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CONSOLIDATED STATEMENT OF CASH FLOWS - USD ($)
6 Months Ended
Jun. 30, 2017
Jun. 30, 2016
Cash flows from operating activities:    
Net loss $ (2,684,170) $ (5,017,816)
Adjustments to reconcile net loss to net cash used in operating activities:    
Depreciation 2,667 2,223
Amortization 60,000 70,588
Provision for bad debt expense (18,204) 140,152
Provision for inventory losses (110,000) 110,000
Change in estimated fair value of derivative (2,239,350) 25,540
Fair value of common stock issued for services 360,500 18,000
Stock based compensation 163,736 123,108
Change in operating assets and liabilities:    
Accounts receivable (1,083,906) 1,497,958
Inventory 67,282 812,327
Prepaid expenses and other current assets (156,696) (150,641)
Accounts payable and accrued expenses 1,615,391 (462,510)
Net cash used in operating activities (4,022,750) (2,831,071)
Cash flows from investing activities:    
Restricted cash (104) (104)
Purchase of property and equipment 0 (8,992)
Net cash used in investing activities (104) (9,096)
Cash flow from financing activities:    
Dividends paid 0 (1,421)
Proceeds from warrants exercised for cash 0 45,000
Proceeds from issuance of Series C Preferred Stock 0 3,500,000
Proceeds from issuance of Series D Preferred Stock 4,020,000 0
Borrowings on debt 0 36,075
Principal repayments on debt (151,188) 0
Net borrowings on line-of-credit facility 161,549 (403,778)
Net cash provided by financing activities 4,030,361 3,175,876
NET INCREASE IN CASH 7,507 335,709
CASH AND CASH EQUIVALENTS - beginning of period 15,306 376,840
CASH AND CASH EQUIVALENTS - end of period 22,813 712,549
SUPPLEMENTAL DISCLOSURES    
Interest paid in cash 45,022 23,740
Non-cash transactions:    
Conversion of preferred stock to common stock 3,732 699
Dividend paid in common stock 130,723 68,441
Dividends declared but unpaid 130,006 131,428
Conversion of notes payable and accrued interest to Series C preferred stock $ 0 $ 500,000
Warrants issued in connection with Preferred Offering 2,381,931 1,778,110
Warrants exchanged for common stock $ 5,863,278 $ 0
Notes payable issued in exchange for accounts payable $ 1,049,564 $ 0