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Liquidity
12 Months Ended
Dec. 31, 2020
Liquidity [Abstract]  
LIQUIDITY

NOTE 3 – LIQUIDITY


As of December 31, 2020, the Company had cash balances of $162,184, a working capital deficit of $4,478,223 and accumulated deficit $21,784,910. For the year ended December 31, 2020, we had a net loss of $5,755,256 and net cash used by operating activities of $2,117,297. Net cash provided by investing activities was $1,812,239, including $2,784,782 received from the sale of marketable securities received in an August 2020 financing transaction. Net cash provided by financing activities was $356,801, resulting principally from $1,071,069 proceeds from loans and grants issued by the federal government under the Payroll Protection Act, $827,500 net proceeds from the issuance of convertible notes, and $149,000 proceeds from the issuance of related party loans. The Company also repaid $1,882,405 of convertible notes, $967,756 of related party loans and $27,893 of vendor notes payable during 2020. 


Subsequent to December 31, 2020 and through March 30, 2021, the Company raised $4,389,361 through sales of or common stock in private placement transactions and puts pursuant to the July 2016 $3 million investment agreement (the “Investment Agreement”). The Company believes that cash balances following the capital infusion are adequate to meet the Company’s cash requirements for the next twelve months.


The Company intends that the longer term (i.e., beyond twelve months) cost of completing additional intended acquisitions, implementing its development and sales efforts related to the HealthLynked Network and maintaining existing and expanding overhead and administrative costs will be financed from (i) cash on hand resulting from fund raising efforts in the first quarter of 2021, (ii) profits generated by NCFM, CHM and AHP, and (ii) the use of further outside funding sources, including the put rights associated with the Investment Agreement, sales of common and/or preferred stock, and government loans. No assurances can be given that the Company will be able to access additional outside capital in a timely fashion. If necessary funds are not available, the Company’s business and operations would be materially adversely affected and in such event, the Company would attempt to reduce costs and adjust its business plan.


A novel strain of coronavirus, COVID-19, that was first identified in China in December 2019, has surfaced in several regions across the world and resulted in travel restrictions and business slowdowns or shutdowns in affected areas. The further spread of COVID-19, and the requirement to take action to limit the spread of the illness, may impact our ability to carry out our business as usual and may materially adversely impact global economic conditions, our business and financial condition, including our potential to conduct financings on terms acceptable to us, if at all. The extent to which COVID-19 may impact our business will depend on future developments, which are highly uncertain and cannot be predicted with confidence, such as the ultimate geographic spread of the disease, the duration of the outbreak, travel restrictions and social distancing in the United States and other countries, business closures or business disruptions and the effectiveness of actions taken in the United States and other countries to contain and treat the disease. In response to COVID-19, the Company implemented additional safety measures in its patient services locations and its corporate headquarters.