Annual report pursuant to Section 13 and 15(d)

Consolidated Statements of Cash Flows

v3.7.0.1
Consolidated Statements of Cash Flows - USD ($)
 12 Months Ended
Dec. 31, 2016
Dec. 31, 2015
Operating Activities:    
Net loss $ (4,274,105) $ (6,955,228)
Adjustments to reconcile net loss to net cash used in operating activities:    
Loss from debt extinguishment 455,975 362,626
Amortization of debt discount and debt issuance costs 404,041 1,649,564
Depreciation and amortization 21,301
Stock compensation 1,301,402
Impairment charges 1,387,100
Effect of changes in operating assets and liabilities:    
Accounts receivable (8,417)
Prepaid expenses and other current assets 55,052 148,931
Other assets (16,036)
Accounts Payable and accrued expenses 456,774 540,596
Net cash used in operating activities (1,604,013) (2,866,411)
Investing Activities:    
Purchases of property and equipment (2,494) (62,029)
Acquisition of Intellectual Property (43,900)
Net cash used in investing activities (2,494) (105,929)
Financing Activities:    
Proceeds from notes payable 600,000
Proceeds from notes payable - related parties 92,446 1,403,242
Payment of notes payable (100,000)
Payment of notes payable - related parties (10,000)
Proceeds from sale of common stock 1,524,030
Stock repurchases (166,226)
Borrowings from note payable 80,000
Net cash provided by financing activities 1,520,250 1,903,242
Net change in cash (86,257) (1,069,098)
Cash - beginning of the year 103,019 1,172,117
Cash - end of the year 16,762 103,019
Supplemental disclosures of cash flow information:    
Cash paid for interest 129,869 77,068
Cash paid for income taxes 800
Supplemental disclosure of non-cash investing and financing activities:    
Note payable issued as payment for professional fees 125,000
Satisfaction of note in connection with the foreclosure of Songstagram security interest 861,435
Issuance of common stock in connection with settlement agreements 530,000
Officer salary paid pursuant to note payable - related party 189,000
Accounts payable paid pursuant to note payable - related party 101,901
Accrued interest converted to note payable - related party 45,641
Conversion of accrued interest on notes payable to convertible notes payable 80,268
Conversion of accrued interest on notes payable to related parties note 10,900
Conversion of accrued payroll to related party note 121,875
Conversion of accrued interest to accrued officers’ salary $ 180,686