Annual report pursuant to Section 13 and 15(d)

Consolidated Statements of Cash Flows

v3.21.1
Consolidated Statements of Cash Flows - USD ($)
 12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
CASH FLOWS FROM OPERATING ACTIVITIES:    
Net loss $ (4,434,443) $ (7,240,740)
Adjustments to reconcile net loss to net cash used in operating activities:    
Depreciation expense 14,093 24,629
Amortization of debt discount to interest expense 424,001 160,542
Accretion of preferred shares stated value to interest expense 52,400
Stock-based compensation 2,108,472 3,858,967
Stock-based professional fees 132,892 355,393
Bad debt expense 202,480 992
Interest expense related to put premium on convertible debt 47,405 88,620
Derivative expense 90,623 570,059
Non-cash gain on debt extinguishment (877,823) (31,009)
Non-cash fees upon conversion 2,500
Lease costs 400 44
Change in operating assets and liabilities:    
Accounts receivable (130,188) (61,662)
Inventory (62,380) (5,843)
Prepaid expenses and other assets (563) 1,949
Due from related party (5,526)
Accounts payable 139,300 239,605
Accrued expenses 96,022 89,266
Accrued compensation 417,308 635,477
NET CASH USED IN OPERATING ACTIVITIES (1,783,027) (1,313,711)
CASH FLOWS FROM FINANCING ACTIVITIES:    
Proceeds from sale of common stock 821,000 780,000
Proceeds from sale of series A preferred stock 120,000 127,000
Redemption of Series A preferred stock (104,762)
Proceeds from sale of series C preferred stock 1,330,000
Proceeds from exercise of stock options 19,185
Proceeds from note payable 156,200 25,000
Repayment of note payable (25,000)
Repayment of convertible note payable (393,215) (238,080)
Proceeds from convertible notes payable 100,000 574,250
NET CASH PROVIDED BY FINANCING ACTIVITIES 2,029,223 1,262,355
NET INCREASE (DECREASE) IN CASH 246,196 (51,356)
CASH, beginning of year 77,211 128,567
CASH, end of year 323,407 77,211
Cash paid for:    
Interest 130,399 37,339
Income taxes
SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:    
Common stock issued as prepaid for services 133,000 161,460
Common stock issued for accrued compensation 24,250 364,000
Series B preferred stock issued for accrued compensation 318,969 108,000
Common stock issued for accounts payable 6,058
Common stock issued for conversion of debt and accrued interest 188,529 12,000
Common stock issued for conversion of Series A preferred shares and related dividends 215,424
Preferred stock dividend accrued 8,508
Deemed dividend related to beneficial conversion feature of Series C preferred shares 1,525,873
Reclassification of put premium to equity 49,543
Increase in debt discount and derivative liability 85,502 320,351
Increase in debt discount and paid-in capital for warrants 14,498 61,899
Increase in right of use asset and lease liability $ 74,296