Quarterly report pursuant to Section 13 or 15(d)

Condensed Statements of Cash Flows (Unaudited)

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Condensed Statements of Cash Flows (Unaudited) - USD ($)
 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Cash Flows from Operating Activities    
Net Loss $ 2,804,746 $ (521,408)
Adjustments to reconcile net loss to net cash used in operating activities:    
Depreciation and amortization 23,088 $ 28,631
Stock-based compensation 98,000  
Interest expense related to premiums, discounts 485,818  
Impairment loss 1,578,816  
Warrant expense 3,062  
Changes in operating assets and liabilities    
Accounts receivable (244,846) $ 287,462
Costs and estimated earnings on projects (134,167) (69,438)
Prepaid expenses and other current assets 27,775 (41,843)
Accounts payable 486,787 (339,088)
Accounts payable-related parties (16,829) (10,229)
Payroll taxes payable (341,686) 189,254
Accrued expenses 91,680 (27,659)
Billings in excess of costs and earnings on uncompleted contracts 567,197 66,038
Deferred revenue (355,393) 30,819
Net Cash Used in Operating Activities 535,444 $ (407,460)
Cash Flows from Investing Activities    
Cash acquired in acquisition 1,346  
Purchase of patents/trademarks (1,600) $ (1,500)
Purchase of fixed assets (20,196) (19,673)
Net Cash Used In Investing Activities $ (20,450) (21,173)
Cash Flows from Financing Activities    
Bank overdraft proceeds   $ (97,491)
Proceeds from borrowings under convertible notes and other debt $ 605,965  
Proceeds of borrowings under convertible notes and other debt $ (129,507) $ 548,370
Proceeds of insurance and equipment financing   45,544
Net Cash Provided by Financing Activities $ 476,458 496,423
Net increase (decrease) in cash (79,436) 67,790
Cash, beginning of period 85,435 250
Cash, end of period 5,999 68,040
Supplemental Disclosure of Cash Flow Information:    
Interest paid 25,210 $ 17,336
Taxes paid 800  
Supplemental Non-Cash Investing and Financing Activities:    
Common stock issued to convert convertible notes and accrued interest 1,415,546  
Common stock issued to settle accounts payable 16,800  
Common stock issued for accrued salary 56,482  
Reclassification of put premium liability on convertible notes to paid-in capital 37,120  
Increase in debt discount and paid-in capital for warrants issued with debt 30,722  
Liabilities assumed in share exchange 1,186,234  
Less: assets acquired in share exchange (1,347)  
Net liabilities assumed 1,184,887  
Fair value of shares exchanged 393,929  
Increase inintangible assets $ 1,578,816