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TagLikeMe Corp.
0001323143
10-Q
2013-09-30
false
--12-31
No
No
Yes
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<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Equipment is recorded at cost and is depreciated
over their estimated useful lives using the declining balance method at the following annual rates:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"> </p>
<table cellspacing="0" cellpadding="0" style="width: 100%">
<tr style="vertical-align: top; background-color: #CCEEFF">
<td style="width: 52%; font: 10pt Times New Roman, Times, Serif"><font style="font-size: 10pt">Computer equipment</font></td>
<td style="width: 48%; font: 10pt Times New Roman, Times, Serif"><font style="font-size: 10pt">30%</font></td></tr>
</table>
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<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Fixed assets, stated at cost, less accumulated
depreciation at September 30, 2013 and December 31, 2012, consisted of the following:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: bottom">
<td> </td>
<td colspan="3" style="border-bottom: black 2.25pt solid">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>September 30,</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>2013</b></p></td>
<td nowrap="nowrap"> </td>
<td colspan="3" style="border-bottom: black 2.25pt solid">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>December 31,</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>2012</b></p></td>
<td nowrap="nowrap"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="width: 78%; text-indent: 0in"><font style="font-size: 10pt">Equipment</font></td>
<td style="width: 1%; text-align: right"> </td>
<td style="width: 1%"><font style="font-size: 10pt">$</font></td>
<td style="width: 8%; text-align: right"><font style="font-size: 10pt">3,143</font></td>
<td nowrap="nowrap" style="width: 1%"> </td>
<td style="width: 1%; text-align: right"> </td>
<td style="width: 1%"><font style="font-size: 10pt">$</font></td>
<td style="width: 8%; text-align: right"><font style="font-size: 10pt">3,143</font></td>
<td nowrap="nowrap" style="width: 1%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="text-indent: 0in"><font style="font-size: 10pt">Less: Accumulated Depreciation</font></td>
<td style="text-align: right"> </td>
<td style="border-bottom: black 2.25pt solid"> </td>
<td style="border-bottom: black 2.25pt solid; text-align: right"><font style="font-size: 10pt">(1,653</font></td>
<td nowrap="nowrap"><font style="font-size: 10pt">)</font></td>
<td style="text-align: right"> </td>
<td style="border-bottom: black 2.25pt solid"> </td>
<td style="border-bottom: black 2.25pt solid; text-align: right"><font style="font-size: 10pt">(237</font></td>
<td nowrap="nowrap"><font style="font-size: 10pt">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="text-indent: 0in"><font style="font-size: 10pt">Equipment, net</font></td>
<td style="text-align: right"> </td>
<td style="border-bottom: black 2.25pt solid"><font style="font-size: 10pt">$</font></td>
<td style="border-bottom: black 2.25pt solid; text-align: right"><font style="font-size: 10pt">1,490</font></td>
<td nowrap="nowrap"> </td>
<td style="text-align: right"> </td>
<td style="border-bottom: black 2.25pt solid"><font style="font-size: 10pt">$</font></td>
<td style="border-bottom: black 2.25pt solid; text-align: right"><font style="font-size: 10pt">2,906</font></td>
<td nowrap="nowrap"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><i>Depreciation expense</i></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Depreciation expense for the nine months ended
September 30, 2013 and the year ended December 31, 2012 was $1,416 and $237, respectively.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Share Capital</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company is authorized to issue 2,000,000,000
shares of common stock with a par value of $0.001 per share.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company has 854,381,016 common shares issued
and 612,794,095 common shares outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Common shares issued and outstanding</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">During the nine months ended September 30,
2013, the Company issued 281,853,465 common shares as follows:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On May 7, 2013, the Company issued 17,101,710
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On May 28, 2013, the Company issued 6,427,916
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On June 10, 2013, the Company issued 4,545,454
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On June 18, 2013, the Company issued 4,489,338
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On June 25, 2013, the Company issued 4,500,000
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On July 2, 2013, the Company issued 6,080,477
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On July 16, 2013, the Company issued 6,000,000
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On July 16, 2013, the Company issued 15,584,416
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On July 17, 2013, the Company issued 12,500,000
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On July 23, 2013, the Company issued 8,471,075
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On July 31, 2013, the Company issued 18,660,000
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On August 6, 2013, the Company issued 18,660,000
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On August 7, 2013, the Company issued 13,500,000
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On August 26, 2013, the Company issued 21,360,000
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On August 29, 2013, the Company issued 20,360,000
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On September 5, 2013, the Company issued 22,300,000
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On September 9, 2013, the Company issued 8,913,079
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On September 13, 2013, the Company issued 23,400,000
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On September 20, 2013, the Company issued 24,000,000
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On September 27, 2013, the Company issued 25,000,000
common shares pursuant to a convertible promissory note. These common shares were outstanding as of September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Common shares issued and not yet outstanding</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">During the nine months ended September 30,
2013, the Company issued 241,586,921 common shares that are not yet outstanding as of September 30, 2013. They are as follows:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On April 10, 2013, the Company issued 15,000,000
common shares pursuant to a convertible promissory note. As of September 30, 2013, these common shares were held in escrow and
not outstanding.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On May 14, 2013, the Company issued 20,000,000
common shares pursuant to a convertible promissory note. As of September 30, 2013, these common shares were held in escrow and
not outstanding.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On June 3, 2103, the Company issued 15,000,000
common shares pursuant to a convertible promissory note. As of September 30, 2013, these common shares were held in escrow and
not outstanding.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On August 19, 2103, the Company issued 187,000,000
common shares pursuant to a convertible promissory note. As of September 30, 2013, these common shares were held in escrow and
not outstanding.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On September 10, 2103, the Company issued 4,586,921
common shares pursuant to a convertible promissory note. As of September 30, 2013, these common shares were held in escrow and
not outstanding.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Management Fees</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">During the nine months ended September 30,
2013 and 2012, the Company incurred $98,766 and $61,040 of management fees to officers and directors. At September 30, 2013 and
December 31, 2012, total amounts due to related parties in accrued and unpaid management fees were $24,273 and $9,518<b>.</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">During the nine months ended September 30,
2013, the Company entered into eight Securities Purchase Agreements with three unrelated third parties. The unrelated third parties
were assigned $656,630 of the Company’s loans payable debt. Pursuant to the agreement, the terms of the debt were restructured
to give convertible features, which are further described in note 7. The Company accrued interest on the loans payable in the amount
of $9,600 for the nine months ended September 30, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">In the nine months ended September 30, 2013,
the Company entered into nine convertible note agreements.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On April 1, 2013, the Company entered into
a Securities Purchase Agreement with Hanover Holdings I, LLC for a $32,500 convertible note payable due interest at 12% per annum,
unsecured, and due December 1, 2013. The note is convertible into common shares of the Company at any time from the date of issuance
at a conversion rate of 55% of the market price, calculated as the average of the lowest trading prices in the previous 3 days
leading up to the date of conversion.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On April 15, 2013, Magna Group, LLC was assigned
$95,000 of the Company’s note payable debt. In connection with assignment of the debt, the Company entered into a Securities
Purchase Agreement with Magna Group, LLC for a $95,000 convertible note payable with interest of 12% per annum, unsecured, and
due April 14, 2014. The note is convertible into common shares of the Company at any time from the date of issuance at a conversion
rate of 55% of the market price, calculated as the lowest of the three trading prices in the previous 3 days leading up to the
date of conversion. On May 6, 2013, Magna Group, LLC exercised its option to convert the entire $95,000 of debt into 17,101,710
common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On May 10, 2013, the Company entered into a
Securities Purchase Agreement with Hanover Holdings I, LLC for a $31,500 convertible note payable due interest at 12% per annum,
unsecured, and due December 1, 2013. The note is convertible into common shares of the Company at any time from the date of issuance
at a conversion rate of 55% of the market price, calculated as the average of the lowest trading prices in the previous 5 days
leading up to the date of conversion.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On May 10, 2013, Magna Group, LLC was assigned
$100,000 of the Company’s note payable debt. In connection with the assignment of debt, the Company entered into a Securities
Purchase Agreement with Magna Group, LLC for a $100,000 convertible note payable due interest at 12% per annum, unsecured, and
due May 10, 2014. The note is convertible into common shares of the Company at any time from the date of issuance at a conversion
rate of 55% of the market price, calculated as the average of the lowest trading prices in the previous 5 days leading up to the
date of conversion. On May 28, 2013, Magna Group, LLC exercised its option to convert $35,000 of debt into 6,427,916 common shares.
On June 10, 2013, Magna Group, LLC exercised its option to convert $25,000 of debt into 4,545,454 common shares. On June 18, 2013,
Magna Group, LLC exercised its option to convert $20,000 of debt into 4,489,338 common shares. On June 28, 2013, Magna Group, LLC
exercised its option to convert $20,000 of debt into 6,080,477 common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On May 21, 2013, WHC Capital, LLC was assigned
$100,000 of the Company’s note payable debt. In connection with the assignment of debt, the Company entered into a Securities
Purchase Agreement with WHC Capital ,LLC for a $100,000 convertible note payable due interest at 10% per annum, unsecured, and
due March 21, 2014. The note is convertible into common shares of the Company at any time from the date of issuance at a conversion
rate of 55% of the market price, calculated as the average of the lowest trading prices in the previous 5 days leading up to the
date of conversion. On June 20, 2013, WHC Capital, LLC exercised its option to convert $20,378 of debt into 4,500,000 common shares.
On July 16, 2013, WHC exercised its option to convert $15,840 of debt into 6,000,000 common shares. On July 17, 2013, WHC exercised
its option to convert $27,500 of debt into 12,500,000 common shares. On August 7, 2013, WHC exercised its option to convert $24,750
of debt into 13,500,000 common shares. On September 9, 2013,WHC exercised its option to convert $12,419 of debt into 8,913,079
common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On May 31, 2013, the Company entered into a
Securities Purchase Agreement with Hanover Holdings I, LLC for a $31,500 convertible note payable due interest at 12% per annum,
unsecured, and due January 31, 2014. The note is convertible into common shares of the Company at any time from the date of issuance
at a conversion rate of 55% of the market price, calculated as the average of the lowest trading prices in the previous 5 days
leading up to the date of conversion.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On May 31, 2013, Magna Group, LLC was assigned
$50,000 of the Company’s note payable debt. In connection with the assignment of debt, the Company entered into a Securities
Purchase Agreement with Magna Group, LLC for a $50,000 convertible note payable due interest at 12% per annum, unsecured, and due
January 31, 2014. The note is convertible into common shares of the Company at any time from the date of issuance at a conversion
rate of 55% of the market price, calculated as the average of the lowest trading prices in the previous 5 days leading up to the
date of conversion. On July 16, 2013, Magna exercised its option to convert $30,000 of debt into 15,584,416 common shares. On July
23, 2013, Magna exercised its option to convert $20,000 of debt plus $500 in interest into 8,471,075 common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On June 14, 2013, the Company entered into
a Securities Purchase Agreement with WHC Capital, LLC for a $45,000 convertible note payable due interest at 10% per annum, unsecured,
and due May 21, 2014. The note is convertible into common shares of the Company at any time from the date of issuance at a conversion
rate of 55% of the market price, calculated as the average of the lowest trading prices in the previous 5 days leading up to the
date of conversion.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On July 24, 2013, CP-US Income Group, LLC was
assigned $100,000 of the Company’s note payable debt and $6,545 in accrued interest on that note payable debt. In connection
with the assignment of debt, the Company entered into a Securities Purchase Agreement with CP-US Income Group, LLC for a $106,545
convertible note payable due interest at 10% per annum, unsecured, and due on demand. The note is convertible into common shares
of the Company at any time from the date of issuance at a conversion rate of 50% of the market price, calculated as the average
of the lowest trading prices in the previous 5 days leading up to the date of conversion. On August 26, 2013, CP-US Income Group,
LLC exercised its option to convert $8,162 of debt into 5,829,736 common shares. On September 5, 2013, CP-US Income Group, LLC
exercised its option to convert $27,875 of debt into 22,300,000 common shares. On September 13, 2013, CP-US Income Group, LLC exercised
its option to convert $23,400 of debt into 23,400,000 common shares. On September 20, 2013, CP-US Income Group, LLC exercised its
option to convert $20,400 of debt into 24,000,000 common shares. On September 27, 2013, CP-US Income Group, LLC exercised its option
to convert $18,750 of debt into 25,000,000 common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On July 24, 2013, CP-US Income Group, LLC was
assigned $25,000 of the Company’s note payable debt and $3,303 in accrued interest on that note payable debt. In connection
with the assignment of debt, the Company entered into a Securities Purchase Agreement with CP-US Income Group, LLC for a $28,303
convertible note payable due interest at 10% per annum, unsecured, and due on demand. The note is convertible into common shares
of the Company at any time from the date of issuance at a conversion rate of 50% of the market price, calculated as the average
of the lowest trading prices in the previous 5 days leading up to the date of conversion.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On July 24, 2013, CP-US Income Group, LLC was
assigned $60,000 of the Company’s note payable debt and $5,980 in accrued interest on that note payable debt. In connection
with the assignment of debt, the Company entered into a Securities Purchase Agreement with CP-US Income Group, LLC for a $65,980
convertible note payable due interest at 10% per annum, unsecured, and due on demand. The note is convertible into common shares
of the Company at any time from the date of issuance at a conversion rate of 50% of the market price, calculated as the average
of the lowest trading prices in the previous 5 days leading up to the date of conversion.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On July 24, 2013, CP-US Income Group, LLC was
assigned $75,000 of the Company’s note payable debt and $35,801 in accrued interest on that note payable debt. In connection
with the assignment of debt, the Company entered into a Securities Purchase Agreement with CP-US Income Group, LLC for a $110,801
convertible note payable due interest at 10% per annum, unsecured, and due on demand. The note is convertible into common shares
of the Company at any time from the date of issuance at a conversion rate of 50% of the market price, calculated as the average
of the lowest trading prices in the previous 5 days leading up to the date of conversion. On July 31, 2013, CP-US Income Group,
LLC exercised its option to convert $32,655 of debt into 18,660,000 common shares. On August 6, 2013, CP-US Income Group, LLC exercised
its option to convert $27,900 of debt into 18,660,000 common shares. On August 26, 2013, CP-US Income Group, LLC exercised its
option to convert $21,742 of debt into 15,530,264 common shares. On August 29, 2013, CP-US Income Group, LLC exercised its option
to convert $28,504 of debt into 20,360,000 common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On July 24, 2013, the Company entered into
a Securities Purchase Agreement with CP-US Income LLC for a $80,000 convertible note payable due interest at 10% per annum, unsecured,
and due on demand. The note is convertible into common shares of the Company at any time from the date of issuance at a conversion
rate of 50% of the market price, calculated as the average of the lowest trading prices in the previous 5 days leading up to the
date of conversion.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On September 26, 2013, the Company entered
into a Securities Purchase Agreement with WHC Capital, LLC for a $25,000 convertible note payable due interest at 10% per annum,
unsecured, and due September 26, 2014. The note is convertible into common shares of the Company at any time from the date of issuance
at a conversion rate of 50% of the market price, calculated as the average of the lowest trading prices in the previous 5 days
leading up to the date of conversion.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><u>Conversion of convertible debt</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">In the nine months ended September 30, 2013,
Magna Group, LLC converted $245,000 of convertible debt and $900 of accrued interest into 62,700,386 common shares, WHC Capital,
LLC converted $100,000 of convertible debt and $886 of accrued interest into 45,413,039 common shares, and CP-US Income LLC converted
$167,042 of convertible debt and $42,346 of accrued interest into 173,740,000 common shares. The following table summarizes
the total outstanding principle on convertible notes payable:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: bottom">
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 2.25pt solid">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>September 30,</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>2013</b></p></td>
<td nowrap="nowrap"> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 2.25pt solid">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>December 31,</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>2012</b></p></td>
<td nowrap="nowrap"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td>
<td> </td>
<td colspan="2"> </td>
<td nowrap="nowrap"> </td>
<td> </td>
<td colspan="2"> </td>
<td nowrap="nowrap"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="width: 78%"><font style="font-size: 10pt">Convertible Notes Payable- Magna Group, LLC</font></td>
<td style="width: 1%; text-align: right"> </td>
<td style="width: 1%"><font style="font-size: 10pt">$</font></td>
<td style="width: 8%; text-align: right"><font style="font-size: 10pt">-</font></td>
<td nowrap="nowrap" style="width: 1%"> </td>
<td style="width: 1%; text-align: right"> </td>
<td style="width: 1%"><font style="font-size: 10pt">$</font></td>
<td style="width: 8%; text-align: right"><font style="font-size: 10pt">-</font></td>
<td nowrap="nowrap" style="width: 1%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td><font style="font-size: 10pt">Convertible Notes Payable- Hanover Holdings I, LLC</font></td>
<td style="text-align: right"> </td>
<td> </td>
<td style="text-align: right"><font style="font-size: 10pt">95,500</font></td>
<td nowrap="nowrap"> </td>
<td style="text-align: right"> </td>
<td> </td>
<td style="text-align: right"><font style="font-size: 10pt">-</font></td>
<td nowrap="nowrap"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td><font style="font-size: 10pt">Convertible Notes Payable- WHC Capital, LLC</font></td>
<td style="text-align: right"> </td>
<td> </td>
<td style="text-align: right"><font style="font-size: 10pt">70,000</font></td>
<td nowrap="nowrap"> </td>
<td style="text-align: right"> </td>
<td> </td>
<td style="text-align: right"><font style="font-size: 10pt">-</font></td>
<td nowrap="nowrap"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td><font style="font-size: 10pt">Convertible Notes Payable - CP-US Income, LLC</font></td>
<td style="text-align: right"> </td>
<td style="border-bottom: black 2.25pt solid"> </td>
<td style="border-bottom: black 2.25pt solid; text-align: right"><font style="font-size: 10pt">182,242</font></td>
<td nowrap="nowrap"> </td>
<td style="text-align: right"> </td>
<td style="border-bottom: black 2.25pt solid"> </td>
<td style="border-bottom: black 2.25pt solid; text-align: right"><font style="font-size: 10pt">-</font></td>
<td nowrap="nowrap"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td><font style="font-size: 10pt">Total Convertible Notes Payable</font></td>
<td style="text-align: right"> </td>
<td style="border-bottom: black 4.5pt double"><font style="font-size: 10pt">$</font></td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font-size: 10pt">347,742</font></td>
<td nowrap="nowrap"> </td>
<td style="text-align: right"> </td>
<td style="border-bottom: black 4.5pt double"><font style="font-size: 10pt">$</font></td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font-size: 10pt">-</font></td>
<td nowrap="nowrap"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">For the nine months ended September 30, 2013
and 2012, the Company recorded interest expense related to the convertible notes in the amount of $16,494 and $0.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><u>Derivative liability</u></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">At September 30, 2013 and December 31, 2012,
the Company had $3,648,697 and $0 in derivative liability pertaining to the outstanding convertible notes.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; color: #222222"><font style="background-color: white">Management
has evaluated subsequent events pursuant to the requirements of ASC Topic 855 and has determined that other than listed below,
no other material subsequent events exist.</font></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Convertible Promissory Notes Issued:</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On November 1, 2013, the Company
entered into a Securities Purchase Agreement with IBC Funds, LLC for a $133,705 convertible promissory note payable due
interest at 8% per annum, unsecured, and due November 1, 2014. The $133,705 of debt includes $80,000 in debt assigned from CP-US
Income Group pursuant to its convertible promissory note dated July 24, 2013. The note is convertible into common shares of
the Company at any time from the date of issuance at a conversion rate of 50% of the market price, calculated as the average
of the lowest trading prices in the previous 20 trading days leading up to the date of conversion.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On November 11, 2013, the Company entered into
a Securities Purchase Agreement with Hanover Holdings I, LLC for a $9,000 convertible promissory note payable due interest at 12% per annum, unsecured, and due November 11, 2014. The note is convertible into common shares of the Company at any time from the
date of issuance at a conversion rate of 50% of the market price, calculated as the average of the lowest trading prices in the
previous 20 trading days leading up to the date of conversion.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Convertible Promissory Notes Converted:</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On October 3, 2013, CP-US Income Group LLC
exercised its option to convert $7,958 of debt into 11,369,229 common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On October 3, 2013, CP-US Income Group LLC
exercised its option to convert $13,042 of debt into 18,630,771 common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On October 9, 2013, CP-US Income Group LLC
exercised its option to convert $19,500 of debt into 30,000,000 common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On October 14, 2013, CP-US Income Group LLC
exercised its option to convert $20,800 of debt into 32,000,000 common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On October 17, 2013, CP-US Income Group LLC
exercised its option to convert $8,161 of debt into 12,555,492 common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On October 17, 2013, CP-US Income Group LLC
exercised its option to convert $12,639 of debt into 19,444,508 common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On October 21, 2013, CP-US Income Group LLC
exercised its option to convert $18,788 of debt into 28,904,615 common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On November 1, 2013, IBC Funds,LLC exercised
its option to convert $19,525 of debt into 37,000,000 common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On November 8, 2013, IBC Funds,LLC exercised
its option to convert $17,100 of debt into 38,000,000 common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On November 8, 2013, Hanover Holdings,LLC exercised
its option to convert $12,500 of debt into 22,727,273 common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On November 12, 2013, IBC Funds,LLC exercised
its option to convert $8,825 of debt into 25,214,285 common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Common shares issued and not yet outstanding</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On November 11, 2103, the Company issued 75,000,000
common shares pursuant to a convertible promissory note. As of November 18, 2013, these common shares were held in escrow and not
outstanding.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0"><b>FORWARD LOOKING STATEMENTS</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Statements made in this Form 10-Q that are
not historical or current facts are "forward-looking statements" made pursuant to the safe harbor provisions of Section
27A of the Securities Act of 1933 (the "Act") and Section 21E of the Securities Exchange Act of 1934. These statements
often can be identified by the use of terms such as "may," "will," "expect," "believe,"
"anticipate," "estimate," "approximate" or "continue," or the negative thereof. We intend
that such forward-looking statements be subject to the safe harbors for such statements. We wish to caution readers not to place
undue reliance on any such forward-looking statements, which speak only as of the date made. Any forward-looking statements represent
management's best judgment as to what may occur in the future. However, forward-looking statements are subject to risks, uncertainties
and important factors beyond our control that could cause actual results and events to differ materially from historical results
of operations and events and those presently anticipated or projected. We disclaim any obligation subsequently to revise any forward-looking
statements to reflect events or circumstances after the date of such statement or to reflect the occurrence of anticipated or unanticipated
events.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Fixed assets, stated at cost, less accumulated
depreciation at September 30, 2013 and December 31, 2012, consisted of the following:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: bottom">
<td> </td>
<td colspan="3" style="border-bottom: black 2.25pt solid">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>September 30,</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>2013</b></p></td>
<td nowrap="nowrap"> </td>
<td colspan="3" style="border-bottom: black 2.25pt solid">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>December 31,</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>2012</b></p></td>
<td nowrap="nowrap"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="width: 78%; text-indent: 0in"><font style="font-size: 10pt">Equipment</font></td>
<td style="width: 1%; text-align: right"> </td>
<td style="width: 1%"><font style="font-size: 10pt">$</font></td>
<td style="width: 8%; text-align: right"><font style="font-size: 10pt">3,143</font></td>
<td nowrap="nowrap" style="width: 1%"> </td>
<td style="width: 1%; text-align: right"> </td>
<td style="width: 1%"><font style="font-size: 10pt">$</font></td>
<td style="width: 8%; text-align: right"><font style="font-size: 10pt">3,143</font></td>
<td nowrap="nowrap" style="width: 1%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td style="text-indent: 0in"><font style="font-size: 10pt">Less: Accumulated Depreciation</font></td>
<td style="text-align: right"> </td>
<td style="border-bottom: black 2.25pt solid"> </td>
<td style="border-bottom: black 2.25pt solid; text-align: right"><font style="font-size: 10pt">(1,653</font></td>
<td nowrap="nowrap"><font style="font-size: 10pt">)</font></td>
<td style="text-align: right"> </td>
<td style="border-bottom: black 2.25pt solid"> </td>
<td style="border-bottom: black 2.25pt solid; text-align: right"><font style="font-size: 10pt">(237</font></td>
<td nowrap="nowrap"><font style="font-size: 10pt">)</font></td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="text-indent: 0in"><font style="font-size: 10pt">Equipment, net</font></td>
<td style="text-align: right"> </td>
<td style="border-bottom: black 2.25pt solid"><font style="font-size: 10pt">$</font></td>
<td style="border-bottom: black 2.25pt solid; text-align: right"><font style="font-size: 10pt">1,490</font></td>
<td nowrap="nowrap"> </td>
<td style="text-align: right"> </td>
<td style="border-bottom: black 2.25pt solid"><font style="font-size: 10pt">$</font></td>
<td style="border-bottom: black 2.25pt solid; text-align: right"><font style="font-size: 10pt">2,906</font></td>
<td nowrap="nowrap"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The following table summarizes the total outstanding
principle on convertible notes payable:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%">
<tr style="vertical-align: bottom">
<td> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 2.25pt solid">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>September 30,</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>2013</b></p></td>
<td nowrap="nowrap"> </td>
<td> </td>
<td colspan="2" style="border-bottom: black 2.25pt solid">
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>December 31,</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>2012</b></p></td>
<td nowrap="nowrap"> </td></tr>
<tr style="vertical-align: bottom">
<td> </td>
<td> </td>
<td colspan="2"> </td>
<td nowrap="nowrap"> </td>
<td> </td>
<td colspan="2"> </td>
<td nowrap="nowrap"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td style="width: 78%"><font style="font-size: 10pt">Convertible Notes Payable- Magna Group, LLC</font></td>
<td style="width: 1%; text-align: right"> </td>
<td style="width: 1%"><font style="font-size: 10pt">$</font></td>
<td style="width: 8%; text-align: right"><font style="font-size: 10pt">-</font></td>
<td nowrap="nowrap" style="width: 1%"> </td>
<td style="width: 1%; text-align: right"> </td>
<td style="width: 1%"><font style="font-size: 10pt">$</font></td>
<td style="width: 8%; text-align: right"><font style="font-size: 10pt">-</font></td>
<td nowrap="nowrap" style="width: 1%"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td><font style="font-size: 10pt">Convertible Notes Payable- Hanover Holdings I, LLC</font></td>
<td style="text-align: right"> </td>
<td> </td>
<td style="text-align: right"><font style="font-size: 10pt">95,500</font></td>
<td nowrap="nowrap"> </td>
<td style="text-align: right"> </td>
<td> </td>
<td style="text-align: right"><font style="font-size: 10pt">-</font></td>
<td nowrap="nowrap"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td><font style="font-size: 10pt">Convertible Notes Payable- WHC Capital, LLC</font></td>
<td style="text-align: right"> </td>
<td> </td>
<td style="text-align: right"><font style="font-size: 10pt">70,000</font></td>
<td nowrap="nowrap"> </td>
<td style="text-align: right"> </td>
<td> </td>
<td style="text-align: right"><font style="font-size: 10pt">-</font></td>
<td nowrap="nowrap"> </td></tr>
<tr style="vertical-align: bottom; background-color: white">
<td><font style="font-size: 10pt">Convertible Notes Payable - CP-US Income, LLC</font></td>
<td style="text-align: right"> </td>
<td style="border-bottom: black 2.25pt solid"> </td>
<td style="border-bottom: black 2.25pt solid; text-align: right"><font style="font-size: 10pt">182,242</font></td>
<td nowrap="nowrap"> </td>
<td style="text-align: right"> </td>
<td style="border-bottom: black 2.25pt solid"> </td>
<td style="border-bottom: black 2.25pt solid; text-align: right"><font style="font-size: 10pt">-</font></td>
<td nowrap="nowrap"> </td></tr>
<tr style="vertical-align: bottom; background-color: #CCEEFF">
<td><font style="font-size: 10pt">Total Convertible Notes Payable</font></td>
<td style="text-align: right"> </td>
<td style="border-bottom: black 4.5pt double"><font style="font-size: 10pt">$</font></td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font-size: 10pt">347,742</font></td>
<td nowrap="nowrap"> </td>
<td style="text-align: right"> </td>
<td style="border-bottom: black 4.5pt double"><font style="font-size: 10pt">$</font></td>
<td style="border-bottom: black 4.5pt double; text-align: right"><font style="font-size: 10pt">-</font></td>
<td nowrap="nowrap"> </td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Equipment is recorded at cost and is depreciated
over their estimated useful lives using the declining balance method at the following annual rates:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<table cellspacing="0" cellpadding="0" style="width: 100%">
<tr style="vertical-align: top">
<td style="width: 23%; font: 10pt Times New Roman, Times, Serif; text-align: justify"><font style="font-size: 10pt">Computer equipment</font></td>
<td style="width: 77%; font: 10pt Times New Roman, Times, Serif; text-align: justify"><font style="font-size: 10pt">30%</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Costs of investments in purchased companies
in excess of the underlying fair value of net assets at dates of acquisition are recorded as goodwill and assessed annually for
impairment. If considered impaired, goodwill will be written down to fair value and a corresponding impairment loss recognized.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company evaluates its long-lived assets
for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable.
Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to future undiscounted
net cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment to be recognized
is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The preparation of financial statements in
conformity with generally accepted accounting principles 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 of the financial statements
and the reported amounts of revenues and expenses during the period. Actual results could differ from those estimates. Significant
areas requiring management’s estimates and assumptions are the determination of the fair value of transactions involving
common stock and financial instruments. Other areas requiring estimates include deferred tax balances and asset impairment tests.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">For the statements of cash flows, all highly
liquid investments with maturity of three months or less are considered to be cash equivalents. There were no cash equivalents
as of September 30, 2013 and December 31, 2012 that exceeded federally insured limits.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The fair value of the Company’s financial
assets and financial liabilities approximate their carrying values due to the immediate or short-term maturity of these financial
instruments.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Basic earnings (loss) per share includes no
dilution and is computed by dividing income available to common stockholders by the weighted average number of common shares outstanding
for the period. Dilutive earnings (loss) per share reflects the potential dilution of securities that could share in the earnings
of the Company. Dilutive earnings (loss) per share is equal to that of basic earnings (loss) per share as the effects of stock
options and warrants have been excluded as they are anti-dilutive.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">At September 30, 2013, the Company had ten
outstanding convertible notes payable. If all of these convertible notes were converted at their specific rates, this would result
in 436,668,986 newly issued common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company follows the liability method of
accounting for income taxes. Under this method, deferred tax assets and liabilities are recognized for the future tax consequences
attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective
tax balances. Deferred tax assets and liabilities are measured using enacted or substantially enacted tax rates expected to apply
to the taxable income in the years in which those differences are expected to be recovered or settled. The effect on deferred tax
assets and liabilities of a change in tax rates is recognized in income in the period that includes the date of enactment or substantive
enactment. As at September 30, 2013, the Company had net operating loss carryforwards, however, due to the uncertainty of realization,
the Company has provided a full valuation allowance for the deferred tax assets resulting from these loss carryforwards.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Effective June 15, 2012, Morgan Creek
Energy Corp. effected a name change on the OTC Bulletin Board to TagLikeMe Corp. (the “Company”). The Company
is a development stage company that was organized to enter into the oil and gas industry. The Company intended to locate,
explore, acquire and develop oil and gas properties in the United States and within North America. In May 2012, the Company changed
its business focus and plan to developing online and mobile content using search and sharing technology.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Effective June 29, 2012, the Company completed
and consummated a share exchange agreement dated May 14, 2012, as fully executed on May 24, 2012 (the "Share Exchange Agreement")
with Glob Media Works Inc., a company incorporated under the laws of the State of Washington ("Glob Media"), and each
of the shareholders of Glob Media (collectively the "Glob Media Shareholders"), whereby the Corporation has acquired
all of the issued and outstanding shares of Glob Media in exchange for the issuance of 45,378,670 shares of its restricted common
stock to the Glob Media Shareholders on a pro rata basis in accordance with each Glob Media Shareholder's respective percentage
equity ownership in Glob Media (Note 3). Glob Media owns intellectual property rights to its internet cloud based software application
related to online search and social media developed by Glob Media. As a result of the closing of the Share Exchange Agreement,
Glob Media has become the Company's direct wholly owned subsidiary.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Effective July 18, 2012, the Company completed
a forward stock split by the issuance of 5 new shares for each 1 outstanding share of the Company’s common stock (Note 4).
Unless otherwise noted, all references herein to number of shares, price per share or weighted average shares outstanding have
been adjusted to reflect this stock split on a retroactive basis.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Going concern</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company commenced operations on October
19, 2004 and has not realized any revenues since inception. As of September 30, 2013, the Company has an accumulated deficit of
$19,474,771 The ability of the Company to continue as a going concern is dependent on raising capital to fund ongoing operations
and carry out its business plan and ultimately to attain profitable operations. Accordingly, these factors raise substantial doubt
as to the Company’s ability to continue as a going concern. The financial statements do not include any adjustments relating
to the recoverability and classification of recorded assets, or the amounts of and classification of liabilities that might be
necessary in the event the Company cannot continue in existence. To date the Company has funded its initial operations by way of
private placements of common stock and advances from related parties.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Unaudited Interim Consolidated Financial
Statements</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The accompanying unaudited consolidated financial
statements have been prepared in accordance with generally accepted accounting principles for financial information and with the
instructions to Form 10-Q of Regulation S-X. They do not include all information and footnotes required by United States generally
accepted accounting principles for complete financial statements. However, except as disclosed herein, there has been no material
changes in the information disclosed in the notes to the financial statements for the year ended December 31, 2012 included in
the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission. The unaudited consolidated financial
statements should be read in conjunction with those financial statements included in the Form 10-K. In the opinion of management,
all adjustments considered necessary for a fair presentation, consisting solely of normal recurring adjustments, have been made.
Operating results for the nine months ended September 30, 2013 are not necessarily indicative of the results that may be expected
for the year ending December 31, 2013.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Organization</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company was incorporated on October 19,
2004 in the State of Nevada. The Company’s fiscal year end is December 31.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Basis of presentation</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">These financial statements are presented in
United States dollars and have been prepared in accordance with United States generally accepted accounting principles.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The consolidated interim financial statements
include the accounts of the Company and its wholly owned subsidiary, Glob Media Works Inc., from the date of acquisition on June
29, 2012. All significant inter-company transactions and account balances have been eliminated upon consolidation.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Equipment</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Equipment is recorded at cost and is depreciated
over their estimated useful lives using the declining balance method at the following annual rates:</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<table cellspacing="0" cellpadding="0" style="width: 100%">
<tr style="vertical-align: top">
<td style="width: 23%; font: 10pt Times New Roman, Times, Serif"><font style="font-size: 10pt">Computer equipment</font></td>
<td style="width: 77%; font: 10pt Times New Roman, Times, Serif"><font style="font-size: 10pt">30%</font></td></tr>
</table>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Goodwill</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Costs of investments in purchased companies
in excess of the underlying fair value of net assets at dates of acquisition are recorded as goodwill and assessed annually for
impairment. If considered impaired, goodwill will be written down to fair value and a corresponding impairment loss recognized.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Impairment of long-lived assets</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company evaluates its long-lived assets
for impairment whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable.
Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to future undiscounted
net cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment to be recognized
is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Use of estimates</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The preparation of financial statements in
conformity with generally accepted accounting principles 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 of the financial statements
and the reported amounts of revenues and expenses during the period. Actual results could differ from those estimates. Significant
areas requiring management’s estimates and assumptions are the determination of the fair value of transactions involving
common stock and financial instruments. Other areas requiring estimates include deferred tax balances and asset impairment tests.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Cash and cash equivalents</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">For the statements of cash flows, all highly
liquid investments with maturity of three months or less are considered to be cash equivalents. There were no cash equivalents
as of September 30, 2013 and December 31, 2012 that exceeded federally insured limits.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Financial instruments</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The fair value of the Company’s financial
assets and financial liabilities approximate their carrying values due to the immediate or short-term maturity of these financial
instruments.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Earnings (loss) per common share</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Basic earnings (loss) per share includes no
dilution and is computed by dividing income available to common stockholders by the weighted average number of common shares outstanding
for the period. Dilutive earnings (loss) per share reflects the potential dilution of securities that could share in the earnings
of the Company. Dilutive earnings (loss) per share is equal to that of basic earnings (loss) per share as the effects of stock
options and warrants have been excluded as they are anti-dilutive.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">At September 30, 2013, the Company had ten
outstanding convertible notes payable. If all of these convertible notes were converted at their specific rates, this would result
in 436,668,986 newly issued common shares.</p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Income taxes</b></p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"> </p>
<p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company follows the liability method of
accounting for income taxes. Under this method, deferred tax assets and liabilities are recognized for the future tax consequences
attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective
tax balances. Deferred tax assets and liabilities are measured using enacted or substantially enacted tax rates expected to apply
to the taxable income in the years in which those differences are expected to be recovered or settled. The effect on deferred tax
assets and liabilities of a change in tax rates is recognized in income in the period that includes the date of enactment or substantive
enactment. As at September 30, 2013, the Company had net operating loss carryforwards, however, due to the uncertainty of realization,
the Company has provided a full valuation allowance for the deferred tax assets resulting from these loss carryforwards.</p>