GOODWILL

12 Months Ended

Dec. 31, 2013

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL

NOTE 12 - GOODWILL

As of December 31, 2012, the Company had recorded goodwill in the amount of $279,515 related to its various acquisitions. At December 31, 2013, the Company evaluated the goodwill associated with these acquisitions and deemed it to be impaired, as losses incurred from these units exceeded the amount of goodwill recorded. As a result, the Company recorded a non-cash impairment of goodwill expense of $279,515 as of December 31, 2013 to fully write-off the goodwill originally recorded in relation to these acquisitions.

On June 7, 2013, the Company acquired Rocky Mountain Hydroponics, LLC and Evergreen Garden Center, LLC (“RMH/EGC”) (see “NOTE 6 – PURCHASE – ROCKY MOUNTAIN HYDROPONICS and EVERGREEN GARDEN CENTER”), which resulted in the Company recording goodwill in the amount of $739,000.

The following is a summary of the Company’s goodwill transactions:

Goodwill as of December 31, 2012	$	279,515
Goodwill recorded related to acquisition of RMH/EGC		739,000
Impairment of goodwill		(279,515	)
Goodwill as of December 31, 2013	$	739,000