XML 21 R6.htm IDEA: XBRL DOCUMENT v3.3.1.900
Consolidated Statements of Cash Flows - USD ($)
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Cash flows from operating activities:    
Net loss $ (3,921,428) $ (1,648,641)
Adjustments to reconcile net loss to net cash used in operating activities:    
Depreciation and amortization 11,626 24,312
Bad debt expense 26,771 43,516
Amortization of deferred financing costs 13,269 11,917
Amortization of beneficial conversion option 195,591 10,626
Gain on disposal of property and equipment 0 (4,234)
Stock issued for services 0 200,000
Stock options compensation 430,000 0
Note conversion warrant expense 2,083,328 0
Changes in operating assets and liabilities:    
Accounts receivable (144,738) 1,494
Prepaid expenses and other current assets (853) (6,426)
Accounts payable and accrued expenses 256,104 114,983
Other long-term liabilities - related parties 323,315 111,352
Deferred interest expense 32,837 19,300
Deferred revenues 74,195 81,570
Total adjustments 3,301,445 608,410
Net cash used in operating activities (619,983) (1,040,231)
Cash flows from investing activities:    
Proceeds for property and equipment 0 9,060
Purchases of property and equipment (5,558) (4,583)
Net cash (used in) provided by investing activities (5,558) 4,477
Cash flows from financing activities:    
Proceeds from notes payable 0 45,000
Proceeds from notes payable - related parties 582,000 1,180,000
Repayment of notes payable (204,401) (248,225)
Repayment of notes payable - related parties (28,654) (17,500)
Sale of Common Stock 1,209,633 0
Net cash provided by financing activities 1,558,578 959,275
Net increase (decrease) in cash 933,037 (76,479)
Cash - beginning of period 184,081 260,560
Cash - end of period 1,117,118 184,081
Supplemental disclosure of cash flow information:    
Cash paid during the period for interest and taxes 47,633 65,147
Supplemental disclosure of non-cash financing activities:    
Accrued interest refinanced in notes payable - related parties 0 74,521
Discount on notes payable for beneficial conversion feature 0 3,125
Discount on notes payable - related parties for beneficial conversion feature 0 33,000
Notes payable - related parties issued for debt financing costs 0 10,800
Accrued interest on notes payable converted to equity 62,294 0
Accrued interest on notes payable related parties converted to equity 366,484 0
Notes payable conversion warrant expense 1,647,610 0
Notes payable conversion underwriting warrant expense 435,718 0
Notes payable converted to equity 225,800 0
Notes payable - related party converted to equity 1,808,068 0
Total non-cash financing activities $ 4,545,974 $ 121,446