Quarterly report pursuant to Section 13 or 15(d)

Condensed Consolidated Statements of Cash Flows (Unaudited)

v3.20.2
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
9 Months Ended
Sep. 30, 2020
Sep. 30, 2019
OPERATING ACTIVITIES:    
Net loss $ (8,967,870) $ (1,204,207)
Adjustments to reconcile net loss to net cash (used in) provided by operating activities:    
Depreciation and amortization 6,816,235 2,457,183
Lease amortization 2,134,143 1,440,066
Deferred revenue 159,819 (11,557)
Provision for doubtful accounts 295,645 105,315
(Benefit) provision for deferred income taxes (93,035) 34,585
Foreign exchange (gain) loss (62,741) 408,057
Interest accretion 510,771 381,827
Gain on sale of assets (1,647) (26,213)
Stock-based compensation expense 4,951,001 2,324,799
Change in contingent consideration (500,000) (343,768)
Changes in operating assets and liabilities, net of businesses acquired:    
Accounts receivable (1,208,961) (126,542)
Contract asset (274,149) 51,607
Inventory 185,850 69,137
Other assets 106,470 (108,080)
Accounts payable and other liabilities (8,384,301) (698,408)
Net cash (used in) provided by operating activities (4,332,770) 4,753,801
INVESTING ACTIVITIES:    
Capital expenditures (1,288,500) (1,326,650)
Capitalized software (3,767,219)
Cash paid for acquisitions (net) (23,716,250) (1,600,000)
Net cash used in investing activities (28,771,969) (2,926,650)
FINANCING ACTIVITIES:    
Preferred stock dividends paid (7,798,299) (4,464,435)
Settlement of tax withholding obligations on stock issued to employees (1,847,318) (1,320,650)
Repayments of notes payable, net (430,080) (290,164)
Contingent consideration payments (182,664)
Proceeds from exercise of warrants 2,995,117
Proceeds from line of credit 19,500,000
Repayments of line of credit (19,500,000)
Settlement of contingent obligation (1,325,000)
Net proceeds from issuance of preferred stock 44,544,378 3,719,106
Net cash provided by (used in) financing activities 36,138,798 (2,538,807)
EFFECT OF EXCHANGE RATE CHANGES ON CASH (188,307) 226,370
NET INCREASE (DECREASE) IN CASH 2,845,752 (485,286)
CASH - beginning of the period 19,994,134 14,472,483
CASH - end of the period 22,839,886 13,987,197
SUPPLEMENTAL NONCASH INVESTING AND FINANCING ACTIVITIES:    
Preferred stock issued in connection with CareCloud and Meridian acquisitions 24,000,000
Vehicle financing obtained 28,473 24,909
Dividends declared, not paid 4,097,133 1,586,528
Purchase of prepaid insurance through assumption of note 667,507 301,359
Warrants issued 5,070,000
SUPPLEMENTAL INFORMATION - Cash paid during the period for:    
Income taxes 64,326 95,822
Interest $ 150,425 $ 46,089