General form of registration statement for all companies including face-amount certificate companies

Consolidated Statements of Cash Flows (Unaudited)

v2.4.0.6
Consolidated Statements of Cash Flows (Unaudited) (USD $)
 9 Months Ended
Sep. 30, 2012
Sep. 30, 2011
Cash flows from operating activities    
Net loss $ (4,459,204) $ (3,611,312)
Adjustments to reconcile net loss to net cash used in operating activities:    
Bad debt expense 99,803 25,000
Depreciation and Amortization 360,554 372,002
Amortization of financing costs 21,723   
Gain on change in fair value of derivative liability (477,830)   
Stock and warrant based compensation 120,000 1,950,000
Non-cash interest expense 4,742,188   
Changes in assets and liabilities:    
Account receivable-trade (496,267) (430,999)
Inventories (332,028) (791,677)
Prepaid expenses and other current assets (344,350) (16,933)
Accounts payable (597,484) 1,753,882
Accrued expenses and other current liabilities (273,804) 709,051
Net cash used in operating activities (1,636,699) (40,986)
Cash flows from investing activities    
Purchase of property and equipment (320,116) (157,568)
Cash acquired on business combination    585,720
Net cash provided by (used in) investing activities (320,116) 428,152
Cash flows from financing activities    
Proceeds from convertible debt 3,750,000 2,750,000
Proceeds from sale of common stock 650,000   
Payment of deferred financing costs (36,304) (150,364)
Repayments of debt (190,593) (2,453,341)
Repayment of borrowings from noteholders (2,550,000)   
Advance from (payment to) shareholder    (3,211)
Net cash provided by financing activities 1,623,103 143,084
Net increase (decrease) in cash and cash equivalents (333,712) 530,250
Cash and cash equivalents, beginning of period 416,333 251,475
Cash and cash equivalents, end of period 82,621 781,725
Supplemental disclosures of cash flow information:    
Interest paid 312,232 319,872
Debt discount from warrant liability 2,755,274   
Cashless exercise of warrants for common stock $ 6,503,201