XML 17 R5.htm IDEA: XBRL DOCUMENT v3.5.0.2
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
 9 Months Ended
Sep. 30, 2016
Sep. 30, 2015
CASH FLOW FROM OPERATING ACTIVITIES:    
Net loss $ (3,673,125) $ (1,250,539)
Adjustments to reconcile net loss to cash used for operating activities:    
Depreciation 37,764 32,049
Amortization of intangible assets 10,205 10,204
Gain on derivative liabilities (10,879) (42,228)
Share-based and warrant compensation for employees and consultants 231,983 258,297
Stock based directors fees 48,999
Amortization on note payable discount 20,000
Change in assets and liabilities:    
Accounts receivable 957,024 (1,540,075)
Due from factor 33,380 76,657
Inventory (219,591) (138,895)
Prepaid expenses and other (39,205) 198,841
Software license rights 450
Accounts payable (607,748) 960,673
Accrued liabilities (156,000) (55,824)
Due to factor 533,422
Deferred revenue (136,251) (36,418)
Net cash used for operating activities (3,522,994) (973,836)
CASH FLOWS FROM INVESTING ACTIVITIES:    
Capital expenditures (52,976) (2,078)
Net cash used for investing activities (52,976) (2,078)
CASH FLOW FROM FINANCING ACTIVITIES:    
Preferred dividends paid (535,100)
Stock issued to directors 13,000
Proceeds from issuance of Note Payable 250,000
Costs to issue preferred and common stock (32,620) (58,486)
Net cash provided by (used for) financing activities (567,720) 204,514
NET DECREASE IN CASH AND CASH EQUIVALENTS (4,143,690) (771,400)
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD 4,321,078 843,632
CASH AND CASH EQUIVALENTS, END OF PERIOD 177,388 72,232
Cash paid for:    
Interest
Noncash Investing and Financing Activities:    
Issuance of warrants for financing raise 92,199
Accrual of preferred stockholder dividends $ 200,625