AYTU
BIOSCIENCE, INC.
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(Exact
Name of Registrant as Specified in Charter)
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Delaware
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001-38247
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47-0883144
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(State
or Other Jurisdictionof Incorporation)
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(CommissionFile
Number)
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(IRS
EmployerIdentification No.)
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373
Inverness Parkway, Suite 206, Englewood, Colorado
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80112
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(Address
of Principal Executive Offices)
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(Zip
Code)
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Exhibit
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Description
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Press
Release dated February 7, 2019
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AYTU BIOSCIENCE, INC.
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Date:
February 7, 2019
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By:
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/s/ Joshua
Disbrow
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Name:
Joshua Disbrow
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Title:
Chief Executive Officer
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December
31,
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June
30,
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2018
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2018
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|
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Assets
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Current
assets
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Cash and cash
equivalents
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$17,804,887
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$7,012,527
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Restricted
cash
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100,225
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100,000
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Accounts
receivable, net
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1,482,490
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578,782
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Inventory,
net
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1,644,861
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1,338,973
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Prepaid
expenses and other
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944,766
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440,009
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Total current
assets
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21,977,229
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9,470,291
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Fixed assets,
net
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186,944
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218,684
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Licensed
assets, net
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19,999,550
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11,120,086
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Patents,
net
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233,278
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245,944
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Deposits
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2,200
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5,088
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Total
long-term assets
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20,421,972
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11,589,802
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Total
assets
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$42,399,201
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$21,060,093
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Liabilities and Stockholders' Equity
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Current
liabilities
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Accounts
payable and other
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$2,371,785
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$2,119,672
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Accrued
liabilities
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932,690
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185,882
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Accrued
compensation
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743,834
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540,674
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Current
deferred revenue
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13,990
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-
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Current
deferred rent
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-
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1,450
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Current
contingent consideration
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593,173
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547,100
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Total current
liabilities
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4,655,472
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3,394,778
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Long-term
contingent consideration
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12,783,710
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4,146,829
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Long-term
debt
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5,036,164
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-
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Warrant
derivative liability
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25,992
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93,981
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Total
liabilities
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22,501,338
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7,635,588
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Commitments
and contingencies
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Stockholders'
equity
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Preferred
Stock, par value $.0001; 50,000,000 shares authorized; shares
issued
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and
outstanding 4,532,664 and 0, respectively as of
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December
31, 2018 and June 30, 2018
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453
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-
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Common Stock,
par value $.0001; 100,000,000 shares authorized; shares
issued
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and
outstanding 10,504,769 and 1,794,762, respectively as
of
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December
31, 2018 and June 30, 2018
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1,050
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179
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Additional
paid-in capital
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107,258,097
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92,681,918
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Accumulated
deficit
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(87,361,737)
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(79,257,592)
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Total
stockholders' equity
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19,897,863
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13,424,505
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Total
liabilities and stockholders' equity
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$42,399,201
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$21,060,093
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Three
Months Ended December 31,
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Six Months
Ended December 31,
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2018
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2017
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2018
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2017
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Product
revenue, net
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$1,795,011
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$1,051,154
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$3,226,820
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$2,127,522
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Operating
expenses
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Cost
of sales
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525,138
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385,411
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936,097
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672,612
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Research and
development
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149,029
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(277,486)
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304,907
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(136,532)
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Selling,
general and administrative
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5,046,174
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4,553,366
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8,622,754
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9,171,769
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Selling,
general and administrative - related party
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91,337
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-
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345,046
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-
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Amortization
and impairment of intangible assets
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534,063
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383,811
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986,020
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769,652
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Total
operating expenses
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6,345,741
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5,045,102
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11,194,824
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10,477,501
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Loss from
operations
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(4,550,730)
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(3,993,948)
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(7,968,004)
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(8,349,979)
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Other
(expense) income
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Other
expense, net
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(127,569)
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(196,781)
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(204,130)
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(385,526)
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Derivative
income
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20,637
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518,051
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67,989
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817,785
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Total other
(expense) income
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(106,932)
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321,270
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(136,141)
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432,259
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Net
loss
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$(4,657,662)
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$(3,672,678)
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$(8,104,145)
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$(7,917,720)
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Weighted
average number of
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common shares
outstanding
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6,477,004
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205,663
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4,183,591
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124,056
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Basic and
diluted net loss
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per common
share
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$(0.72)
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$(17.86)
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$(1.94)
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$(63.82)
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Six Months
Ended December 31,
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2018
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2017
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Cash flows from
operating activities
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Net
loss
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$(8,104,145)
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$(7,917,720)
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Adjustments to
reconcile net loss to cash used in operating
activities
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Stock-based
compensation expense
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106,671
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275,688
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Issuance of
restricted stock
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239,505
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103,635
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Depreciation,
amortization and accretion
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1,230,671
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1,315,063
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Issuance of common
stock to employee
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11,690
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-
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Derivative
(income)
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(67,989)
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(817,785)
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Changes in
operating assets and liabilities:
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(Increase) in
accounts receivable
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(903,708)
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(849,397)
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(Increase) in
inventory
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(305,888)
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(67,585)
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(Increase) in
prepaid expenses and other
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(504,757)
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(454,595)
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Increase in
accounts payable and other
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252,113
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1,124,558
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Increase (decrease)
in accrued liabilities
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746,808
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(524,905)
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Increase in accrued
compensation
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203,160
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497,586
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Increase in
interest payable
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36,164
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-
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Increase in
deferred revenue
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13,990
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-
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(Decrease) in
deferred rent
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(1,450)
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(3,337)
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Net cash used in
operating activities
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(7,047,165)
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(7,318,794)
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Cash flows used in
investing activities
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Deposit
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2,888
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-
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Purchases of
property and equipment
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(12,954)
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(12,195)
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Contingent
consideration payment
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(50,221)
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-
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Purchase of
assets
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(800,000)
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-
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Net cash used in
investing activities
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(860,287)
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(12,195)
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Cash flows from
financing activities
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Issuance of
preferred, common stock and warrants
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15,180,000
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11,839,995
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Issuance costs
related to preferred, common stock and warrants
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(1,479,963)
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(1,402,831)
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Issuance of
debt
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5,000,000
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-
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Net cash provided
by financing activities
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18,700,037
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10,437,164
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Net change in cash,
cash equivalents and restricted cash
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10,792,585
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3,106,175
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Cash, cash
equivalents and restricted cash at beginning of period
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7,112,527
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877,542
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Cash, cash
equivalents and restricted cash at end of period
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$17,905,112
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$3,983,717
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