Note 3. Concentration of Credit Risk
For the quarters ended June 30, 2011 and 2010 the Company had only $20,895 and $76,712 in revenues, respectively. A concentration of credit risk exists due to the fact that the Company has a limited number of both customers and vendors. If a number of customers or vendors decided to take their business elsewhere, the Companys losses could increase significantly. As of June 30, 2011, no credit has been extended to on account customers. Because all sales have been booked via credit card, management does not deem it necessary to record a receivable allowance at June 30, 2011.