XML 18 R6.htm IDEA: XBRL DOCUMENT v3.4.0.3
Consolidated Statements of Cash Flows - USD ($)
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
CASH FLOWS FROM OPERATING ACTIVITIES    
Net loss $ (1,752,896) $ (1,529,563)
Adjustments to reconcile net loss to net cash used in operating activities    
Depreciation $ 559 279
Bad debt expense 586
Stock compensation expense $ 210,000 $ 240,375
Shares issued for interest expense $ 75,000
Write- off of intangible asset $ 33,369
Write-off of deferred offering costs   47,449
Unrealized derivative loss (gain) $ 254,969 $ (44,682)
Loss on extinguishment of debt 440,840
Amortization of debt discounts and deferred financing fees 427,154 $ 263,166
Changes in operating assets and liabilities    
Accounts receivable 3,330 1,788
Inventory 1,820 15,865
Prepaid expenses and other current assets 15,000 (10,500)
Accounts payable 294,405 426,455
Accounts payable - related party (33,288) $ 82,073
Customer deposits 29,552
Accrued expenses 53,254 $ 123,389
Net cash provided by (used in) operating activities $ 19,699 (349,951)
CASH FLOWS FROM INVESTING ACTIVITIES    
Purchase of equipment (1,676)
Deposits $ 63,800 (13,500)
Net cash provided by (used in) investing activities 63,800 $ (15,176)
CASH FLOWS FROM FINANCING ACTIVITIES:    
Proceeds from short-term debt 23,664
Payments of short-term debt (50,520) $ (24,790)
Proceeds from short-term debt - related parties 25,000 160,000
Payments of short-term debt - related parties (66,000) $ (19,818)
Proceeds from sale of common stock and warrants 102,875
Proceeds from convertible debt 81,000 $ 292,000
Payment of stock issuance costs (191,068) (44,310)
Net cash provided by (used in) financing activities (75,049) 363,082
NET INCREASE (DECREASE) IN CASH 8,450 (2,045)
CASH AT BEGINNING OF PERIOD 8,224 10,269
CASH AT END OF PERIOD 16,674 8,224
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION    
Interest paid $ 104,543 $ 23,785
Income taxes paid
SUPPLEMENTAL DISCLOSURE OF NON-CASH FINANCING ACTIVITIES    
Deferred financing fees paid through issuance of notes $ 9,000
Prepaid interest paid through issuance of note 6,000
Legal fees paid through issuance of note 10,000
Convertible debt and fees paid with proceeds from units offering 114,000
Convertible debt converted to equity 170,000
Accrued interest added to debt principal $ 63,123
Shares issued with debt $ 34,580
Shares issued with deferred financing costs 4,525
Debt discount resulting from derivative liability $ 270,116 $ 341,897
Warrant derivatives issued $ 1,619,054
Acquisition expenses paid out of convertible debt proceeds $ 275,000