Exhibit 99.1

Verecloud Reports Fiscal Year 2011 Results

Transition year reflects investment in Cloudwrangler™ launch

DENVER - September 28, 2011– Verecloud, Inc. (OTCBB:VCLD), innovators in the emerging cloud computing services business, today announced financial results for its fiscal year ended June 30, 2011.

In March 2011, Verecloud shifted its focus to providing an online cloud marketplace targeted directly to small and medium businesses, after building the platform for the telecommunications industry. On August 2, 2011, Verecloud launched Cloudwrangler™ which makes it easier for SMBs to shop for, purchase, monitor and manage the performance of their hosted/cloud services at no additional charge.

“Fiscal year 2011 was a big transition year for us as we shifted our business model to launching our own marketplace,” said John McCawley, chief executive officer of Verecloud. “We invested a lot of resources to prepare for the launch and will continue to build out our sales marketing and operations to serve our expanding customer base.”

Full Year Financial Highlights

Revenue of $4,424,608, down 24 percent from the year ended June 30, 2010 and up 285 percent compared to the year ago quarter. The decline is driven by the focus on the transition of the company in March 2011 to delivering cloud services as a complete, customized suite directly to the small and medium business market (SMBs).

·	Net loss of $6,095,895 compared to a loss of $400,493 in 2010. Excluding stock-based compensation, the 2011 loss was $1,758,717.

·	The Company recorded capitalized software of $614,837 for the year ended June 30, 2011 associated with the completion and introduction of its Cloudwrangler™ platform.

·	Ended the year with a cash balance of $202,256 compared to $197,151 as of the fiscal year ended June 30, 2010 and up from $32,961 at March 31, 2011.

The Company is moving rapidly to broaden its service offerings and drive customer growth. As of today, Verecloud has nine services on its platform and is launching an aggressive marketing campaign in October to expand its customer base.

Additional financial information, including historical SEC filings and the current Annual Report on Form 10-K can be found on Verecloud’s website at www.verecloud.com.

About Verecloud

Based in Denver, Colorado, Verecloud®, Inc. is an innovative technology company that developed and operates a cloud service brokerage platform that integrates cloud service suppliers and connects to SMBs through multiple distribution channels. Verecloud is targeted at organizations that need innovative, high-margin cloud services to drive growth including SMBs, communications service providers (CSPs), managed service providers (MSPs), and innovative cloud computing solution suppliers who want access to the evolving distribution channels. For more information on Verecloud visit: http://www.verecloud.com

Forward-Looking Statement

This release may contain projections and other forward-looking statements that involve risks and uncertainties. Forward-looking statements are projections reflecting management’s judgment and assumptions based on currently available information and involve a number of risks and uncertainties that could cause actual results to differ materially from those suggested by the forward-looking statements. Future performance cannot be assured. Readers are referred to the documents filed by Verecloud with the Securities and Exchange Commission (SEC), specifically the most recent reports which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements. Recent documents filed with the SEC can be found in the Investor Relations section of our website (www.verecloud.com). Verecloud believes the forward-looking statements in this release are reasonable; however, you should not place undue reliance on forward-looking statements, which are based on current expectations and speak only as of the date of this release. Verecloud is not obligated to publicly release any revisions to forward-looking statements to reflect events after the date of this release.

Media Relations

Dirk Van Slyke

Corporate Marketing

Verecloud, Inc.

303-999-7398

dirk.vanslyke@verecloud.com

Investor Relations

John McCawley

Chief Executive Officer

Verecloud, Inc.

877-711-6492

john.mccawley@verecloud.com

		June 30,	June 30,
		2011	2010

ASSETS

Current assets
	Cash	$ 202,256	$ 197,151
	Accounts receivable	128,050	632,962
	Other current assets	62,537	34,243
	Total current assets	392,843	864,356

Property and equipment
	Computer related	89,307	87,655
	Equipment and machinery	40,372	36,255
	Other property and equipment	36,330	36,330
	Subtotal	166,009	160,240
	Accumulated depreciation	(136,026)	(98,839)
	Net property and equipment	29,983	61,401

Other assets
	Capitalized software, net	614,837	-

	Total assets	$ 1,037,663	$ 925,757

LIABILITIES AND STOCKHOLDERS' (DEFICIT)

Current liabilities
	Accounts payable	$ 271,126	$ 174,899
	Current portion of long term debt	2,414,000	-
	Accrued liabilities	485,380	319,899
	Total current liabilities	3,170,505	494,798

Long term debt		-	864,000

Deferred taxes payable		485,380	319,899

	Total liabilities	3,170,505	1,358,798

Commitments and contingencies

Stockholders' (deficit)
	Preferred stock - $0.001 par value, 5,000,000 shares authorized:	-	-
	No shares issued or outstanding
	Common stock - $0.001 par value, 200,000,000 shares authorized:	71,791	70,098
	71,791,068 and 70,098,000 shares issued and outstanding, respectively
	Additional paid-in capital	5,192,072	797,670
	Accumulated (deficit)	(7,396,705)	(1,300,809)
	Total stockholders' (deficit)	(2,132,842)	(433,041)

	Total liabilities and stockholders' (deficit)	$ 1,037,663	$ 925,757

		Year Ended June 30,

		2011	2010

Revenue		$ 4,424,608	$ 5,840,706

Cost of goods sold		2,313,632	2,621,577

Gross profit		2,110,976	3,219,129

Operating expenses
	Employee related (1)	2,713,279	1,343,106
	Marketing expense	738,878	682,264
	Legal and accounting	246,648	483,662
	Consulting expense (1)	3,432,265	296,206
	Research and development	454,824	897,668
	Rent	89,935	119,933
	Travel and entertainment	119,040	75,587
	Information technology	48,056	48,624
	Depreciation	37,187	33,839
	Other	186,912	95,816
	Total operating expenses	8,067,024	4,076,704

Operating income (loss)		(5,956,048)	(857,575)

Other income (expense)
	Interest income	242	3,704
	Interest (expense)	(126,949)	(126,527)
	Total other income (expense)	(126,707)	(122,823)

Pretax income (loss)		(6,082,755)	(980,398)

Income tax expense (benefit)		13,140	(579,905)

Net income (loss)		$ (6,095,895)	$ (400,493)


Basic net income (loss) per common share		$ (0.09)	$ (0.01)
Basic weighted average common shares		70,852,885	47,984,619

(1) Includes stock-based compensation as follows:
	Salary and wages	$ 1,331,992	$ 270,700
	Consulting expenses	$ 3,005,186	$ 98,000
	Total Stock-based Compensation	$ 4,337,178	$ 368,700

		Year Ended
		June 30,
Operating Activities		2011	2010
	Net income (loss)	$ (6,095,895)	$ (400,493)
Adjustments to reconcile net income to
net cash from operations
	Depreciation and amortization	273,795	33,839
	Stock for services	177,258	98,000
	Stock-based compensation	4,159,920	270,700
	Income tax expense (benefit)	-	(579,905)
Change in assets and liabilities
	Accounts receivable	504,913	739,898
	Other current assets	(28,294)	37,088
	Accounts payable	96,226	(3,619)
	Other current liabilities	165,481	258,196
Net cash provided by (used in) operating activities		(746,597)	453,703

Investing Activities
	Purchase of computer related	(1,652)	(12,727)
	Purchase of equipment and machinery	(4,117)	(2,520)
	Purchase of other property and equipment	-	(7,946)
	Capitalized software	(851,445)	-
	Security deposits	-	22,785
Net cash (used in) investing activities		(857,214)	(408)

Financing Activities
	Issuance of common stock	58,917	436,000
	Reduction in note payable	-	(1,590,000)
	Increase (decrease) in line of credit	1,550,000	864,000
	Members distributions	-	(506,623)
Net cash provided by (used in) financing activities		1,608,917	(796,623)

Decrease in cash for period		$ 5,105	$ (343,327)
Cash at beginning of period		197,151	540,479
Cash at end of period		$ 202,256	$ 197,151

Schedule of Noncash Investing and Financing Activities
	Share Exchange Agreement	$ -	$ (576,225)
	Note Purchase Agreement	$ -	$ 1,221,885

Supplemental disclosure:
	Cash paid for interest during the year	$ -	$ 126,527
	Cash paid for income taxes during the year	$ 13,140	$ -

Verecloud, Inc. 8-K