# EDGAR Filing Document

**Accession Number:** 0001784440
**File Stem:** 0001185185-23-000031
**Filing Date:** 2023-1
**Character Count:** 69043
**Document Hash:** 60979654a29a73d0384f33545de6eef9
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001185185-23-000031.hdr.sgml**: 20230113

**ACCESSION NUMBER**: 0001185185-23-000031

**CONFORMED SUBMISSION TYPE**: 10-Q

**PUBLIC DOCUMENT COUNT**: 33

**CONFORMED PERIOD OF REPORT**: 20221130

**FILED AS OF DATE**: 20230113

**DATE AS OF CHANGE**: 20230113

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Nowtransit Inc
- **CENTRAL INDEX KEY:** 0001784440
- **STANDARD INDUSTRIAL CLASSIFICATION:** SERVICES-COMPUTER PROCESSING & DATA PREPARATION [7374]
- **IRS NUMBER:** 000000000
- **STATE OF INCORPORATION:** NV
- **FISCAL YEAR END:** 0831

**FILING VALUES:**
- **FORM TYPE:** 10-Q
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 333-234487
- **FILM NUMBER:** 23528687

**BUSINESS ADDRESS:**
- **STREET 1:** 2825 EAST COTTONWOOD PARKWAY
- **STREET 2:** SUITE 500 - #5130
- **CITY:** SALT LAKE CITY
- **STATE:** UT
- **ZIP:** 84121
- **BUSINESS PHONE:** 801-382-7806

**MAIL ADDRESS:**
- **STREET 1:** 2825 EAST COTTONWOOD PARKWAY
- **STREET 2:** SUITE 500 - #5130
- **CITY:** SALT LAKE CITY
- **STATE:** UT
- **ZIP:** 84121

?xml version="1.0" encoding="ASCII"? nowtransit20221228_10q.htm

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**UNITED STATES** 

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

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**FORM 10-Q**

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Mark One

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

For the quarterly period ended **November 30, 2022**

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

For the transition period from ______ to _______

Commission File No. 333-234487

**<u>NOWTRANSIT INC.</u>**

(Exact name of registrant as specified in its charter)

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| | | |
|:---|:---|:---|
| **<u>Nevada</u>**<br> (State or Other Jurisdiction of<br> Incorporation or Organization) | **<u>7374</u>**<br> (Primary Standard Industrial<br> Classification Number) | **<u>98-1498782</u>**<br> (IRS Employer<br> Identification Number) |

---

**2825 East Cottonwood Parkway**

**Suite 500 - #5130**

**<u>Salt Lake City, UT 84121</u>**

(Address of principal executive offices)

Registrant's telephone number, including area code: **<u>(801) 810-6209</u>**

Securities registered pursuant to Section 12(b) of the Act:

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| | | |
|:---|:---|:---|
| **Title of each class** | **Trading Symbol(s)** | **Name of each exchange on which registered** |

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Securities registered pursuant to Section 12(g) of the Act: **<u>Common stock, par value $0.0001</u>**

Indicate by check mark whether the registrant (1) filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 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 ☐ No ☒

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See definition of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer ☐ Accelerated Filer ☐ <br> Non-accelerated filer ☒ Smaller reporting company ☒ <br> Emerging growth company ☒

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☒

Indicate by checkmark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☒ No ☐

Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the practicable date:

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| | |
|:---|:---|
| <u>Class</u> | <u>Outstanding as of January 10, 2023</u> |
| Common Stock: $0.0001 par value | 5461500 |

---

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**TABLE OF CONTENTS**

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| | | |
|:---|:---|:---|
| ***PART 1*** | ***FINANCIAL INFORMATION*** |  |
| *Item 1.* | [*Financial Statements*](#a1) | *3* |
|  | [*Balance Sheets (unaudited)*](#bs) | *3* |
|  | [*Statements of Operations (unaudited)*](#ops) | *4* |
|  | [*Statement of Changes in Stockholders*' *Equity (unaudited)*](#se) | *5* |
|  | [*Statements of Cash Flows (unaudited)*](#cf) | 6 |
|  | [*Notes to Financial Statements (unaudited)*](#notes) | *7* |
| *Item 2*. | [*Management*'*s Discussion and Analysis of Financial Condition and Results of Operations*](#a2) | *10* |
| *Item 3*. | [*Quantitative and Qualitative Disclosures About Market Risk*](#a3) | *13* |
| *Item 4*. | [*Controls and Procedures*](#a4) | *13* |
| ***PART II*** | ***OTHER INFORMATION*** | *14* |
| *Item 1*. | [*Legal Proceedings*](#a21) | *14* |
| *Item 2*. | [*Unregistered Sales of Equity Securities and Use of Proceeds*](#a22) | *14* |
| *Item 3*. | [*Defaults Upon Senior Securities*](#a23) | *14* |
| *Item 4*. | [*Mine Safety Disclosures*](#a24) | *14* |
| *Item 5*. | [*Other Information*](#a25) | *14* |
| *Item 6*. | [*Exhibits*](#a26) | *15* |
|  | [*Signatures*](#sigs) | *16* |

---

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**PART I. FINANCIAL INFORMATION**

**Item 1. Financial Statements**

While the information presented in the accompanying financial statements is unaudited, it includes all adjustments which are, in the opinion of management, necessary to present fairly the financial position, results of operations and cash flows for the periods presented in accordance with the accounting principles generally accepted in the United States of America ("US GAAP"). In the opinion of management, all adjustments considered necessary for a fair presentation of the results of operations and financial position have been included and all such adjustments are of a normal recurring nature. Certain information and footnote disclosures normally included in financial statements prepared in accordance with US GAAP have been condensed or omitted. These financial statements should be read in conjunction with the Company's August 31, 2022 audited financial statements and notes thereto. Operating results for the three months ended November 30, 2022 are not necessarily indicative of the results that can be expected for the year ending August 31, 2023.

**NOWTRANSIT INC.**

**BALANCE SHEETS**

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| | | |
|:---|:---|:---|
|  | **November 30,**  | **August 31,**  |
|  | **2022** | **2022** |
| ASSETS | (Unaudited) |  |
| Current assets |  |  |
| Cash | $28343 | $16253 |
| Total current assets | 28343 | 16253 |
| Total assets | $28343 | $16253 |
| LIABILITIES AND STOCKHOLDERS' EQUITY |  |  |
| Current liabilities |  |  |
| Accounts payable and accrued liabilities | $2867 | $1860 |
| Total liabilities | 2867 | 1860 |
| Stockholders' equity |  |  |
| Preferred stock, $0.0001 par value, 5,000,000 shares authorized; 1,000,000 designated Series A Convertible |  |  |
| Preferred stock, Series A Convertible; $0.0001 par value, 140,000 and 100,000 shares issued and outstanding at November 30, 2022 and August 31, 2022, respectively | 14 | 10 |
| Common stock, $0.0001 par value, 75,000,000 shares authorized, 5,461,500 shares issued and outstanding | 546 | 546 |
| Additional paid-in capital | 171233 | 131237 |
| Accumulated deficit | (146317) | (117400) |
| Total stockholders' equity | 25476 | 14393 |
| Total liabilities and stockholders' equity | $28343 | $16253 |

---

See accompanying notes, which are an integral part of these unaudited financial statements.

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**NOWTRANSIT INC.**

**STATEMENTS OF OPERATIONS**

**(Unaudited)**

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| | | |
|:---|:---|:---|
|  | **For the** | **For the** |
|  | **Three Months Ended** | **Three Months Ended** |
|  | **November 30,** | **November 30,** |
|  | **2022** | **2021** |
| Revenue | $- | $- |
| General and administrative expenses | 28917 | 14089 |
| Total operating expenses | 28917 | 14089 |
| Net loss from operations | (28917) | (14089) |
| Provision for income taxes |  |  |
| Net loss | $(28917) | $(14089) |
| Net loss per share - basic and diluted | $(0.01) | $(0.00) |
| Weighted average shares outstanding - basic and diluted | 5461500 | 5461500 |

---

See accompanying notes, which are an integral part of these unaudited financial statements.

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**NOWTRANSIT INC.**

**STATEMENTS OF CHANGES IN STOCKHOLDERS**' **EQUITY**

**For the Three Months Ended November 30, 2022 and 2021**

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| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  |  |  |  |  |  |  | **Total**  |
|  | **Series A Convertible**  | **Series A Convertible**  |  |  | **Additional**  |  | **Stockholders'**  |
|  | **Preferred Stock**  | **Preferred Stock**  | **Common Stock**  | **Common Stock**  | **Paid-In**  | **Accumulated**  | **Equity**  |
|  | **Shares**  | **Amount**  | **Shares**  | **Amount**  | **Capital**  | **Deficit**  | **(Deficit)**  |
| Balance, August 31, 2021 |  | $- | 5461500 | $546 | $20854 | $(34192) | $(12792) |
| Issuance of preferred stock for cash | 100000 | 10 |  |  | 99990 |  | 100000 |
| Net loss for the quarter ended November 30, 2021 |  |  |  |  |  | (14089) | (14089) |
| Balance, November 30, 2021 | 100000 | $10 | 5461500 | $546 | $120844 | $(48281) | $73119 |
| Balance, August 31, 2022 | 100000 | $10 | 5461500 | $546 | $131237 | $(117400) | $14393 |
| Issuance of preferred stock for cash | 40000 | 4 |  |  | 39996 |  | 40000 |
| Net loss for the quarter ended November 30, 2022 |  |  |  |  |  | (28917) | (28917) |
| Balance, November 30, 2022 | 140000 | $14 | 5461500 | $546 | $171233 | $(146317) | $25476 |

---

See accompanying notes, which are an integral part of these unaudited financial statements.

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**NOWTRANSIT INC.**

**STATEMENTS OF CASH FLOWS**

**(Unaudited)**

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| | | |
|:---|:---|:---|
|  | **For the** | **For the** |
|  | **Three Months Ended** | **Three Months Ended** |
|  | **November 30,** | **November 30,** |
|  | **2022** | **2021** |
| **CASH FLOWS FROM OPERATING ACTIVITIES** |  |  |
| Net loss | $(28917) | $(14089) |
| Adjustments to reconcile net loss to cash used in operating activities: |  |  |
| Changes in assets and liabilities: |  |  |
| Prepaid expenses |  | 4279 |
| Accounts payable and accrued liabilities | 1007 | 3909 |
| Net cash used in operating activities | (27910) | (5901) |
| **CASH FLOWS FROM FINANCING ACTIVITIES** |  |  |
| Proceeds from issuance of preferred stock | 40000 | 100000 |
| Net cash provided by financing activities | 40000 | 100000 |
| Net increase (decrease) in cash and cash equivalents | 12090 | 94099 |
| Cash at beginning of period | 16253 | 2035 |
| Cash at end of period | $28343 | $96134 |
| **SUPPLEMENTAL CASH FLOW INFORMATION:** |  |  |
| Cash paid for interest | $- | $- |
| Cash paid for income taxes | $- | $- |

---

See accompanying notes, which are an integral part of these unaudited financial statements.

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**NOWTRANSIT INC.**

**NOTES TO THE FINANCIAL STATEMENTS**

**THREE MONTHS ENDED NOVEMBER 30, 2022 AND 2021**

**(Unaudited)**

**NOTE 1: ORGANIZATION AND BASIS OF PRESENTATION**

Nowtransit Inc. (the "Company", "us", "we") was incorporated in the State of Nevada on July 8, 2019. We have not generated any revenues, have minimal assets and have incurred losses since inception. We were formed to engage in the online delivery business, but in connection with the Change of Control described in the following paragraph, the Company has terminated its plans in the online delivery business. Since the Change of Control, we commenced seeking new business opportunities in the United States. Our goal is to acquire a privately-held business looking to go public through a reverse merger in which a large majority of our outstanding stock will be issued to the equity owners of a target business.

**NOTE 2: GOING CONCERN**

The accompanying financial statements have been prepared in conformity with generally accepted accounting principles in the United States of America ("GAAP"), which contemplate continuation of the Company as a going concern. The Company has an accumulated deficit of $146,317 as of November 30, 2022 and $117,400 as of August 31, 2022. The Company had losses of $28,917 for the three months ended November 30, 2022, and $14,089 for the three months ended November 30, 2021, and has not completed its efforts to establish a stabilized source of revenues sufficient to cover operating costs over an extended period of time. Therefore, there is substantial doubt about the Company's ability to continue as a going concern. Management anticipates that the Company will be dependent, for the near future, on additional investment capital to fund operating expenses. The Company intends to position itself so that it will be able to raise additional funds through the capital markets. In light of management's efforts, there are no assurances that the Company will be successful in this or any of its endeavors or become financially viable and continue as a going concern.

We may require additional capital for our operations and for any operating entity that we acquire. Economic downturns, including a recession, combined with high inflation and investor uncertainties may limit or hinder our ability to obtain the funding we require. If we are unable to raise capital or the amount of capital we are able to raise from financing activities, together with any revenues we may generate from future operations, is not sufficient to satisfy our capital needs, our future operating results may be materially adversely affected.

**NOTE 3: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**

***Basis of Presentation***

The accompanying financial statements have been prepared in accordance with US GAAP. The Company's year-end is August 31.

***Use of Estimates***

The preparation of financial statements in conformity with US GAAP 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 the financial statements and the reported amount of revenues and expenses during the reporting period. Actual results could differ from those estimates.

***Cash and Cash Equivalents***

The Company considers all highly liquid debt instruments purchased with an original maturity date of three months or less to be cash equivalents. The Company had $28,343 and $16,253 in cash as of November 30, 2022 and August 31, 2022, respectively, and no cash equivalents.

***Concentration of Credit Risks***

The Company maintains funds in a financial institution that is a member of the Federal Deposit Insurance Corporation. As such, funds are insured based on Federal Reserve limits. At November 30, 2022 and August 31, 2022, the Company did not have cash deposits in excess of these insured limits.

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***Fair Value of Financial Instruments***

FASB ASC Topic 820, *"Fair Value Measurement,"* defines fair value as the exchange price that would be received for an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The standards apply to recurring and nonrecurring fair value measurements of financial and non-financial assets and liabilities. The Company determines the fair values of its assets and liabilities based on a fair value hierarchy that includes three levels of inputs that may be used to measure fair value.

The three levels are defined as follows:

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| | |
|:---|:---|
| Level 1: | defined as observable inputs such as quoted prices in active markets; |
| Level 2: | defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and |
| Level 3: | defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions. |

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Due to their short-term nature, the carrying values of the Company's current assets and liabilities approximated fair value at November 30, 2022 and August 31, 2022.

***Income Taxes***

The Company follows the liability method of accounting for income taxes. Under this method, deferred income tax assets and liabilities are recognized for the estimated tax consequences attributable to differences between the financial statement carrying values and their respective income tax basis (temporary differences). The effect on deferred income tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date.

***Basic and Diluted Loss Per Share***

The Company computes loss per share in accordance with FASB ASC 260 "Earnings per Share." Basic loss per share is computed by dividing net income (loss) available to common shareholder by the weighted average number of outstanding shares of common stock during the period. Diluted loss per share gives effect to all dilutive potential shares of common stock outstanding during the period. Dilutive loss per share excludes all potential shares of common stock if their effect is anti-dilutive. During the three months ended November 30, 2022 and 2021, there were 420,000 and 300,000, respectively, potentially dilutive common shares outstanding with respect to convertible preferred stock (Note 7), which were anti-dilutive due to the Company's net loss for the period.

***Recent Accounting Pronouncements***

We have reviewed all recently issued but not yet effective accounting standards, and do not believe, if currently adopted, would have a material effect on the accompanying consolidated financial statements.

**NOTE 4: STOCKHOLDERS**' **EQUITY**

<u>Common Stock</u> 

The Company has 75,000,000, $0.0001 par value shares of voting common stock authorized.

There were no issuances of common stock during the three months ended November 30, 2022 or 2021.

As of November 30, 2022 and August 31, 2022, there were 5,461,500 shares of common stock issued and outstanding.

All shares of common stock have voting rights and are identical. All holders of shares of common stock shall at every meeting of the stockholders be entitled to one vote for each share of the capital stock held by such stockholder.

<u>Preferred Stock</u>

On October 19, 2021, the Company filed a Certificate of Amendment to its Articles of Incorporation authorizing up to 5,000,000 shares of Preferred Stock, par value $0.0001 per share, with such rights, preferences and limitations as may be set forth in resolutions adopted by the Board of Directors. On November 1, 2021, the Company filed a Certificate of Designation designating 1,000,000 shares of Preferred Stock as Series A Convertible Preferred Stock (the "Series A"). Each share of the Series A is convertible into three shares of the Company's common stock at the holder's election, subject to a 4.99% beneficial ownership limitation which may be increased to 9.99% upon 61 days' notice.

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On November 22, 2022, the Company entered into a Stock Purchase Agreement with an accredited investor pursuant to which the Company sold to the purchaser 40,000 shares of the Series A at a purchase price of $1.00 per share (the "Offering"). The Company received $40,000 in gross proceeds from the Offering.

On November 3, 2021, the Company entered into a Stock Purchase Agreement with an accredited investor pursuant to which the Company sold to the purchaser 100,000 shares of the Series A at a purchase price of $1.00 per share (the "Offering"). The Company received $100,000 in gross proceeds from the Offering.

The Company had 140,000 and 100,000 shares of Series A Convertible Preferred Stock, par value $0.0001, outstanding at November 30, 2022 and August 31, 2022, respectively.

**NOTE 5: COMMITMENTS AND CONTINGENCIES**

In the normal course of business, the Company may become a party to litigation matters involving claims against it. At November 30, 2022, there are no current matters that would have a material effect on the Company's financial position or results of operations. The Company has a month-to-month office space lease. Rent expense for the three months ended November 30, 2022 and 2021 was $252 and $138, respectively.

**NOTE 6: SUBSEQUENT EVENTS**

The Company has evaluated events occurring subsequent to November 30, 2022 through the date these financial statements were issued and noted no items requiring disclosure.

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

**Cautionary Note Regarding Forward Looking Statements**

This Report contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding our discussions and the anticipated terms of a potential reverse merger pursuant to which we would acquire an operating business, our business plan and our liquidity needs. All statements other than statements of historical facts contained in this Report, including statements regarding our future financial position, liquidity, business strategy and plans and objectives of management for future operations, are forward-looking statements. The words "believe," "may," "estimate," "continue," "anticipate," "intend," "should," "plan," "could," "target," "potential," "is likely," "will," "expect" and similar expressions, as they relate to us, are intended to identify forward-looking statements. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy and financial needs.

The results anticipated by any or all of these forward-looking statements might not occur. Important factors, uncertainties and risks that may cause actual results to differ materially from these forward-looking statements include those described elsewhere in this Report and in our Annual Report on Form 10-K for the fiscal year ended August 31, 2022 under "Item 1A. – Risk Factors." We undertake no obligation to publicly update or revise any forward-looking statements, whether as the result of new information, future events or otherwise.

**Overview**

We have no operations since inception other than the expenditures related to running the Company, and we have not generated any revenue since inception. Our goal is to finalize a share exchange agreement with an early-stage nutraceutical company (the "Target") and consummate the acquisition. However, we cannot assure we will close the acquisition.

**Plan of Operation**

On August 15, 2022, we executed a non-binding term sheet with the Target (the "Term Sheet"). The Term Sheet required the Share Exchange Agreement to be executed by September 15, 2022. Although it was not, we are continuing to pursue the acquisition under which the shareholders of the Target would receive approximately 84.43% of our outstanding common stock. In addition, the Term Sheet envisioned one or more investors investing $50,000 and receiving convertible preferred stock, convertible into approximately 0.84% of our outstanding common stock (the "Financing"). The Target recently consummated a financing in the amount of $50,000 with an investor and we therefore do not anticipate consummating the Financing if and when the reverse merger with the Target is consummated.

The evaluation and selection of a business opportunity is a complex and uncertain process. Our President has experience in management and business consulting, although no assurances can be given that he can identify and implement a viable business strategy or that any such strategy will result in profits. Our ability to effectively identify, develop and implement a viable plan for our business may be hindered by risks and uncertainties which are beyond our control, including without limitation, the impact of any recession caused by inflation and rising interest rates as well as the war in Ukraine and lingering effects, or new variants of, COVID-19. These factors may disproportionately affect smaller businesses which comprise our principal target. See Item 1A - Risk Factors in our Annual Report on Form 10-K for the fiscal year ended August 31, 2022, filed with the Securities and Exchange Commission (the "SEC") on November 1, 2022.

During the next 12 month period we anticipate incurring costs in connection with investigating, evaluating and negotiating potential business combinations, filing SEC reports, and consummating an acquisition of an operating business. If we close the acquisition with the Target or a similar transaction with a third party these expenses will increase.

Given our limited capital resources, we may consider a business combination with an entity which has recently commenced operations, is a developing company or is otherwise in need of additional funds for the development of new products or services or expansion into new markets, or is an established business experiencing financial or operating difficulties and is in need of additional capital. Alternatively, a business combination may involve the acquisition of, or merger with, an entity which desires access to the U.S. capital markets.

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As of the date of this Report, the Company has not entered into a definitive agreement to consummate a business combination. Any target business that is selected may be financially unstable or in the early stages of development. In such event, we expect to be subject to numerous risks inherent in the business and operations of a financially unstable or early stage entity. In addition, we may effect a business combination with an entity in an industry characterized by a high level of risk or in which our management has limited experience, and, although our management will endeavor to evaluate the risks inherent in a particular target business, there can be no assurance that we will properly ascertain or assess all significant risks.

Our management anticipates that we will likely only be able to effect one business combination due to our limited capital. This lack of diversification will likely pose a substantial risk in investing in the Company for the indefinite future because it will not permit us to offset potential losses from one venture or operating territory against gains from another. The risks we face will likely be heightened to the extent we acquire a business operating in a single industry or geographic region.

CRITICAL ACCOUNTING POLICIES AND ESTIMATES

Management's discussion and analysis and results of operations are based upon our accompanying financial statements for the three months ended November 30, 2022 and 2021, which have been prepared in conformity with U.S. generally accepted accounting principles, or U.S. GAAP, and which requires us to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue and expenses, and related disclosure of contingent assets and liabilities. Note 3. Summary of Significant Accounting Policies, to the financial statements included in Part I, Item 1 of this Quarterly Report on Form 10-Q, describes the significant accounting policies and methods used in the preparation of the Company's financial statements. We base our estimates on historical experience and on various other assumptions that we believe are reasonable under the circumstances. These estimates are the basis for our judgments about the carrying values of assets and liabilities, which in turn may impact our reported revenue and expenses. Our actual results could differ significantly from these estimates under different assumptions or conditions.

**Results Of Operations**

THREE MONTHS ENDED NOVEMBER 30, 2022 COMPARED TO NOVEMBER 30, 2021

Our net loss for the three months ended November 30, 2022 was $28,917, compared to a net loss of $14,089 during the three months ended November 30, 2021. The Company has not generated any revenue in either period. The increase in net loss was due to an increase in general administrative expenses including professional fees in connection with the preparation of SEC reports and our ongoing search for a business to acquire and costs related to negotiations and due diligence in connection therewith. Expenses incurred were general administrative expenses of $28,917, during the three months ended November 30, 2022, compared to $14,089 during the three months ended November 30, 2021.

LIQUIDITY AND CAPITAL RESOURCES

As of November 30, 2022, our total assets were $28,343, consisting of cash.

*Cash Flows from Operating Activities*

We have not generated positive cash flows from operating activities since inception. For the three months ended November 30, 2022, net cash flows used in operating activities was $27,910, consisting of our net loss of $28,917 and an increase of $1,007 in accounts payable and accrued liabilities. Cash flows used in operating activities for the three months ended November 30, 2021 was $5,901, consisting of our net loss of $14,089 and a decreases of $4,279 in prepaid expenses and an increase of $3,909 in accounts payable and accrued liabilities.

*Cash Flows from Investing Activities*

We have not engaged in any investing activities since our inception.

*Cash Flows from Financing Activities*

For the three months ended November 30, 2022 and 2021, net cash flows provided by financing activities was $40,000 and $100,000, respectively, consisting of gross proceeds from the sale of Series A Convertible Preferred Stock (the "Series A") for cash as described in the following paragraphs.

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On November 22, 2022, the Company entered into a Stock Purchase Agreement with an accredited investor pursuant to which the Company sold to the purchaser 40,000 shares of the Series A at a purchase price of $1.00 per share (the "Offering"). The Company received $40,000 in gross proceeds from the Offering.

On November 3, 2021, the Company entered into a Stock Purchase Agreement with an accredited investor pursuant to which the Company sold to the purchaser 100,000 shares of the Company's Series A at a purchase price of $1.00 per share. The Company received $100,000 in gross proceeds from the Offering. Each share of the Series A is convertible into three shares of the Company's common stock.

PLAN OF OPERATION AND FUNDING

Our existing working capital is expected to be adequate to fund our operations over the next 12 months, unless we are able to reach an understanding with a target which will cause us to incur material professional fees. In that event, we will have to borrow funds from our President or seek other funding. Because of the Securities and Exchange Commission's amended Rule 15c2-11, the OTC Markets specifies that a shell company can only continue to publicly trade for 18 months following its initial quotation by a market maker. As a result, we are under some pressure to consummate a reverse merger as soon as possible in order to continue to be eligible for public quotation on the OTC Markets. We have financed operations to date through the proceeds of loans from insiders and the private placement of equity. We expect we will need to raise additional capital to meet long-term operating requirements, particularly if we close a reverse merger resulting in our acquisition of an operating business.

On August 15, 2022, we executed a non-binding Term Sheet with an early-stage nutraceutical company (the "Target"). The Term Sheet required the Share Exchange Agreement to be executed by September 15, 2022. Although it was not, we are continuing to pursue the acquisition under which the shareholders of the Target would receive approximately 84.43% of our outstanding common stock. In addition, the Term Sheet envisioned one or more investors investing $50,000 and receiving convertible preferred stock, convertible into approximately 0.84% of our outstanding common stock (the "Financing"). The Target recently consummated a financing in the amount of $50,000 with an investor and we therefore do not anticipate consummating the Financing if the reverse merger with the Target is consummated.

The evaluation and selection of a business opportunity is a complex and uncertain process. While we are hopeful of closing the reverse merger with the Target, we cannot assure you we will do so. Additional financing may not be available upon acceptable terms, or at all. If adequate funds are not available or are not available on acceptable terms, we may not be able to take advantage of prospective new business endeavors or opportunities, which could significantly and materially restrict our business operations.

OFF-BALANCE SHEET ARRANGEMENTS

We have no off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources.

**Going Concern**

There is no historical financial information about us upon which to base an evaluation of our performance. We have no operations, cumulative losses, and have not generated any revenues. We cannot guarantee we will be successful in acquiring an operating business or commencing material business operations. Our business is subject to risks inherent in the search for and establishment of a new business enterprise, including limited capital resources and possible cost overruns due to price and cost increases in services and products.

There can be no assurance that future financing will be available to us on acceptable terms or at all. If financing is not available on satisfactory terms as and when needed, we may be unable to commence, develop or expand our operations. Equity financing could result in additional dilution to existing stockholders.

------

[**Table of Contents**](#toc)

**Item 3. Quantitative and Qualitative Disclosures About Market Risk**

Not required.

**Item 4. Controls and Procedures**

***Disclosure Controls and Procedures***

As of November 30, 2022 (the "Evaluation Date"), the Company's management evaluated, with participation of its principal executive officer, the effectiveness of the Company's disclosure controls and procedures, as defined in Rules 13a-15 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). Based on that evaluation, the Company's principal executive officer concluded that the Company's disclosure controls and procedures were ineffective as of November 30, 2022.

Management assessed the effectiveness of its internal control over financial reporting as of the Evaluation Date based on criteria for effective internal control over financial reporting described in Internal Control—Integrated Framework issued in 2013 by the Committee of Sponsoring Organizations of the Treadway Commission. The material weaknesses identified during management's assessment were (i) a lack of sufficient internal accounting resources; (ii) a lack of segregation of duties to ensure adequate review of financial statement preparation, (iii) lack of an independent board of directors or audit committee, and (iv) lack of written documentation of our internal control policies and procedures. In light of these material weaknesses, management has concluded that we did not maintain effective internal control over financial reporting at the Evaluation Date. We plan to rectify these weaknesses by establishing written policies and procedures for our internal control of financial reporting and hiring additional accounting personnel at such time as we raise sufficient capital to do so. There were no changes in controls during the quarter ended November 30, 2022.

------

[**Table of Contents**](#toc)

**PART II. OTHER INFORMATION**

**Item 1. Legal Proceedings**

Management is not aware of any legal proceedings contemplated by any governmental authority or any other party involving us or our properties. As of the date of this Quarterly Report, no director, officer or affiliate is (i) a party adverse to us in any legal proceeding, or (ii) has an adverse interest to us in any legal proceedings. Management is not aware of any other legal proceedings pending or that have been threatened against us or our properties.

**Item 2. Unregistered Sales Of Equity Securities and Use Of Proceeds**

On November 22, 2022, the Company entered into a Stock Purchase Agreement with an accredited investor pursuant to which the Company sold to the purchaser 40,000 shares of the Series A at a purchase price of $1.00 per share (the "Offering"). The Company received $40,000 in gross proceeds from the Offering. Each share of the Series A is convertible into three shares of the Company's common stock at the holder's discretion. The offer and sale of the Series A was not registered under the Securities Act of 1933 and was exempt from registration pursuant to Section 4(a)(2) thereof and Rule 506(b) promulgated thereunder.

**Item 3. Defaults Upon Senior Securities**

Not applicable.

**Item 4. Mine Safety Disclosures**

Not applicable.

**Item 5. Other Information**

Not applicable.

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[**Table of Contents**](#toc)

**Item 6. Exhibits**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Exhibit #** | **Exhibit Description** | **Incorporated By Reference** | **Incorporated By Reference** | **Incorporated By Reference** | **Filed or Furnished Herewith** |
|  |  | **<u>Form</u>** | **<u>Date</u>** | **<u>Number</u>** |  |
| 3.1(a) | [Articles of Incorporation](http://www.sec.gov/Archives/edgar/data/1784440/000116552719000178/ex3-1.htm) | S-1 | 11/4/2019 | 3.1 |  |
| 3.1(b) | [Amendment to Articles of Incorporation](http://www.sec.gov/Archives/edgar/data/1784440/000118518521001761/ex_310441.htm) | 10-K | 11/26/2021 | 3.1B |  |
| 3.2 | [Bylaws](http://www.sec.gov/Archives/edgar/data/1784440/000116552719000178/ex3-2.htm) | S-1 | 11/4/2019 | 3.2 |  |
| 3.3 | [Certificate of Designation of Series A Convertible Preferred Stock](http://www.sec.gov/Archives/edgar/data/1784440/000118518521001761/ex_310442.htm) | 10-K | 11/26/2021 | 3.3 |  |
| 10.1 | [Stock purchase agreement dated November 3, 2021\*](http://www.sec.gov/Archives/edgar/data/1784440/000118518522000063/ex_323932.htm) | &nbsp;&nbsp;&nbsp;&nbsp;10-Q | 1/14/2022 | 10.1 |  |
| 10.2 | [Stock purchase Agreement dated November 22, 2022\*](ex_463232.htm) |  |  |  | Filed |
| 31.1 | [Certification of Principal Executive Officer and Principal Financial Officer pursuant to Securities Exchange Act of 1934 Rule 13a-14(a) or 15d-14(a)](ex_463233.htm) |  |  |  | Filed |
| 32.1 | [Certifications pursuant to Securities Exchange Act of 1934 Rule 13a-14(b) or 15d-14(b) and 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes- Oxley Act of 2002](ex_463234.htm) |  |  |  | Furnished\*\* |
| 101 | Inline Interactive data files pursuant to Rule 405 of Regulation S-T |  |  |  | Filed |
| 104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101) |  |  |  |  |

---

\* Certain schedules, appendices and exhibits have been omitted in accordance with Item 601 of Regulation S-K. A copy of any omitted schedule, appendix and/or exhibit will be furnished supplementally to the Staff of the Securities and Exchange Commission upon request.

\*\*This exhibit is being furnished rather than filed and shall not be deemed incorporated by reference into any filing, in accordance with Item 601 of Regulation S-K.

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[**Table of Contents**](#toc)

**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.

---

| | | |
|:---|:---|:---|
|  | **Nowtransit Inc.** | **Nowtransit Inc.** |
| Dated: January 13, 2023 | By: | **/**s**/** Justin Earl |
|  |  | Justin Earl<br> Chief Executive Officer and Chief Financial Officer<br> (Principal Executive Officer and Principal Financial Officer) |

---

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

---

| | | |
|:---|:---|:---|
| **Name** | **Title** | **Date** |
| /s/ Justin Earl | Principal Executive Officer and Director | January 13, 2023 |
| Justin Earl |  |  |

---

## Exhibit 10.2

**Exhibit 10.2**

**<u>STOCK PURCHASE AGREEMENT</u>**

THIS STOCK PURCHASE AGREEMENT (the "Agreement") entered into this 22nd day of November, 2022, by and among Nowtransit Inc., a Nevada corporation (the "Company") and the Purchaser identified on the signature page hereto (the "Purchaser"). The Purchaser and the Company may sometimes be referred to herein collectively as the "Parties".

WHEREAS, the Company is authorized to issue shares of a new series of preferred stock of the Company designated as Series A Convertible Preferred Stock (the "Shares"), the terms of which are set forth in the certificate of designation for such series of preferred stock in the form attached hereto as <u>Exhibit A</u>;

WHEREAS, the Purchaser desires to purchase Shares and the Company desires to sell such Shares upon the terms and conditions set forth herein; and

NOW, THEREFORE, in consideration of the mutual promises contained herein, and for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties hereto agree as follows:

1. **<u>Sale and Purchase of Shares</u>**. The Company agrees to sell to the Purchaser, and the Purchaser agrees to purchase the number of Shares as reflected on the Purchaser's signature page for the consideration contained in this Agreement and subject to the terms and conditions of this Agreement, as set forth on each Purchaser's signature page hereto. There is no minimum number of Shares which must be sold.

2. **<u>Purchase Price</u>**. The total purchase price for the Shares shall be set forth on the Purchaser's signature page. Upon the execution and delivery of this Agreement, the purchase price shall be delivered by the Purchaser to the Company and the certificates for the Shares shall be delivered by the Company or the Company's Transfer Agent to the Purchaser as soon as reasonably practicable.

3. **<u>Representations and Warranties of the Company</u>**. As an inducement to the Purchaser to enter into this Agreement and consummate the transaction contemplated hereby, the Company hereby makes the following representations and warranties, each of which is materially true and correct on the date of this Agreement:

3.1 The Company has full power and authority to execute and deliver this Agreement and to perform its obligations hereunder. This Agreement constitutes the valid and legally binding obligation of the Company, enforceable in accordance with its terms. The execution, delivery, and performance of this Agreement and all other agreements contemplated hereby have been duly authorized by the Company;

3.2 When the Shares are paid for, they will be duly paid and non-assessable, free and clear of all liens and encumbrances, except for those arising under the applicable securities laws;

3.3 The execution and delivery of this Agreement by the Company and the observance and performance of the terms and provisions contained herein do not constitute a violation or breach

------

of any applicable law, or any provision of any other contract or instrument to which the Company is a party or by which it is bound, or any order, writ, injunction, decree, statute, rule, by-law or regulation applicable to the Company;

3.4 No insolvency proceedings of any character, including without limitation, bankruptcy, receivership, reorganization, composition or arrangement with creditors, voluntary or involuntary, designating the Company as the bankrupt or the insolvent, are pending or, to the knowledge of the Company, threatened and the Company has not made an assignment for the benefit of creditors, nor has Company taken any action with a view to, or which would constitute the basis for, the institution of any such insolvency proceedings;

3.5 There are no actions, suits, or proceedings pending or, to the best of the Company's knowledge, threatened, which could in any manner restrain or prevent the Company from effectually and legally selling the Shares pursuant to the terms and provisions of this Agreement;

3.6 The Company has no liability or obligation to pay fees or commissions to any broker, finder, or agent with respect to the transactions contemplated by this Agreement.

3.7 The Company files reports with the Securities and Exchange Commission, which are available at www.sec.gov/EDGAR.

4.  **<u>Representations and Warranties of the Purchaser</u>**. As an inducement to the Company to enter into this Agreement and to consummate the transactions contemplated hereby, the Purchaser hereby makes the following representations and warranties, each of which is materially true and correct on the date of this Agreement:

4.1 The Purchaser has full power and authority to execute and deliver this Agreement and to perform its obligations hereunder. This Agreement constitutes the valid and legally binding obligation of the Purchaser, enforceable in accordance with its terms. The execution, delivery, and performance of this Agreement and all other agreements contemplated hereby have been duly authorized by the Purchaser;

4.2 The execution and delivery of this Agreement by the Purchaser and the observance and performance of the terms and provisions of this Agreement on the part of the Purchaser to be observed and performed will not constitute a violation of applicable law or any provision of any contract or other instrument to which the Purchaser is a party or by which it is bound, or any order, writ, injunction, decree statute, rule or regulation applicable to it;

4.3 No insolvency proceedings of any character, including without limitation, bankruptcy, receivership, reorganization, composition or arrangement with creditors, voluntary or involuntary, designating the Purchaser as the bankrupt or the insolvent, are pending or, to the knowledge of the Purchaser, threatened and the Purchaser has not made an assignment for the benefit of creditors, nor has the Purchaser taken any action with a view to, or which would constitute the basis for, the institution of any such insolvency proceedings;

4.4 There are no actions, suits, or proceedings pending or, to the best of the Purchaser's

------

knowledge, threatened, which could in any manner restrain or prevent the Purchaser from effectually and legally purchasing the Shares pursuant to the terms and provisions of this Agreement;

4.5 The Purchaser has no liability or obligation to pay fees or commissions to any broker, finder, or agent with respect to the transactions contemplated by this Agreement;

4.6 The Purchaser is acquiring the Shares for its own account for investment and not with a view to, or for sale in connection with, any distribution thereof, nor with any present intention of distribution or selling the same, and, except as contemplated by this Agreement, and has no present or contemplated agreement, undertaking, arrangement, obligation, indebtedness or commitment providing for the disposition thereof. The Purchaser understands that the Shares may not be sold, transferred or otherwise disposed of without registration under the Securities Act of 1933 (the "Act") or an exemption therefrom, and that in the absence of an effective registration statement covering the Shares or an available exemption from registration under the Act, the Shares must be held indefinitely;

4.7 The Purchaser is an "accredited investor" within the meaning of the applicable rules and regulations promulgated under the Act for one of the reasons on the attached Exhibit B. The Purchaser (i) is experienced in and capable of evaluating and investing in private placement transactions in similar circumstances, (ii) is able to bear the substantial economic risks of an investment the Shares for an indefinite period of time, (iii) has no need for liquidity in such investment, (iv) can afford a complete loss of such investment, and (v) has such knowledge and experience in financial, tax and business matters so as to enable it to utilize the information made available to it in connection with the offering of the Shares to evaluate the merits and risks of the purchase of the Shares and to make an informed investment decision with respect thereto; and

4.8 The offer to sell the Shares was directly communicated to the Purchaser by the Company. At no time was the Purchaser presented with or solicited advertisement, articles, notice or other communication published in any newspaper, television or radio or presented at any seminar or meeting, or any solicitation by a person not previously known to the undersigned in connection with the communicated offer.

5.  **<u>Survival of Representations and Warranties and Agreements</u>**. All representations and warranties of the parties contained in this Agreement shall survive the date of this Agreement and shall not be affected by any investigation made prior to the date of this Agreement.

6. **<u>Indemnification</u>**.

6.1 <u>Indemnification Provisions for Benefit of the Purchaser</u>. In the event the Company breaches any of its representations, warranties, and/or covenants contained herein and provided that the Purchaser makes a written claim for indemnification against the Company, then the Company agrees to indemnify the Purchaser from and against the entirety of any losses, damages, amounts paid in settlement of any claim or action, expenses, or fees including court costs and reasonable attorneys' fees and expenses.

------

6.2 <u>Indemnification Provisions for Benefit of the Company</u>. In the event the Purchaser breaches any of its representations, warranties, and/or covenants contained herein and provided that the Company make a written claim for indemnification against the Purchaser, then the Purchaser agrees to indemnify the Company from and against the entirety of any losses, damages, amounts paid in settlement of any claim or action, expenses, or fees including court costs and reasonable attorneys' fees and expenses.

7. **<u>Additional Covenants</u>.** The Parties covenant and agree as follows:

7.1 <u>General.</u> If any further action is necessary or desirable to carry out the purposes of this Agreement, each of the Parties will take such further action (including the execution and delivery of such further instruments and documents) as the other Party may request, all at the sole cost and expense of the requesting Party (unless the requesting Party is entitled to indemnification therefore under Section 6).

7.2 <u>Company</u>. The Company hereby covenants that the Company will, at the request of the Purchaser, execute, acknowledge and deliver to the Purchaser without further consideration, all such further assignments, conveyances, consents and other documents, and take such other action, as the Purchaser may reasonably request (a) to transfer to, vest and protect in the Purchaser and its right, title and interest in the Shares, and (b) otherwise to consummate or effectuate the transactions contemplated by this Agreement.

8. **Expenses**. Except as otherwise provided in this Agreement, all parties hereto shall pay their own expenses, including legal and accounting fees, in connection with the transactions contemplated herein.

9. **<u>Severability</u>**. In the event any provisions of this Agreement are found to be void, the remaining provisions of this Agreement shall nevertheless be binding with the same effect as though the void provisions were deleted.

10. **<u>Counterparts</u>**. This Agreement may be executed in one or more counterparts, each of which shall be deemed an original but all of which together shall constitute one and the same instrument. The execution of this Agreement may be by actual or facsimile signature.

11. **<u>Benefit</u>**. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their legal representatives, successors and assigns. Nothing in this Agreement, expressed or implied, is intended to confer on any person other than the Parties or their respective heirs, successors and assigns any rights, remedies, obligations, or other liabilities under or by reason of this Agreement.

12. **<u>Notices and Addresses</u>**. All notices, offers, acceptance and any other acts under this Agreement (except payment) shall be in writing, and shall be sufficiently given if delivered to the addressees in person, by Federal Express or similar overnight next business day delivery, or by facsimile delivery followed by overnight next business day delivery, as follows:

To the Company: Nowtransit Inc.

------

2825 East Cottonwood Parkway

Suite 500 - #5130

Salt Lake City, UT 84121

Email: jearl@nowtransit.co

Attention: Justin Earl, President

To the Purchaser: The address set forth on the Purchaser's signature page attached hereto

or to such other address as any of them, by notice to the other may designate from time to time. The transmission confirmation receipt from the sender's facsimile machine shall be evidence of successful facsimile delivery. Time shall be counted from the date of transmission.

13. **<u>Attorney</u>**<u>'</u>**<u>s Fees</u>**. In the event that there is any controversy or claim arising out of or relating to this Agreement, or to the interpretation, breach or enforcement thereof, and any action or arbitration proceeding is commenced to enforce the provisions of this Agreement, the prevailing party shall be entitled to a reasonable attorney's fee, including the fees on appeal, costs and expenses.

14.  **<u>Governing Law; Exclusive Jurisdiction</u>.** This Agreement and any dispute, disagreement, or issue of construction or interpretation arising hereunder whether relating to its execution, its validity, the obligations provided herein or performance shall be governed or interpreted according to the internal laws of the State of New York without regard to choice of law considerations. Any action brought by either Party against the other concerning the transactions contemplated by this Agreement shall be brought only in the state or federal courts located in New York County, New York. The Parties hereby irrevocably waive any objection to jurisdiction and venue of any action instituted hereunder and shall not assert any defense based on lack of jurisdiction or venue or based upon <u>forum non conveniens</u>.

15.  **<u>Oral Evidence</u>**. This Agreement constitutes the entire Agreement between the parties and supersedes all prior oral and written agreements between the parties hereto with respect to the subject matter hereof. Neither this Agreement nor any provision hereof may be changed, waived, discharged or terminated orally, except by a statement in writing signed by the party or parties against which enforcement or the change, waiver discharge or termination is sought.

16. **<u>Assignment</u>**<u>.</u> No Party hereto shall assign its rights or obligations under this Agreement without the prior written consent of the other Party.

17. **<u>Section Headings</u>**. Section headings herein have been inserted for reference only and shall not be deemed to limit or otherwise affect, in any matter, or be deemed to interpret in whole or in part any of the terms or provisions of this Agreement.

[*Signature Pages Follow*]

------

IN WITNESS WHEREOF the parties hereto have set their hand and seals as of the above date.

**COMPANY:**

**Nowtransit Inc.**

By: <u>/s/ Justin Earl</u> 

Name: Justin Earl

Title: President

[SIGNATURE PAGE FOR PURCHASERS FOLLOWS]

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[PURCHASER SIGNATURE PAGE TO STOCK PURCHASE AGREEMENT]

IN WITNESS WHEREOF, the undersigned have caused this Stock Purchase Agreement to be duly executed by their respective authorized signatories as of the date first indicated above.

**PURCHASER**:

**Prime Services Group**

By: <u>/s/ Joe Thomas</u> 

Name: Joe Thomas

Title: President

Number of Shares: 40,000

Total Purchase Price: $40,000

Address for Notice:

Prime Services Group

4580 Thousand Oaks Drive

Salt Lake City, UT 84124

Email: jdtprimeservicesgroup@gmail.com

Attention: Joe Thomas

------

**<u>EXHIBIT A</u>**

**<u>TO STOCK PURCHASE AGREEMENT</u>**

**<u>Series A Certificate of Designation</u>**

[Attached]

------

**<u>EXHIBIT B</u>**

**<u>TO STOCK PURCHASE AGREEMENT</u>**

**<u>Accredited Investor Definition</u>**

**<u>For Individual Investors Only:</u>**

&nbsp;&nbsp;&nbsp;&nbsp;1. I had individual income in excess of $200,000 in each of the two most recent years or joint income with my spouse or Spousal Equivalent<sup>1</sup> in excess of $300,000 in each of those years and have a reasonable expectation of reaching the same income level in the current year;

&nbsp;&nbsp;&nbsp;&nbsp;2. I am a natural person whose individual net worth, or joint net worth<sup>2</sup> with my spouse or Spousal Equivalent, exceeds $1,000,000. "Net worth" means the excess of total assets at fair market value (including personal and real property, but excluding the estimated fair market value of a person's primary home) over total liabilities. "Total liabilities" excludes any mortgage on the primary home in an amount of up to the home's estimated fair market value as long as the mortgage was incurred more than 60 days before the securities are purchased, but includes (i) any mortgage amount in excess of the home's fair market value and (ii) any mortgage amount that was borrowed during the 60-day period before the closing date for the sale of securities for the purpose of investing in the securities.

&nbsp;&nbsp;&nbsp;&nbsp;3. I am a director, executive officer<sup>3</sup> or general partner of Nowtransit Inc. (the "Company") or a general partner of the general partner of the Company.

&nbsp;&nbsp;&nbsp;&nbsp;4. I hold one of the following licenses in good standing: General Securities Representative license (Series 7), the Private Securities Offerings Representative license (Series 82), or the Investment Adviser Representative license (Series 65).

&nbsp;&nbsp;&nbsp;&nbsp;5. I am a "knowledgeable employee," as defined in rule 3c5(a)(4) under the Investment Company Act of 1940, of the issuer of the securities being offered or sold where the issuer would be an investment company, as defined in section 3 of such act, but for the exclusion provided by either section 3(c)(1) or section 3(c)(7) of such act.

**<u>For Entities:</u>**

&nbsp;&nbsp;&nbsp;&nbsp;1. All of the beneficial equity owners of the undersigned qualify as accredited individual investors;

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<sup>1</sup> "Spousal equivalent" means a cohabitant occupying a relationship generally equivalent to that of a spouse.

<sup>2</sup> "Joint net worth" can be the aggregate net worth of a person and spouse or spousal equivalent; assets do not need to be held jointly to be included in the calculation.

<sup>3</sup> "Executive officer" means the president; any vice president in charge of a principal business unit, division or function, such as sales, administration or finance; or any other person or persons who perform(s) similar policymaking functions for the Company.)

------

&nbsp;&nbsp;&nbsp;&nbsp;2. The undersigned is a bank as defined in Section 3(a)(2) of the Securities Act of 1933 (the "Securities Act"), or any savings and loan association or other institution as defined in Section 3(a)(5)(A) of the Act whether acting in its individual or fiduciary capacity;

&nbsp;&nbsp;&nbsp;&nbsp;3. The undersigned is a broker or dealer registered pursuant to Section 15 of the Securities Exchange Act of 1934;

&nbsp;&nbsp;&nbsp;&nbsp;4. The undersigned is an investment adviser registered pursuant to Section 203 of the Investment Advisers Act of 1940 or registered pursuant to the laws of a state;

&nbsp;&nbsp;&nbsp;&nbsp;5. The undersigned is an investment adviser relying on the exemption from registering with the Commission under Section 203(l) or (m) of the Investment Advisers Act of 1940;

&nbsp;&nbsp;&nbsp;&nbsp;6. The undersigned is an insurance company as defined in Section 2(a)(13) of the 1933 Act;

&nbsp;&nbsp;&nbsp;&nbsp;7. The undersigned is an investment company registered under the Investment Company Act of 1940 or a business development company as defined in Section 2(a)(48) of that act;

&nbsp;&nbsp;&nbsp;&nbsp;8. The undersigned is a Small Business Investment Company licensed by the U.S. Small Business Administration under Section 301(c) or (d) of the Small Business Investment Act of 1958;

&nbsp;&nbsp;&nbsp;&nbsp;9. The undersigned is a Rural Business Investment Company as defined in Section 384A of the Consolidated Farm and Rural Development Act;

&nbsp;&nbsp;&nbsp;&nbsp;10. The undersigned is a plan established and maintained by a state, its political subdivisions, or any agency or instrumentality of a state or its political subdivisions, for the benefit of its employees, if such plan has total assets in excess of $5,000,000;

&nbsp;&nbsp;&nbsp;&nbsp;11. The undersigned is an employee benefit plan within the meaning of Title I of the Employee Retirement Income Security Act of 1974 and:

&nbsp;&nbsp;&nbsp;&nbsp;a. the investment decision is made by a plan fiduciary, as defined therein, in Section 3(21), which is either a bank, savings and loan association, insurance company, or registered investment adviser; or

&nbsp;&nbsp;&nbsp;&nbsp;b. the employee benefit plan has total assets in excess of $5,000,000; or

&nbsp;&nbsp;&nbsp;&nbsp;c. the plan is a self-directed plan with investment decisions made solely by persons who are "accredited investors" as defined therein.

&nbsp;&nbsp;&nbsp;&nbsp;12. The undersigned is a private business development company as defined in Section 202(a)(22) of the Investment Advisers Act of 1940.

&nbsp;&nbsp;&nbsp;&nbsp;13. The undersigned has total assets in excess of $5,000,000, was not formed for the specific purpose of acquiring the securities offered and is one or more of the following:

------

&nbsp;&nbsp;&nbsp;&nbsp;a. an organization described in Section 501(c)(3) of the Internal Revenue Code of 1986;

&nbsp;&nbsp;&nbsp;&nbsp;b. corporation,

&nbsp;&nbsp;&nbsp;&nbsp;c. Massachusetts or similar business trust,

&nbsp;&nbsp;&nbsp;&nbsp;d. partnership, or

&nbsp;&nbsp;&nbsp;&nbsp;e. limited liability company,

&nbsp;&nbsp;&nbsp;&nbsp;14. The undersigned is a trust with total assets exceeding $5,000,000, which was not formed for the specific purpose of acquiring the securities offered and whose purchase is directed by a person who has such knowledge and experience in financial and business matters that he or she is capable of evaluating the merits and risks of the investment in the securities offered.

&nbsp;&nbsp;&nbsp;&nbsp;15. The undersigned is an entity, of a type not listed above, not formed for the specific purpose of acquiring the securities offered, owning investments in excess of $5,000,000.

&nbsp;&nbsp;&nbsp;&nbsp;16. The undersigned is a "family office," as defined in rule 202(a)(11)(G)-1 under the Investment Advisers Act of 1940: (i) with assets under management in excess of $5,000,000, (ii) that is not formed for the specific purpose of acquiring the securities offered, and (iii) whose prospective investment is directed by a person who has such knowledge and experience in financial and business matters that such family office is capable of evaluating the merits and risks of the prospective investment.

The undersigned is a "family client," as defined in rule 202(a)(11)(G)-1 under the Investment Advisers Act of 1940), of a family office meeting the requirements in the Section 16 above and whose prospective investment in the issuer is directed by such family office pursuant to Section 16(iii).

## Exhibit 31.1

**Exhibit 31.1**

**Certification of the Principal Executive Officer**

I, Justin Earl, Chief Executive Officer, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Nowtransit Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. I am responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15 (f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal three months (the registrant's fourth fiscal three months in the case of the annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

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| | | |
|:---|:---|:---|
| Date: January 13, 2023 | By: | /s/ Justin Earl |
|  |  | Justin Earl |
|  |  | Chief Executive Officer |
|  |  | (Principal Executive Officer) |

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## Exhibit 32.1

**Exhibit 32.1**

**CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO**

**SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002**

In connection with the Quarterly Report of Nowtransit Inc. (the "Company") on Form 10-Q for the period ended November 30, 2022 as filed with the Securities and Exchange Commission on the date hereof (the "Report"), I, Justin Earl, Principal Executive Officer and Principal Financial Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 that, to the best of my knowledge:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

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| | | |
|:---|:---|:---|
| Date: January 13, 2023 | By: | /s/ Justin Earl |
|  |  | Justin Earl |
|  |  | Chief Executive Officer |
|  |  | (Principal Executive Officer) |
|  |  | (Principal Financial Officer) |

---