Cash Flow

v3.7.0.1
Consolidated Statements of Cash Flows - USD ($)
6 Months Ended
Mar. 31, 2017
Mar. 31, 2016
Cash flows from operating activities:    
Net loss $ (9,208,823) $ (11,091,335)
Adjustments to reconcile net loss to net cash used in operating activities:    
Amortization of debt discounts 3,672,368 548,102
Loss on extinguishment of debt 2,499,212 3,043,416
Stock-based compensation expense 485,119 1,951,551
Stock and warrants issued for services 154,461 301,852
Depreciation and amortization 22,418 26,682
Loss (gain) on derivatives liability (166,019) 2,806,869
Gain on disposal of property and equipment   (245)
Loss on induced conversions of debt   379,132
Gain on liability settlements   (286,241)
Changes in operating assets and liabilities:    
Change in accounts receivable (379,402) (268,210)
Change in inventory (498,776) 353,090
Change in prepaid expenses and other 143,310 (12,323)
Change in accounts payable 2,126,132 (589,607)
Change in accrued liabilities 671,865 592,829
Net cash used in operating activities (478,135) (2,244,438)
Cash flows from investing activities:    
Proceeds from sale of property and equipment   600
Purchases of property and equipment (2,818) (5,004)
Net cash used in investing activities (2,818) (4,404)
Cash flows from financing activities:    
Proceeds from issuance of notes payable, net 3,321,489 4,623,379
Proceeds from issuance of warrants in connection with notes payable   2,967
Principal payments on related-party notes payable (22,789)  
Principal payments on notes payable (2,492,978) (2,402,693)
Net cash provided by financing activities 805,722 2,223,653
Net increase (decrease) in cash 324,769 (25,189)
Cash, beginning of the period 167,737 172,436
Cash, end of the period 492,506 147,247
Supplemental Cash Flow Information:    
Cash paid for interest 271,541 97,517
Non-Cash Investing and Financing Activities:    
Issuance of warrants for the purchase of common stock for loan origination fees 2,103,341 101,058
Accrual of a liability to issue warrants to purchase shares of common stock for loan forbearance fees 148,677  
Accrual of a liability to issue shares of common stock for loan origination fees 125,000 100,000
Dividends on preferred stock 68,356 653,469
Accrual of a liability to issue shares of common stock for loan forbearance fees $ 60,000  
Deemed dividend on the redemption of preferred stock and accrued dividends for notes payable, common stock and exchange of warrants   6,484,236
Conversion of accounts payable and accrued liabilities to notes payable   2,555,189
Assignment of related-party notes payable to an unrelated third party   263,082
Accrual of a liability to issue warrants to purchase shares of common stock for loan origination fees   130,246
Cancellation and reissuance of shares of common stock   121,450
Accrual of a liability to issue shares of common stock for services   107,500
Conversion of related-party accounts payable and accrued liabilities to related-party notes payable   84,404
Issuance of shares of common stock for loan origination fees   31,250
Issuance of shares of common stock for dividends   $ 1,434

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