XML 55 R5.htm IDEA: XBRL DOCUMENT v2.4.0.8
CONDENSED STATEMENTS OF CASH FLOWS (unaudited) (USD $)
12 Months Ended
Dec. 31, 2013
Dec. 31, 2012
CASH FLOWS FROM OPERATING ACTIVITIES:    
Net loss $ (27,529,200) $ (4,398,765)
Adjustments to reconcile net loss to net cash used in operating activities:    
Depreciation and amortization 153,966 91,428
Loss on disposal of assets and asset impairment 156,531 0
Amortization of debt discount 208,680 0
Share-based compensation 62,988 39,389
Change in Fair Value of Financial Instrument (147,500) 295,000
Extinguishment of Debt Loss 21,793,055 0
Changes in assets and liabilities:    
Accounts receivable (12,835) (26,420)
Prepaid expenses and other current assets 2,783 (49,200)
Accounts Payable (158,273) (288,675)
Deferred revenue 74,894 55,810
Accrued and other expenses 212,959 (150,627)
Net cash used in operating activities (5,181,952) (4,432,060)
CASH FLOWS FROM INVESTING ACTIVITIES:    
Payments to Acquire Property, Plant and Equipment (83,142) (24,989)
Payments for Software License 0 (75,000)
Payments to Acquire Intangible Assets (24,440) (25,292)
Investment in Internally Developed Software (164,797) (499,850)
Net cash used in investing activities (272,379) (625,131)
CASH FLOWS FROM FINANCING ACTIVITIES:    
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD 58,458  
CASH AND CASH EQUIVALENTS, END OF PERIOD 223,514 58,458
Supplemental disclosures of cash flow information:    
Cash paid during the period for: Interest 2,021,735 1,617,810
Financed purchase of office furniture 40,000 0
Recorded debt discount associated with beneficial conversion feature 2,130,074 0
Issued 1,475,000 of Common Shares to Settle The Financial Liability $ 1,917,500 $ 0