The terms "HQDA", "Company", "we", "our", and "us" refer to
FORWARD-LOOKING STATEMENTS
This Quarterly Report on Form 10-Q includes "forward-looking statements" as
defined by the
? our failure to obtain additional financing; ? our inability to continue as a going concern; ? the unique difficulties and uncertainties inherent in the business; ? local and multi-national economic and political conditions, and ? our common stock. General
The Company has not had any bankruptcy, receivership or similar proceeding since incorporation.
Our business plan is owning, leasing and/or operating senior living residences
that provide seniors with a supportive, home life setting with care and
services, including activities of daily living, life enrichment and health and
wellness in certain cities in
The Senior Living Industry
Through our newly acquired and wholly owned subsidiary,
The senior living industry encompasses a broad spectrum of senior living service and care options, which include independent living, assisted living and skilled nursing care. Our primary focus will be on the independent living services. Independent living is designed to meet the needs of seniors who choose to live in an environment surrounded by their peers where they receive services such as housekeeping, meals and activities, but are not reliant on assistance with activities of daily living (for example, bathing, eating and dressing), although we may offer these services through contracts with third parties.
Our operating philosophy is to provide services and care which meet the individual needs of its residents, and to enhance their physical and mental well-being, thereby allowing them to live longer and to "age in place." These facilities will offer, on a 24-hour basis, personal, supportive and home health care services appropriate for their residents in a home-like setting, which allow residents to maintain their independence and quality of life. We predict that the average of the residents at our facilities will be between 55 and 70.
Our primary focus will be in
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The long-term care industry encompasses a wide continuum of services and residential arrangements for elderly senior citizens. Skilled nursing facilities provide the highest level of care and are designed for elderly senior citizens who need chronic nursing and medical attention and are not able to live on their own. Further, skilled nursing facilities tend to be one of the most expensive alternatives while providing elderly senior citizens with limited independence and a diminished quality of life. On the other end of the continuum is home-based care, which typically is provided in an individual's private residence. While this alternative allows the elderly individual to "age in place" in his or her home and, in certain instances, can provide most of the services available at a skilled nursing facility, it does not foster any sense of community or the ability to participate in group activities.
Assisted living facilities generally are designed to fill the gap in the middle
of this continuum. Assisted living facilities have been described by the
The assisted living industry is highly fragmented in
Our facilities will provide services and care which are designed to meet the individual needs of its residents, enhance their physical and mental well-being and promote a supportive, independent and home-like setting. Most of our facilities will be primarily designed as premium facilities at which residents receive a comprehensive, bundled package of standard services for a single monthly fee.
We will strive to combine in our facilities the best aspects of independent living with the protection and safety of assisted living, with trained staff members who provide 24-hour care and monitoring of every resident. The senior living facilities will be designed and decorated to have a home-like atmosphere. Residents will be encouraged to furnish their rooms with personal items they have collected during their lifetime. Our senior living facilities differ from skilled nursing facilities in that our senior living facilities will not provide the more extensive, and costly, nursing and medical care found in nursing homes.
12 Results of Operations Three months ended September 30 2020 2019 Changes Revenue$ 155,440 $ 172,176 $ (16,736 ) Operating costs: Cost of food and beverages 46,855 64,586 (17,731 ) General and administrative cost 228,966 213,775 15,191 Litigation expenses 176,050 176,050 Depreciation and amortization 47,949 37,594 10,355 Other operating cost 301 5,981 (5,680 ) 500,121 321,936 178,185 Operating loss$ (344,681 ) $ (149,760 ) $ (194,921 )
Three months ended
The revenue for the three months ended
The increase of operating loss amounted
Excluding the non-cash expenses of depreciation and amortization, the operating
loss would have been
Liquidity and Capital Resources
On
Capital Expenditures
On
? Property A: land use rights and adhesive substance use rights, right to own, and right to operate of the land located in Shanghai Pudong New Area Zhangjiang Ziwei Rd No. 372 and No. 376. ? Property B: land use right, adhesive substance under construction use rights, right to own, and right to operate of the land located in Shanghai Chongming District San Shuang Gong Lu No. 4797.
We have agreed to pay the purchase price totaling
Employees
At present, we have 14 employees, other than our current officers and directors, who devote their time as required to our business operations.
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Off-balance Sheet Arrangements
As of
Critical Accounting Policies
Our interim financial statements are prepared in accordance with accounting
principles generally accepted in
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