4Cable TV International (CATV) 10-Q 4 Sep 14 2014 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Mar. 31, 2014	Aug. 26, 2014
Document And Entity Information	'	'
Entity Registrant Name	'4Cable TV International, Inc.	'
Entity Central Index Key	'0001421901	'
Document Type	'10-Q	'
Document Period End Date	31-Mar-14	'
Amendment Flag	'false	'
Current Fiscal Year End Date	'--12-31	'
Is Entity a Well-known Seasoned Issuer?	'No	'
Is Entity a Voluntary Filer?	'No	'
Is Entity's Reporting Status Current?	'No	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Common Stock, Shares Outstanding	'	45,050,000
Document Fiscal Period Focus	'Q1	'
Document Fiscal Year Focus	'2014	'

Consolidated_Balance_Sheets

Consolidated Balance Sheets (USD $)	Mar. 31, 2014	Dec. 31, 2013
ASSETS	'	'
Cash and cash equivalents	$461	$21,928
Accounts receivable, net of allowances for doubtful accounts of $2,836 and $276, respectively	69,583	30,833
Inventories, net	290,728	257,393
Prepaid expenses and other assets	7,754	7,027
Total Current Assets	368,526	317,181
Property, plant and equipment, net	399,635	402,219
Total Assets	768,161	719,400
LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)	'	'
Accounts payable and accrued liabilities	197,807	133,696
Related parties payable	66,751	45,684
Related parties debt	22,614	22,867
Current portion of notes payable	62,939	48,998
Convertible debt, net	44,750	43,000
Current portion of capital lease obligations	35,582	35,040
Total current liabilities	430,443	329,285
Long-term liabilities	'	'
Capital lease obligations	285,795	300,094
Notes payable	9,318	2,768
Total long-term liabilities	295,113	302,862
Total Liabilities	725,556	632,147
STOCKHOLDERS' EQUITY (DEFICIT)	'	'
Preferred stock; $0.01 par value, 10,000,000 shares authorized; 0 shares issued and outstanding	'	'
Common stock; $0.001 par value, 90,000,000 shares authorized; 45,050,000 shares issued and outstanding	45,050	45,050
Additional paid-in capital	534,580	462,188
Accumulated deficit	-537,025	-419,985
Total stockholders' equity (deficit)	42,605	87,253
Total liabilities and stockholders' equity (deficit)	$768,161	$719,400

Consolidated_Balance_Sheets_Pa

Consolidated Balance Sheets (Parenthetical) (USD $)	Mar. 31, 2014	Dec. 31, 2013
Statement of Financial Position [Abstract]	'	'
Preferred Stock, par value	$0.01	$0.01
Preferred Stock, authorized	10,000,000	10,000,000
Preferred Stock, outstanding	0	0
Common stock, par value	$0.00	$0.00
Common stock, authorized	90,000,000	90,000,000
Common stock, outstanding	45,050,000	45,050,000

Consolidated_Statements_of_Ope

Consolidated Statements of Operations (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Income Statement [Abstract]	'	'
Net sales	$239,319	$218,577
Cost of goods sold	187,944	135,402
Gross profit	51,375	83,175
Operating costs and expenses	'	'
Selling, general and administrative	124,889	45,246
Research and development	14,434	669
Total operating costs and expenses	139,323	45,915
Operating income (loss)	-87,948	37,260
Interest expense	-29,092	-14,918
Net loss	($117,040)	$22,342
Net loss per common share - basic and diluted	$0	$0
Weighted average common shares outstanding - basic and diluted	45,050,000	19,855,000

Consolidated_Statements_of_Cas

Consolidated Statements of Cash Flows (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Cash flows from operating activities	'	'
Net income (loss)	($117,040)	$22,342
Adjustments to reconcile net loss to net cash used in operating activities:	'	'
Depreciation and amortization	8,649	5,423
Amortization of debt discount	1,750	'
Stock-based compensation	10,581	'
Changes in operating assets and liabilities:	'	'
Accounts receivable	-38,750	7,412
Inventories	-33,335	12,083
Prepaid expenses and other assets	-727	-1,436
Accounts payable and accrued liabilities	64,111	-15,575
Related parties payable	21,067	'
Net cash used in operating activities	-83,694	30,249
Cash flows from investing activities	'	'
Purchase of property, plant and equipment	-6,065	-14,770
Net cash used in investing activities	-6,065	-14,770
Cash flows from financing activities	'	'
Payments of capital lease obligations	-13,757	-3,610
Proceeds from notes payable	34,705	'
Payment on notes payable	-20,214	-4,967
Proceeds from related party debt	208	'
Payments on related party debt	-461	-15,597
Capital contributions	61,811	'
Net cash provided by financing activities	62,292	-24,174
Net decrease in cash	-21,467	-8,695
Cash, beginning of year	21,928	16,717
Cash, end of year	461	8,022
SUPPLEMENTAL CASH DISCLOSURES	'	'
Cash paid for: Income taxes	'	'
Cash paid for: Interest	17,515	16,717
Purchase of equipment by capitalized lease obligation	'	13,216
Purchase of building by capitalized lease obligation	'	199,642
Capital contributions of equipment	'	8,319
Capital contributions from related party loan	'	$10,000

Note_1_Business_Description

Note 1 - Business Description	3 Months Ended
	Mar. 31, 2014
Accounting Policies [Abstract]	'
Note 1 - Business Description	'
	1.  Business Description
	Basis of Presentation
	The accompanying unaudited consolidated financial statements of 4Cable TV International Inc. and its subsidiary have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission, or the SEC, including the instructions to Form 10-Q and Regulation S-X. Certain information and note disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles in the United States of America have been condensed or omitted from these statements pursuant to such rules and regulations and, accordingly, they do not include all the information and notes necessary for comprehensive consolidated financial statements and should be read in conjunction with our audited consolidated financial statements for the year ended December 31, 2013, in our Report on Form 10-K filed with the SEC on September 3, 2014.
	In the opinion of the management of the Company, all adjustments, which are of a normal recurring nature, necessary for a fair statement of the results for the six month period has been made. Results for the interim period presented is not necessarily indicative of the results that might be expected for the entire fiscal year.
	Description of Business
	4CableTV International, Inc., formerly Liberto, Inc., was incorporated in Nevada on November 8, 2007. The Company was engaged in the business of developing, manufacturing, and selling artificial lobster meat specifically for major food retailers in Southeast Asia. On April 25, 2013, we affected an 11-for-1 forward split of our common stock payable in the form of a stock dividend.
	4Cable TV, Inc. was incorporated on May 19, 2005 as a South Carolina Corporation and has been a specialty solutions provider for the cable television (“CATV”) sector spanning the range of repair, upgrading, and testing. The Company provides service and customized solutions to CATV operators and was founded by two veterans of the cable industry seeking a new challenge to work on diagnostic and repair issues for cable operators.
	When used in these notes, the terms "Company", "we", "us" or "our" mean 4Cable TV International, Inc. (“4Cable”) and all entities included in our consolidated financial statements.

Note_2_Summary_of_Significant_

Note 2 - Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2014
Accounting Policies [Abstract]	'
Note 2 - Summary of Significant Accounting Policies	'
	2.  Summary of significant accounting policies
	Consolidation
	The accompanying consolidated financial statements include the accounts of the Company and its majority-owned subsidiary, 4Cable TV, Inc., after elimination of all intercompany accounts, transactions, and profits.
	Reclassifications
	Certain reclassifications have been made to amounts in prior periods to conform to the current period presentation.  All reclassifications have been applied consistently to the periods presented.
	Estimates and Assumptions
	Management uses estimates and assumptions in preparing financial statements in accordance with general accepted accounting principles.  Those estimates and assumptions affect the reported amounts of the assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses.   Actual results could vary from the estimates that were assumed in preparing these financial statements.
	The most significant estimates and assumptions include the:
		•	Impairment, useful lives and salvage values of our machinery and equipment
		•	Reserve for excess and obsolete inventory
		•	Loss contingencies
		•	Allowance for doubtful accounts
	It is reasonably possible that these above significant estimates we make may change in the future and could have a material effect on our financial statements.
	Financial Instruments
	The Company’s financial instruments include cash, accounts receivable, accounts payable, accrued liabilities, convertible debt, notes payable, and related party debt, the carrying amounts of these financial instruments are considered by management to approximate their fair value due to their short term maturities.
	Fair Value of Financial Instruments
	The Company applies fair value accounting for all financial assets and liabilities and non-financial assets and liabilities that are recognized or disclosed at fair value in the financial statements on a recurring basis. The Company defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities, which are required to be recorded at fair value, the Company considers the principal or most advantageous market in which the Company would transact and the market-based risk measurements or assumptions that market participants would use in pricing the asset or liability, such as risks inherent in valuation techniques, transfer restrictions and credit risk. Fair value is estimated by applying the following hierarchy, which prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement:
	Level 1 – Quoted prices in active markets for identical assets or liabilities.
	Level 2 – Observable inputs other than quoted prices in active markets for identical assets and liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.
	Level 3 – Inputs that are generally unobservable and typically reflect management’s estimate of assumptions that market participants would use in pricing the asset or liability.
	The Company’s valuation techniques used to measure the fair value of money market funds and certain marketable equity securities were derived from quoted prices in active markets for identical assets or liabilities. The valuation techniques used to measure the fair value of all other financial instruments, all of which have counterparties with high credit ratings, were valued based on quoted market prices or model driven valuations using significant inputs derived from or corroborated by observable market data.
	In accordance with the fair value accounting requirements, companies may choose to measure eligible financial instruments and certain other items at fair value. The Company has not elected the fair value option for any eligible financial instruments.
	Cash and Cash Equivalents
	Cash and cash equivalents consist primarily of cash on deposit, certificates of deposit, money market accounts, and investment grade commercial paper that are readily convertible into cash and purchased with original maturities of three months or less.
	Accounts Receivable
	Accounts receivable represents receivables, net of allowances for doubtful accounts. The allowance for doubtful accounts reflects our best estimate of probable losses inherent in the accounts receivable balance. As of March 31, 2014 and December 31, 2013, we had allowance for doubtful accounts of $2,836. We determine the allowance based on historical experience and other currently available information. When a specific account is deemed uncollectible, the account is written off against the allowance.
	The Company factors substantially all of its invoices for certain customers (approved by the third party factor) without recourse to us and paid factoring fees of $8,547 and $8,906 for the three months ended March 31, 2014 and 2013, respectively.
	Under our factoring agreement, invoices for products are generated and transmitted to our customers, with copies to the factor as products are shipped to our customers.  The factor collects the amounts due and remits collected funds to us, less factoring fees. The invoiced amounts are reported as accounts receivable on our balance sheets, generally when the merchandise is shipped to our customer until payment is received from the factor.
	Concentrations of Risk
	Sales to two customers accounted for 81% of the Company’s total net sales during the three months ended March 31, 2014 compared to 87% during the three months ended March 31, 2013. Other than the customers mentioned above, no customer accounted for 10% or more of the Company’s total net sales for the three months ended March 31, 2013 and 2012.
	Accounts receivable from three customers accounted for more than 10% of the Company’s net accounts receivable as of March 31, 2014 and December 31, 2013 are as follows:
		March 31,		December 31,
		2014		2013
	Customer A	39%		-
	Customer B	23%		21%
	Customer C	23%		-
	Customer D	-		14%
	Customer E	-		18%
	The Company purchased materials from three vendors who represented approximately 65% for the three months ended March 31, 2014 and two vendors for 61% for the prior period.
	Inventories
	Inventories are stated at the lower of cost or market. Inventory cost is determined on a weighted average cost method. The Company maintains reserves to reduce the value of inventory to the lower of cost or market, including reserves for excess and obsolete inventory.
	Evaluation of Long-Lived Assets
	The Company periodically reviews its long-term assets and makes adjustments, if the carrying value exceeds fair value, based on the undiscounted cash flows expected to be derived from the use and ultimate disposition of the assets. Assets identified as impaired are carried at estimated fair value. Due to the changing technology and market conditions, it is possible that future impairment reviews may indicate additional impairments of our long-lived assets, which could result in charges that are material to the Company’s results of operations.
	Property, Plant and Equipment
	Property and equipment are stated at cost, net of accumulated depreciation. Expenditures that extend the life, increase the capacity, or improve the efficiency of property and equipment are capitalized, while expenditures for repairs and maintenance are expensed as incurred. Depreciation is recognized using the straight-line method over the following approximate useful lives:
	Depreciation is recognized using the straight-line method over the following approximate useful lives:
	Machinery and equipment including capitalized leased equipment	5 to 7 years
	Buildings including capitalized leased buildings	27.5 years
	Product Warranties
	The Company does not have any written obligation to replace malfunctioning equipment or repair defects.  To-date, such replacement or repair requests from customers have been immaterial in amount and frequency and the Company has dealt with such requests on a case-by-case basis.
	Revenue Recognition
	The Company recognizes revenue when persuasive evidence of an arrangement exists, delivery has occurred or service has been rendered, the selling price is fixed or determinable and collectability is reasonably assured. Product sales revenue is recognized when the risks and rewards of ownership have passed to the customer and revenue is measurable. Service revenue is recognized at the time the service is complete and the customer has received an invoice. Revenue is recorded at the net amount to be received after deductions for estimated discounts, allowances and returns.
	Barter Transactions
	The Company barters parts and equipment with dealers and suppliers.  The Company had barter sales of $0 and $715 for the three months ended March 31, 2014 and 2013, respectively.
	Advertising and Marketing Development
	The Company expenses advertising and market development costs as incurred. Total advertising and marketing costs were $43,984 and $0 for the three months ended March 31, 2014 and 2013, respectively.
	Research and Development Costs
	Research and development (“R&D”) costs are expensed in the period in which they are incurred. R&D costs include materials, equipment and facilities that have no alternative future use, depreciation on equipment and facilities currently used for R&D purposes, personnel costs, contract services and reasonable allocations of indirect costs, if clearly related to an R&D activity. Expenditures in the pre-production phase of an R&D project are recorded as R&D expense. However, costs incurred in the pre-production phase that are associated with output actually used in production are recorded in cost of sales. A project is considered finished with pre-production efforts when management determines that it has achieved acceptable levels of scrap and yield, which vary by project. Expenditures related to ongoing production are recorded in cost of sales. Total R&D costs were $14,434 and $669 for the three months ended March 31, 2014 and 2013, respectively.
	Income Taxes
	The Company utilizes the liability method of accounting for income taxes.  Under the liability method deferred tax assets and liabilities are determined based on differences between financial reporting and the tax bases of the assets and liabilities and are measured using the enacted tax rates and laws that will be in effect, when the differences are expected to be reversed. An allowance against deferred tax assets is recorded, when it is more likely than not, that such tax benefits will not be realized.
	Basic and Diluted Net Income (Loss) Per Common Share
	Basic net income (loss) per common share amounts are computed based on the weighted average number of shares actually outstanding. Diluted net income (loss) per common share amounts are computed using the weighted average number of common and common equivalent shares outstanding as if shares had been issued on the exercise of the common share rights unless the exercise becomes antidilutive and then the basic and diluted per share amounts are the same.
	Stock-Based Compensation
The Company sometimes grants shares of stock for goods and services and in conjunction with certain agreements. These grants are accounted for based on the grant date fair values.
Subsequent Events
The Company has evaluated all transactions from March 31, 2014 through the financial statement issuance date for subsequent event disclosure consideration.
New Accounting Pronouncements
There were various accounting standards and interpretations issued recently, none of which are expected to have a material impact on our consolidated financial position, operations or cash flows.

Note_3_Going_Concern

Note 3 - Going Concern	3 Months Ended
	Mar. 31, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'
Note 3 - Going Concern	'
	3. Going Concern
	The Company's financial statements are prepared using accounting principles generally accepted in the United States of America applicable to a going concern, which contemplates the realization of assets and liquidation of liabilities in the normal course of business. However, the Company has suffered recurring losses from operations and has a working capital deficit. These factors raise substantial doubt about the ability of the Company to continue as a going concern.
	Under the going concern assumption, an entity is ordinarily viewed as continuing in business for the foreseeable future with neither the intention nor the necessity of liquidation, ceasing trading, or seeking protection from creditors pursuant to laws or regulations. Accordingly, assets and liabilities are recorded on the basis that the entity will be able to realize its assets and discharge its liabilities in the normal course of business.
	The ability of the Company to continue as a going concern is dependent upon its ability to raise capital to meet its obligations and attain profitable operations.  The accompanying financial statements do not include any adjustments that may be necessary if the Company is unable to continue as a going concern.

Note_4_Inventories

Note 4 - Inventories	3 Months Ended
	Mar. 31, 2014
Inventory Disclosure [Abstract]	'
Note 4 - Inventories	'
	4. Inventories
	The inventory consists of raw materials that are used in the preparation of goods for sale. There were no finished products at March 31, 2014 and December 31, 2013. The Company’s inventories consisted of the following (rounded to the nearest thousand):
		March 31,			December 31,
		2014			2013
	Inventories	$	383,000		$	356,000
	Less: Excess and obsolete reserve		(192,000	)		(192,000	)
	Inventories, net	$	291,000		$	257,000

Note_5_Property_Plant_and_Equi

Note 5 - Property, Plant and Equipment	3 Months Ended
	Mar. 31, 2014
Property, Plant and Equipment [Abstract]	'
Note 5 - Property, Plant and Equipment	'
	5. Property, Plant and Equipment
	The Company’s property, plant and equipment consist of the following (rounded to the nearest thousand):
		March 31,			December 31,
		2014			2013
	Capital lease – building	$	293,000		$	293,000
	Capital lease – equipment		85,000			78,000
	Computer equipment		9,000			9,000
	Machinery and tools		136,000			135,000
	Office equipment		4,000			4,000
	Test equipment		79,000			74,000
	Subtotal		606,000			599,000
	Accumulated depreciation		(206,000	)		(197,000	)
	Total property, plant and equipment	$	400,000		$	402,000
	For the three months ended March 31, 2014 and 2013, the Company recognized depreciation expense of $8,649 and $5,423, respectively.

Note_6_Notes_Payable

Note 6 - Notes Payable	3 Months Ended
	Mar. 31, 2014
Debt Disclosure [Abstract]	'
Note 6 - Notes Payable	'
	6. Notes Payable
	The notes payable consist of the following items and payment terms (rounded to the nearest thousand):
			March 31,			December 31,
			2014			2013
	On-Deck, interest at 31% per annum, repay at $208 per day for 251 days, due April 15, 2014 (a)		$	18,000		$	28,000
	Superior Finance, interest at 4.5% per annum, repay at $62 per month, due May 2017, guaranteed by shareholder			2,000			2,000
	Current Electronics, zero interest, repay $1,000  per month, due May 1, 2014, unsecured (b)			5,000			5,000
	IOU Central, interest at 15% per annum, repay $1,894 per month, due December 31, 2014			16,000			-
	Merchants Advance Network, interest at 15% per annum, repay $5,786 per month, due August 31, 2014			18,000			-
	Third party loans, interest range from 0% to 4%, various terms			13,000			17,000
	Total notes payable			72,000			52,000
	Current portion of notes payable			(63,000	)		(49,000	)
	Long-term portion of notes payable		$	9,000		$	3,000
	(a)	Subsequent to March 31, 2014, the Company paid off the outstanding balance of its note payable with On-Deck.
	(b)	Subsequent to March 31, 2014, the Company entered into a verbal agreement with Current Electronics to pay the outstanding balance in $500 monthly installments.

Note_7_Convertible_Debt

Note 7 - Convertible Debt	3 Months Ended
	Mar. 31, 2014
Notes to Financial Statements	'
Note 7 - Convertible Debt	'
	7. Convertible Debt
	In December 2013, the Company issued a 15% convertible note payable for $50,000, due December 1, 2014.  The interest on the convertible note payable is 15% per annum, payable monthly.  The convertible note payable is convertible into shares of common stock at the option of the lender at a conversion price of $0.25 per share.
	The Company evaluated the terms of the convertible notes in accordance with ASC 815 – 40, Derivatives and Hedging - Contracts in Entity’s Own Stock and determined that the underlying common stock is indexed to the Company’s common stock. The Company determined that the conversion feature did not meet the definition of a liability and therefore did not bifurcate the conversion feature and account for it as a separate derivative liability.
	The Company evaluated the conversion feature for a beneficial conversion feature. The effective conversion price was compared to the market price on the date of the notes and was deemed to be less than the market value of underlying common stock at the inception of the note.  Therefore, the Company recognized a beneficial conversion feature in the amount of $7,000 at December 31, 2013. The beneficial conversion feature will be amortized to interest expense over the life of the note.
	Convertible debt consists of the following as of March 31, 2014 and December 31, 2013 (rounded to the nearest thousand):
		31-Mar-14			31-Dec-13
	Convertible debt, dated December 13, 2013, bearing interest at 15% per annum, matures December 1, 2014, and convertible into shares of common stock at $0.25 per share	$	50,000		$	50,000
	Less: debt discount		(5,000	)		(7,000	)
	Convertible debt, net	$	45,000		$	43,000

Note_8_Significant_Transaction

Note 8 - Significant Transactions with Related Parties	3 Months Ended
	Mar. 31, 2014
Related Party Transactions [Abstract]	'
Note 8 - Significant Transactions with Related Parties	'
	8. Significant Transactions with Related Parties
	The shareholders of the Company have advanced the Company money and have received partial payment on those advances. The total related party payables at March 31, 2014 and December 31, 2013 was approximately $67,000 and $46,000, respectively. All related party advances bear no interest, are payable on demand and are classified on the accompanying balance sheet as current liabilities.
	The shareholders of the Company have loaned the Company money and have received partial payment on those loans. The total related party loans payable at March 31, 2014 and December 31, 2013 was approximately $23,000 and $23,000, respectively. All related party loans have interest rates between 6% and 7%, are payable on demand and are classified on the accompanying balance sheet as short term liabilities.  For the three months ended March 31, 2014 and 2013, the Company incurred interest expense of $360 and $270, respectively.

Note_9_Capitalized_Lease_Oblig

Note 9 - Capitalized Lease Obligations	3 Months Ended
	Mar. 31, 2014
Debt Disclosure [Abstract]	'
Note 9 - Capitalized Lease Obligations	'
	9. Capital Lease Obligations
	Capital lease obligations consist of the following as of March 31, 2014 and December 31, 2013 (rounded to the nearest thousand):
		31-Mar-14			31-Dec-13
	Capital lease – building #1, interest at 6.25% , payments of $1,485 per month, final payment due December 1, 2031	$	190,000		$	192,000
	Capital lease – building #2, interest at 6.00% , payments of $910 per month, final payment due October 7, 2023		79,000			86,000
	Capital leases – equipment, interest at 36%, payments of  $3,630  per month, terms 1-3 years		53,000			57,000
	Total capital lease obligations		322,000			335,000
	Current portion of capital lease obligations		(36,000	)		(35,000	)
	Long-term portion of capital lease obligations	$	286,000		$	300,000

Note_10_Capital_Stock

Note 10 - Capital Stock	3 Months Ended
	Mar. 31, 2014
Equity [Abstract]	'
Note 10 - Capital Stock	'
	10. Capital stock
	On October 18, 2013, the Company awarded 500,000 shares of restricted stock to its officers and employees, of which 50% of the shares vest after one year (October 18, 2014) with the remaining 50% vesting after two years (October 15, 2015). The fair value of the restricted stock granted was determined to be same as the trading market price of the common stock at the time of issuance. Stock-based compensation expense of $10,581 was recorded for the three months ended March 31, 2014.  The total unrecognized compensation expense is adjusted quarterly to reflect any people leaving the Company resulting in a balance of $66,543 at March 31, 2014 to be recognized over the remaining vesting term (approximately 1.5 years).
	During 2014, the Company received $61,811 in capital contributions related to the 2013 share exchange agreement which required certain shareholders to contribute up to $500,000 to the Company. As of June 30, 2014, the Company has received a total of $289,344 towards this commitment.

Note_11_Commitments_and_Contin

Note 11 - Commitments and Contingencies	3 Months Ended
	Mar. 31, 2014
Commitments and contingencies	'
Note 11 - Commitments and Contingencies	'
	11. Commitments and Contingencies
	The Company has purchase commitments with two vendors totalling $4,300 for inventory in 2014.

Note_12_Subsequent_events

Note 12 - Subsequent events	3 Months Ended
	Mar. 31, 2014
Subsequent Events [Abstract]	'
Note 12 - Subsequent events	'
	12. Subsequent Events
	On May 30, 2014, the Company entered into a note payable agreement with Strategic Funding Source, Inc. for $60,000 with daily payments of $567, an 8 month term, and an annual interest rate of 11%.
	On July 10, 2014, the Company entered into a note payable agreement with a third party for $25,000 with a term of 1 year, an annual interest rate of 15%, and secured by 2,500,000 shares of the Company’s common stock.

Note_2_Summary_of_Significant_1

Note 2 - Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2014
Accounting Policies [Abstract]	'
Consolidation	'
	Consolidation
	The accompanying consolidated financial statements include the accounts of the Company and its majority-owned subsidiary, 4Cable TV, Inc., after elimination of all intercompany accounts, transactions, and profits.
Reclassifications	'
	Reclassifications
	Certain reclassifications have been made to amounts in prior periods to conform to the current period presentation.  All reclassifications have been applied consistently to the periods presented.
Estimates and Assumptions	'
	Estimates and Assumptions
	Management uses estimates and assumptions in preparing financial statements in accordance with general accepted accounting principles.  Those estimates and assumptions affect the reported amounts of the assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses.   Actual results could vary from the estimates that were assumed in preparing these financial statements.
	The most significant estimates and assumptions include the:
		•	Impairment, useful lives and salvage values of our machinery and equipment
		•	Reserve for excess and obsolete inventory
		•	Loss contingencies
		•	Allowance for doubtful accounts
	It is reasonably possible that these above significant estimates we make may change in the future and could have a material effect on our financial statements.
Financial Instruments	'
	Financial Instruments
	The Company’s financial instruments include cash, accounts receivable, accounts payable, accrued liabilities, convertible debt, notes payable, and related party debt. The carrying amounts of these financial instruments are considered by management to approximate their fair value due to their short term maturities.
Fair Value of Financial Instruments	'
	Fair Value of Financial Instruments
	The Company applies fair value accounting for all financial assets and liabilities and non-financial assets and liabilities that are recognized or disclosed at fair value in the financial statements on a recurring basis. The Company defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities, which are required to be recorded at fair value, the Company considers the principal or most advantageous market in which the Company would transact and the market-based risk measurements or assumptions that market participants would use in pricing the asset or liability, such as risks inherent in valuation techniques, transfer restrictions and credit risk. Fair value is estimated by applying the following hierarchy, which prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement:
	Level 1 – Quoted prices in active markets for identical assets or liabilities.
	Level 2 – Observable inputs other than quoted prices in active markets for identical assets and liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities.
	Level 3 – Inputs that are generally unobservable and typically reflect management’s estimate of assumptions that market participants would use in pricing the asset or liability.
	The Company’s valuation techniques used to measure the fair value of money market funds and certain marketable equity securities were derived from quoted prices in active markets for identical assets or liabilities. The valuation techniques used to measure the fair value of all other financial instruments, all of which have counterparties with high credit ratings, were valued based on quoted market prices or model driven valuations using significant inputs derived from or corroborated by observable market data.
	In accordance with the fair value accounting requirements, companies may choose to measure eligible financial instruments and certain other items at fair value. The Company has not elected the fair value option for any eligible financial instruments.
Cash and Cash Equivalents	'
	Cash and Cash Equivalents
	Cash and cash equivalents consist primarily of cash on deposit, certificates of deposit, money market accounts, and investment grade commercial paper that are readily convertible into cash and purchased with original maturities of three months or less.
Accounts Receivable	'
	Accounts Receivable
	Accounts receivable represents receivables, net of allowances for doubtful accounts. The allowance for doubtful accounts reflects our best estimate of probable losses inherent in the accounts receivable balance. As of March 31, 2014 and December 31, 2013, we had allowance for doubtful accounts of $2,836. We determine the allowance based on historical experience and other currently available information. When a specific account is deemed uncollectible, the account is written off against the allowance.
	The Company factors substantially all of its invoices for certain customers (approved by the third party factor) without recourse to us and paid factoring fees of $8,547 and $8,906 for the three months ended March 31, 2014 and 2013, respectively.
	Under our factoring agreement, invoices for products are generated and transmitted to our customers, with copies to the factor as products are shipped to our customers.  The factor collects the amounts due and remits collected funds to us, less factoring fees. The invoiced amounts are reported as accounts receivable on our balance sheets, generally when the merchandise is shipped to our customer until payment is received from the factor.
Concentrations of Risk	'
	Concentrations of Risk
	Sales to two customers accounted for 81% of the Company’s total net sales during the three months ended March 31, 2014 compared to 87% during the three months ended March 31, 2013. Other than the customers mentioned above, no customer accounted for 10% or more of the Company’s total net sales for the three months ended March 31, 2013 and 2012.
	Accounts receivable from three customers accounted for more than 10% of the Company’s net accounts receivable as of March 31, 2014 and December 31, 2013 are as follows:
		March 31,		December 31,
		2014		2013
	Customer A	39%		-
	Customer B	23%		21%
	Customer C	23%		-
	Customer D	-		14%
	Customer E	-		18%
	The Company purchased materials from three vendors who represented approximately 65% for the three months ended March 31, 2014 and two vendors for 61% for the prior period.
Inventories	'
	Inventories
	Inventories are stated at the lower of cost or market. Inventory cost is determined on a weighted average cost method. The Company maintains reserves to reduce the value of inventory to the lower of cost or market, including reserves for excess and obsolete inventory.
Evaluation of Long-Lived Assets	'
	Evaluation of Long-Lived Assets
	The Company periodically reviews its long-term assets and makes adjustments, if the carrying value exceeds fair value, based on the undiscounted cash flows expected to be derived from the use and ultimate disposition of the assets. Assets identified as impaired are carried at estimated fair value. Due to the changing technology and market conditions, it is possible that future impairment reviews may indicate additional impairments of our long-lived assets, which could result in charges that are material to the Company’s results of operations.
Property, Plant and Equipment	'
	Property, Plant and Equipment
	Property and equipment are stated at cost, net of accumulated depreciation. Expenditures that extend the life, increase the capacity, or improve the efficiency of property and equipment are capitalized, while expenditures for repairs and maintenance are expensed as incurred. Depreciation is recognized using the straight-line method over the following approximate useful lives:
	Depreciation is recognized using the straight-line method over the following approximate useful lives:
	Machinery and equipment including capitalized leased equipment	5 to 7 years
	Buildings including capitalized leased buildings	27.5 years
Product Warranties	'
	Product Warranties
	The Company does not have any written obligation to replace malfunctioning equipment or repair defects.  To-date, such replacement or repair requests from customers have been immaterial in amount and frequency and the Company has dealt with such requests on a case-by-case basis.
Revenue Recognition	'
	Revenue Recognition
	The Company recognizes revenue when persuasive evidence of an arrangement exists, delivery has occurred or service has been rendered, the selling price is fixed or determinable and collectability is reasonably assured. Product sales revenue is recognized when the risks and rewards of ownership have passed to the customer and revenue is measurable. Service revenue is recognized at the time the service is complete and the customer has received an invoice. Revenue is recorded at the net amount to be received after deductions for estimated discounts, allowances and returns.
Barter Transactions	'
	Barter Transactions
	The Company barters parts and equipment with dealers and suppliers.  The Company had barter sales of $0 and $715 for the three months ended March 31, 2014 and 2013, respectively.
Advertising and Marketing Development	'
	Advertising and Marketing Development
	The Company expenses advertising and market development costs as incurred. Total advertising and marketing costs were $43,984 and $0 for the three months ended March 31, 2014 and 2013, respectively.
Research and Development Costs	'
	Research and Development Costs
	Research and development (“R&D”) costs are expensed in the period in which they are incurred. R&D costs include materials, equipment and facilities that have no alternative future use, depreciation on equipment and facilities currently used for R&D purposes, personnel costs, contract services and reasonable allocations of indirect costs, if clearly related to an R&D activity. Expenditures in the pre-production phase of an R&D project are recorded as R&D expense. However, costs incurred in the pre-production phase that are associated with output actually used in production are recorded in cost of sales. A project is considered finished with pre-production efforts when management determines that it has achieved acceptable levels of scrap and yield, which vary by project. Expenditures related to ongoing production are recorded in cost of sales. Total R&D costs were $14,434 and $669 for the three months ended March 31, 2014 and 2013, respectively.
Income Taxes	'
	Income Taxes
	The Company utilizes the liability method of accounting for income taxes.  Under the liability method, deferred tax assets and liabilities are determined based on differences between financial reporting and the tax bases of the assets and liabilities and are measured using the enacted tax rates and laws that will be in effect, when the differences are expected to be reversed. An allowance against deferred tax assets is recorded, when it is more likely than not, that such tax benefits will not be realized.
Basic and Diluted Net Loss Per Common Share	'
	Basic and Diluted Net Income (Loss) Per Common Share
	Basic net income (loss) per common share amounts are computed based on the weighted average number of shares actually outstanding. Diluted net income (loss) per common share amounts are computed using the weighted average number of common and common equivalent shares outstanding as if shares had been issued on the exercise of the common share rights unless the exercise becomes antidilutive and then the basic and diluted per share amounts are the same.
Stock-Based Compensation	'
	Stock-Based Compensation
	The Company sometimes grants shares of stock for goods and services and in conjunction with certain agreements. These grants are accounted for based on the grant date fair values.
Subsequent Events	'
	Subsequent Events
	The Company has evaluated all transactions from March 31, 2014 through the financial statement issuance date for subsequent event disclosure consideration.
New Accounting Pronouncements	'
	New Accounting Pronouncements
	There were various accounting standards and interpretations issued recently, none of which are expected to have a material impact on our consolidated financial position, operations or cash flows.

Note_2_Summary_of_Significant_2

Note 2 - Summary of Significant Accounting Policies (Tables)	3 Months Ended
	Mar. 31, 2014
Accounting Policies [Abstract]	'
Schedules of concentration risk	'
		March 31,	December 31,
		2014	2013
	Customer A	39%	-
	Customer B	23%	21%
	Customer C	23%	-
	Customer D	-	14%
	Customer E	-	18%
Schedule of useful lives	'
	Machinery and equipment, including capitalized leased equipment	5 to 7 years
	Buildings, including capitalized leased buildings	27.5 years

Note_4_Inventories_Tables

Note 4 - Inventories (Tables)	3 Months Ended
	Mar. 31, 2014
Inventory Disclosure [Abstract]	'
Company's inventories	'
		March 31,			December 31,
		2014			2013
	Inventories	$	383,000		$	356,000
	Less: Excess and obsolete reserve		(192,000	)		(192,000	)
	Inventories, net	$	291,000		$	257,000

Note_5_Property_Plant_and_Equi1

Note 5 - Property, Plant and Equipment (Tables)	3 Months Ended
	Mar. 31, 2014
Property, Plant and Equipment [Abstract]	'
Schedule of Property, plant and equipment	'
		March 31,			December 31,
		2014			2013
	Capital lease – building	$	293,000		$	293,000
	Capital lease – equipment		85,000			78,000
	Computer equipment		9,000			9,000
	Machinery and tools		136,000			135,000
	Office equipment		4,000			4,000
	Test equipment		79,000			74,000
	Subtotal		606,000			599,000
	Accumulated depreciation		(206,000	)		(197,000	)
	Total property, plant and equipment	$	400,000		$	402,000

Note_6_Notes_Payable_Tables

Note 6 - Notes Payable (Tables)	3 Months Ended
	Mar. 31, 2014
Debt Disclosure [Abstract]	'
Notes payable	'
			March 31,			December 31,
			2014			2013
	On-Deck, interest at 31% per annum, repay at $208 per day for 251 days, due April 15, 2014 (a)		$	18,000		$	28,000
	Superior Finance, interest at 4.5% per annum, repay at $62 per month, due May 2017, guaranteed by shareholder			2,000			2,000
	Current Electronics, zero interest, repay $1,000  per month, due May 1, 2014, unsecured (b)			5,000			5,000
	IOU Central, interest at 15% per annum, repay $1,894 per month, due December 31, 2014			16,000			-
	Merchants Advance Network, interest at 15% per annum, repay $5,786 per month, due August 31, 2014			18,000			-
	Third party loans, interest range from 0% to 4%, various terms			13,000			17,000
	Total notes payable			72,000			52,000
	Current portion of notes payable			(63,000	)		(49,000	)
	Long-term portion of notes payable		$	9,000		$	3,000
	(a)	Subsequent to March 31, 2014, the Company paid off the outstanding balance of its note payable with On-Deck.
	(b)	Subsequent to March 31, 2014, the Company entered into a verbal agreement with Current Electronics to pay the outstanding balance in $500 monthly installments.

Note_7_Convertible_Debt_Tables

Note 7 - Convertible Debt (Tables)	3 Months Ended
	Mar. 31, 2014
Notes to Financial Statements	'
Convertible Debt	'
		31-Mar-14			31-Dec-13
	Convertible debt, dated December 13, 2013, bearing interest at 15% per annum, matures December 1, 2014, and convertible into shares of common stock at $0.25 per share	$	50,000		$	50,000
	Less: debt discount		(5,000	)		(7,000	)
	Convertible debt, net	$	45,000		$	43,000

Note_9_Capitalized_Lease_Oblig1

Note 9 - Capitalized Lease Obligations (Tables)	3 Months Ended
	Mar. 31, 2014
Debt Disclosure [Abstract]	'
Capitalized lease obligations	'
		31-Mar-14			31-Dec-13
	Capital lease – building #1, interest at 6.25% , payments of $1,485 per month, final payment due December 1, 2031	$	190,000		$	192,000
	Capital lease – building #2, interest at 6.00% , payments of $910 per month, final payment due October 7, 2023		79,000			86,000
	Capital leases – equipment, interest at 36%, payments of  $3,630  per month, terms 1-3 years		53,000			57,000
	Total capital lease obligations		322,000			335,000
	Current portion of capital lease obligations		(36,000	)		(35,000	)
	Long-term portion of capital lease obligations	$	286,000		$	300,000

Note_1_Business_Description_De

Note 1 - Business Description (Details Narrative)	3 Months Ended
	Mar. 31, 2014
Accounting Policies [Abstract]	'
Forward split ratio	11
Number of founders which were veterans of cable industry	2

Note_2_Summary_of_Significant_3

Note 2 - Summary of Significant Accounting Policies - Schedules of concentration risk (Details)	Mar. 31, 2014	Dec. 31, 2013
Accounting Policies [Abstract]	'	'
Customer A	39.00%	'
Customer B	23.00%	21.00%
Customer C	23.00%	'
Customer D	'	14.00%
Customer E	'	18.00%

Note_2_Summary_of_Significant_4

Note 2 - Summary of Significant Accounting Policies - Schedule of useful lives (Details)	3 Months Ended
	Mar. 31, 2014
Accounting Policies [Abstract]	'
Machinery and equipment including capitalized leased equipment	'5 to 7 years
Buildings including capitalized leased buildings	'27.5 years

Note_2_Summary_of_Significant_5

Note 2 - Summary of Significant Accounting Policies (Details Narrative) (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013
Accounting Policies [Abstract]	'	'	'
Allowance for doubtful accounts	$2,836	'	$2,836
Factoring fees paid	8,547	8,906	'
Percent net sales allocated to two customers	81.00%	87.00%	'
Number other customers with 10% sales or more	0	0	'
Number customers allocating for more than 10% of Company's net accounts receivable	3	'	'
Number vendors representing purchases	3	'	'
Percent total purchases represented by 3 vendors	0.65	0.61	'
Barter sales	0	715	'
Advertising and marketing costs	43,984	0	'
Research and development costs	$14,434	$669	'

Note_4_Inventories_Companys_in

Note 4 - Inventories - Company's inventories (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
Inventory Disclosure [Abstract]	'	'
Inventories	$383,000	$356,000
Less: excess and obsolete reserve	-192,000	-192,000
Inventories, net	$291,000	$257,000

Note_5_Property_Plant_and_Equi2

Note 5 - Property, Plant and Equipment - Schedule of Property, plant and equipment (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
Property, Plant and Equipment [Abstract]	'	'
Capital lease, buildings	$293,000	$293,000
Capital lease, equipment	85,000	78,000
Computer equipment	9,000	9,000
Machinery and tools	136,000	135,000
Office equipment	4,000	4,000
Test equipment	79,000	74,000
Subtotal	606,000	599,000
Less: Accumulated depreciation	-206,000	-197,000
Total property, plant and equipment	$400,000	$402,000

Note_5_Property_Plant_and_Equi3

Note 5 - Property, Plant and Equipment (Details Narrative) (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Property, Plant and Equipment [Abstract]	'	'
Depreciation expense	$8,649	$5,423

Note_6_Notes_Payable_Notes_pay

Note 6 - Notes Payable - Notes payable (Details) (USD $)	Mar. 31, 2014		Dec. 31, 2013
Debt Disclosure [Abstract]	'		'
On-Deck, interest at 31% per annum, repay at $208 per day for 251 days, due April 15, 2014 (a)	$18,000	[1]	$28,000
Superior Finance, interest at 4.5%, repay at $62 per month, due May 2017, guaranteed by shareholder	2,000		2,000
Current Electronics, zero interest, repay $1,000 per month, due May 1, 2014, unsecured (b)	5,000	[2]	5,000
IOU Central, interest at 15% per annum, repay $1,894 per month, due December 31, 2014	16,000		'
Merchants Advance Network, interest at 15% per annum, repay $5,786 per month, due August 31, 2014	18,000		'
Third party loans, interest range from 0% to 4%, various terms	13,000		17,000
Total notes payable	72,000		52,000
Current portion of notes payable	-63,000		-49,000
Long-term portion of notes payable	$9,000		$3,000
[1]	(a)Subsequent to March 31, 2014, the Company paid off the outstanding balance of its note payable with On-Deck.
[2]	(b)Subsequent to March 31, 2014, the Company entered into a verbal agreement with Current Electronics to pay the outstanding balance in $500 monthly installments.

Note_7_Convertible_Debt_Conver

Note 7 - Convertible Debt - Convertible Debt (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
Notes to Financial Statements	'	'
Convertible debt, dated December 13, 2013, bearing interest at 15% per annum, matures December 1, 2014, and convertible into shares of common stock at $0.25 per share	$50,000	$50,000
Less: debt discount	-5,000	-7,000
Convertible debt, net	$45,000	$43,000

Note_7_Convertible_Debt_Detail

Note 7 - Convertible Debt (Details Narrative) (USD $)	12 Months Ended
	Dec. 31, 2013	Mar. 31, 2014
Notes to Financial Statements	'	'
Interest rate, convertible note	15.00%	'
Principal balance, convertible note	$50,000	$50,000
Conversion price per share	$0.25	'
Beneficial conversion feature	$7,000	'

Note_8_Significant_Transaction1

Note 8 - Significant Transactions with Related Parties (Details Narrative) (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013
Related Party Transactions [Abstract]	'	'	'
Related party payables	$67,000	'	$46,000
Related party loans payable	23,000	'	23,000
Interest rates, related party loans	'6% and 7%	'	'
Accrued interest, related party loans	$360	$270	'

Note_9_Capitalized_Lease_Oblig2

Note 9 - Capitalized Lease Obligations - Capitalized lease obligations (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
Debt Disclosure [Abstract]	'	'
Capital lease, building #1, interest at 6.25% per annum , payments of $1,485 per month, final payment due December 1, 2031	$190,000	$192,000
Capital lease, building #2, interest at 6% per annum, payments of $910 per month, final payment due October 7, 2023	79,000	86,000
Capital leases, various equipment, interest terms up to 36%, terms 1-3 years	53,000	57,000
Total capital lease obligations	322,000	335,000
Current portion of capital lease obligations	-36,000	-35,000
Long-term portion of capital lease obligations	$286,000	$300,000

Note_10_Capital_Stock_Details_

Note 10 - Capital Stock (Details Narrative) (USD $)	3 Months Ended	12 Months Ended
	Mar. 31, 2014	Oct. 18, 2015	Oct. 18, 2014	Oct. 18, 2013
Equity [Abstract]	'	'	'	'
Capital contributions, cummulative to date	$289,344	'	'	'
Total required capital contribution from shareholders	500,000	'	'	'
Contribued capital	61,811	'	'	'
Stock Award	'	'	'	500,000
Percent shares vesting after one year	'	50.00%	50.00%	'
Stock based compensation expense	10,581	'	'	'
Unrecognized compensation expense	$66,543	'	'	'
Remaining vesting term, years	1.5	'	'	'

Note_11_Commitments_and_Contin1

Note 11 - Commitments and Contingencies (Details Narrative) (USD $)	Mar. 31, 2014
Commitments and contingencies	'
Purchase commitments with two vendors	$4,300

Note_12_Subsequent_events_Deta

Note 12 - Subsequent events (Details Narrative) (USD $)	Jul. 10, 2014	30-May-14
Subsequent Events [Abstract]	'	'
Daily payments under note payable agreement	'	$567
Maturity term, months	'	8
Annual interest rate	15.00%	11.00%
Note payable, amount	$25,000	$60,000
Maturity term, years	1	'
Shares issued as security	2,500,000	'