Quarterly report pursuant to Section 13 or 15(d)

Condensed Consolidated Statements of Cash Flows

v2.4.0.8
Condensed Consolidated Statements of Cash Flows (USD $)
 3 Months Ended
Mar. 31, 2014
Mar. 31, 2013
Cash Flows from Operating Activities    
Net loss $ (823,905) $ (1,495,412)
Adjustment to reconcile net loss to net cash used in operating activities:    
Depreciation and amortization 39,498 17,642
Amortization of Intangible Assets 328,035 62,857
Stock based compensation 192,029 342,900
Investment income (3,048)   
Amortization of debt discount    16,667
Change in the fair value of derivative liability    489,168
Changes in operating assets and liabilities:    
Accounts receivable and other receivables (93,992) 450,712
Inventory (51,673) (4,866)
Prepaid expenses (648,385) 3,109
Prepaid licenses and maintenance contracts (1,453,587) (79,491)
Other assets 319,315 (332,035)
Accounts payable 304,089 (821,621)
Accrued expenses (185,534) 370,695
Accrued compensation (17,829)   
Deferred revenue 1,760,109 84,479
Total Adjustments 489,027 600,216
Net Cash Used in Operating Activities (334,878) (895,196)
Cash Flows From (Used in) Investing Activities    
Purchase of property and equipment (10,352)   
Proceeds from the sale of marketable securities 124,753   
Investment in capitalized software (70,000)   
Cash paid for Lilien   (3,000,000)
Cash acquired in Lilien acquisition    1,112,485
Net Cash Flows Provided by (Used in) Investing Activities 44,401 (1,887,515)
Cash Flows from Financing Activities    
Advances from revolving credit line    4,175,000
Repayment of line of credit (423,117)   
Net proceeds from issuance of common stock 2,080,000   
Repayment of advances to related parties    (85,782)
Repayment of notes payable (135,847) (65,386)
Repayment of factor    (46,426)
Advance from Duroob Technology    94,419
Repayment of convertible notes    (105,000)
Net Cash Provided by Financing Activities 1,521,036 3,966,825
Net Increase in Cash and Cash Equivalents 1,230,559 1,184,114
Cash and Cash Equivalents - Beginning of period 2,103,955 8,301
Cash and Cash Equivalents - End of period 3,334,514 1,192,415
Supplemental Disclosure of cash flow information:    
Cash paid for Interest 85,271 40,146
Cash paid for Income tax 35,000   
Supplemental disclosures for non-cash operating, investing and financing activities:    
Assumption of assets other than cash    15,180,332
Assumption of liabilities    17,216,770
Issuance of Common Stock    6,000,000
Issuance of common stock for settlement of liability    $ 1,774,866