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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
6 Months Ended
Jan. 31, 2016
Jan. 31, 2015
Cash flows from operating activities:    
Net loss $ (6,004,943) $ (1,737,024)
Adjustment to reconcile net loss to net cash used in operating activities:    
Depreciation 19,128 17,816
Amortization of intangible assets 401,159 374,298
Stock-based compensation expense 103,671 129,204
Stock-based compensation expense related to issuance of Prefered C Stock 18,500 0
Stock-based compensation expense related to issuance of Prefered D Stock 23,000 0
Change in fair value of derivative liabilities (57,498) 0
Non-cash interest expense relating to convertible debt and amortization of debt discount 345,952 6,667
Issuance of common stock in exchange for consulting services 3,500 77,500
Issuance of common stock to advisory board 2,320 189,400
Provision for bad debt 23 192
Provision for inventory 23,992 (5,806)
Intangible assets impairment charge 4,243,747 0
Changes in operating assets and liabilities:    
Accounts receivable (3,350) (11,805)
Inventory 0 38,779
Prepaid expenses and other assets 33,829 (12,477)
Accounts payable and accrued liabilities 280,292 137,212
Deferred revenue 15,699 16,083
Security deposit 20,695 0
Net cash used in operating activities (415,288) (731,254)
Cash flows from financing activities:    
Proceeds from issuance of convertible debt 211,000 134,000
Payments on convertible debt (64,000)  
Proceeds from sale of common stock 0 119,998
Payments on capital Leases (8,496) (11,634)
Payments on note payable (Auto Loan) (3,397) (6,603)
Proceeds from issuance of notes payable 300,000 0
Payments on notes payable (72,841)  
Net cash provided by financing activities 362,266 235,761
Net decrease in cash and cash equivalents (53,022) (495,493)
Cash and cash equivalents, beginning of period 53,452 523,540
Cash and cash equivalents, end of period 430 28,047
Supplemental information:    
Interest paid 217,226 8,769
Noncash investing and financing activities:    
Fixed assets acquired pursuant to capital leases 0 93,294
Embedded derivative liabilities issued in connection with convertible debt 211,000 102,000
Issuance of common stock in connection with convertible debt 0 42,000
Conversion of preferred stock, Series A, to common stock 0 10,000
6% dividend for preferred stock Series B holders issued in common stock 0 126
Conversion of debt into common stock 326,155 0
Release of auto loan liability (56,856) 0
Write of net balance of automobile $ (58,000) $ 0