Quarterly report pursuant to Section 13 or 15(d)

Condensed Consolidated Statements of Cash Flows (Unaudited)

v3.20.2
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
9 Months Ended
Sep. 30, 2020
Sep. 30, 2019
Cash flows from operating activities:    
Net loss $ (6,293,169) $ (4,696,355)
Adjustments to reconcile net loss to net cash used in operating activities:    
Depreciation expense 35,103 37,159
Amortization of patents 39,759 39,760
Stock compensation 76,611 146,847
Employees paid in stock 768,463 315,425
Expense paid in stock 644,865 292,915
Non-cash operating lease expense 30,175
Earnings on China joint venture (49,099)
Change in fair value of derivative liability 1,846,761
Changes in operating assets and liabilities:    
Decrease in accounts receivable 747,682 739,195
Decrease in accounts receivable, related party 100,000
Decrease in other assets 11,755 (9,027)
(Increase) decrease in inventories (609,251) 303,989
(Increase) decrease in advances on contracts (12,422) 20,289
Decrease (Increase) in prepaid expenses and other current assets (7,996) (90,362)
(Decrease) in accounts payable (713,331) (465,670)
(Decrease) in accounts payable, related party (965,662) (109,989)
Decrease in deferred cost, related party 50,000
Increase (decrease) in accrued expenses 431,917 (50,428)
(Decrease) increase in accrued expenses, related party (530,659) 402,905
(Decrease) in deferred revenue, related party (100,000)
Net cash used in operating activities (6,346,160) (1,275,686)
Cash flows from investing activities:    
Purchase of property and equipment (21,438) (9,916)
Net cash used in investing activities (21,438) (9,916)
Cash flows from financing activities:    
Proceeds from exercise of warrants 985,763 28,875
Payments finance lease obligations (4,998)
Net proceeds from note payable 276,180
Net proceeds from Public Placement Offering 18,043,284 1,974,547
Net proceeds from Private Placement Offering 250,000
Net cash provided by financing activities 19,300,229 2,253,422
Net increase in cash and cash equivalents 12,932,631 967,820
Cash and cash equivalents at beginning of period 1,516,272 743,429
Cash and cash equivalents at end of period 14,448,903 1,711,249
Supplemental non-cash disclosure of cash flow information:    
Shares issued to board of directors 67,000
Shares issued to employees for compensation 37,500
Shares issued to consultants in lieu of cash payments 416,500
Shares issued to employee for bonuses 211,500
Credit from United Systems for defective handpieces (151,562)
Initial recognition of operating lease-right of use assets (706,071) (166,292)
Initial recognition of operating lease right to used liabilities $ 706,071 $ 166,292