Quarterly report pursuant to Section 13 or 15(d)

Condensed Consolidated Statements of Cash Flows (Unaudited)

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Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
 3 Months Ended
Mar. 31, 2024
Mar. 31, 2023
Cash Flows from Operating Activities    
Net loss $ (2,733,646) $ (2,695,148)
Stock-based compensation:    
401(k) stock 3,408 5,908
Options 17,911 38,834
Restricted stock units 74,766 79,422
Non-cash lease expense 60,030 56,449
Gain on foreign currency translation (9,983) (111,792)
Depreciation and amortization 115,453 109,206
Amortization of debt discount 294,147 362,166
Provision for credit losses 156,332 45,272
Provision for uncollectable assets 19,690
Provision for obsolete inventory 129,784
Change in fair value of derivative liability 80,590
Loss on extinguishment of debt 383,987
Decrease (increase) in assets:    
Accounts receivable and mortgages receivable (199,314) (236,674)
Employee advances (7,141)
Inventory (101,281) (110,032)
Inventory deposits 25,082
Real estate lots held for sale 56,987
Prepaid expenses and other current assets (205,196) (181,125)
Increase (decrease) in liabilities:    
Accounts payable and accrued expenses 407,697 (690,419)
Operating lease liabilities (53,710) (47,895)
Deferred revenue (61,422) 92,746
Other liabilities (169,034) (33,141)
Total Adjustments 641,937 (244,229)
Net Cash Used in Operating Activities (2,091,709) (2,939,377)
Cash Flows from Investing Activities    
Purchase of property and equipment (45,582) (50,074)
Net Cash Used in Investing Activities (45,582) (50,074)
Cash Flows from Financing Activities    
Proceeds from loans payable 185,000
Repayments of loans payable (87,469) (32,605)
Refund of lot sale obligation (25,000)
Proceeds from the issuance of convertible debt 5,000,000
Financing costs in connection with the issuance of convertible debt (321,803)
Repayments of debt obligations (744,054)
Proceeds from common stock issued for cash 1,732,934 591,000
Proceeds from deposits for equity purchases 380,000
Proceeds from issuance of shares under the New ELOC, net of offering costs [1] 441,409
Net Cash Provided by Financing Activities 2,000,465 5,118,947
Effect of Exchange Rate Changes on Cash (36,391) (39,799)
Net (Decrease) Increase in Cash (173,217) 2,089,697
Cash - Beginning of Period 427,961 300,185
Cash - End of Period 254,744 2,389,882
Supplemental Disclosures of Cash Flow Information:    
Interest paid 323,638 307,635
Income taxes paid
Non-Cash Investing and Financing Activity    
Equity issued to satisfy accrued stock-based compensation obligation 14,768 32,617
Shares issued upon conversion of debt and accrued interest 1,571,553
Relative fair value of warrants issued with 2023 Notes, net of allocable issuance costs [2] 1,506,319
Change in value of modified warrants 63,502
Cashless warrant exercise $ 513
[1] Gross proceeds of $480,670, less offering costs of $39,261, for the three months ended March 31, 2023
[2] Represents $1,609,935 relative fair value of warrants, less $103,616 in allocable issuance costs, for the three months ended March 31, 2023