Guardian 8 Holdings

CIK:0001429592|SEC Filings

Condensed Consolidated Statement of Operations (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Revenues	$ 61,954	$ 20,334	$ 157,262	$ 39,346
Cost of sales	32,533	13,397	86,767	27,501
Gross profit	29,421	6,937	70,495	11,845
Depreciation and amortization	23,100	24,858	67,500	68,001
General and administrative expenses	526,377	1,184,489	2,422,227	2,973,393
	549,477	1,209,347	2,489,727	3,041,394
Loss from operations	(520,056)	(1,202,410)	(2,419,232)	(3,029,549)
Other income (expense):
Interest income	0	1,262	0	1,999
Interest expense	(1,041,025)	(572,155)	(2,506,270)	(1,213,532)
Loss in extinguishment of debt	0	0	(6,118,145)	0
Change in fair value of derivative liability	838,603	0	(2,193,898)	0
Total other income (expense)	(202,422)	(570,893)	(10,818,313)	(1,211,533)
Loss before income tax	(722,478)	(1,773,303)	(13,237,545)	(4,241,082)
Provision for income tax expense	0	0	0	0
Net loss	$ (722,478)	$ (1,773,303)	$ (13,237,545)	$ (4,241,082)
Net loss per share - basic (in Dollars per share)	$ (0.01)	$ (0.04)	$ (0.27)	$ (0.10)
Weighted average shares outstanding – basic (in Shares)	58,650,456	41,172,560	49,867,454	40,806,423

Condensed Consolidated Statement of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cash flows from operating activities:
Net loss	$ (13,237,545)	$ (4,241,082)
Adjustments to reconcile net loss to net cash (used) from operating activities:
Stock issued for services	137,550	483,812
Stock issued for compensation	0	80,625
Stock issued as debenture interest payments	697,669	0
Depreciation and amortization	67,500	68,001
Revaluation of warrants and convertible debt	5,920,078	0
Amortization of discount on notes payable	0	154,881
Amortization of discount on convertible debentures	1,848,407	377,503
Change in fair value of derivative liability	2,193,898	0
Allowance for bad debts	(4,500)	4,978
Change in operating assets and liabilities:
Accounts receivable	428	(8,175)
Prepaid loan costs	349,260	(303,949)
Prepaid expenses	15,270	149,549
Deposits on inventory	0	89,984
Inventory	108,064	(1,177,463)
Rent and security deposits	0	(11,180)
Accounts payable and accrued expenses	360,636	(39,382)
Deferred revenue	10,031	1,175
Accrued interest	(261,643)	148,855
Net cash (used) by operating activities	(1,794,897)	(4,221,868)
Cash flows from investing activities:
Purchase of property and equipment	(18,223)	(105,756)
Net cash (used) by investing activities	(18,223)	(105,756)
Cash flows from financing activities:
Proceeds from common stock sales	548,400	0
Proceeds from exercising warrants	28,750	0
Proceeds from notes payable, related parties	0	475,000
Proceeds from notes payable, unrelated parties	83,983	25,000
Proceeds from bank line of credit	0	900,000
Proceeds from convertible senior secured debentures	740,000	7,000,000
Repayment of notes payable, related parties	0	(1,498,933)
Repayment of notes payable, unrelated parties	0	(125,000)
Repayment of bank line of credit	0	(900,000)
Cash flows from financing activities	1,401,133	5,876,067
Net increase (decrease) in cash and cash equivalents	(411,987)	1,548,443
Cash and cash equivalents, beginning of period	491,988	305,649
Cash and cash equivalents, end of period	80,001	1,854,092
Supplemental cash flow information:
Interest paid in cash	$ 0	$ 86,638
Number of shares issued for interest (in Shares)	6,230,113	0
Loan fees incurred in conjunction with warrants granted to placement agent in convertible debenture offering	$ 1,477	$ 185,874
Discount on notes payable	36,767	1,698,766
Amount of debt converted	357,500	0
Discount recognized on debentures payable	220,125	0
Income taxes paid	0	0
Stock Issued for Interest on Debentures [Member]
Supplemental cash flow information:
Stock issued	$ 697,669	$ 0
Number is shares issued on conversion of debt (in Shares)	4,766,666	0
Stock Issued for Services [Member]
Supplemental cash flow information:
Stock issued	$ 137,550	$ 483,812
Number of shares issued for services (in Shares)	465,000	1,023,519
Stock Issued for Compensation [Member]
Supplemental cash flow information:
Stock issued	$ 0	$ 80,625
Number of shares issued for compensation (in Shares)	0	159,375

Condensed Consolidated Balance Sheets (Unaudited) - USD ($)	Sep. 30, 2015	Dec. 31, 2014
Current assets:
Cash	$ 80,001	$ 491,988
Accounts receivable, net of allowance for doubtful accounts of $478 as of September 30, 2015 and $4,978 as of December 31, 2014	16,698	12,626
Prepaid loan costs	138,011	487,271
Prepaid expenses, other	35,539	50,809
Inventory	1,351,242	1,459,306
Total current assets	1,621,491	2,502,000
Property and equipment:
Fixed assets, net of accumulated depreciation of $176,856 and $116,863 as of September 30, 2015 and December 31, 2014	207,483	255,260
Patent, net of accumulated amortization of $6,198 and $4,698 as of September 30, 2015 and December 31, 2014	27,922	29,422
Rent and utility deposits	11,180	11,180
Total assets	1,868,076	2,797,862
Current liabilities:
Accounts payable and accrued expenses	596,191	235,555
Deferred revenue	14,544	4,513
Accrued interest
Related	5,058	14,071
Unrelated	$ 58,973	$ 311,603
Convertible senior secured debentures, net of discount of $2,113,383 and $1,120,509 as of September 30, 2015 and December 31, 2014
Related	$ 402,865	$ 246,548
Unrelated	4,691,252	5,457,943
Convertible note payable, net of discount of $36,767 as of September 30, 2015	83,983	0
Derivative liability	2,193,898	0
Total current liabilities	8,046,764	6,270,233
Stockholders’ deficit:
Preferred stock, $0.001 par value, 10,000,000 shares authorized; no shares issued and outstanding	0	0
Common stock, $0.001 par value, 100,000,000 shares authorized; issued and outstanding of 60,515,071 and 41,416,113 at September 30, 2015 and December 31, 2014	60,516	41,416
Common stock owed but not issued: 917,681 and 1,127,859 at September 30, 2015 and December 31, 2014	917	1,128
Paid in capital	20,509,400	9,997,061
Accumulated deficit	(26,749,521)	(13,511,976)
Total stockholders’ deficit	(6,178,688)	(3,472,371)
Total liabilities and stockholders’ deficit	$ 1,868,076	$ 2,797,862