Annual report pursuant to section 13 and 15(d)

Consolidated Statements of Cash Flows

v2.4.0.6
Consolidated Statements of Cash Flows (USD $)
 12 Months Ended
Dec. 31, 2012
Dec. 31, 2011
Statement of Cash Flows [Abstract]    
Net Loss $ (2,067,609) $ (1,366,893)
Adjustments to reconcile net loss to net cash provided in operating activities:    
Net Loss Attributable to Noncontrolling Interest 0 (5,366)
Depreciation Expense 11,056 12,550
Amortization Expense 138,767 196,309
Issuance of Common Stock for Services 324,714 42,500
Accretion of discount on convertible notes payable 163,825 0
Stock Compensation Expense 264,122 432,422
Gain on Extinguishment of Debt (76,280) 0
Gain (loss) on derivative valuation (200,322) 0
Decrease (increase) in operating assets    
Accounts Receivable (63,194) 56,646
Inventory 14,710 (93,277)
Prepaid Expenses & Other Assets 28,503 (113,110)
Increase (decrease) in operating liabilities    
Accounts Payable 38,917 69,722
Accrued Salaries 322,564 130,968
Accrued Interest 26,667 0
Accrued Interest - Related Party 50,259 123,981
Other Accrued Expenses 87,978 186,945
Net cash provided/(used) in operating activities (935,323) (326,603)
Cash Flows from Investing Activities:    
Investment in Intangible Assets (57,739) (203,890)
Purchase of Fixed Assets (1,898) (10,276)
Net cash provided/(used) by investing activities (59,637) (214,166)
Cash Flows from Financing Activities:    
Sale of Common Stock 200,000 860,000
Common Stock Offering Cost 0 (1,770)
Proceeds from debenture 1,000,000 0
Issuance costs on debenture (162,833) 0
Payments on Related Party Debt 0 (120,000)
Net cash provided/(used) by financing activities 1,037,167 738,230
Net increase/(decrease) in cash 42,207 197,461
Beginning Cash Balance 405,341 207,880
Ending Cash Balance 447,548 405,341
Supplemental disclosures of cash flow information:    
Cash paid for income taxes 0 0
Cash paid for interest 4,012 2,870
Related Party Note converted to Common Stock 1,745,546 200,000
Stock Issued for Debt 0 9,690
Warrants granted for debenture issuance costs 28,929 0
Discount on debentures attributed to warrants 379,688 0
Derivative valuation on debentures $ 269,284 $ 0