Quarterly report pursuant to sections 13 or 15(d)

Balance Sheets

v2.4.0.6
Balance Sheets (USD $)
Sep. 30, 2012
Dec. 31, 2011
Current Assets    
Cash and cash equivalents $ 346,954 $ 200,128
Accounts receivable - trade, net of allowance for doubtful accounts of $44,223 and $20,865, respectively 1,082,665 843,328
Miscellaneous receivables 103,646 112,513
Prepaid expenses 27,666 57,650
Inventory 246,348 217,162
Related party note receivable, current portion 18,294 17,491
Total Current Assets 1,825,573 1,448,272
Property and Equipment, net 45,560 42,637
Other Assets    
Intellectual property and intangible assets, net 18,932,242 20,111,763
Related party note receivable, net of current portion 379,676 374,449
Goodwill 1,091,000 1,091,000
Other 13,106 47,290
Total Other Assets 20,416,024 21,624,502
TOTAL ASSETS 22,287,157 23,115,411
Current Liabilities    
Accounts payable 328,821 274,576
Accrued expenses and taxes 481,315 358,860
Deferred revenue 437,063 336,048
Notes payable - related party    469
Notes payable - current portion 2,192,095 1,835,240
Total Current Liabilities 3,439,294 2,805,193
Long-Term Debt    
Notes payable, net of debt discount and net of current portion 18,463,539 20,035,366
TOTAL LIABILITIES 21,902,833 22,840,559
STOCKHOLDERS EQUITY    
Common stock, 65,000,000 shares, $.001 par value common stock authorized; 38,310,591 (37,508,091 - 2011) shares issued and outstanding 38,311 37,507
Additional paid in capital 2,004,208 1,915,311
Stock warrants 513,181 513,181
Stock subscription receivable (3,916) (3,916)
Accumulated deficit (2,167,460) (2,187,231)
TOTAL STOCKHOLDERS EQUITY 384,324 274,852
TOTAL LIABILITIES AND STOCKHOLDERS EQUITY $ 22,287,157 $ 23,115,411