Annual report pursuant to Section 13 and 15(d)

Consolidated Statements of Cash Flows

v3.8.0.1
Consolidated Statements of Cash Flows - USD ($)
 12 Months Ended
Dec. 31, 2017
Dec. 31, 2016
Operating Activities:    
Net loss $ (7,266,553) $ (4,274,105)
Adjustments to reconcile net loss to net cash used in operating activities:    
Share-based compensation 2,533,245 1,301,402
Change in fair value of derivative liability (5,900)
Financing costs 643,481
Debt extinguishment 977,203 455,975
Amortization of debt discount 418,339 404,041
Loss on conversion of series A preferred 217,106
Depreciation and amortization 21,512 21,301
Effect of changes in assets and liabilities:    
Accounts payable and accrued expenses 799,144 456,774
Accounts receivable 8,468 (8,417)
Other assets 7,256 (16,036)
Prepaid expenses (30,038) 55,052
Net cash used in operating activities (1,676,737) (1,604,013)
Investing Activities:    
Purchase of property and equipment (2,494)
Other
Net cash used in investing activities (2,494)
Financing Activities:    
Proceeds from convertible note payable 813,000
Proceeds from sale of common stock 796,000 1,524,030
Proceeds from series A preferred stock 555,000
Proceeds from Put Shares 50,000  
Redemption of series A preferred (543,465)
Proceeds from note payable 80,000
Proceeds from notes payable - related parties 92,446
Payment of notes payable - related parties (10,000)
Repurchases of common stock (166,226)
Net cash provided by financing activities 1,670,535 1,520,250
Net change in cash (6,202) (86,257)
Cash - beginning of period 16,762 103,019
Cash - end of period 10,560 16,762
Supplemental disclosures of cash flow information:    
Cash paid for interest 326,221 129,869
Cash paid for income taxes 1,600 800
Supplemental disclosure of non-cash investing and financing activities:    
Fair value of derivative liability from issuance of convertible debt and warrant features 1,256,481
Fair value of warrants issued and beneficial conversion feature to extinguish debt 860,601
Conversion of series A Preferred to common stock 303,641
Fair value of common shares, warrants and beneficial conversion feature of issued convertible note 154,350
Conversion of note payable to common stock 181,845
Common stock issued to settle accounts payable 56,000
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 on notes payable to convertible notes payable 80,268
Conversion of accrued interest to accrued officers' salary $ 180,686