Annual report pursuant to Section 13 and 15(d)

Consolidated Statements of Cash Flows

v3.20.1
Consolidated Statements of Cash Flows - USD ($)
 12 Months Ended
Dec. 31, 2019
Dec. 31, 2018
CASH FLOWS FROM OPERATING ACTIVITIES:    
Net loss $ (11,660,917) $ (9,699,318)
Adjustments to reconcile net loss to net cash used in operating activities:    
Non-cash lease expense 59,799
Common stock issued for debt extension 50,108
Depreciation and amortization 123,596 94,271
Inventory reserve 68,949 93,947
Accretion of interest and amortization of debt discount 1,353,483 1,517,394
Issuance of incentive shares and common stock warrants 1,299,340
Loss (gain) on extinguishment of liabilities 795,089 (260,454)
Stock-based compensation expense 1,117,277 592,477
Impairment loss on investment 3,182
Shares issued for services 398,600
Changes in operating assets and liabilities:    
Accounts receivable 245,428 (267,982)
Inventories 78,814 (56,107)
Prepaid expenses and other assets (42,815) 289,544
Accounts payable 156,908 69,593
Accrued employee compensation (5,732) 88,232
Operating lease liability (59,799)
Accrued interest 47,690
Deferred revenue and other accrued expenses 1,043,742 442,179
Net cash used in operating activities (6,327,578) (5,695,904)
CASH FLOWS FROM INVESTING ACTIVITIES:    
Purchases of property plant and equipment (23,375)
Net cash used in investing activities (23,375)
CASH FLOWS FROM FINANCING ACTIVITIES:    
Net proceeds from related party debt 259,500 168,600
Payment of related party debt (193,000) (103,600)
Net proceeds from revolving note payable 460,000
Net proceeds from convertible debt 6,585,300 5,717,798
Payments on convertible debt (4,396,485) (3,522,000)
Net proceeds from non-convertible debt 2,981,750 2,371,992
Payments on non-convertible debt (2,234,704) (2,199,465)
Net proceeds from the issuance of Series AA Convertible Preferred Stock 3,275,099 2,824,664
Net cash provided by financing activities 6,277,460 5,717,989
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS (73,493) 22,085
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR 103,118 81,033
CASH AND CASH EQUIVALENTS AT END OF YEAR 29,625 103,118
SUPPLEMENTAL INFORMATION    
Interest paid in cash 3,266,399 1,085,743
NON CASH TRANSACTIONS:    
Convertible debt exchanged for preferred stock 12,688,385
Discount due to beneficial conversion feature 558,903 253,000
Discount due to warrants issued with debt 208,714 162,023
Common stock issued for dividends paid in kind 205,100
Common stock issued with debt 239,875 288,648
Common stock issued in lieu of cash for interest 258,211
Common stock issued for prepaid services 238,120
Conversion of preferred stock and accrued dividends into common stock 160 440
Conversion of debt and interest into common stock 356,510
Discount from one-time interest 209,811
Preferred stock dividend 1,553,822 678,921
Deemed dividend-triggered down round feature 213,012
Deemed dividend-beneficial conversion feature 2,653,344 12,881,899
Interest added to principal $ 128,207