Quarterly report pursuant to Section 13 or 15(d)

Consolidated Balance Sheets

v2.4.0.8
Consolidated Balance Sheets (USD $)
Sep. 30, 2014
Dec. 31, 2013
Current Assets:    
Cash and Cash Equivalents $ 5,167,606 $ 527,110
Accounts Receivable, net 343,305 893,826
Inventory, net 21,162 224,351
Prepaid and Other Assets 287,579 582,056
Total Current Assets 5,819,652 2,227,343
Property and Equipment, net 44,125 78,748
Film and Television Costs 156,592 0
Capitalized Product Development in Process 0 54,575
Intangible Assets, net 1,890,179 1,865,706
Goodwill 10,365,805 10,365,805
Investment in Stan Lee Comics, LLC 0 0
Total Assets 18,276,353 14,592,177
Current Liabilities:    
Accounts Payable 356,193 889,919
Accrued Expenses 207,112 219,275
Deferred Revenue and Advances - Current Portion 222,995 107,264
Accrued Salaries and Wages 119,758 59,958
Disputed Trade Payable 925,000 [1] 925,000 [1]
Short Term Debt - Related Party 411,642 516,659
Total Current Liabilities 2,242,700 2,718,075
Long Term Liabilities:    
Deferred Revenue and Advances 694,917 378,000
Services Advance 739,883 [2] 0 [2]
Total Liabilities 3,677,500 3,096,075
Stockholders' Equity (Deficit)    
Preferred Stock, $0.001 par value, 10,000,000 share authorized, respectively; 6,000 and 0 shares issued and outstanding, respectively 6 0
Common Stock, $0.001 par value, 700,000,000 shares authorized, respectively; 6,383,450 and 5,918,704 shares issued and outstanding, respectively 6,384 5,919
Additional Paid in Capital 34,860,281 28,914,238
Accumulated Deficit (20,267,818) (17,424,055)
Total Stockholders' Equity 14,598,853 11,496,102
Total Liabilities and Stockholders' Equity $ 18,276,353 $ 14,592,177
[1] As part of the Merger, the Company assumed certain liabilities from a previous member of A Squared Entertainment, LLC which has claimed certain liabilities totaling $925,000. The Company disputes the basis for this liability and has not heard from the claimant for two years.
[2] During the first quarter of 2014, the Company entered into an exclusive three year agreement with Sony DADC, the optical disc manufacturing and fulfillment arm of Sony, to provide all CD, DVD and BD replication, packaging and distribution to Genius Brands International's direct customers. Under the terms of the long-term, exclusive supply chain services agreement, the Company will order a minimum level of disc replication, packaging and distribution services for its content across all physical media, including DVD, CD, and Blu-ray from Sony DADC. As consideration for these minimum order levels, the Company will receive a total of $1,500,000, $750,000 of which was received during the first quarter of 2014 with the remaining $750,000 due by January 17, 2015. At the end of the term, the Company is obligated to repay a pro-rata portion of the advance if it has not ordered a minimum number of DVD/CD units during the term.