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
Cash flows used in operating activities:    
Net loss $ (32,613,687) $ (35,962,506)
Adjustments to reconcile net loss to net cash used in operations:    
Depreciation and amortization 3,046,902 2,749,850
Non-cash gain on derivative instruments (5,392,390) (2,888,746)
Stock issued for services 73,335 2,905,000
Stock-based compensation 1,107,487 722,829
Bad debts 3,630,685 99,754
Impairment charges 1,038,285 20,143,320
Accretion of beneficial conversion feature and debt discount 2,951,023 1,526,422
Non-cash charges related to capital leases 725,790 0
Gain on extinguishment of debt (100,000) 0
Gain on disposal of property and equipment 153,234 0
Gain on legal settlement 0 (275,028)
Changes in operating assets and liabilities:    
Accounts receivable 3,051,218 9,138,123
Prepaid expenses and other current assets 976,435 (927,024)
Security deposits (182,378) (45,279)
Accounts payable (905,637) 1,046,802
Accrued expenses 1,108,840 84,190
Income tax assets and liabilities 1,467,178 (10,502,959)
Deferred tax assets and liabilities 0 (376,609)
Net cash used in operating activities (19,863,680) (12,561,861)
Cash flows provided by (used in) investing activities:    
Purchase of property and equipment (36,728) (456,303)
Proceeds from the sale of property and equipment 100,000 0
Cash received in acquisitions 0 4,737,773
Net cash provided by investing activities 63,272 4,281,470
Cash flows provided by financing activities:    
Dividends on Series B preferred stock 0 (441,311)
Proceeds from the issuance of preferred stock, common stock and warrants, net of offering costs of $1,614,485 and $1,156,663 19,340,302 8,843,337
Redemption of preferred stock (8,346,150) 0
Proceeds from issuance related party notes payable and advances 10,000,567 5,630,000
Proceeds from issuance of notes payable 5,394,500 3,000,000
Payments on related party notes payable and advances (14,470,567) 0
Payments on notes payable 0 (1,218,459)
Payments on capital lease obligations (873,495) (1,106,192)
Net cash provided by financing activities 11,045,157 14,707,375
Net decrease in cash (8,755,251) 6,426,984
Cash at beginning of period 8,833,230 2,407,246
Cash at end of period $ 77,979 $ 8,833,230