DR. TATTOFF, INC.

CIK:0001294157|SEC Filings

ORGANIZATION AND NATURE OF OPERATIONS (Tables)

3 Months Ended

Mar. 31, 2015

Organization, Consolidation and Presentation Of Financial Statements [Abstract]

Schedule of carrying amount and classification of assets and liabilities

	March 31, 2015 (Unaudited)		December 31, 2014
Current Liabilities
Related party payables		310,511		290,567
Capital lease obligations, current portion		11,599		11,323
Long-Term Liabilities
Capital lease obligations, net of current portion		29,302		32,307

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $)	3 Months Ended
	Mar. 31, 2015	Mar. 31, 2014
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss	$ (840,251)us-gaap_NetIncomeLoss	$ (1,449,297)us-gaap_NetIncomeLoss
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	140,775	133,164
Amortization of debt discount to interest	42,581	237,057
Non-cash interest and costs of financing	148,871tatf_NonCashInterestAndCostsOfFinancing
Stock compensation expense	12,380us-gaap_ShareBasedCompensation	29,364us-gaap_ShareBasedCompensation
Services paid for in stock and warrants	1,700
Change in fair value of warrant liability	(2,644)us-gaap_FairValueAdjustmentOfWarrants	(6,500)us-gaap_FairValueAdjustmentOfWarrants
Changes in operating assets and liabilities:
Management fee due from related party		(4,998)
Prepaid expenses and other current assets	77,599	267,050
Other assets	4,039	64,216
Accounts payable	(38,707)	78,915
Accrued expenses and other liabilities	55,854	(77,297)
Deferred revenue	161,417	216,623
Related party payables	19,944	(2,789)
Accrued compensation	14,734	(20,359)
Accrued interest	80,299	158,525
Deferred rent	(12,271)tatf_IncreaseDecreaseInDeferredRent	(24,021)tatf_IncreaseDecreaseInDeferredRent
Net cash used in operating activities	(133,680)	(400,347)
CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of property and equipment		(229,083)
Net cash used in investing activities		(229,083)
CASH FLOWS FROM FINANCING ACTIVITIES
Principal payments on capital lease obligations	(2,730)	(2,479)
Principal payments on notes payable	(73,376)us-gaap_RepaymentsOfNotesPayable	(110,475)us-gaap_RepaymentsOfNotesPayable
Repurchase of common stock	(30,000)
Proceeds received from issuance of convertible notes		25,000us-gaap_ProceedsFromConvertibleDebt
Proceeds received from issuance of short-term notes	460,000us-gaap_ProceedsFromShortTermDebt	600,000us-gaap_ProceedsFromShortTermDebt
Repayment of short-term notes	(150,000)us-gaap_RepaymentsOfShortTermDebt
Proceeds received from revolving line of credit	977,434us-gaap_ProceedsFromLinesOfCredit	1,130,905us-gaap_ProceedsFromLinesOfCredit
Repayments on revolving line of credit	(1,069,302)us-gaap_RepaymentsOfLinesOfCredit	(1,198,337)us-gaap_RepaymentsOfLinesOfCredit
Net cash provided by financing activities	112,026	444,614
Net decrease in cash and cash equivalents	(21,654)	(184,816)
Cash and cash equivalents - beginning of period	32,767	197,523
Cash and cash equivalents - end of period	11,113	12,707
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION
Interest paid	83,518us-gaap_InterestPaid	90,826us-gaap_InterestPaid
Taxes		800us-gaap_IncomeTaxesPaid
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES
Financing of insurance premiums	107,621tatf_FinancingOfInsurancePremiums	146,015tatf_FinancingOfInsurancePremiums
Common stock and warrants issued and recorded as valuation discount	$ 432,455tatf_CommonStockAndWarrantsIssued

CONDENSED CONSOLIDATED BALANCE SHEETS (USD $)	Mar. 31, 2015	Dec. 31, 2014
CURRENT ASSETS
Cash and cash equivalents	$ 11,113	$ 32,767
Prepaid expenses and other current assets	102,758	72,736
Total current assets	113,871us-gaap_AssetsCurrent	105,503us-gaap_AssetsCurrent
Property and equipment, net	1,845,446us-gaap_PropertyPlantAndEquipmentNet	1,984,201us-gaap_PropertyPlantAndEquipmentNet
Other assets	155,432us-gaap_OtherAssetsNoncurrent	161,487us-gaap_OtherAssetsNoncurrent
Total assets	2,114,749us-gaap_Assets	2,251,191us-gaap_Assets
CURRENT LIABILITIES
Revolving line of credit	977,435us-gaap_LinesOfCreditCurrent	1,069,302us-gaap_LinesOfCreditCurrent
Accounts payable	988,624us-gaap_AccountsPayableCurrent	1,027,331us-gaap_AccountsPayableCurrent
Related party payables	310,511us-gaap_DueToRelatedPartiesCurrent	290,567us-gaap_DueToRelatedPartiesCurrent
Accrued expenses and other liabilities	626,746	601,068
Accrued compensation	562,610	547,876
Accrued interest	2,582,901us-gaap_InterestPayableCurrent	51,269us-gaap_InterestPayableCurrent
Warrant liabilities	11,684tatf_WarrantLiability	24,260tatf_WarrantLiability
Deferred revenue	1,690,830us-gaap_DeferredRevenueCurrent	1,529,413us-gaap_DeferredRevenueCurrent
Notes payable, current portion (net of unamortized discount)	4,083,533us-gaap_NotesPayableCurrent	1,440,581us-gaap_NotesPayableCurrent
Capital lease obligations, current portion (related party)	11,599us-gaap_CapitalLeaseObligationsCurrent	11,323us-gaap_CapitalLeaseObligationsCurrent
Total current liabilities	11,846,473us-gaap_LiabilitiesCurrent	6,592,990us-gaap_LiabilitiesCurrent
LONG-TERM LIABILITIES
Notes payable, net of current portion and unamortized discount	218,238us-gaap_LongTermNotesPayable	2,896,706us-gaap_LongTermNotesPayable
Capital lease obligations, net of current portion (related party)	29,302	32,307
Accrued interest		2,302,462tatf_InterestPayableNoncurrent
Deferred rent	275,581us-gaap_DeferredRentCreditNoncurrent	287,852us-gaap_DeferredRentCreditNoncurrent
Total liabilities	12,369,594us-gaap_Liabilities	12,112,317us-gaap_Liabilities
COMMITMENTS AND CONTINGENCIES
SHAREHOLDERS' DEFICIT
Preferred stock, 2,857,143 shares authorized, none issued or outstanding at March 31, 2015 and December 31, 2014
Common stock, $.0001 par value, 75,000,000 authorized, 21,054,950 and 19,268,730 issued and outstanding at March 31, 2015 and December 31, 2014, respectively	2,106us-gaap_CommonStockValue	1,927us-gaap_CommonStockValue
Additional paid-in capital	8,881,136	8,434,783
Accumulated deficit	(19,138,087)	(18,297,836)
Total shareholders' deficit	(10,254,845)us-gaap_StockholdersEquity	(9,861,126)us-gaap_StockholdersEquity
Total liabilities and shareholders' deficit	$ 2,114,749	$ 2,251,191