Form 10-Q - Quarterly report [Sections 13 or 15(d)]

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-Q

(Mark One)

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

	For the quarterly period ended September 30, 2024.

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

	For the transition period from ________________to ________________

Commission File Number 333-271201

LEGEND SPICES, INC.

(Exact name of registrant as specified in its charter)

Nevada		38-4247159
(State or other jurisdiction of incorporation or organization)		(IRS Employer Identification No.)

14 Kajaznuni Street, Apt. 70, Yerevan Armenia		0070
(Address of principal executive offices)		(Zip Code)

+374 (99) 432000

(Registrant’s telephone number, including area code)

N/A

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

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

Title of each class		Trading Symbol(s)		Name of exchange on which registered
Common Stock		LGSP		N/A

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 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 the definitions 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	☐
Non-Accelerated filer	☒	Smaller reporting company	☒
		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 check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY

PROCEEDINGS DURING THE PRECEDING FIVE YEARS:

Indicate by check mark whether the registrant has filed all documents and reports required to be filed by Sections 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court. Yes ☐ No ☐

APPLICABLE ONLY TO CORPORATE ISSUERS:

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date. 6,850,000 common shares issued and outstanding as of October 20, 2024

LEGEND SPICES, INC.

FORM 10-Q

TABLE OF CONTENTS

PART I - FINANCIAL INFORMATION

Item 1.	Financial Statements	3

Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	11

Item 3.	Quantitative and Qualitative Disclosures About Market Risk	15

Item 4.	Controls and Procedures	15

PART II - OTHER INFORMATION

Item 1.	Legal Proceedings	17

Item 1A.	Risk Factors	17

Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	17

Item 3.	Defaults Upon Senior Securities	17

Item 4.	Mine Safety Disclosures	17

Item 5.	Other Information	17

Item 6.	Exhibits	18

SIGNATURES		19

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PART I - FINANCIAL INFORMATION

Item 1. Financial Statements

Our unaudited condensed financial statements for the three-months and nine-months period ended September 30, 2024 form part of this quarterly report. They are stated in United States Dollars (US$) and are prepared in accordance with United States Generally Accepted Accounting Principles.

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Legend Spices, Inc.

Unaudited Condensed Consolidated Balance Sheets

	September 30,			December 31,
	2024			2023
	(Unaudited)
ASSETS
Current assets
Cash	$	219		$	16
Accounts Receivable		1,069			2,539
Inventories		2,945			2,391
Total current assets		4,233			4,946

Total assets	$	4,233		$	4,946

LIABILITIES AND STOCKHOLDERS’ DEFICIT

LIABILITIES

Income and other taxes payable	$	303		$	112
Accounts payable		4,876			5,050
Total current liabilities		5,179			5,162
Long-term liabilities
Due to related parties		61,752			36,833
Total long-term liabilities		61,752			36,833
Total liabilities		66,931			41,995

Commitments and Contingencies		-			-

STOCKHOLDERS’ DEFICIT
Preferred stock, $0.0001 par value; 50,000,000 shares authorized zero shares issued and outstanding as of September 30, 2024 and December 31, 2023, respectively		-			-
Common stock, $0.0001 par value; 500,000,000 shares authorized; 6,850,000 and 6,850,000 shares issued and outstanding as of September 30, 2024 and December 31, 2023, respectively.		2,350			2,350
Additional paid in capital		39,554			39,554
Other comprehensive loss		(2,228	)		(801	)
Accumulated deficit		(102,374	)		(78,152	)
Total stockholders’ deficit		(62,698	)		(37,049	)

Total liabilities and stockholders’ deficit	$	4,233		$	4,946

The accompanying notes are an integral part of these unaudited condensed financial statements.

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Legend Spices, Inc.

Unaudited Condensed Consolidated Statements of Operations

Period ended

	September 30, 2024 (3 months)			September 30, 2023 (3 months)			September 30, 2024 (9 months)			September 30, 2023 (9 months)
Sales	$	1,566			1,663		$	4,552			4,289
Cost of Goods sold		958			1,108			3,016			3,800

Gross profit / (Loss)		608			555			1,536			489

Operating expenses
Wages and benefits		789			776			2,304			2,315
Professional Fees		6,173			13,327			23,385			25,088
Sales and marketing		-			-			29			-
General and administration		8			283			40			838
Total operating expenses		6,970			14,386			25,758			28,241

Net Loss from operations		(6,362	)		(13,831	)		(24,222	)		(27,752	)

Other expenses
Other expenses		-			-			-			-

Net Loss before income taxes		(6,362	)		(13,831	)		(24,222	)		(27,752	)

Income taxes		-			-			-			-

Net Loss	$	(6,362	)	$	(13,831	)	$	(24,222	)	$	(27,752	)

Foreign currency loss		(17	)		(4	)		(1,427	)		(1,672	)

Net comprehensive loss		(6,379	)		(13,827	)		(25,649	)		(29,424	)

Net loss per common share
Basic and diluted	$	(0.00	)		(0.00	)	$	(0.00	)		(0.00	)

Weighted average number of common shares
Basic and diluted		6,850,000			6,850,000			6,850,000			6,850,000

* Net loss is less than $0.001 per share.

The accompanying notes are an integral part of these unaudited condensed financial statements.

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Legend Spices, Inc.

Unaudited Condensed Consolidated Statement of Stockholders’ Deficit

	Common Stock				Additional		CS to		Other						Total
	$0.001 Par Value				Paid-in		be		comprehensive			Accumulated			Stockholders’
	Shares		Amount		Capital		issued		loss			Deficit			Deficit
Stockholders' Deficit December 31, 2023		6,850,000		2,350		39,554		-		(801	)		(78,152	)		(37,049	)
Net loss for the period													(24,222	)		(24,222	)
Foreign currency loss										(1,427	)					(1,427	)
Stockholders' Deficit September 30, 2024		6,850,000		2,350		39,554		-		(2,228	)		(102,374	)		(62,698	)
Stockholders' Deficit December 31, 2022		5,000,000		500		4,500		-		-			(15,978	)		(10,978	)
Net loss for the period													(27,752	)		(27,752	)
Foreign currency loss										(1,672	)					(1,672	)
Stockholders' Equity September 30, 2023		6,850,000	$	37,404	$	4,500	$	-		(1,672	)		(43,730	)		(3,498	)

The accompanying notes are an integral part of these unaudited condensed financial statements.

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Legend Spices, Inc.

Unaudited Condensed Consolidated Statements of Cash Flows

	September 30,			September 30,
	2024			2023
OPERATING ACTIVITIES
Net income loss	$	(24,222	)	$	(27,752	)
Changes in:
Inventories		(554	)		(362	)
Receivables		1,470			(89	)
Accounts Payable		(174	)		18,282
Accruals		191			30

Net cash used by operating activities		(23,289	)		(9,891	)

FINANCING ACTIVITIES
Related party note borrowings		24,919			34,035
Net cash provided by financing activities		24,919			34,035

NET CHANGE IN CASH		1,630			24,144

Effect of exchange rate on cash		(1,427	)		(71	)

Cash at the beginning of the period		16			199

Cash at the end of the period	$	219		$	24,272

The accompanying notes are an integral part of these unaudited condensed financial statements.

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Legend Spices, Inc.

Notes to Unaudited Condensed Financial Statements for nine months period ended September 30, 2024

1.	Nature of the Business

Legend Spices, Inc. (“the Company”) is incorporated under the Nevada Business Corporation Act. Its principal business activity is production and sales of seasonings and spices.

2.	Significant accounting policies:

(a)

Basis of presentation:

(i)

Basis of accounting

These unaudited condensed financial statements have been prepared in accordance with US GAAP and are in accordance with US GAAP.

(ii)

Non-publicly accountable enterprises

Accounting for financial instruments, which require all financial instruments, including financial derivatives and certain embedded derivatives, to be recorded at fair value. These financial instrument standards also prescribe other presentation, measurement and disclosure requirements. Accordingly, the Company continues to apply the measurement, recognition, presentation and disclosure standards permitted for non-publicly accountable enterprises.

(b)

Revenue recognition:

We recognize revenue in accordance with generally accepted accounting principles as outlined in the Financial Accounting Standard Board’s (“FASB”) Accounting Standards Codification (“ASC”) 606, Revenue From Contracts with Customers, which requires that five basic criteria be met before revenue can be recognized: (i) identify the contract with the customer; (ii) identity the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price; and (v) recognize revenue when or as the entity satisfied a performance obligation.

Revenue recognition occurs at the time product is shipped to customers, when control transfers to customers, provided there are no material remaining performance obligations required of the Company or any matters of customer acceptance. The Company only records revenue when collectability is probable.

Inventories:

Inventories (consisting entirely of raw materials) are measured at the lower of cost and net realizable value, with cost assigned by using the weighted average cost formula. Cost comprises the purchase price plus freight-in. Materials reported on the statement of operations represent inventories recognized as an expense in the period in which the related revenue is recognized. Net realizable value is the estimated selling price in the ordinary course of business less the estimated costs of completion and the estimated costs necessary to make the sale.

(d)

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, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the year. Significant items subject to such estimates and assumptions include valuation of accounts receivable, inventory, goodwill and pension obligation and the estimated useful life of buildings and equipment. Actual results could differ from those estimates.

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(e)

Foreign currency translation:

The functional currency the Armenian subsidiary is Armenian dram. Monetary assets and liabilities denominated in foreign currencies are translated at the prevailing rates of exchange at the balance sheet date. Revenues and expenses are translated at the exchange rates prevailing on the transaction dates and the translation is recorded in accumulated other comprehensive loss. Realized and unrealized exchange gains and losses are included in earnings. The Company does not use derivative instruments to mitigate foreign exchange risk.

3.	Going Concern:

As shown in the accompanying unaudited condensed financial statements, we have an accumulated deficit of $102,374 since inception, and a working capital deficit of $216 as at December 31, 2023 and $946 as at September 30, 2024. These conditions among others raise substantial doubt as to our ability to continue as a going concern. In response to these conditions, we intend to raise capital through our offering. The unaudited condensed financial statements do not include any adjustments that might be necessary if we are unable to continue as a going concern.

4.	Advances from/to shareholders:

The amounts advanced from/to the shareholders are non-interest bearing and have no specified terms of repayment and are subordinated to the bank.

5.	Earnings per share

September 30,

2024 (9 months)

September 30,

2023 (9 months)

September 30,

2024 (3 months)

September 30,

2023 (3 months)

Weighted average number of common shares

Basic and diluted

6,850,000

* Net loss is less than $0.001 per share.

6.	Financial assets and liabilities:

(a)

Fair value:

The fair values of the Company’s cash, accounts receivable, accounts payable and accrued liabilities and management bonuses payable approximate their carrying amounts.

The fair value of the other investments is market value which represents the closing bid price noted on the stock exchange. The fair value of the long-term debt approximates its carrying value as the interest rate does not differ significantly from the current market rates available to the Company for similar debt.

The significant financial risks to which the Company is exposed are credit risk, interest rate risk, market risk, currency risk and liquidity risk.

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(b)

Credit risk exposure:

Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. The Company is exposed to credit risk in the event of non-performance by counterparties in connection with its accounts receivable. The Company does not obtain collateral or other security to support the accounts receivable subject to credit risk but mitigates this risk by dealing only with what management believes to be financially sound counterparties and, accordingly, does not anticipate significant loss for non-performance.

(c)

Interest rate risk:

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The bank demand loan bears interest at the bank at 6.0%. Changes in the bank’s prime lending rate can cause fluctuations in interest payments and cash flows. The Company does not use derivative financial instruments to alter the effects of this risk.

(d)

Market risk:

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. The Company’s investments in publicly traded securities expose the Company to market risk as such investments are subject to price changes in the open market. The Company does not use derivative financial instruments to alter the effects of this risk.

(e)

Currency risk:

Currency risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in foreign exchange rates. The Company enters into foreign currency purchase and sale transactions and has assets and liabilities that are denominated in foreign currencies and thus is exposed to the financial risk of earnings fluctuations arising from changes in foreign exchange rates and the degree of volatility of these rates. The Company does not currently use derivative instruments to reduce its exposure to foreign currency risk.

(e)

Liquidity risk:

Liquidity risk is the risk that the Company will encounter difficulty in meeting obligations associated with financial liabilities. The Company is exposed to liquidity risk arising primarily from the bank demand loan. The Company’s ability to meet obligations depends on the receipt of funds from its operating subsidiaries and other related sources, whether in the form of revenue or advances.

(f)

Future income taxes:

The Company uses the tax payable method of accounting for income taxes. The tax payable method records is where the tax expense is equal to the provision for taxes payable in a particular period and deferred income tax is not recognized.

7	Income taxes:

For the nine-month periods ended September 30, 2024 and September 30, 2023, the cumulative net operating loss carry-forward from continuing operations is approximately $24,222 and $27,752, respectively, and will expire beginning in the year 2032.

The cumulative tax effect at the expected rate of 21% of significant items comprising the Company’s net deferred tax amount is as follows as of September 30, 2024 and September 30, 2023.

	September 30, 2024			September 30, 2023
Deferred tax asset attributable to:
Net operating loss carryover		(24,222	)		(27,752	)
Valuation allowance		(24,222	)		(27,752	)
Net deferred tax asset		6,850,000			6,850,000

Due to the change in ownership provisions of the Tax Reform Act of 1986, net operating loss carry forwards of approximately $5,176 for Federal income tax reporting purposes are subject to annual limitations. Should a change in ownership occur, net operating loss carry forwards may be limited as to use in future years.

Due to the enactment of the Tax Reform Act of 2017, the corporate tax rate for those tax years beginning with 2023 has been reduced to 21%.

8.	Subsequent Events:

No subsequent events.

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

FORWARD LOOKING STATEMENTS

This quarterly report contains forward-looking statements. These statements relate to future events or our future financial performance. In some cases, you can identify forward-looking statements by terminology such as “may”, “should”, “expects”, “plans”, “anticipates”, “believes”, “estimates”, “predicts”, “potential” or “continue” or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors that may cause our or our industry’s actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. Except as required by applicable law, including the securities laws of the United States, we do not intend to update any of the forward-looking statements to conform these statements to actual results.

Our unaudited condensed financial statements are stated in United States Dollars (US$) and are prepared in accordance with United States Generally Accepted Accounting Principles. The following discussion should be read in conjunction with our financial statements and the related notes that appear elsewhere in this quarterly report. The following discussion contains forward-looking statements that reflect our plans, estimates and beliefs. Our actual results could differ materially from those discussed in the forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, those discussed below and elsewhere in this quarterly report.

Our financial statements are stated in United States Dollars (US$) and are prepared in accordance with United States Generally Accepted Accounting Principles.

In this quarterly report, unless otherwise specified, all dollar amounts are expressed in United States dollars and all references to “common shares” refer to the common shares in our capital stock.

As used in this quarterly report, the terms “we”, “us”, “our” and “our company” mean Legend Spices, Inc., a Nevada company, unless otherwise indicated.

General Overview

We were incorporated under the laws of the state of Nevada on May 10, 2021.

Our fiscal year end is December 31. Our business offices are currently located at 14 Kajaznuni Street, Apt. 70 Yerevan 0070, Armenia. Our telephone number is +374 (99) 432000 and our email is info@legendspices.com.

The address of agent for service in Nevada and registered corporate office is c/o National Registered Agents, Inc. of Nevada, 100 East William Street, Suite 204, Carson City, NV, 89701.

Our Current Business

We are engaged in the production and marketing of seasonings to enhance the flavor of food, especially the foods of the Caucasus, a unique cuisine consisting primarily of grilled skewered meats and fresh vegetables. Our business is to create unique seasonings made from spices, herbs and salt sourced from Armenia into a family of products called Legend Spices. Currently our market is only Armenia.

The Caucasus is a mountainous region lying between the Black Sea (west) and the Caspian Sea (east) and occupied by Georgia, Azerbaijan and Armenia. Lodged between Asia and Europe, the Caucasus is truly in the confluence of East and West. It stands at the crossroads of the two continents and thus is a compelling blend of European and Asian cultures and heritage, packed full of stunning natural landscapes that can rival any of the top world tourist destinations.

The shared landscape combined with its location on ancient trading routes has endowed this region with a unique natural diversity and cultural history. By virtue of its physical attributes, the Southern Caucasus possesses a unique character that is well suited to the fast growing and increasingly diversified sustainable tourism market. The region is a perfect candidate for the new “adventure” tourism trends.¹ This region is also relatively safe, cheap and easy to reach (from both Europe and Asia), and yet, it’s still pretty much off the beaten path.

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Travel specialists say it won’t be long before the major regions of the Caucasus transition from “under-the-radar places to travel” to “major tourism destinations.” As Georgia, Armenia, and Azerbaijan become more popular among tourists, so will their culinary offerings — a melange of dishes influenced by Greek, Persian, and Mediterranean cuisine.²

Although each republic possesses its own characteristics, they share numerous traditions especially related to food. Caucasian cuisine is still relatively unknown to those living in the United States, Canada, and Europe. The cuisines are similar to each other with some regional variations. We see this region as an ascending tourist destination and consider it an opportunity to recreate these same flavors at home—creating an entirely new segment in the spices and seasonings category.

There is also a large number of Caucasian (especially Armenian) ex-pats living in North America and Europe who wish to acquire a taste of home away from home. In North America, there are about 2 million Armenians, 18 000 Georgians, and 14 000 Azerbaijanis. In Europe, this number is 1 million for Armenians, 15 000 for Georgians and 10 000 for Azerbaijanis. There are also many North Americans and Europeans with Caucasian heritage who have never been to their motherland and wish to connect with their roots. We hope this large group will be eager to create the cuisine of their heritage in their own kitchens. Homesick ex-pats eager to recreate the flavors of their homeland is another potential market. These highlighted groups will be our initial target market for Legend Spices products. Since these Caucasus cultures and cuisines are so interconnected, we hope our spices will appeal to all ex-pats from this region including Armenians, Georgians and Azeris living in North America and Europe. Currently, we do not have sufficient funds to execute our business plan expansion to North America and Europe and we anticipate requiring $100,000 to be able to execute the business plan.

Results of Operations

For the periods of nine months ended September 30, 2024 compared with September 30, 2023.

The following table summarizes our operating results for the nine-month and three-month periods ending September 30, 2023 and ended September 30, 2024:

	Three-month period ended September 30, 2024 (unaudited)			Three-month period ended September 30, 2023 (unaudited)			Nine-month period ended September 30, 2024 (unaudited)			Nine-month period ended September 30, 2023 (unaudited)
Revenue	$	1,566			1,663		$	4,552			4,289
Cost of Sales		958			1,108			3,016			3,800
Expenses		6,970			14,386			25,758			28,241
Net Loss	$	(6,362	)		(13,831	)	$	(24,222	)		(27,752	)

Revenue and Cost of Sales

During the nine-month period ended September 30, 2024, we generated revenues of $4,552 (106.13% comparing to previous year) with cost of sales of $3,016, resulting in gross margin of $1,536, 33.74% of nine-monthly revenues and 314.18% comparing to previous year. We generated revenues primarily from the sale of our seasoning products. The cost of sales primarily consisted of the ingredients 55% and packaging 45%.

There are minimal revenues and management cannot offer any assurance that we will continue to generate revenues as our revenues are affected by factors such as the success of our marketing efforts, the size of our customer base, consumer’s preferences and general economic conditions.

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Expenses

During the nine month period ended September 30, 2024, we incurred expenses of $25,758, primarily consisting of general and administrative expenses. Our general and administrative expenses primarily consisted of legal and accounting fees, rent and website construction. Initially, a significant portion of our expenses were attributed to one-time legal fees for the preparation of contracts and fees related to assisting a market maker with the filing of the 15c-211 with FINRA for the public offering of the shares of our common stock.

Management anticipates expenses to rise over the foreseeable future as marketing expenses increase as a result of our efforts to increase our revenues.

Since we only recently commenced business operations, management does not believe past performance is indicative of future performance.

For the periods of three months ended September 30, 2024 compared with September 30, 2023.

Revenue and Cost of Sales

During the three-month period ended September 30, 2024, we generated revenues of $1,566 (94.18% comparing to previous year) with cost of sales of $958, resulting in gross margin of $608, 38.84% of three-monthly revenues and 109.61% comparing to previous year. We generated revenues primarily from the sale of our seasoning products. The cost of sales primarily consisted of the ingredients 55% and packaging 45%.

Expenses

During the three-month periods ended September 30, 2024, we incurred expenses of $6,970 respectively, primarily consisting of general and administrative expenses. Our general and administrative expenses primarily consisted of legal and accounting fees, rent and website construction. Initially, a significant portion of our expenses were attributed to one-time legal fees for the preparation of contracts and fees related to the assisting a market maker with the filing of the 15c-211 with FINRA for the public offering of the shares of our common stock.

Management anticipates expenses to rise over the foreseeable future as marketing expenses increase as a result of our efforts to increase our revenues.

Since we only recently commenced business operations, management does not believe past performance is indicative of future performance.

Liquidity and Capital Resources

	As at September 30, 2024 (unaudited)			As at December 31, 2023 (audited)
Current assets	$	4,233			4,946
Current liabilities		5,179			5,162
Working capital (deficit)	$	(946	)		(216	)

As at September 30, 2024, we had cash of $219 and working deficit of $946. We have incurred operating losses since inception, and this is likely to continue in the foreseeable future.

We require funds to enable us to address our minimum current and ongoing expenses. Presently, our revenue is not sufficient to meet our operating and capital expenses. Management projects that we may require an additional $100,000 to fund our operating expenditures for the next twelve-month period, as follows:

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Legal and accounting	$	30,000
Salaries		15,000
Contract marketing services		10,000
Raw material purchases		10,000
Travel expenses for overseas promotion		10,000
FDA approval of all products		10,000
Advertising/Promotion		15,000
	$	100,000

We anticipate that our cash on hand and the revenue that we anticipate generating going forward from our operations will not be sufficient to satisfy all of our cash requirements for the next twelve-month period. We currently do not have committed sources of additional financing and may not be able to obtain additional financing, particularly, if the volatile conditions in the stock and financial markets persist. We plan to raise capital through an offering and loans from our director, provided that such funding continues to be available to our company. We plan to continue to seek additional funds from our director to fund our day-to-day operations until any offering is fully subscribed. We have no guarantee that our director will continue to fund our day-to-day operations. The issuance of additional equity securities may be required by our company in the future and may result in a significant dilution in the equity interests of stockholders. There is no assurance that we will be able to obtain further funds if required for our continued operations or that additional financing will be available to us when needed or, if available, that it can be obtained on commercially reasonable terms. If we are not able to obtain additional financing as required on a timely basis, we will not be able to meet certain obligations as they become due and we will be forced to scale down or perhaps even cease our operations.

Because we are in the development stage and are yet to attain profitable operations, there is substantial doubt about our ability to continue as a going concern. We have not yet achieved profitable operations, have accumulated losses since our inception and expect to incur further losses in the development of our business, all of which raise substantial doubt about our ability to continue as a going concern. Our ability to continue as a going concern is dependent upon our ability to generate future profitable operations and/or to obtain the necessary financing to meet our obligations and repay our liabilities arising from normal business operations when they come due. The issuance of additional equity securities by us could result in a significant dilution in the equity interests of our current stockholders. Obtaining commercial loans, assuming those loans would be available, will increase our liabilities and future cash commitments.

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 that is material to investors.

Product Research and Development

We anticipate that we will spend $5,000 on research and development over the twelve-month period ending September 30, 2025.

Purchase of Significant Equipment

We do not intend to purchase any significant equipment over the twelve-month period ending December 31, 2024.

Contingencies and Commitments

We had no contingencies or long-term contractual obligations as at December 31, 2023, or as at the nine month period ended September 30, 2024.

Cashflows from Investing Activities

For the year ended December 31, 2023 and for the nine-month period ended September 30, 2024 we did not have any investing activities.

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Cashflows from Financing Activities

For the nine-month period ended September 30, 2024, we had net cash used by Operating activities $23,289 and net cash provided by financing activities $24,919. Initial Start-up costs of $31,142 was provided by the CEO and President.

We have no current commitment from our Officer and Director or any other financier to supplement our operations or provide us with financing in the future. If we are unable to raise capital from an offering, we may be forced to curtail or cease our operations. Even if we are able to continue our operations, the failure to obtain financing could have a substantial adverse effect on our business and financial results.

In the future, we may be required to seek additional capital by selling debt or equity securities, selling assets, or otherwise be required to bring cash flows in balance when we approach a condition of cash insufficiency. The sale of additional equity or debt securities, if accomplished, may result in dilution to our then shareholders. We provide no assurance that financing will be available in amounts or on terms acceptable to us, or at all.

We estimate the need for approximately $100,000 funding during the next 12 months to commence our business operations as planned. We hope to raise this amount from an offering. If we are unable to raise this amount, we will be restricted in the implementation of our business plan.

Expenditures

The following chart provides an overview of our budgeted expenditures for the 12 months. The expenditures are categorized by significant area of activity.

Legal and accounting	$	30,000
Salaries		15,000
Contract marketing services		10,000
Raw material purchases		10,000
Travel expenses for overseas promotion		10,000
FDA approval of all products		10,000
Advertising/Promotion		15,000
	$	100,000

We had cash on hand of $219 as of September 30, 2024.

Off-Balance Sheet Arrangements

We have no off-balance sheet arrangements.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

As a “smaller reporting company”, we are not required to provide the information required by this Item.

Item 4. Controls and Procedures

Management’s Report on Disclosure Controls and Procedures

We maintain disclosure controls and procedures that are designed to ensure that information required to be disclosed in our reports filed under the Securities Exchange Act of 1934, as amended, is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms, and that such information is accumulated and communicated to our management, including our president (our principal executive officer, principal financial officer and principle accounting officer) to allow for timely decisions regarding required disclosure.

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Management has conducted, with the participation of our president (our principal executive officer and our principal accounting officer and principal financial officer), an evaluation of the effectiveness of our internal control over financial reporting as of September 30, 2024 in accordance with the criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission (“COSO”) in Internal Control — Integrated Framework. Based on this assessment, management concluded that as of September 30, 2024, our company’s internal control over financial reporting was not effective based on present company activity. In the course of making our assessment, we identified a material weakness in our internal control over financial reporting. This material weakness consisted of inadequate staffing and supervision within the bookkeeping and accounting operations of our company. The relatively small number of staffs who have bookkeeping and accounting functions prevents us from segregating duties within our financial reporting.

This quarterly report does not include an attestation report from our registered public accounting firm regarding internal control over financial reporting. Management’s report was not subject to attestation by our registered public accounting firm pursuant to rules of the Securities and Exchange Commission that permit us to provide only the management’s report in this quarterly report.

Changes in Internal Control Over Financial Reporting

During the period covered by this report there were no changes in our internal control over financial reporting that materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

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PART II - OTHER INFORMATION

Item 1. Legal Proceedings

From time to time, we may become involved in litigation relating to claims arising out of its operations in the normal course of business. We are not involved in any pending legal proceeding or litigation and, to the best of our knowledge, no governmental authority is contemplating any proceeding to which we area party or to which any of our properties is subject, which would reasonably be likely to have a material adverse effect on us, except for the following:

Item 1A. Risk Factors

As a “smaller reporting company”, we are not required to provide the information required by this Item.

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

No Unregistered sales of Equity Securities.

Item 3. Defaults Upon Senior Securities

None.

Item 4. Mine Safety Disclosures

Not applicable.

Item 5. Other Information

None.

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Item 6. Exhibits

Exhibit Number		Description
(3)		Articles of Incorporation and Bylaws
3.1		Articles of Incorporation (Incorporated by reference from the Form S-1 registration statement filed on April 10, 2023)
3.2		Bylaws (Incorporated by reference from the Form S-1 registration statement filed on April 10, 2023)

(10)		Material Contracts

14.1		Code of Ethics (Incorporated by reference from the Form S-1 registration statement filed on April 10, 2023)

(31)		Rule 13a-14(a)/15d-14(a) Certifications
31.1*		Section 302 Certification under the Sarbanes-Oxley Act of 2002 of the Principal Executive Officer, Principal Financial Officer and Principal Accounting Officer.

(32)		Section 1350 Certifications
32.1*		Section 906 Certification under the Sarbanes-Oxley Act of 2002 of the Principal Executive Officer and Principal Financial Officer and Principal Accounting Officer.

* Filed herewith.

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SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) 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.

		LEGEND SPICES, INC.
		(Registrant)

Date: November 14, 2024
		Khachatur Mkrtchyan
		Chairman, President, Chief Executive Officer,
		(Principal Executive Officer, Principal Financial Officer and Principal Accounting Officer)

nullnull

Cover - shares	9 Months Ended
Cover - shares	Sep. 30, 2024	Oct. 20, 2024
Cover [Abstract]
Entity Registrant Name	LEGEND SPICES, INC.
Entity Central Index Key	0001970129
Document Type	10-Q
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Small Business	true
Entity Shell Company	false
Entity Emerging Growth Company	false
Entity Current Reporting Status	Yes
Document Period End Date	Sep. 30, 2024
Entity Filer Category	Non-accelerated Filer
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2024
Entity Common Stock Shares Outstanding		6,850,000
Document Quarterly Report	true
Document Transition Report	false
Entity File Number	333-271201
Entity Incorporation State Country Code	NV
Entity Tax Identification Number	38-4247159
Entity Address Address Line 1	14 Kajaznuni Street
Entity Address Address Line 2	Apt. 70
Entity Address City Or Town	Yerevan
Entity Address Country	AM
Entity Address Postal Zip Code	0070
City Area Code	99
Local Phone Number	432000
Security 12b Title	Common Stock
Entity Interactive Data Current	Yes
Trading Symbol	LGSP

Condensed Consolidated Balance Sheets - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Current assets
Cash	$ 219	$ 16
Accounts Receivable	1,069	2,539
Inventories	2,945	2,391
Total current assets	4,233	4,946
Total assets	4,233	4,946
LIABILITIES
Income and other taxes payable	303	112
Accounts payable	4,876	5,050
Total current liabilities	5,179	5,162
Long-term liabilities
Due to related parties	61,752	36,833
Total long-term liabilities	61,752	36,833
Total liabilities	66,931	41,995
Commitments and Contingencies	0	0
STOCKHOLDERS' DEFICIT
Preferred stock, $0.0001 par value; 50,000,000 shares authorized zero shares issued and outstanding as of September 30, 2024 and December 31, 2023, respectively	0	0
Common stock, $0.0001 par value; 500,000,000 shares authorized; 6,850,000 and 6,850,000 shares issued and outstanding as of September 30, 2024 and December 31, 2023, respectively.	2,350	2,350
Additional paid in capital	39,554	39,554
Other comprehensive loss	(2,228)	(801)
Accumulated deficit	(102,374)	(78,152)
Total stockholders' deficit	(62,698)	(37,049)
Total liabilities and stockholders' deficit	$ 4,233	$ 4,946

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2024	Dec. 31, 2023
Condensed Consolidated Balance Sheets
Preferred stock, par value	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	50,000,000	50,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares authorized	500,000,000	500,000,000
Common stock, shares issued	6,850,000	6,850,000
Common stock, shares outstanding	6,850,000	6,850,000

Unaudited Condensed Consolidated Statements of Operations - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Unaudited Condensed Consolidated Statements of Operations
Sales	$ 1,566	$ 1,663	$ 4,552	$ 4,289
Cost of Goods sold	958	1,108	3,016	3,800
Gross profit / (Loss)	608	555	1,536	489
Operating expenses:
Wages and benefits	789	776	2,304	2,315
Professional Fees	6,173	13,327	23,385	25,088
Sales and marketing	0	0	29	0
General and administration	8	283	40	838
Total operating expenses	6,970	14,386	25,758	28,241
Net Loss from operations	(6,362)	(13,831)	(24,222)	(27,752)
Other expenses:
Other expenses	0	0	0	0
Net Loss before income taxes	(6,362)	(13,831)	(24,222)	(27,752)
Income taxes	0	0	0	0
Net Loss	(6,362)	(13,831)	(24,222)	(27,752)
Foreign currency loss	(17)	(4)	(1,427)	(1,672)
Net comprehensive loss	$ (6,379)	$ (13,827)	$ (25,649)	$ (29,424)
Net loss per common share
Basic and diluted	$ 0.00	$ 0.00	$ 0.00	$ 0.00
Weighted average number of common shares
Basic and diluted	6,850,000	6,850,000	6,850,000	6,850,000

Unaudited Condensed Consolidated Statement of Stockholders' Equity - USD ($)	Total	Common Stock	Additional Paid-In Capital	CS to be issued	Other comprehensive loss	Accumulated Deficit
Balance, shares at Dec. 31, 2022		5,000,000
Balance, amount at Dec. 31, 2022	$ (10,978)	$ 500	$ 4,500	$ 0	$ 0	$ (15,978)
Net loss for the period	(27,752)					(27,752)
Foreign currency loss	(1,672)				(1,672)
Balance, shares at Sep. 30, 2023		6,850,000
Balance, amount at Sep. 30, 2023	(3,498)	$ 37,404	4,500	0	(1,672)	(43,730)
Balance, shares at Dec. 31, 2023		6,850,000
Balance, amount at Dec. 31, 2023	(37,049)	$ 2,350	39,554	0	(801)	(78,152)
Net loss for the period	(24,222)					(24,222)
Foreign currency loss	(1,427)				(1,427)
Balance, shares at Sep. 30, 2024		6,850,000
Balance, amount at Sep. 30, 2024	$ (62,698)	$ 2,350	$ 39,554	$ 0	$ (2,228)	$ (102,374)

Unaudited Condensed Consolidated Statements of Cash Flows - USD ($)	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
OPERATING ACTIVITIES
Net income loss	$ (24,222)	$ (27,752)
Changes in:
Inventories	(554)	(362)
Receivables	1,470	(89)
Accounts Payable	174	18,282
Accruals	191	30
Net cash used by operating activities	(23,289)	(9,891)
FINANCING ACTIVITIES
Related party note borrowings	24,919	34,035
Net cash provided by financing activities	24,919	34,035
NET CHANGE IN CASH	1,630	24,144
Effect of exchange rate on cash	(1,427)	(71)
Cash at the beginning of the period	16	199
Cash at the end of the period	$ 219	$ 24,272

Nature of the business

9 Months Ended

Sep. 30, 2024

Nature of the business

Nature of the business

1.	Nature of the Business

Legend Spices, Inc. (“the Company”) is incorporated under the Nevada Business Corporation Act. Its principal business activity is production and sales of seasonings and spices.

Significant accounting policies

9 Months Ended

Sep. 30, 2024

Significant accounting policies

Significant accounting policies

2.	Significant accounting policies:

(a)

Basis of presentation:

(i)

Basis of accounting

These unaudited condensed financial statements have been prepared in accordance with US GAAP and are in accordance with US GAAP.

(ii)

Non-publicly accountable enterprises

(b)

Revenue recognition:

Inventories:

(d)

Use of estimates:

(e)

Foreign currency translation:

Going Concern

9 Months Ended

Sep. 30, 2024

Going Concern

Going Concern

3.	Going Concern:

Advances from to shareholders

9 Months Ended

Sep. 30, 2024

Advances from to shareholders

Advances from/to shareholders

4.	Advances from/to shareholders:

The amounts advanced from/to the shareholders are non-interest bearing and have no specified terms of repayment and are subordinated to the bank.

Earnings per share

9 Months Ended

Sep. 30, 2024

Earnings per share

Earnings per share

5.	Earnings per share

September 30,

2024 (9 months)

September 30,

2023 (9 months)

September 30,

2024 (3 months)

September 30,

2023 (3 months)

Weighted average number of common shares

Basic and diluted

6,850,000

* Net loss is less than $0.001 per share.

Financial assets and liabilities

9 Months Ended

Sep. 30, 2024

Financial assets and liabilities

Financial assets and liabilities

6.	Financial assets and liabilities:

(a)

Fair value:

The fair values of the Company’s cash, accounts receivable, accounts payable and accrued liabilities and management bonuses payable approximate their carrying amounts.

The significant financial risks to which the Company is exposed are credit risk, interest rate risk, market risk, currency risk and liquidity risk.

(b)

Credit risk exposure:

(c)

Interest rate risk:

(d)

Market risk:

(e)

Currency risk:

(e)

Liquidity risk:

(f)

Future income taxes:

Income taxes

9 Months Ended

Sep. 30, 2024

Income taxes

Income taxes

7	Income taxes:

The cumulative tax effect at the expected rate of 21% of significant items comprising the Company’s net deferred tax amount is as follows as of September 30, 2024 and September 30, 2023.

	September 30, 2024			September 30, 2023
Deferred tax asset attributable to:
Net operating loss carryover		(24,222	)		(27,752	)
Valuation allowance		(24,222	)		(27,752	)
Net deferred tax asset		6,850,000			6,850,000

Due to the enactment of the Tax Reform Act of 2017, the corporate tax rate for those tax years beginning with 2023 has been reduced to 21%.

Subsequent events

9 Months Ended

Sep. 30, 2024

Subsequent events

Subsequent events

8.	Subsequent Events:

No subsequent events.

Significant accounting policies (Policies)

9 Months Ended

Sep. 30, 2024

Significant accounting policies

Basis of Presentation

(i)

Basis of accounting

These unaudited condensed financial statements have been prepared in accordance with US GAAP and are in accordance with US GAAP.

(ii)

Non-publicly accountable enterprises

Revenue Recognition

Inventories

Use of estimates

Foreign currency translation

Earnings Per Share (Table)

9 Months Ended

Sep. 30, 2024

Earnings per share

Schedule of basic and diluted earnings and loss per share

September 30,

2024 (9 months)

September 30,

2023 (9 months)

September 30,

2024 (3 months)

September 30,

2023 (3 months)

Weighted average number of common shares

Basic and diluted

6,850,000

Income taxes (Table)

9 Months Ended

Sep. 30, 2024

Income taxes

Schedule of deferred tax assets

	September 30, 2024			September 30, 2023
Deferred tax asset attributable to:
Net operating loss carryover		(24,222	)		(27,752	)
Valuation allowance		(24,222	)		(27,752	)
Net deferred tax asset		6,850,000			6,850,000

Going Concern (Details Narrative) - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Going Concern
Accumulated deficit	$ (102,374)	$ (78,152)
Working capital deficit	$ (946)	$ (216)

Earnings per share (Details) - shares	3 Months Ended		9 Months Ended
Earnings per share (Details) - shares	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Earnings per share
Weighted average number of common shares basic and diluted	6,850,000	6,850,000	6,850,000	6,850,000

Financial assets and liabilities (Details Narrative)	9 Months Ended
Financial assets and liabilities (Details Narrative)	Sep. 30, 2024
Financial assets and liabilities
Interest rate risk	6.00%

Income taxes (Details) - USD ($)	Sep. 30, 2024	Sep. 30, 2023
Income taxes
Net operating loss carryover	$ (24,222)	$ (27,752)
Valuation allowance	(24,222)	(27,752)
Net deferred tax asset	$ 6,850,000	$ 6,850,000

Income taxes (Details Narrative) - USD ($)	9 Months Ended
Income taxes (Details Narrative) - USD ($)	Sep. 30, 2024	Sep. 30, 2023
Income taxes
Federal income tax	$ 5,176
Net Operating loss carryover	$ 24,222	$ 27,752
Cumulative tax effect at the expected rate	21.00%
Corporate tax rate	21.00%

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