NATE SMITH AND DARLA JONES HAVE WRITTEN A SMARTPHONE APP. THEY NEED ADDITIONAL CAPITAL TO MARKET THE APP, SO THEY PLAN TO INCORPORATE THIER BUSINESS. SMITH AND JONES ARE CONSIDERING ALTERNATIVE CAPITAL STRUCTURES FOR THE CORPORATION.THIER PRIMARY GOALS IS TO RAISE AS MUCH CAPITAL AS POSSIBLE WITHOUT GIVING UP CONTROL OF THE BUSINESS. SMITH AND JONES PLAN TO RECEIVE 50,000 COMMON SHARES OF THE CORPORATION IN RETURN FOR THE NET ASSETS OF THIER OLD BUSINESS. AFTER THE OLD COMPANY'S BOOKS ARE CLOSED AND THE ASSETS ADJUSTED TO CURRENT FAIR VALUE,SMITH'S AND JONES' CAPITAL BALANCES WILL EACH BE $25,000.
