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Going Concern
12 Months Ended
Dec. 31, 2012
Going Concern Disclosure [Abstract]  
Going Concern

Note 2: Going Concern

 

As of December 31, 2012, the Company had negative working capital of approximately $(3,341,000) and cash of approximately $90,000. On December 16, 2011 the Company entered into an Engagement Agreement with Laidlaw & Company (UK) Ltd. , which Engagement Agreement was amended in July 2012 Under the Engagement Agreement, Laidlaw will assist the Company with raising up to $20.0 million in capital for two years from the date of the Engagement Agreement, as amended. However, if the Company does not receive these funds in a timely manner, the Company could be in jeopardy as a going concern. The Company may not be able to find alternative capital or raise capital or debt on terms that are acceptable. Management believes that if the events defined in the Engagement Agreement occur as expected, such proceeds will be sufficient to allow the Company to sustain operations until it attains profitability and positive cash flows from operations. However, the Company may incur unknown expenses, or the Company may not be able to meet the revenue forecasts which will require the Company to seek additional capital. In such event, the Company may not be able to find such capital or raise capital or debt on terms that are acceptable.

 

The accompanying consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and satisfaction of liabilities in the normal course of business. The financial consolidated statements do not include any adjustments relating to the recoverability and classification of assets or the amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.