Annual report pursuant to Section 13 and 15(d)

Consolidated Statements of Cash Flows

v3.19.1
Consolidated Statements of Cash Flows - USD ($)
 12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Cash flows from operating activities:    
Net income (loss) attributable to MariMed Inc. $ (13,604,068) $ (1,194,083)
Net income (loss) attributable to noncontrolling interests 295,395 165,021
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:    
Depreciation 657,854 362,691
Bad debt expense 150,000
Amortization of warrants 1,171,330
Amortization of beneficial conversion feature 1,522,107
Goodwill writedowns 1,331,785
Loss on sale of fixed assets (2,858)
Equity compensation 5,760,617 1,078,253
Common stock issued for services 3,675,121 320,772
Loss on preferred stock conversions 34,044
Loss on promissory note conversions 829,316 451,115
Loss on promissory note extinguishments 2,505,050 390,000
Equity in loss of investment 43,221
Changes in operating assets and liabilities:    
Accounts receivable, net (4,073,482) (920,877)
Deferred rents receivable (1,485,595) (74,541)
Due from third parties (3,387,906) (640,238)
Other current assets 156,547 (341,016)
Other assets 163,462 (51,044)
Accounts payable 963,083 2,359,493
Accrued expenses 183,032 86,245
Deferred rents payable 105,901
Deferred revenue (226,950)
Other liabilities 98,187
Net cash provided by (used in) operating activities (2,907,857) 1,764,841
Cash flows from investing activities:    
Purchase of property and equipment (8,924,311) (20,975,763)
Investment in convertible debentures (30,000,000)
Investment in notes receivable (565,116)
Investment in Iconic Ventures (500,000)
Investment in Sprout (300,000)
iRollie acquisition 13,494
Proceeds from notes receivable 45,553
Proceeds from sale of equipment 145,382
Due from related parties 15,000 52,727
Net cash used in investing activities (40,069,998) (20,923,036)
Cash flows from financing activities:    
Proceeds from subscribed preferred stock 200,000
Issuance of common stock 31,821,001 6,585,800
Issuance of common stock subscriptions 55,620  
Issuance of interest in subsidiary 1,150,000
Issuance of promissory notes 3,206,338 9,475,000
Payments on promissory notes (700,000)
Issuance of debentures 10,007,094
Proceeds from mortgages 2,000,000 2,785,841
Payments on mortgages (114,141)
Exercise of stock options 39,000 7,500
Exercise of warrants 385,395
Due to related parties (217,451) 252,659
Distributions (690,917) (577,730)
Net cash provided by financing activities 45,791,939 19,879,070
Net change to cash and cash equivalents 2,814,084 720,875
Cash and cash equivalents at beginning of period 1,290,231 569,356
Cash and cash equivalents at end of period 4,104,315 1,290,231
Supplemental disclosure of cash flow information:    
Cash paid for interest 1,286,007 586,584
Cash paid for taxes 12,584 1,781
Non-cash activities:    
Equity issued to settle promissory notes 7,589,788 300,000
Conversions of promissory notes 1,075,000 2,311,953
Discount on promissory notes 1,709,595
Conversions of debentures payable 1,435,506
Beneficial conversion feature on debentures payable 5,569,908
Discount on debentures payable 1,057,833
Investment in Sprout 915,006
iRollie acquisition 266,682  
Issuance of common stock associated with subscriptions 370,000
Subscriptions issued to acquire assets of Betty’s Eddies™ 370,000
Issuance of common stock for prepaid rent $ 18,540