XML 17 R6.htm IDEA: XBRL DOCUMENT v3.21.2
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
 9 Months Ended
Sep. 30, 2021
Sep. 30, 2020
Cash flows from operating activities:    
Net income (loss) $ 1,331,656 $ (772,894)
Adjustments to reconcile net income (loss) to net cash used in operating activities:    
Depreciation and amortization 302,239 204,317
Bad debt (recovery) expense (10,304) 40,325
Parts and supplies reserve change 9,000 10,500
Amortization of deferred financing costs 77,804 91,156
Amortization of beneficial conversion option 11,786
Amortization of debt discount 80,000 62,222
Amortization of right of use asset 472,402 278,879
Stock issued for services 57,500 57,500
Stock options compensation 69,294 32,652
Note conversion stock issue expense 141,000
Warrant issue expense 236,761
Interest on converted debt 176,106
Amortization of original issue discount on notes 18,296
Gain on extinguishment of debt (845,083) (287,426)
Change in fair value of earnout liabilities 77,211
Changes in operating assets and liabilities:    
Accounts receivable (145,824) 333,121
Accounts receivable, unbilled (129,553) (204,248)
Parts and supplies 12,357 5,105
Prepaid expenses and other current assets (81,880) (25,790)
Accounts payable and accrued expenses 325,016 (589,461)
Lease liabilities, current and long-term (464,528) (269,748)
Deferred compensation (16,338)
Accrued interest, current and long-term 442 4,504
Deferred revenues 270,500 69,520
Total adjustments 76,593 380,739
Net cash provided by (used in) operating activities 1,408,249 (392,155)
Cash flows from investing activities:    
Cash paid to acquire business, net of cash acquired (4,019,098)
Purchases of property and equipment (532,151) (55,603)
Net cash used in investing activities (532,151) (4,074,701)
Cash flows from financing activities:    
Payment of earnout liabilities (954,733)
Proceeds from issuance of common stock 3,167,500
Offering costs paid on issuance of common stock (307,867)
Payment of deferred financing costs (175,924)
Proceeds from notes payable 3,008,700
Repayment of notes payable (70,000)
Repayment of notes payable - related parties (47,728)
Net cash (used in) provided by financing activities (954,733) 5,574,681
Net (decrease) increase in cash (78,635) 1,107,825
Cash - beginning of period 1,907,882 404,165
Cash - end of period 1,829,247 1,511,990
Supplemental disclosure of cash flow information:    
Cash paid during the period for interest 182,198 142,018
Cash paid during the period for income taxes 2,106 112,954
Supplemental disclosure of non-cash financing activities:    
Accrued interest notes payable converted to equity 796,074
Accrued interest notes payable related parties converted to equity 238,883
Discount on notes payable for beneficial conversion feature 320,000
Discount on notes payable for warrants 135,292
Notes payable converted to equity 3,421,063
Notes payable converted to equity - related parties 1,465,515
Right-of-use asset obtained in exchange for operating lease liability 1,483,962
Supplemental disclosure of non-cash investing activities relating to business acquisitions:    
Cash 17,269
Accounts receivable 1,122,737
Accounts receivable, unbilled 276,023
Parts and supplies 91,396
Prepaid expenses 73,116
Other current assets 5,954
Right of use assets 2,885,618
Property and equipment 735,885
Intangible assets 1,361,000
Accounts payable (168,749)
Accrued expenses (162,426)
Lease liabilities (2,947,684)
Federal and state taxes payable (168,900)
Deferred revenues (198,659)
Deferred tax liabilities, net (149,900)
Net assets acquired in acquisition 2,772,680
Total goodwill acquired in acquisition 2,322,887
Total purchase price of acquisition 5,095,567
Purchase price of business acquisition financed with earnout liability (889,200)
Purchase price of business acquisition financed with installment payments (170,000)
Cash used in business acquisition $ 4,036,367