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TABLE OF CONTENTS

 

		Page
PART I: FINANCIAL INFORMATION
Item 1.  Financial Statements (Unaudited)		3
Consolidated Balance Sheets as of March 31, 2009 and December 31, 2008		3
Consolidated Statements of Operations For the Three Months Ended March 31, 2009 and 2008		4
Consolidated Statements of Cash Flows For  the Three Months Ended March 31, 2009 and 2008		5
Notes to Financial Statements		6
Item 2.  Management’s Discussion and Analysis and Plan of Operation		7
Item 3.  Quantitative and Qualitative Disclosures About Market Risk		8
Item 4T.  Controls and Procedures		8
PART II: OTHER INFORMATION
Item 1.  Legal Proceedings		9
Item 1A.  Risk Factors		9
Item 2.  Unregistered Sales of Equity Securities and Use of Proceeds		9
Item 3.  Defaults upon Senior Securities		10
Item 4.  Submission of Matters to a vote of Security Holders		10
Item 5.  Other Information		10
Item 6.  Exhibits		10
Signatures		10

 

 

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Crown Equity Holdings Inc.

CONSOLIDATED BALANCE SHEETS

(Unaudited)

 

		March 31,				December 31,
		2009				2008
Assets
Current assets
Cash		$	4,570			$	2,898
Fixed assets
Equipment (net)			37,028				43,373
Total Assets		$	41,598			$	46,271
Liabilities & Stockholder's Deficit
Current liabilities
Accounts payable and accrued expenses		$	28,187			$	40,393
Accounts payable - related party			74,886				74,718
Advances from related parties			80,302				85,915
Accrued interest			2,375				—
Salaries payable			4,850				23,000
Note payable - related party			53,860				51,210
Note payable			15,700				13,700
Total current liabilities			260,160				288,936
Stockholder's Deficit
Common stock, $.001 par value, 500,000,0000 shares authorized,
71,990,632 and 69,199,632 shares issued and outstanding			71,991				69,200
Additional-paid-in-capital			6,307,213				6,030,904
Accumulated deficit			(6,597,766	)			(6,342,769	)
Total stockholder's deficit			(218,562	)			(242,665	)
Total Liabilities & Stockholders’ Deficit		$	41,598			$	46,271

 

The accompanying notes are an integral part of the financial statements

 

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Crown Equity Holdings Inc.

CONSOLIDATED STATEMENTS OF OPERATIONS

Three month periods ended March 31, 2009 and March 31, 2008

 (Unaudited)

 

		2009				2008
Revenue		$	6,144			$	572
Cost of revenues			(1,364	)			-
Gross profit			4,780				572
Expenses:
General and administrative			253,985				44,816
Depreciation			6,345				6,345
Operating loss			(255,550	)			(50,589	)
Other Income (expense)
Debt forgiveness income			1,319				—
Interest expense			(766	)			—
Total other income			553				—
Net loss		$	(254,997	)		$	(50,589	)
Net loss per share (basic and diluted):		$	(0.00	)		$	(0.00	)
Weighted average shares outstanding (basic and diluted):			70,808,676				68,572,984

 

The accompanying notes are an integral part of the unaudited financial statements

 

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Crown Equity Holdings Inc.

CONSOLIDATED STATEMENTS OF CASH FLOWS

Three month periods ended March 31, 2009 and March 31, 2008

 (Unaudited)

		2009				2008
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss		$	(254,997	)		$	(50,589	)
Adjustments to reconcile net loss to cash used
in operating activities:
Depreciation expense			6,345				6,345
Stock for services			225,100				—
Debt forgiveness income			(1,319	)			—
Net Change in:
Accounts payable and accrued expenses			(3,089	)			442
Accounts payable - related party			270				—
Accrued salaries			5,325				—
TOTAL CASH FLOWS USED IN OPERATING ACTIVITIES			(22,365	)			(43,802	)
CASH FLOWS FROM FINANCING ACTIVITIES
Advances from related party, net			(5,613	)			11,809
Proceeds from sale of stock			25,000				—
Proceeds from notes payable			2,000				—
Proceeds (repayments) on notes payable-related party			2,650				(10,000	)
TOTAL CASH FLOWS PROVIDED BY FINANCING ACTIVITIES			24,037				1,809
Net Increase (Decrease) in Cash			1,672				(41,993	)
Cash, beginning of period			2,898				48,952
Cash, end of period		$	4,570			$	6,959
SUPPLEMENTAL CASH FLOW INFORMATION
Interest paid		$	-			$	-
Income taxes paid			-				-
Non Monetary transactions
Common stock issued for accounts payable and accrued liabilities			29,000				-

 

The accompanying notes are an integral part of the unaudited financial statements

 

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Crown Equity Holdings Inc.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

NOTE 1 - BASIS OF PRESENTATION

The accompanying unaudited interim financial statements of Crown Equity Holdings Inc. (the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America and the rules of the Securities and Exchange Commission (“SEC”), and should be read in conjunction with the audited financial statements and notes thereto contained in the Company’s December 31, 2008 Annual Report filed with the SEC on Form 10-K. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of financial position and the results of operations for the interim periods presented have been reflected herein. The results of operations for interim periods are not necessarily indicative of the results to be expected for the full year. Notes to the financial statements which would substantially duplicate the disclosure contained in the audited financial statements for the most recent fiscal year end December 31, 2008 as reported on Form 10-K, have been omitted.

Certain prior year amounts have been reclassified to conform with the current year presentation.

NOTE 2 - GOING CONCERN

As shown in the accompanying financial statements, we incurred a net loss during the three months ended March 31, 2009, have an accumulated deficit and a working capital deficit as of March 31, 2009. These conditions raise substantial doubt as to our ability to continue as a going concern. Management is trying to raise additional capital through sales of common stock. The financial statements do not include any adjustments that might be necessary if we are unable to continue as a going concern.