|
Consolidated Statements of Cash Flows (USD $)
|
12 Months Ended |
|
Dec. 31, 2014
|
Dec. 31, 2013
|
| Cash flows from operating activities: |
|
|
| Net loss |
$ (1,657,877) |
$ (4,006,013) |
| Adjustments to reconcile net loss to net cash used in operating activities: |
|
|
| Depreciation and amortization expense |
181,675 |
174,640 |
| Lease obligation interest expense |
3,473 |
|
| Stock-based compensation expense |
1,040,585 |
1,263,633 |
| Amortization of debt issuance cost |
3,958 |
|
| Gain on change in fair value of warrants |
(117,125) |
(1,475,775) |
| Changes in operating assets and liabilities: |
|
|
| Decrease (increase) in restricted cash |
490,315 |
(385,315) |
| Decrease (increase) in credit card holdback receivable |
(416,495) |
55,029 |
| Decrease (increase) in accounts receivable |
164,242 |
(65,351) |
| Increase in security deposits |
(250,104) |
|
| Decrease in prepaid expenses and other current assets |
22,113 |
89,961 |
| Increase in accounts payable, accrued expenses and other current liabilities |
567,579 |
486,532 |
| Decrease in deferred rent |
(38,644) |
(29,174) |
| Increase (decrease) in deferred subscription revenue |
125,304 |
(697,458) |
| Increase (decrease) in deferred advertising revenue |
(286,573) |
300,000 |
| Net cash used in operating activities |
(167,574) |
(4,289,291) |
| Cash flows from investing activities: |
|
|
| Purchase of fixed assets |
(3,731) |
(48,553) |
| Purchase of non-marketable equity securities |
(100,000) |
(100,000) |
| Repayment of notes receivable issued to employees and accrued interest |
92,046 |
(4,850) |
| Net cash used in investing activities |
(11,685) |
(153,403) |
| Cash flows from financing activities: |
|
|
| Payments of capital lease obligations |
(9,708) |
|
| Proceeds from exercise of stock options |
|
12,450 |
| Proceeds from issuance of promissory notes |
400,000 |
|
| Net cash provided by financing activities |
390,292 |
12,450 |
| Net increase (decrease) in cash and cash equivalents |
211,033 |
(4,430,244) |
| Balance of cash and cash equivalents at beginning of period |
927,352 |
5,357,596 |
| Balance of cash and cash equivalents at end of period |
1,138,385 |
927,352 |
| Supplemental disclosure of cash flow information |
|
|
| AYI.com domain name purchase in exchange for 100,000 shares of common stock |
|
100,000 |
| Warrants issued for debt issuance costs |
4,750 |
|
| Equipment acquired under capital lease obligations |
$ 218,605 |
|