Hangover Joe's Holding Corp

CIK:0001388132|SEC Filings

CONSOLIDATED STATEMENTS OF OPERATIONS (USD $)

3 Months Ended

9 Months Ended

Sep. 30, 2014

Sep. 30, 2013

Sep. 30, 2014

Sep. 30, 2013

Statement of Comprehensive Income [Abstract]

NET SALES

$ 48,516

$ 4,145

$ 50,183

$ 322,120

COST OF GOODS SOLD

24,967

3,275

25,223

252,214

GROSS PROFIT

23,549

870

24,960

69,906

OPERATING EXPENSES

Selling and marketing

132,817

146,121

399,201

573,034

General and administrative

362,914

202,385

969,437

898,028

Total operating expenses

495,731

348,506

1,368,638

1,471,062

LOSS FROM OPERATIONS

(472,182)

(347,636)

(1,343,678)

(1,401,156)

OTHER EXPENSE

Interest expense

(120,164)

(52,455)

(287,378)

(290,944)

NET LOSS

$ (592,346)

$ (400,091)

$ (1,631,056)

$ (1,692,100)

BASIC AND DILUTED NET LOSS PER COMMON SHARE

^[1]

$ (0.01)

Basic and diluted weighted average common shares outstanding

159,007,521

122,591,301

133,748,813

122,496,505

[1]	Less than ($0.01) per share

CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	9 Months Ended
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	Sep. 30, 2014	Sep. 30, 2013
CASH FLOW FROM OPERATING ACTIVITIES:
Net loss	$ (1,631,056)	$ (1,692,100)
Adjustments to reconcile net loss to net cash used in operating activities:
Amortization of prepaid consulting paid for in stock		278,618
Amortization of debt issuance costs	204,903	213,338
Warrant issued for services	106,461	11,574
Settlement costs to dissenting shareholder		5,500
Depreciation expense	1,955	533
Stock-based compensation	186,408	82,405
Changes in operating assets and liabilities:
Accounts receivable	(36,164)	6,633
Prepaid expenses		44,952
Inventory	(21,396)	(26,179)
Accounts payable	201,919	324,676
Accrued expenses and other current liabilities	319,826	144,647
Net cash used in operating activities	(667,144)	(576,422)
CASH FLOW FROM INVESTING ACTIVITIES:
Purchase of property, plant and equipment
Net cash provided by investing activities
CASH FLOWS FROM FINANCING ACTIVITIES:
Payment made to dissenting shareholder		(20,000)
Borrowings under revolving credit facility		481,263
Payments on revolving credit facility		(103,046)
Cash paid for debt issuance costs		(71,337)
Net payments under inventory financing payable		(97,610)
Redemption of Series B preferred stock		(57,500)
Deposit on stock subscription	30,000	320,500
Advances received from related party	29,000
Borrowings under convertible notes payable	653,250	125,000
Net cash provided by financing activities	712,250	577,270
Net decrease in cash	45,106	848
Cash, beginning of period	2,882	8,779
Cash, end of period	47,988	9,627
SUPPLEMENTAL CASH FLOW DISCLOSURES
Interest paid		$ 23,445

CONSOLIDATED BALANCE SHEETS (USD $)	Sep. 30, 2014	Dec. 31, 2013
CURRENT ASSETS
Cash	$ 47,988	$ 2,882
Accounts receivable, net	36,164
Inventory	21,396
Total current assets	105,548	2,882
PROPERTY AND EQUIPMENT,NET	56,189	2,149
TOTAL ASSETS	161,737	5,031
CURRENT LIABILITIES
Accounts payable	1,174,058	972,139
Accrued expenses	623,271	528,627
Revolving credit facility	283,000	416,436
Stock subscription deposit	30,000	342,500
Mandatorily redeemable Series B preferred stock		67,500
Note payable, current portion	13,140
Convertible notes payable - net of discounts of $248,108 in 2014 and $33,740 in 2013	531,292	130,149
Notes payable and other - related party	211,122	180,440
Current liabilities	2,865,883	2,637,791
LONG TERM LIABILITIES
Note payable, less current portion	42,029
TOTAL LIABILITIES	2,907,912	2,637,791
COMMITMENTS AND CONTINGENCIES
DEFICIT
Common stock; $0.001 par value; 500,000,000 authorized shares, 220,666,067 (2014) and 122,591,301 (2013) shares issued and outstanding, respectively	220,666	122,592
Common stock to be issued	315,078	315,078
Additional paid-in capital	3,001,671	1,582,104
Accumulated deficit	(6,283,590)	(4,652,534)
Total deficit	(2,746,175)	(2,632,760)
TOTAL LIABILITIES AND DEFICIT	161,737	5,031
Series A Preferred Stock [Member]
DEFICIT
Preferred stock; $0.10 par value; authorized shares - 10,000,000 Series A; 425,000 authorized shares, none issued and outstanding, respectively Series C; 500,000 authorized shares, none issued and outstanding, respectively Series D; 200,000 authorized shares, none issued and outstanding, respectively
Series C Preferred Stock [Member]
DEFICIT
Preferred stock; $0.10 par value; authorized shares - 10,000,000 Series A; 425,000 authorized shares, none issued and outstanding, respectively Series C; 500,000 authorized shares, none issued and outstanding, respectively Series D; 200,000 authorized shares, none issued and outstanding, respectively
Series D Preferred Stock [Member]
DEFICIT
Preferred stock; $0.10 par value; authorized shares - 10,000,000 Series A; 425,000 authorized shares, none issued and outstanding, respectively Series C; 500,000 authorized shares, none issued and outstanding, respectively Series D; 200,000 authorized shares, none issued and outstanding, respectively