Annual report pursuant to section 13 and 15(d)

Statements of Cash Flows

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Statements of Cash Flows (USD $)
 12 Months Ended
Dec. 31, 2011
Dec. 31, 2010
Cash Flows from Operating Activities    
Net (Loss) $ (1,221,446) $ (808,773)
Adjustments to reconcile net (loss) to net cash provided from operating activities:    
Depreciation and amortization 18,459 156,309
Loss on sales of assets 396   
Bad debt expense    2,625
Common stock for services 385,000 527,313
Amortization of prepaid consulting 86,687   
Beneficial conversion feature 57,705   
Discount for warrants issued with note payable 57,705   
Original issue discount 11,541   
Loss on sale of security    47,347
(Increase) decrease in:    
Accounts receivable (91,339) (60,709)
Prepaid expenses (8,815) 67
Increase (decrease) in:    
Accounts payable 71,041 1,658
Accrued expenses and other liabilities (1,509) (2,180)
Deferred revenue (3,192) 1,313
Net Cash (Used in) Operating Activities (637,768) (135,030)
Cash Flows from Investing Activities    
Investment in software development (36,022)   
Purchase of property and equipment (15,649) (1,705)
Proceeds from sale of assets      
Proceeds from sale of investment   10,000
Net Cash (Used In) Investing Activities (51,671) 8,295
Cash Flows from Financing Activities    
Proceeds from line of credit 18,704 19,000
Payments made on line of credit (19,700) (2,914)
Borrowings from note payable    7,559
Payments made on note payable    (7,631)
Net proceeds from insurance financing 970   
Proceeds from accounts receivable financing 115,127   
Proceeds from related party debt 25,000   
Proceeds from convertible notes payable 250,000   
Proceeds from issuance of stock 230,000 160,000
Net Cash Provided by Financing Activities 620,101 176,014
Net Change in Cash and Cash Equivalents (69,338) 49,279
Cash and Cash Equivalents at Beginning of period 70,326 21,047
Cash and Cash Equivalents at End of period $ 988 $ 70,326