12. DERIVATIVE WARRANT LIABILITY (Tables)

3 Months Ended

Mar. 31, 2014

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of assumptions

	March 31, 2014
Risk-free interest rate		0.04	%
Expected dividend yield		0.00	%
Expected term (in years)		3
Expected volatility		40	%

Schedule warrant activity

	Three Months Ended  March 31, 2014
Balance at December 31, 2013		—
Fair value of warrants issued	$	1,368,908
Increase in derivative liability resulting from anti-dilution provision in agreement with Full Circle		153,994
Decrease in the fair value of warrant liability		(375,262	)
Balance at March 31, 2014	$	1,147,640

Change in Gain (loss) on derivative liability

Change in Gain (Loss) on Derivative Liability	March 31, 2014
Beginning balance at Jauary 1, 2014		-
Original loss on recognition of derivative liability	$	(868,908	)
Change in estimated fair market value		221,268
Loss on derivative liability at end of period	$	(647,640	)