GlyEco (GLYE) 10-Q 14 Aug 14 2014 Q2 Quarterly report Financial data

Document_And_Entity_Informatio

Document And Entity Information	6 Months Ended
	Jun. 30, 2014	Aug. 14, 2014
Document and Entity Information [Abstract]	'	'
Entity Registrant Name	'GlyEco, Inc.	'
Document Type	'10-Q	'
Current Fiscal Year End Date	'--12-31	'
Entity Common Stock, Shares Outstanding	'	58,190,649
Amendment Flag	'false	'
Entity Central Index Key	'0000931799	'
Entity Current Reporting Status	'Yes	'
Entity Voluntary Filers	'No	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Well-known Seasoned Issuer	'No	'
Document Period End Date	30-Jun-14	'
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q2	'

Condensed_Consolidated_Balance

Condensed Consolidated Balance Sheets (USD $)	Jun. 30, 2014	Dec. 31, 2013
Current assets	'	'
Cash	$1,997,682	$4,393,299
Accounts receivable, net	601,045	898,934
Due from related parties	19,968	34,868
Prepaid expenses	153,910	53,732
Inventories	506,077	268,191
Total current assets	3,278,682	5,649,024
Equipment	'	'
Equipment	4,235,521	3,719,344
Leasehold improvements	201,364	7,641
Accumulated depreciation	-521,421	-328,803
	3,915,464	3,398,182
Construction in process	3,971,315	2,117,001
Total equipment, net	7,886,779	5,515,183
Other assets	'	'
Deposits	0	80,708
Goodwill	835,295	779,303
Other intangible assets, net	3,567,276	3,673,190
Total other assets	4,402,571	4,533,201
Total assets	15,568,032	15,697,408
Current liabilities	'	'
Accounts payable and accrued expenses	880,972	1,271,674
Due to related parties	557,703	582,682
Note payable	6,702	6,504
Capital lease obligation	308,825	285,363
Total current liabilities	1,754,202	2,146,223
Non-current liabilities	'	'
Note payable	121,476	9,877
Capital lease obligation	1,048,783	1,189,574
Total non-current liabilities	1,170,259	1,199,451
Total liabilities	2,924,461	3,345,674
Redeemable Series AA convertible preferred stock, 2,342,740 shares issued and outstanding	0	1,171,375
Stockholders' equity	'	'
Preferred stock; $0.0001 par value; 10,000,000 shares authorized and zero shares issued and outstanding as of June 30, 2014 and 2,342,740 Series AA (above) as of December 31, 2013	0	0
Common stock, $.0001 par value; 51,992,009 and 48,834,916 shares issued and outstanding as of June 30, 2014 and December 31, 2013 respectively	5,192	4,884
Additional paid in capital	30,551,893	24,541,809
Accumulated deficit	-17,913,514	-13,366,334
Total stockholders' equity	12,643,571	11,180,359
Total liabilities and stockholders' equity	$15,568,032	$15,697,408

Condensed_Consolidated_Balance1

Condensed Consolidated Balance Sheets (Parentheticals) (USD $)	Jun. 30, 2014	Dec. 31, 2013
Redeemable preferred stock, shares issued	0	0
Redeemable preferred stock, shares outstanding	0	0
Preferred stock, par value (in Dollars per share)	$0.00	$0.00
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock; shares issued	0	0
Preferred stock; shares outstanding	0	0
Common stock, par value (in Dollars per share)	$0.00	$0.00
Common stock, shares issued	51,992,009	48,834,916
Common stock, shares outstanding	51,992,009	48,834,916
Series AA Preferred Stock [Member]	'	'
Redeemable preferred stock, shares issued	'	2,342,740
Redeemable preferred stock, shares outstanding	'	2,342,740
Preferred stock; shares issued	'	2,342,740
Preferred stock; shares outstanding	'	2,342,740

Condensed_Consolidated_Stateme

Condensed Consolidated Statements of Operations (unaudited) (USD $)	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Sales, net	$1,606,990	$1,417,473	$3,260,031	$2,650,140
Cost of goods sold	1,629,257	941,864	3,290,680	2,107,446
Gross profit	-22,267	475,609	-30,649	542,694
Operating expenses	'	'	'	'
Consulting fees	144,744	189,973	285,910	348,715
Stock-based compensation	238,758	0	711,532	0
Salaries and wages	243,579	191,040	515,154	348,557
Legal and professional	199,388	58,601	236,301	122,176
General and administrative	214,929	188,590	430,683	296,767
Total operating expenses	1,041,398	628,204	2,179,580	1,116,215
Loss from operations	-1,063,665	-152,595	-2,210,229	-573,521
Other (income) and expenses	'	'	'	'
Interest income	-66	-429	-644	-957
Interest expense	45,466	47,269	90,443	105,799
Total other income and expenses	45,400	46,840	89,799	104,842
Loss before provision for income taxes	-1,109,065	-199,435	-2,300,028	-678,363
Provision for income taxes	2,476	0	3,742	0
Net loss	-1,111,541	-199,435	-2,303,770	-678,363
Premium on Series AA Preferred conversion to common shares	0	0	2,243,410	0
Net loss available to common shareholders	($1,111,541)	($199,435)	($4,547,180)	($678,363)
Basic and diluted loss per share (in Dollars per share)	($0.02)	($0.01)	($0.09)	($0.02)
Weighted average number of common shares outstanding (basic and diluted) (in Shares)	51,906,725	39,481,793	50,707,479	40,564,341

Unaudited_Condensed_Consolidat

Unaudited Condensed Consolidated Statements of Stockholders' Equity (USD $)	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Total
Balance, December 31, 2013 at Dec. 31, 2013	$4,884	$24,541,809	($13,366,334)	$11,180,359
Balance, December 31, 2013 (in Shares) at Dec. 31, 2013	48,834,916	'	'	48,834,916
Common shares for acquisition	20	210,873	'	210,893
Common shares for acquisition (in Shares)	204,750	'	'	'
Common shares for note conversion	261	3,414,524	'	3,414,785
Common shares for note conversion (in Shares)	2,605,513	'	'	'
Warrants and options exercised	7	1,673,175	'	1,673,182
Warrants and options exercised (in Shares)	72,141	'	'	'
Share-based compensation	20	711,512	'	711,532
Share-based compensation (in Shares)	204,689	'	'	'
Premium on Series AA Preferred conversion to common shares	'	'	-2,243,410	-2,243,410
Net loss	'	'	-2,303,770	-2,303,770
Balance, June 30, 2014 at Jun. 30, 2014	$5,192	$30,551,893	($17,913,514)	$12,643,571
Balance, June 30, 2014 (in Shares) at Jun. 30, 2014	51,922,009	'	'	51,992,009

Condensed_Consolidated_Stateme1

Condensed Consolidated Statements of Cash Flows (unaudited) (USD $)	6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013
Net cash flow from operating activities	'	'
Net loss	($2,303,770)	($678,363)
Adjustments to reconcile net loss to net cash used by operating activities	'	'
Depreciation and amortization	298,532	119,139
Stock-based compensation expense	711,532	0
Stock issued for conversion of accrued interest	0	24,913
Stock issued for lease payment	0	80,000
(Increase) decrease in assets:	'	'
Accounts receivable	297,889	-1,386,927
Due from related party	14,900	0
Prepaid expenses	-100,178	-75,639
Inventories	-237,886	-376,895
Deposits	80,708	0
Increase (decrease) in liabilities:	'	'
Accounts payable and accrued expenses	-390,702	252,729
Due to related party	-24,979	900,797
Net cash used in operating activities	-1,653,954	-1,122,660
Cash flows from investing activities	'	'
Purchase of equipment	-554,999	-448,598
Construction in process	-1,854,314	0
Net cash used in investing activities	-2,409,313	-448,598
Cash flows from financing activities	'	'
Borrowing / (repayment) of debt	111,797	-509
Repayment of capital lease	-117,329	-40,866
Proceeds from sale of common stock	0	1,737,826
Stock issuance costs	0	-77,537
Proceeds from warrant exercise	1,673,182	0
Net cash provided by financing activities	1,667,650	1,618,914
Increase (decrease) in cash	-2,395,617	47,656
Cash at the beginning of the period	4,393,299	1,153,941
Cash at end of the period	1,997,682	1,201,597
Supplemental disclosure of cash flow information	'	'
Interest paid during period	90,443	0
Taxes paid during period	0	0
Supplemental disclosure of non-cash items	'	'
Premium on Series AA Preferred conversion to common shares	2,243,410	0
Equipment purchased with capital lease	0	1,714,974
Equipment purchased with debt	0	20,000
Series AA Preferred Stock [Member] | Stock Issued for Convertible Note, Principal and Interest [Member]	'	'
Supplemental disclosure of non-cash items	'	'
Non-cash items, stock issued	0	1,171,375
Stock Issued for Acquisition [Member]	'	'
Supplemental disclosure of non-cash items	'	'
Non-cash items, stock issued	210,893	188,686
Stock Issued for Property, Plant and Equipment [Member]	'	'
Supplemental disclosure of non-cash items	'	'
Non-cash items, stock issued	0	40,000
Stock Issued for Capital Lease, Principal and Interest [Member]	'	'
Supplemental disclosure of non-cash items	'	'
Non-cash items, stock issued	0	65,800
Stock Issued for Convertible Note, Principal and Interest [Member]	'	'
Supplemental disclosure of non-cash items	'	'
Non-cash items, stock issued	$0	$470,000

NOTE_1_Organization_and_Nature

NOTE 1 - Organization and Nature of Business	6 Months Ended
	Jun. 30, 2014
Disclosure Text Block [Abstract]	'
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]	'
	NOTE 1 – Organization and Nature of Business
	GlyEco, Inc. (the "Company", “we”, or “our”) is a green chemistry company that collects and recycles waste glycol into a reusable product that is sold to third party customers in the automotive and industrial end-markets. Our proprietary technology, GlyEco TechnologyTM, allows us to recycle all five major types of waste glycol into a virgin-quality product usable in any glycol application.  We are dedicated to conserving natural resources, limiting liability for waste generators, safeguarding the environment, and creating valuable green products.  We currently operate seven processing centers in the United States with our principal offices located in Phoenix, Arizona. Our processing centers are located in (1) Minneapolis, Minnesota, (2) Indianapolis, Indiana, (3) Lakeland, Florida, (4) Elizabeth, New Jersey, (5) Rock Hill, South Carolina, (6) Tea, South Dakota, and (7) Landover, Maryland.
	Currently, the Company is actively acquiring operating entities involved in the recycling of waste ethylene glycol and is consolidating and streamlining their operations.

NOTE_2_Basis_of_Presentation_a

NOTE 2 - Basis of Presentation and Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2014
Disclosure Text Block [Abstract]	'
Basis of Presentation and Significant Accounting Policies [Text Block]	'
	NOTE 2 – Basis of Presentation and Summary of Significant Accounting Policies
	Basis of Presentation
	The condensed consolidated financial statements included herein have been prepared by us without audit, pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”) and should be read in conjunction with the audited financial statements for the year ended December 31, 2013. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted, as permitted by the SEC, although we believe the disclosures that are made are adequate to make the information presented herein not misleading.  The accompanying consolidated financial statements reflect, in the opinion of management, all normal recurring adjustments necessary to present fairly our financial position at June 30, 2014, and the results of our operations and cash flows for the periods presented. We derived the December 31, 2013 condensed consolidated balance sheet data from audited financial statements, but do not include all disclosures required by GAAP.  Interim results are subject to seasonal variations and the results of operations for the three and six months ended June 30, 2014 and 2013, are not necessarily indicative of the results to be expected for the full year.
	Going Concern
	The condensed consolidated financial statements as of and for the three and six months ended June 30, 2014, and December 31, 2013 have been prepared assuming that the Company will continue as a going concern.  As of June 30, 2014, the Company has yet to achieve profitable operations and is dependent on its ability to raise capital from stockholders or other sources to sustain operations and to ultimately achieve viable operations. The condensed consolidated financial statements do not include any adjustments that might result from the outcome of these uncertainties.
	The Company’s plans to address these matters include, raising additional financing through offering its shares of capital stock in private and/or public offerings of its securities and through debt financing if available and needed. The Company plans to become profitable by upgrading the capacity and capabilities at its existing operating facilities, continuing to implement its patent-pending technology in international markets, and acquiring profitable glycol recycling companies, which are looking to take advantage of the Company’s public company status and improve their profitability through a combined synergy. The Company expects gross margins to increase as the costs associated with integration continue to decline and sales of our T1 material reached plan levels.

NOTE_3_Inventory

NOTE 3 - Inventory	6 Months Ended
	Jun. 30, 2014
Inventory Disclosure [Abstract]	'
Inventory Disclosure [Text Block]	'
	NOTE 3 – Inventory
	As of June 30, 2014, the Company’s total inventories were $506,077.
	June 30,	2014
	Raw materials	$	181,194
	Work in process		119,474
	Finished goods		205,409
	Total inventories (unaudited)	$	506,077

NOTE_4_Income_Taxes

NOTE 4 - Income Taxes	6 Months Ended
	Jun. 30, 2014
Income Tax Disclosure [Abstract]	'
Income Tax Disclosure [Text Block]	'
	NOTE 4 – Income Taxes
	As of June 30, 2014, the Company had a net operating loss (NOL) carryforwards of approximately $11,480,000 adjusted for stock based compensation and certain other non-deductible items available to reduce future taxable income, if any. The NOL carryforward begins to expire in 2028, and fully expire in 2033. Because management is unable to determine that it is more likely than not that the Company will realize the tax benefit related to the NOL carryforward, by having taxable income, a valuation allowance has been established as of June 30, 2014 and December 31, 2013 to reduce the tax benefit asset value to zero.

NOTE_5_Options_and_Warrants

NOTE 5 - Options and Warrants	6 Months Ended
	Jun. 30, 2014
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]	'
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	'
	NOTE 5 – Options and Warrants
	The following are details related to options issued by the Company:
					Weighted
		Options for			Average
		Shares			Exercise Price
	Outstanding as of December 31, 2013		10,133,506		$	0.74
	Granted		537,172			0.75
	Exercised		(146,250	)		0.77
	Forfeited		-			-
	Cancelled		-			-
	Expired		-			-
	Outstanding as of June 30, 2014 (unaudited)		10,524,428		$	0.74
	All options exercised were done so by means of a cashless exercise, whereby the Company received no cash and issued new shares.
	We account for all stock-based payment awards made to employees and directors based on estimated fair values. We estimate the fair value of share-based payment awards on the date of grant using an option-pricing model and the value of the portion of the award that is ultimately expected to vest is recognized as expense over the requisite service period, net of forfeitures. As of June 30, 2014, there were $481,610 of unrecognized compensation expenses related to share-based payment arrangements. These costs are expected to be recognized over a weighted-average period of approximately three years. The company has sufficient shares to satisfy expected share-based payment arrangements in 2014.
	The following are details related to warrants issued by the Company:
					Weighted
		Warrants for			Average
		Shares			Exercise Price
	Outstanding as of December 31, 2013		19,530,441		$	1.08
	Granted		2,705,513			1
	Exercised		-			-
	Forfeited		-			-
	Cancelled		-			-
	Expired		-			-
	Outstanding as of June 30, 2014 (Unaudited)		22,235,954		$	1.07
	On July 1, 2014, the Company issued 6,268,628 shares of common stock upon the exercise of 6,268,628 warrants.  Please see additional discussion of the warrant exercise in Note 8.

NOTE_6_Related_Party_Transacti

NOTE 6 - Related Party Transactions	6 Months Ended
	Jun. 30, 2014
Related Party Transactions [Abstract]	'
Related Party Transactions Disclosure [Text Block]	'
	NOTE 6 – Related Party Transactions
	Related party transactions are included in cost of goods sold, consulting fees, general and administrative expenses, interest expense, and the capital lease obligation. Amount of related party transactions included in the condensed consolidated statements of operations are shown below.
		Three months ended June 30					Six months ended June 30,
		2014			2013		2014		2013
		(unaudited)			(unaudited)		(unaudited)		(unaudited)
	Cost of goods sold		403,161			539,239		882,668		1,002,139
	Operating expenses		58,325			71,998		96,958		114,690
	Interest expense		45,466			46,840		87,916		82,834
	Chief Executive Officer
	The Chief Executive Officer purchased 156,000 shares in the offering that closed on February 15, 2013 at a price of $0.65 per share in consideration of monies owed to him by the Company.
		2014
	Beginning balance as of December 31, 2013	$	114,434
	Monies owed		7,679
	Monies paid		(22,113	)
	Ending balance as of June 30, 2014 (Unaudited)	$	100,000
	Chief Business Development Officer
	The Chief Business Development Officer is the sole owner of two corporations, CyberSecurity, Inc. and Market Tactics, Inc., which were paid for marketing consulting services provided to the Company.
		2014
	Beginning balance as of December 31, 2013	$	16,058
	Monies owed		53,698
	Monies paid		(68,776	)
	Ending balance as of June 30, 2014 (Unaudited)	$	980
	Director
	A Director of the Company is the counter party to consulting and non-compete contracts, as well as the sole owner of two corporations, Full Circle and NY Terminals with contracts with the Company. Full Circle is paid pursuant to lease and services agreements. NY Terminals is paid pursuant to a ground lease agreement.
		2014
	Beginning balance as of December 31, 2013	$	426,052
	Monies owed		1,046,494
	Monies paid		(1,015,823	)
	Ending balance as of June 30, 2014 (Unaudited)	$	456,723

NOTE_7_Commitments_and_Conting

NOTE 7- Commitments and Contingencies	6 Months Ended
	Jun. 30, 2014
Commitments and Contingencies Disclosure [Abstract]	'
Commitments and Contingencies Disclosure [Text Block]	'
	NOTE 7 – Commitments and Contingencies
	Litigation
	The Company may be party to legal proceedings in the ordinary course of business.  The Company believes that the nature of these proceedings (collection actions, etc.) are typical for a Company of our size and scope of operations.  Currently, there are no pending legal proceedings.  The Company is aware of a potential claim that is at least reasonably possible of being asserted regarding a contract dispute with a firm retained to assist in the raising of capital.  The estimated range involved in this dispute is from $0 to $100,000.    Management believes this possible claim is without merit and intends to vigorously defend ourselves should a formal claim be made.
	Environmental Matters
	We are subject to federal, state, and local laws, regulations and ordinances relating to the protection of the environment, including those governing discharges to air and water, handling and disposal practices for solid and hazardous wastes, and occupational health and safety.  It is management’s opinion that the Company is not currently exposed to significant environmental remediation liabilities or asset retirement obligations as of June 30, 2014.  However, if a release of hazardous substances occur, or is found on one of our properties from prior activity, we may be subject to liability arising out of such conditions and the amount of such liability could be material.

NOTE_8_Subsequent_Events

NOTE 8 - Subsequent Events	6 Months Ended
	Jun. 30, 2014
Subsequent Events [Abstract]	'
Subsequent Events [Text Block]	'
	NOTE 8 – Subsequent Events
	Registration of Securities
	On June 30, 2014, we began the process of registering approximately 37.2 million shares of our issued and outstanding shares that are currently restricted in accordance with Rule 144 under the Securities Act of 1933, as amended (the “Securities Act”).  We will not receive any proceeds from the registration process and we are unable to determine when the registration process will be completed.
	Warrant Exercises
	On July 1, 2014, the Company issued 6,268,628 shares of common stock, par value $0.0001 per share, upon the exercise of 6,268,628 warrants.
	The Company temporarily reduced the exercise price of all of its outstanding warrants to $0.50 per share for a period beginning on June 4, 2014, and ending on July 1, 2014 (the “Temporary Exercise Period”). During the Temporary Exercise Period, forty-six warrant holders exercised a total of 6,268,628 warrants and therefore purchased 6,268,628 shares of common stock in exchange for an aggregate purchase price of $3,134,314.  We received exercise funds of $1,673,182 prior to the exercise date and this amount was credit to additional paid in capital in the accompanying condensed consolidated balance sheet as of June 30, 2014.
	The Company utilized the services of two FINRA registered placement agents during the Temporary Exercise Period. In connection with the warrant exercises, the Company paid an aggregate cash fee of approximately $60,869 to such placement agents. The net proceeds to the Company from the warrant exercises, after deducting the foregoing cash fee, were approximately $3,073,445.
	The securities issued in connection with the warrant exercises have not been registered under the Securities Act, and were made pursuant to the exemptions from registration provided by Section 4(2) of the Securities Act or Rule 506 of Regulation D promulgated thereunder. The securities are therefore restricted in accordance with Rule 144 under the Securities Act.
	Consulting Agreement with Richard Geib
	On August 4, 2014, the Company entered into a Consulting Agreement (the “Consulting Agreement”) with the Company’s Chief Technical Officer, Richard Geib.
	The Consulting Agreement supersedes the terms of the Consulting Agreement previously entered into between Global Recycling Technologies, Ltd., a Delaware corporation (“Global Recycling”), and Mr. Geib on May 3, 2010, which the Company assumed upon the consummation of a reverse triangular merger with Global Recycling on November 28, 2011.
	The Consulting Agreement is for a term of two years and may be extended for additional one-year terms by written agreement. Pursuant to the Consulting Agreement, Mr. Geib will assist in the further development and implementation of the Company’s proprietary technology for recycling glycol, the GlyEco TechnologyTM, and perform such other duties as requested by the Company’s Chief Executive Officer.
	In consideration for his services during the term, the Company will compensate Mr. Geib with an initial engagement fee of $50,000, a monthly consulting fee of $12,500 per month for the first year of the term, a to be determined monthly consulting fee for the second year of the term, and a total of 2,700,000 warrants to purchase shares of GlyEco common stock, par value $0.0001 per share, at an exercise price of $0.73 per share, of which half shall vest immediately and the remaining amount shall vest on August 4, 2015.

Accounting_Policies_by_Policy_

Accounting Policies, by Policy (Policies)	6 Months Ended
	Jun. 30, 2014
Accounting Policies [Abstract]	'
Basis of Accounting, Policy [Policy Text Block]	'
	Basis of Presentation
	The condensed consolidated financial statements included herein have been prepared by us without audit, pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”) and should be read in conjunction with the audited financial statements for the year ended December 31, 2013. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted, as permitted by the SEC, although we believe the disclosures that are made are adequate to make the information presented herein not misleading.  The accompanying consolidated financial statements reflect, in the opinion of management, all normal recurring adjustments necessary to present fairly our financial position at June 30, 2014, and the results of our operations and cash flows for the periods presented. We derived the December 31, 2013 condensed consolidated balance sheet data from audited financial statements, but do not include all disclosures required by GAAP.  Interim results are subject to seasonal variations and the results of operations for the three and six months ended June 30, 2014 and 2013, are not necessarily indicative of the results to be expected for the full year.
Liquidity Disclosure [Policy Text Block]	'
	Going Concern
	The condensed consolidated financial statements as of and for the three and six months ended June 30, 2014, and December 31, 2013 have been prepared assuming that the Company will continue as a going concern.  As of June 30, 2014, the Company has yet to achieve profitable operations and is dependent on its ability to raise capital from stockholders or other sources to sustain operations and to ultimately achieve viable operations. The condensed consolidated financial statements do not include any adjustments that might result from the outcome of these uncertainties.
	The Company’s plans to address these matters include, raising additional financing through offering its shares of capital stock in private and/or public offerings of its securities and through debt financing if available and needed. The Company plans to become profitable by upgrading the capacity and capabilities at its existing operating facilities, continuing to implement its patent-pending technology in international markets, and acquiring profitable glycol recycling companies, which are looking to take advantage of the Company’s public company status and improve their profitability through a combined synergy. The Company expects gross margins to increase as the costs associated with integration continue to decline and sales of our T1 material reached plan levels.

NOTE_3_Inventory_Tables

NOTE 3 - Inventory (Tables)	6 Months Ended
	Jun. 30, 2014
Inventory Disclosure [Abstract]	'
Schedule of Inventory, Current [Table Text Block]	'As of June 30, 2014, the Company’s total inventories were $506,077.
	June 30,	2014
	Raw materials	$	181,194
	Work in process		119,474
	Finished goods		205,409
	Total inventories (unaudited)	$	506,077

NOTE_5_Options_and_Warrants_Ta

NOTE 5 - Options and Warrants (Tables)	6 Months Ended
	Jun. 30, 2014
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]	'
Schedule of Stock Options Roll Forward [Table Text Block]	'The following are details related to options issued by the Company:
					Weighted
		Options for			Average
		Shares			Exercise Price
	Outstanding as of December 31, 2013		10,133,506		$	0.74
	Granted		537,172			0.75
	Exercised		(146,250	)		0.77
	Forfeited		-			-
	Cancelled		-			-
	Expired		-			-
	Outstanding as of June 30, 2014 (unaudited)		10,524,428		$	0.74
Schedule of Stockholders' Equity Note, Warrants or Rights [Table Text Block]	'The following are details related to warrants issued by the Company:
					Weighted
		Warrants for			Average
		Shares			Exercise Price
	Outstanding as of December 31, 2013		19,530,441		$	1.08
	Granted		2,705,513			1
	Exercised		-			-
	Forfeited		-			-
	Cancelled		-			-
	Expired		-			-
	Outstanding as of June 30, 2014 (Unaudited)		22,235,954		$	1.07

NOTE_6_Related_Party_Transacti1

NOTE 6 - Related Party Transactions (Tables)	6 Months Ended
	Jun. 30, 2014
NOTE 6 - Related Party Transactions (Tables) [Line Items]	'
Schedule of Related Party Transactions [Table Text Block]	'Related party transactions are included in cost of goods sold, consulting fees, general and administrative expenses, interest expense, and the capital lease obligation. Amount of related party transactions included in the condensed consolidated statements of operations are shown below.
		Three months ended June 30					Six months ended June 30,
		2014			2013		2014		2013
		(unaudited)			(unaudited)		(unaudited)		(unaudited)
	Cost of goods sold		403,161			539,239		882,668		1,002,139
	Operating expenses		58,325			71,998		96,958		114,690
	Interest expense		45,466			46,840		87,916		82,834
Chief Executive Officer [Member]	'
NOTE 6 - Related Party Transactions (Tables) [Line Items]	'
Schedule of Related Party Transactions [Table Text Block]	'The Chief Executive Officer purchased 156,000 shares in the offering that closed on February 15, 2013 at a price of $0.65 per share in consideration of monies owed to him by the Company.
		2014
	Beginning balance as of December 31, 2013	$	114,434
	Monies owed		7,679
	Monies paid		(22,113	)
	Ending balance as of June 30, 2014 (Unaudited)	$	100,000
Chief Business Development Officer [Member]	'
NOTE 6 - Related Party Transactions (Tables) [Line Items]	'
Schedule of Related Party Transactions [Table Text Block]	'The Chief Business Development Officer is the sole owner of two corporations, CyberSecurity, Inc. and Market Tactics, Inc., which were paid for marketing consulting services provided to the Company.
		2014
	Beginning balance as of December 31, 2013	$	16,058
	Monies owed		53,698
	Monies paid		(68,776	)
	Ending balance as of June 30, 2014 (Unaudited)	$	980
Director [Member]	'
NOTE 6 - Related Party Transactions (Tables) [Line Items]	'
Schedule of Related Party Transactions [Table Text Block]	'A Director of the Company is the counter party to consulting and non-compete contracts, as well as the sole owner of two corporations, Full Circle and NY Terminals with contracts with the Company. Full Circle is paid pursuant to lease and services agreements. NY Terminals is paid pursuant to a ground lease agreement.
		2014
	Beginning balance as of December 31, 2013	$	426,052
	Monies owed		1,046,494
	Monies paid		(1,015,823	)
	Ending balance as of June 30, 2014 (Unaudited)	$	456,723

NOTE_3_Inventory_Details

NOTE 3 - Inventory (Details) (USD $)	Jun. 30, 2014
Inventory Disclosure [Abstract]	'
Inventory, Gross	$506,077

NOTE_3_Inventory_Details_Sched

NOTE 3 - Inventory (Details) - Schedule of Inventory (USD $)	Jun. 30, 2014
Schedule of Inventory [Abstract]	'
Raw materials	$181,194
Work in process	119,474
Finished goods	205,409
Total inventories (unaudited)	$506,077

NOTE_4_Income_Taxes_Details

NOTE 4 - Income Taxes (Details) (USD $)	Jun. 30, 2014	Dec. 31, 2013	Jun. 30, 2014	Jun. 30, 2014
			Minimum [Member]	Maximum [Member]
NOTE 4 - Income Taxes (Details) [Line Items]	'	'	'	'
Operating Loss Carryforwards	$11,480,000	'	'	'
Operating Loss Carryforwards, Expiration Date, Year	'	'	'2028	'2033
Deferred Tax Assets, Net of Valuation Allowance	$0	$0	'	'

NOTE_5_Options_and_Warrants_De

NOTE 5 - Options and Warrants (Details) (USD $)	6 Months Ended	0 Months Ended
	Jun. 30, 2014	Jul. 01, 2014
	Employee Stock Option [Member]	Subsequent Event [Member]
NOTE 5 - Options and Warrants (Details) [Line Items]	'	'
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options (in Dollars)	$481,610	'
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition	'3 years	'
Stock Issued During Period, Shares, Exercise of Warrants	'	6,268,628
Class of Warrants or Rights Exercised	'	6,268,628

NOTE_5_Options_and_Warrants_De1

NOTE 5 - Options and Warrants (Details) - Schedule of Stock Options Roll Forward (USD $)	6 Months Ended
	Jun. 30, 2014
Number of Options for Shares [Member]	'
NOTE 5 - Options and Warrants (Details) - Schedule of Stock Options Roll Forward [Line Items]	'
Outstanding as of December 31, 2013	10,133,506
Granted	537,172
Exercised	-146,250
Forfeited	0
Cancelled	0
Expired	0
Outstanding as of June 30, 2014 (unaudited)	10,524,428
Weighted Average Exercise Price [Member]	'
NOTE 5 - Options and Warrants (Details) - Schedule of Stock Options Roll Forward [Line Items]	'
Outstanding as of December 31, 2013	0.74
Granted	0.75
Exercised	0.77
Forfeited	0
Cancelled	0
Expired	0
Outstanding as of June 30, 2014 (unaudited)	0.74

NOTE_5_Options_and_Warrants_De2

NOTE 5 - Options and Warrants (Details) - Schedule of Stockholders' Equity Note, Warrants or Rights (USD $)	6 Months Ended
	Jun. 30, 2014
Warrants for Shares [Member]	'
Class of Warrant or Right [Line Items]	'
Outstanding as of December 31, 2013	19,530,441
Granted	2,705,513
Exercised	0
Forfeited	0
Cancelled	0
Expired	0
Outstanding as of June 30, 2014 (Unaudited)	22,235,954
Weighted Average Exercise Price [Member]	'
Class of Warrant or Right [Line Items]	'
Outstanding as of December 31, 2013	1.08
Granted	1
Exercised	0
Forfeited	0
Cancelled	0
Expired	0
Outstanding as of June 30, 2014 (Unaudited)	1.07

NOTE_6_Related_Party_Transacti2

NOTE 6 - Related Party Transactions (Details) (Chief Executive Officer [Member], USD $)	0 Months Ended
	Feb. 15, 2013	Feb. 15, 2013
Chief Executive Officer [Member]	'	'
NOTE 6 - Related Party Transactions (Details) [Line Items]	'	'
Stock Issued During Period, Shares, New Issues	156,000	'
Shares Issued, Price Per Share	'	$0.65

NOTE_6_Related_Party_Transacti3

NOTE 6 - Related Party Transactions (Details) - Schedule of Related Party Transactions (USD $)	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Schedule of Related Party Transactions [Abstract]	'	'	'	'
Cost of goods sold	$403,161	$539,239	$882,668	$1,002,139
Operating expenses	58,325	71,998	96,958	114,690
Interest expense	$45,466	$46,840	$87,916	$82,834

NOTE_6_Related_Party_Transacti4

NOTE 6 - Related Party Transactions (Details) - Schedule of Related Party Transactions - Chief Executive Officer (USD $)	Jun. 30, 2014	Dec. 31, 2013	Jun. 30, 2014
			Chief Executive Officer [Member]
Related Party Transaction [Line Items]	'	'	'
Beginning balance as of December 31, 2013	$557,703	$582,682	$114,434
Monies owed	'	'	7,679
Monies paid	'	'	-22,113
Ending balance as of June 30, 2014 (Unaudited)	$557,703	$582,682	$100,000

NOTE_6_Related_Party_Transacti5

NOTE 6 - Related Party Transactions (Details) - Schedule of Related Party Transactions - Chief Business Development Officer (USD $)	Jun. 30, 2014	Dec. 31, 2013	Jun. 30, 2014
			Chief Business Development Officer [Member]
Related Party Transaction [Line Items]	'	'	'
Beginning balance as of December 31, 2013	$557,703	$582,682	$16,058
Monies owed	'	'	53,698
Monies paid	'	'	-68,776
Ending balance as of June 30, 2014 (Unaudited)	$557,703	$582,682	$980

NOTE_6_Related_Party_Transacti6

NOTE 6 - Related Party Transactions (Details) - Schedule of Related Party Transactions - Director (USD $)	Jun. 30, 2014	Dec. 31, 2013	Jun. 30, 2014
			Director [Member]
Related Party Transaction [Line Items]	'	'	'
Beginning balance as of December 31, 2013	$557,703	$582,682	$426,052
Monies owed	'	'	1,046,494
Monies paid	'	'	-1,015,823
Ending balance as of June 30, 2014 (Unaudited)	$557,703	$582,682	$456,723

NOTE_7_Commitments_and_Conting1

NOTE 7- Commitments and Contingencies (Details) (Dispute with Entity Contracted to Assist in Raising Capital [Member], USD $)	Jun. 30, 2014
Minimum [Member]	'
NOTE 7- Commitments and Contingencies (Details) [Line Items]	'
Loss Contingency, Estimate of Possible Loss	$0
Maximum [Member]	'
NOTE 7- Commitments and Contingencies (Details) [Line Items]	'
Loss Contingency, Estimate of Possible Loss	$100,000

NOTE_8_Subsequent_Events_Detai

NOTE 8 - Subsequent Events (Details) (USD $)	6 Months Ended			1 Months Ended	3 Months Ended	6 Months Ended	0 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013	Jul. 01, 2014	Aug. 13, 2014	Jun. 30, 2014	Aug. 04, 2014	Jul. 01, 2014	Aug. 04, 2014	Jul. 01, 2014
				Temporary Exercise Period [Member]	Temporary Exercise Period [Member]	Temporary Exercise Period [Member]	Subsequent Event [Member]	Subsequent Event [Member]	Subsequent Event [Member]	Subsequent Event [Member]
				Subsequent Event [Member]	Subsequent Event [Member]
NOTE 8 - Subsequent Events (Details) [Line Items]	'	'	'	'	'	'	'	'	'	'
Registration of Shares, Number of Shares	37,200,000	'	'	'	'	'	'	'	'	'
Stock Issued During Period, Shares, Exercise of Warrants	'	'	'	'	'	'	'	6,268,628	'	'
Common Stock, Par or Stated Value Per Share	$0.00	'	$0.00	'	'	'	'	'	'	$0.00
Class of Warrants or Rights Exercised	'	'	'	'	'	'	'	6,268,628	'	'
Class of Warrant or Right, Exercise Price of Warrants or Rights	'	'	'	$0.50	'	'	'	'	$0.73	'
Number of Warrant Holders	'	'	'	46	'	'	'	'	'	'
Proceeds from Warrant Exercises	$1,673,182	$0	'	'	$3,134,314	$1,673,182	'	'	'	'
Payments of Stock Issuance Costs	0	77,537	'	'	60,869	'	'	'	'	'
Proceeds from Warrant Exercises, Net	'	'	'	'	$3,073,445	'	'	'	'	'
Agreement, Term	'	'	'	'	'	'	'term of two years and may be extended for additional one-year terms by written agreement	'	'	'
Other Commitments, Description	'	'	'	'	'	'	'initial engagement fee of $50,000, a monthly consulting fee of $12,500 per month for the first year of the term, a to be determined monthly consulting fee for the second year of the term	'	'	'
Class of Warrant or Rights Granted	'	'	'	'	'	'	2,700,000	'	'	'
Warrants, Vesting Terms	'	'	'	'	'	'	'half shall vest immediately and the remaining amount shall vest on August 4, 2015	'	'	'