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 ($)
 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Net Cash Provided by (Used in) Operating Activities [Abstract]    
Net Loss $ (7,715,000) $ (14,072,000)
Adjustments to Reconcile Net Income (Loss) to Cash Provided by (Used in) Operating Activities [Abstract]    
Depreciation and amortization 1,320,000 2,679,000
Stock-based compensation 630,000 1,532,000
Change in fair value of warrant liability (906,000) (1,040,000)
Change in fair value of contingent consideration (90,000) 286,000
Amortization of convertible notes discount 0 40,000
Gain on sale of intangible assets (144,000) 0
Loss on intangible asset disposal 0 2,284,000
Change in fair value of noncash legal settlement 724,000 0
Changes in assets and liabilities:    
Accounts receivable 2,801,000 944,000
Prepaid expense and other current assets 261,000 174,000
Accounts payable and accrued expense (2,850,000) (1,131,000)
Accrued contingent consideration (107,000) (2,153,000)
Contract liabilities 24,000 158,000
Deferred taxes 0 (313,000)
Accrued interest on note payable 0 (180,000)
Net cash used in operating activities (6,052,000) (10,792,000)
CASH FLOWS FROM INVESTING ACTIVITIES    
Cash paid in connection with Melon Acquisition 0 (150,000)
Purchase of property and equipment 0 (8,000)
Capitalization of software development costs (284,000) (483,000)
Acquisition of other intangible assets 0 (11,000)
Net cash used in investing activities (284,000) (652,000)
CASH FLOWS FROM FINANCING ACTIVITIES 672,000 0
Proceeds from issuance of preferred stock, net of issuance costs (Note 6) 29,715,000  
Payments on convertible notes 0 (539,000)
Payments on accounts receivable facility (1,273,000) 0
Contingent consideration payments – Melon Acquisition (32,000) 0
Net cash provided by financing activities 412,000 11,531,000
(DECREASE) INCREASE IN CASH (5,924,000) 87,000
Cash and Cash Equivalents - beginning of period 7,609,000 2,482,000
Cash and Cash Equivalents - end of period 1,685,000 2,569,000
Series AAA Junior Preferred Stock [Member]    
CASH FLOWS FROM INVESTING ACTIVITIES    
Proceeds from issuance of preferred stock, net of issuance costs (Note 6) 1,089,000  
SUPPLEMENTAL NONCASH OPERATING AND INVESTING ACTIVITIES    
Issuance of common stock 294,000 0
Melon Acquisition [Member]    
Adjustments to Reconcile Net Income (Loss) to Cash Provided by (Used in) Operating Activities [Abstract]    
Change in fair value of contingent consideration 0 1,350,000
CASH FLOWS FROM INVESTING ACTIVITIES    
Contingent consideration payments – Melon Acquisition [1] (122,000) 0
SUPPLEMENTAL NONCASH OPERATING AND INVESTING ACTIVITIES    
Issuance of common stock 90,000 722,000
Superbiz Acquisition [Member]    
CASH FLOWS FROM INVESTING ACTIVITIES    
Contingent consideration payments – Melon Acquisition [2] (38,000) (3,423,000)
SUPPLEMENTAL NONCASH OPERATING AND INVESTING ACTIVITIES    
Issuance of common stock 38,000 548,000
Settled Litigation [Member]    
SUPPLEMENTAL NONCASH OPERATING AND INVESTING ACTIVITIES    
Issuance of common stock 1,270,000 0
Preferred Stock [Member]    
CASH FLOWS FROM INVESTING ACTIVITIES    
Proceeds from issuance of preferred stock, net of issuance costs (Note 6) $ 1,045,000 $ 12,070,000
[1] In May 2024, the Company paid Melon Accrued Contingent consideration related to the Melon First Earn Out Period, comprised of $32,000 of cash payments and payment of 72,118 shares of our common stock valued at $90,000.
[2] In May 2024, the Company paid accrued contingent consideration related to the Super Biz Second Earn Out Period, comprised of 30,330 shares of our common stock valued at $38,000. In April 2023, the Company paid accrued contingent consideration related to the Initial Earn Out Period, comprised of $2.9 million of cash payments and payment of 987,973 shares of our common stock valued at $548,000.