UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                              Washington, DC 20549

                                    FORM 8-K
                                 CURRENT REPORT
     Pursuant to Section 13 OR 15(d) of the Securities Exchange Act of 1934


           Date of Report (Date of earliest reported) August 26, 2002

              _______________ Avitar, Inc.________________________
             (Exact name of registrant as specified in its chapter)

      _______Delaware__________ _______0-20316_________ ____06-1174053_____
       (State or other jurisdiction (File Commission Number) (IRS Employer
                      of incorporation) Identification No.)


            ____65 Dan_Road, Canton, MA________ _____02021__________
               (Address of principal executive offices) (Zip Code)


        Registrant's telephone number, including area code (781) 821-2440

             ____________________________ N/A ______________________
          (Former name or former address, if changed since last report)



Item 2. Acquisition or Disposition of Assets

On August 26, 2002, Avitar,  Inc.  ("Avitar") entered into a Securities Purchase
Agreement with Global Capital  Funding Group,  L.P.  ("GCFG"),  a small business
investment company.  Avitar received gross proceeds of $1,250,000.00 in exchange
for (i) a Secured Promissory Note (the "Note") in the same principal amount with
a term of three(3) years;  and (ii) 600,000  warrants for the purchase of a like
number of shares of Avitar common stock,  exercisable  for three (3) years.  The
Note is  secured  by  certain  collateral  consisting  of  substantially  all of
Avitar's  inventory,  equipment  and  accounts  receivable.  The  terms  of this
transaction were based upon arms-length negotiations between Avitar and GCFG.


Item 7. Financial Statements and Exhibits:

(c) Exhibits.

(4)(a)  Securities  Purchase  Agreement,  dated as of August 26,  2002,  between
     Avitar and GCFG.

(4)(b) Secured Promissory Note, dated August 26, 2002, made by Avitar to GCFG.

(4)(c)  Registration  Rights  Agreement,  dated as of August 26,  2002,  between
     Avitar and GCFG.

(4)(d) Common Stock  Purchase  Warrant,  dated as of August 26, 2002,  issued by
     Avitar to GCFG.

(4)(e) Security Agreement, dated as of August 26, 2002, between Avitar and GCFG.



                                   SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.

                                          Avitar, Inc.
                                          (Registrant)

Date September 10, 2002                   /s/ Jay C. Leatherman, Jr.
                                          ----------------------
                                          Jay C. Leatherman, Jr.
                                          Chief Financial Officer