Quarterly report pursuant to Section 13 or 15(d)


3 Months Ended
Mar. 31, 2014
Mar. 31, 2013
Cash flows from operating activities:    
Net loss $ (262,543) $ (481,816)
Adjustments to reconcile net loss to net cash (used in) provided by operating activities:    
Depreciation and amortization 90,906 55,424
Deferred tax (benefit) expense (179,267) 195,737
Change in fair value of warrant liability (43,809) (110,808)
Gain on sale of property and equipment    (4,734)
Interest added to notes payable    16,881
Accretion of interest on notes payable    138,256
Changes in operating assets and liabilities:    
Accounts receivable 258,155 1,209,402
Accounts payable 176,593 (4,258)
Accrued expenses 75,076 39,937
Prepaid expenses and other current assets (252,547) (152,981)
Deferred income (209,699)   
Net cash (used in) provided by operating activities (347,135) 901,040
Cash flows from investing activities:    
Purchases of marketable securities (7,500,341)   
Costs incurred to develop technology (48,313) (92,466)
Sale of property and equipment    6,203
Purchases of property and equipment (11,597) (24,639)
Net cash used in investing activities (7,560,251) (110,902)
Cash flows from financing activities:    
Distributions to members    (200,000)
Proceeds from IPO, net of offering costs    19,474,565
Deferred IPO costs    (419,937)
Net cash provided by financing activities    18,854,628
Net increase (decrease) in cash and cash equivalents (7,907,386) 19,644,766
Cash and cash equivalents, beginning of year 18,736,495 868,294
Cash and cash equivalents, end of period 10,829,109 20,513,060
Supplemental disclosures of other cash flow information:    
Cash paid for income taxes      
Cash paid for interest      
Non-cash disclosures:    
IPO costs in accounts payable    40,819
Deferred revenue in accounts receivable    52,586
Conversion of notes payable to equity    1,643,037
Reduction of additional paid-in capital for deferred IPO costs    1,292,996
Fair value of warrant liabilities    $ 415,368