Quarterly report pursuant to Section 13 or 15(d)

CONDENSED CONSOLIDATED BALANCE SHEETS

v2.4.0.8
CONDENSED CONSOLIDATED BALANCE SHEETS (USD $)
Sep. 30, 2014
Dec. 31, 2013
Current assets:    
Cash $ 8,019 $ 108,566
Accounts receivable, net 374,650 299,220
Accounts receivable, other 15,000 15,000
Prepaid expenses 86,698 52,610
Deposits, short term 25,000 25,000
Total current assets 509,367 500,396
Property and equipment, net 6,846 8,845
Other assets:    
Prepaid expenses, long term 92,860 28,707
Accounts receivable, long term 7,558 44,359
Licensing agreement, net 3,738,958 3,838,223
Deposits, long term 37,738 5,334
Total other assets 3,877,114 3,916,623
Total assets 4,393,327 4,425,864
Current liabilities:    
Accounts payable and accrued expenses 627,310 957,786
Deferred revenue, short term 729,860 192,870
Settlement payable 165,000   
Advances from lenders    95,599
Notes payable, short term portion 67,364   
Notes payable, net of debt discount, related party 51,263 28,480
Notes payable, related party 97,635 87,562
Total current liabilities 1,738,432 1,362,297
Deferred revenue, long term 1,363,990 741,723
Convertible notes payable, net of debt discount    601,328
Notes payable, long term portion 467,390   
Notes payable, net of debt discount, related party 106,389 190,888
Settlement payable, long term 55,000   
Warrant liability 138,600 287,731
Derivative liability    1,019,103
Total long term debt 2,131,369 2,840,773
Total liabilities 3,869,801 4,203,070
Stockholders' equity:    
Preferred stock, no par value; 80,000 designated; 80,000 and -0- shares issued and outstanding as of September 30, 2014 and December 31, 2013, respectively 16,000   
Common stock, $0.001 par value; 200,000,000 shares authorized, 145,439,501 and 127,343,501 shares issued and outstanding as of September 30, 2014 and December 31, 2013, respectively 145,440 127,344
Common stock subscribed 100,000 100,000
Additional Paid in Capital 6,819,681 5,432,563
Accumulated deficit (6,557,595) (5,437,113)
Total stockholders' equity 523,526 222,794
Total liabilities and stockholders' equity $ 4,393,327 $ 4,425,864