XML 90 R76.htm IDEA: XBRL DOCUMENT v3.21.2
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
9 Months Ended
Sep. 30, 2021
Sep. 30, 2020
Cash flows from operating activities:    
Net loss $ (22,659,480) $ (8,088,980)
Adjustments to reconcile net loss to net cash used in operating activities:    
Depreciation and amortization 652,732 716,568
Amortization of loan discount and fees 682,956 144,974
Stock-based compensation 4,155,641 105,643
Fees incurred in connection with debt financings 132,609  
Change in fair value of warrant liability 21,930 (1,792)
Change in fair value of contingent consideration 7,039,394  
Change in fair value of derivative liability 627,956  
Deferred income tax benefit (1,100,120)  
Impairment of intangible assets   784,500
Loss on disposal of property and equipment   593,449
Change in credit reserve 66,748 (182,758)
Changes in operating assets and liabilities:    
Accounts receivable, net (32,582) (74,256)
Due from factor, net (540,257) 1,334,263
Inventory (483,477) 2,578,261
Prepaid expenses (1,259,835) (113,566)
Accounts payable 749,352 1,161,279
Accrued expenses and other liabilities 451,298 (721,062)
Deferred revenue (78,492) (13,564)
Accrued compensation - related party (108,550) (29,302)
Accrued interest 206,163 656,734
Net cash used in operating activities (11,476,014) (1,149,609)
Cash flows from investing activities:    
Cash acquired (consideration) pursuant to business combination (5,442,966) 106,913
Issuance of related party receivable   (10,000)
Purchase of property, equipment and software (13,585) (266,390)
Deposits (67,431) 98,835
Net cash provided by (used in) investing activities (5,523,982) (70,642)
Cash flows from financing activities:    
Proceeds from related party advances   22,856
Repayments to factor (39,520) (1,684,703)
Proceeds from venture debt   862,500
Issuance of loans payable 2,626,050 1,701,044
Repayments of promissory notes and loans payable (2,002,731)  
Issuance of convertible notes payable 5,078,650  
Proceeds from initial public offering 10,000,002  
Exercise of warrants 1,768,046  
Proceeds from sale of Series A-3 preferred stock   355,945
Exercise of over-allotment option with public offering, net 1,364,997 22,677
Proceeds from sale of Series CF preferred stock   286,518
Offering costs (2,116,957) (104,996)
Net cash provided by financing activities 16,678,537 1,461,841
Net increase in cash and cash equivalents (321,459) 241,590
Cash and cash equivalents at beginning of period 575,986 40,469
Cash and cash equivalents at end of period 254,527 282,059
Supplemental disclosure of cash flow information:    
Cash paid for interest 460,179  
Supplemental disclosure of non-cash investing and financing activities:    
Conversion of preferred stock into common stock 6,291  
Conversion of related party notes and payables into common stock 257,515  
Conversion of debt into common stock 2,680,289  
Derivative liability in connection with convertible note 1,858,887  
Common shares issued pursuant to equity line of credit $ 367,696  
Venture debt issued in exchange of forgiveness of accrued interest   209,211
Warrants issued for offering costs   918
Warrants issued with venture debt   139,572
Issuance of promissory note payable in acquisition   4,500,000
Issuance of Series B preferred stock in acquisition   11,000,000
Subscription receivable for Series A preferred stock   $ 13,454