Cash Flow

v3.10.0.1
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
6 Months Ended
Jun. 30, 2018
Jun. 30, 2017
Cash flows from operating activities:    
Net loss $ (1,987,005) $ (2,396,002)
Adjustments to reconcile net loss to net cash used in operating activities:    
Depreciation expense 1,879 1,379
Amortization of discount on convertible debentures 330,388
Amortization of intangible assets 294,632 293,191
Interest income on short-term investment (4) (8)
Loss on conversion of convertible debentures 1,018,475
Change in fair value of financial instruments (96,327)
Stock-based compensation 165,314 209,383
Changes in operating assets and liabilities:    
Accounts receivable 778,191 137,077
Costs and estimated earnings in excess of billings on uncompleted contracts (70,217) (224,800)
Prepaid expenses and other current assets (52,436) (192,624)
Inventory 9,445
Intangible assets (28,820)
Accounts payable and accrued expenses (159,237) 378,123
Billings in excess of costs and estimated earnings on uncompleted contracts (847,580) 390,713
Deferred revenue (72,788)
Net cash used in operating activities (1,876,463) (243,195)
Cash flows from investing activities:    
Purchase of equipment (3,784)
Proceeds from short-term investment 30,037
Net cash provided by investing activities 26,253
Cash flows from financing activities:    
Proceeds from public stock offering, net of offering costs 6,826,558
Payments on convertible debentures (1,500,000)
Net cash provided by financing activities 5,326,558
Net increase (decrease) in cash and cash equivalents (1,850,210) 5,083,363
Cash and cash equivalents - beginning of period 4,870,824 549,100
Cash and cash equivalents - end of period 3,020,614 5,632,463
Supplemental disclosure of non-cash financing activities:    
Conversion of convertible debentures to common stock 2,583,334
Conversion of preferred stock to common stock 1,801,670
Offering costs not paid and included in accounts payable and accrued expenses $ 715,173

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