Registration of securities issued in business combination transactions

Condensed Consolidated Statements of Cash Flows

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Condensed Consolidated Statements of Cash Flows - USD ($)
6 Months Ended 12 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Dec. 31, 2014
Dec. 31, 2013
Cash flows from operating activities:        
Net loss $ (1,700,420) $ (13,305,999) $ (16,994,625) $ (4,361,165)
Adjustments to reconcile net loss to net cash used in operating activities:        
Depreciation and amortization 15,000 18,761 38,972 36,231
Stock based compensation $ 514,399 9,997,201 11,667,361 9,877
Amortization of debt discount   4,592 4,592 60,581
Gain on sale of assets $ (95,000) (2,426) $ (2,426) (110)
Loss on abandonment of patents       9,340
Changes in assets and liabilities:        
Deposits and other assets 5,695 2,578 $ 1,391 (54,516)
Prepaid expenses 2,108 (52,421) (5,482) $ (3,197)
Inventory     28,099  
Accrued payroll and payroll related expenses 697,412 (183,496) (218,619) $ 77,683
Accounts payable (8,651) (106,538) (40,328) (29,867)
Accrued interest $ 222 (101,553) (101,553) 450,555
Fees payable to directors   (44,792) (50,000) (64,455)
Patent license payable     (10,000) (15,833)
Other current liabilities   (12,613) $ (12,613) 8,189
Lease settlement payable       (251,184)
Net cash used in operating activities $ (569,235) (3,786,706) $ (5,695,231) (4,127,871)
Cash flows from investing activities:        
Purchases of property and equipment     (1,633) (30,259)
Proceeds from sale of property and equipment 10,000 2,426 2,430 $ 110
Expenditures on patents $ (15,785) $ (9,135)    
Cash received on deposit of sale of equipment     85,000  
(Increase) in intangible assets     (26,670) $ (29,696)
Net cash used in investing activities $ (5,785) $ (6,709) 59,127 $ (59,845)
Cash flows from financing activities:        
Proceeds from the issuance of common stock 1,095,000 3,923,100 3,923,798  
Proceeds from the issuances of notes payable 30,000 2,076,000 2,076,000 $ 5,550,403
Repayment of principal on notes payable   (550,408) (550,408) (1,148,076)
Net cash provided by financing activities 1,125,000 5,448,692 5,449,390 4,402,327
NET (DECREASE) INCREASE IN CASH 549,980 1,655,277 (186,714) 214,611
Cash at the beginning of the year 35,696 222,410 222,410 7,799
Cash at the end of the year 585,676 1,877,687 $ 35,696 222,410
NON-CASH INVESTING AND FINANCING ACTIVITIES:        
Conversion of accrued interest into notes payable       $ 467,438
Conversion of notes payable and accrued interest into common stock 30,222 $ 11,125,167 $ 11,125,167  
Conversion of accrued payroll and payroll related expenses into stock options $ 763,110      
SUPPLEMENTAL DISCLOSURES:        
Cash paid for interest   $ 188,382 $ 188,382 $ 234,400
Cash paid for income taxes