Quarterly report pursuant to Section 13 or 15(d)

Consolidated Statements of Cash Flows (Unaudited)

v3.5.0.2
Consolidated Statements of Cash Flows (Unaudited) - USD ($)
9 Months Ended
Sep. 30, 2016
Sep. 30, 2015
Cash flows from operating activities:    
Net loss $ (12,578,701) $ (5,674,400)
Adjustments to reconcile net loss from operations to cash used by operations:    
Depreciation 286,316 281,774
Stock based compensation 853,609 279,335
Legal, consulting and investment services 168,873
Interest expense paid in kind 247,500
Write down of inventory 78,917 193,778
Effects of changes in operating assets and liabilities:    
Accounts receivable (536,600)
Inventory (3,568,972)
Prepaid expenses and deposits 733,469 (12,364)
Accounts payable 1,737,918 406,262
Accounts payable, related parties (343,638) (65,797)
Net cash used by operations (13,337,682) (4,175,038)
Cash flows from investing activities:    
Capital expenditures (148,095) (32,529)
Net cash used by investing activities (148,095) (32,529)
Cash flows from financing activities:    
Proceeds from notes payable 1,172,000
Payments on long-term debt (2,722,500) (5,045)
Shareholder advances, net of repayments 1,309,073 1,712,200
Issuance of common and preferred stock 1,027,032
Exercise of warrants and options 10,271,294
Net cash provided by financing activities 8,857,867 3,906,187
Change in cash and cash equivalents (4,627,910) (301,380)
Cash at the beginning of the period 7,677,163 442,257
Cash at the end of the period $ 3,049,253 $ 140,877