UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

[X][ Quarterly Report Pursuant To Section 13 or 15(d) of the Securities Exchange Act Of 1934

For the quarterly period ended ~~September~~March 3031, ~~2016~~2017

[ ] Transition Report Under Section 13 or 15(d) of the Securities Exchange Act Of 1934

For the transition period from __________ to __________

Commission file number: 000-55595

HD VIEW 360 INC.

(Exact name of registrant as specified in its charter)

Florida

46-4264584


(State or other jurisdiction of incorporation or organization)		(I.R.S Employer Identification No.)

150 S.E. 2nd Ave. Suite 404

Miami, Florida 33131

(Address of principal executive offices, including Zip Code)

(786) 294-0559

(Issuer’s telephone number, including area code)

Check whether the issuer (1) has filed all reports required to be filed by section 13 or 15(d) of the Exchange Act during the past 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes [x] No [ ]

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes [ ] No [x]

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a small reporting company. See the definitions of “large accelerated filer,” “accelerated filer,” “non-accelerated filer,” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

[ ]

Accelerated filer

[ ]

Non-accelerated filer

[ ]

Smaller reporting company

[x]

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes [ ] No [x]

State the number of shares outstanding of each of the issuer’s classes of common equity, as of the latest practicable date: 9,~~332~~540,~~631~~630 shares of common stock as of ~~November~~May 1815, ~~2016~~2017.

TABLE OF CONTENTS

PART I - FINANCIAL INFORMATION	PAGE
Item 1. Financial Statements	F-1
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	3
Item 3. Quantitative and Qualitative Disclosures About Market Risk	9
Item 4. Controls and Procedures	9
PART II-- OTHER INFORMATION
Item 1. Legal Proceedings	10
Item 1A. Risk Factors	10
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds	10
Item 3. Defaults Upon Senior Securities	10
Item 4. Mine Safety Disclosures	10
Item 5. Other Information	10
Item 6. Exhibits	11
SIGNATURES	12

~~INDEX~~TABLE TOOF ~~FINANCIAL STATEMENTS~~CONTENTS


PART I - FINANCIAL INFORMATION	PAGE

Item 1. Index to Condensed Consolidated Financial Statements	F-1
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations	3

PART II-- OTHER INFORMATION

Item 1. Legal Proceedings	7
Item 1A. Risk Factors	7
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds	7
Item 3. Defaults Upon Senior Securities	7
Item 4. Mine Safety Disclosures	7
Item 5. Other Information	7
Item 6. Exhibits	7

SIGNATURES	8

INDEX TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Unaudited Condensed Consolidated Financial Statements:

Condensed Consolidated Balance Sheets

F-2

Condensed Consolidated Statements of Income

F-3

Condensed Consolidated Statements of Changes in ~~Cash~~Stockholders’ ~~Flows~~Equity

F-4

~~Notes to~~ Condensed Consolidated ~~Financial~~ Statements of Changes in Cash Flows

F-5

2Notes to Condensed Consolidated Financial Statements

F-6

F-1

HD VIEW 360 INC.

Condensed Consolidated Balance Sheets

ASSETS	~~September~~March 3031, ~~2016~~2017	December 31, ~~2015~~2016
CURRENT ASSETS	(Unaudited)
Cash	$ ~~204~~175,~~972~~146	$ ~~292~~258,~~010~~778
Inventory, net of reserve of $13,650 as of September 30, 2016 and $6,010 December 31, 2015, respectively	2,750	10,390
Accounts receivable	5,042	6,532
Prepaid expenses and other current assets	12,040	2,200
Income tax receivable	52,321	42,305
Total current assets	219,762	304,600
Inventory, net of reserve of $16,400 as of March 31, 2017 and December 31, 2016, respectively	-	-
Prepaid expenses and other current assets	10,778	12,278
Total current assets	243,287	319,893
PROPERTY AND EQUIPMENT
Furniture, fixtures and equipment	50,743	15,000
Property and equipment	50,743	50,743
Leasehold improvements	811,~~212~~097	411,~~500~~097
Vehicles	22,730	22,730
Total Property and Equipment	61,840	61,840
Total Property and Equipment	81,685	42,230
Less accumulated depreciation	(20,793)	(18,931)
Less accumulated depreciation	(21,313)	(14,712)
Property and equipment, net	41,047	42,909
Property and equipment, net	60,372	27,518
OTHER ASSETS
Total Assets	$ 280,134	$ 332,118
Intangible asset	15,000	-
Total other assets	15,000	-
Total Assets	$299,334	$362,802
LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES
Accounts payable and accrued expenses	$56,746	$54,924
Deferred rent	5,743	6,891
Total current liabilities	62,489	61,815
Total Liabilities	62,489	61,815
Commitments and Contingencies
STOCKHOLDERS’ EQUITY
Preferred stock, $0.001 par value, authorized 10,000,000 shares; 0 issued and outstanding	-	-
Common stock, $0.001 par value, authorized 90,000,000 shares; 9,540,630 and 9,532,631
issued and outstanding shares at March 31, 2017 and December 31, 2016, respectively	9,541	9,533
Additional paid-in capital	381,038	375,046
Accumulated deficit	(166,119)	(95,718)
Non-controlling interest in consolidated subsidiary	12,385	12,126
Total stockholders’ equity	236,845	300,987
Total Liabilities and Stockholders’ Equity	$299,334	$362,802

LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES
Accounts payable and accrued expenses	$ 26,131	$ 5,748
Income taxes payable	-	63,837
Capital lease obligations-current portion	2,462	3,152
Total current liabilities	28,593	72,737
LONG-TERM LIABILITIES
Deferred rent	8,040	-
Capital lease obligations – non-current portion	15,594	17,375
Total long-term debt	23,634	17,375
Total Liabilities	52,227	90,112
Commitments and Contingencies
STOCKHOLDERS’ EQUITY
Preferred stock, $0.001 par value, authorized 10,000,000 shares; 0 issued and outstanding	-	-
Common stock, $0.001 par value, authorized 90,000,000 shares; 9,332,631 and 9,285,132 issued and outstanding shares at September 30, 2016 and December 31, 2015, respectively	9,333	9,285
Additional paid-in capital	225,246	196,794
Non-controlling interest	12,164	-
(Accumulated deficit) retained earnings	(18,836)	35,927
Total stockholders’ equity	227,908	242,006
Total Liabilities and Stockholders’ Equity	$ 280,134	$ 332,118

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements

~~The accompanying notes are an integral part of the condensed consolidated financial statements~~F-2

F-1

HD VIEW 360 INC.

Condensed Consolidated Statements of ~~Income~~Operations

Three Months Ended March 31,

(Unaudited)

	Three Months Ended September 30,				Nine Months Ended September 30,
		2017		2016
	2016		2015		2016	2015
SALES:
SALES:
Product sales, net		$100,906		$104,857
Product sales	$ 115,961		$ 95,874		$ 370,191	$ 270,541
Installation sales, net		88,352		142,575
Installation sales	110,603		118,972		401,853	237,002
Total sales, net		189,258		247,432
Total sales	226,564		214,846		772,044	507,543
COST OF SALES:
COST OF SALES:
Cost of product		80,556		89,123
Cost of product	81,784		73,113		259,824	182,641
Cost of installation		60,512		97,294
Cost of installation	121,143		65,469		295,113	122,122
Total cost of sales		141,068		186,417
Total cost of sales	202,927		138,582		554,937	304,763
Gross Profit		48,190		61,015
Gross profit	23,637		76,264		217,107	202,780
OPERATING EXPENSES:
OPERATING EXPENSES:
General and administrative expenses		103,465		49,959
General and administrative expenses	79,315		16,562		205,470	52,253
Depreciation expense		1,862		2,761
Depreciation expense	4,077		2,723		10,631	5,973
Professional fees		23,670		19,400
Professional fees	12,304		18,500		68,302	20,077
Total operating expenses		128,997		72,120
Total operating expenses	95,696		37,785		284,403	78,303
LOSS FROM OPERATIONS		(80,807)		(11,105)
(LOSS) INCOME FROM OPERATIONS	(72,059)		38,479		(67,296)	124,477
OTHER INCOME AND (EXPENSE)
OTHER INCOME AND (EXPENSE)
Interest expense		-		(253)
Interest expense	-		-		(397)	-
Interest income		42		61
Interest income	56		-		178	-
Other income		608		923
Loss on disposal of fixed assets	(469)		-		(469)	-
Total other income (expense)		650		731
Other income	633		743		2,730	1,123
Net loss before income taxes		(80,157)		(10,374)
Total other (expense) income	220		743		(2,042)	1,123
Income tax benefit		(10,016)		-
Net (loss) income before income taxes	(71,839)		39,222		(65,254)	125,600
Net loss		(70,141)		(10,374)
Income taxes	(10,456)		36,194		(10,456)	36,194
Non controlling interest in net income of consolidated subsidiary		(259)		-
Net (loss) income	$ (61,383)		$ 3,028		$ (54,798)	$ 89,406
Net loss attributable to HD View 360		$(70,400)		$(10,374)
Net (loss) attributable to non-controlling interest	$ (35)		$ -		$ (35)	$ -
Loss per weighted average common share - basic and diluted		$(0.01)		$0.00
Net (loss) income attributable to HD View 360 Inc.	$ (61,348)		$ 3,028		$ (54,763)	$ 89,406
Number of weighted average common shares outstanding-basic and diluted		9,537,266		9,324,820
Income per weighted average common share - basic and diluted	$ (0.01)		$ 0.00		$ (0.01)	$ 0.01
Number of weighted average common shares outstanding-basic and diluted	9,332,631		9,000,000		9,328,704	9,000,000

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements

F-23

HD VIEW 360 INC.

Condensed Consolidated Statements of Changes in Stockholders’ Equity

(Unaudited)


	Number Shares Pfd	Number Shares Common	Par Amount Pfd	Par Amount Common	Additional Paid-in Capital	Retained Earnings / Accumulated Deficit	Non-Controlling Interest in Consol Sub	Total Stockholders’ Equity
Balance, December 31, 2015	-	9,285,132	$ -	$ 9,285	$ 196,794	$ 35,927	$ -	$ 242,006

Shares issued for cash	-	247,499	-	248	178,252	-	-	178,500
Net loss	-	-	-	-	-	(131,646)	12,126	(131,646)
Balance, December 31, 2016	-	9,532,631	-	9,533	375,046	(95,719)	12,126	300,986

Shares issued for cash	-	7,999	-	8	5,992	-	-	6,000
Net loss	-	-	-	-	-	(70,400)	259	(70,141)
Balance, March 31, 2017	-	9,540,630	$ -	$ 9,541	$ 381,038	$ (166,119)	$ 12,385	$ 236,845

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements

F-4

HD VIEW 360 INC.

Condensed Consolidated Statements of Changes in Cash Flows

~~Nine~~Three Months Ended ~~September~~March 3031,

(Unaudited)

	2016	2015
	2017		2016
CASH FLOWS FROM OPERATING ACTIVITIES:
Net (loss) income	$ (54,763)	$ 89,406
Net loss	$ (70,141)			$ (10,374)
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities:
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation	101,~~631~~862	~~5,973~~	2,761
Inventory valuation reserve	7,640	0
Changes in operating assets and liabilities:
Loss on disposal of fixed assets	469
Decrease in accounts receivable	1,490		-
Changes in operating assets and liabilities:
Increase in income taxes receivable	(10,016)		-
(Increase) in prepaid expenses	(9,840)	-
Decrease in prepaid expenses	1,500
(Increase) in inventory	-	(13,155)
Increase (decrease) in accounts payable and accrued expenses	1,822		(2,403)
Increase in accounts payable and accrued expenses	20,383	34,411
Decrease in deferred rent	(1,149)		-
Increase in deferred rent	8,040	-
Decrease in income taxes payable	-		(50,000)
Increase in customer deposits	-	10,008
Net cash used in operating activities	(74,632)		(60,016)
(Decrease) in income taxes payable	(63,837)	-
CASH FLOW FROM INVESTING ACTIVITIES:
Net cash (used in) provided by operating activities	(81,277)	126,643
Increase in intangible asset	(15,000)		-
CASH FLOW FROM INVESTING ACTIVITIES:
Net cash used in investing activities	(15,000)		-
Purchase of fixed assets	(31,755)	-
CASH FLOW FROM FINANCING ACTIVITIES:
Net cash used in investing activities	(31,755)	-
Common stock issued for cash	6,000		28,500
CASH FLOW FROM FINANCING ACTIVITIES:
Payments on capital lease obligation	-		(846)
Common stock issued for cash	28,500	-
Net cash provided by financing activities	6,000		27,654
Shareholder advances	-	2,675
Net decrease in cash	(83,632)		(33,208)
Principal payments on capital lease obligation	(2,506)	(1,464)
CASH, beginning of period	258,778		292,010
Distributions	-	(90,190)
CASH, end of period	$ 175,146		$ 258,802
Net cash provided by (used in) financing activities	25,994	(88,979)
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Net (decrease) increase in cash	(87,038)	37,664
Interest paid in cash	$ -		$ 253
CASH, beginning of period	292,010	3,641
Income taxes paid in cash	$ -		$ 50,000
CASH, end of period	$ 204,972	$ 41,305
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Interest paid in cash	$ 397	$ -
Income taxes paid in cash	$ 50,000	$ -
Equipment acquired for non-controlling interest in subsidiary	$ 12,200	$ -

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements

F-35

HD VIEW 360 INC.

Notes to Condensed Consolidated Financial Statements

(Unaudited)

(1) NATURE OF OPERATIONS

HD View 360 Inc., (“~~we” or “~~the Company”), was formed with an effective date of January 1, 2014, under the laws of the State of Florida. The Company design and installs closed-circuit television (“CCTV”) systems, using Analog, Internet Protocol and Serial Digital Interface technology. The Company also distributes network video recorders, HD cameras and accessories.

HD View Quick Fix Inc., (“HDQF”), was incorporated on May 18, 2016, under the laws of the State of Florida. ~~HDQF~~It ~~will~~is ~~provide~~a combination of our installation ~~services~~company and a subscription- based rapid response entity for computer/surveillance equipment repairs and is a wholly owned subsidiary.

HD View Technologies Inc., (“HDVT”), was incorporated on May 26, 2016, under the laws of the State of Florida. ~~HDVT~~It will be a credit card/debit card merchant processor and is a wholly owned subsidiary.

SimpleFone Inc., (“SFI”), was incorporated on June 17, 2016, under the laws of the State of Florida. SFI plans to ~~offer~~ lease a telephone switch and sells/leases telephone equipment and telephone ~~services~~service and is a majority owned subsidiary.

(2) BASIS OF PRESENTATION AND USE OF ESTIMATES

a) Basis of Presentation

The accompanying condensed consolidated financial statements ~~comprise~~have been prepared in accordance with Generally Accepted Accounting Principles ("GAAP") in the ~~Company~~United States of America ("U.S.") as promulgated by the Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") and ~~its~~with ~~newly~~the ~~formed~~rules ~~wholly~~and ~~owned~~regulations ~~subsidiaries,~~of ~~HDQF~~the U.S. Securities and ~~HDVT~~Exchange Commission ("SEC"). The information included in the December 31, 2016 consolidated financial statements should be read in conjunction with Management’s Discussion and aAnalysis ~~60%~~and ~~majority~~Results ~~owned~~of ~~subsidiary~~Operations ~~SFI.~~contained ~~All~~elsewhere ~~intercompany~~in ~~activity~~this isreport ~~eliminated~~and the audited consolidated financial statements and accompanying notes filed in ~~consolidation~~Form 10-K filed on March 31, 2017 with the U.S. Securities and Exchange Commission.

~~The~~b) ~~accompanying condensed consolidated financial statements have been prepared in accordance with Generally Accepted Accounting~~ Principles ~~("GAAP") in the United States~~ of America ("U.S.") as promulgated by the Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") and with the rules and regulations of the U.S Securities and Exchange Commission ("SEC"). The consolidated financial statements reflect all normal recurring adjustments, which, in the opinion of management, are considered necessary for a fair presentation of the results for the periods shown. The results of operations for the periods presented are not necessarily indicative of the results expected for any future period. The information included in the December 31, 2015 consolidated financial statements should be read in conjunction with Management’s Discussion and Analysis and Results of Operations contained elsewhere in this report and the audited consolidated financial statements and accompanying notes filed in Form 10-K filed on March 30, 2016 with the U.S. Securities and Exchange Commission. Consolidation

bThe accompanying condensed consolidated financial statements include the results of HD View 360 and its wholly and majority-owned subsidiaries. They have been prepared in accordance with Generally Accepted Accounting Principles ("GAAP") ~~Use~~in the United States of ~~Estimates~~America ("U.S.") as promulgated by the Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") and with the rules and regulations of the U.S. Securities and Exchange Commission ("SEC").

c) Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States 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 reporting period. Actual results could differ from these estimates.

cd) ~~Reclassifications~~Cash and Cash Equivalents

~~Certain~~The ~~reclassifications~~Company ~~have~~considers ~~been~~all ~~made~~highly toliquid ~~the~~securities ~~2015~~with ~~interim~~original ~~financial~~maturities ~~information~~of tothree ~~conform~~months ~~with~~or ~~the~~less ~~current~~when ~~period.~~acquired, ~~These~~to ~~reclassifications~~be ~~did~~cash ~~not~~equivalents. ~~impact~~There were no financial ~~condition~~instruments that qualified as cash equivalents at March 31, 2017 or ~~results~~December of31, ~~operations~~2016.

F-46

HD VIEW 360 INC.

Notes to Condensed Consolidated Financial Statements

(Unaudited)

d(2) ~~Property~~BASIS ~~and~~OF ~~Equipment~~PRESENTATION AND USE OF ESTIMATES, continued

e) Revenue Recognition

The Company recognizes revenues when persuasive evidence of an arrangement exists, shipment has occurred, price is fixed or determinable, and collectability is reasonably assured. Product revenues are recognized when shipped to the customer. Revenues for installation services are recognized upon customer acceptance of completion of installation. Revenues are recorded net of customer discounts.

f) Shipping and Handling Costs

The Company generally does not charge its customers separately for shipping and handling. Shipping and handling costs are included in cost of product in the accompanying statements of income.

g) Accounts Receivable

Accounts receivable are stated net of allowance for doubtful accounts. The Company estimates an allowance based on experience with customers and judgment as to the likelihood of ultimate payment.

h) Inventories

Inventories are valued using the weighted average method. Cost is determined by the first-in, first-out method. Management establishes a valuation reserve for slow-moving items.

i) Property and Equipment

All property and equipment are recorded at cost and depreciated over their estimated useful lives, generally three, five or seven years, using the straight-line method. Upon sale or retirement, the cost and related accumulated depreciation are eliminated from their respective accounts, and the resulting gain or loss is included in the results of operations. Repairs and maintenance charges, which do not increase the useful lives of the assets, are charged to operations as incurred.

ej) ~~Net~~Impairment ~~Income~~of ~~Per~~Long-Lived ~~Share~~Assets

~~Basic~~A ~~income~~long-lived ~~per~~asset ~~share~~is ~~excludes~~tested ~~dilution~~for ~~and~~impairment iswhenever ~~computed~~events byor ~~dividing~~changes ~~the~~in ~~income~~circumstances ~~attributable~~indicate tothat ~~stockholders~~its bycarrying ~~the~~value ~~weighted-average~~amount ~~number~~may ofnot ~~shares~~be ~~outstanding~~recoverable. ~~for~~An ~~the~~impairment ~~period.~~loss ~~Diluted~~is ~~income~~recognized ~~per~~when ~~share~~the ~~reflects~~carrying ~~the~~amount ~~potential~~of ~~dilution~~the ~~that~~asset ~~could~~exceeds ~~occur~~the ifsum ~~securities~~of orthe ~~other~~undiscounted ~~contracts~~cash toflows ~~issue~~resulting ~~common~~from ~~stock~~its ~~were~~use ~~exercised~~and oreventual ~~converted~~disposition. ~~into~~The ~~common~~impairment ~~stock~~loss oris ~~resulted~~measured inas the ~~issuance~~amount ofby ~~common~~which ~~stock~~the ~~that~~carrying ~~shared~~amount inof the ~~earnings~~long-lived ofassets ~~the~~exceeds ~~Company.~~its fair value.

~~There~~k) ~~were~~Net noIncome ~~common~~(Loss) ~~stock~~Per ~~equivalents~~Share ~~for the nine months ended September 30, 2016, and 2015.~~

~~The~~Basic ~~9,000,000~~loss ~~founders~~per share excludes dilution and is computed by dividing the loss attributable to stockholders by the weighted-average number of shares outstanding for the period. Diluted loss per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were ~~not~~exercised ~~physically~~or ~~issued~~converted ~~until~~into ~~September~~common 1,stock ~~2015,~~or ~~however~~resulted ~~for~~in ~~purposes~~the issuance of common stock that shared in the ~~net~~earnings ~~income~~of the Company. Diluted loss per share ~~calculation~~is computed by dividing the loss available to stockholders by the weighted average number of shares outstanding for the period and dilutive potential shares outstanding unless consideration of such dilutive potential shares would result in anti-dilution. Warrants to acquire 207,999 ~~they~~shares of common stock were ~~deemed~~not ~~issued~~considered onfor ~~January~~the 1period ended March 31, ~~2014~~2017 as their impact would have been anti-dilutive. There were no common stock equivalents for the three months ended March 31, 2016.

~~f) Income Taxes~~ F-7

The Company follows the provisions of ASC 740-10, Accounting for Uncertain Income Tax Positions. When tax returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that would be ultimately sustained. In accordance with the guidance of ASC 740-10, the benefit of a tax position is recognized in the financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more than 50 percent likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with tax positions taken that exceeds the amount measured as described above should be reflected as a liability for unrecognized tax benefits in the accompanying consolidated balance sheets along with any associated interest and penalties that would be payable to the taxing authorities upon examination.

As of September 30, 2016, the tax years 2015 and 2014 for the Company remain open for IRS audit. The Company has received no notice of audit or any notifications from the IRS for any of the open tax years.

g) Cash and Cash Equivalents

The Company considers all highly liquid securities with original maturities of three months or less when acquired, to be cash equivalents. The Company had no financial instruments that qualified as cash equivalents at September 30, 2016, or December 31, 2015.

h) Financial Instruments and Fair Value Measurements

FASB ASC 820 “Fair Value Measurement” clarifies that fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. It also requires disclosure about how fair value is determined for assets and liabilities and establishes a hierarchy for which these assets and liabilities must be grouped, based on significant levels of inputs as follows:

F-5

HD VIEW 360 INC.

Notes to Condensed ~~Consolidated~~Condensed Financial Statements

(Unaudited)

~~Level~~(2) 1:BASIS OF PRESENTATION AND USE OF ESTIMATES, continued

~~Quoted~~l) ~~prices~~Income inTaxes ~~active markets for identical assets or liabilities.~~

~~Level~~The 2:Company follows the provisions of ASC 740-10, Accounting for Uncertain Income Tax Positions. When tax returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that would be ultimately sustained. In accordance with the guidance of ASC 740-10, the benefit of a tax position is recognized in the financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more than 50 percent likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with tax positions taken that exceeds the amount measured as described above should be reflected as a liability for unrecognized tax benefits in the accompanying consolidated balance sheets along with any associated interest and penalties that would be payable to the taxing authorities upon examination.

~~Quoted~~As ~~prices~~of inMarch ~~active~~31, ~~markets~~2017, ~~for~~the ~~similar~~tax ~~assets~~years 2016, 2015 and ~~liabilities~~2014 ~~and~~for ~~inputs~~the ~~that~~Company ~~are~~remains ~~observable~~open for ~~the asset~~IRS audit. The Company has received no notice of audit or ~~liability~~any notifications from the IRS for any of the open tax years.

~~Level~~m) 3:Related Party Transactions

Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions.

The determination of where assets and liabilities fall within this hierarchy is based upon the lowest level of input that is significant to the fair value measurement.

ASC 825 also requires disclosures of the fair value of financial instruments. The carrying value of the Company’s current financial instruments, which include cash and cash equivalents, accounts payable and accrued liabilities approximates their fair values because of the short-term maturities of these instruments.

i) Impairment of Long-Lived Assets

A long-lived asset is tested for impairment whenever events or changes in circumstances indicate that its carrying value amount may not be recoverable. An impairment loss is recognized when the carrying amount of the asset exceeds the sum of the undiscounted cash flows resulting from its use and eventual disposition. The impairment loss is measured as the amount by which the carrying amount of the long-lived assets exceeds its fair value.

j) Related Party Transactions

All transactions with related parties are in the normal course of operations and are measured at the exchange amount.

kn) Recent Accounting Pronouncements

~~Recent~~In ~~accounting~~May ~~pronouncements~~2014, ~~not~~the ~~yet~~FASB ~~effective~~ issued byASU ~~the~~No. ~~FASB~~2014-09, ~~including~~“Revenue ~~the~~from ~~Emerging~~Contracts ~~Issues~~with ~~Task Force~~Customers,” ~~the~~which ~~American~~requires ~~Institute~~companies ofto ~~Certified~~identify ~~Public~~contractual ~~Accountants~~performance obligations and determine whether revenue should be recognized at a point in time or over time based on when control of goods and services transfer to a customer. As a result, we do not expect significant changes in the Upresentation of our financial statements.S. ~~Securities~~This ~~and~~ASU ~~Exchange~~is ~~Commission~~effective for annual reporting periods beginning after December 15, 2017, including interim periods within that reporting period, and entities are permitted to apply either prospectively or retrospectively; early adoption is permitted. The Company does not ~~believed~~expect byadoption ~~management~~of this guidance to have a ~~significant~~material ~~impact~~effect on the Company’s ~~future~~ financial ~~statements~~position, results of operations and cash flows.

l)In ~~Revenue~~November ~~Recognition~~2015, the FASB issued ASU No. 2015-17, “Balance Sheet Classification of Deferred Taxes,” which requires entities to present deferred tax assets and deferred tax liabilities as noncurrent in a classified balance sheet. As a result, each jurisdiction will now only have one net noncurrent deferred tax asset or liability. This ASU is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period, and entities are permitted to apply either prospectively or retrospectively; early adoption is permitted. The Company does not expect adoption of this guidance to have a material effect on the Company’s financial position, results of operations and cash flows.

m) Shipping and Handling Costs

The Company generally does not charge its customers separately for shipping and handling. Shipping and handling costs are included in cost of product in the accompanying statements of income.

n) Inventories

Inventories are valued using the weighted average method. Cost is determined by the first-in, first-out

method. Management establishes a valuation reserve for slow-moving items.

F-6

HD VIEW 360 INC.

Notes to Condensed Consolidated Financial Statements

(Unaudited)

(2) BASIS OF PRESENTATION AND USE OF ESTIMATES, continued

n) Recent Accounting Pronouncements, continued

In January 2016, the FASB issued ASU No. 2016-01, “Financial Instruments-Overall: Recognition and Measurement of Financial Assets and Financial Liabilities”. The new standard principally affects accounting standards for equity investments, financial liabilities where the fair value option has been elected, and the presentation and disclosure requirements for financial instruments. Upon the effective date of the new standards, all equity investments in unconsolidated entities, other than those accounted for using the equity method of accounting, will generally be measured at fair value through earnings. There will no longer be an available-for-sale classification and therefore, no changes in fair value will be reported in other comprehensive income for equity securities with readily determinable fair values. The new guidance on the classification and measurement will be effective for public business entities in fiscal years beginning after December 15, 2017, including interim periods within those fiscal years and early adoption is permitted. The Company is in the process of evaluating the impact of the adoption of ASU 2016-01 on the Company’s financial position, results of operations and cash flows.

In February 2016, the FASB issued ASU 2016-02, “Leases” which, for operating leases, requires a lessee to recognize a right-of-use asset and a lease liability, initially measured at the present value of the lease payments, in its balance sheet. The standard also requires a lessee to recognize a single lease cost, calculated so that the cost of the lease is allocated over the lease term, on a generally straight-line basis. The ASU is effective for public companies for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption is permitted. The adoption of ASU 2016-02 is expected to result in the recognition of right to use assets and associated obligations on its balance sheet.

In March 2016, the FASB issued Accounting Standards Update 2016-08 Revenue from Contracts with Customers (Topic 606) to clarify implementation guidance on principal versus agent considerations (for reporting revenue on a gross or net basis). The ASU is an amendment to Topic 606, clarifies the implementation guidance, and requires an entity to account for revenue as an agent when another entity controls the specified good or service before that good or service is transferred to the customer. This ASU is effective for annual periods beginning after December 15, 2017. The Company is in the process of evaluating the impact of the adoption of ASU 2016-08 on the Company’s financial position, results of operations and cash flows.

(3) STOCKHOLDERS’ EQUITY

At ~~September~~March 3031, ~~2016~~2017 and December 31, ~~2015~~2016, the Company has 90,000,000 shares of par value $0.001 common stock authorized and 9,~~332~~540,~~631~~629 and 9,~~285~~532,~~132~~632 issued and outstanding, respectively. At ~~September~~March 3031, ~~2016~~2017 and December 31, ~~2015~~2016, the Company has 10,000,000 shares of par value $0.001 preferred stock and zero issued and outstanding.

In January 2016, the Company issued 47,499 shares of common stock in exchange for $28,500 in cash.

~~(4)~~In ~~COMMITMENTS~~December ~~AND~~2016, ~~CONTINGENCIES~~the Company issued Units consisting of 200,000 shares of common stock and warrants to purchase 200,000 shares of common stock at $1.00 per share for $150,000 in cash.

a)In ~~Real~~February ~~Property~~2017, ~~Lease~~the Company issued Units consisting of 7,999 shares of common stock and warrants to purchase 7,999 shares of common stock at $1.00 per share for $6,000 in cash.

~~The Company leases office and warehouse space with unrelated parties. During 2014, the Company executed a 1~~F-year lease, with base rent of $2,200 per month, which was renewed on July 1, 2015. The new lease required a monthly base rent payment of $2,310. This lease expired July 1, 2016, and was extended for one month. The Company relocated under a new two year lease effective July 1, 2016. The Company received a three month abatement in rent payments in exchange for completing certain leasehold improvements. These improvements were completed and the Company relocated on August 1, 2016. This lease requires a base rent of $3,063 per month and increases by 4% on the anniversary.9

Rent expense of $23,697 and $23,257 was incurred during the nine months ended September 30, 2016 and 2015, respectively. Rent expense of $8,040 and $8,029 was incurred during the three months ended September 30, 2016 and 2015, respectively.

Future minimum lease payments under the office lease agreement are as follows:

For the Years Ending December 31,
2016 (3 months remaining)	$ 9,188
2017	$ 37,121
2018	$ 28,668
Total minimum lease payments	$ 74,977

F-7

HD VIEW 360 INC.

Notes to Condensed Consolidated Financial Statements

(Unaudited)

b(4) ~~Vehicle~~COMMITMENTS ~~Lease~~AND CONTINGENCIES

~~The Company leases~~ a) ~~certain~~Real ~~vehicle~~Property ~~under~~Lease ~~an agreement which is accounted for on the balance sheet as a capital lease and expires in May 2021. The lease calls for monthly payments of $366, which commenced in July 2015.~~

~~Future~~The ~~minimum~~Company leases office and warehouse space with unrelated parties. During 2014, the Company executed a 1-year lease, with base rent of $2,200 per month, which was renewed on July 1, 2015. This lease required a monthly base rent payments of $2,310. This lease expired July 1, 2016, and was extended for one month. The Company relocated under a new two year lease effective July 1, 2016. The Company received a three month abatement in rent payments in exchange for completing certain leasehold improvements. These improvements were completed and the ~~capital~~Company relocated on August 1, 2016. This lease ~~agreement~~requires ~~are~~a asbase ~~follows:~~rent of $3,063 per month.

For the Years Ending December 31,
2016 (3 months remaining)	$ 1,799
2017	$ 4,392
2018	$ 4,392
2019	$ 4,392
2020	$ 4,392
Thereafter	$ 934
Total minimum lease payments	$ 20,301
Less: amount representing interest	$ 2,245
Present value of net minimum lease payments	$ 18,056

Rent expense of $9,189 and $7,911 was incurred during the quarters ended March 31, 2017 and 2016, respectively.

c)Future ~~Other~~minimum lease payments under the office lease agreement are as follows:


For the Years Ending December 31,
2017 - nine months	$ 27,565
2018	$ 28,665
2019	$ -
2020	$ -
Thereafter	$ -

Total minimum lease payments	$ 56,230

b) Other

The Company is subject to asserted claims and liabilities that arise in the ordinary course of business. The Company maintains insurance policies to mitigate potential losses from these actions. In the opinion of management, the amount of the ultimate liability with respect to those actions will not materially affect the Company’s financial position or results of operations.

(5) CONCENTRATIONS OF CREDIT RISK

a) Cash

The Company maintains its cash in bank deposit accounts, which may, at times, may exceed federally insured limits. The Company ~~had~~did not have cash balances in excess of FDIC insured limits ofat $0March ~~and~~31, ~~$42~~2017,~~010~~ atand ~~September~~were ~~30,~~in ~~2016,~~excess ~~and~~of FDIC insured limits at December 31, ~~2015, respectively~~2016.

F-810

~~MANAGEMENT’S~~ITEM ~~DISCUSSION AND ANALYSIS~~ 2.

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATION

Our Management’s Discussion and Analysis of Financial Condition and Results of Operations should be read in conjunction with the unaudited interim Financial Statements and related notes included in Item 1. Interim Financial Statements of this report and in Item 8. Financial Statements and Supplementary Data in our most recent Annual Report on Form 10-K, as well as the sections entitled “Risk Factors” in Item 1A. of our most recent Annual Report on Form 10-K and Part II, Item 1A. of this report, as well as other cautionary statements and risks described elsewhere in this report and our most recent Annual Report on Form 10-K. Our actual results could differ materially from those discussed in the forward-looking ~~statements~~statement.

Overview

We were formed on January 1, 2014, to provide security surveillance products and systems to commercial users. We have had generally increasing revenues, and have an accumulated deficit of approximately $18166,~~800~~000 at ~~September~~March 3031, ~~2016~~2017.

~~During~~We ~~the~~expect ~~second~~that ~~quarter~~our ~~of 2016~~research, wesales ~~incorporated three new wholly owned subsidiaries: HD View Technologies Inc., HD View Quick Fix Inc.~~ and ~~SimpleFone~~marketing ~~Inc.~~costs ~~During~~will ~~the~~continue ~~third~~to ~~quarter~~increase weas ~~sold~~a ~~40%~~percentage of ~~SimpleFone~~revenues ~~Inc~~ in ~~exchange for~~ the ~~telephone switch needed for SimpleFone to conduct its business~~short-term.

HDDuring ~~View~~the ~~Technologies~~second ~~Inc.~~quarter ~~will~~of be2016, awe ~~credit~~incorporated ~~card/debit~~three ~~card~~new ~~merchant~~wholly ~~processor.~~owned subsidiaries: HD View ~~Quick~~Technologies ~~Fix~~ Inc., ~~will~~HD ~~provide~~View ~~installation~~Quick ~~services~~Fix ~~and a subscription-based rapid response for computer/surveillance equipment repairs. SimpleFone~~ Inc. ~~will sell/lease telephone equipment~~ and ~~voice~~Simplefone ~~over internet (VOIP) telephone service~~Inc.

WeHD ~~expect~~View ~~that~~Technologies ~~our~~Inc. ~~research,~~will ~~sales~~be a credit card/debit card merchant processor, and ~~marketing~~has ~~costs~~begun ~~will~~the ~~continue~~development toof ~~increase~~a asnew point of sale (POS) software package. HD View Quick Fix Inc. is a ~~percentage~~combination of ~~revenues~~our ininstallation ~~the~~company ~~short-term~~and a subscription based rapid response entity for computer/surveillance equipment repairs. Simplefone Inc. leases a telephone switch and sell/lease telephone equipment and telephone service.

Liquidity and Capital Resources

We derive revenues from the sale and installation of our security related surveillance system products and services.

For the ~~nine~~three months ended ~~September~~March 3031, ~~2016~~2017 and ~~2015~~2016, our net sales were $~~772~~189,~~044~~258 and $~~507~~247,~~543~~432, respectively. Our revenues declined in the first quarter of 2017 because our CEO spent more time attending franchise shows in order to grow the business by becoming a “preferred provider” with additional franchisers. Also, our CEO also was focused on getting our subsidiaries operating and generating revenue. In addition we experienced an inflow of sales near the end of the quarter where we were not able to complete the installations prior to quarter end and this revenue was recorded as deferred until complete. This deferred revenue amounted to approximately 28% of our gross installation revenue.

We have experienced and expect an increasing trend in sales due to our ability to fulfill more orders that will come from greater brand acceptance due to previous and continuing expenditures in marketing and sales. Most of our revenues derive from the sale and installation of security and surveillance systems which are generally non-recurring. We sell surveillance products and install security systems primarily for commercial customers and generate revenues from the sale of these systems to our customers and, to a lesser extent, from maintenance of these systems for our customers. After we have installed a system at any particular customer site, we have generated the majority of revenues from that particular client location. We would not expect to generate significant revenues from any existing client in future years unless that client has additional installation sites for which our services might be required. Therefore, in order to maintain a level of revenues each year that is at or in excess of the level of revenues we generated in prior years, we must identify and be retained by new clients. If our business development, marketing and sales techniques do not result in an equal or greater number of projects of at least comparable size and value for us in a given year compared to the prior year, then we may be unable to increase our revenues and earnings or even sustain current levels in the future. To address this issue, we plan to target businesses ~~which are franchisees~~ with multiple locations and which are franchises.

We do not anticipate any increase in the base cost of our products, ~~but~~nor do we expect increased labor cost infor ~~proportion to an increase in installation revenues~~installations. Increased sales in 2016 are attributable to a strategic shift in our business model, where in 2015 we transitioned into providing installation services, which is a higher margin line of revenues. We began the transition to installation early in 2015.

~~THREE~~Costs ~~MONTHS~~and ~~ENDED~~Expenses ~~SEPTEMBER 30, 2016 AND 2015~~

~~Revenues~~For the three months ended March 31, 2017 and 2016, our cost of sales was $141,068 and $186,417, respectively. Our cost of sales, as a percentage of sales, was 75% for both the three months ended March 31, 2017 and 2016. During the first quarter of 2017 installation costs declined approximately 38% due to a change in the use of independent contracted installation personnel who are local to our job sites rather than sending employees from our location, which lowers travel expenses. Installation, (and charging for installation service), also aids us in an increased level of satisfaction of our products by our customers because of our standardized installation policies and procedures.

Our ~~net~~gross ~~revenues~~profit was $48,190 and $61,015 for the three months ended ~~September~~March 3031, ~~2016~~2017 and ~~2015 were $226~~2016,~~564~~ ~~and $214,846,~~ respectively. Our ~~installation~~gross ~~revenues~~profit ~~were~~as ~~48.8%~~a percentage of ~~total~~Net ~~revenues~~Sales inwas ~~2016 and 55.4~~25% infor ~~2015.~~both ~~Overall~~the ~~our~~three ~~net~~months ~~revenues~~ended ~~grew~~March ~~5.5% in 2016 over 2015~~31, ~~with~~2017 ~~the~~and ~~majority of this growth occurring in product revenue~~2016.

~~Costs~~During the three months ended March 31, 2017 and ~~Expenses~~2016, we spent $128,997 and $72,120 on general and administrative expenses. Our general and administrative expenses increased by $56,877, or 79%, for the three months ended March 31, 2017 over the three months ended March 31, 2016. This increase was mainly attributable to an increase in professional fees and an increase in our general and administrative travel expenses to various franchise shows in efforts to gain new franchiser customers.

~~For~~We ~~the~~had ~~three~~net ~~months~~loss ~~ended September 30, 2016 and 2015, our cost~~ of ~~sales was~~ ($~~202~~70,~~927~~400) ~~and $138,582, respectively. Our cost of sales, as a percentage of sales, was 89.6%~~ for the three months ended ~~September~~March 3031, ~~2016~~2017 ~~and~~compared ~~64.5% for the three months ended September 30, 2015. This percentage increase directly resulted from the change of our business model~~ to ~~incorporate~~net ~~the~~loss ~~sale~~ of ~~installation services~~($10,374) ~~which~~for ~~has~~three amonths ~~higher~~ended ~~profit~~March ~~margin. However~~31, ~~during the third quarter of~~ 2016 ~~costs were actually higher due to lengthy out-of-town stays for our installation personnel and utilizing higher cost installation personnel for higher quality work~~. Installation, (and charging for installation service), also aids us in an increased level of satisfaction of our products by our customers because of our standardized installation policies and procedures.

~~Our~~If ~~cost~~we ofcontinue ~~sales~~to ofgenerate ~~product~~revenues ~~decreased~~consistent ~~from~~with ~~76.~~the three (3%) tomonth ~~70.5%~~period, we will have sufficient liquidity and ~~cost~~capital ofresources ~~sales~~to meet our operating costs of ~~installation~~approximately ~~increased~~$25,000 toper ~~109~~month.5% ~~for~~As ~~the~~of ~~three~~March ~~months~~31, ~~ended~~2017, ~~September~~we 30had cash on hand of $175,000, ~~2016~~which ~~from~~we ~~55.0%~~believe ~~for~~is ~~the~~sufficient ~~three~~to ~~months~~meet ~~ended~~our ~~September~~operating ~~30,~~expenses ~~2015.~~for approximately seven (7) months.

~~Our~~ Results ~~gross profit was $23,637 and $76,264 for the three months ended September 30, 2016 and 2015, respectively. Our gross profit as a percentage~~ of ~~sales was 10.4% and 35.5% for the three months ended September 30, 2016 and 2015, respectively.~~Operations

~~During~~The ~~the~~following ~~three~~tables ~~months~~set ~~ended~~forth ~~September~~selected ~~30,~~unaudited ~~2016~~statement ~~and 2015, we spent $91,619 and $35,062, respectively, on general and administrative expenses inclusive~~ of ~~professional~~operations ~~fees.~~data ~~Our general and administrative expenses increased by $56,558, or 378.9%,~~ for ~~the~~each ~~three~~of ~~months ended September 30, 2016 over~~ the ~~three~~periods months ended September 30, 2015. This increase was mainly attributable to a $6,196 decrease in professional fees and a $62,753 increase in our general and administrative expenses, both of which were related to our becoming a public company.indicated:

We had net loss of $61,348 for the three months ended September 30, 2016 compared to net income of $3,028 for three months ended September 30, 2015.


	Three Months Ended March 31, 2017	Three Months Ended March 31, 2016
Statements of Operations
Net Sales	$ 189,258	$ 247,432
Cost of Sales	$ 141,068	$ 186,417
Gross Profit	$ 48,190	$ 61,015
General and Administrative Expenses	$ 128,997	$ 72,120
Net Loss	$ (70,141)	$ (10,374)

4Cash Flow Activities

~~Results~~Cash decreased $83,632 at March 31, 2017, from $258,778 at December 31, 2016. This decrease was principally a result of ~~Operations~~a net loss of $70,141 for the three months ended March 31, 2017. Acquisition of fixed assets was $15,000, which was the initial payment for the development of the POS system.

~~The~~Financing ~~following tables set forth selected unaudited statement of operations data for each of the periods indicated:~~Activities

Statements of Operations	Three Months Ended September 30, 2016	Three Months Ended September 30, 2015
Sales	$ 226,564	$ 214,846
Cost of Sales	$ 202,927	$ 138,582
Gross Profit	$ 23,637	$ 76,264
Operating Expenses	$ 95,696	$ 37,785
Net (Loss) Income Attributable to HD View 360 Inc.	$ (61,348)	$ 3,028

During the first quarter of 2017, the Company sold Units consisting of 7,999 shares of common stock and warrants to purchase 7,999 shares of common stock in exchange for $6,000 in cash.

~~Financing Activities~~4

~~During~~Property ~~the~~and three months ended September 30, 2016 compared to three months ended September 30, 2015, the Company had become independent from loans/capital contributions from its principal shareholder as it is generating sufficient cash flows from operations. During the first quarter of 2016 the Company sold 47,499 shares of common stock in exchange for $28,500 in cash.Equipment

~~Property~~We occupy approximately 1,598 square feet at 150 SE 2nd Ave, Suite 404, Miami Florida. This location consists of approximately 400 square feet of warehouse space and ~~Equipment~~approximately 1,198 square feet of office and retail space. We occupy this location pursuant to a lease agreement that requires us to pay $3,063 monthly. The lease expires on September 30, 2018. We believe this location is suitable for our current needs.

We ~~occupied~~do ~~approximately~~not ~~850~~intend ~~square~~to ~~feet~~renovate, ofimprove, ~~space~~or ~~located~~develop ~~in Miami Florida~~properties. ~~This~~We ~~location~~are ~~consisted~~not ofsubject ~~approximately~~to ~~400~~competitive ~~square~~conditions ~~feet~~for ofproperty ~~warehouse~~and ~~space~~currently ~~and~~have ~~approximately~~no ~~450~~property ~~square~~to ~~feet~~insure. ofWe ~~office~~have ~~and~~no ~~retail~~policy ~~space.~~with Werespect ~~occupied~~to ~~this~~investments ~~location~~in ~~pursuant~~real toestate aor ~~lease~~interests ~~agreement~~in ~~that~~real ~~required~~estate usand tono ~~pay~~policy ~~$2,471~~with ~~monthly.~~respect ~~The~~to ~~lease~~investments ~~expired~~in onreal ~~June~~estate 1,mortgages. ~~2016~~Further, ~~and~~we ~~was~~have ~~extended~~no ~~for~~policy ~~one~~with ~~month. We~~respect ~~relocated~~ to ~~new~~investments ~~space~~in ~~during~~securities ~~the~~of ~~first~~or ~~week~~interests ofin ~~August~~persons ~~2016,~~primarily asengaged ~~described~~in ~~below~~real estate activities.

WeCritical doAccounting ~~not~~Policies ~~intend to renovate, improve, or develop properties. We are not subject to competitive conditions for property~~ and currently have no property to insure. We have no policy with respect to investments in real estate or interests in real estate and no policy with respect to investments in real estate mortgages. Further, we have no policy with respect to investments in securities of or interests in persons primarily engaged in real estate activities. Estimates

~~During~~The ~~the~~preparation ~~second~~of ~~quarter~~financial ofstatements ~~2016,~~in weconformity ~~incorporated~~with ~~three~~accounting ~~new~~principles ~~wholly~~generally ~~owned~~accepted ~~subsidiaries:~~in HDthe ~~View~~United ~~Technologies~~States ~~Inc.,~~requires HDour ~~View~~management ~~Quick~~to ~~Fix~~make ~~Inc.~~assumptions, estimates and ~~SimpleFone~~judgments ~~Inc.~~that ~~During~~affect the ~~third~~amounts ~~quarter~~reported wein ~~sold~~the ~~40%~~financial statements, including the notes thereto, and related disclosures of ~~SimpleFone~~commitments ~~Inc~~and contingencies, if any. inWe ~~exchange~~consider ~~for~~our critical accounting policies to be those that require the ~~telephone~~more ~~switch~~significant ~~needed~~judgments ~~for~~and ~~SimpleFone~~estimates ~~Inc.~~in tothe ~~conduct~~preparation ~~its~~of ~~business.~~financial statements, including the following:

HDIncome View Technologies Inc. will be a credit/debit card merchant processor. HD View Quick Fix Inc. will provide installation services and a subscription-based rapid response for computer/surveillance equipment repairs. SimpleFone Inc. will sell/lease telephone equipment and voice over internet (VOIP) telephone service.Taxes

5We account for income taxes under ASC 740 “Income Taxes” which codified SFAS 109, “Accounting for Income Taxes” and FIN 48 “Accounting for Uncertainty in Income Taxes – an Interpretation of FASB Statement No. 109.” Under the asset and liability method of ASC 740, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statements carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Under ASC 740, the effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period the enactment occurs. A valuation allowance is provided for certain deferred tax assets if it is more likely than not that we will not realize tax assets through future operations.

AsPer aShare direct result of founding these three new entities we determined that we required additional office space to house all four lines of business and entered into a lease for a replacement location which encompasses approximately 1,600 square feet. This new lease will require us to pay $3,063 per month in rent.Information

InWe ~~June~~compute ~~2015~~net weincome ~~added~~(loss) aper ~~cargo~~share ~~van~~accordance towith ~~allow~~FASB ~~for~~ASC ~~the~~205 ~~delivery~~“Earnings ofper ~~product~~Share”. ~~packages~~FASB toASC ~~the~~205 ~~shipping~~requires ~~carrier~~presentation asof ~~well~~both asbasic ~~for~~and ~~around~~diluted ~~town~~earnings ~~supplies~~per ~~collection.~~share ~~This~~(EPS) ~~vehicle~~on ~~was~~the ~~financed~~face ~~through~~of athe ~~capital~~income ~~lease~~statement.

~~NINE~~Basic ~~MONTHS~~EPS ~~ENDED~~is ~~SEPTEMBER~~computed ~~30,~~by ~~2016~~dividing ~~AND~~net ~~2015~~loss available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all potentially dilutive common shares outstanding during the period. Diluted EPS excludes all potentially dilutive shares if their effect is anti-dilutive.

~~Revenues~~Stock Option Grants

~~Our~~We ~~net~~have ~~revenues~~not ~~for~~granted ~~the~~any ~~nine~~stock ~~months~~options ~~ended~~to ~~September~~our ~~30,~~officers ~~2016~~ and ~~2015~~directors ~~were~~since ~~$772,044~~our ~~and $507,543, respectively~~inception. ~~Our~~Upon ~~installation~~the ~~revenues~~further ~~were~~development ~~52.1%~~ of ~~total~~our ~~revenues~~business, inwe ~~2016~~will ~~and~~likely ~~46.7%~~grant inoptions ~~2015.~~to ~~Overall~~directors ~~our~~and ~~net~~officers ~~revenues~~consistent ~~grew 52.1% in 2016 over 2015,~~ with ~~the~~industry ~~majority of this growth occurring in installation revenues~~practice.

~~Costs~~Use ~~and~~of ~~Expenses~~ Estimates

~~For~~The ~~the~~preparation ~~nine months ended September 30, 2016 and 2015, our cost~~ of ~~sales~~financial ~~was~~statements ~~$554,937~~in ~~and~~conformity ~~$304,763,~~with ~~respectively.~~accounting ~~Our~~principles ~~cost~~generally ofaccepted ~~sales,~~in asthe aUnited ~~percentage~~States of ~~sales,~~America ~~was~~requires ~~71.9%~~management ~~for~~to ~~the~~make ~~nine~~estimates ~~months ended September 30, 2016~~ and ~~60.0%~~assumptions ~~for~~that affect the ~~nine~~reported ~~months~~amounts ~~ended~~of ~~September~~assets ~~30,~~and ~~2015.~~liabilities ~~This~~and ~~percentage~~disclosure ~~increase directly resulted from the change~~ of ~~our~~contingent ~~business~~assets ~~model~~and toliabilities ~~incorporate~~at the ~~sale~~date of ~~installation~~the ~~services,~~financial ~~which~~statements ~~has~~and ~~a higher profit margin. However, during~~ the ~~third~~reported ~~quarter~~amounts of ~~2016~~revenues ~~costs were actually higher due to lengthy out-of-town stays for our installation personnel~~ and ~~utilizing~~expenses ~~higher~~during ~~cost~~the ~~installation~~reporting ~~personnel for higher quality work~~period. ~~Installation,~~Actual ~~(and~~results ~~charging~~could ~~for~~differ ~~installation~~from ~~service),~~those ~~also aids us in an increased level of satisfaction of our products by our customers because of our standardized installation policies and procedures~~estimates.

~~Our cost of sales of product increased to 70.2% for the nine months ended September 30, 2016 from 67.~~5% for the nine months ended September 30, 2015, and cost of sales of installation increased to 73.4% for the nine months ended September 30, 2016 from 51.5% for the nine months ended September 30, 2015.

~~Our~~Fair ~~gross~~Value ~~profit was $217,107 and $202,780 for the nine months ended September 30, 2016 and 2015, respectively. Our gross profit as a percentage~~ of ~~sales~~Financial ~~was 28.1% and 40.0% for the nine months ended September 30, 2016 and 2015, respectively.~~Instruments

~~During~~Our ~~the~~financial ~~nine~~instruments ~~months~~consist ~~ended~~of ~~September~~cash ~~30, 2016~~ and ~~2015,~~cash ~~we spent $273~~equivalents,~~772~~ ~~and~~prepaid ~~$72~~expenses,~~330,~~ ~~respectively,~~payables ~~on general~~ and ~~administrative~~accrued expenses. ~~inclusive~~Fair ofvalue ~~professional~~estimates ~~fees.~~are ~~Our~~made ~~general~~at ~~and~~a ~~administrative~~specific ~~expenses~~point ~~increased~~in ~~by $201~~time,~~442,~~ orbased ~~278.5%,~~on ~~for~~relevant ~~the~~market ~~nine~~information ~~months~~about ~~ended~~the ~~September~~financial ~~30,~~instrument. ~~2016~~These ~~over~~estimates ~~the~~are ~~nine~~subjective ~~months~~in ~~ended~~nature ~~September~~and ~~30,~~involve ~~2015.~~uncertainties ~~This~~and ~~increase~~matters ~~was~~of ~~mainly~~significant ~~attributable~~judgment toand atherefore ~~$48,225~~cannot ~~increase~~be indetermined ~~professional~~with ~~fees~~precision. ~~and~~We aconsider ~~$153,217~~the ~~increase~~carrying invalues of our ~~general~~financial ~~and~~instruments ~~administrative~~in ~~expenses,~~the ~~both~~financial ofstatements ~~which~~to ~~were~~approximate ~~related~~fair tovalue, ~~our~~due ~~becoming~~to atheir ~~public~~short-term ~~company~~nature.

WeProperty ~~had~~and ~~net loss of $54,763 for the nine months ended September 30, 2016 compared to net income of $89,406 for nine months ended September 30, 2015.~~Equipment

IfProperty weand ~~continue~~equipment toare ~~generate~~recorded ~~revenues~~at ~~consistent with the nine (9) month period~~cost, weless ~~will~~accumulated ~~have~~depreciation. ~~sufficient~~Depreciation ~~liquidity~~is ~~and~~provided ~~capital~~for ~~resources~~using tostraight-line ~~meet~~methods ~~our~~over ~~operating~~the ~~costs~~estimated ofuseful ~~approximately~~lives ~~$39,000 per month. As~~ of ~~September~~the ~~30,~~respective ~~2016, we had cash on hand of approximately $205,000, which we believe is sufficient to meet our operating expenses for approximately five (5) months~~assets.

6Valuation of Long-Lived Assets

~~Results~~We periodically evaluate long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying value of ~~Operations~~an asset may not be recoverable. If the estimated future cash flows (undiscounted and without interest charges) from the use of an asset were less than the carrying value, a write-down would be recorded to reduce the related asset to its estimated fair value.

~~The~~Off-Balance ~~following~~Sheet ~~tables set forth selected unaudited statement of operations data for each of the periods indicated:~~Arrangements

	Nine Months Ended September 30, 2016	Nine Months Ended September 30, 2015
Statements of Operations
Sales	$ 772,044	$ 507,543
Cost of Sales	$ 554,937	$ 304,763
Gross Profit	$ 217,107	$ 202,780
Operating Expenses	$ 284,403	$ 78,303
Net (Loss) Income Attributable to HD View 360 Inc	$ (54,763)	$ 89,406

We do not have any off-balance sheet arrangements as defined in Regulation S-K Item 303(a)(4).

Cash Flow Activities

Cash decreased $87,038 at September 30, 2016, from $292,010 at December 31, 2015. This decrease was principally a result of a net loss of $54,763 for the nine months ended September 30, 2016; payment of accrued income taxes of $50,000; the sale of common stock in exchange for $28,500 in cash in the first quarter of 2016 and the acquisition of $31,755 in fixed assets directly related to the office relocation and up fitting of the telephone switch for SimpleFone.

Inventory decreased at September 30, 2016 as compared with December 31, 2015, due to our increasing our valuation reserve by $7,640. In early 2015 the Company revised its business model to purchase product only when a customer order had been placed and paid for. The inventory balance is composed of older product which is generally a generation behind current easily salable product.

Financing Activities

During the nine months ended September 30, 2016 compared to nine months ended September 30, 2015, the Company had become independent from loans/capital contributions from its principal shareholder as it is generating sufficient cash flows from operations. During the first quarter of 2016 the Company sold 47,499 shares of common stock in exchange for $28,500 in cash.

Critical Accounting Policies and Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires our management to make assumptions, estimates and judgments that affect the amounts reported in the financial statements, including the notes thereto, and related disclosures of commitments and contingencies, if any. We consider our critical accounting policies to be those that require the more significant judgments and estimates in the preparation of financial statements, including the following:

Income Taxes

We account for income taxes under ASC 740 “Income Taxes” which codified SFAS 109, “Accounting for Income Taxes” and FIN 48 “Accounting for Uncertainty in Income Taxes – an Interpretation of FASB Statement No. 109.” Under the asset and liability method of ASC 740, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statements carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Under ASC 740, the effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period the enactment occurs. A valuation allowance is provided for certain deferred tax assets if it is more likely than not that we will not realize tax assets through future operations.

Per Share Information

We compute net income per share accordance with FASB ASC 205 “Earnings per Share”. FASB ASC 205 requires presentation of both basic and diluted earnings per share (EPS) on the face of the income statement.

Basic EPS is computed by dividing net loss available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all potentially dilutive common shares outstanding during the period. Diluted EPS excludes all potentially dilutive shares if their effect is anti-dilutive.

Stock Option Grants

We have not granted any stock options to our officers and directors since our inception. Upon the further development of our business, we will likely grant options to directors and officers consistent with industry practice.

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America 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 reporting period. Actual results could differ from those estimates.

Fair Value of Financial Instruments

Our financial instruments consist of cash and cash equivalents, prepaid expenses, payables and accrued expenses. Fair value estimates are made at a specific point in time, based on relevant market information about the financial instrument. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and therefore cannot be determined with precision. We consider the carrying values of our financial instruments in the financial statements to approximate fair value, due to their short-term nature.

Property and Equipment

Property and equipment are recorded at cost, less accumulated depreciation. Depreciation is provided for using straight-line methods over the estimated useful lives of the respective assets.

Valuation of Long-Lived Assets

We periodically evaluate long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying value of an asset may not be recoverable. If the estimated future cash flows (undiscounted and without interest charges) from the use of an asset were less than the carrying value, a write-down would be recorded to reduce the related asset to its estimated fair value.

Off-Balance Sheet Arrangements

We do not have any off-balance sheet arrangements as defined in Regulation S-K Item 303(a)(4).

ITEM 3.

QUANTITATIVE AND QUALITAIVE DISCLOSURES ABOUT MARKET RISK

Not required.

ITEM 4.

CONTROLS AND PROCEDURES

Under the direction and with the participation of the Company’s management, the Company carried out an evaluation of the effectiveness of the design and operation of its disclosure controls and procedures as of ~~September~~March 3031, ~~2016~~2017. The Company maintains disclosure controls and procedures that are designed to ensure that information required to be disclosed in its periodic reports with the Securities and Exchange Commission is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and regulations, and that such information is accumulated and communicated to the Company’s management, including its principal executive officer and principal financial officer, as appropriate, to allow timely decisions regarding required disclosure. The Company’s disclosure controls and procedures are designed to provide a reasonable level of assurance of reaching its desired disclosure control objectives. Based upon this evaluation, management concluded that the Company’s disclosure controls and procedures were not effective as of ~~September~~March 3031, ~~2016~~2017 primarily based on these criteria, due to material weaknesses resulting from our failure to 1) provide correct responsibilities to adequately segregate activity in the area of cash receipts and cash disbursements, 2) effectively implement comprehensive entity level internal controls, and 3) adequately segregate duties within the accounting department due to an insufficient number of staff.

There were no changes in the Company’s internal control over financial reporting during the quarter ended ~~September~~March 3031, ~~2016~~2017, that materially affected, or are reasonably likely to materially affect, its internal control over financial reporting.

PART II

ITEM 1. Legal Proceedings

~~From time to time, the Company may become involved in litigation relating to claims arising out of its operations in the normal course of business~~ None. To the best of our knowledge, no governmental authority is contemplating any proceeding to which we are a party or to which any of our properties is subject, which would reasonably be likely to have a material adverse effect on the Company.

ITEM 1A. Risk Factors

~~Smaller~~Not ~~reporting companies are not required to provide the information required by this item~~applicable.

ITEM 2. Unregistered Sales of Equity Securities and Use of Proceeds

None

ITEM 3. Defaults Upon Senior Securities

None.

ITEM 4. Mine Safety Disclosures

Not applicable.

ITEM 5. Other Information

None

Item 6. Exhibits

Exhibits

31.1

Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

31.2

Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

117

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

HD VIEW 360 INC.

~~November~~May 2117, ~~2016~~2017

By: /s/ Dennis Mancino Dennis Mancino Principal Executive and Financial Officer

~~Dennis Mancino, Principal Executive and Financial Officer~~ 8

Filing Compare · HD View 360 Inc.