XML 68 R5.htm IDEA: XBRL DOCUMENT v2.4.0.8
CONDENSED STATEMENTS OF CASH FLOWS (USD $)
9 Months Ended
Sep. 30, 2014
Sep. 30, 2013
Operating activities:    
Net loss $ (1,339,858) $ (18,227)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:    
Depreciation - assets of discontinued operations    20,299
Loss on sale of assets of discontinued operations 15,704   
Management fees and reimbursement of expenses, related parties, net, of discontinued operations    (38,389)
Amortization of debt discount 89,152   
Non-cash interest expense 11,609   
Convertible note payable issued for debt issuance costs 32,500  
Loss on origination of derivative liability 12,810   
Shares issued for services 34,000   
Value of non-marketable equity securities recognized as revenue (75,000)   
Loss on revaluation of derivative liability 1,942   
Changes in operating assets and liabilities:    
Accounts receivable (16,113)   
Interest receivable (13,150)   
Due from related party 10,774   
Inventory    (3,026)
Due to related party    5,445
Prepaid expenses (26,450)   
Accounts payable and accrued expenses 169,023 10,838
Net cash provided by (used in) operating activities (1,093,057) (23,060)
Investing activities:    
Equity method investments (50,000)   
Equipment purchases related to discontinued operations    (18,215)
Net cash provided by (used in) investing activities (50,000) (18,215)
Financing activities:    
Net proceeds from issuance of convertible debt and warrants 225,000   
Proceeds from issuance of note payable 175,000   
Repayment of notes payable, related party    (50,000)
Proceeds from convertible note payable, related party    50,000
Proceeds from issuance of common shares 900,000   
Net cash provided by (used in) financing activities 1,300,000   
Net increase (decrease) in cash 156,943 (41,275)
Cash, beginning of period 32,414 76,445
Cash, end of period 189,357 35,170
Supplemental schedule of cash flow information:    
Cash paid for interest      
Cash paid for income taxes      
Supplemental disclosure of non-cash investing and financing activities:    
Investment in non-marketable equity securities received as consideration for deferred services 893,750   
Investment in equity method investments received as consideration for deferred services 144,000   
Investment in equity method investments received for commitment to issue common stock 88,000   
Issuance of common stock for prepaid professional fees 162,000   
Acquisition of notes receivable funded by convertible note payable 1,250,000  
Issuance of convertible note payable for debt issuance costs 32,500  
Warrants issued for debt discount 694,525   
Debt conversion feature issued for debt discount 151,937   
Debt conversion feature issued for interest payable discount 11,609   
Conversion of note payable, related party, into common stock $ 50,000