|
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)
|
12 Months Ended |
|
Dec. 31, 2014
|
Dec. 31, 2013
|
| Cash flows from operating activities: |
|
|
| Net loss |
$ (3,658,076) |
$ (1,436,387) |
| Adjustments to reconcile net loss to net cash used in operating activities: |
|
|
| Depreciation and amortization |
1,084,450 |
281,648 |
| Deferred tax benefit |
(3,062,108) |
(380,832) |
| Gain on bargain purchase of business |
(429,956) |
|
| Stock-based compensation expense |
565,188 |
|
| Fair value of warrants issued to advisor in connection with acquisition |
138,768 |
|
| Amortization of prepaid license fees |
112,500 |
|
| Amortization of premium on short-term investments, net |
86,655 |
|
| Amortization of customer deposits |
(112,500) |
|
| Change in fair value of warrant liability |
8,568 |
(330,147) |
| Loss on sale of marketable securities, net |
|
7,640 |
| Gain on sale of property and equipment |
|
(4,158) |
| Interest added to notes payable |
|
16,881 |
| Accretion of interest on notes payable |
2,604 |
138,255 |
| Changes in operating assets and liabilities: |
|
|
| Accounts receivable |
371,277 |
756,122 |
| Prepaid expenses and other current assets |
38,969 |
(28,445) |
| Incremental direct costs |
30,258 |
|
| Prepaid license fee |
(450,000) |
|
| Accounts payable |
(2,547,059) |
(46,294) |
| Accrued expenses |
(1,629,998) |
85,812 |
| Deferred income |
174,518 |
524,420 |
| Deferred rent |
25,946 |
|
| Customer deposits |
450,000 |
|
| Other assets |
10,000 |
|
| Net cash used in operating activities |
(8,789,996) |
(415,485) |
| Cash flows from investing activities: |
|
|
| Proceeds from maturities of short-term investments |
10,240,000 |
242,206 |
| Purchases of short-term investments |
(15,525,533) |
|
| Cash paid for acquisition, net of cash acquired |
(3,110,646) |
(135,945) |
| Costs incurred to develop technology |
(180,314) |
(354,808) |
| Purchases of property and equipment |
(37,850) |
(38,424) |
| Cash paid to purchase technology |
|
(200,000) |
| Proceeds from sale of property and equipment |
|
6,203 |
| Security deposits |
|
11,067 |
| Net cash used in investing activities |
(8,614,343) |
(469,701) |
| Cash flows from financing activities: |
|
|
| Repurchase of common stock |
(25,862) |
(11,255) |
| Payments of capital leases |
(7,165) |
|
| Merchant reserve |
667,709 |
|
| Merchant cash advances |
(447,371) |
|
| Distributions to members |
|
(200,000) |
| Proceeds from IPO, net of offering costs |
|
19,474,565 |
| Deferred IPO costs |
|
(509,923) |
| Net cash provided by financing activities |
187,311 |
18,753,387 |
| Net (decrease) increase in cash and cash equivalents |
(17,217,028) |
17,868,201 |
| Cash and cash equivalents, beginning of year |
18,736,495 |
868,294 |
| Cash and cash equivalents, end of period |
1,519,467 |
18,736,495 |
| Supplemental disclosures of other cash flow information: |
|
|
| Cash paid for income taxes |
|
|
| Cash paid for interest |
|
|
| Non-cash disclosures: |
|
|
| Common stock issued in connection with acquisition of NAPW |
35,272,033 |
|
| Fair value of options issued in connection with acquisition of NAPW |
556,496 |
|
| Fair value of warrants issued in connection with acquisition of NAPW |
294,342 |
|
| Promissory note issued in connection with acquisition of Global Outreach |
1,389,386 |
|
| Conversion of notes payable to equity |
|
1,643,036 |
| Reduction of additional paid-in capital for deferred IPO costs |
|
1,342,163 |
| Fair value of warrant liabilities |
|
$ 415,368 |