v3.19.2
Condensed Statements of Cash Flows (Unaudited) - USD ($)
6 Months Ended
Jun. 30, 2019
Jun. 30, 2018
Cash flows from operating activities:    
Net income (loss) $ 507,635 $ (4,128,941)
Adjustments to reconcile from net income (loss) to net cash used in operating activities:    
Depreciation 101,911 62,014
Amortization of debt discount and debt issuance cost 853,552
Change in fair value of warrant derivative (4,709,583)
Stock-based compensation expense 209,763 56,108
Changes in operating assets and liabilities    
Accounts receivable, net (809,543) (1,176,140)
Factor receivables, net 150,995 169,482
Inventory (786,682) (29,232)
Prepaid assets (75,848) 5,500
Other assets (3,537) 8,553
Accounts payable (157,002) 828,609
Accrued expenses (524,377) 1,112,928
Accrued litigation 1,192,488
Accrued interest (271,821)
Deferred revenue (33,665) (12,950)
Net cash used in operating activities (6,129,933) (1,329,850)
Cash flows from investing activities:    
Purchases of property and equipment (276,554)
Net cash used in investing activities (276,554)
Cash flows from financing activities:    
Proceeds from exercise of Series A warrants 2,172,680
Proceeds from exercise of Placement Agent warrants 16,818
Proceeds from sale of convertible preferred stock, net of costs 1,201,157
Cash payment for debt modification (25,000)
Proceeds from note payable 100,000
Proceeds from factor loan payable 1,809,884 2,988,874
Repayments of factor loan payable (2,028,866) (2,927,834)
Net cash provided by financing activities 1,970,516 1,337,197
Net (decrease) increase in cash (4,435,971) 7,347
Cash, beginning of period 5,459,884 44,348
Cash, end of period 1,023,913 51,695
Cash paid during the period for:    
Interest
Income taxes
Supplemental disclosure of non-cash investing and financing activities:    
Issuance of convertible preferred stock as debt issuance cost 404,524
Issuance of warrants to investors 540,429
Issuance of warrants as compensation for capital raise 27,021
Conversion of Series B warrants into common stock 13,369,232
Issuance of convertible preferred stock in exchange for warrants $ 3,671,024

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