UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

(Mark One)

x QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended ~~May~~November 3130, 2016

o TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from __________ to ____________

Commission File Number: ~~333~~000-~~122009~~55578

SIBANNAC, INC.

(Exact Name of Registrant as Specified in its Charter)

Nevada

33-0903494

(State or other jurisdiction of

incorporation or organization)

(I.R.S. Employer

Identification No.)

~~1313~~2122 E. ~~Osborn,~~Highland ~~Phoenix~~Avenue, Suite ~~AZ 85014~~425

Phoenix, AZ 85016

(Address of Principal Executive Offices) (Zip Code)

Registrant's telephone number including ~~area~~ area code: (480) ~~420~~498-~~3171~~8300

~~9235~~1313 ~~Bell~~E. ~~Flower Way~~Osborn, ~~Highlands Ranch~~Phoenix, COAZ ~~80126~~85014 Former name, former address, and former fiscal year, if changed since last report

Indicate by check mark whether the registrant (1) filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 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~~ o No x

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 ~~x No~~ o No x

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, ~~or a~~ smaller reporting company, or an emerging growth company. See ~~definition~~ the definitions of “large accelerated filer”,” “accelerated filer”, ~~and~~ “smaller reporting company”, and “emerging growth company” in Rule 12b-2 of the Exchange Act. (Check one)

~~Larger~~Large accelerated filer o Accelerated filer o Non-accelerated filer o Smaller reporting company x Emerging growth company o

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o

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

Indicate the number of shares outstanding of of each of the issuer’s classes of common stock, as of the latest practicable date: 1760,~~527~~000,~~194~~000 shares outstanding as of ~~July~~September 1514, ~~2016~~2017.

PART I. FINANCIAL INFORMATION

ITEM 1 . Financial Statements

SIBANNAC, INC.

FINANCIAL STATEMENTS

For the period ended

~~May~~November 3130, 2016

SIBANNAC, INC.

BALANCE SHEETS

	(Unaudited)			(Audited)
	May 31, 2016			August 31, 2015
ASSETS
Current Assets
Cash	$	15,904		$	273,808
Accounts receivable		90,816			1,000
Accrued interest income receivable		2,984			–
Total Current Assets		109,704			274,808
Non current assets
Intangible assets, net		101,758			40,053
Related party note receivable, net		250,000			250,000
Total Current Assets		351,758			290,053.00
TOTAL ASSETS	$	461,462		$	564,861
LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)
Commitments and Contingencies
Current Liabilities
Accounts payable and accrued expenses	$	23,272		$	2,476
Short term secured related party note payable, net		6,525			–
Note Payable-Sandbox, net		16,250			–
Note Payable, net		270,864			254,195
Total Current Liabilities		316,911			256,671
Non-current liabilities
Put payable to a related party		250,000			250,000
Total Non-Current Liabilities		250,000			250,000
Total Liabilities		566,911			506,671
Stockholders' Equity after reorganization August 31, 2015
Preferred Stock, $0.001 par value, 10,000,000 shares authorized; 0 shares outstanding		–			–
Common Stock, $0.001 par value, 60,000,000 shares authorized; 17,527,194 and 17,527,194 shares issued and outstanding at May 31, 2016 and August 31, 2015 [note 4]		17,528			17,528
Additional paid-in capital, total reflect the balance after a deficit of $3,242,672 was eliminated through a quasi-reorganization [note 2]		40,662			40,662
Retained deficit, total reflect the balance after a deficit of $3,242,672 was eliminated through a quasi-reorganization [note 2]		(163,639	)		–
Total Stockholders’ Equity (Deficit)		(105,449	)		58,190
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)	$	461,462		$	564,861

(Unaudited)

	November 30, 2016			August 31, 2016
ASSETS
Current Assets
Cash	$	698		$	8,725
Accounts receivable		11,632			60,071
Other assets		–			3,975
Total Current Assets		12,329			72,771

Non current assets
Note receivable, net		250,000			250,000
Total Non-Current Assets		250,000			250,000

TOTAL ASSETS	$	262,329		$	322,771

LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)
Commitments and Contingencies
Current Liabilities
Accounts payable and accrued expenses	$	62,615		$	53,508
Note payable related party, net		31,054			28,422
Note payable-Sandbox, net		14,261			7,209
Note payable, net		281,997			276,461
Total Current Liabilities		389,927			365,600

Non-current liabilities
Put payable		250,000			250,000
Total Non-Current Liabilities		250,000			250,000

Total Liabilities		639,927			615,600

Stockholders' Deficit
Preferred Stock, $0.001 par value, 10,000,000 shares authorized; 0 shares outstanding		–			–
Common Stock, $0.001 par value, 60,000,000 shares authorized; 17,527,194 shares issued and outstanding at November 30, 2016 and August 31, 2016		17,528			17,528
Additional paid-in capital		40,662			40,662
Retained deficit		(435,788	)		(351,019	)

Total Stockholders’ Deficit		(377,598	)		(292,829	)

TOTAL LIABILITIES AND STOCKHOLDERS’ DEFICIT	$	262,329		$	322,771

The accompanying notes are an integral part of these financial statements

SIBANNAC, INC.

STATEMENT OF OPERATIONS

~~For the Three and Nine Months Ended May 31, 2016 and 2015~~ (Unaudited)

	Three Months Ended May 31,						Nine Months Ended May 31,
	Three months ended November 30,
	2016			2015			~~2016~~			~~2015~~
Revenues	$	8940,~~489~~975		$	–143,260		$	~~419,924~~		$	–
Cost of Goods Sold (exclusive of depreciation, included in general & administrative expenses)	$	8774,~~483~~019		$	–87,673		$	~~337,954~~		$	–
Gross profit	$	2,006		$	–		$	81,970		$	–
Gross profit (loss)		(33,045	)		55,587
Selling expenses	$	–		$	–		$	–		$	–
General and administrative expenses
General and administrative expenses
Other general and administrative expenses		41,412			84,125
Other general and administrative expenses		41,130			55,990			223,175			79,745
Net Loss from Operations		(74,456	)		(28,538	)
Total general and administrative expenses	$	41,130		$	55,990		$	223,175		$	79,745
Other income (expenses)
Net Profit/(Loss) from Operations	$	(39,124	)	$	(55,990	)	$	(141,205	)	$	(79,745	)
Amortization Expense		–			(934	)
Amortization Expense		1,574			–			4,146			–
Other/Interest Income		–			1,132
Interest Income		(1,002	)		(4	)		(3,125	)		(5	)
Interest Expense		(10,313	)		(5,536	)
Interest Expense		9,341			–			21,413			–
Total Other Expenses		(10,313	)		(5,338	)
Net Income/(Loss)	$	(49,037	)	$	(55,986	)	$	(163,639	)	$	(79,740	)
Net Loss	$	(84,769	)	$	(33,876	)
Net Loss per share - basic and diluted	$	(0.00	)	$	(0.0100	)	$	~~(0.01~~	)	$	~~(0.02~~	)
Weighted average common shares outstanding - basic and diluted		17,527,194			417,~~990~~527,~~000~~194			~~17,527,194~~			~~4,990,000~~

The accompanying notes are an integral part of these unaudited financial statements

SIBANNAC, INC.

STATEMENT OF CASH FLOWS

~~For the Nine Months Ended May 31, 2016 and 2015~~ (Unaudited)

	Three months ended November 30,
	2016			2015
Operating Activities
Net loss	$	(~~163~~84,~~639~~769	)	$	(7933,~~740~~876	)
Adjustments to reconcile net loss to net cash used in operations:
Depreciation & Amortization		~~4,146~~–			–934
Bad debt expense		8,304			–
Changes in operating assets and liabilities:
Accounts Receivable		~~(89~~44,~~816~~110	)		–(119,466	)
Other Assets		(2,984	)		–
Other assets		–			(991	)
Accounts Payable and accrued expenses		2015,~~796~~267			~~(63~~5,~~219~~536	)
Other payables		–			(63,000	)
Net Cash used in operating activities		(17,088	)		(147,863	)
Accrued interest on note payable		16,669			–
Net Cash (used in)/provided by operating activities		(214,828	)		(205,959	)
Investing Activities
Website development expenses		~~(65,851~~–	)		–(16,015	)
Loans Receivable		–			(60,000	)
Net cash provided by investing activities		–			(16,015	)
Net cash used in investing activities		(65,851	)		(60,000	)
Financing Activities
Proceeds from the sale of common stock		–			617,500
Proceeds from short term note payable secured by companies receivable, net		9,061			–
Proceeds from short term note payable secured by companies receivable		22,775			–
Net Cash provided by (used in) financing activities		9,061			–
Net Cash provided by financing activities		22,775			617,500
Net Increase (Decrease) in cash		(8,027	)		(163,878	)
Net Increase (Decrease) in cash		(257,904	)		351,541
Cash, beginning of period		8,725			273,808
Cash, beginning of period		273,808			63,000
Cash, end of period	$	698		$	109,930
Cash, end of period	$	15,904		$	414,541
Supplemental disclosures of cash flow information
Cash paid for
Interest	$	–		$	–
Income taxes	$	–		$	–

The accompanying notes are an integral part of these unaudited financial statements

SIBANNAC, INC.

NOTES TO THE (UNAUDITED) ~~FINANCIAL~~CONDENSED FINANCIAL STATEMENTS

NOTE 1 – BASIS OF PRESENTATION AND NATURE OF BUSINESS

Nature of Business

~~Between~~Sibannac, ~~September~~Inc. ~~2000~~("Sibannac" or "Company" ~~and~~or "we") was incorporated in June 1999 in the State of Nevada as Naprodis, Inc. On August 25, 2014, the Company ~~was~~transferred all inits ~~the~~assets ~~business~~to ofNaprodis, ~~selling~~Inc., ~~nutritional~~a ~~and~~Colorado ~~personal~~corporation ~~care~~(“Colorado ~~products~~Naprodis”). On November 25, 2014, the Company changed its name to Sibannac, Inc.

On August 25, 2014, the Company transferred all of its assets to Naprodis, Inc., a Colorado corporation (“Colorado Naprodis”). In consideration for the transfer of these assets, Colorado Naprodis agreed to assume a substantial amount of the Company’s liabilities. Colorado Naprodis is controlled by Paul Petit, who was the Company’s president prior to August 25, 2014.

As a result of the disposal of the Company’s old business, the Company now plans to provide a variety of services to licensed marijuana growers and dispensaries. The initial service offering will be various website marketing and professional employer organization sales.

At August 31, 2015 the Company completed the acquisition of two companies owned by related parties in return for the Company’s common stock. They acquired Protection Cost, Inc. for 2,300,000 shares of common stock and Apollo Media Network, Inc. for 4,500,000 shares.

Basis of Presentation

The ~~financial~~accompanying ~~statements~~condensed consolidated financial ~~presented~~statements ~~include~~have ~~all~~been ~~adjustments~~prepared ~~which~~by ~~are,~~the inCompany without audit. In the opinion of management, all adjustments necessary to present ~~fairly~~ the financial position, results of operations and cash flows for the ~~period~~stated ~~presented~~periods have been made. Except as described below, these adjustments consist only of normal and recurring adjustments. Certain information and note disclosures normally included in the Company’s annual financial statements prepared in accordance with ~~the~~ accounting principles generally accepted in ~~the~~ the United States of America have been condensed or omitted. ~~All~~These ~~adjustments~~condensed consolidated unaudited financial statements should be read in conjunction with a reading of the Company’s consolidated financial statements and notes thereto included in Form 10-K filed with the SEC on December 14, 2016. Interim results of operations for the three months ended November 30, 2016 and 2015 are not necessarily indicative of afuture ~~normal~~results ~~recurring~~for ~~nature~~the full year. Certain amounts from the 2015 period have been reclassified to conform to the presentation used in the current period.

~~These~~The condensed consolidated financial statements as of ~~and for~~ the ~~quarter~~Company ~~ended~~include ~~May 31, 2016 reflect all adjustments which, in~~ the ~~opinion~~consolidated accounts of ~~management,~~Sibannac ~~are~~and ~~necessary~~its’ towholly ~~fairly~~owned ~~state~~subsidiaries. ~~the~~All ~~Company’s~~intercompany ~~financial~~accounts ~~position~~ and ~~the~~transactions ~~results~~have ofbeen ~~its~~eliminated ~~operations for the periods presented,~~ in ~~accordance with the accounting principles generally accepted in the United States of America~~consolidation. ~~All adjustments are of a normal recurring nature.~~

The Company assumes that the users of the interim financial information herein have read, or have access to, the audited financial statements for the preceding period, and that the adequacy of additional disclosure needed for a fair presentation may be determined in that context.

NOTE 2 – CRITICAL ACCOUNTING POLICIES AND ESTIMATES

Cash and Cash ~~Equivalents~~ – The Company considers all highly liquid instruments with an original maturity of three months or less to be cash equivalents. At certain times, cash in bank may exceed the amount covered by FDIC insurance. At May 31, 2016 and August 31, 2015 there were deposit balances in a United States bank of $15,904 and $273,808 respectively.Equivalents

The Company considers all highly liquid instruments with an original maturity of three months or less to be cash equivalents. At certain times, cash in bank may exceed the amount covered by FDIC insurance. At November 30, 2016 and August 31, 2016, there were deposit balances in a United States bank of $698 and $8,725 respectively.

Fair Value of Financial Instruments

The Financial Accounting Standards Board issued ASC (Accounting Standards Codification) 820-10 (SFAS No. 157), “Fair Value Measurements and Disclosures”" for financial assets and liabilities. ASC 820-10 provides a framework for measuring fair value and requires expanded disclosures regarding fair value measurements. FASB ASC 820-10 defines fair value as the price that would be received for an asset or the exit price that would be paid to transfer a liability in the principal or most advantageous market in an orderly transaction between market participants on the measurement date. FASB ASC 820-10 also establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs, where available. The following summarizes the three levels of inputs required by the standard that the Company uses to measure fair value:

Level 1: Quoted prices in active markets for identical assets or liabilities.

Level 2: Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the related assets or liabilities.

Level 3: Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

As of ~~May~~November 3130, 2016, all of the Company’s financial instruments are recorded at fair value.

Accounts Receivable and concentration of credit risk

The Company extends unsecured credit to its customers in the ordinary course of business. Accounts receivable related to online media revenues is recorded at the time services are delivered and payment is reasonably assured. Online media revenues are generally collected from 30 to 60 days after the invoice is received. On a periodic basis, the Company evaluates its receivables and establishes allowances based on historical experience and other currently available information. As of November 30, and August 31, 2016, management determined it was necessary to establish an allowance for doubtful accounts of $4,329. There was no allowance at August 31, 2016. As of November 30, 2016, and August 31, 2016, the Company had accounts receivable, net of $11,632 and $60,071, respectively.

Loss per share

The Company computes net loss per common share in accordance with FASB ASC 260 (SFAS No. 128 “Earnings per Share” and SAB No. 98). Under the provisions of ASC 260, the basic net loss per common share is computed by dividing the net loss available to common stock outstanding during the period. Net loss per share on a diluted basis is computed by dividing the net loss for the period by the weighted average number of common and dilutive common stock equivalent shares outstanding during the period.

The Company has no potentially dilutive securities outstanding as of November 30, 2016, and August 31, 2016.

Recent Accounting Pronouncements

We do not expect the adoption of recently issued accounting pronouncements to have a significant impact on our results of operations, financial position or cash flow.

NOTE 3– NOTE RECEIVABLE AND PUT PAYABLE

As part of the acquisition of Apollo Media Network, Inc. (“Apollo”), on July 15, 2015, the Company assumed a note receivable from the principal of Apollo that is due at the payees’ discretion from two to nine years from the notes formation on August 31, 2014, resulting in a long term note receivable due to the company as of November 30, 2016, and August 31, 2016. The principal amount of the note receivable is expected to be paid through the exercise of the related Put Option payable that was also established at the same time The Company accrued interest on the note receivable through August 31, 2016, at an annualized rate of 1.59%, or $3,975. As of November 30, 2016, the Company has recorded bad debt expense of $3,975 and an allowance on the interest receivable, as the collectability of the interest is uncertain.

As part of the acquisition of Apollo, the Company issued a put option to repurchase 1,400,000 shares of common stock from the principal of Apollo which is to be outstanding for the same period of time as the Note Receivable described above. The exercise price of the Put is stated as being the full satisfaction of the promissory note valued at $250,000 The Company has not delivered the 1,400,000 shares of common stock to the principal of Apollo, since the shares were to be returned to the Company upon the exercise of the Put Option.

The note receivable for $250,000 and the Put payable for $250,000 are linked to one another and will offset each other once the principal of Apollo elects to exercise. Upon the exercise no cash will exchange hands but the asset and offsetting liability will be removed from the Companies records at that time.

NOTE 4– NOTES PAYABLE

Note payable – Sandbox, net

On May, 2016, the Company entered into a Financing and Security Agreement (“FSA”) with FPP Sandbox, LLC. (“Sandbox”). Pursuant to the FSA, Sandbox agreed to purchase qualifying invoices from the Company at 70% of the face value of the invoice, charging an initial factoring fee of 3% for the first 30 days and an additional 3% beginning on the 31^st day. The net balance on this note as of November 30, 2016, and August 31, 2016, is $14,261 and $7,209, respectively.

~~Accounts~~Notes Receivable and concentration of credit risk – The Company extends unsecured credit to its customers in the ordinary course of business. Accounts receivable related to online media revenues is recorded at the time services are delivered and payment is reasonably assured. Online media revenues are generally collected from 30 to 60 days after the invoice is received. As of May 31, 2016 and August 31, 2015, the Company had accounts receivable of $90,816 and $1,000, respectively.payable

~~Intangible~~As ~~Assets –~~part ~~Intangible~~of ~~assets~~the ~~are~~acquisition ~~comprised~~ of ~~websites~~Apollo, ~~media~~the company ~~content~~assumed ~~and~~liability ~~intellectual~~for ~~property~~various ~~related~~notes topayable ~~the~~due ~~websites~~to ~~acquired~~four ~~through the~~individual ~~acquisition~~investors ofranging ~~Apollo~~from ~~Media~~$5,000 ~~Network~~to $64,000 ~~Inc~~principle amount. atThese ~~historical~~notes ~~cost.~~have Asa ~~the~~stated ~~Company~~interest israte inof ~~the~~5% ~~online~~except ~~media~~for ~~business~~one we$30,000 ~~expect~~note that in ~~most~~bears ~~periods~~interest ~~the~~at ~~company~~40%. ~~will~~These ~~invest~~notes ~~capital~~matured at invarious ~~continuing~~times tothroughout ~~develop these assets~~2015. The ~~total~~principle ~~value~~balance of ~~these~~all ~~assets~~notes totaled $234,100 and accrued interest as of ~~May~~November 30, 312016, ~~2016~~and ~~increased~~August to31, ~~$101~~2016,~~758~~ ~~from~~was $4047,~~053~~897 onand ~~August 31~~$42,361, ~~2015~~respectively. ~~These~~Principal ~~balances~~and ~~are~~interest ~~amortized~~totaled ~~over~~$281,997 ~~their~~and ~~estimated~~$276,461 ~~useful~~as ~~lives~~of November ~~which~~30, ~~the~~2016, ~~Company~~and ~~has~~August ~~determined~~31, ~~ranges~~2016, ~~from~~respectively. ~~three~~As toof ~~seven~~November ~~years.~~30, ~~Amortization~~2016, ~~from~~all ~~August~~of ~~31,~~these ~~2015~~notes towere ~~May~~past ~~31,~~due ~~2016~~(see ~~was~~note ~~$4,146~~8).

~~Note~~NOTE ~~Receivable and Put Payable~~ 5– AsGOING part of the acquisition of Apollo Media Network, Inc. the Company received a note receivable from the principal of Apollo Media Network, Inc., a related party, that is due at the payees’ discretion from two to nine years from formation on August 31, 2014. Resulting in a long term note receivable due to the company on August 31, 2015 to August 31, 2024. This loan accrues interest at a rate of 1.59% and is expected to be through the exercise of the related Put Option payable that was also established at the same time.CONCERN

AsThe ~~part~~accompanying ofcondensed ~~the~~consolidated ~~acquisition~~financial ofstatements ~~Apollo~~have ~~Media~~been ~~Network,~~prepared ~~Inc.~~assuming the Company ~~issued~~will acontinue ~~put~~as ~~option~~a togoing ~~repurchase~~concern. ~~1,400,000~~As ~~shares~~ of ~~common~~November ~~stock~~30, ~~from~~2016, the ~~principal~~Company had an ofaccumulated ~~Apollo~~deficit ~~Media~~of ~~Network~~$435,788 ~~Inc.~~and ~~which~~working iscapital todeficit beof ~~outstanding~~$377,598. ~~for~~These ~~the~~factors ~~same~~create ~~period~~a ofsubstantial ~~time~~doubt asregarding the Company’s ~~Note~~ability ~~Receivable~~to ~~described~~continue ~~above~~as a going concern. The ~~exercise~~ ~~price~~accompanying offinancial ~~the~~statements ~~Put~~do isnot ~~stated~~include asany ~~being~~adjustments ~~the~~that might ~~full~~be ~~satisfaction~~necessary ofif the ~~promissory~~Company ~~note~~is ~~valued~~unable atto ~~$250,000~~continue as a going concern.

~~The~~NOTE ~~note~~6 ~~receivable for~~– ~~$250,000~~COMMON and the Put payable for $250,000 are linked to one another and will offset each other once the principal of Apollo Media Network, Inc. elects to exercise. Upon their exercise no cash will exchange hands but the asset and offsetting liability will be removed from the Companies records at that time.STOCK

~~Short~~As ~~term secured note payable – To meet short term operating capital needs the Company borrowed $50,000 from one~~ of ~~its~~November ~~board members on a short term basis guaranteed by the Companies accounts receivable. The interest charge in total is $5~~30,~~000~~ ~~for the term of the loan of which $3~~2016,~~250~~ ~~was recognized as accrued interest in the current period~~ and ~~added~~August ~~to the loan balance. As of May~~ 31, 2016 ~~the Company had repaid $47~~,~~000~~ ~~and~~there ~~currently~~were ~~owes $6~~17,~~250~~527,194 shares toof ~~fully~~common ~~repay~~stock ~~the~~issued ~~note~~ and ~~interest~~outstanding.

~~Note~~NOTE ~~payable –~~7 ~~sandbox, net~~ – ToRELATED ~~meet~~PARTY short term operating capital needs the Company borrowed approximately $28,000 from an unrelated third party organization guaranteed by the Companies accounts receivable in May of 2016 for a flat fee of 3% of the amount borrowed. The net balance on this note to be repaid over the next 60 days as the receivables are collected is $16,250 at May 31, 2016.TRANSACTIONS

Notes payable – Asrelated part of the acquisition of Apollo Media Networks, Inc. the company assumed liability for various notes payable due to four individual investors ranging from $5,000 to $64,000 principle amount. These notes have a stated interest rate of 5% except for one $30,000 note that bears interest at 40%. These notes matured at various times throughout 2015. The principle balance of all notes totaled $234,100 and accrued interest at August 31, 2015 was $20,095 for a total debt assumed of $254,195. At May 31, 2016 additional accrued interest of $16,669 was accrued resulting in total debt balance of $270,864.party

~~The~~On ~~Company~~February is16, ~~currently in~~2016, the ~~process~~Company ofissued ~~negotiating~~a $50,000 ~~terms~~Promissory ~~with~~Note (the ~~noteholders~~“First Note”) to, ~~convert~~at ~~their~~the ~~notes~~time, ~~into~~one ~~convertible~~of ~~notes~~its ~~that~~board ~~can~~members. beThe ~~repaid~~First ~~through~~Note carried a 10% ~~the~~($5,000) ~~issuance~~one oftime ~~the~~interest ~~Company’s~~charge ~~common~~and ~~stock.~~had ~~There~~a ismaturity nodate ~~guarantee~~of ~~that~~April ~~the~~16, ~~company~~2016. ~~will~~During bethe ~~able~~year toended ~~reach~~August ~~terms~~31, ~~with~~2016, ~~investors~~the Company tohad ~~convert~~repaid ~~them~~the ~~into~~$50,000 ~~common~~First ~~stock~~Note. As of May 31, 2016, ~~all~~accrued ofand ~~these~~unpaid ~~notes~~interest ~~were~~on ~~past~~the ~~due~~First Note was $2,991.

~~Quasi-Reorganization –~~On ~~During~~October ~~the~~12, ~~fiscal year ended August 31~~2016, ~~2015~~ the Company~~’s’~~ ~~shareholders~~issued ~~approved~~ a ~~quasi-reorganization which~~$30,000 ~~has~~Promissory ~~been~~Note ~~reflected~~(the in“Second ~~the~~Note”) ~~accompanying~~to ~~financial~~the ~~statements~~same byboard anmember. ~~elimination~~The ofSecond ~~the~~note ~~accumulated~~was ~~deficit~~comprised of $325,~~478,477~~000 asthe ~~of August~~Company 31received on June 29, ~~2015~~2016, and athe ~~corresponding~~$5,000 ~~reduction~~interest ofbalance ~~additional~~on ~~paid~~the inFirst ~~capital~~Note. As ~~part~~ of ~~the~~November ~~reorganization~~30, 2016 the ~~Company~~principal ~~evaluated~~balance ~~its~~of ~~assets~~the toSecond ~~determine~~Note ifwas ~~any~~$30,000, ~~needed~~and toaccrued beand ~~written~~unpaid ~~down~~interest towas ~~fair~~$1,055 ~~market~~and ~~value~~$431 as ~~a part~~ of ~~the~~November ~~reorganization.~~30, ~~The~~2016, ~~Company determined that all assets were currently being carried at fair value~~ and noAugust ~~adjustment~~31, ~~in value was required~~2016, respectively.

~~Prior~~NOTE to8 ~~the~~– ~~quasi-reorganization~~SUBSEQUENT the Company had an intangible asset of $2,477,267 in goodwill related to the acquisitions of Protection Cost, Inc and Apollo Media Network, Inc. These balance were evaluated at year-end to determine if an impairment was necessary and due to the limited cash flow generated by these business entities management determined that this balance should be fully impaired resulting in a one-time impairment expense of $2,374,486 recorded in the August 31, 2015, fiscal year. The Company followed the guidance of FASB ASC 852-20 Quasi-reorganization in accounting for this transaction.EVENTS

On December 12, 2016 and January 4, 2017, two shareholders loaned the Company $5,000 each, respectively.

On June 28, 2017, the same two shareholders agreed to loan the Company $49,000 in the aggregate.

On June 29, 2017, the Company, entered into an Asset Purchase Agreement (the “APA”) with Imbutek Holdings Corp (“Imbutek”), a Nevada corporation. Pursuant to the APA, the Company acquired certain assets and the business of Imbutek in exchange for 43,872,806 shares of common stock. The mission of Imbutek is to bring to the public market a new financing structure and platform that has not been previously available to small-cap companies. Imbutek is forming an advisory committee to screen and select firms with developed concepts or products that are at or near revenue and arrange financing to bring their brands to market while providing guidance and solutions for compliance with regulations of the public marketplace. The structure was formed to provide a framework to address the most common concerns for new publicly held companies.

As part of the APA, the holders of notes payable (see Note 4) agreed to convert $250,000 of their balances to convertible promissory notes. The terms of the convertible promissory notes include; a) a conversion price of $0.04 per share, b) any amount realized by holders for sales of common stock are capped at $0.05 with any overage being returned to the treasury account of Company and c) an agreement to Leak-out Agreements, whereby sales of common stock are limited to the greater of $2,500 per day or 10% of shares sold volume. Also, the holders of the notes payable- related party, agreed to convert their debt, in the aggregate amount of $86,000,at $0.10 per share based upon the Company’s issued and outstanding shares of common stock as of June 28, 2017.

On July 14, 2017, the Company filed Amended and Restated Articles of Incorporation, which included increasing the authorized capital stock of the Company to 120,000,000 shares, consisting of 110,000,000 shares of par value $0.001 common stock and 10,000,000 shares of par value $0.001 preferred stock. The board of directors of the Company may issue the preferred stock in one or more series and may designate voting powers, conversion rights, liquidation preferences and other terms and conditions.

Revenue Recognition - Revenue is generated from the sale of the company advertising space on the network of websites it owns and is recognized on an accrual basis as earned and collection is reasonably assured.

General & Administrative Expenses – General and administrative expense are comprised of all expenses not linked to the production or advertising of the Company’s services.

Loss per share - The Company computes net loss per common share in accordance with FASB ASC 260 (SFAS No. 128 “Earnings per Share” and SAB No. 98). Under the provisions of ASC 260, the basic net loss per common share is computed by dividing the net loss available to common stock outstanding during the period. Net loss per share on a diluted basis is computed by dividing the net loss for the period by the weighted average number of common and dilutive common stock equivalent shares outstanding during the period.

The Company has no potentially dilutive securities outstanding as of May 31, 2016 and August 31, 2015.

Recent Accounting Pronouncements - We do not expect the adoption of recently issued accounting pronouncements to have a significant impact on our results of operations, financial position or cash flow.

NOTE 3– GOING CONCERN

As shown in the financial statements, during the nine months May 31, 2016 the Company incurred a net loss from operations of $141,205 and during the quarter ended May 31, 2016 the Company incurred a loss from operation of $39,124. These factors create a substantial doubt regarding the Company’s ability to continue as a going concern. The accompanying financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.

NOTE 4 – COMMON STOCK

On August 31, 2015 the Company completed the acquisition of 100% of the outstanding stock of Protection Cost Inc. in return for 2,300,000 shares of common stock.

On August 31, 2015 the Company completed the acquisition of 100% of the outstanding stock of Apollo Media Network, Inc. in return for 3,100,000 shares of common stock.

During the year ended August 31, 2015 the Company sold shares of its common stock to the persons, on the dates, in the amounts, and for the consideration shown below:

Name	Date		Shares		Consideration
Officer and Director		11-12-14		5,000,000	$	63,000	(1)
Director		11-12-14		5,000,000	$	63,000
Unrelated third parties		various		5,729,600	$	617,500	(2)

__________________

(1)	Payment was received in August 2014.
(2)	Payments were received between September 2014 and March 2015.

On August 31, 2015 various officers and directors of the company returned 6,144,406 shares of common stock to the treasury for no consideration. These shares were canceled on August 31, 2015.

NOTE 5 – RELATED PARTY TRANSACTIONS

Both Protection Cost, Inc. and Apollo Media Network, Inc. were owned and managed by individuals who were either part of management or on the board of directors of the Company. At August 31, 2015 Mr. Kimerer resigned from the board and from the management of Sibannac, Inc. as part of the acquisition of Apollo.

NOTE 6 – PROVISION FOR INCOME TAXES

The company utilizes FASB ASC 740, “Income Taxes” which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred tax assets and liabilities are determined based on the difference between the tax basis of assets and liabilities and their financial reporting amounts based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established if it is more likely than not that some portion or all of the deferred tax asset will not be realized. The Company generated a deferred tax credit through net operating loss carry forwards. As of August 31, 2015 the Company had federal and state net operating loss carry forwards of approximately $777,000 ($644,000 in 2014) that can be used to offset future taxable income. The carry forwards will begin to expire in 2016 unless utilized in earlier years.

NOTE 7 – SUBSEQUENT EVENT

There were no financially material events subsequent to year end.

CAUTIONARY STATEMENT CONCERNING FORWARD-LOOKING STATEMENTS

This report contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are subject to risks and uncertainties and are based on the beliefs and assumptions of management and information currently available to management. The use of words such as “believes”, “expects”, “anticipates”, “intends”, “plans”, “estimates”, “should”, “likely” or similar expressions, indicates a forward-looking statement.

The identification in this report of factors that may affect our future performance and the accuracy of forward-looking statements is meant to be illustrative and by no means exhaustive. All forward-looking statements should be evaluated with the understanding of their inherent uncertainty.

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations

General

~~The~~On June 29, 2017, the Company, ~~was~~entered ~~incorporated~~into inan Asset Purchase Agreement (the “APA”) with Imbutek Holdings Corp (“Imbutek”), a Nevada corporation. Pursuant to the APA, the Company acquired certain assets and the business of Imbutek in ~~June~~exchange ~~1999~~for 43,872,806 shares of common stock. The mission of Imbutek is to bring to the public market a new financing structure and platform that has not been previously available to small-cap companies. Imbutek is forming an advisory committee to screen and select firms with developed concepts or products that are at or near revenue and arrange financing to bring their brands to market while providing guidance and solutions for compliance with regulations of the public marketplace. The structure was formed to provide a framework to address the most common concerns for new publicly held companies.

Between September 2000 and August 2014 the Company was in the business of selling nutritional and personal care products.

On August 25, 2014, the Company transferred all of its assets to Sibannac, Inc., a Colorado corporation (“Colorado Naprodis”). In consideration for the transfer of these assets, Colorado Naprodis agreed to assume a substantial amount of the Company’s liabilities. Colorado Naprodis is controlled by Paul Petit, who was the Company’s president prior to August 25, 2014.

Results of Operations

InFor the three ~~month period~~months ~~ending~~ended ~~May~~November 3130, 2016 the Company had revenue of $8940,~~489~~975 compared to $0143,260 in the ~~period~~three ~~ending~~months ~~May~~ended 31November 30, 2015 ~~as it began to execute its plan of operations~~. AsThe itdecrease ~~ramps~~in ~~up its operations it close to achieving gross~~ revenue ofwas a ~~$75,000~~result ~~monthly in the month~~ of ~~February 2016. Provided~~ the ~~company~~Company ~~has~~realizing ~~adequate~~lower ~~operating~~online ~~capital,~~media ~~management~~advertising ~~expects that~~ revenue ~~from this source will continue to grow~~. ~~Management expects that capital availability in the third quarter will result in higher revenues in the final quarter of 2016 fiscal year.~~

InFor the ~~quarter~~three months ended ~~May~~ 31November 30, ~~2015~~ 2016 the Company had no cost of goods sold. Inof ~~the period ended May 31~~$74,019 ~~2016~~compared ~~and~~to ~~Company had cost of goods sold of~~ $87,~~483. This~~673 ~~resulted~~for inthe anthree ~~operating~~months ~~profit~~ended ofNovember $230,~~006~~ 2015. ~~These~~The ~~costs~~Company’s gross ~~generate~~profit ~~significantly~~decreased ~~more~~for ~~revenue~~the ~~per~~three ~~dollar~~months ~~spent~~ended asNovember ~~the~~30, ~~operations are scaled~~2016, as ~~such,~~a ~~management~~result ~~expects~~of ~~that~~increased aspurchases ~~Company~~of ~~revenues~~media ~~continue~~content toas ~~grow~~a ~~operating~~percentage to ~~profit margins will improve~~revenues.

InFor the ~~quarter~~three months ended ~~May~~ 31November 30, 2016 , and ~~May 31,~~ 2015 the Company had general and administrative expenses of $4148,~~130~~972 and $5584,~~990~~125, respectively. ~~Management expects~~The ~~that~~decrease asfor the ~~companies~~three ~~continues~~months ended toNovember ~~implement~~30 ~~the~~2016, ~~business~~compared ~~plan~~to ~~this~~November ~~expenses~~30, ~~category~~2015, ~~will~~was ~~gradually~~as ~~increase~~a asresult ~~the~~of ~~Companies operations~~lower ~~expand~~professional tofees ~~manage~~(legal, ~~the~~accounting ~~growing~~and ~~business~~independent contractors).

Liquidity and Capital Resources

~~During~~Liquidity ~~year~~is ~~ended~~the ~~August~~ability of an enterprise to 31generate adequate amounts of cash to meet its needs to pay ongoing obligations. As of November 30, ~~2015~~2016, ~~the~~we ~~Company~~had ~~received~~cash and cash equivalents of $~~617~~698,~~500~~ a decrease of $8,027, from ~~the~~$8,725 ~~sale~~as of ~~its~~August ~~common~~31, ~~stock~~2016. As of November 30, 2016, we had current liabilities of $397,487 compared to current assets of $12,329 which resulted in a working capital deficit of $385,158. The current liabilities are comprised of accounts payable, accrued expenses and notes payable.

~~During~~Our ~~the~~ability ~~twelve~~to ~~months~~operate is contingent upon continuing ~~ending~~to ~~May~~realize ~~31,~~sales ~~2017~~revenue ~~the~~sufficient ~~Company~~to ~~estimates~~fund itour ~~will~~ongoing ~~need~~expenses. ~~approximately~~If ~~$500,000~~we toare ~~implement~~unable ~~its~~to ~~business~~sustain ~~plan.~~our ~~Other~~ongoing ~~than~~operations ~~the~~through ~~foregoing,~~sales ~~the~~revenue, ~~Company~~we ~~does~~intend ~~not~~to ~~know~~fund ofoperations ~~any~~through ~~trends~~debt and/or equity financing arrangements, ~~events~~which ormay ~~uncertainties~~be ~~that~~insufficient ~~have~~to ~~had~~fund our working capital, or ~~are~~other ~~reasonably~~cash ~~expected~~requirements. toWe do not have, aany ~~material impact~~formal oncommitments or arrangements for the sales, ~~revenues~~of stock or ~~income~~the advancement ~~from~~or ~~continuing~~loan ~~operations,~~of orfunds ~~liquidity~~at ~~and~~this ~~capital~~time. ~~resources~~There can be no assurance that such additional financing will be available to us on acceptable terms, or at all.

Operating Activities

Cash used in operating activities was $17,088 for the three months ended November 30, 2016, compared to $147,863 for the three months ended November 30, 2015. For the three months ended November 30, 2016, the cash used in operations was a result of the net loss of $92,329 offset by $8,304 of bad debt expense (non-cash), an increase in accounts payable and accrued expenses of $22,827 and a decrease of $44,110 in accounts receivables. For the three months ended November 30, 2015, the cash used in operations was predominantly a result of the net loss of $33,876, and an increase of accounts receivables of $119,466 and an increase in accounts payable and accrued expenses of $5,536.

Other than the foregoing, the Company does not know of any trends, events or uncertainties that have had, or are reasonably expected to have, a material impact on sales, revenues or income from continuing operations, or liquidity and capital resources.

Item 4. Controls and Procedures.

Evaluation of Disclosure Controls and Procedures

An evaluation was carried out under the supervision and with the participation of our management, including our Principal Executive Officer and Principal Financial Officer, of the effectiveness of our disclosure controls and procedures as of the end of the period covered by this report on Form 10-Q. Disclosure controls and procedures are procedures designed with the objective of ensuring that information required to be disclosed in our reports filed under the Securities Exchange Act of 1934, such as this Form 10-Q, is recorded, processed, summarized and reported, within the time period specified in the Securities and Exchange Commission’s rules and forms, and that such information is accumulated and is communicated to our management, including our Principal Executive Officer and Principal Financial Officer, or persons performing similar functions, as appropriate, to allow timely decisions regarding required disclosure. Based on that evaluation, our management concluded that, as of ~~February~~November 2830, ~~2015~~2016, our disclosure controls and procedures were not effective.

Changes in Internal Control Over Financial Reporting

There were no changes in our internal control over financial reporting during the quarter ended ~~August~~November 3130, ~~2015~~2016, that materially affected or are reasonably likely to materially affect our internal control over financial reporting.

119

PART II

Item 1. Legal Proceedings

The Company is not a party to any significant pending legal proceedings and no other such proceedings are known to be contemplated. No director, officer or affiliate of the Company and no owner of record or beneficial owner of more than 5.0% of the securities of the Company, or any associate of any such director, officer or security holder is a party adverse to the Company or has a material interest adverse to the Company in reference to pending litigation.

Item 1A. Risk Factors

Not applicable.

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

Item 3. Defaults upon Senior Securities

None.

Item 4. Mine Safety Disclosures

None.

Item 5. Other Information

None.

Item 6. Exhibits

a. 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.
32.1		Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2		Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101.INS		XBRL Instance Document
101.SCH		XBRL Schema Document
101.CAL		XBRL Calculation Linkbase Document
101.DEF		XBRL Definition Linkbase Document
101.LAB		XBRL Labels Linkbase Document
101.PRE		XBRL Presentation Linkbase Document

1210

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.

	SIBANNAC, INC.
Date: July 20, 2016	By:	/s/ Rich Heineck
Date: September 15, 2017	By:	/s/ David Mersky
		Rich Heineck, President, Principal Executive Officer
		David Mersky, President, Principal Executive Officer and Principle Financial and Accounting Officer
Date: July 20, 2016	By:	/s/ Paul Dickman
		Paul Dickman, Principle Financial and Accounting Officer

1311

Filing Compare · Sibannac, Inc.