant-date fair value of the equity or liability instruments
issued. In addition, liability awards are re-measured each reporting period.
Compensation cost is recognized over the period that an employee provides
service in exchange for the award. SFAS 123(R) replaces FASB 123, "Accounting
for Stock-Based Compensation," and supersedes APB Opinion No. 25, "Accounting
for Stock Issued to Employees." This guidance is effective as of the first
interim or annual reporting period beginning after December 15, 2005 for Small
Business filers which, in our case, was the quarter ended March 31, 2006.


Leases

         Leases that transfer substantially all of the risks and benefits of
ownership are treated as capital leases. Capital leases are included in property
and equipment and are depreciated over their estimated useful lives using the
straight-line method.

Carrying Values of Long-Lived Assets

         The Company evaluates the carrying values of its long-lived assets to
be held and used in the business by reviewing undiscounted cash flows by
operating unit. Such evaluations are performed whenever events and circumstances
indicate that the carrying amount of an asset may not be recoverable. If the sum
of the projected undiscounted cash flows over the remaining lives of the related
assets does not exceed the carrying values of the assets, the carrying values
are adjusted for the differences between the fair values and the carrying
values.

Intangible Assets

         The capitalized cost of intangible assets are amortized over their
expected period of benefit on a straight-line basis, generally 10 to 20 years
for franchise rights and 20 years for trademarks. Beginning in the first quarter
of 2002, in accordance with SFAS No. 142 the Company does not amortize goodwill
(see "Goodwill" below).

         Presently, the Company owns the trademarks "Tilden for Brakes Car Care
Centers", "Brakeworld", The Brake Shop" and "American Brake Service".

Goodwill

         Goodwill represents the amount paid in consideration for an acquisition
in excess of the net tangible assets acquired. Goodwill is tested for impairment
annually or under certain circumstances, and written off when determined to be
impaired. In accordance with SFAS No. 142, the Company does not amortize
goodwill for new acquisitions. The Company conducts tests for impairment and
goodwill that is determined to have become impaired is written off.

Accounts and Notes Receivable

         Accounts and notes receivable are primarily recorded for royalty
income, rental income, and franchise and market area sales. In instances where
the Company provides financing to franchisees and provides payment arrangements
which allow for payments to be received over a period greater than one year,
non-current receivables are recorded at the present value of estimated future
cash flows.

         In most instances, financing of franchisees is secured by notes
receivable and collateralized by shop equipment and franchise rights (see Note
2).

                                       7
<PAGE>

Property and Equipment

         Property and equipment are stated at cost less accumulated
depreciation. Depreciation is provided on the straight-line method over the
estimated useful lives of the assets, generally 39 years for buildings and
building improvements, and 3 to 7 years for furniture and equipment. When
property is sold or retired, the cost and accumulated depreciation are
eliminated from the accounts and gains or losses are recorded in the statement
of operations. Expenditures for repairs and maintenance are expensed as
incurred.

Earnings Per Share

         Earnings per share ("EPS") has been calculated in accordance with SFAS
No. 128, which requires the presentation of both basic net income per share and
net income per common share assuming dilution. Basic earnings per share is
computed by dividing income available to common stockholders by the weighted
average number of shares outstanding for the year. Diluted earnings per share
reflects the potential dilution that could occur upon the exercise of common
stock options resulting in the issuance of common stock to stockholders who
would then share in the earnings of the Company. SFAS No. 128 precludes the
inclusion of any potential common shares in the computation of any diluted
per-share amounts when a loss from continuing operations exists.

Reclassifications

         Certain amounts in the 2005 financial statements were reclassified to
conform to the 2006 presentation.


Business Segment Information

         The Company operates in a single business segment: selling automotive
franchises and administering and supporting full service automotive repair
centers primarily under the name "TILDEN FOR BRAKES CAR CARE CENTERS",
principally through franchised and company-operated shops located in North
America. Sales to any single customer were less than five percent of total
revenues in each of the periods presented.

Recent Accounting Pronouncements

         In January 2003, the FASB issued FASB Interpretation No. 46 ("FIN 46"),
"Consolidation of Variable Interest Entities, an interpretation of ARB No. 51,"
as revised in December 2003. A Variable Interest Entity ("VIE") is an entity
with insufficient equity investment or in which the equity investors lack some
of the characteristics of a controlling financial interest. Pursuant to FIN 46,
an enterprise that absorbs a majority of the expected losses of the VIE must
consolidate the VIE. The provisions of this statement are not applicable to the
Company and therefore have not been adopted.

         In November 2004, the FASB issued Statement of Financial Accounting
Standards ("SFAS") No. 151 "Inventory Costs." This statement amends Accounting
Research Bulletin No. 43, Chapter 4, "Inventory Pricing" and removes the "so
abnormal" criterion that under certain circumstances could have led to the
capitalization of these items. SFAS No. 151 requires that idle facility expense,
excess spoilage, double freight and re-handling costs be recognized as
current-period charges regardless of whether they meet the criterion of "so
abnormal." SFAS 151 also requires that allocation of fixed production overhead
expenses to the costs of conversion be based on the normal capacity of the
production facilities. The provisions of this statement are effective for all
fiscal years beginning after June 15, 2005.

         In December 2004, the Financial Accounting Standards Board ("FASB")
issued Statement of Financial Accounting Standards ("SFAS") No. 123 (Revised
2004), "Share-Based Payment" ("SFAS 123(R)"). SFAS 123(R) requires compensation
costs related to share-based payment transactions to be recognized in our
financial statements. With limited exceptions, the amount of compensation cost
is measured based on the grant-date fair value of the equity or liability
instruments issued. In addition, liability awards are re-measured each reporting
period. Compensation cost is recognized over the period that an employee
provides service in exchange for the award. SFAS 123(R) replaces FASB 123,
"Accounting for Stock-Based Compensation," and supersedes APB Opinion No. 25,
"Accounting for Stock Issued to Employees." This guidance is effective as of the
first interim or annual reporting period beginning after December 15, 2005

         On December 16, 2004, the FASB issued SFAS No. 153, "Exchange of
Non-monetary Assets", an amendment of Accounting Principles Board ("APB")
Opinion No. 29, which differed from the International Accounting Standards
Board's ("IASB") method of accounting for exchanges of similar productive
assets. Statement No. 153 replaces the exception from fair value measurement in
APB No. 29, with a general exception from fair value measurement for exchanges
of non-monetary assets that do not have commercial substance. A non-monetary
exchange has commercial substance if the future cash flows of the entity are
expected to change significantly as a result of the exchange. The statement is
to be applied prospectively and is effective for non-monetary asset exchanges
occurring in fiscal periods beginning after June 15, 2005.

                                       8
<PAGE>

NOTE 2 - Accounts and Notes Receivable

         Accounts and notes receivable consisted of the following:

<TABLE>
<CAPTION>
                                                             March 31,     December 31,
                                                               2006            2005
                                                           ------------    ------------
<S>                                                        <C>             <C>
               Trade receivables from franchisees          $    830,053    $    762,996
               Installment loans due between August 31,
               2005 and May 31, 2009 with varying
               interest rates between 6.0% and 8.0%             199,398         196,187
                                                           ------------    ------------
                                                              1,029,451         959,183
               Less allowance for doubtful accounts            (435,323)       (449,523)
                                                           ------------    ------------
                                                                594,128         509,660
               Less current portion                            (594,128)       (509,660)
                                                           ------------    ------------
               Non-current accounts and notes receivable   $         --    $         --
                                                           ============    ============
</TABLE>

NOTE 3 - Property and Equipment

         Property and equipment consisted of the following:

                                                   March 31,     December 31,
                                                     2006            2005
                                                 ------------    ------------
               Machinery and shop equipment      $      5,642    $      5,642
               Signage                                  4,617           4,617
               Furniture                               10,913          10,913
               Leasehold Improvements                   4,720           4,720
                                                 ------------    ------------
                                                       25,892          25,892
               Less accumulated depreciation          (19,992)        (19,723)
                                                 ------------    ------------
               Property and equipment, net
                   of accumulated depreciation   $      5,900    $      6,169
                                                 ============    ============

NOTE 4 - Intangible Assets

         Intangible assets consisted of the following:

                                                   March 31,     December 31,
                                                     2006            2005
                                                 ------------    ------------
               Trademarks                        $     28,183    $     28,183
               Franchise & market area rights         746,657         746,657
               Organizational costs                    11,325          11,325
                                                 ------------    ------------
                                                      786,165         786,165
               Less accumulated amortization         (218,541)       (218,162)
                                                 ------------    ------------
               Intangible assets, net
                   of accumulated amortization   $    567,624    $    568,003
                                                 ============    ============

                                       9
<PAGE>

NOTE 5 - Notes Payable

         Notes payable consisted of the following and were paid off in the
second quarter of 2006 at a discount:

<TABLE>
<CAPTION>
                                                         March 31,     December 31,
                                                           2006            2005
                                                       ------------    ------------
<S>                                                          <C>             <C>
               Note payable bearing interest at 25%
               maturing in December of 2006                  18,700          23,355
                                                       ------------    ------------
                                                             18,700          23,355
               Less current portion                         (18,700)        (21,422)
                                                       ------------    ------------
               Notes payable, net of current portion   $         --    $      1,933
                                                       ============    ============
</TABLE>

NOTE 6 - Income Taxes

         Tilden Associates Inc. and Subsidiaries have elected to file a
consolidated income tax return for Federal and New York State taxes. Tax expense
is allocated to each subsidiary based on the proportion of its taxable income to
the total consolidated taxable income.

         Consolidated income tax expense consisted of the following:

                                                 March 31,
                                          -----------------------
                                             2006         2005
                                          ----------   ----------
               Current
                   Federal                $   69,000   $    1,800
                   State                      17,800          950
                                          ----------   ----------
               Total current provision        86,800        2,750

               Deferred
                   Federal                        --           --
                   State                          --           --
                                          ----------   ----------
               Total deferred provision           --           --
                                          ----------   ----------
               Total income tax expense   $   86,800   $    2,750
                                          ==========   ==========


         Deferred income taxes arise from temporary differences resulting from
income and expense items reported in different periods for financial accounting
and tax purposes. The sources of deferred income taxes and their tax effects are
the result of disallowed bad debt reserve and net operating loss carryforwards.
The benefit resulting from deferred taxes has been fully reserved.

         The actual income tax expense attributable to net income differed from
amounts computed by applying the U.S. Federal tax rate of 35% to pretax income
as a result of the benefit of net operating loss carryforwards, offset by a
reduction in the related valuation allowance and the effect of state and local
taxes.

         Net operating loss carryovers at December 31, 2005 were approximately
$52,646 and will expire in 2025. The Company anticipates utilizing these
carryovers in 2005.

                                       10
<PAGE>

NOTE 7 - Commitments and Contingencies

Leases

         The Company, through various subsidiaries, sub-lets properties to
several franchisees. Additionally, several franchisees sub-let property from
affiliates of the Company's President (See Note 9). Franchisees typically pay
rent on these properties to the subsidiaries. In some circumstances, franchisees
may pay rent directly to the lessors of the operating leases. Future minimum
lease payments under these operating leases for the years ended December 31, are
as follows:

                  2006                                      450,348
                  2007                                      470,408
                  2008                                      469,340
                  2009                                      307,325
                  2010 and thereafter                       578,156
                                                        -----------
                                                        $ 2,275,577
                                                        ===========

         The company leases an office in New York under an agreement that
commenced in October 2003 and expires in September 2008. Total gross rent
expense for the three months ended March 31, 2006 was approximately $8,099.

         The future minimum annual rental payments are as follows:

                  2006                                       14,175
                  2007                                       19,725
                  2008                                       15,300
                                                        -----------
                                                        $    49,200
                                                        ===========

Employment Agreements

         The President of the Company, Mr. Robert Baskind, has an employment
contract that renews annually on the first day of each year and which entitled
him to a salary of $140,000 during 2005. In accordance with the terms of the
employment contract, he is entitled to five percent increases on a yearly basis.
The employment agreement, as amended, expires in 2010. Additionally, Mr.
Baskind's agreement provides for other customary provisions.

Consulting Agreement

         During 2003, the Company entered into two consulting agreements to
provide public relations and other promotional services. In consideration for
these services the Company issued 1,250,000 shares of its common stock valued at
$52,500. The fair value of these services was charged to consulting expense. The
Company believes that the terms of one of these agreements has not been
fulfilled and has requested the return of 600,000 shares of common stock. If
successful, the Company will reverse $25,200 of consulting expense and intends
to hold the shares returned as treasury shares.

Comment letter from the Securities and Exchange Commission

        The Company has a received a comment letter from the Securities and
Exchange Commission pertaining to certain prior filings made by the Company. The
Company is in the process of responding to these comments. The Company does not
know at this time if their responses will be acceptable or whether the Company
will be required to restate certain prior financial statements and filings with
the Securities and Exchange Commission.

NOTE 8 - Concentration of Credit Risk

         Financial instruments that potentially subject the Company to credit
risk include cash and accounts and notes receivable. At March 31, 2006 and at
December 31, 2005, one account exceeded federally insured limits by
approximately $336,600 and $182,000, respectively. Also, at March 31, 2006 and
December 31, 2005, the Company had accounts and notes receivable from
franchisees of approximately $594,100 and $509,700, respectively, net of an
allowance for doubtful accounts of approximately $435,300 and $449,500,
respectively. Notes receivable, derived principally from sales of franchises and
market areas, are collateralized by the franchise agreements to which they
relate. Presently, a majority of the Company's franchises are within the states
of New York, Florida and Colorado.

                                       11
<PAGE>

NOTE 9 - Related Party Transactions

Franchise Facilities

         During the second quarter of 2004, several locations for franchise
facilities were identified by the Company and available to be purchased. Due to
its limited resources and its inability to borrow sufficient funds the Company
was unable to purchase these facilities. Certain officers and directors of the
Company, collectively acquired these facilities and leased them to the Company
when franchisees became available. Management believes that the lease payments
made by the Company to these officers and directors are at fair market value and
are approximately equal to the rent charged to the franchisees occupying each
facility.

         During the first quarter of 2005, the Company assisted a franchisee to
obtain a loan secured by the franchisee's equipment. At the time of the
financing, the franchisee was in arrears to the Company for royalty payments of
$6,000, rent of $19,700 and $4,000 for monthly payments on a note receivable
issued in connection with the purchase of the franchise and the related
equipment. The Company sub-lets this location from a realty company controlled
by the Company's President. Upon completion of the financing, approximately
$48,000 was available to the franchisee. Out of the proceeds, the Company was
made current on the note receivable and royalty receivable, the rent arrearages
were paid directly to the landlord and the balance of approximately $18,300 was
distributed to the franchisee. Upon issuance of these payments the Company is
owed approximately $40,000 on the remaining balance of the note receivable.

NOTE 10 - Stock Options

Tilden Associates, Inc. Stock Option Plans

         From May 1998 to December 2003, the Company adopted several Tilden
Associates, Inc. Stock Option Plans ("the Plans") on an annual basis. Under the
terms of the Plans on, the Company has reserved 1,500,000 shares subject to
options or 3,000,000 shares subject to options. The Company may issue incentive
options for a term of no greater than ten years and non-incentive stock options
for a term of no greater than eleven years. The incentive stock options may be
issued with an exercise price of no less than 100% of the fair market value of
the stock at the time of the grant. However, in the case of employees holding
greater than 10% of the Company's common stock, the option price shall not be
less than 110% of the fair market value of the stock at the time of the grant
and the term of the option may not exceed five years. The non-incentive stock
options may be issued with an exercise price of no less than 50% of the fair
market value of the stock at the time of the grant. Additionally, options may be
granted to any eligible person for shares of common stock of any value provided
that the aggregate fair market value of the stock with respect to which
incentive stock options are exercisable for the first time during any calendar
year, shall not exceed $100,000. Additionally, the option price shall be paid in
full at the time of exercise in cash or, with the approval of the Board of
Directors, in shares of common stock. Further, if prior to the expiration of the
option the employee ceases to be employed by the Company, the options granted
will terminate 90 days after termination of the employee's employment with the
Company.

         During 1998, the Company granted non-incentive stock options to
purchase 368,300 shares of the Company's common stock at exercise prices ranging
from $.25 and $3.00. During 1999, 32,500 options were exercised at $.50 per
share and 141,500 options expired. During 2000, the Company granted options to
purchase 415,000 shares at $.25 per share and 54,600 options expired. As of
March 31, 2006, 17,000 options were unexercised and remain outstanding.

         During 2001, the Company granted non-incentive stock options to
purchase 1,010,000 shares of the Company's common stock at an exercise price of
$0.02. During 2003 two board members who held non-incentive stock options,
resigned. In accordance with the plan the unexercised options, granted to these
board members terminated. As of March 31, 2006, 600,000 options were exercised
at $0.02 per share and 250,000 were unexercised and remain outstanding.

         During 2002, the Company granted non-incentive stock options to
purchase 1,345,000 shares of the Company's common stock at an exercise price of
$0.01. During 2003 two board members who held non-incentive stock options,
resigned. In accordance with the plan, the unexercised options granted to these
board members terminated. As of March 31, 2006, 1,125,000 options were exercised
at $0.01 per share and 175,000 options were unexercised and remain outstanding.

         During 2003, the Company granted non-incentive stock options to
purchase 1,300,000 shares of the Company's common stock under the 2003 Plan at
an exercise price of $0.01. As of March 31, 2006, 1,125,000 options were
exercised at $0.01 per share and 175,000 options were unexercised and remain
outstanding.

         During 2004, the Company granted non-incentive stock options to
purchase 1,300,000 shares of the Company's common stock under the 2004 Plan at
an exercise price of $0.01. As of March 31, 2006, 850,000 options were exercised
at $0.01 per share and 450,000 options were unexercised and remain outstanding.

         During 2005, the Company granted non-incentive stock options to
purchase 1,300,000 shares of the Company's common stock under the 2005 Plan at
an exercise price of $0.02. As of March 31, 2006, 1,100,000 options were
exercised at $0.02 per share and 200,000 options were unexercised and remain
outstanding.

                                       12
<PAGE>

         Through December 31, 2005, the Company applied APB Opinion 25 in
accounting for its stock option plans. Accordingly, compensation costs are
recognized as the difference between the exercise price for each option and the
market price of the Company's stock at the date of grant. No compensation costs
were charged to income for the three months ended March 31, 2005.

On January 1, 2006, the Company adopted the fair value recognition provisions of
Statement of Financial Accounting Standards (SFAS) No. 123(R), "Share-Based
Payment," using the modified prospective method. During the three months ended
March 31, 2006, the Company's results of operations reflected no compensation.

The fair value of each option granted is estimated on the date of grant using
the Black-Scholes option-pricing method. The Company uses historical data to
estimate the expected price volatility, the expected option life and the
expected forfeiture rate. The risk-free is based on the U.S. Treasury yield
curve in effect at the time of grant for the estimated life of the option. The
Company has not made any dividend payments nor does it have plans to pay
dividends in the foreseeable future.

         The following table summarizes information concerning outstanding and
exercisable options at March 31, 2006 (contractual life in years):

                        Options Outstanding             Options exercisable
                  -------------------------------      ---------------------
                              Weighted    Weighted                  Weighted
                                avg.        avg.                      avg.
 Range of                     remaining   exercise                  exercise
  prices           Number       life       price        Number        price
-----------       ---------     ----       ------      ---------      ------
$0.01-$0.05       1,250,000       5         $0.01      1,250,000       $0.01
$0.50                17,000      10          0.50         17,000        0.50
----------------------------------------------------------------------------
$0.01-$0.50       1,267,000     7.5         $0.02      1,267,000       $0.02
----------------------------------------------------------------------------


NOTE 11 - Oilmatic Franchising Corp.

On May 5, 2004, Oilmatic Franchising Corp., a wholly owned subsidiary of the
Company (Oilmatic), was formed for the purpose of selling franchises for the
system developed by Oilmatic International, LLC. (International) Through
December 31 2004, the Company advanced $79,258 to Oilmatic in connection with
its formation and the acquisition of the exclusive franchise rights for certain
locations from International. Oilmatic entered into a stipulation and agreement
in November, 2005 to settle their suit for $65,000 payable in eighteen equal
monthly installments including principal and interest of $3,611 commencing
January, 2006. As of March 31, 2006 the outstanding balance was $55,403.

Note 12 - Loan Receivable - Stockholders

During the first quarter of 2006, the president of the Company, a director and
an employee of the Company, in aggregate, exercised 3,100,000 and 1,700,000
common stock options at $.01 and $.02 per share respectively, for an aggregate
amount due the Company of $65,000. The Company received notes for $65,000 which
bear interest at 9% per annum and are due and payable in full from the proceeds
of the sale of the stock or December 31, 2006, whichever is earlier.


NOTE 13 - Franchises and Market Area Activities

Franchises

         During the three months ended March 31, 2006 and 2005, the Company sold
seven new franchises and one new franchise during each period, respectively.
Throughout each year several franchises are returned to the Company's control
either through foreclosures or abandonment. As of March 31, 2006, the Company
held 57active franchised locations.

Market Areas

         During the three months ended March 31, 2006, no rights to develop new
market areas were sold.

                                       13
<PAGE>

NOTE 14 - Supplemental Cash Flow information

         Non-cash transactions recorded during the three months ended March 31,
2006, consisted of: (1) the recording of a provision for bad debts of $26,803,
(2) the recording of a depreciation and amortization of $648 and (3) the
recording of the exercise of options of $65,000. NOTE 15 - Company Owned Store

         During the year ending December 31, 2004, a franchisee of the Company
abandoned a store located in Trenton, New Jersey. The Company believes the
location and the lease have sufficient value to warrant utilizing some of its
resources to continue operating the store and retain the location while trying
to locate a new franchisee for that facility or a new assignee for the lease.
Since the Company is not regularly in the business of operating these facilities
and has limited resources, it has attempted to maintain this location while
incurring as little expense and effort as possible. Accordingly, it has not
installed the normal controls and reporting systems that it might otherwise
place into effect at this facility. The financial activity of this store is not
considered by management to be significant.

Item 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

     The following discussion and analysis of financial condition and results of
operations should be read in conjunction with the Company's consolidated
financial statements and notes thereto included elsewhere herein. The statements
disclosed herein include forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended and Section 21E of the
Securities Exchange Act of 1934, as amended. The Company's actual results could
differ materially from those projected in the forward-looking statements as a
result of certain risks and uncertainties, including, but not limited to,
competition in the finance industry for franchising companies and retail
automobile and truck repair service, and other risks detailed from time to time
in the Company's filings with the Securities and Exchange Commission.

OVERVIEW
--------

         Tilden Associates, Inc. (the "Company") is a Delaware Corporation. Its
principal business is to sell automotive franchises and to administer and
support full service automotive repair centers carrying its trademarks. The
Company's operations are based at 300 Hempstead Turnpike, West Hempstead, New
York, 11552.


RESULTS OF OPERATIONS
---------------------

Three Months Ended March 31, 2006 vs Three Months Ended March 31, 2005
----------------------------------------------------------------------

       Revenue increased to approximately $662,000 in the first quarter of 2006
from approximately $357,000 in the first quarter of 2005, representing a 85%
increase. The increase in overall revenue was primarily attributed to increases
in initial franchise acquisition fees, market area sales and the sale of
equipment purchased for resale of approximately $150,000, $100,000 and $65,000,
respectively. These increases were offset by a decrease in the sales of company
owned locations of approximately $65,000.

     Operating costs increased to approximately $245,000 in the first quarter of
2006 from approximately $165,000 in the first quarter of 2005, representing a
49% increase. As a percentage of revenue, operating costs were 37% and 46%,
respectively for the periods reported. The overall increase was primarily
attributable to increases in broker fees, cost of equipment for resale and rent
paid for real estate sublet of approximately $50,000, $43,000 and $58,000,
respectively. These increases have been offset by a decrease in cost of
locations purchased for resale of approximately $58,000.

      Selling, general and administrative expenses decreased to approximately
$165,000 in the first quarter of 2006 from approximately $174,000 in the first
quarter of 2005, representing a 5% decrease. The changes in the composition of
selling, general and administrative expenses during the first quarter were
predominately attributed to a decrease in professional fees and bad debt expense
of approximately $29,000 and $26,000, respectively. The decreases were offset by
increases in salaries and wages and travel and entertainment of approximately
$25,000 and $10,000, respectively.

                                       14
<PAGE>

LIQUIDITY AND CAPITAL RESOURCES
-------------------------------

     Working capital at March 31, 2006 was approximately $904,000, compared to
working capital of approximately $648,000 at December 31, 2005. The ratio of
current assets to current liabilities was 2.3:1 at March 31, 2006 and 2.6:1 at
December 31, 2005. Cash flow provided by operations through the first quarter of
2006 was approximately $343,000 compared to the cash flow provided by operations
through the first quarter of 2005 of approximately $47,000.

     Accounts receivable - trade, net of allowances, increased to approximately
$594,000 at March 31, 2006 from approximately $510,000 at December 31, 2005.

     Accounts payable increased to approximately $134,000 at March 31, 2006 from
approximately $96,000 at December 31, 2005.

     Although the Company plans to continue to expand to the extent that
resources are available, the Company has no firm commitments for capital
expenditures in other areas of its business.

    The Company has no lines of credit but is currently attempting to establish
a line of credit.



Critical Accounting Policies:
-----------------------------

  Our significant accounting policies are described in Note 1 to the financial
statements in Item 1 of the Quarterly Report. Our financial statements are
prepared in accordance with accounting principles generally accepted in the
United States of America. The following policies, we believe, are our most
critical accounting policies and are explained below.

Use of Estimates

         The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates and
assumptions that affect the amounts reported in the financial statements and
accompanying notes. Actual results could differ from the estimates.

Revenue Recognition

         The Company recognizes revenue in several ways: Initial fees from sale
of franchises, market area sales to market developer partners, royalties (as a
percentage of gross revenues) from franchisees, equipment sales, rental of
premises to franchisees and the operation of Company owned automotive repair
centers which are developed for potential sale to franchisees.

         Franchise fee revenue for initial franchise fees and from market area
sales to market developer partners is recognized upon the execution of a
franchise agreement and when all material services or conditions relating to the
sale have been successfully completed by the Company. Market developer partners
receive a percentage of royalty fees for development and management of their
market and are responsible for substantially all training and other services
required in opening new franchises in their regions.

         Equipment sales are recorded upon delivery and installation of
equipment to franchisees.

                                       15
<PAGE>

ITEM 3.   CONTROLS AND PROCEDURES

a) Evaluations of disclosure controls and procedures.

       Based on an evaluation of the effectiveness of the Company's disclosure
       controls and procedures as of a date within 90 days of the filing date of
       this quarterly report, the Chairman, Chief Executive Officer and Chief
       Financial Officer, who is the same person, concluded that the Company's
       disclosure controls and procedures are effective in timely alerting them
       to material information relating to the Company required to be included
       in the Company's periodic SEC filings.

b) Changes in internal control.

       Disclosure controls and procedures are our controls and other procedures
       that are designed to ensure that information required to be disclosed by
       us in the reports that we file or submit under the Exchange Act is
       recorded, processed, summarized and reported, within the time periods
       specified in the SEC's rules and forms. Disclosure controls and
       procedures include, without limitation, controls and procedures designed
       to ensure that information required to be disclosed by us in the reports
       that we file under the Exchange Act is accumulated and communicated to
       our management, including principal executive officer and principal
       financial officer, as appropriate, to allow timely decisions regarding
       required disclosure.

       There have been no significant changes in the Company's internal controls
       or in other factors that could significantly affect these controls
       subsequent to the date of the evaluation.



PART II - OTHER INFORMATION

Item 1.   Legal Proceedings
          None.

Item 2.   Changes in 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

         (a)      Exhibits

                  31.1  Certification of the Chief Executive Officer and Acting
                        Chief Financial Officer pursuant to 18 U.S.C. Section
                        1350, as adopted pursuant to Section 906 of the
                        Sarbanes-Oxley Act of 2002.

                  32.1  Certification by Chief Executive Officer and Acting
                        Chief Financial Officer pursuant to 18 U.S.C. Section
                        1350, as adopted pursuant to Section 906 of the
                        Sarbanes-Oxley Act of 2002.

         (b)      Reports on Form 8-K None.

                                       16
<PAGE>

                                    SIGNATURE

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

                                             TILDEN ASSOCIATES, INC.



Date: June 20, 2006

                                             /s/ ROBERT BASKIND
                                             ---------------------------------
                                             Robert Baskind
                                             Chairman of the Board, President,
                                             and Chief Executive

                                       17