Crown Auto Holdings, Inc. was incorporated
in the state of Nevada in March of 2009. On April 20, 2010, the Company entered into a share exchange agreement to acquire Crown
Auto, Inc. (CAI) a corporation organized under the laws of Utah in July of 1999. In accordance with the share exchange
agreement, the Company issued 5,000,000 shares to the shareholder of CAI. Due to the fact that the companies were held under common
control at the time of acquisition, the Company has recorded for the acquisition using the pooling of interest method of accounting.
The assets, liabilities and stockholders equity for each Company has been combined as of the acquisition date and on a retroactive
basis. Under the share exchange agreement, CAI became a wholly owned subsidiary of the Company, and CAI will continue to own its
assets and operate its business as a wholly-owned subsidiary of the Company.
The Company operates a used automobile dealership in Salt Lake City,
Utah. In addition to automobile sales, the Company also offers dealer financing arrangements to certain buyers.