Quarterly report pursuant to Section 13 or 15(d)

CONDENSED STATEMENTS OF CASH FLOWS

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CONDENSED STATEMENTS OF CASH FLOWS (USD $)
 9 Months Ended
Sep. 30, 2014
Sep. 30, 2013
Cash flows from operating activities:    
Net loss $ (36,579,100) $ (3,242,809)
Adjustments to reconcile net loss to net cash used in operating activities:    
Depreciation and amortization 196,898 880
Stock based compensation 1,659,404 0
Amortization of debt discount 964,851 262,506
Warrant expense 0 724,000
Gain on conversion of notes payable and accrued interest (2,084,368) 0
Change in fair market value of derivative liabilities 26,265,177 111,500
Loss on retirement of fixed assets 22,818 0
Changes in operating assets and liabilities:    
Prepaid expenses and other current assets (152,477) (28,358)
Other assets (1,610) 0
Accounts payable 1,128,076 173,557
Accrued expenses 89,361 156,755
Other current liabilities 0 16,000
Net cash used in operating activities (8,490,970) (1,825,969)
Cash flows from investing activities:    
Purchase of property and equipment (815,500) (16,501)
Costs of trademark 0 (4,725)
Net cash used in investing activities (815,500) (21,226)
Cash flows from financing activities:    
Proceeds from the sale of common stock 0 165,217
Proceeds from sale of restricted common stock 0 35,464
Proceeds from IPO, net of underwriter's discount and offering expenses 24,872,170 0
Proceeds from the sale of senior secured convertible notes 0 5,500,009
Proceeds from the sale of stock to strategic investor, net 900,000 0
Sale of Warrant to IPO underwriter 1,000 0
Net cash provided by financing activities 25,773,170 5,700,690
Net increase in cash and cash equivalents 16,466,700 3,853,495
Cash and cash equivalents - beginning 1,953,780 994
Cash and cash equivalents - ending 18,420,480 3,854,489
Supplemental disclosure of non-cash financing activities:    
Decrease in deferred offering costs charged to the IPO 88,319 0
Common stock issued upon conversion of notes payable and accrued interest payable 26,790,177 0
Increase in additional paid in capital upon extinguishment of derivative liability for warrants 5,752,000 0
Common stock issued to landlord for tenant improvements of $100,000 and prepaid rent of $400,000 500,000 0
Increase in accrued expenses for the purchase of property and equipment $ 413,498 $ 0