20-F: ChineseWorldNet.Com Inc. Reports Net Loss for Fiscal Year 2024, Continues Search for New Business Opportunities

ChineseWorldNet.Com Inc. reported a net loss of $66,158 for the year ended December 31, 2024, and is still seeking opportunities to acquire or invest in other businesses.

Summary

• ChineseWorldNet.Com Inc. filed its annual report on Form 20-F for the fiscal year ended December 31, 2024.
• The company reported a net loss of $66,158, or $0.01 per share, for Fiscal 2024, compared to a net loss of $61,991 for Fiscal 2023.
• As of December 31, 2024, the company had total assets of $85,360 and a total stockholders' deficiency of $186,249.
• The company is currently a shell company with no active operations and is seeking opportunities to acquire or invest in other business opportunities.
• The company's common shares are quoted on the OTC Pink under the symbol CWNOF.
• The company has identified a material weakness in its internal control over financial reporting related to insufficient written policies and procedures.
• The company's auditor has raised substantial doubt about its ability to continue as a going concern.
• The company's principal executive office is located in Grand Cayman, Cayman Islands.
• The company has non-interest bearing loans from stockholders and directors in the amount of $254,629 as of December 31, 2024.

Sentiment

Score: 3

Explanation: The sentiment is negative due to the net loss, working capital deficiency, auditor's concerns about going concern, and the company's status as a shell company.

Positives

• The company is actively seeking new business opportunities to revitalize its operations.

Negatives

• The company reported a net loss of $66,158 for the year ended December 31, 2024.
• The company has a working capital deficiency of $186,249 as of December 31, 2024.
• The company's auditor has expressed substantial doubt about its ability to continue as a going concern.
• The company identified a material weakness in its internal control over financial reporting.

Risks

• Trading of the company's common shares may be restricted by the Securities and Exchange Commission's penny stock regulations.
• The company is currently a shell company, which makes it ineligible for public broker-dealer quotations on the Pink Market.
• Shareholders may face difficulties in protecting their interests because the company is incorporated under Cayman Islands law.
• There is uncertainty as to shareholders' ability to enforce civil liabilities in the Cayman Islands.
• The company does not maintain a robust cybersecurity risk management framework.

Future Outlook

The Company is now looking for opportunities to acquire or invest in other business opportunities.

Industry Context

As a shell company, ChineseWorldNet.Com Inc.'s situation is not directly comparable to active companies in any specific industry. The company's focus is on identifying and acquiring new business opportunities.

Comparison to Industry Standards

• Given the company's status as a shell company with no active operations, direct comparison to industry standards is not applicable.
• The company's financial metrics are not indicative of a typical operating business due to the absence of revenue-generating activities.

Related Party Transactions

• In January 2023, $220,650 cash held by a financial institution has been transferred to a director, $107,048 of which was used as repayment of due to the directors.
• The remaining balance was held by the director and pay the operating costs on behalf of the Company.
• As at December 31, 2024, $76,612 was held by the director on behalf of the Company.
• As at December 31, 2024, the Company has non-interest bearing loan from the stockholders and directors in the amount of $254,629.
• For the year ended December 31, 2024, the Company accrued director fees in the amount of $36,000.

Stakeholder Impact

• Shareholders face risks due to the company's shell status and penny stock regulations.
• The company's ability to continue as a going concern is uncertain, which could impact stakeholders.

Next Steps

• The company is seeking opportunities to acquire or invest in other business opportunities.

Key Dates

Keywords

financial statements, annual report, net loss, shell company, ChineseWorldNet.Com, CWNOF