Annual report pursuant to Section 13 and 15(d)

Consolidated Statements of Cash Flows

v3.3.1.900
Consolidated Statements of Cash Flows - USD ($)
12 Months Ended
Dec. 31, 2015
Dec. 31, 2014
Cash flows from operating activities:    
Net loss during the development stage $ (9,426,853) $ (6,608,680)
Adjustments to reconcile net loss from operations to cash used by operations:    
Depreciation 371,226 388,006
Stock based compensation $ 402,518 414,597
Interest expense on convertible debentures 13,269
Legal, consulting and investment services 931,973
Interest expense paid in kind $ 225,000
Inventory reserve $ 313,833
Effects of changes in operating assets and liabilities:    
Prepaid expenses and deposits (803,029) $ (30,658)
Accounts payable 907,308 460,794
Accounts payable, related parties $ 14,765 (83,389)
Customer deposits (177,500)
Net cash used by operations $ (8,220,232) (4,466,588)
Cash flows from investing activities:    
Capital expenditures (65,226) (23,104)
Net cash used by investing activities (65,226) (23,104)
Cash flows from financing activities:    
Proceeds from notes payable 12,242,104 1,243,000
Payments on long-term debt (5,045) (326,070)
Shareholder advances, net of repayments 111,700 (285,000)
Issuance of common stock 3,171,604 4,293,000
Net cash provided by financing activities 15,520,363 4,924,930
Change in cash and cash equivalents 7,234,905 435,238
Cash at the beginning of the period 442,257 7,019
Cash at the end of the period $ 7,677,163 $ 442,257