v3.10.0.1
Consolidated Statements of Cash Flows - USD ($)
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Cash flows from operating activities:    
Net loss and comprehensive loss $ 253,083 $ (3,432,412)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:    
Depreciation and amortization 1,556,240 2,017,323
Loss (gain) on sale of property and equipment 974 (14,525)
Loss on disposition or impairment of assets 593,960 417,971
Net franchise fees recognized upon termination of franchise agreements (227,950) (73,665)
Adjustment to deferred revenue from previous acquisitions 133,943
Recovery of bad debts (40,000)
Bargain purchase gain (58,006)
Deferred income taxes (77,020) 15,734
Stock based compensation expense 628,430 594,371
Changes in operating assets and liabilties:    
Accounts receivable (75,327) (124,108)
Income taxes receivable (268) 42,014
Prepaid expenses and other current assets (339,680) (42,817)
Deferred franchise costs (802,990) 193,263
Deposits and other assets 38,983 77,927
Accounts payable 63,567 (36,752)
Accrued expenses 177,768 (213,038)
Co-op funds liability 14,376 16,435
Payroll liabilities 1,168,228 117,009
Other liabilities 52,155 (635,461)
Deferred rent (96,410) (410,964)
Deferred revenue 2,582,155 1,323,621
Net cash provided by (used in) operating activities 5,452,268 (74,131)
Cash flows from investing activities:    
Acquisition of business, net of cash acquired (100,000)
Purchase of property and equipment (1,111,117) (449,204)
Reacquisition and termination of regional developer rights (278,250)
Payments received on notes receivable 245,713 76,351
Net cash used in investing activities (1,243,654) (372,853)
Cash flows from financing activities:    
Borrowings on revolving credit note payable 1,000,000
Purchases of treasury stock under employee stock plans (4,811) (2,655)
Proceeds from sale of treasury stock 292,671
Proceeds from exercise of stock options 331,109 364,250
Repayments on notes payable (231,500)
Net cash provided by financing activities 326,298 1,422,766
Increase in cash 4,534,912 975,782
Cash and restricted cash, beginning of period 4,320,040 3,344,258
Cash and restricted cash, end of period $ 8,854,952 $ 4,320,040

Source