View Filing Data

Document and Entity Information - USD ($)	12 Months Ended
Document and Entity Information - USD ($)	Dec. 31, 2012	Feb. 15, 2013	Jun. 30, 2012
Document and Entity Information [Abstract]
Entity Registrant Name	MIMEDX GROUP, INC.
Entity Central Index Key	0001376339
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Smaller Reporting Company
Entity Public Float			$ 142,370,000
Entity Common Stock, Shares Outstanding		93,748,564
Document Fiscal Year Focus	2012
Document Fiscal Period Focus	FY
Document Type	10-K
Amendment Flag	false
Document Period End Date	Dec. 31, 2012

CONSOLIDATED BALANCE SHEETS - USD ($)	Dec. 31, 2012	Dec. 31, 2011
Current assets:
Cash and cash equivalents	$ 6,754,485	$ 4,112,326
Accounts receivable, net	7,653,561	1,891,919
Inventory, net	3,022,784	712,602
Prepaid expenses and other current assets	657,961	164,664
Total current assets	18,088,791	6,881,511
Property and equipment, net of accumulated depreciation of $2,279,840 and $1,814,473, respectively	1,071,625	869,411
Goodwill	4,040,443	4,040,443
Intangible assets, net of accumulated amortization of $4,848,756 and $3,468,515, respectively	11,911,749	15,090,485
Deposits and other long term assets	70,000	214,342
Total assets	35,182,608	27,096,192
Current liabilities:
Accounts payable	1,251,684	1,517,449
Accrued expenses	3,743,934	783,189
Other current liabilities	75,154	6,620
Current portion of long term debt with related party	0	1,295,980
Current portion of long term convertible debt related to acquisition	0	1,128,806
Total current liabilities	5,070,772	4,732,044
Earn-out liability payable in MiMedx common stock	5,792,330	7,410,503
Convertible Senior Secured Promissory Notes	4,012,442	2,744,587
Other liabilities	299,762	312,493
Total liabilities	15,175,306	15,199,627
Commitments and contingencies (Notes 14 and 15)
Stockholders' equity:
Preferred stock; $.001 par value; 5,000,000 shares authorized and 0 shares issued and outstanding	0	0
Common stock; $.001 par value; 130,000,000 shares authorized; 88,423,169 issued and 88,373,169 outstanding for 2012 and 74,306,895 issued and 74,256,895 outstanding for 2011	88,423	74,307
Additional paid-in capital	89,627,601	73,868,604
Treasury stock (50,000 shares at cost)	(25,000)	(25,000)
Accumulated deficit	(69,683,722)	(62,021,346)
Total stockholders' equity	20,007,302	11,896,565
Total liabilities and stockholders' equity	$ 35,182,608	$ 27,096,192

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)	Dec. 31, 2012	Dec. 31, 2011
ASSETS
Property and equipment, net of accumulated depreciation	$ 2,279,840	$ 1,814,473
Intangible assets, net of accumulated amortization	$ 4,848,756	$ 3,468,515
Stockholders' equity:
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized (in shares)	5,000,000	5,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	130,000,000	130,000,000
Common stock, shares issued (in shares)	88,423,169	74,306,895
Common stock, shares outstanding (in shares)	88,373,169	74,256,895
Treasury stock, shares (in shares)	50,000	50,000

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)	12 Months Ended
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)	Dec. 31, 2012	Dec. 31, 2011
REVENUES:
Net sales	$ 27,053,773	$ 7,760,446
OPERATING COSTS AND EXPENSES:
Cost of products sold	5,188,378	3,357,909
Research and development expenses	2,884,546	2,976,313
Selling, general and administrative expenses	20,970,687	11,181,437
Impairment of intangible assets	1,798,495	0
Fair value adjustment of earn-out liability	1,567,050	5,803
LOSS FROM OPERATIONS	(5,355,383)	(9,761,016)
OTHER INCOME (EXPENSE), net
Amortization of debt discount	(1,714,101)	(315,152)
Interest expense, net	(592,892)	(117,818)
LOSS BEFORE INCOME TAXES	(7,662,376)	(10,193,986)
Income taxes	0	0
NET LOSS	$ (7,662,376)	$ (10,193,986)
Net loss per common share
Basic and diluted (in dollars per share)	$ (0.09)	$ (0.14)
Shares used in computing net loss per common share
Basic and diluted (in shares)	81,646,295	72,450,337

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($)	Series A Preferred Stock [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	Treasury Stock [Member]	Accumulated Deficit [Member]	Total
Balance at Dec. 31, 2010	$ 0	$ 64,382	$ 57,888,506	$ (25,000)	$ (51,827,360)	$ 6,100,528
Balance (in shares) at Dec. 31, 2010	0	64,381,910
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Employee share-based compensation expense	$ 0	$ 0	1,307,869	0	0	1,307,869
Employee share-based compensation expense (in shares)	0	0
Other share-based compensation expense	$ 0	$ 0	351,214	0	0	351,214
Other share-based compensation expense (in shares)	0	0
Exercise of stock options	$ 0	$ 490	295,263	0	0	$ 295,753
Exercise of stock options (in shares)	0	490,000				490,000
Sale of common stock and warrants (net of $47,333 of offering costs)	$ 0	$ 3,779	3,726,808	0	0	$ 3,730,587
Sale of common stock and warrants (net of $47,333 of offering costs) (in shares)	0	3,778,321
Shares issued in conjunction with conversion of convertible debt	$ 0	$ 406	406,257	0	0	406,663
Shares issued in conjunction with conversion of convertible debt (in shares)	0	406,664
Shares issued in conjunction with acquisition of Surgical Biologics, LLC	$ 0	$ 5,250	7,082,250	0	0	7,087,500
Shares issued in conjunction with acquisition of Surgical Biologics, LLC (in shares)	0	5,250,000
Beneficial conversion feature recognized on convertible debt	$ 0	$ 0	2,715,552	0	0	2,715,552
Warrants issued in conjunction with convertible promissory notes	0	0	14,885	0	0	14,885
Common stock issued for earn-out liability						0
Discount on beneficial conversion feature recognized on line of credit with related party	0	0	80,000	0	0	80,000
Net loss for the period	0	0	0	0	(10,193,986)	(10,193,986)
Balance at Dec. 31, 2011	$ 0	$ 74,307	73,868,604	(25,000)	(62,021,346)	11,896,565
Balance (in shares) at Dec. 31, 2011	0	74,306,895
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Employee share-based compensation expense	$ 0	$ 0	2,075,680	0	0	2,075,680
Employee share-based compensation expense (in shares)	0	0
Other share-based compensation expense	$ 0	$ 0	463,041	0	0	463,041
Other share-based compensation expense (in shares)	0	0
Exercise of stock options	$ 0	$ 844	1,051,824	0	0	$ 1,052,668
Exercise of stock options (in shares)	0	843,863				843,862
Exercise of warrants	$ 0	$ 7,960	5,993,103	0	0	$ 6,001,063
Exercise of warrants (in shares)	0	7,959,767
Repurchase of warrants	$ 0	$ 0	(568)	0	0	(568)
Repurchase of warrants (in shares)	0	0
Cashless exercise of warrants	$ 0	$ 216	(216)	0	0	0
Cashless exercise of warrants (in shares)	0	216,085
Common stock issued for accrued director fees	$ 0	$ 167	184,486	0	0	$ 184,653
Common stock issued for accrued director fees (in shares)	0	167,086				167,086
Common stock issued for earn-out liability	$ 0	$ 2,632	3,182,591	0	0	$ 3,185,223
Common stock issued for earn-out liability (in shares)	0	2,632,576				2,632,576
Discount on beneficial conversion feature recognized on line of credit with related party	$ 0	$ 0	514,456	0	0	$ 514,456
Common stock issued for acquisition note	$ 0	$ 893	892,374	0	0	893,267
Common stock issued for acquisition note (in shares)	0	893,267
Convertible line of credit with related party		$ 1,404	1,402,226			$ 1,403,630
Convertible of line of credit with related party (in shares)		1,403,630				1,403,630
Net loss for the period	$ 0	$ 0	0	0	(7,662,376)	$ (7,662,376)
Balance at Dec. 31, 2012	$ 0	$ 88,423	$ 89,627,602	$ (25,000)	$ (69,683,722)	$ 20,007,302
Balance (in shares) at Dec. 31, 2012	0	88,423,169

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Parenthetical)	12 Months Ended
	Dec. 31, 2011 USD ($)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Sale of common stock and warrants, net of offering cost	$ 47,733

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	12 Months Ended
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	Dec. 31, 2012	Dec. 31, 2011
Cash flows from operating activities:
Net loss	$ (7,662,376)	$ (10,193,986)
Adjustments to reconcile net loss to net cash flows from operating activities:
Depreciation	465,367	446,502
Amortization of intangible assets	1,380,241	1,335,908
Impairment of intangible assets	1,798,495	0
Amortization of debt discount and deferred financing costs	1,714,101	315,152
Employee share-based compensation expense	2,075,680	1,307,869
Other share-based compensation expense	463,041	351,214
Change in fair value of earn-out liability	1,567,050	5,803
Increase (decrease) in cash resulting from changes in (net of effects of acquisition):
Accounts receivable	(5,761,642)	(1,208,456)
Inventory	(2,310,182)	(253,942)
Prepaid expenses and other current assets	(466,060)	(70,980)
Other assets	96,657	(80,375)
Accounts payable	(81,112)	929,039
Accrued expenses	2,960,744	327,212
Accrued interest	387,896	107,886
Other liabilities	(12,731)	16,383
Net cash flows from operating activities	(3,384,831)	(6,664,771)
Cash flows from investing activities:
Purchases of equipment	(582,931)	(486,091)
Proceeds From REBA Grant	0	250,000
Cash paid for acquisition, net of cash acquired of $33,583	0	(466,417)
Net cash flows from investing activities	(582,931)	(702,508)
Cash flows from financing activities:
Proceeds from exercise of warrants	6,001,063	0
Proceeds from exercise of stock options	1,052,668	295,753
Repayment of Convertible Debt related to acquisition	(427,126)	0
Repayment of equipment lease	(16,116)	0
Repurchase of warrants	(568)	0
Proceeds from Senior Secured Promissory Notes	0	5,000,000
Proceeds from Line of Credit with related party	0	1,300,000
Repayment of Line of Credit	0	(99,000)
Repayment of Note Payable	0	(88,657)
Proceeds from sale of common stock and warrants and common stock with registration rights, net	0	3,730,587
Net cash flows from financing activities	6,609,921	10,138,683
Net change in cash	2,642,159	2,771,404
Cash, beginning of period	4,112,326	1,340,922
Cash, end of period	6,754,485	4,112,326
Supplemental disclosure of cash flow information:
Cash paid for interest	13,322	15,456
Cash paid for income taxes	$ 0	$ 0

CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($)	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Cash flows from investing activities:
Acquisition, cash acquired		$ 33,583
Supplemental disclosure of cash flow information:
Cash paid for interest	$ 13,322	15,456
Cash paid for income taxes	$ 0	0
Supplemental disclosure of non-cash financing activity:
Common stock issued for accrued director fees (in shares)	167,086
Shares issued for Director's fees	$ 184,653
Exercise of warrants (in shares)	216,085
Common stock issued for earn-out liability (in shares)	2,632,576
Shares issued for payment of Earn-out liability related to Surgical Biologics	$ 3,185,223	$ 0
Equipment purchased under capital lease	$ 84,650
Conversion of Convertible Secured Promissory Notes related to the acquisition of Surgical Biologics (in shares)	893,267
Shares issued for payment of Line of Credit with related party (in shares)	1,403,630
Shares issued for payment of Line of Credit with related party	$ 1,403,630
Outstanding convertible debt and accrued interest (in shares)		406,664
Shares Issued In Conjunction With Its Acquisition Of Surgical Biologics LLC (in shares)		5,250,000
Stock valued in conjunction with the acquisition of Surgical Biologics, LLC		$ 7,087,500
Proceeds from issuance of Convertible Senior Secured Promissory Notes	1,250,000
Beneficial conversion feature value related to the convertible debt issued with regard to the acquisition of Surgical Biologics, LLC	893,267	437,500
Beneficial conversion feature related to convertible line of credit	$ 514,456	80,000
Beneficial Conversion Feature Value Related To Convertible Debt Issued With Regard To Senior Secured Promissory Notes		2,278,052
Beneficial Conversion Feature Related To Warrants Issued With Regard To Senior Secured Promissory Notes		$ 14,885

Nature of Business

12 Months Ended

Dec. 31, 2012

Nature of Business [Abstract]

Nature of Business

1.	Nature of Business

MiMedx Group, Inc. ("MiMedx," "The Company," "we," or "us") operates in one business segment, Regenerative Biomaterials, which includes the design, manufacture, and marketing of products and tissue processing services for the Wound Care, Orthopedics, Spine, Ophthalmic and Dental market categories. Our biomaterial platform technologies include the device technologies HydroFix® and CollaFixTM, and our tissue technologies, AmnioFix® and EpiFix®.

The Company is focused primarily on the United States but will pursue other individual markets based upon the specific opportunity. The adoption of the technologies may vary depending on each country's regulations, but the opportunities to help individuals in the different disease states remain similar and large.

Significant Accounting Policies

12 Months Ended

Dec. 31, 2012

Significant Accounting Policies [Abstract]

Significant Accounting Policies

2.	Significant Accounting Policies

Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting principles ("GAAP") requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.

Principles of Consolidation

The accompanying financial statements include the accounts of MiMedx Group, Inc. and its wholly-owned subsidiaries MiMedx, Inc., SpineMedica, LLC., and Surgical Biologics, LLC. All significant inter-company balances and transactions have been eliminated

Reclassifications

Certain amounts in the prior year financial statements have been reclassified to conform to the current year financial statement presentation.

Historically, the Company has reported depreciation and share-based compensation expense as part of Selling, General and Administrative expense. The Company decided to report these expenses in each functional area in order to more accurately present all of the costs attributable to each functional area. During the years ended December 31, 2012 and 2011, we recorded a total of approximately $465,000 and $447,000 in depreciation expense allocated to each functional area per the table below. The overall $19,000 increase in depreciation was attributable to the purchase of additional production and office equipment and leasehold build-out to support our revenue growth and additional staff. We depreciate our assets on a straight-line basis, principally over five to seven years.

The following table shows the allocation of depreciation for the years ended December 31, 2012 and 2011, to operating departments:

	Year Ended December 31,
Depreciation expense included in:	2012		2011
Cost of products sold	$	155,987	$	104,950
Research and development		120,260		118,565
Selling, general and administrative		189,120		222,987
	$	465,367	$	446,502

Share-based compensation for the years ended December 31, 2012 and 2011, was approximately $2,539,000 and $1,659,000, respectively, an increase of approximately $880,000 or 53.0%. Increased employee stock option grants reflecting management's philosophy of aligning employee compensation with investor objectives and the increase in the market price of MiMedx common stock was the primary reason for the increase in expense. The following table shows the allocation of share-based compensation for the years ended December 31, 2012 and 2011, to operating departments:

	Year Ended December 31,
Share-based compensation included in:	2012		2011
Cost of products sold	$	97,970	$	98,366
Research and development		289,341		254,997
Selling, General and administrative		2,151,410		1,305,720
	$	2,538,721	$	1,659,083

Segment Reporting

ASC 280, "Segment Reporting" requires use of the "management approach" model for segment reporting. The management approach model is based on the way a company's management organizes segments within the company for making operating decisions and assessing performance. The Company determined it has one operating segment. Disaggregation of the Company's operating results is impracticable, because the Company's research and development activities and its assets overlap, and management reviews its business as a single operating segment. Thus, discrete financial information is not available by more than one operating segment.

Market Concentrations and Credit Risk

The Company places its cash and cash equivalents on deposit with financial institutions in the United States. In July 2010, the Federal Deposit Insurance Corporation ("FDIC") increased coverage to $250,000 for substantially all depository accounts and temporarily provides unlimited coverage for certain qualifying and participating non-interest bearing transaction accounts. The temporary unlimited coverage expired on December 31, 2012, at which time the amounts insured by the FDIC returned to $250,000. As of January 1, 2013, the Company had cash and cash equivalents of approximately $6,254,000 in excess of these insured amounts.

The Company's principal market concentration of risk is related to its limited distribution channels. Three customers accounted for approximately 68% of revenues for the year ended December 31, 2012, including one customer who represented 40% and another customer which represented 21% of total revenue. Two customers accounted for approximately 37% of the revenues for the year ended December 31, 2011, including one customer who represented 19% and another customer which represented 18% of total revenue. The Company's accounts receivable are derived from customers primarily located in the United States of America. As of December 31, 2012 two customers accounted for 78% of total accounts receivable, 53% and 25% respectively compared to December 31, 2011 when two customers accounted for 43% of total accounts receivable, 33% and 10%, respectively.

Cash and Cash Equivalents

Cash and cash equivalents include all highly liquid investments with an original maturity of three months or less.

Accounts Receivable

Accounts receivable represent amounts due from customers for which revenue has been recognized. Generally, the Company does not require collateral or any other security to support its receivables.

The allowance for doubtful accounts is the Company's best estimate of the amount of probable credit losses in the Company's existing receivables. The Company determines the allowance based on factors such as historical collection experience, customer's current creditworthiness, customer concentration, age of accounts receivable balance and general economic conditions that may affect the customer's ability to pay. As of December 31, 2012, and 2011, the Company has $49,400 and $19,500, respectively, in the allowance for doubtful accounts. Actual customer collections could differ from estimates. The approximate provision during the year ended December 31, 2012 was $56,900, with charge-offs of approximately $27,000 as compared to the approximate provision during the year ended December 31, 2011 of $57,900 with charge-offs of approximately $60,000.

Inventories

Inventories are valued at the lower of cost or market, using the first–in, first-out (FIFO) method. Inventory is tracked through Raw Material, WIP, and Finished Good stages as the product progresses through various production steps and stocking locations. Within WIP labor and overhead costs are absorbed through the various production processes upon work order closes in our ERP (Enterprise Resource Planning) system. Historical yields and normal capacities are utilized in the calculation of production overhead rates. Reserves for inventory obsolescence are utilized to account for slow-moving inventory as well as inventory no longer needed due to diminished market demand.

Goodwill and Purchased Intangible Assets

Goodwill and purchased intangible assets with indefinite useful lives are not amortized but are tested for impairment at least annually. The Company reviews goodwill and purchased intangible assets with indefinite lives for impairment annually at the beginning of its fourth fiscal quarter and whenever events or changes in circumstances indicate the carrying value of an asset may not be recoverable. For goodwill, the Company performs a two-step impairment test. In the first step, the Company compares the fair value of the Company to its carrying value. The Company determines the fair value utilizing the market approach. Under the market approach, the Company uses its market capitalization which is calculated by taking the Company's share price times the number of outstanding shares. If the fair value of the Company exceeds the carrying value of the net assets, goodwill is not impaired, and no further testing is required. If the fair value of the Company is less than the carrying value, the Company must perform the second step of the impairment test to measure the amount of impairment loss, if any. In the second step, the Company's value is allocated to all of the assets and liabilities, including any unrecognized intangible assets, in a hypothetical analysis that calculates the implied fair value of goodwill in the same manner as if the Company was being acquired in a business combination. If the implied fair value of the reporting unit's goodwill is less than the carrying value, the difference is recorded as an impairment loss.

The Company estimates the fair value of indefinite-lived purchased intangible assets using a market approach. The Company recognizes an impairment loss when the estimated fair value of the indefinite-lived purchased intangible assets is less than the carrying value. The Company reviews purchased intangible assets with finite lives for impairment whenever events or changes in circumstances indicate the carrying value of an asset may not be recoverable. Recoverability of these intangible assets is assessed based on the undiscounted future cash flows expected to result from the use of the asset. If the undiscounted future cash flows are less than the carrying value, the purchased intangible assets with finite lives are considered to be impaired. The amount of the impairment loss, if any, is measured as the difference between the carrying amount of these assets and the fair value based on a discounted cash flow approach or, when available and appropriate, to comparable market values. The Company amortizes purchased intangible assets with finite lives using the straight-line method over the estimated economic lives of the assets. Intangible assets with finite useful lives are amortized into Selling, General and Administrative Expenses in the consolidated statement of operations using the straight-line method over various periods depending upon the specific asset.

Impairment of Goodwill

We tested for impairment of the Intangible Assets related to the Licenses for SaluMedica LLC, Spine Repair and Polyvinyl Alcohol Cryogel as of September 30, 2012 using an undiscounted cash flow methodology. The impairment was the result of the HydroFix® product line experiencing slower than projected growth in each of its markets. Our test indicated that the carrying value of the assets related to HydroFix® exceeded its fair value, an impairment loss of approximately $1,798,000 was recognized and the intangible asset carrying amount was adjusted to its new basis. The impairment was reported as a separate line item in the Consolidated Statement of Operations and included in the Loss From Operations.

Property and Equipment

Property and equipment are recorded at cost and depreciated on a straight-line basis over their estimated useful lives, principally five to seven years. Leasehold improvements are depreciated on a straight-line basis over the lesser of the estimated useful lives or the life of the lease.

Impairment of Long-lived Assets

The Company evaluates the recoverability of its long-lived assets (property and equipment) whenever adverse events or changes in business climate indicate that the expected undiscounted future cash flows from the related assets may be less than previously anticipated. If the net book value of the related assets exceeds the expected undiscounted future cash flows of the assets, the carrying amount would be reduced to the present value of their expected future cash flows and an impairment loss would be recognized.

Deferred Grant Income

The Company received a Regional Economic Business Assistance ("REBA") grant in the amount of $250,000 from the State of Georgia to help the Company defray certain expenses and capital expenditures related to the Company's expansion of manufacturing activities in the State. To retain the grant monies the Company must add a certain number of full time positions and spend a certain amount on capital and operations expenditures by December 31, 2014. The Company recorded the grant monies received as Deferred Grant Income which is included in the Other Liabilities section of the balance sheet per ASC 450-30 Gain Contingencies where an existing condition, situation, or set of circumstances involving uncertainty as to possible gain will ultimately be resolved when one or more future events occur or fail to occur. A contingency that might result in a gain should not be reflected in the financial statements because to do so might be to recognize the gain before its realization. As part of the transaction, the Company sold and is leasing back $250,000 of the assets from the State for $100 payable at the time the performance standards are achieved or at the termination date of the lease whichever is earlier. Once the Company has met the headcount and expenditure goals of the project the Company shall notify the State and pay the fixed rent amount of $100 at which time ownership of the equipment will transfer back to the Company. The Company also entered into a Performance and Accountability Agreement with the State of Georgia which defines the performance standard that if the Company fails to reach by no later than December 31, 2014, the Company shall repay a portion of the Grant amount.

Debt Instruments with Detachable Warrants and Beneficial Conversion Features

According to ASC-470 Debt Instruments with Detachable Warrants, proceeds from the sale of convertible debt instruments with stock purchase warrants (detachable call options) shall be allocated to the two elements based upon the relative fair values of the debt instrument without the warrants and of the warrants themselves at the time of issuance. The portion of the proceeds so allocated to the warrants shall be accounted for as paid-in capital. The remainder of the proceeds shall be allocated to the debt instrument portion of the transaction. Also, the embedded beneficial conversion feature present in the convertible instrument shall be recognized separately at issuance by allocating a portion of the proceeds equal to the intrinsic value of that feature to additional paid-in capital.

Revenue Recognition

The Company sells its products primarily through a combination of independent stocking distributors and representatives in the U.S. and independent distributors in international markets. The Company recognizes revenue when title to the goods and risk of loss transfers to customers, provided there are no material remaining performance obligations required of the Company or any matters of customer acceptance. In cases where the Company utilized distributors or ships products directly to the end user, it recognizes revenue according to the shipping terms of the agreement provided all revenue recognition criteria have been met. A portion of the Company's revenue is generated from inventory maintained at hospitals or with field representatives. For these products, revenue is recognized at the time the product has been used or implanted. The Company records estimated sales returns, discounts and allowances as a reduction of net sales in the same period revenue is recognized.

Research and Development Costs

Research and development costs consist of direct and indirect costs associated with the development of the Company's technologies. These costs are expensed as incurred.

Income Taxes

Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective income tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the period that included the enactment date. Valuation allowances are recorded for deferred tax assets when the recoverability of such assets is not deemed more likely than not.

Uncertain Tax Positions

Tax positions are evaluated in a two-step process. The Company first determines whether it is more likely than not that a tax position will be sustained upon examination. If a tax position meets the more-likely-than-not recognition threshold it is then measured to determine the amount of benefit to recognize in the financial statements. The tax position is measured as the largest amount of benefit that is greater than 50% likely of being realized upon ultimate settlement. The Company classifies gross interest and penalties and unrecognized tax benefits that are not expected to result in payment or receipt of cash within one year as non-current liabilities in the Consolidated Balance Sheets.

Share-based Compensation

The Company follows the provisions of ASC topic 718 "Compensation — Stock compensation" which requires the use of the fair-value based method to determine compensation for all arrangements under which employees and others receive shares of stock or equity instruments (options and warrants). All awards are amortized on a straight-line basis over their vesting terms.

Fair Value of Financial Instruments

The carrying value of accounts payable and accrued expenses approximate their fair value due to the short-term nature of these liabilities. The fair value of our convertible debt approximates $4,012,000 which represents the face value less the unamortized discount of any beneficial conversion feature plus accrued but unpaid interest at December 31, 2012, as compared to the fair value of our short term and long term convertible debt of approximately $5,169,000 which represented the face value less the unamortized discount of any beneficial conversion feature plus accrued but unpaid interest at December 31, 2011. As of December 31, 2012, and December 31, 2011, the fair value of warrants issued in conjunction with placement fees was approximately $20,500 and $15,000, respectively, which represents the face value less the unamortized discount of any beneficial conversion feature.

Fair Value Measurements

The Company records certain financial instruments at fair value, including: cash equivalents and contingent consideration. The Company may make an irrevocable election to measure other financial instruments at fair value on an instrument-by-instrument basis; although as of December 31, 2012 the Company has not chosen to make any such elections. Fair value financial instruments are recorded in accordance with the fair value measurement framework.

The Company also measures certain non-financial assets at fair value on a non-recurring basis. These non-recurring valuations include evaluating assets such as long-lived assets, and non-amortizing intangible assets for impairment; allocating value to assets in an acquired asset group; and applying accounting for business combinations. The Company uses the fair value measurement framework to value these assets and reports these fair values in the periods in which they are recorded or written down.

The fair value measurement framework includes a fair value hierarchy that prioritizes observable and unobservable inputs used to measure fair values in their broad levels. These levels from highest to lowest priority are as follows:

Level 1: Quoted prices (unadjusted) in active markets that are accessible at the measurement date for identical assets or liabilities;

Level 2: Quoted prices in active markets for similar assets or liabilities or observable prices that are based on inputs not quoted on active markets, but corroborated by market data; and

Level 3: Unobservable inputs or valuation techniques that are used when little or no market data is available.

The determination of fair value and the assessment of a measurement's placement within the hierarchy requires judgment. Level 3 valuations often involve a higher degree of judgment and complexity. Level 3 valuations may require the use of various cost, market, or income valuation methodologies applied to unobservable management estimates and assumptions. Management's assumptions could vary depending on the asset or liability valued and the valuation method used. Such assumptions could include: estimates of prices, earnings, costs, actions of market participants, market factors, or the weighting of various valuation methods. The Company may also engage external advisors to assist it in determining fair value, as appropriate.

Although the Company believes that the recorded fair value of its financial instruments is appropriate, these fair values may not be indicative of net realizable value or reflective of future fair values.

Net loss Per Share

Basic net loss per common share is computed using the weighted-average number of common shares outstanding during the period.

For all periods presented, diluted net loss per share is the same as basic net loss per share, as the inclusion of equivalent shares from outstanding common stock options, warrants, and convertible debt would be anti-dilutive.

The following table sets forth the computation of basic and diluted net loss per share for the fiscal years ended December 31, 2012 and 2011:

	Year ended December 31,
	2012			2011
Net loss	$	(7,662,376	)	$	(10,193,986	)
Denominator for basic earnings per share - weighted average shares		81,646,295			72,450,337
Effect of dilutive securities: Stock options and warrants outstanding and convertible debt (a)		—			—
Denominator for diluted earnings per share - weighted average shares adjusted for dilutive securities		81,646,295			72,450,337
Loss per common share - basic and diluted	$	(0.09	)	$	(0.14	)

(a) Securities outstanding that were excluded from the computation, prior to the use of the treasury stock method, because they would have been anti-dilutive are as follows:

	December 31, 2012		December 31, 2011
Outstanding Stock Options		13,614,135		10,333,583
Outstanding Warrants		3,129,168		9,388,817
Convertible Debt, promissory notes		5,313,645		5,007,732
Convertible Line of Credit with Related Party		-		1,342,726
Convertible Debt, Acquisition		-		1,299,315
		22,056,948		27,372,173

The table above excludes all securities with contingencies including the earnout liability and contingent warrants.

Recently Adopted Accounting Pronouncements

In January 2012 the Company adopted Accounting Standards Update ("ASU") 2011-04, Fair Value Measurement (Topic 820): Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs, which clarifies some existing concepts and expands the disclosures for fair value measurements that are estimated using significant unobservable (Level 3) inputs. The adoption of ASU 2011-04 did not have a material effect on the Company's financial condition, profitability, and cash flows.

In January 2012 the Company adopted ASU 2011-05, Comprehensive Income (Topic 220): Presentation of Comprehensive Income. The amendments to the Codification in this ASU will require companies to present the components of net income and other comprehensive income either as one continuous statement or as two consecutive statements. It eliminates the option to present components of other comprehensive income as part of the statement of changes in stockholders' equity. The standard does not change the items which must be reported in other comprehensive income, how such items are measured or when they must be reclassified to net income. This standard is effective for interim and annual periods beginning after December 15, 2011. Because this ASU impacts presentation only, it had no effect on our financial condition, results of operations or cash flows.

In January 2012 the Company adopted ASU 2011-08, Intangibles-Goodwill and Other (Topic 350): Testing Goodwill for Impairment, which gives entities testing goodwill for impairment the option of performing a qualitative assessment before calculating the fair value of a reporting unit in step 1 of the goodwill impairment test. The adoption of ASU 2011-08 did not have a material effect on the Company's financial condition, profitability, and cash flows.

In July 2012, the FASB issued ASU No. 2012-02, which amends the guidance in ASC 350-30 on testing indefinite-lived intangible assets, other than goodwill, for impairment. Under the revised guidance, companies testing an indefinite-lived intangible asset for impairment have the option of performing a qualitative assessment before calculating the fair value of the asset (i.e. step 1 of the impairment test). If companies determine, on the basis of qualitative factors, that the fair value of the indefinite-lived intangible asset is more likely than not less than the carrying amount, the two-step impairment test would be required. This update is effective for annual and interim impairment tests performed for fiscal years beginning after September 15, 2012, with early adoption permitted. The Company adopted the revised guidance, and it did not have a material impact on the Company's Consolidated Financial Statements.

Recently Issued Accounting Pronouncements Not Yet Adopted

Disclosures about offsetting assets and liabilities – In December 2011, the FASB issued accounting guidance on disclosures about offsetting assets and liabilities. The guidance requires entities to disclose both gross and net information about instruments and transactions that are offset in the statement of financial position, as well as instruments and transactions that are subject to an enforceable master netting arrangement or similar agreement. In January 2013, the FASB issued guidance clarifying the scope of the disclosures to apply only to derivatives, including bifurcated embedded derivatives, repurchase and reverse repurchase agreements, and securities lending and securities borrowing transactions. This guidance is effective January 1, 2013, with retrospective application required. We do not expect the adoption to have a material impact on our financial statements.

Reporting of amounts reclassified out of accumulated other comprehensive income – In February 2013, the FASB issued accounting guidance on the reporting of reclassifications out of accumulated other comprehensive income. The guidance requires an entity to present, either on the face of the statement where net income is presented or in the notes, significant amounts reclassified out of accumulated other comprehensive income by the respective line items of net income if the amount is reclassified to net income in its entirety in the same reporting period. For other amounts not required to be reclassified in their entirety to net income in the same reporting period, a cross reference to other disclosures that provide additional detail about the reclassification amounts is required. This guidance is effective January 1, 2013. We do not expect the adoption to have a material impact on our financial statements.

Liquidity and Management's Plans

12 Months Ended

Dec. 31, 2012

Liquidity and Management's Plans [Abstract]

Liquidity and Management's Plans

3.	Liquidity and Management's Plans

As of December 31, 2012, the Company had approximately $6,754,000 of cash and cash equivalents. The Company reported total current assets of approximately $18,089,000 and current liabilities of approximately $5,071,000. The Company believes that its anticipated cash from operating and financing activities and existing cash and cash equivalents will enable the Company to meet its operational liquidity needs, fund its planned investing activities and pay its debt when due for the next year.

Acquisition of Surgical Biologics, LLC

12 Months Ended

Dec. 31, 2012

Acquisition of Surgical Biologics, LLC [Abstract]

Acquisition of Surgical Biologics, LLC

4.	Acquisition of Surgical Biologics, LLC

On December 21, 2010, we entered into an Agreement and Plan of Merger ("the Merger Agreement") with Membrane Products Holdings, LLC and OnRamp Capital Investments, LLC, the owners of Surgical Biologics, LLC ("Surgical Biologics"), a privately held company headquartered in Kennesaw, Georgia. This transaction closed on January 5, 2011 and as a result we acquired all of the outstanding shares of Surgical Biologics in exchange for $500,000 cash, a total of $1,250,000 in 4% Convertible Secured Promissory Notes, and $7,087,500 in stock, represented by 5,250,000 shares of our common stock (525,000 of which were held in escrow for the purpose of securing the indemnification obligations outlined in the Merger Agreement). Contingent consideration shall be payable in a formula determined by sales for the years 2011 and 2012. The significant unobservable inputs used in the fair value measurement of contingent consideration related to the acquisitions are annualized revenue forecasts developed by the Company's management and the probability of achievement of those revenue forecasts. The contingent consideration was initially valued at $7,404,700 and is shown in the schedule below as fair value of earn-out (level 3 input under the valuation hierarchy). We completed the acquisition of Surgical Biologics in an effort to extend our biomaterials product lines. As of December 31, 2011, the Company evaluated the contingent liability based on operating results for the year, and adjusted the earn-out liability to $7,410,503. On April 30, 2012, the Company issued 2,632,576 shares of its Common Stock valued at $3,185,223 in payment of the 2011 earn-out. As of December 31, 2012, the Company evaluated the 2012 contingent liability based on operating results for the year ended December 31, 2012, and adjusted the 2012 earn-out liability to $5,792,330.

Accrued Earn - Out Acquisition Consideration

	2012			2011

Beginning balance at January 1,	$	7,410,503		$	-
Valuation at acquisition date					7,404,700
Remeasurement adjustments		1,567,050			5,803
Common stock issued on earn - out		(3,185,223	)		-
Ending balance at December 31,	$	5,792,330		$	7,410,503

In total, the 4% Convertible Promissory Notes were convertible into up to 1,250,000 shares of the Company's common stock at $1.00 per share (a) at any time upon the election of the holder of the Convertible Notes; or (b) at the election of the Company, at any such time as the closing price per share of the Company's common stock (as reported by the OTCBB or on any national securities exchange on which the Company's shares may be listed, as the case may be) closes at no less than $1.75 per share for not less than 20 consecutive trading days in any period prior to the maturity date. The 4% Convertible Promissory Notes matured in eighteen (18) months and earned interest at 4% per annum on the outstanding principal amount payable in cash on the maturity date or convertible into shares of common stock of the Company as provided for above. The 4% Convertible Promissory Notes were secured by a security interest in the Intellectual Property, including the Patents and know-how and trade secrets related thereto, owned by, or exclusively licensed to, Surgical Biologics, LLC. In July, 2012, the Company settled the Convertible Promissory Notes by paying approximately $177,000 in cash and issuing 893,267 shares of MiMedx common stock.

The Company has evaluated the contingent consideration for accounting purposes under GAAP and has determined that the contingent consideration is within the scope of ASC 480 Distinguishing Liabilities from Equity whereby a financial instrument other than an outstanding share, that embodies a conditional obligation that the issuer may settle by issuing a variable number of its equity shares, shall be classified as a liability if, at inception, the monetary value of the obligation is based solely or predominantly on variations in something other than the fair value of the issuer's equity shares.

The actual purchase price was based on cash paid, the fair value of our stock on the date of the Surgical Biologics acquisition, and direct costs associated with the combination. The actual purchase price was allocated as follows:


Value of 5,250,000 shares issued at $1.35 per share	$	7,087,500
Cash paid at closing		350,000
Cash retained for working capital		150,000
Assumed Debt		182,777
Convertible Secured Promissory Note		1,250,000
Fair value of earn-out		7,404,700
Total fair value of purchase price	$	16,424,977

Assets purchased:
Tangible assets:
Debt-free working capital	$	671,880
Other assets, net		385
Property, plant and equipment		72,866
		745,131
Intangible assets:
Customer relationships		3,520,000
Supplier relationships		241,000
Patents and know-how		5,530,000
Trade names and trademarks		1,008,000
In-process research and development – liquid		2,160,000
In-process research and development – other		25,000
Licenses and permits		13,000
		12,497,000

Goodwill		3,182,846
Total Assets Purchased	$	16,424,977

Working capital and other assets were composed of the following:

Working capital:
Cash	$	33,583
Prepaid Expenses		2,738
Accounts Receivable		181,087
License Receivable		340,000
Inventory		347,106
Accounts payable and accrued expenses		(196,101	)
Deferred rent and customer deposits		(36,533	)
Debt-free working capital		671,880

Current portion of debt		(62,590	)
Long-term debt		(21,187	)
Line of credit		(99,000	)
Net working capital	$	489,103

Deposits	$	16,582
Deferred rent (non-current)		(16,197	)
	$	385

The combination was accounted for as a purchase business combination as defined by ASC Topic 805 – Business Combinations. The allocation of the purchase price to the assets acquired and liabilities assumed was based on an independent valuation report obtained by us.

The values assigned to intangible assets are subject to amortization. The intangible assets were assigned the following lives for amortization purposes:

	Estimated useful
Intangible asset:	life (in years)
Customer relationships	14
Supplier relationships	14
Patents and know-how	14
Trade names and trademarks	indefinite
In-process research and development – liquid	indefinite(a)
In-process research and development – other	indefinite
Licenses and permits	3

(a)AmnioFix® injectable was launched in 2012 with amortization recorded over its expected useful life.

Goodwill consists of the excess of the purchase price paid over the identifiable net assets and liabilities acquired at fair value. Goodwill was determined using the residual method based on an independent appraisal of the assets and liabilities acquired in the transaction. Goodwill is tested for impairment as defined by ASC Topic 350 – Intangibles – Goodwill and Other.

- Definition

The entire disclosure for a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. The disclosure may include leverage buyout transactions (as applicable).

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=7659399&loc=d3e1497-128463

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=7659399&loc=d3e1490-128463

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=7659399&loc=d3e1392-128463

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 30
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=7488404&loc=d3e7008-128479

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=7659399&loc=d3e1486-128463

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 30
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=7488404&loc=d3e6927-128479

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 20
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6910749&loc=d3e4845-128472

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=7659399&loc=d3e1500-128463

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=7659399&loc=d3e1524-128463

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 30
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=7488404&loc=d3e7000-128479

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 20
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6910749&loc=d3e4922-128472

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 20
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=6910749&loc=d3e4934-128472

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 20
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6910749&loc=d3e4926-128472

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 30
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=7488404&loc=d3e6996-128479

Reference 15: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 805
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=7659399&loc=d3e1383-128463

Reference 16: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Emerging Issues Task Force (EITF)
-Number 88-16
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 17: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 141R
-Paragraph F4
-Subparagraph e
-Appendix F

Reference 18: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 141
-Paragraph 51, 52
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 19: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 141R
-Paragraph 67-73
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

+ Details

Inventories

12 Months Ended

Dec. 31, 2012

Inventories [Abstract]

Inventories

5.	Inventories

Inventories consisted of the following items as of December 31, 2012 and 2011:

	December 31,
	2012			2011
Raw materials	$	233,747		$	95,288
Work in process		1,598,537			308,763
Finished goods		1,349,121			361,007
Inventory, gross		3,181,405			765,058
Reserve for obsolescence		(158,621	)		(52,456	)
Inventory, net	$	3,022,784		$	712,602

Property and Equipment

12 Months Ended

Dec. 31, 2012

Property and Equipment [Abstract]

Property and Equipment

6.	Property and Equipment

Property and equipment consist of the following as of December 31, 2012 and 2011:

	December 31,
	2012			2011
Leasehold improvements	$	1,022,230		$	925,086
Lab and clean room equipment		1,887,645			1,463,144
Furniture and equipment		431,563			295,654
Construction in Progress		10,027			-
Property, Equipment, gross		3,351,465			2,683,884
Less accumulated depreciation		(2,279,840	)		(1,814,473	)
Property, Equipment, net	$	1,071,625		$	869,411

The table above includes reclassifications of production equipment previously included in the furniture and office equipment category.

- Definition

The entire disclosure for long-lived, physical assets that are used in the normal conduct of business to produce goods and services and not intended for resale. Examples include land, buildings, machinery and equipment, and other types of furniture and equipment including, but not limited to, office equipment, furniture and fixtures, and computer equipment and software. This disclosure may include property plant and equipment accounting policies and methodology, a schedule of property, plant and equipment gross, additions, deletions, transfers and other changes, depreciation, depletion and amortization expense, net, accumulated depreciation, depletion and amortization expense and useful lives, income statement disclosures, assets held for sale and public utility disclosures.

+ References + Details

Intangible Assets and Royalty Agreement

12 Months Ended

Dec. 31, 2012

Intangible Assets and Royalty Agreement [Abstract]

Intangible Assets and Royalty Agreement

7.	Intangible Assets and Royalty Agreement

Intangible assets activity is summarized as follows:

	December 31, 2012											December 31, 2011
	Average	Gross								Net		Gross					Net
	Amortization	Carrying		Impairment			Accumulated			Carrying		Carrying		Accumulated			Carrying
	Lives	Value		Adjustment			Amortization			Value		Value		Amortization			Value

License-Shriners Hsp for Children & USF Research (a)	10 years	$	996,000	$	—		$	(587,633	)	$	408,367	$	996,000	$	(488,033	)	$	507,967
License - SaluMedica LLC Spine Repair (b)	10 years		2,399,000		(851,676	)		(1,547,324	)		—		2,399,000		(1,313,573	)		1,085,427
License - Polyvinyl Alcohol Cryogel (c)	10 years		2,667,000		(946,819	)		(1,223,561	)		496,620		2,667,000		(998,932	)		1,668,068
Customer Relationships (d)	14 years		3,520,000		—			(502,857	)		3,017,143		3,520,000		(251,429	)		3,268,571
Supplier Relationships (d)	14 years		241,000		—			(34,429	)		206,571		241,000		(17,215	)		223,785
Patents & Know-How (d)	14 years		5,530,000		—			(790,000	)		4,740,000		5,530,000		(395,000	)		5,135,000
Micronized Processing Know-How (d)	14 years		2,160,000		—			(154,286	)		2,005,714		2,160,000		—			2,160,000
Licenses/Permits (d)	3 years		13,000		—			(8,667	)		4,333		13,000		(4,333	)		8,667
			17,526,000		(1,798,495	)		(4,848,756	)		10,878,749		17,526,000		(3,468,515	)		14,057,485

Trade Names/Trademarks (d)	indefinite		1,008,000		—			—			1,008,000		1,008,000		—			1,008,000
In-process Research & Development-Other (d)	indefinite		25,000		—			—			25,000		25,000		—			25,000
		$	18,559,000	$	(1,798,495	)	$	(4,848,756	)	$	11,911,749	$	18,559,000	$	(3,468,515	)	$	15,090,485

(a) On January 29, 2007, the Company acquired a license from Shriners Hospitals for Children and University of South Florida Research Foundation, Inc. Within 30 days after the receipt by the Company of approval by the FDA allowing the sale of the first licensed product, the Company is required to pay an additional $200,000 to the licensor. Due to its contingent nature, this amount is not recorded as a liability. The Company will also be required to pay a royalty of 3% on all commercial sales revenue from the licensed products. The Company is also obligated to pay a $50,000 minimum annual royalty payment over the life of the license.

(b) License from SaluMedica, LLC (SaluMedica) for the use of certain developed technologies related to spine repair. This license was acquired through the acquisition of SpineMedica Corp.

(c) On March 31, 2008, the Company entered into a license agreement for the use of certain developed technologies related to surgical sheets made of polyvinyl alcohol cryogel. The agreement also provides for the issuance of an additional 600,000 shares upon the Company meeting certain milestones related to future sales. On December 31, 2009 the Company completed the sale of its first commercial product and met its first milestone under this agreement. As a result the Company issued 100,000 shares of common stock to the licensor valued at $71,000. At December 31, 2012 or 2011, there are no additional amounts accrued for this obligation due to its contingent nature.

(d) On January 5, 2011, the Company acquired Surgical Biologics, LLC. As a result, the Company recorded intangible assets for customer and supplier relationships, patents and know-how, licenses/permits, trade names and trademarks and in-process research and development.

Expected future amortization of intangible assets is as follows:

	Estimated
	Amortization
Year ending December 31,	Expense
2013	$	1,050,380
2014		1,046,047
2015		1,022,651
2016		976,998
2017		886,927
Thereafter		5,895,746
	$	10,878,749

Accrued Expenses

12 Months Ended

Dec. 31, 2012

Accrued Expenses [Abstract]

Accrued Expenses

8.	Accrued Expenses

Accrued Expenses consist of the following as of December 31, 2012 and December 31, 2011:

	December 31,
	2012		2011
Accrued Personnel Related Costs	$	1,761,760	$	311,849
Accrued Commissions		1,469,925		112,905
Other Accrued Expenses		512,249		358,435
Total Accrued Expenses	$	3,743,934	$	783,189

Long-Term Debt

12 Months Ended

Dec. 31, 2012

Long-Term Debt [Abstract]

Long-Term Debt

9.	Long-Term Debt

The following table summarizes our long-term debt:

	December 31,
	2012			2011
$5M Convertible Senior Secured Promissory Notes including interest at 5% per annum payable quarterly through December 31, 2013, and an additional one time 5% interest charge payable on January 15, 2013 if not repaid by December 31, 2012, collateralized by a first priority lien shared equally with holder of the Convertible Line of Credit with Related Party in all of the patents and intellectual property owned by the Company subordinated to the Convertible Debt related to acquisition for Surgical Biologics intellectual property until repaid. (a)	$	5,313,645		$	5,007,732

Convertible Line of Credit with Related Party with 5% interest; principal and interest payable in full December 31, 2012 collateralized by a first priority lien shared equally with holders of Convertible Senior Secured Promissory Notes in all patents and intellectual property of the Company subordinated to the Convertible debt related to the acquisition for Surgical Biologics intellectual property until repaid. (b)		-			1,342,726

Convertible debt related to acquisition with 4% interest; principal and interest payable in full on July 5, 2012, collateralized by a first priority lien in all the intellectual property owned by Surgical Biologics immediately after the closing. (c)		-			1,299,315

Total debt	$	5,313,645		$	7,649,773

Less unamortized debt discount		(1,301,203	)		(2,480,400	)

Less current portion		-			(2,424,786	)

Long-term portion	$	4,012,442		$	2,744,587

(a) Investors received First Contingent Warrants (25% of amount invested) and Second Contingent Warrants (25% of amount invested) at an exercise price of $.01 per share. In March 2012 a total of 1,250,000 First Contingent Warrants were vested. In July 2012, a total of 1,250,000 Second Contingent Warrants were voided due to the Company share price trading at or above $1.75 for ten consecutive trading days. The additional interest resulting from the beneficial conversion feature, inclusive of the First Contingent Warrants, totaled $2,278,052 which has been recorded as a debt discount that has been and will continue to be charged to interest expense using the effective interest rate over the life of the note.

(b) The same terms offered to the Senior Secured Promissory note with regard to Contingent Warrants applied to the Convertible Line of Credit. In March 2012 a total of 325,000 First Contingent Warrants vested. In July 2012, a total of 325,000 Second Contingent Warrants were voided. The additional interest related to the beneficial conversion feature totaled $594,456 and was recorded as a debt discount and charged to interest expense using the effective interest rate over the life of the note. On December 7, 2012, the Chairman and CEO elected to convert his note and accrued interest resulting in the issuance of 1,403,630 shares of MiMedx common stock.

(c) Additional financing expense of $437,500 was recorded for the beneficial conversion feature of the convertible notes over the term of the note. In July, 2012, the Company settled the Convertible Promissory Notes by paying approximately $177,000 in cash and issuing 893,267 shares of MiMedx common stock.

Convertible Line of Credit with related party

On March 31, 2011, the Company and its Chairman of the Board and CEO ("the Lender") entered into a Subscription Agreement for a 5% Convertible Senior Secured Promissory Note ("Subscription Agreement") and, in connection therewith, agreed to issue a 5% Convertible Senior Secured Promissory Note ("Note") in the amount borrowed by the Company. At the option of the Lender, the Note was convertible into the number of shares of common stock of the Company equal to the quotient of the outstanding principal amount and accrued interest of the Note as of the date of such election divided by $1.00 per share.

Senior Secured Promissory Notes

From December 27 to December 31, 2011, the Company sold 5% Convertible Senior Secured Promissory Notes (the "Notes") to individual accredited investors for aggregate proceeds of $5,000,000. The aggregate proceeds included $500,000 of Notes sold to the Company's Chairman of the Board and CEO. In total, the principal of the Notes is convertible into up to 5,000,000 shares of common stock of the Company ("Common Stock") plus accrued but unpaid interest at $1.00 per share at any time upon the election of the holder of the note.

As of December 31, 2012 the Company had not repaid the Notes in full and as a result requires the Company to pay each lender an additional interest payment in the amount of five percent (5%) of the aggregate outstanding principal amount of such lender's Notes as of December 31, 2012. The additional interest was accrued on a monthly basis during the year.

In conjunction with the sale of the Convertible Senior Secured Promissory notes, the Company incurred a placement fee of $32,800 and issued 42,400 common stock warrants to the placement agents at an exercise price of $1.09 per share. The warrants expire in five years. The fair value of the warrants was determined to be approximately $15,000 using the Black-Scholes-Merton valuation technique. The total direct costs of approximately $47,800 are recorded as deferred financing costs and are being amortized over the term of the Senior Notes using the effective interest method. Further, the placement agent warrants are classified in stockholders' equity because they achieved all of the requisite conditions for equity classification in accordance with GAAP.

In January and February of 2013 all note holders elected to convert their notes including the Company's Chairman and CEO, resulting in the issuance of 5,271,963 shares of common stock which represents the face value of their respective notes plus accrued but unpaid interest. The Company's Chairman and CEO received 532,260 shares of common stock upon conversion of his note. This will also result in the acceleration of amortization of debt discount of $1,301,000 in the same period.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

+ References + Details

Common Stock Placements	12 Months Ended
Common Stock Placements	Dec. 31, 2012
Common Stock Placements [Abstract]
Common Stock Placements	10. Common Stock Placements October 2010 Private Placement In October 2010, the Company commenced a private placement to sell common stock and warrants. For the year ended December 31, 2011, the Company sold 3,778,321 shares of Common Stock and issued 1,889,161 warrants and received cash proceeds of $3,730,587 net of $47,733 in offering costs. Under the terms of the offering, for each share purchased, the investor received one 5-year warrant to purchase the common stock of the Company at an exercise price of $1.50 per share. The terms of the warrant, (the "Callable Warrant") are that for every two shares of common stock purchased, the holder is issued a 5-year warrant to purchase one share of the Company's Common Stock at an exercise price of $1.50 per share. The Callable Warrant was callable by the Company at any time after the issuance if the closing sale price of the Stock exceeds $1.75 for fifteen (15) or more consecutive trading days. Upon written notice, the Company may redeem the Callable Warrant at a price of $0.01 per share. In July 2012, the Company decided to exercise its right to call approximately 3,345,000 warrants. The Company raised approximately $4,900,000 and issued approximately 3,289,000 shares of MiMedx common stock including a total of 503,332 Callable Warrants exercised by the Company's Chairman and CEO. The balance of 56,750 warrants were repurchased at $0.01 per share. Additionally, under the terms of the offering the Company issued a First Contingent Warrant ("First Contingent Warrant") and a Second Contingent Warrant ("Second Contingent Warrant") to Purchase Common Stock. These warrants vested assuming certain revenue targets were not achieved and could be voided if the closing trading price of the Company's stock achieved a certain level for a specified number of consecutive trading days. The First Contingent Warrant vested during the second quarter of 2012 resulting in the issuance of approximately 1,673,000 warrants including approximately 252,000 to the Company's Chairman and CEO, at an exercise price of $0.01 per share. On July 3, 2012, 1,672,742 Second Contingent Warrants were voided which represented the tenth consecutive trading day of the closing trading price of the Company stock being at least $1.75. As of December 31, 2012 approximately 1,609,000 First Contingent Warrants have been exercised.

- Definition

The entire disclosure for shareholders' equity, comprised of portions attributable to the parent entity and noncontrolling interest, if any, including other comprehensive income (as applicable). Including, but not limited to: (1) balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings; (2) accumulated balance for each classification of other comprehensive income and total amount of comprehensive income; (3) amount and nature of changes in separate accounts, including the number of shares authorized and outstanding, number of shares issued upon exercise and conversion, and for other comprehensive income, the adjustments for reclassifications to net income; (4) rights and privileges of each class of stock authorized; (5) basis of treasury stock, if other than cost, and amounts paid and accounting treatment for treasury stock purchased significantly in excess of market; (6) dividends paid or payable per share and in the aggregate for each class of stock for each period presented; (7) dividend restrictions and accumulated preferred dividends in arrears (in aggregate and per share amount); (8) retained earnings appropriations or restrictions, such as dividend restrictions; (9) impact of change in accounting principle, initial adoption of new accounting principle and correction of an error in previously issued financial statements; (10) shares held in trust for Employee Stock Ownership Plan (ESOP); (11) deferred compensation related to issuance of capital stock; (12) note received for issuance of stock; (13) unamortized discount on shares; (14) description, terms, and number of warrants or rights outstanding; (15) shares under subscription and subscription receivables, effective date of new retained earnings after quasi-reorganization and deficit eliminated by quasi-reorganization and, for a period of at least ten years after the effective date, the point in time from which the new retained dates; and (16) retroactive effective of subsequent change in capital structure.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(d),(e))
-URI http://asc.fasb.org/extlink&oid=6881521&loc=d3e23780-122690

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21484-112644

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SAB TOPIC 4.E)
-URI http://asc.fasb.org/extlink&oid=6228006&loc=d3e74512-122707

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21488-112644

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.29-31)
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 4
-Subparagraph (SAB TOPIC 4.C)
-URI http://asc.fasb.org/extlink&oid=6959260&loc=d3e187143-122770

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21506-112644

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.3-04)
-URI http://asc.fasb.org/extlink&oid=6959260&loc=d3e187085-122770

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 30
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6405834&loc=d3e23285-112656

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Preferred Stock
-URI http://asc.fasb.org/extlink&oid=6521494

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21463-112644

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21564-112644

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Research Bulletin (ARB)
-Number 43
-Section B
-Paragraph 7, 11A
-Chapter 1
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 15: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Principles Board Opinion (APB)
-Number 12
-Paragraph 10
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 16: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 5
-Paragraph 15
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 17: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 08
-Paragraph d
-Article 4

Reference 18: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 02
-Paragraph 29, 30, 31
-Article 5

Reference 19: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Staff Accounting Bulletin (SAB)
-Number Topic 4
-Section E

Reference 20: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 08
-Article 4

Reference 21: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Staff Accounting Bulletin (SAB)
-Number Topic 4
-Section C

Reference 22: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 129
-Paragraph 2, 3, 4, 5, 6, 7, 8
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 23: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 04
-Article 3

+ Details

Equity

12 Months Ended

Dec. 31, 2012

Equity [Abstract]

Equity

11. Equity

Stock Incentive Plan

The Company has three share-based compensation plans, the MiMedx Group, Inc. Assumed 2006 Stock Incentive Plan (the "2006 Plan"), the MiMedx Inc. 2007 Assumed Stock Plan (the "Assumed 2007 Plan") and the MiMedx Group Inc. Amended and Restated Assumed 2005 Stock Plan (the "Assumed 2005 Plan") which provide for the granting of qualified incentive and non-qualified stock options, stock appreciation awards and restricted stock awards to employees, directors, consultants and advisors. The awards are subject to a vesting schedule as set forth in each individual agreement. The Company intends to use only the 2006 Plan to make future grants. The number of assumed options under the Assumed 2005 Plan and Assumed 2007 Plan outstanding at December 31, 2012 and December 31, 2011 totaled 375,000. The maximum number of shares of common stock which can be issued under the 2006 Plan is 16,500,000 at December 31, 2012 and 12,500,000 at December 31, 2011, with an increase of 4,000,000 shares in May 2012.

Activity with respect to the stock options is summarized as follows:

	Number of Shares			Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Term (in years)		Aggregate Intrinsic Value
Outstanding at January 1, 2011		8,257,650		$	1.20
Granted		3,918,500		$	1.17
Exercised		(490,000	)	$	0.60
Unvested options forfeited		(217,252	)	$	1.10
Vested options expired		(1,135,315	)	$	1.70
Outstanding at December 31, 2011		10,333,583		$	1.17		7.1	$	1,457,218
Vested or expected to vest at December 31, 2011		10,283,583		$	1.17		5.7	$	1,395,223

Outstanding at January 1, 2012		10,333,583		$	1.17
Granted		5,307,500		$	1.90
Exercised		(843,862	)	$	1.25
Unvested options forfeited		(387,171	)	$	1.17
Vested options expired		(795,915	)	$	1.55
Outstanding at December 31, 2012		13,614,135		$	1.42		8.0	$	32,924,881
Vested or expected to vest at December 31, 2012		13,367,278		$	1.41		7.9	$	32,490,930

The intrinsic value of options exercised during the year ended December 31, 2012, was approximately $718,978 and was $258,000 for the year ended December 31, 2011.

The following is a summary of stock options outstanding for years ended December 31, 2012 and 2011, respectively:

	2012
	Options Outstanding						Options Exercisable
Range of Exercise Prices	Number outstanding		Weighted- Average Remaining Contractual Term (in years)		Weighted- Average Exercise Price		Number Exercisable		Weighted- Average Exercise Price
$0.50 - $0.76		2,372,500		5.3	$	0.66		2,372,500	$	0.66
$0.87 - $1.35		7,048,668		8.6	$	1.15		1,674,638	$	1.15
$1.40 - $2.18		1,958,467		6.8	$	1.68		1,189,459	$	1.68
$2.29 - $3.47		2,177,000		9.7	$	-		-	$	-
$3.49 - $3.85		57,500		10.0	$	-		-	$	-
		13,614,135		8.0	$	1.42		5,236,597	$	1.05

				2011
	Options Outstanding						Options Exercisable
Range of Exercise Prices	Number outstanding		Weighted- Average Remaining Contractual Term (in years)		Weighted- Average Exercise Price		Number Exercisable		Weighted- Average Exercise Price
$0.50		587,250		2.9	$	0.50		513,268	$	0.50
$0.65 - $1.00		2,967,500		5.7	$	0.79		2,730,224	$	0.79
$1.04 - $1.80		6,228,833		8.8	$	1.30		2,207,005	$	1.45
$2.40		550,000		0.7	$	2.40		550,000	$	2.40
		10,333,583		7.1	$	1.17		6,000,497	$	1.16

A summary of the status of the Company's unvested stock options as of December 31, 2012 and December 31, 2011 is presented below:


Unvested Stock Options	Number of Shares			Weighted- Average Grant Date Fair Value
Unvested at January 1, 2012		4,333,086		$	0.72
Granted		5,307,500		$	1.90
Cancelled/expired		(387,171	)	$	1.17
Vested		(875,877	)	$	1.05
Unvested at December 31, 2012		8,377,538		$	0.96

Unvested Stock Options	Number of Shares			Weighted- Average Grant Date Fair Value
Unvested at January 1, 2011		2,679,787		$	0.87
Granted		3,918,500		$	0.63
Cancelled/expired		(1,352,567	)	$	0.59
Vested		(912,634	)	$	0.81
Unvested at December 31, 2011		4,333,086		$	0.72

Total unrecognized compensation expense at December 31, 2012, was approximately $6,151,000 and will be charged to expense through December 2015.

The fair value of the options granted was estimated on the date of grant using the Black-Scholes-Merton option-pricing model that uses assumptions for expected volatility, expected dividends, expected term, and the risk-free interest rate. Expected volatilities are based on historical volatility of peer companies and other factors estimated over the expected term of the options. The term of employee options granted is derived using the "simplified method" which computes expected term as the average of the sum of the vesting term plus the contract term. The simplified method was used due to the Company's lack of sufficient historical data to provide a reasonable basis upon which to estimate the expected term due to the limited period of time its equity shares have been publically traded. The term for non-employee options is generally based upon the contractual term of the option. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of grant for the period of the expected term or contractual term as described.

The assumptions used in calculating the fair value of options using the Black-Scholes-Merton option-pricing model are set forth in the following table:

	Year ended December 31,
	2012			2011
Expected volatility		45.7-64.3	%		57.3-58.1	%
Expected life (in years)		6			6
Expected dividend yield		—			—
Risk-free interest rate		.62%-1.77	%		0.86% - 2.24	%

The weighted-average grant date fair value for options granted during the year ended December 31, 2012, was approximately $1.07 and $.63 for 2011.

Warrants

The Company grants common stock warrants in connection with equity share purchases by investors as an additional incentive for providing long-term equity capital to the Company and as additional compensation to consultants and advisors. The warrants are granted at negotiated prices in connection with the equity share purchases and at the market price of the common stock in other instances. The warrants have been issued for terms of five years.

Common Stock warrants activity and resulting balances for the years ended December 31, 2012 and 2011, are as follows:

	Number of Warrants			Weighted- Average Exercise Price per Warrant		Number of Contingent Warrants			Weighted- Average Exercise Price per Contingent Warrant
Warrants outstanding at January 1, 2011		6,003,924		$	1.21		1,252,990		$	0.01
Issued in connection with private placement of common stock		1,889,161			1.50		1,889,162			0.01
Issued in connection with convertible promissory notes		203,332			1.50		203,332			0.01
Issued in connection with line of credit with related party		—			—		650,000			0.01
Issued in connection with Senior Secured Promissory Notes		1,250,000			0.01		1,250,000			0.01
Placement agent		42,400			1.09		—			—
Warrants outstanding at December 31, 2011		9,388,817		$	1.00		5,245,484		$	0.01
Warrants issued:
Vested contingent warrants related to private placement of common stock		1,672,743		$	0.01		(1,672,743	)	$	0.01
Vested contingent warrants related to line of credit with related party		325,000			0.01		(325,000	)		0.01
Contingent warrants voided		—			—		(3,247,741	)		0.01
Warrants exercised:
Contingent warrants related to convertible note		(1,249,750	)		0.01		—			—
Contingent warrants related to private placement of common stock		(1,608,802	)		0.01		—			—
Contingent warrants related to line of credit with related party		(325,000	)		0.01		—			—
Callable warrants		(3,288,733	)		1.50		—			—
Other		(1,703,568	)		0.63		—			—
Warrants expired		(10,000	)		1.00		—			—
Warrants redeemed for cashless exercises		(14,789	)		0.53		—			—
Repurchased callable warrants (a)		(56,750	)		1.50		—			—
Warrants outstanding at December 31, 2012		3,129,168		$	1.04		—		$	—

(a)

The Company repurchased the callable warrants at $0.01 per share.

Warrants may be exercised in whole or in part by:

•	Notice given by the holder accompanied by payment of an amount equal to the warrant exercise price multiplied by the number of warrant shares being purchased; or

•

Election by the holder to exchange the warrant (or portion thereof) for that number of shares equal to the product of (a) the number of shares issuable upon exercise of the warrant (or portion) and (b) a fraction, (x) the numerator of which is the market price of the shares at the time of exercise minus the warrant exercise price per share at the time of exercise and (y) the denominator of which is the market price per share at the time of exercise.

These warrants are not mandatorily redeemable, do not obligate the Company to repurchase its equity shares by transferring assets or issue a variable number of shares.

The warrants require that the Company deliver shares as part of a physical settlement or a net-share settlement, at the option of the holder, and do not provide for a net-cash settlement.

All of our warrants are classified as equity as of December 31, 2012 and 2011.

- Definition

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 50
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6406099&loc=d3e25284-112666

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 718
-SubTopic 40
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6418621&loc=d3e17540-113929

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 718
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5070-113901

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 718
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5047-113901

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 718
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=6415400&loc=d3e5444-113901

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Staff Accounting Bulletin (SAB)
-Number Topic 14

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 123R
-Paragraph 64, 65, A240
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Statement of Position (SOP)
-Number 93-6
-Paragraph 53
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

+ Details

Income Taxes

12 Months Ended

Dec. 31, 2012

Income Taxes [Abstract]

Income Taxes

12. Income Taxes

Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes.

The Company files income tax returns in the U.S. federal jurisdiction and various states. With few exceptions, the Company is subject to U.S. federal, state and local income tax examinations for the years 2009 through 2012. However, certain returns from years prior to 2009, in which net operating losses and tax credits have arisen, are still open for examination by the tax authorities.

Significant components of the Company's deferred tax assets and liabilities are as follows:

	December 31,
	2012			2011
Deferred tax assets and liabilities:
Accrued liabilities	$	(73,000	)	$	131,000
Beneficial conversion feature on convertible financial instruments		(449,000)			(927,000	)
Intangible assets		1,117,000			249,000
Property and equipment		89,000			(18,000	)
R&D Credit Carryforward		1,407,356			494,000
Stock Compensation		213,000			—
Adjust accrued earn-out liability		567,947			—
Charitable Contributions		3,000			—
Patent fees		6,000			—
Net operating loss		15,487,000			15,524,000
Net deferred tax assets	$	18,368,303		$	15,453,000

Valuation allowance		(18,368,303	)		(15,453,000	)
	$	—		$	—

The reconciliation of the Federal statutory income tax rate of 34% to the effective rate is as follows:

	12/31/2012			12/31/2011
Federal statutory rate		34.00	%		34.00	%
State taxes, net of federal benefit		3.40	%		5.34	%
Permanent items & other		6.51	%		(11.30	%)
Valuation allowance		(43.91	%)		(28.04	%)
		—	%		—	%

Income taxes are based on estimates of the annual effective tax rate and evaluations of possible future events and transactions and may be subject to subsequent refinement or revision.

The Company has incurred net losses since its inception, and therefore, no current income tax liabilities have been incurred for the periods presented. The amount of federal operating loss carryforwards was approximately $42,700,000 at December 31, 2012, and $41,400,000 at December 31, 2011. The loss carryforwards will expire at various dates beginning in 2026 through 2032 if not utilized. A valuation allowance is recorded to reduce the deferred tax assets reported if, based on the weight of the evidence, it is more likely than not that a portion or none of the deferred tax assets will be realized. After consideration of all the evidence, including reversal of deferred tax liabilities, future taxable income and other factors, management has determined that a full valuation allowance is necessary as of December 31, 2012 and 2011. Additionally, the Company has various tax credit carryforwards of approximately $1,400,000 as of December 31, 2012. The tax credit carryforwards will expire at various dates beginning in 2025 through 2032 if not utilized.

The Company's net operating losses and credits could be subject to annual limitations due to ownership change limitations provided by Internal Revenue Code Section 382. An annual limitation could result in the expiration of net operating losses and tax credit carryforward before utilization. At this time the Company does not believe its carryforwards or credits will be materially impacted by such limitations.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References

+ Details

Related Party Transactions

12 Months Ended

Dec. 31, 2012

Related Party Transactions

13. Related Party Transactions

The Company has related party expense as described in the following table:

	December 31,
	2012		2011
Office space lease (a)	$	48,182	$	41,000
Aircraft use (b)		—		1,100
Hybrid debt instrument (c)		—		3,232
Line of credit (d)		103,630		42,726
Convertible senior secured promissory notes (e)		50,000		4,507
	$	201,812	$	92,565

(a) payments related to the lease of office space from an entity owned by the Chairman of the Board and CEO for $48,182 for 2012 and $41,000 for 2011, respectively

(b) payments related to aircraft use from an entity owned by the former Chairman of the Board and current member of the Board of Directors

(c) interest of $3,232 related to convertible promissory notes issued in October 2010 to the Chairman of the Board and CEO and two other members of the Board of Directors

(d) interest of $103,630 for 2012 and $42,726 for 2011, respectively related to a revolving secured line of credit with the Chairman of the Board and CEO dated March 31, 2011

(e) interest of $50,000 for 2012 and $4,507 for 2011, respectively related to the convertible senior secured promissory notes with the Chairman of the Board and CEO during the fourth quarter of 2011

- Definition

The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 850
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39603-107864

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 850
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39622-107864

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 850
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39549-107864

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 850
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39678-107864

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(k))
-URI http://asc.fasb.org/extlink&oid=6881521&loc=d3e23780-122690

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 850
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39691-107864

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 04
-Paragraph b
-Article 3A

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 08
-Paragraph k
-Article 4

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 57
-Paragraph 1-4
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

+ Details

401k Plan	12 Months Ended
401k Plan	Dec. 31, 2012
401k Plan [Abstract]
401k Plan	14. 401k Plan The Company has a 401(k) plan (the "Plan") covering employees who have attained 21 years of age and have completed three months of service. Under the Plan, participants may defer up to 100% of their eligible wages to a maximum of $17,000 per year (annual limit for 2012). Employees age 50 or over in 2012 may make additional pre-tax contributions up to $5,500 above and beyond normal plan and legal limits. Annually, the Company may elect to match employee contributions up to 6% of the employee's compensation. Additionally, the Company may elect to make a discretionary contribution to the Plan. The Company did not provide matching contributions for the years ended December 31, 2012 and 2011.

- Definition

The entire disclosure for pension and other postretirement benefits.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 715
-URI http://asc.fasb.org/topic&trid=2235017

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Implementation Guide (Q and A)
-Number FAS88
-Paragraph 63
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 132R
-Paragraph 5
-Subparagraph b
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 106
-Paragraph 518
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 132R
-Paragraph 5
-Subparagraph a
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Emerging Issues Task Force (EITF)
-Number 03-2
-Paragraph 8
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 87
-Paragraph 264
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 132R
-Paragraph 5
-Subparagraph q
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 132R
-Paragraph 5
-Subparagraph h
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 132R
-Paragraph 8
-Subparagraph m
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 132R
-Paragraph 5, 6, 7, 8
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 158
-Paragraph 7, 21, 22
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name FASB Staff Position (FSP)
-Number FAS106-2
-Paragraph 20, 21, 22
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Principles Board Opinion (APB)
-Number 30
-Paragraph 26
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

+ Details

Commitments

12 Months Ended

Dec. 31, 2012

Commitments [Abstract]

Commitments

15. Commitments

Contractual Arrangements

The Company has entered into operating lease agreements for facility space and equipment, and employment agreements with our Vice President of Sales for Europe, Middle East and Africa and for some key employees acquired with Surgical Biologics. In addition, the Company has minimum royalty payments due in conjunction with one of its licenses.

The estimated annual lease, royalty, and employment agreement expenses are as follows:

Year ended December 31,
2013	$	423,206
2014		204,700
Thereafter		542,021
	$	1,169,927

Rent expense on all operating leases for the years ended December 31, 2012 and 2011, respectively, was approximately $528,000 and $533,000.

- Definition

The entire disclosure for commitments and contingencies.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 20
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6449706&loc=d3e16207-108621

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 460
-SubTopic 10
-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=6398077&loc=d3e12565-110249

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 450
-SubTopic 20
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=6952336&loc=d3e14435-108349

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.25)
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 440
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6394976&loc=d3e25287-109308

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name FASB Interpretation (FIN)
-Number 14
-Paragraph 3
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 5
-Paragraph 9, 10, 11, 12
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

+ Details

Subsequent Events	12 Months Ended
Subsequent Events	Dec. 31, 2012
Subsequent Events [Abstract]
Subsequent Events	16. Subsequent Events On January 31, 2013, the Company entered into a lease agreement (the "Lease") under which the Company will lease approximately 80,000 square feet of office, laboratory and warehouse space in Marietta, Georgia. This building will become the Company's new corporate headquarters. The initial term of the lease is sixty-nine (69) months commencing on May 1, 2013. Base rental payments over the term of the lease total approximately $7,100,000. Under the Lease, the Company is obligated to post a security deposit in the amount of $499,087. As of the date of this report approximately $250,000 of this obligation has been deposited. During the months of January and February 2013, all holders of the Convertible Senior Secured Promissory Notes converted their interest in this obligation to shares of MiMedx common stock. The total amount of debt plus accrued interest that was exchanged was $5,271,963. In conjunction with this exchange 5,271,963 shares of the Company's common stock were issued in full satisfaction of this obligation. Included in this total are 532,260 shares representing Mr. Petit's conversion of his note.

Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2012

Significant Accounting Policies [Abstract]

Use of Estimates

Principles of Consolidation

Reclassifications

Certain amounts in the prior year financial statements have been reclassified to conform to the current year financial statement presentation.

The following table shows the allocation of depreciation for the years ended December 31, 2012 and 2011, to operating departments:

	Year Ended December 31,
Depreciation expense included in:	2012		2011
Cost of products sold	$	155,987	$	104,950
Research and development		120,260		118,565
Selling, general and administrative		189,120		222,987
	$	465,367	$	446,502

	Year Ended December 31,
Share-based compensation included in:	2012		2011
Cost of products sold	$	97,970	$	98,366
Research and development		289,341		254,997
Selling, General and administrative		2,151,410		1,305,720
	$	2,538,721	$	1,659,083

Segment Reporting

Market Concentrations and Credit Risk

Cash and Cash Equivalents

Cash and cash equivalents include all highly liquid investments with an original maturity of three months or less.

Accounts Receivable

Accounts receivable represent amounts due from customers for which revenue has been recognized. Generally, the Company does not require collateral or any other security to support its receivables.

Inventories

Goodwill and Purchased Intangible Assets

Impairment of Goodwill

Property and Equipment

Impairment of Long-lived Assets

Deferred Grant Income

Debt Instruments with Detachable Warrants and Beneficial Conversion Features

Revenue Recognition

Research and Development Costs

Research and development costs consist of direct and indirect costs associated with the development of the Company's technologies. These costs are expensed as incurred.

Income Taxes

Uncertain Tax Positions

Share-based Compensation

Fair Value of Financial Instruments

Fair Value Measurements

Level 1: Quoted prices (unadjusted) in active markets that are accessible at the measurement date for identical assets or liabilities;

Level 2: Quoted prices in active markets for similar assets or liabilities or observable prices that are based on inputs not quoted on active markets, but corroborated by market data; and

Level 3: Unobservable inputs or valuation techniques that are used when little or no market data is available.

Net loss Per Share

Basic net loss per common share is computed using the weighted-average number of common shares outstanding during the period.

The following table sets forth the computation of basic and diluted net loss per share for the fiscal years ended December 31, 2012 and 2011:

	Year ended December 31,
	2012			2011
Net loss	$	(7,662,376	)	$	(10,193,986	)
Denominator for basic earnings per share - weighted average shares		81,646,295			72,450,337
Effect of dilutive securities: Stock options and warrants outstanding and convertible debt (a)		—			—
Denominator for diluted earnings per share - weighted average shares adjusted for dilutive securities		81,646,295			72,450,337
Loss per common share - basic and diluted	$	(0.09	)	$	(0.14	)

(a) Securities outstanding that were excluded from the computation, prior to the use of the treasury stock method, because they would have been anti-dilutive are as follows:

	December 31, 2012		December 31, 2011
Outstanding Stock Options		13,614,135		10,333,583
Outstanding Warrants		3,129,168		9,388,817
Convertible Debt, promissory notes		5,313,645		5,007,732
Convertible Line of Credit with Related Party		-		1,342,726
Convertible Debt, Acquisition		-		1,299,315
		22,056,948		27,372,173

The table above excludes all securities with contingencies including the earnout liability and contingent warrants.

Recently Adopted Accounting Pronouncements

Recently Issued Accounting Pronouncements Not Yet Adopted

Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2012

Significant Accounting Policies [Abstract]

Allocation of Depreciation to Operating Departments

The following table shows the allocation of depreciation for the years ended December 31, 2012 and 2011, to operating departments:

	Year Ended December 31,
Depreciation expense included in:	2012		2011
Cost of products sold	$	155,987	$	104,950
Research and development		120,260		118,565
Selling, general and administrative		189,120		222,987
	$	465,367	$	446,502

Allocation of Share-based Compensation

	Year Ended December 31,
Share-based compensation included in:	2012		2011
Cost of products sold	$	97,970	$	98,366
Research and development		289,341		254,997
Selling, General and administrative		2,151,410		1,305,720
	$	2,538,721	$	1,659,083

Computation of basic and diluted net loss per share

The following table sets forth the computation of basic and diluted net loss per share for the fiscal years ended December 31, 2012 and 2011:

	Year ended December 31,
	2012			2011
Net loss	$	(7,662,376	)	$	(10,193,986	)
Denominator for basic earnings per share - weighted average shares		81,646,295			72,450,337
Effect of dilutive securities: Stock options and warrants outstanding and convertible debt (a)		—			—
Denominator for diluted earnings per share - weighted average shares adjusted for dilutive securities		81,646,295			72,450,337
Loss per common share - basic and diluted	$	(0.09	)	$	(0.14	)

(a) Securities outstanding that were excluded from the computation, prior to the use of the treasury stock method, because they would have been anti-dilutive are as follows:

Summary of antidilutive securities

(a) Securities outstanding that were excluded from the computation, prior to the use of the treasury stock method, because they would have been anti-dilutive are as follows:

	December 31, 2012		December 31, 2011
Outstanding Stock Options		13,614,135		10,333,583
Outstanding Warrants		3,129,168		9,388,817
Convertible Debt, promissory notes		5,313,645		5,007,732
Convertible Line of Credit with Related Party		-		1,342,726
Convertible Debt, Acquisition		-		1,299,315
		22,056,948		27,372,173

- Definition

Tabular disclosure of the allocation of equity-based compensation costs to a given line item on the balance sheet and income statement for the period. This may include the reporting line for the costs and the amount capitalized and expensed.

+ References + Details

Acquisition of Surgical Biologics, LLC (Tables)

12 Months Ended

Dec. 31, 2012

Acquisition of Surgical Biologics, LLC [Abstract]

Rollforward of earn out liability

Accrued Earn - Out Acquisition Consideration

	2012			2011

Beginning balance at January 1,	$	7,410,503		$	-
Valuation at acquisition date					7,404,700
Remeasurement adjustments		1,567,050			5,803
Common stock issued on earn - out		(3,185,223	)		-
Ending balance at December 31,	$	5,792,330		$	7,410,503

Purchase price allocation


Value of 5,250,000 shares issued at $1.35 per share	$	7,087,500
Cash paid at closing		350,000
Cash retained for working capital		150,000
Assumed Debt		182,777
Convertible Secured Promissory Note		1,250,000
Fair value of earn-out		7,404,700
Total fair value of purchase price	$	16,424,977

Assets purchased:
Tangible assets:
Debt-free working capital	$	671,880
Other assets, net		385
Property, plant and equipment		72,866
		745,131
Intangible assets:
Customer relationships		3,520,000
Supplier relationships		241,000
Patents and know-how		5,530,000
Trade names and trademarks		1,008,000
In-process research and development – liquid		2,160,000
In-process research and development – other		25,000
Licenses and permits		13,000
		12,497,000

Goodwill		3,182,846
Total Assets Purchased	$	16,424,977

Working capital and other assets were composed of the following:

Working capital:
Cash	$	33,583
Prepaid Expenses		2,738
Accounts Receivable		181,087
License Receivable		340,000
Inventory		347,106
Accounts payable and accrued expenses		(196,101	)
Deferred rent and customer deposits		(36,533	)
Debt-free working capital		671,880

Current portion of debt		(62,590	)
Long-term debt		(21,187	)
Line of credit		(99,000	)
Net working capital	$	489,103

Deposits	$	16,582
Deferred rent (non-current)		(16,197	)
	$	385

Estimated useful lives of acquired intangible assets

The values assigned to intangible assets are subject to amortization. The intangible assets were assigned the following lives for amortization purposes:

	Estimated useful
Intangible asset:	life (in years)
Customer relationships	14
Supplier relationships	14
Patents and know-how	14
Trade names and trademarks	indefinite
In-process research and development – liquid	indefinite(a)
In-process research and development – other	indefinite
Licenses and permits	3

(a)AmnioFix® injectable was launched in 2012 with amortization recorded over its expected useful life.

Inventories (Tables)

12 Months Ended

Dec. 31, 2012

Inventories [Abstract]

Inventory

Inventories consisted of the following items as of December 31, 2012 and 2011:

	December 31,
	2012			2011
Raw materials	$	233,747		$	95,288
Work in process		1,598,537			308,763
Finished goods		1,349,121			361,007
Inventory, gross		3,181,405			765,058
Reserve for obsolescence		(158,621	)		(52,456	)
Inventory, net	$	3,022,784		$	712,602

Property and Equipment (Tables)

12 Months Ended

Dec. 31, 2012

Property and Equipment [Abstract]

Property and equipment

Property and equipment consist of the following as of December 31, 2012 and 2011:

	December 31,
	2012			2011
Leasehold improvements	$	1,022,230		$	925,086
Lab and clean room equipment		1,887,645			1,463,144
Furniture and equipment		431,563			295,654
Construction in Progress		10,027			-
Property, Equipment, gross		3,351,465			2,683,884
Less accumulated depreciation		(2,279,840	)		(1,814,473	)
Property, Equipment, net	$	1,071,625		$	869,411

Intangible Assets and Royalty Agreement (Tables)

12 Months Ended

Dec. 31, 2012

Intangible Assets and Royalty Agreement [Abstract]

Intangible assets activity summary

Intangible assets activity is summarized as follows:

	December 31, 2012											December 31, 2011
	Average	Gross								Net		Gross					Net
	Amortization	Carrying		Impairment			Accumulated			Carrying		Carrying		Accumulated			Carrying
	Lives	Value		Adjustment			Amortization			Value		Value		Amortization			Value

License-Shriners Hsp for Children & USF Research (a)	10 years	$	996,000	$	—		$	(587,633	)	$	408,367	$	996,000	$	(488,033	)	$	507,967
License - SaluMedica LLC Spine Repair (b)	10 years		2,399,000		(851,676	)		(1,547,324	)		—		2,399,000		(1,313,573	)		1,085,427
License - Polyvinyl Alcohol Cryogel (c)	10 years		2,667,000		(946,819	)		(1,223,561	)		496,620		2,667,000		(998,932	)		1,668,068
Customer Relationships (d)	14 years		3,520,000		—			(502,857	)		3,017,143		3,520,000		(251,429	)		3,268,571
Supplier Relationships (d)	14 years		241,000		—			(34,429	)		206,571		241,000		(17,215	)		223,785
Patents & Know-How (d)	14 years		5,530,000		—			(790,000	)		4,740,000		5,530,000		(395,000	)		5,135,000
Micronized Processing Know-How (d)	14 years		2,160,000		—			(154,286	)		2,005,714		2,160,000		—			2,160,000
Licenses/Permits (d)	3 years		13,000		—			(8,667	)		4,333		13,000		(4,333	)		8,667
			17,526,000		(1,798,495	)		(4,848,756	)		10,878,749		17,526,000		(3,468,515	)		14,057,485

Trade Names/Trademarks (d)	indefinite		1,008,000		—			—			1,008,000		1,008,000		—			1,008,000
In-process Research & Development-Other (d)	indefinite		25,000		—			—			25,000		25,000		—			25,000
		$	18,559,000	$	(1,798,495	)	$	(4,848,756	)	$	11,911,749	$	18,559,000	$	(3,468,515	)	$	15,090,485

(b) License from SaluMedica, LLC (SaluMedica) for the use of certain developed technologies related to spine repair. This license was acquired through the acquisition of SpineMedica Corp.

Estimated future amortization expense for intangible assets

Expected future amortization of intangible assets is as follows:

	Estimated
	Amortization
Year ending December 31,	Expense
2013	$	1,050,380
2014		1,046,047
2015		1,022,651
2016		976,998
2017		886,927
Thereafter		5,895,746
	$	10,878,749

Accrued Expenses (Tables)

12 Months Ended

Dec. 31, 2012

Accrued Expenses [Abstract]

Accrued expenses

Accrued Expenses consist of the following as of December 31, 2012 and December 31, 2011:

	December 31,
	2012		2011
Accrued Personnel Related Costs	$	1,761,760	$	311,849
Accrued Commissions		1,469,925		112,905
Other Accrued Expenses		512,249		358,435
Total Accrued Expenses	$	3,743,934	$	783,189

Long-Term Debt (Tables)

12 Months Ended

Dec. 31, 2012

Long-Term Debt [Abstract]

Long-term Debt

The following table summarizes our long-term debt:

	December 31,
	2012			2011
$5M Convertible Senior Secured Promissory Notes including interest at 5% per annum payable quarterly through December 31, 2013, and an additional one time 5% interest charge payable on January 15, 2013 if not repaid by December 31, 2012, collateralized by a first priority lien shared equally with holder of the Convertible Line of Credit with Related Party in all of the patents and intellectual property owned by the Company subordinated to the Convertible Debt related to acquisition for Surgical Biologics intellectual property until repaid. (a)	$	5,313,645		$	5,007,732

Convertible Line of Credit with Related Party with 5% interest; principal and interest payable in full December 31, 2012 collateralized by a first priority lien shared equally with holders of Convertible Senior Secured Promissory Notes in all patents and intellectual property of the Company subordinated to the Convertible debt related to the acquisition for Surgical Biologics intellectual property until repaid. (b)		-			1,342,726

Convertible debt related to acquisition with 4% interest; principal and interest payable in full on July 5, 2012, collateralized by a first priority lien in all the intellectual property owned by Surgical Biologics immediately after the closing. (c)		-			1,299,315

Total debt	$	5,313,645		$	7,649,773

Less unamortized debt discount		(1,301,203	)		(2,480,400	)

Less current portion		-			(2,424,786	)

Long-term portion	$	4,012,442		$	2,744,587

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.22)
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 942
-SubTopic 470
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6479336&loc=d3e64711-112823

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(e),(f))
-URI http://asc.fasb.org/extlink&oid=6881521&loc=d3e23780-122690

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 55
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=6584090&loc=d3e28878-108400

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21538-112644

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=6451184&loc=d3e28541-108399

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21506-112644

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6451184&loc=d3e28551-108399

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21521-112644

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 02
-Paragraph 22
-Article 5

+ Details

Equity (Tables)

12 Months Ended

Dec. 31, 2012

Equity [Abstract]

Stock options activity

Activity with respect to the stock options is summarized as follows:

	Number of Shares			Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Term (in years)		Aggregate Intrinsic Value
Outstanding at January 1, 2011		8,257,650		$	1.20
Granted		3,918,500		$	1.17
Exercised		(490,000	)	$	0.60
Unvested options forfeited		(217,252	)	$	1.10
Vested options expired		(1,135,315	)	$	1.70
Outstanding at December 31, 2011		10,333,583		$	1.17		7.1	$	1,457,218
Vested or expected to vest at December 31, 2011		10,283,583		$	1.17		5.7	$	1,395,223

Outstanding at January 1, 2012		10,333,583		$	1.17
Granted		5,307,500		$	1.90
Exercised		(843,862	)	$	1.25
Unvested options forfeited		(387,171	)	$	1.17
Vested options expired		(795,915	)	$	1.55
Outstanding at December 31, 2012		13,614,135		$	1.42		8.0	$	32,924,881
Vested or expected to vest at December 31, 2012		13,367,278		$	1.41		7.9	$	32,490,930

Summary of stock options outstanding and exercisable

The following is a summary of stock options outstanding for years ended December 31, 2012 and 2011, respectively:

	2012
	Options Outstanding						Options Exercisable
Range of Exercise Prices	Number outstanding		Weighted- Average Remaining Contractual Term (in years)		Weighted- Average Exercise Price		Number Exercisable		Weighted- Average Exercise Price
$0.50 - $0.76		2,372,500		5.3	$	0.66		2,372,500	$	0.66
$0.87 - $1.35		7,048,668		8.6	$	1.15		1,674,638	$	1.15
$1.40 - $2.18		1,958,467		6.8	$	1.68		1,189,459	$	1.68
$2.29 - $3.47		2,177,000		9.7	$	-		-	$	-
$3.49 - $3.85		57,500		10.0	$	-		-	$	-
		13,614,135		8.0	$	1.42		5,236,597	$	1.05

				2011
	Options Outstanding						Options Exercisable
Range of Exercise Prices	Number outstanding		Weighted- Average Remaining Contractual Term (in years)		Weighted- Average Exercise Price		Number Exercisable		Weighted- Average Exercise Price
$0.50		587,250		2.9	$	0.50		513,268	$	0.50
$0.65 - $1.00		2,967,500		5.7	$	0.79		2,730,224	$	0.79
$1.04 - $1.80		6,228,833		8.8	$	1.30		2,207,005	$	1.45
$2.40		550,000		0.7	$	2.40		550,000	$	2.40
		10,333,583		7.1	$	1.17		6,000,497	$	1.16

Unvested Stock Options Roll Forward

A summary of the status of the Company's unvested stock options as of December 31, 2012 and December 31, 2011 is presented below:


Unvested Stock Options	Number of Shares			Weighted- Average Grant Date Fair Value
Unvested at January 1, 2012		4,333,086		$	0.72
Granted		5,307,500		$	1.90
Cancelled/expired		(387,171	)	$	1.17
Vested		(875,877	)	$	1.05
Unvested at December 31, 2012		8,377,538		$	0.96

Unvested Stock Options	Number of Shares			Weighted- Average Grant Date Fair Value
Unvested at January 1, 2011		2,679,787		$	0.87
Granted		3,918,500		$	0.63
Cancelled/expired		(1,352,567	)	$	0.59
Vested		(912,634	)	$	0.81
Unvested at December 31, 2011		4,333,086		$	0.72

Fair value of options valuation assumptions

The assumptions used in calculating the fair value of options using the Black-Scholes-Merton option-pricing model are set forth in the following table:

	Year ended December 31,
	2012			2011
Expected volatility		45.7-64.3	%		57.3-58.1	%
Expected life (in years)		6			6
Expected dividend yield		—			—
Risk-free interest rate		.62%-1.77	%		0.86% - 2.24	%

Summary of warrants outstanding

Common Stock warrants activity and resulting balances for the years ended December 31, 2012 and 2011, are as follows:

	Number of Warrants			Weighted- Average Exercise Price per Warrant		Number of Contingent Warrants			Weighted- Average Exercise Price per Contingent Warrant
Warrants outstanding at January 1, 2011		6,003,924		$	1.21		1,252,990		$	0.01
Issued in connection with private placement of common stock		1,889,161			1.50		1,889,162			0.01
Issued in connection with convertible promissory notes		203,332			1.50		203,332			0.01
Issued in connection with line of credit with related party		—			—		650,000			0.01
Issued in connection with Senior Secured Promissory Notes		1,250,000			0.01		1,250,000			0.01
Placement agent		42,400			1.09		—			—
Warrants outstanding at December 31, 2011		9,388,817		$	1.00		5,245,484		$	0.01
Warrants issued:
Vested contingent warrants related to private placement of common stock		1,672,743		$	0.01		(1,672,743	)	$	0.01
Vested contingent warrants related to line of credit with related party		325,000			0.01		(325,000	)		0.01
Contingent warrants voided		—			—		(3,247,741	)		0.01
Warrants exercised:
Contingent warrants related to convertible note		(1,249,750	)		0.01		—			—
Contingent warrants related to private placement of common stock		(1,608,802	)		0.01		—			—
Contingent warrants related to line of credit with related party		(325,000	)		0.01		—			—
Callable warrants		(3,288,733	)		1.50		—			—
Other		(1,703,568	)		0.63		—			—
Warrants expired		(10,000	)		1.00		—			—
Warrants redeemed for cashless exercises		(14,789	)		0.53		—			—
Repurchased callable warrants (a)		(56,750	)		1.50		—			—
Warrants outstanding at December 31, 2012		3,129,168		$	1.04		—		$	—

(a)

The Company repurchased the callable warrants at $0.01 per share.

- Definition

Tabular disclosure of warrants or rights issued. Warrants and rights outstanding are derivative securities that give the holder the right to purchase securities (usually equity) from the issuer at a specific price within a certain time frame. Warrants are often included in a new debt issue to entice investors by a higher return potential. The main difference between warrants and call options is that warrants are issued and guaranteed by the company, whereas options are exchange instruments and are not issued by the company. Also, the lifetime of a warrant is often measured in years, while the lifetime of a typical option is measured in months. Disclose the title of issue of securities called for by warrants and rights outstanding, the aggregate amount of securities called for by warrants and rights outstanding, the date from which the warrants or rights are exercisable, and the price at which the warrant or right is exercisable.

+ References + Details

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2012

Income Taxes [Abstract]

Deferred tax assets and liabilities

Significant components of the Company's deferred tax assets and liabilities are as follows:

	December 31,
	2012			2011
Deferred tax assets and liabilities:
Accrued liabilities	$	(73,000	)	$	131,000
Beneficial conversion feature on convertible financial instruments		(449,000)			(927,000	)
Intangible assets		1,117,000			249,000
Property and equipment		89,000			(18,000	)
R&D Credit Carryforward		1,407,356			494,000
Stock Compensation		213,000			—
Adjust accrued earn-out liability		567,947			—
Charitable Contributions		3,000			—
Patent fees		6,000			—
Net operating loss		15,487,000			15,524,000
Net deferred tax assets	$	18,368,303		$	15,453,000

Valuation allowance		(18,368,303	)		(15,453,000	)
	$	—		$	—

Reconciliation of the Federal statutory income tax

The reconciliation of the Federal statutory income tax rate of 34% to the effective rate is as follows:

	12/31/2012			12/31/2011
Federal statutory rate		34.00	%		34.00	%
State taxes, net of federal benefit		3.40	%		5.34	%
Permanent items & other		6.51	%		(11.30	%)
Valuation allowance		(43.91	%)		(28.04	%)
		—	%		—	%

Related Party Transactions (Tables)

12 Months Ended

Dec. 31, 2012

Related party expense

The Company has related party expense as described in the following table:

	December 31,
	2012		2011
Office space lease (a)	$	48,182	$	41,000
Aircraft use (b)		—		1,100
Hybrid debt instrument (c)		—		3,232
Line of credit (d)		103,630		42,726
Convertible senior secured promissory notes (e)		50,000		4,507
	$	201,812	$	92,565

(a) payments related to the lease of office space from an entity owned by the Chairman of the Board and CEO for $48,182 for 2012 and $41,000 for 2011, respectively

(b) payments related to aircraft use from an entity owned by the former Chairman of the Board and current member of the Board of Directors

(c) interest of $3,232 related to convertible promissory notes issued in October 2010 to the Chairman of the Board and CEO and two other members of the Board of Directors

(d) interest of $103,630 for 2012 and $42,726 for 2011, respectively related to a revolving secured line of credit with the Chairman of the Board and CEO dated March 31, 2011

(e) interest of $50,000 for 2012 and $4,507 for 2011, respectively related to the convertible senior secured promissory notes with the Chairman of the Board and CEO during the fourth quarter of 2011

Commitments (Tables)

12 Months Ended

Dec. 31, 2012

Commitments [Abstract]

Estimated annual lease, royalty, and employment agreement expenses

The estimated annual lease, royalty, and employment agreement expenses are as follows:

Year ended December 31,
2013	$	423,206
2014		204,700
Thereafter		542,021
	$	1,169,927

Nature of Business (Details)	12 Months Ended
Nature of Business (Details)	Dec. 31, 2012 Businesssegments
Nature of Business [Abstract]
Number of business segments	1

Significant Accounting Policies (Details)

12 Months Ended

Dec. 31, 2012

USD ($)

$ / shares

Dec. 31, 2011

USD ($)

$ / shares

Jul. 31, 2010

USD ($)

Depreciation [Abstract]

Depreciation

$ 465,367

$ 446,502

Increase in depreciation

19,000

Share-based Compensation [Abstract]

Share-based compensation expense

2,538,721

1,659,083

Increase in share based compensation expense

$ 880,000

Increase in share based compensation expense (in hundredths)

53.00%

Concentration Risk [Line Items]

FDIC insured amount

$ 250,000

Cash and cash equivalents uninsured amount

6,254,000

Accounts receivable [Abstract]

Allowance for doubtful accounts

49,400

19,500

Provision for doubtful accounts

56,900

57,900

Accounts receivable charge-offs

27,000

60,000

Impairment of Goodwill [Abstract]

Impairment loss

1,798,000

Impairment of Intangible Assets [Abstract]

Impairment of intangible assets

1,799,000

Deferred grant income [Abstract]

Grants received as Regional Economic Business Assistance (REBA)

250,000

Value of assets sold and leased back

250,000

Rent payable

100

Uncertain Tax Positions [Abstract]

Unrecognized tax benefits

18,817,000

15,453,000

Fair value of financial instruments [Abstract]

Fair value of short term convertible debt

3,762,000

Fair value of short term and long term convertible debt

5,169,000

Fair value of warrants issued in conjunction with placement fees

20,500

15,000

Computation of basic and diluted net loss per share [Abstract]

Net loss

$ (7,662,376)

$ (10,193,986)

Denominator for basic earnings per share - weighted average shares (in shares) | shares

81,646,295

72,450,337

Effect of dilutive securities: Stock options and warrants outstanding and convertible debt (in shares) | shares

^[1]

Denominator for diluted earnings per share - weighted average shares adjusted for dilutive securities (in shares) | shares

81,646,295

72,450,337

Loss per common share - basic and diluted (in dollars per share) | $ / shares

$ (0.09)

$ (0.14)

Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]

Antidilutive securities excluded from computation of earnings per share (in shares) | shares

22,056,948

27,372,173

Minimum [Member]

Property, Plant and Equipment [Line Items]

Property and equipment estimated useful life

5 years

Maximum [Member]

Property, Plant and Equipment [Line Items]

Property and equipment estimated useful life

7 years

Cost of Products Sold [Member]

Depreciation [Abstract]

Depreciation

$ 155,987

$ 104,950

Share-based Compensation [Abstract]

Share-based compensation expense

97,970

98,366

Research and Development [Member]

Depreciation [Abstract]

Depreciation

120,260

118,565

Share-based Compensation [Abstract]

Share-based compensation expense

289,341

254,997

Selling, General and Administrative [Member]

Depreciation [Abstract]

Depreciation

189,120

222,987

Share-based Compensation [Abstract]

Share-based compensation expense

$ 2,151,410

$ 1,305,720

Revenue [Member]

Concentration Risk [Line Items]

Number of Major Customers

Concentration of risk (in hundredths)

68.00%

37.00%

Revenue [Member] | First Customer [Member]

Concentration Risk [Line Items]

Concentration of risk (in hundredths)

40.00%

19.00%

Revenue [Member] | Second Customer [Member]

Concentration Risk [Line Items]

Concentration of risk (in hundredths)

21.00%

18.00%

Accounts Receivable [Member]

Concentration Risk [Line Items]

Number of Major Customers

Concentration of risk (in hundredths)

78.00%

43.00%

Accounts Receivable [Member] | First Customer [Member]

Concentration Risk [Line Items]

Concentration of risk (in hundredths)

53.00%

33.00%

Accounts Receivable [Member] | Second Customer [Member]

Concentration Risk [Line Items]

Concentration of risk (in hundredths)

25.00%

10.00%

Outstanding Stock Options [Member]

Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]

Antidilutive securities excluded from computation of earnings per share (in shares) | shares

13,614,135

10,333,583

Outstanding Warrants [Member]

Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]

Antidilutive securities excluded from computation of earnings per share (in shares) | shares

3,129,168

9,388,817

Convertible Debt, promissory notes [Member]

Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]

Antidilutive securities excluded from computation of earnings per share (in shares) | shares

5,313,645

5,007,732

Convertible Line of Credit with Related Party [Member]

Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]

Antidilutive securities excluded from computation of earnings per share (in shares) | shares

1,342,726

Convertible Debt, Acquisition [Member]

Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]

Antidilutive securities excluded from computation of earnings per share (in shares) | shares

1,299,315

[1]	Securities outstanding that were excluded from the computiation, prior to the use of the treasury stock method, because they would have been anti-dilutive are as follows:

Liquidity and Management's Plans (Details) - USD ($)	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2010
Liquidity and Management's Plans [Abstract]
Cash and cash equivalents	$ 6,754,485	$ 4,112,326	$ 1,340,922
Total current assets	18,088,791	$ 6,881,511
Current liabilities, net of short term earn-out liability	$ 5,071,000

- Definition

Amount of currency on hand as well as demand deposits with banks or financial institutions. Includes other kinds of accounts that have the general characteristics of demand deposits. Also includes short-term, highly liquid investments that are both readily convertible to known amounts of cash and so near their maturity that they present insignificant risk of changes in value because of changes in interest rates. Excludes cash and cash equivalents within disposal group and discontinued operation.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Cash
-URI http://asc.fasb.org/extlink&oid=6506951

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section 45
-Paragraph 1
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=6361293&loc=d3e6676-107765

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 230
-SubTopic 10
-Section 45
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=6943989&loc=d3e3044-108585

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Cash Equivalents
-URI http://asc.fasb.org/extlink&oid=6507016

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.1)
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 02
-Paragraph 1
-Article 5

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 95
-Paragraph 7, 26
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 95
-Paragraph 7
-Footnote 1
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 95
-Paragraph 8, 9
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

+ Details

Acquisition of Surgical Biologics, LLC (Details) - USD ($)

1 Months Ended

12 Months Ended

Jan. 05, 2011

Jul. 31, 2012

Apr. 30, 2012

Dec. 31, 2012

Dec. 31, 2011

Business Acquisition [Line Items]

Cash Paid

$ 500,000

Convertible secured promissory note

$ 1,250,000

Convertible Promissory Notes, interest rate (in hundredths)

4.00%

Common Stock valued

$ 7,087,500

$ 893,267

Common Stock issued (in shares)

5,250,000

2,632,576

Value of shares issued (in dollars per share)

$ 1.35

Common stock held in escrow (in shares)

525,000

Convertible Promissory Note, conversion price (in dollars per share)

$ 1.00

Convertible promissory note, stock price trigger (in dollars per share)

$ 1.75

Number of consecutive trading days

20 days

Maturity period of convertible promissory notes

18 months

Repayments of Convertible Debt

$ 177,000

$ 427,126

$ 0

Accrued Earn Out [Roll Forward]

Beginning balance at beginning period

7,410,503

Valuation at acquisition date

$ 7,404,700

Remeasurement adjustments

1,567,050

5,803

Common stock issued for earn-out liability

(3,185,223)

Ending balance at ending period

$ 5,792,330

$ 7,410,503

Actual purchase price allocated [Abstract]

Value of 5,250,000 shares issued at $1.35 per share

7,087,500

Cash paid at closing

350,000

Cash retained for working capital

150,000

Assumed Debt

182,777

Convertible Secured Promissory Note

1,250,000

Fair value of earn-out

7,404,700

Total fair value of purchase price

16,424,977

Tangible assets [Abstract]

Debt-free working capital

671,880

Other assets, net

385

Property, plant and equipment

72,866

Tangible assets purchased

745,131

Acquired Indefinite-lived Intangible Assets [Line Items]

Total acquired intangible assets

12,497,000

Goodwill

3,182,846

Total Assets Purchased

16,424,977

Working capital [Abstract]

33,583

2,738

181,087

340,000

347,106

Accounts payable and accrued expenses

(196,101)

Deferred rent and customer deposits

(36,533)

Debt-free working capital

671,880

Current portion of debt

(62,590)

(21,187)

(99,000)

489,103

16,582

Deferred rent (non-current)

(16,197)

Deposits net of deferred rent (non-current)

385

Trade names and trademarks [Member]

Acquired Indefinite-lived Intangible Assets [Line Items]

Acquired intangible asset

1,008,000

Estimated useful life (in years)

indefinite

In-process research and development - liquid [Member]

Acquired Indefinite-lived Intangible Assets [Line Items]

Acquired intangible asset

2,160,000

Estimated useful life (in years)

^[1]

indefinite

In-process research and development - other [Member]

Acquired Indefinite-lived Intangible Assets [Line Items]

Acquired intangible asset

25,000

Estimated useful life (in years)

indefinite

Customer Relationships [Member]

Acquired Finite-Lived Intangible Assets [Line Items]

Acquired intangible assets

3,520,000

Estimated useful life (in years)

14 years

Supplier Relationships [Member]

Acquired Finite-Lived Intangible Assets [Line Items]

Acquired intangible assets

241,000

Estimated useful life (in years)

14 years

Patents and Know-How [Member]

Acquired Finite-Lived Intangible Assets [Line Items]

Acquired intangible assets

5,530,000

Estimated useful life (in years)

14 years

Licenses and Permits [Member]

Acquired Finite-Lived Intangible Assets [Line Items]

Acquired intangible assets

$ 13,000

Estimated useful life (in years)

3 years

[1]	AmnioFix injectable was launched in 2012 with amortization recorded over its expected useful life.

Inventories (Details) - USD ($)	Dec. 31, 2012	Dec. 31, 2011
Inventories [Abstract]
Raw materials	$ 233,747	$ 95,288
Work in process	1,598,537	308,763
Finished goods	1,349,121	361,007
Inventory, gross	3,181,405	765,058
Reserve for obsolescence	(158,622)	(52,456)
Inventory, net	$ 3,022,784	$ 712,602

- Definition

The amount of the valuation account as of the balance sheet date which reduces the carrying amount of inventory to net realizable value; takes into consideration such factors as market value, excessive quantities based on expected sales, technological obsolescence, and shrinkage. May also provide for estimated product returns or price concessions pertaining to product cost.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 330
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SAB TOPIC 5.BB)
-URI http://asc.fasb.org/extlink&oid=6386940&loc=d3e100047-122729

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.6(a))
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 4
-Subparagraph (SX 210.12-09)
-URI http://asc.fasb.org/extlink&oid=6881521&loc=d3e24092-122690

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 330
-SubTopic 10
-Section 35
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6386567&loc=d3e3927-108312

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Research Bulletin (ARB)
-Number 43
-Paragraph 14
-Chapter 4
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Research Bulletin (ARB)
-Number 43
-Paragraph 8, 9, 14
-Chapter 4
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Research Bulletin (ARB)
-Number 43
-Section A
-Paragraph 9
-Chapter 3
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 09
-Article 12

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 02
-Paragraph 6
-Subparagraph a
-Article 5

+ Details

Property and Equipment (Details) - USD ($)	Dec. 31, 2012	Dec. 31, 2011
Property and equipment [Line Items]
Property and equipment, gross	$ 3,351,465	$ 2,683,884
Less accumulated depreciation	(2,279,840)	(1,814,473)
Property and equipment, net	1,071,625	869,411
Leasehold Improvements [Member]
Property and equipment [Line Items]
Property and equipment, gross	1,022,230	925,086
Lab and clean room equipment [Member]
Property and equipment [Line Items]
Property and equipment, gross	1,887,645	1,463,144
Furniture and office equipment [Member]
Property and equipment [Line Items]
Property and equipment, gross	431,563	295,654
Construction in Progress [Member]
Property and equipment [Line Items]
Property and equipment, gross	$ 10,027	$ 0

- Definition

The cumulative amount of depreciation, depletion and amortization (related to property, plant and equipment, but not including land) that has been recognized in the income statement.

+ References + Details

Intangible Assets and Royalty Agreement (Details) - USD ($)

12 Months Ended

Dec. 31, 2012

Dec. 31, 2011

Finite-Lived Intangible Assets [Line Items]

Gross Carrying Value

$ 17,526,000

Impairment Adjustment

(1,798,495)

Accumulated Amortization

(4,848,756)

(3,468,515)

Net carrying value, Total

10,878,749

14,057,485

Acquisition price, one-time license fee

$ 100,000

Shares issued for intangibles (in shares)

1,120,000

Value of shares issued for intangibles

$ 896,000

Maximum time of approval

30 days

Contingent payments to licensor

$ 200,000

Contingent royalty to be paid to licensor (in hundredths)

3.00%

Annual royalty payment

$ 50,000

Acquisition price of asset, shares issued (in shares)

400,000

Acquisition of asset, value of shares issued

$ 2,596,000

Number of shares issuable upon meeting certain milestones (in shares)

600,000

Contingent payments to licensor, shares issued

100,000

Contingent payment to licensor, value of shares issued

$ 71,000

Indefinite-lived Intangible Assets [Line Items]

Impairment Adjustment

(1,798,495)

Intangible assets, gross carrying value

18,559,000

Accumulated Amortization

(4,848,756)

(3,468,515)

Intangible assets, net carrying value

11,911,749

15,090,485

Estimated future amortization expense [Abstract]

1,050,380

1,046,047

1,022,651

976,998

6,782,673

Net carrying value, Total

$ 10,878,749

14,057,485

Trade names and trademarks [Member]

Indefinite-lived Intangible Assets [Line Items]

Weighted average useful life

indefinite

Gross Carrying Value

$ 1,008,000

1,008,000

Accumulated Amortization

Net Carrying Value

$ 1,008,000

1,008,000

In process research and development, liquid [Member]

Indefinite-lived Intangible Assets [Line Items]

Weighted average useful life

^[1]

indefinite

In process research and development, other [Member]

Indefinite-lived Intangible Assets [Line Items]

Weighted average useful life

indefinite

Gross Carrying Value

$ 25,000

25,000

Accumulated Amortization

Net Carrying Value

$ 25,000

25,000

License-Shriners Hsp for Children & USF Research [Member]

Finite-Lived Intangible Assets [Line Items]

Weighted Average Amortization Lives

10 years

Gross Carrying Value

$ 996,000

996,000

Impairment Adjustment

Accumulated Amortization

(587,633)

(488,033)

Net carrying value, Total

408,367

507,967

Estimated future amortization expense [Abstract]

Net carrying value, Total

$ 408,367

507,967

License - SaluMedica LLC Spine Repair [Member]

Finite-Lived Intangible Assets [Line Items]

Weighted Average Amortization Lives

10 years

Gross Carrying Value

$ 2,399,000

2,399,000

Impairment Adjustment

(851,676)

Accumulated Amortization

(1,547,324)

(1,313,573)

Net carrying value, Total

1,085,427

Estimated future amortization expense [Abstract]

Net carrying value, Total

$ 0

1,085,427

License - Polyvinyl Alcohol Cryogel [Member]

Finite-Lived Intangible Assets [Line Items]

Weighted Average Amortization Lives

10 years

Gross Carrying Value

$ 2,667,000

2,667,000

Impairment Adjustment

(946,819)

Accumulated Amortization

(1,223,561)

(998,932)

Net carrying value, Total

496,620

1,668,068

Estimated future amortization expense [Abstract]

Net carrying value, Total

$ 496,620

1,668,068

Customer Relationships [Member]

Finite-Lived Intangible Assets [Line Items]

Weighted Average Amortization Lives

14 years

Gross Carrying Value

$ 3,520,000

3,520,000

Accumulated Amortization

(502,857)

(251,429)

Net carrying value, Total

3,017,143

3,268,571

Estimated future amortization expense [Abstract]

Net carrying value, Total

$ 3,017,143

3,268,571

Supplier Relationships [Member]

Finite-Lived Intangible Assets [Line Items]

Weighted Average Amortization Lives

14 years

Gross Carrying Value

$ 241,000

241,000

Accumulated Amortization

(34,429)

(17,215)

Net carrying value, Total

206,571

223,785

Estimated future amortization expense [Abstract]

Net carrying value, Total

$ 206,571

223,785

Patents and Know-How [Member]

Finite-Lived Intangible Assets [Line Items]

Weighted Average Amortization Lives

14 years

Gross Carrying Value

$ 5,530,000

5,530,000

Accumulated Amortization

(790,000)

(395,000)

Net carrying value, Total

4,740,000

5,135,000

Estimated future amortization expense [Abstract]

Net carrying value, Total

$ 4,740,000

5,135,000

Micronized Processing Know-How [Member]

Finite-Lived Intangible Assets [Line Items]

Weighted Average Amortization Lives

14 years

Gross Carrying Value

$ 2,160,000

2,160,000

Accumulated Amortization

(154,286)

Net carrying value, Total

2,005,714

2,160,000

Estimated future amortization expense [Abstract]

Net carrying value, Total

$ 2,005,714

2,160,000

Licenses and Permits [Member]

Finite-Lived Intangible Assets [Line Items]

Weighted Average Amortization Lives

3 years

Gross Carrying Value

$ 13,000

13,000

Accumulated Amortization

(8,667)

(4,333)

Net carrying value, Total

4,333

8,667

Estimated future amortization expense [Abstract]

Net carrying value, Total

$ 4,333

$ 8,667

[1]	AmnioFix injectable was launched in 2012 with amortization recorded over its expected useful life.

Accrued Expenses (Details) - USD ($)	Dec. 31, 2012	Dec. 31, 2011
Accrued Expenses [Abstract]
Accrued Personnel Related Costs	$ 1,761,760	$ 311,849
Accrued Commissions	1,469,925	112,905
Other Accrued Expenses	512,249	358,435
Total Accrued Expenses	$ 3,743,934	$ 783,189

- Definition

Carrying value as of the balance sheet date of obligations incurred through that date and payable arising from transactions not otherwise specified in the taxonomy. Used to reflect the current portion of the liabilities (due within one year or within the normal operating cycle if longer).

+ References + Details

Long-Term Debt (Details)

1 Months Ended

2 Months Ended

12 Months Ended

Jul. 03, 2012

$ / shares

Jul. 31, 2012

USD ($)

Mar. 31, 2012

Feb. 28, 2013

Dec. 31, 2012

USD ($)

$ / shares

Dec. 31, 2011

USD ($)

$ / shares

Jan. 05, 2011

Debt Instrument [Line Items]

Total debt

$ 5,313,645

$ 7,649,773

Less unamortized debt discount

(1,301,203)

(2,480,400)

Less current portion

(2,424,786)

Long-term portion

4,012,442

2,744,587

Annual interest rate (in hundredths)

4.00%

Repayments of Convertible Promissory Notes

$ 177,000

427,126

Beneficial Conversion Feature Value Related To Convertible Debt Issued With Regard To Senior Secured Promissory Notes

2,278,052

Additional financing expense

$ 437,500

Placement fee, warrants issued (in shares) | shares

1,120,000

Warrants term

5 years

Convertible secured promissory note to common stock (in shares) | shares

893,267

Convertible Line of Credit with Related Party [Member]

Debt Instrument [Line Items]

Total debt

^[1]

$ 0

$ 1,342,726

Annual interest rate (in hundredths)

5.00%

Maturity date

Dec. 31, 2012

Shares issued in conjunction with conversion of convertible debt (in shares) | shares

893,267

Warrant exercise price (in dollars per share) | $ / shares

$ 1.00

Warrant exercise price (in dollars per share) | $ / shares

$ 1.00

First Contingent Warrants [Member] | Convertible Line of Credit with Related Party [Member]

Debt Instrument [Line Items]

Warrants vested (in shares) | shares

325,000

Beneficial Conversion Feature Value Related To Convertible Debt Issued With Regard To Senior Secured Promissory Notes

$ 594,456

Second Contingent Warrants [Member] | Convertible Line of Credit with Related Party [Member]

Debt Instrument [Line Items]

Warrants voided (in shares) | shares

325,000

Chairman and CEO [Member] | Convertible Line of Credit with Related Party [Member]

Debt Instrument [Line Items]

Shares issued in conjunction with conversion of convertible debt (in shares) | shares

1,403,630

4% Convertible Debt [Member]

Debt Instrument [Line Items]

Total debt

$ 0

$ 1,299,315

Annual interest rate (in hundredths)

4.00%

Maturity date

Jul. 05, 2012

Repayments of Convertible Promissory Notes

177,000

5% Convertible Senior Secured Promissory Note [Member]

Debt Instrument [Line Items]

Total debt

^[2]

$ 5,313,645

$ 5,007,732

Annual interest rate (in hundredths)

5.00%

Maturity date

Dec. 31, 2013

Additional interest payment (in hundredths)

5.00%

Warrant exercise price (in dollars per share) | $ / shares

$ 1.09

Warrant exercise price (in dollars per share) | $ / shares

$ 1.09

Proceeds from issuance of debt

$ 5,000,000

Convertible debt, shares issuable if converted (in shares)

5,000,000

Placement fee

$ 32,800

Placement fee, warrants issued (in shares) | shares

42,400

Warrants term

5 years

Fair value of placement fee warrants

$ 15,000

Direct costs of sale of notes

$ 47,800

Convertible secured promissory note to common stock (in shares) | shares

5,271,963

5% Convertible Senior Secured Promissory Note [Member] | First Contingent Warrants [Member]

Debt Instrument [Line Items]

Percentage of equity securities to be sold for conversion of notes (in hundredths)

25.00%

Warrant exercise price (in dollars per share) | $ / shares

$ 0.01

Warrants vested (in shares) | shares

1,250,000

Beneficial Conversion Feature Value Related To Convertible Debt Issued With Regard To Senior Secured Promissory Notes

$ 2,278,052

Warrant exercise price (in dollars per share) | $ / shares

$ 0.01

5% Convertible Senior Secured Promissory Note [Member] | Second Contingent Warrants [Member]

Debt Instrument [Line Items]

Percentage of equity securities to be sold for conversion of notes (in hundredths)

25.00%

Warrant exercise price (in dollars per share) | $ / shares

$ 0.01

Warrants voided (in shares) | shares

1,250,000

Closing trading price of Company stock (in dollars per share) | $ / shares

$ 1.75

Number of consecutive trading days

10 days

Warrant exercise price (in dollars per share) | $ / shares

$ 0.01

5% Convertible Senior Secured Promissory Note [Member] | Chairman and CEO [Member]

Debt Instrument [Line Items]

Proceeds from issuance of debt

$ 500,000

Convertible secured promissory note to common stock (in shares) | shares

532,260

[1]

The same terms offerred to the Senior Secured Promissory note with regard to Contingent Warrants applied to the Convertible Line of Credit. In March 2012 a total of 325,000 First Contingent Warrants vested. In July 2012, a total of 325,000 Second Contingent Warrants were voided. The amount of the warrants (i.e. the exercisable First Contingent Warrants) and beneficial conversion feature totaled $594,456 which has been recorded as a debt discount that has been charged to interest expense using the effective interest rate over the life of the note.

[2]

Investors received First Contingent Warrants (25% of amount invested) and Second Contingent Warrants (25% of amount invested) at an exercise price of $.01 per share. The warrants vest depending upon reported Company revenues for the Years ended December 31, 2011 and 2012. In March 2012 a total of 1,250,000 First Contingent Warrants were vested. In July 2012, a total of 1,250,000 Second Contingent Warrants were voided due to the Company share price trading at or above $1.75 for ten consecutive trading days. The amount of the warrants (i.e. the exercisable First Contingent Warrants) and beneficial conversion feature totaled $2,278,052 which has been recorded as a debt discount that has been and will continue to be charged to interest expense using the effective interest rate over the life of the note.

Common Stock Placements (Details) - USD ($)		1 Months Ended	6 Months Ended	12 Months Ended
Common Stock Placements (Details) - USD ($)	Jul. 03, 2012	Jul. 31, 2012	Jun. 30, 2012	Dec. 31, 2012	Dec. 31, 2011
Sale of stocks and warrants [Line Items]
Warrants, term				5 years
Number of consecutive trading days, minimum				20 days
Number of warrants called (in shares)		3,345,000
Proceeds from shares issued		$ 4,900,000
Common stock, shares issued (in shares)		3,289,000		88,423,169	74,306,895
Common Stock [Member]
Sale of stocks and warrants [Line Items]
Shares issued (in shares)					3,778,321
Private placement offering costs					$ 47,733
Net proceeds from private placement					$ 3,730,587
Callable Warrants [Member]
Sale of stocks and warrants [Line Items]
Shares issued (in shares)					1,889,161
Warrants, term					5 years
Redemption price of callable warrant (in dollars per share)				$ 0.01
Number of shares to be purchased to receive one warrant (in shares)					2
Number of shares covered under each warrant (in shares)					1
Minimum closing price to exercise callable rights (in dollars per share)					$ 1.75
Number of consecutive trading days, minimum					15 days
Number of callable warrants repurchased (in shares)		56,750
Purchase price of warrants repurchased		$ 0.01
First Contingent Warrants [Member]
Sale of stocks and warrants [Line Items]
Shares issued (in shares)			1,673,000
Share issue price (in dollars per share)			$ 0.01
Number of warrants exercised (in shares)				1,609,000
Second Contingent Warrants [Member]
Sale of stocks and warrants [Line Items]
Warrants voided (in shares)	1,672,742
Chairman and CEO [Member] \| Callable Warrants [Member]
Sale of stocks and warrants [Line Items]
Share issue price (in dollars per share)					$ 1.50
Number of warrants exercised (in shares)		503,332
Chairman and CEO [Member] \| First Contingent Warrants [Member]
Sale of stocks and warrants [Line Items]
Number of warrants vested (in shares)			252,000

Equity (Details)	12 Months Ended
Equity (Details)	Dec. 31, 2012 USD ($) Plans $ / shares shares	Dec. 31, 2011 USD ($) $ / shares shares	Dec. 31, 2012 USD ($) $ / shares shares	Dec. 31, 2011 USD ($) $ / shares shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of share-based compensation plans \| Plans	3
Outstanding assumed options (in shares) \| shares			375,000
Shares authorized (in shares) \| shares			16,500,000	12,500,000
Increase of shares (in shares) \| shares	4,000,000
Number of shares [Roll forward]
Outstanding, beginning of period (in shares) \| shares	10,333,583	8,257,650
Granted (in shares) \| shares	5,307,500	3,918,500
Exercised (in shares) \| shares	(843,862)	(490,000)
Unvested options forfeited (in shares) \| shares	(387,171)	(217,252)
Vested options expired (in shares) \| shares	(795,915)	(1,135,315)
Outstanding, end of period (in shares) \| shares	13,614,135	10,333,583
Vested or expected to vest at end of period (in shares) \| shares			13,367,278	10,283,583
Weighted-Average Exercise Price [Roll forward]
Outstanding, weighted average exercise price, beginning of period (in dollars per share)	$ 1.17	$ 1.20
Granted, weighted average exercise price (in dollars per share)	1.90	1.17
Exercised, weighted average exercise price (in dollars per share)	1.25	0.60
Unvested options forfeited weighted-average exercise price (in dollars per share)	1.17	1.10
Vested options expired weighted-average exercise price (in dollars per share)	1.55	1.70
Outstanding, weighted average exercise price, end of period (in dollars per share)	$ 1.42	$ 1.17
Vested or expected to vest at end of period weighted average exercise price (in dollars per share)			$ 1.41	$ 1.17
Stock options, additional disclosures [Abstract]
Outstanding, weighted average remaining contractual term	8 years	7 years 1 month 6 days
Vested and expected to vest, weighted average remaining contractual term	7 years 10 months 24 days	5 years 8 months 12 days
Outstanding, aggregate intrinsic value \| $			$ 32,924,881	$ 1,457,218
Vested and expected to vest, aggregate intrinsic value \| $			$ 32,490,930	$ 1,395,223
Exercised options, intrinsic value \| $	$ 718,978	$ 258,000
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Number of outstanding options (in shares) \| shares			13,614,135	10,333,583
Outstanding Options, weighted average remaining contractual term	8 years	7 years 1 month 6 days
Outstanding Options, weighted average exercise price (in dollars per share)			$ 1.42	$ 1.17
Number of exercisable options (in shares) \| shares			5,236,597	6,000,497
Exercisable Options, weighted average exercise price (in dollars per share)			$ 1.05	$ 1.16
Total unrecognized compensation expense \| $			$ 6,151,000
Unvested Stock Options [Rollforward]
Unvested at beginning of year (in shares) \| shares	4,333,086	2,679,787
Granted (in shares) \| shares	5,307,500	3,918,500
Called/expired (in shares) \| shares	(387,171)	(1,352,567)
Vested (in shares) \| shares	(875,877)	(912,634)
Unvested at end of year (in shares) \| shares	4,333,086	2,679,787	8,377,538	4,333,086
Unvested Stock Option Weighted Average Grant Date Fair Value [Roll Forward]
Unvested at beginning of year (in dollars per share)	$ 0.72	$ 0.87
Granted (in dollars per share)	1.90	0.63
Cancelled/expired (in dollars per share)	1.17	0.59
Vested (in dollars per share)	1.05	0.81
Unvested at end of year (in dollars per share)	$ 0.72	$ 0.87	$ 0.96	$ 0.72
Fair value options valuation assumptions [Abstract]
Expected volatility, minimum (in hundredths)	45.70%	57.30%
Expected volatility, maximum (in hundredths)	64.30%	58.10%
Expected life (in years)	6 years	6 years
Expected dividend yield (in hundredths)	0.00%	0.00%
Risk-free interest rate, minimum (in hundredths)	0.62%	0.86%
Risk-free interest rate, maximum (in hundredths)	0.177%	2.24%
Weighted-average grant date fair value for options granted during the period (in dollars per share)	$ 1.07	$ 0.63
Class of Warrant or Right [Line Items]
Warrants, term	5 years
Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Warrants outstanding, beginning of period (in shares) \| shares	9,388,817	6,003,924
Warrants voided (in shares) \| shares	0
Warrants outstanding, end of period (in shares) \| shares	3,129,168	9,388,817
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants outstanding, beginning of period (in dollars per share)	1.00	1.21
Warrants issued (in dollars per share)	$ 0
Warrants outstanding, end of period (in dollars per share)	1.04	1.00
Contingent Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Warrants outstanding, beginning of period (in shares) \| shares	5,245,484	1,252,990
Warrants voided (in shares) \| shares	(3,247,741)
Warrants outstanding, end of period (in shares) \| shares	0	5,245,484
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants outstanding, beginning of period (in dollars per share)	0.01	0.01
Warrants issued (in dollars per share)	$ 0.01
Warrants outstanding, end of period (in dollars per share)	0	0.01
Warrants Issued in Connection with Private Placement [Member] \| Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Contingent warrants issued (in shares) \| shares	1,672,743	1,889,161
Warrants exercised (in shares) \| shares	(1,608,802)
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants issued (in dollars per share)	$ 0.01	$ 1.50
Warrants exercised (in dollars per share)	$ 0.01
Warrants Issued in Connection with Private Placement [Member] \| Contingent Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Contingent warrants issued (in shares) \| shares	(1,672,743)	1,889,162
Warrants exercised (in shares) \| shares	0
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants issued (in dollars per share)	$ 0.01	$ 0.01
Warrants exercised (in dollars per share)	$ 0
Warrants Issued in Connection with Convertible Promissory Notes [Member] \| Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Contingent warrants issued (in shares) \| shares		203,332
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants issued (in dollars per share)		$ 1.50
Warrants Issued in Connection with Convertible Promissory Notes [Member] \| Contingent Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Contingent warrants issued (in shares) \| shares		203,332
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants issued (in dollars per share)		$ 0.01
Warrants Issued In Connection With Line of Credit with Related Party [Member] \| Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Contingent warrants issued (in shares) \| shares	325,000	0
Warrants exercised (in shares) \| shares	(325,000)
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants issued (in dollars per share)	$ 0.01	$ 0
Warrants exercised (in dollars per share)	$ 0.01
Warrants Issued In Connection With Line of Credit with Related Party [Member] \| Contingent Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Contingent warrants issued (in shares) \| shares	(325,000)	650,000
Warrants exercised (in shares) \| shares	0
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants issued (in dollars per share)	$ 0.01	$ 0.01
Warrants exercised (in dollars per share)	$ 0
Warrants Issued in Connection with Senior Secured Promissory Notes. [Member] \| Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Contingent warrants issued (in shares) \| shares		1,250,000
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants issued (in dollars per share)		$ 0.01
Warrants Issued in Connection with Senior Secured Promissory Notes. [Member] \| Contingent Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Contingent warrants issued (in shares) \| shares		1,250,000
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants issued (in dollars per share)		$ 0.01
Callable warrants [Member] \| Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Warrants exercised (in shares) \| shares	(3,288,733)
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants exercised (in dollars per share)	$ 1.50
Callable warrants [Member] \| Contingent Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Warrants exercised (in shares) \| shares	0
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants exercised (in dollars per share)	$ 0
Warrants expired [Member] \| Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Expired warrants (in shares) \| shares	(10,000)
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants Expired Weighted Average Exercise Price (in dollars per share)	$ 1.00
Warrants expired [Member] \| Contingent Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Expired warrants (in shares) \| shares	0
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants Expired Weighted Average Exercise Price (in dollars per share)	$ 0
Contingent warrants related to convertible note [Member] \| Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Warrants exercised (in shares) \| shares	(1,249,750)
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants exercised (in dollars per share)	$ 0.01
Contingent warrants related to convertible note [Member] \| Contingent Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Warrants exercised (in shares) \| shares	0
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants exercised (in dollars per share)	$ 0
Other [Member] \| Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Warrants exercised (in shares) \| shares	(1,703,568)
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants exercised (in dollars per share)	$ 0.63
Other [Member] \| Contingent Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Warrants exercised (in shares) \| shares	0
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants exercised (in dollars per share)	$ 0
Warrants Redeemed for Cashless Exercises [Member] \| Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Warrants exercised (in shares) \| shares	(14,789)
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants exercised (in dollars per share)	$ 0.53
Warrants Redeemed for Cashless Exercises [Member] \| Contingent Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Warrants exercised (in shares) \| shares	0
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants exercised (in dollars per share)	$ 0
Repurchase of callable warrants [Member] \| Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Warrants exercised (in shares) \| shares	(56,750)
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants exercised (in dollars per share)	$ 1.50
Repurchase of callable warrants [Member] \| Contingent Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Warrants exercised (in shares) \| shares	0
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants exercised (in dollars per share)	$ 0
Placement Agent [Member] \| Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Contingent warrants issued (in shares) \| shares		42,400
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants issued (in dollars per share)		$ 1.09
Placement Agent [Member] \| Contingent Warrants [Member]
Warrants, Number of Warrants [Roll Forward]
Contingent warrants issued (in shares) \| shares		0
Warrants, Weighted-Average Exercise Price per Warrant [Roll Forward]
Warrants issued (in dollars per share)		$ 0
$0.50 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise Price Range, upper range limit (in dollars per share)		$ 0.50
Number of outstanding options (in shares) \| shares				587,250
Outstanding Options, weighted average remaining contractual term		2 years 10 months 24 days
Outstanding Options, weighted average exercise price (in dollars per share)				$ 0.50
Number of exercisable options (in shares) \| shares				513,268
Exercisable Options, weighted average exercise price (in dollars per share)				$ 0.50
$0.65-$1.00 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise Price Range, lower range limit (in dollars per share)		$ 0.65
Exercise Price Range, upper range limit (in dollars per share)		$ 1.00
Number of outstanding options (in shares) \| shares				2,967,500
Outstanding Options, weighted average remaining contractual term		5 years 8 months 12 days
Outstanding Options, weighted average exercise price (in dollars per share)				$ 0.79
Number of exercisable options (in shares) \| shares				2,730,224
Exercisable Options, weighted average exercise price (in dollars per share)				$ 0.79
$1.04-$1.80 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise Price Range, lower range limit (in dollars per share)		$ 1.04
Exercise Price Range, upper range limit (in dollars per share)		$ 1.80
Number of outstanding options (in shares) \| shares				6,228,833
Outstanding Options, weighted average remaining contractual term		8 years 9 months 18 days
Outstanding Options, weighted average exercise price (in dollars per share)				$ 1.30
Number of exercisable options (in shares) \| shares				2,207,005
Exercisable Options, weighted average exercise price (in dollars per share)				$ 1.45
$2.40 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise Price Range, upper range limit (in dollars per share)		$ 2.40
Number of outstanding options (in shares) \| shares				550,000
Outstanding Options, weighted average remaining contractual term		8 months 12 days
Outstanding Options, weighted average exercise price (in dollars per share)				$ 2.40
Number of exercisable options (in shares) \| shares				550,000
Exercisable Options, weighted average exercise price (in dollars per share)				$ 2.40
$0.50-$0.76 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise Price Range, lower range limit (in dollars per share)	0.50
Exercise Price Range, upper range limit (in dollars per share)	$ 0.76
Number of outstanding options (in shares) \| shares			2,372,500
Outstanding Options, weighted average remaining contractual term	5 years 3 months 18 days
Outstanding Options, weighted average exercise price (in dollars per share)			$ 0.66
Number of exercisable options (in shares) \| shares			2,372,500
Exercisable Options, weighted average exercise price (in dollars per share)			$ 0.66
$0.87-$1.35 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise Price Range, lower range limit (in dollars per share)	$ 0.87
Exercise Price Range, upper range limit (in dollars per share)	$ 1.35
Number of outstanding options (in shares) \| shares			7,048,668
Outstanding Options, weighted average remaining contractual term	8 years 7 months 6 days
Outstanding Options, weighted average exercise price (in dollars per share)			$ 1.15
Number of exercisable options (in shares) \| shares			1,674,638
Exercisable Options, weighted average exercise price (in dollars per share)			$ 1.15
$1.40-$2.18 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise Price Range, lower range limit (in dollars per share)	$ 1.40
Exercise Price Range, upper range limit (in dollars per share)	$ 2.18
Number of outstanding options (in shares) \| shares			1,958,467
Outstanding Options, weighted average remaining contractual term	6 years 9 months 18 days
Outstanding Options, weighted average exercise price (in dollars per share)			$ 1.68
Number of exercisable options (in shares) \| shares			1,189,459
Exercisable Options, weighted average exercise price (in dollars per share)			$ 1.68
$2.29-$3.47 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise Price Range, lower range limit (in dollars per share)	$ 2.29
Exercise Price Range, upper range limit (in dollars per share)	$ 3.47
Number of outstanding options (in shares) \| shares			2,177,000
Outstanding Options, weighted average remaining contractual term	9 years 8 months 12 days
Outstanding Options, weighted average exercise price (in dollars per share)			$ 0
Number of exercisable options (in shares) \| shares			0
Exercisable Options, weighted average exercise price (in dollars per share)			$ 0
$3.49-$3.85 [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items]
Exercise Price Range, lower range limit (in dollars per share)	$ 3.49
Exercise Price Range, upper range limit (in dollars per share)	$ 3.85
Number of outstanding options (in shares) \| shares			57,500
Outstanding Options, weighted average remaining contractual term	10 years
Outstanding Options, weighted average exercise price (in dollars per share)			$ 0
Number of exercisable options (in shares) \| shares			0
Exercisable Options, weighted average exercise price (in dollars per share)			$ 0

Income Taxes (Details) - USD ($)	12 Months Ended
Income Taxes (Details) - USD ($)	Dec. 31, 2012	Dec. 31, 2011
Deferred tax assets and liabilities [Abstract]
Accrued liabilities	$ (73,000)
Accrued liabilities		$ 131,000
Beneficial conversion feature on convertible financial instruments	(449,000)	(927,000)
Intangible assets	1,117,000	249,000
Property and equipment	89,000
Property and equipment		(18,000)
R&D tax credit carryforwards	1,407,356	157,500
Stock Compensation	213,000	0
Adjust accrued earn-out liability	567,947	0
Charitable Contributions	3,000	0
Patent fees	6,000	0
Net operating loss	15,487,000	15,524,000
Net deferred tax assets	18,368,303	15,453,000
Valuation allowance	(18,368,303)	(15,453,000)
Deferred tax assets and liabilities, net of valuation allowance	$ 0	$ 0
Reconciliation of the Federal statutory income tax rate [Abstract]
Federal statutory rate (in hundredths)	34.00%	34.00%
State taxes, net of federal benefit (in hundredths)	3.40%	5.34%
Permanent items & other (in hundredths)	6.51%	(11.30%)
Valuation allowance (in hundredths)	(43.91%)	(28.04%)
Effective income tax rate (in hundredths)	0.00%	0.00%
Operating Loss Carryforwards [Line Items]
Federal operating loss carryforwards	$ 42,700,000	$ 41,400,000
Operating Loss Carryforwards, Expiration Dates	2026 through 2032
Tax credit carryforwards	$ 1,400,000
Tax credit carryforwards expiration period	2025 through 2032

Related Party Transactions (Details) - USD ($)

12 Months Ended

Dec. 31, 2012

Dec. 31, 2011

Related party expense

$ 201,812

$ 92,565

Hybrid Debt Instrument [Member]

Interest expense

^[1]

3,232

Line of Credit [Member]

Interest expense

^[2]

103,630

42,726

Convertible Senior Secured Promissory Notes [Member]

Interest expense

^[3]

50,000

4,507

Office Space Lease [Member]

Related party expense

^[4]

48,182

41,000

Aircraft Use [Member]

Related party expense

^[5]

$ 0

$ 1,100

[1]	interest of $3,232 related to convertible promissory notes issued in October 2010 to the Chairman of the Board and CEO and two other members of the Board of Directors
[2]	interest of $103,630 for 2012 and $42,726 for 2011, respectively related to a revolving secured line of credit with the Chairman of the Board and CEO dated March 31, 2011
[3]	interest of $50,000 for 2012 and $4,507 for 2011, respectively related to the convertible senior secured promissory notes with the Chairman of the Board and CEO during the fourth quarter of 2011
[4]	payments related to the lease of office space from an entity owned by the Chairman of the Board and CEO for $48,182 for 2012 and $41,000 for 2011, respectively
[5]	payments related to aircraft use from an entity owned by the former Chairman of the Board and current member of the Board of Directors

401k Plan (Details)	12 Months Ended
401k Plan (Details)	Dec. 31, 2012 USD ($)
401k Plan [Abstract]
Minimum age require to qualify for pension plan	21 years
Minimum service period require to qualify for pension plan	3 months
Maximum wages deferred (in hundredths)	100.00%
Maximum eligible wages deferred by participants per year	$ 17,000
Minimum age for additional contribution beyond normal plan	50 years
Defined benefit plan, contributions by plan participants	$ 5,500
Employer matching contribution (in hundredths)	6.00%

Commitments (Details) - USD ($)	12 Months Ended
Commitments (Details) - USD ($)	Dec. 31, 2012	Dec. 31, 2011
Estimated annual lease, royalty, and employment agreement expenses [Abstract]
2013	$ 423,206
2014	204,700
Thereafter	542,021
Total Contractual commitments	1,169,927
Rent and operating leases expense	$ 528,000	$ 533,000

Subsequent Events (Details)	2 Months Ended	12 Months Ended
Subsequent Events (Details)	Feb. 28, 2013 shares	Dec. 31, 2012 USD ($) shares	Jan. 31, 2013 USD ($) ft²
Subsequent Event [Line Items]
Shares of common stock (in shares) \| shares		893,267
Subsequent Event [Member]
Subsequent Event [Line Items]
Square feet of office the company will lease \| ft²			80,000
Initial lease term		69 months
Base rental payments \| $			$ 7,100,000
Security deposit \| $		$ 250,000	$ 499,087
Subsequent Event [Member] \| Issuance of Equity [Member]
Subsequent Event [Line Items]
Total amount of debt plus accrued interest \| $		$ 5,271,963
Shares of common stock (in shares) \| shares	5,271,963
Subsequent Event [Member] \| Issuance of Equity [Member] \| Chairman and CEO [Member]
Subsequent Event [Line Items]
Shares of common stock (in shares) \| shares	532,260