Quarterly report pursuant to Section 13 or 15(d)


6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Cash flows from operating activities:    
Net (loss) income $ (614,978) $ 1,435,481
Adjustments to reconcile net (loss) income to net cash provided by operating activities:    
Depreciation and amortization expense 115,987 42,264
Deferred tax expense 104,812   
Change in fair value of warrant liability (311,303)   
Loss on sale of investments, net    5,530
Amortization of discount/premium on investments    (370)
Gain on sale of property and equipment (4,734)   
Interest added to notes payable 16,881 52,785
Accretion of interest on notes payable 138,255 34,661
Changes in operating assets and liabilities:    
Accounts receivable 1,541,798 111,426
Accounts payable (40,850) 69,491
Accrued expenses 31,386   
Prepaid expenses (109,828) (27,246)
Deferred income    (150,000)
Net cash provided by operating activities 867,426 1,574,022
Cash flows from investing activities:    
Proceeds from sales of marketable securities    150,796
Cash paid to purchase technology (200,000)   
Costs incurred to develop technology (164,875) (39,326)
Sale of property and equipment 6,203   
Purchases of property and equipment (32,564)   
Net cash (used in) provided by investing activities (391,236) 111,470
Cash flows from financing activities:    
Distributions to members (200,000) (1,450,000)
Proceeds from IPO, net of offering costs 19,474,565   
Repayments of notes payable    (96,000)
Deferred IPO costs (479,356) (571,232)
Net cash provided by (used in) financing activities 18,795,209 (2,117,232)
Net increase (decrease) in cash and cash equivalents 19,271,399 (431,740)
Cash and cash equivalents, beginning of year 868,294 2,254,431
Cash and cash equivalents, end of period 20,139,693 1,822,691
Supplemental disclosures of other cash flow information:    
Cash paid for income taxes      
Cash paid for interest      
Non-cash disclosures:    
IPO costs in accounts payable 30,567   
Deferred revenue in accounts receivable 65,856   
Conversion of notes payable to equity 1,643,036   
Reduction of additional paid-in capital for deferred IPO costs 1,342,163   
Fair value of warrant liabilities $ 415,368