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Note 2 - Liquidity
6 Months Ended
Jun. 30, 2013
Policy Text Block [Abstract]  
Liquidity Disclosure [Policy Text Block]

2.      Liquidity


The Company’s principal sources of liquidity are cash and cash equivalents of approximately $1,313,000 at June 30, 2013, the $1,000,000 available under the $3,000,000 credit facility detailed below and cash from operations. The Company sustained net losses of $660,000 and $1,323,000 for the six months ended June 30, 2013 and 2012, respectively, and had working capital of $3,587,000 at June 30, 2013.


The Company’s business operations have been primarily funded over the past four years through private placements of its capital stock. The Company raised an aggregate of $2,000,000 through private placements of equity with accredited investors in 2012, $7,213,000 in 2010 and $5,304,000 in 2009 principally from private equity investors. The use of proceeds is intended for general working capital needs as well as the acquisition of econozale nitrate cream 1% which was purchased on February 1, 2013. The Company purchased a product and certain product rights which are expected to provide contribution to its gross profit in 2013 (See Note 10). In August 2012, the Company also entered into a $3,000,000 line of credit (See Note 8). In February 2013, the Company drew down an additional $1,000,000 from the available credit facility. As of June 30, 2013, the outstanding balance on the line of credit was $2,000,000. On August 2, 2013, the Company drew down an additional $1.0 million from the available credit facility. The Company may require additional funding and this funding will depend, in part, on the timing and structure of potential business arrangements. If necessary, the Company may continue to seek to raise additional capital through the sale of its equity. There may also be additional acquisition and growth opportunities that may require external financing. There can be no assurance that such financing will be available on terms acceptable to the Company, or at all. The Company also has the ability to defer certain product development and other programs, if necessary. The Company believes that its existing capital resources will be sufficient to support its current business plan and operations for at least the next twelve months.