Quarterly report pursuant to Section 13 or 15(d)

Condensed Consolidated Statements of Cash Flows (Unaudited)

v3.20.2
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Operating Activities:    
Net loss $ (5,370,000) $ (5,351,000)
Adjustments to reconcile net loss to net cash used in operating activities:    
Fair value of common shares issued for services and vested stock options and warrants 2,552,000 2,087,000
Financing costs 139,000
Amortization of debt discount 274,000 1,601,000
Change in fair value of derivative liability (3,320,000) (518,000)
Debt extinguishment (2,227,000)
Depreciation and amortization 719,000 508,000
Amortization of right-of-use assets 270,000 62,000
Allowance for inventory 28,000 7,000
Allowance for doubtful account (111,000) (15,000)
Effect of changes in assets and liabilities:    
Accounts receivable 258,000 (150,000)
Prepaid expenses (34,000) (95,000)
Inventory 42,000 44,000
Other assets (43,000)
Accounts payable, accrued expenses, and accrued interest 307,000 829,000
Operating lease liability (154,000) (58,000)
Deferred revenue and customer deposits (134,000) (380,000)
Net cash used in operating activities (4,673,000) (3,535,000)
Investing Activities:    
Acquisition of subsidiary (15,000,000)
Cash acquired upon acquisition of subsidiary 557,000
Purchase of property and equipment (316,000)
Net cash used by investing activities (316,000) (14,443,000)
Financing Activities:    
Proceeds from sale of common stock 4,444,000 18,614,000
Proceeds from notes payable 1,368,000 1,000,000
Advances on future receipts 728,000
Proceeds from convertible note payable 432,000
Proceeds from related party notes payable 58,000
Proceeds from warrant exercise 45,000
Payment of convertible notes payable (2,025,000)
Payment of notes payable (310,000)
Payment of related party notes payable (58,000)
Payment of advances of future receipts (1,006,000)
Deferred offering costs (150,000)
Net cash provided by financing activities 5,384,000 17,756,000
Net change in cash 395,000 (222,000)
Cash - beginning of period 983,000 634,000
Cash - end of period 1,378,000 412,000
Supplemental disclosures of cash flow information:    
Cash paid for interest 72,000 64,000
Supplemental disclosure of non-cash investing and financing activities:    
Fair value of common stock issued for subscription agreement 340,000
Fair value of common stock issued upon acquisition of subsidiary 7,820,000
Conversion of note payable and accrued interest to common stock 410,000
Fair value of derivative liability from issuance of convertible debt, inducement shares and warrant features 388,000
Fair value of derivative liability from issuance of warrants to Series A stockholders considered as a deemed dividend 3,951,000
Fair value of common shares, warrants and beneficial conversion feature of issued convertible note 182,000
Derecognition of deferred offering costs 161,000
Common stock issued to settle accounts payable $ 10,000