Document_And_Entity_Informatio
Document And Entity Information | 6 Months Ended | |
Dec. 31, 2013 | Feb. 14, 2014 | |
Document Information [Line Items] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 31-Dec-13 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q2 | ' |
Trading Symbol | 'FLUX | ' |
Entity Common Stock, Shares Outstanding | ' | 61,035,576 |
Entity Registrant Name | 'Flux Power Holdings, Inc. | ' |
Entity Central Index Key | '0001083743 | ' |
Current Fiscal Year End Date | '--06-30 | ' |
Entity Filer Category | 'Smaller Reporting Company | ' |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
Current assets: | ' | ' |
Cash | $4,000 | $20,000 |
Accounts receivable, net | 6,000 | 13,000 |
Inventories, net | 147,000 | 160,000 |
Prepaid advisory fees, current portion | 756,000 | 1,616,000 |
Other current assets | 53,000 | 35,000 |
Total current assets | 966,000 | 1,844,000 |
Property, plant and equipment, net | 99,000 | 132,000 |
Total assets | 1,065,000 | 1,976,000 |
Current liabilities: | ' | ' |
Accounts payable | 362,000 | 370,000 |
Accrued expenses | 156,000 | 211,000 |
Accrued interest | 236,000 | 135,000 |
Customer deposits | 22,000 | 5,000 |
Customer deposits from related party | 135,000 | 138,000 |
Warrant derivative liability | 60,000 | 143,000 |
Stockholder notes payable and line of credit, current portion | 0 | 1,250,000 |
Total current liabilities | 971,000 | 2,252,000 |
Long term liabilities: | ' | ' |
Stockholder notes payable and line of credit, net of current portion | 3,136,000 | 1,218,000 |
Total liabilities | 4,107,000 | 3,470,000 |
Commitments and contingencies (Note 5) | ' | ' |
STOCKHOLDERS' DEFICIT | ' | ' |
Preferred stock, $0.001 par value: authorized 5,000,000 shares, none issued and outstanding | 0 | 0 |
Common stock, $0.001 par value: authorized 145,000,000 shares, 48,135,576 and 47,355,576 shares issued and outstanding as of December 31, 2013 and June 30, 2013, respectively | 48,000 | 47,000 |
Additional paid-in capital | 2,549,000 | 2,436,000 |
Accumulated deficit | -5,639,000 | -3,977,000 |
Total stockholders 'deficit | -3,042,000 | -1,494,000 |
Total liabilities and stockholders' deficit | $1,065,000 | $1,976,000 |
CONDENSED_CONSOLIDATED_BALANCE1
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
Preferred stock, par value | $0.00 | $0.00 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, issued | 0 | 0 |
Preferred stock, outstanding | 0 | 0 |
Common stock, par value | $0.00 | $0.00 |
Common stock, shares authorized | 145,000,000 | 145,000,000 |
Common stock, issued | 48,135,576 | 47,355,576 |
Common stock, outstanding | 48,135,576 | 47,355,576 |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 3 Months Ended | 6 Months Ended | ||||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | |||||
Net revenue (1) | $28,000 | [1] | $516,000 | [1] | $62,000 | [1] | $592,000 | [1] |
Cost of sales | 19,000 | 458,000 | 40,000 | 503,000 | ||||
Gross profit | 9,000 | 58,000 | 22,000 | 89,000 | ||||
Operating expenses: | ' | ' | ' | ' | ||||
Selling and administrative expenses | 342,000 | 687,000 | 654,000 | 1,401,000 | ||||
Amortization of prepaid advisory fees | 414,000 | 423,000 | 825,000 | 830,000 | ||||
Research and development | 123,000 | 236,000 | 230,000 | 526,000 | ||||
Total operating expense | 879,000 | 1,346,000 | 1,709,000 | 2,757,000 | ||||
Operating loss | -870,000 | -1,288,000 | -1,687,000 | -2,668,000 | ||||
Other income (expense): | ' | ' | ' | ' | ||||
Change in fair value of derivate liabilities | 2,000 | 2,184,000 | 83,000 | 3,572,000 | ||||
Interest expense, net | -47,000 | -20,000 | -100,000 | -37,000 | ||||
Gain on settlement of accrued liability | 0 | 0 | 42,000 | 0 | ||||
Net (loss) income | ($915,000) | $876,000 | ($1,662,000) | $867,000 | ||||
Net income (loss) per share - basic | ($0.02) | $0.02 | ($0.03) | $0.02 | ||||
Net income (loss) per share - diluted | ($0.02) | $0.02 | ($0.03) | $0.02 | ||||
Weighted average number of common shares outstanding - basic | 47,715,793 | 46,614,250 | 47,604,706 | 46,022,798 | ||||
Weighted average number of common shares outstanding - diluted | 47,715,793 | 50,878,086 | 47,604,706 | 50,243,557 | ||||
[1] | Includes sales to related parties for the three and six months ended December 31, 2012, of approximately $11,000 and $31,000, respectively. |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Parenthetical) (USD $) | 3 Months Ended | 6 Months Ended |
Dec. 31, 2012 | Dec. 31, 2012 | |
Related Parties Amount in Cost of Sales | $11,000 | $31,000 |
CONDENSED_CONSOLIDATED_STATEME2
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 6 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Cash flows from operating activities: | ' | ' |
Net (loss) income | ($1,662,000) | $867,000 |
Adjustments to reconcile net (loss) income to net cash used in operating activities: | ' | ' |
Depreciation | 33,000 | 21,000 |
Amortization of prepaid advisory fees | 825,000 | 830,000 |
Change in fair value of warrant liability | -83,000 | -3,572,000 |
Stock-based compensation | 60,000 | 38,000 |
Stock issuance for services | 53,000 | 0 |
Gain on settlement of accrued liability | -42,000 | 0 |
Changes in operating assets and liabilities: | ' | ' |
Accounts receivable | 7,000 | 40,000 |
Inventories | 13,000 | 380,000 |
Other current assets | 17,000 | -184,000 |
Accounts payable | -8,000 | -106,000 |
Accrued expenses | -13,000 | -22,000 |
Accrued interest | 101,000 | 38,000 |
Customer deposits | 17,000 | 12,000 |
Customer deposits from related party | -2,000 | -31,000 |
Deferred revenue | 0 | -480,000 |
Net cash used in operating activities | -684,000 | -2,169,000 |
Cash flows from investing activities: | ' | ' |
Purchases of equipment | 0 | -37,000 |
Net cash used in investing activities | 0 | -37,000 |
Cash flows from financing activities: | ' | ' |
Proceeds from issuance of common shares from the exercise of employee stock options | 0 | 4,000 |
Proceeds from the sale of common stock and warrants, net of offering costs paid | 0 | 981,000 |
Proceeds from stockholder notes payable and line of credit | 668,000 | 450,000 |
Net cash provided by financing activities | 668,000 | 1,435,000 |
Net decrease in cash | -16,000 | -771,000 |
Cash, beginning of period | 20,000 | 812,000 |
Cash, end of period | 4,000 | 41,000 |
Supplemental disclosures of Non-cash Investing and Financing Activities:: | ' | ' |
Issuance of warrants classified as derivative liabilities | 0 | 931,000 |
Cash paid during the year for: | ' | ' |
Income taxes | $0 | $2,000 |
BASIS_OF_PRESENTATION_AND_NATU
BASIS OF PRESENTATION AND NATURE OF BUSINESS | 6 Months Ended |
Dec. 31, 2013 | |
Organization, Consolidation and Presentation Of Financial Statements [Abstract] | ' |
BASIS OF PRESENTATION AND NATURE OF BUSINESS | ' |
NOTE 1 – BASIS OF PRESENTATION AND NATURE OF BUSINESS | |
Basis of Presentation | |
The accompanying unaudited condensed consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and the rules of the Securities and Exchange Commission (“SEC”) applicable to interim reports and should be read in conjunction with the audited financial statements and notes thereto contained in the Company’s Annual Report on Form 10-K for the fiscal year ended June 30, 2013 filed with the SEC. In the opinion of management, the accompanying condensed consolidated interim financial statements include all adjustments, necessary in order to make the financial statements not misleading. The results of operations for interim periods are not necessarily indicative of the results to be expected for the full year or any other future period. Certain notes to the financial statements that would substantially duplicate the disclosures contained in the audited financial statements for the most recent fiscal year as reported in the Company’s Annual Report on Form 10-K have been omitted. The accompanying condensed consolidated balance sheet at June 30, 2013 has been derived from the audited balance sheet at June 30, 2013 contained in such Form 10-K. | |
The accompanying condensed consolidated financial statements of the Company have been prepared on a going-concern basis. See Note 2 for discussion of liquidity/going concern matters. | |
Nature of Business | |
Flux Power Holdings, Inc. (“Flux”) conducts operations through its wholly owned subsidiary, Flux Power, Inc. (“Flux Power”), a California corporation. | |
The Company develops and sells rechargeable advanced energy storage systems. The Company has structured its business around its core technology, “The Battery Management System” (“BMS”). The Company’s BMS provides three critical functions to their battery systems: cell balancing, monitoring, and error reporting. Using its proprietary management technology, the Company is able to offer complete integrated energy storage solutions or custom modular standalone systems to their clients. The Company has also developed a suite of complementary technologies and products that accompany their core products. Sales during the three and six months ended December 31, 2013 and 2012 were primarily to customers located throughout the United States. | |
All dollar amounts herein are in U.S. dollars unless otherwise stated. | |
LIQUIDITIY_AND_GOING_CONCERN
LIQUIDITIY AND GOING CONCERN | 6 Months Ended |
Dec. 31, 2013 | |
Organization, Consolidation and Presentation Of Financial Statements [Abstract] | ' |
LIQUIDITIY AND GOING CONCERN | ' |
NOTE 2 – LIQUIDITIY AND GOING CONCERN | |
The accompanying condensed consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The Company has incurred an accumulated deficit of $5,639,000 through December 31, 2013, and had limited cash or other working capital as of December 31, 2013. To date, the Company’s revenues and operating cash flows have not been sufficient to sustain its operations. The audit report dated October 15, 2013, from the Company's independent registered public accounting firm indicated that the Company's significant accumulated deficit and its need to raise immediate additional financing among other factors, raised substantial doubt about the Company's ability to continue as a going concern. | |
On October 16, 2013, the Company amended its debt Stockholder Notes Payable and credit line agreements (see Note 4) with Esenjay Investments, LLC (“Esenjay”). The amendments extended the maturity dates and modified annual interest rates of all debt instruments held by Esenjay to December 31, 2015, increased the Line of Credit to $ 2,000,000, and provided for the option to convert any or all of the amount outstanding under the debt agreements, as amended, into shares of our common stock. | |
As part of the Company’s financing plan established in 2013, management has engaged financial advisors to assist in securing additional equity capital of up to $ 2.5 million. The Company contracted with Security Research Associates in 2013 as its exclusive placement agent. | |
Although the Company was able to amend its current debt facilities with Esenjay, the Company’s ability to continue as a going concern is dependent on obtaining additional financing sufficient to sustain operations until positive cash flow from operations and profitability can be achieved. Management plans to continue to seek additional equity financing to generate the capital required to fund its current operations and future planned growth. In addition, the Company is pursuing other investment structures that management believes may generate the necessary funding for the Company. Although management believes that the additional required funding will be obtained, there is no guarantee the Company will be able to obtain the additional required funds on a timely basis or that funds will be available on terms acceptable to the Company. If such funds are not available when required, management will be required to curtail its investments in additional sales and marketing and product development resources, and capital expenditures, which may have a material adverse effect on the Company’s future cash flows and results of operations, and its ability to continue operating as a going concern. The accompanying financial statements do not include any adjustments that would be necessary should the Company be unable to continue as a going concern and, therefore, be required to liquidate its assets and discharge its liabilities in other than the normal course of business and at amounts that may differ from those reflected in the accompanying condensed consolidated financial statements. | |
SUMMARY_OF_SIGNIFICANT_ACCOUNT
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Dec. 31, 2013 | |
Accounting Policies [Abstract] | ' |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' |
NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
A summary of the Company’s significant accounting policies consistently applied in the preparation of the accompanying condensed consolidated financial statements follows: | |
Principles of Consolidation | |
The condensed consolidated financial statements include the Flux Power Holdings, Inc. and its wholly-owned subsidiary Flux Power Inc. after elimination of all intercompany accounts and transactions. | |
Subsequent Events | |
Management has evaluated events subsequent to December 31, 2013, through the date of this filing with the Securities and Exchange Commission for transactions and other events that may require adjustment of and/or disclosure in such financial statements. | |
Reclassifications | |
Certain prior year amounts have been reclassified to conform to the current year presentation for comparative purposes. | |
Use of Estimates in Financial Statement Preparation | |
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, and expenses, as well as certain financial statement disclosures. Significant estimates include valuation allowances relating to accounts receivable, inventory, and deferred tax assets, and valuations of derivative liabilities and equity instruments. While management believes that the estimates and assumptions used in the preparation of the financial statements are appropriate, actual results could differ from these estimates. | |
Cash and Cash Equivalents | |
As of December 31, 2013, cash totaled approximately $4,000 and consists of funds held in a non-interest bearing bank deposit account. The Company considers all liquid short-term investments with maturities of less than three months when acquired to be cash equivalents. The Company had no other cash equivalents at December 31, 2013 and June 30, 2013. | |
Fair Values of Financial Instruments | |
The carrying amount of our accounts payable and accounts receivable approximates their estimated fair values due to the short-term maturities of those financial instruments. The carrying amount of notes payable and line of credit approximates their fair value as the interest approximates current market interest rates for the similar instruments. Derivative liabilities recorded in connection with warrants are reported at their estimated fair value, with changes in fair value being reported in results of operations (see Note 8). Except for derivative liabilities referenced above, the Company does not have any other assets or liabilities that are measured at fair value on a recurring basis. | |
Accounts Receivable and Customer Deposits | |
Accounts receivable are carried at their estimated collectible amounts. The Company may require advance deposits from its customers prior to shipment of the ordered products. The Company has not experienced collection issues related to its accounts receivable, and has not recorded an allowance for doubtful accounts during the three and six months ended December 31, 2013 and 2012. | |
Inventories | |
Inventories consist primarily of battery management systems and the related subcomponents, and are stated at the lower of cost (first-in, first-out) or market. The Company evaluates inventories to determine if write-downs are necessary due to obsolescence or if the inventory levels are in excess of anticipated demand at market value based on consideration of historical sales and product development plans. The Company did not record an adjustment related to obsolete inventory during the three and six months ended December 31, 2013 and 2012. | |
Property, Plant and Equipment | |
Property, plant and equipment are stated at cost, net of accumulated depreciation. Depreciation and amortization are provided using the straight-line method over the estimated useful lives, of the related assets ranging from three to ten years, or, in the case of leasehold improvements, over the lesser of the useful life of the related asset or the lease term. | |
Stock-based Compensation | |
Pursuant to the provisions of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 718-10, Stock Compensation, which establishes accounting for equity instruments exchanged for employee service, we utilize the Black-Scholes option pricing model to estimate the fair value of employee stock option awards at the date of grant. This model, which requires the input of highly subjective assumptions, includes expected volatility and expected life of the options. Changes in these inputs and assumptions can materially affect the measure of estimated fair value of our share-based compensation. These assumptions are subjective and generally require significant analysis and judgment to develop. When estimating fair value, some of the assumptions will be based on, or determined from, external data and other assumptions may be derived from our historical experience with stock-based payment arrangements. The appropriate weight to place on historical experience is a matter of judgment, based on relevant facts and circumstances. In accordance with this guidance, the estimated grant-date fair value of options expected to vest is recognized as compensation expense on a pro-rata basis over the vesting period of the options. | |
Common stock or equity instruments such as warrants issued for services to non-employees are valued at their estimated fair value at the measurement date (the date when a firm commitment for performance of the services is reached, typically the date of issuance, or when performance is complete). | |
Revenue Recognition | |
The Company recognizes revenue when persuasive evidence of an arrangement exists, delivery has occurred, price is fixed or determinable, and collectability of the selling price is reasonably assured. Delivery occurs when risk of loss is passed to the customer, as specified by the terms of the applicable customer agreements. When a right of return exists, contractually or implied, the Company recognizes revenue on the sell-through method. Under this method, revenue is not recognized upon delivery of the inventory components. Instead, the Company records deferred revenue upon delivery and recognizes revenue when the inventory components are sold through to the end user. During the three and six months ended December 31, 2013, and 2012, the Company did not record any deferred revenue. | |
Product Warranties | |
The Company evaluates its exposure to product warranty obligations based on historical experience. Our products are warrantied for two years unless modified by a separate agreement. As of December 31, 2013, the Company carries a warranty liability of approximately $11,000, which is included in accrued expenses on the Company’s balance sheets. | |
Shipping and Handling Costs | |
The Company records shipping and handling costs charged to customers as revenue and shipping and handling costs to cost of sales as incurred. | |
Impairment of Long-lived Assets | |
In accordance with authoritative guidance for the impairment or disposal of long-lived assets, if indicators of impairment exist, the Company assesses the recoverability of the affected long-lived assets by determining whether the carrying value of such assets can be recovered through the undiscounted future operating cash flows. If impairment is indicated, the Company measures the amount of such impairment by comparing the carrying value of the asset to the present value of the expected future cash flows associated with the use of the asset. The Company believes that no impairment indicators are present. | |
Research and Development | |
The Company is actively engaged in new product development efforts. Research and development cost relating to possible future products are expensed as incurred. | |
Income Taxes | |
The Company follows FASB ASC Topic No, 740, Income Taxes. Deferred tax assets or liabilities are recorded to reflect the future tax consequences of temporary differences between the financial reporting basis of assets and liabilities and their tax basis at each year-end. These amounts are adjusted, as appropriate, to reflect enacted changes in tax rates expected to be in effect when the temporary differences reverse. | |
The Company records deferred tax assets and liabilities based on the differences between the financial statement and tax bases of assets and liabilities and on operating loss carry forwards using enacted tax rates in effect for the year in which the differences are expected to reverse. A valuation allowance is provided when it is more likely than not that some portion or all of a deferred tax asset will not be realized. | |
We also follow the provisions of FASB ASC Topic No.740 relating to uncertain tax provisions and have analyzed filing positions in all of the federal and state jurisdictions where the Company is required to file income tax returns, as well as all open tax years in these jurisdictions. Based on our analysis, no unrecognized tax benefits have been identified as of December 31, 2013, or June 30, 2013, and accordingly, no additional tax liabilities have been recorded. | |
Net Income (Loss) Per Common Share | |
The Company calculates basic income (loss) per common share by dividing net earnings or loss by the weighted average number of common shares outstanding during the periods. Diluted earnings (loss) per common share include the impact from all dilutive potential common shares relating to outstanding convertible securities. | |
For the three and six months ended December 31, 2013, basic and diluted weighted-average common shares outstanding were 47,715,793 and 47,604,706, respectively. The Company incurred a net loss for the three and six months ended December 31, 2013, and therefore, basic and diluted loss per share for those periods are the same because the inclusion of potential common equivalent shares were excluded from diluted weighted-average common shares outstanding during the period, as the inclusion of such shares would be anti-dilutive. As of December 31, 2013, there were 460,713 potentially dilutive common shares outstanding, which include common shares underlying outstanding stock options that were excluded from diluted weighted-average common shares outstanding. | |
For the three months ended December 31, 2012, basic and diluted weighted-average common shares outstanding were 46,614,250 and 50,878,086, respectively, and for the six months ended December 31, 2012, basic and diluted weighted-average common shares outstanding were 46,022,798, and 50,243,557, respectively. The potentially dilutive common shares outstanding for the three and six months ended December 31, 2012, which include common shares underlying outstanding stock options and warrants, included in the diluted weighted-average calculation were approximately 4,240,005 and 3,971,824, respectively. | |
Derivative Financial Instruments | |
The Company does not use derivative instruments to hedge exposures to cash flow, market, or foreign currency risk. | |
We evaluate free-standing derivative instruments (or embedded derivatives) to properly classify such instruments within equity or as liabilities in our financial statements. The classification of a derivative instrument is reassessed at each reporting date. If the classification changes because of events during a reporting period, the instrument is reclassified as of the date of the event that caused the reclassification. There is no limit on the number of times a contract may be reclassified. | |
Instruments classified as derivative liabilities are recorded initially at their estimated fair value and are re-measured each reporting period (or upon reclassification). The change in fair value is recorded on our condensed consolidated statements of operations in other (income) expense (see Note 7). | |
New Accounting Standards | |
The Company reviews new accounting standards as issued. There have been no recently issued accounting standards, or changes in accounting standards, that have had, or are expected to have, a material impact on our condensed consolidated financial statements. | |
STOCKHOLDER_NOTES_PAYABLE_AND_
STOCKHOLDER NOTES PAYABLE AND LINE OF CREDIT | 6 Months Ended |
Dec. 31, 2013 | |
Debt Disclosure [Abstract] | ' |
STOCKHOLDER NOTES PAYABLE AND LINE OF CREDIT | ' |
NOTE 4 - STOCKHOLDER NOTES PAYABLE AND LINE OF CREDIT | |
In October 2011 we entered into a revolving promissory note agreement (“Revolving Note”) for $1,000,000 with Esenjay Investments, LLC (“Esenjay”), which is one of our major stockholders who beneficially owns approximately 42.6 % of our common stock. Mr. Michael Johnson is a current member of our board of directors and is the director and sole shareholder of Esenjay. The Revolving Note had an interest rate of 8 % per annum, and an original maturity date of September 30, 2013, as amended, and is secured by substantially all of the assets of the Company. As of September 30, 2013, the balance outstanding payable on the note was $1,000,000. On October 16, 2013, we entered into the Second Amendment to the Secondary Revolving Promissory Note for Operating Capital (the “Amendment”) pursuant to which the Revolving Note was amended to: (i) extend the maturity date from September 30, 2013, to December 31, 2015; (ii) change the interest rate on the outstanding principal amount as of October 16, 2013, and forward to 6 % per annum, and (iii) grant the holder of the Revolving Note the option to convert any or all of the amount outstanding under the Revolving Note, as amended, into shares of our common stock at a conversion price of $ 0.30 per share until December 31, 2015. In January 2014, $400,000 of the Revolving Note balance was converted to equity (see Note 11). | |
On March 7, 2012, we entered into an additional note payable agreement with Esenjay for $250,000 (“Bridge Note”). The Bridge Note had an original maturity date of March 7, 2014, and bore interest at the rate of 8% per annum. As of September 30, 2013, the balance outstanding payable on the Bridge Note was $250,000 and there were no further funds available under the Bridge Note. On October 16, 2013, we entered into the First Amendment to the Bridge Loan Promissory Note (the “Amendment”) pursuant to which the Bridge Note was amended to: (i) extend the maturity date from March 7, 2014, to December 31, 2015; (ii) change the interest rate on the outstanding principal amount as of October 16, 2013, and forward to 6 % per annum; and (iii) grant the holder of the Bridge Note the option to convert any or all of the amount outstanding under the Bridge Note, as amended, into shares of our common stock at a conversion price of $0.30 per share until December 31, 2015. | |
On September 24, 2012, we entered into a Line of Credit agreement with Esenjay for $1,500,000 (“Line of Credit”). Borrowings under the Line of Credit are secured by our assets and bore interest at the rate of 8 % per annum, with all unpaid principal and accrued interest due and payable on September 24, 2014. On October 16, 2013, we entered into the First Amendment to the Line of Credit (the “Amendment”) pursuant to which the Line of Credit was amended to: (i) extend the maturity date from September 24, 2014, to December 31, 2015; (ii) change the interest rate on the outstanding principal amount as of October 16, 2013, and forward to 6 % per annum; (iii) increase the line of credit to $2,000,000; and (iv) grant holder the option to convert up to $400,000 of the outstanding amount under the Line of Credit into shares of our common stock at a conversion price of $0.06 per share until December 31, 2013, and the option to convert any or all of the remaining amount outstanding under the Line of Credit into shares of our common stock at a conversion price of $ 0.30 per share until December 31, 2015. As of December 31, 2013, the balance outstanding under the Line of Credit was $1,886,000. Subsequent to December 31, 2013, no additional draws have been made. | |
As of December 31, 2013, a total of $114,000 was available under credit lines with Esenjay. | |
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 6 Months Ended |
Dec. 31, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
COMMITMENTS AND CONTINGENCIES | ' |
NOTE 5 – COMMITMENTS AND CONTINGENCIES | |
From time to time, we may be involved in litigation relating to claims arising out of our operations. As of December 31, 2013, we are not a party to any legal proceedings that are expected, individually or in the aggregate, to have a material adverse effect on our business, financial condition or operating results. | |
STOCKHOLDERS_EQUITY
STOCKHOLDERS' EQUITY | 6 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Stockholders' Equity Note [Abstract] | ' | |||||||||||||
STOCKHOLDERS' EQUITY | ' | |||||||||||||
NOTE 6 - STOCKHOLDERS’ EQUITY | ||||||||||||||
At December 31, 2013, the Company had 145,000,000 shares of common stock, par value of $ 0.001 authorized for issuance , of which 48,135,576 shares were issued and outstanding. | ||||||||||||||
In addition, at December 31, 2013, the Company is authorized to issue up to 5,000,000 shares of preferred stock, par value of $0.001, in one or more classes or series within a class pursuant to our Articles of Incorporation. There are currently no shares of preferred stock issued and outstanding. | ||||||||||||||
Holders of common stock are entitled to receive dividends, when, as, and if declared by the Board of Directors, out of any assets legally available to the Company. Dividends are declared and paid in an equal per-share amount on the outstanding shares of each series of common stock. To date the Board of Directors has neither declared nor paid common stock dividends to shareholders. | ||||||||||||||
Common Stock and Warrants | ||||||||||||||
Private Placements - 2012 | ||||||||||||||
In July, August, and October 2012, the Company issued an aggregated of 2,353,093 shares of common stock and 579,450 five (5) year warrants to purchase shares of our common stock at an exercise price of $0.41 per share, resulting in aggregate proceeds of approximately $980,000, pursuant to private placement transactions. | ||||||||||||||
The common stock purchased in the above referenced private placements and the common stock issuable upon exercise of warrants have piggyback registration rights. The securities offered and sold in the private placement have not been registered under the Securities Act and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act. | ||||||||||||||
Advisory Agreements | ||||||||||||||
Baytree Capital - Related Party. On June 14, 2012, the Company entered into an Advisory Agreement (“Advisory Agreement”) with Baytree Capital, a significant shareholder of the Company, pursuant to which Baytree Capital agreed to provide business and advisory services for 24 months in exchange for 100,000 restricted shares of our newly issued common stock at the commencement of each six (6) month period in return for its services, and a warrant to purchase 1,837,777 restricted shares of our common stock for a period of five ( 5 ) years at an exercise price of $0.41 per share (“Advisory Agreement Warrants”). In connection with this agreement, the estimated fair value of the warrants issued in the approximate amount of $3,258,000 was recorded as prepaid advisory fees, which is expected to be amortized on a pro-rata basis over the term of the agreement. During each of the six months ended December 31, 2013, and 2012, we recorded expense of approximately $815,000 as a result of the prepaid advisory fees amortization. As of December 31, 2013, the total remaining balance of the prepaid advisory fees was approximately $747,000. | ||||||||||||||
In accordance with the Advisory Agreement, on June 14, 2013, which was the beginning of the third six-month period, a liability was recorded based on that day’s stock price for the anticipated issuance of 100,000 shares of common stock. These shares were valued at $0.60 per share, based on the price per share of the Company’s common stock on June 14, 2013, for the total of $60,000 due to Baytree Capital. On July 9, 2013, we issued Baytree Capital 100,000 restricted shares of our newly issued common stock at $0.12 per share. During the six months ended December 31, 2013, the Company recorded expense of $6,500 for such advisory fees. | ||||||||||||||
On December 14, 2013, the commencement of the fourth six-month period, the Company accrued for the fourth installment of the shares for services valued at $0.05 per share, the price per share of the Company’s common stock on December 14, 2013, for the total of the $5,000 due to Baytree Capital. The Company also recorded $5,000 of prepaid advisory fees to be amortized over six months. The expense recognized during the period ended December 31, 2013, was immaterial. | ||||||||||||||
Caro Capital, LLC. On April 4, 2013, the Company entered into an Advisory Agreement (“Agreement”) with Caro Capital, LLC (“Caro Capital”), pursuant to which Caro Capital agreed to provide business and advisory services, management consulting, shareholder information, and public relations for six (6) months in exchange for 500,000 restricted shares of our newly issued common stock. Upon execution of the Agreement, Caro Capital was issued 100,000 shares of restricted stock per the contract terms, which were valued at $44,000 based on the closing price of our common stock on the issuance date. The contract calls for subsequent issuance of 100,000 shares at 30-day increments to the first tranche. Per the terms of the Agreement, Caro Capital is entitled to the second and third tranche issuance of 100,000 shares of restricted stock each. | ||||||||||||||
The second tranche shares were valued at $ 0.50 per share, based on the price per share of the Company’s common stock on May 4, 2013, when the second tranche shares were due to be issued, for the total of $50,000. The costs associated with the 100,000 shares to be issued of approximately $50,000 were recorded as consulting expense during the fourth quarter ended June 30, 2013. On August 13, 2013, the Company issued 100,000 restricted shares of our newly issued common stock at $0.08 per share. As a result, during the six months ended December 31, 2013, the Company recorded $42,000 gain on settlement of accrued liability, which resulted from the difference in the per share value on the accrual date and stock issuance date. | ||||||||||||||
The third tranche shares were valued at $ 0.32 per share, based on the price per share of the Company’s common stock on June 4, 2013, when the third tranche shares were due to be issued, for the total of $ 32,000. The costs associated with the 100,000 shares to be issued of approximately $32,000 were recorded as consulting expense during the fourth quarter ended June 30, 2013. | ||||||||||||||
On June 3, 2013, the Company terminated the Agreement with Caro Capital effective July 3, 2013. The liability for the third tranches shares of $32,000 is included in accrued expenses at December 31, 2013. | ||||||||||||||
Catalyst Global LLC. On October 14, 2013, the Company entered into a contract with Catalyst Global LLC (“CGL”), pursuant to which CGL agreed to provide investor relations services for 12 months in exchange for monthly fees of $2,000 per month and 450,000 shares of restricted common stock issued as follows: 180,000 shares upon signing and the balance vesting pro rata upon each of the three-, six-, and nine-month anniversaries of the contract. The initial tranche was valued at $0.05 per share at $9,000 when issued on November 8, 2013. | ||||||||||||||
Institutional Analyst Holdings, Inc. On December 18, 2013, the Company entered into a contract with Institutional Analyst Holdings, Inc. (“IA”), pursuant to which IA agreed to provide investor relations and report writing services for six months in exchange for an initial payment of $2,500 and 400,000 restricted shares of Flux common stock upon execution of the contract. An additional 400,000 restricted shares of Flux common stock would be issued 60 days from the date of the contract. The initial tranche was valued at $0.06 per share at $24,000 when issued on December 18, 2013. | ||||||||||||||
Warrant Activity | ||||||||||||||
Warrant activity during the six months ended December 31, 2013, and related balances outstanding as of such dates are reflected below: | ||||||||||||||
Weighted | ||||||||||||||
Average | Remaining | |||||||||||||
Exercise | Contract | |||||||||||||
Price Per | Term (# | |||||||||||||
Number | Share | years) | ||||||||||||
Shares purchasable under outstanding warrants at June 30, 2013 | 2,907,347 | $ | 0.41 | |||||||||||
Stock purchase warrants issued | — | — | ||||||||||||
Stock purchase warrants exercised | — | — | ||||||||||||
Shares purchasable under outstanding warrants at December 31, 2013 | 2,907,347 | $ | 0.41 | 3.46 - 3.84 | ||||||||||
Warrant activity during the six months ended December 31, 2012, and related balances outstanding as of such dates are reflected below: | ||||||||||||||
Weighted | ||||||||||||||
Average | Remaining | |||||||||||||
Exercise | Contract | |||||||||||||
Price Per | Term (# | |||||||||||||
Number | Share | years) | ||||||||||||
Shares purchasable under outstanding warrants at June 30, 2012 | 2,400,328 | $ | 0.41 | |||||||||||
Stock purchase warrants issued | 507,019 | — | ||||||||||||
Stock purchase warrants exercised | — | — | ||||||||||||
Shares purchasable under outstanding warrants at December 31, 2012 | 2,907,347 | $ | 0.41 | 4.49 | ||||||||||
Stock-based Compensation | ||||||||||||||
During the six months ended December 31, 2013, the Company granted 3,010,973 non-qualified stock options of the Company’s common stock. The Company has not registered the shares of common stock underlying stock options outstanding as of December 31, 2013 | ||||||||||||||
Activity in stock options during the six months ended December 31, 2013, and related balances outstanding as of that date are reflected below: | ||||||||||||||
Weighted | ||||||||||||||
Weighted | Average | |||||||||||||
Average | Remaining | |||||||||||||
Number of | Exercise Price | Contract | ||||||||||||
Shares | per share | Term (# years) | ||||||||||||
Outstanding at June 30, 2013 | 2,527,389 | $ | 0.15 | 5.85 | ||||||||||
Granted | 3,010,973 | 0.1 | ||||||||||||
Exercised | — | — | ||||||||||||
Forfeited and cancelled | -460,001 | 0.04 | ||||||||||||
Outstanding at December 31, 2013 | 5,078,361 | $ | 0.14 | 8.69 | ||||||||||
Exercisable at December 31, 2013 | 3,357,982 | $ | 0.2 | 8.31 | ||||||||||
Activity in stock options during the six months ended December 31, 2012, and related balances outstanding as of that date are reflected below: | ||||||||||||||
Weighted | ||||||||||||||
Weighted | Average | |||||||||||||
Average | Remaining | |||||||||||||
Number of | Exercise Price | Contract | ||||||||||||
Shares | per share | Term (# years) | ||||||||||||
Outstanding at June 30, 2012 | 4,536,949 | $ | 0.17 | 7.61 | ||||||||||
Granted | — | |||||||||||||
Exercised | -100,000 | 0.04 | ||||||||||||
Forfeited and cancelled | -1,021,896 | 0.3 | ||||||||||||
Outstanding at December 31, 2012 | 3,415,053 | $ | 0.13 | 6.26 | ||||||||||
Exercisable at December 31, 2012 | 2,333,219 | $ | 0.19 | 5.18 | ||||||||||
Stock-based compensation expense recognized in our condensed consolidated statements of operations for the six months ended December 31, 2013, and 2012, includes compensation expense for stock-based options and awards granted based on the grant date fair value. For options and awards granted, expenses are amortized under the straight-line method over the expected vesting period. Stock-based compensation expense recognized in the condensed consolidated statements of operations has been reduced for estimated forfeitures of options that are subject to vesting. Forfeitures are estimated at the time of grant and revised, if necessary, in subsequent periods based on changes in the estimated forfeiture rate. During the first quarter of fiscal 2014 the Company revised its forfeiture rate based on prior year actual forfeitures. The change in forfeiture rate from 5% to 13% resulted in a reduction of approximately $21,000 to previously recognized stock based compensation expense. | ||||||||||||||
The closing price of our stock at December 31, 2013, was $0.05, and as a result the intrinsic value of the exercisable options at December 31, 2013, was $12,000. | ||||||||||||||
We allocated stock-based compensation expense included in the condensed consolidated statements of operations for employee option grants and non-employee option grants as follows: | ||||||||||||||
For the Three Months Ended | For the Six Months Ended | |||||||||||||
December 31, | December 31, | December 31, | December 31, | |||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||
Research and development | $ | 4,000 | $ | 4,000 | $ | 3,000 | $ | 8,000 | ||||||
General and administration | 33,000 | -10,000 | 57,000 | 30,000 | ||||||||||
Total stock-based compensation expense | $ | 37,000 | $ | -6,000 | $ | 60,000 | $ | 38,000 | ||||||
The Company uses the Black-Scholes valuation model to calculate the fair value of stock options. The fair value of stock options was measured at the grant date using the assumptions (annualized percentages) in the table below: | ||||||||||||||
Six months ended December 31, | 2013 | 2012 | ||||||||||||
Expected volatility | 218% | 100% | ||||||||||||
Risk free interest rate | 1.4% to 1.7% | 0.8% to 3.0% | ||||||||||||
Forfeiture rate | 13% | 5% | ||||||||||||
Dividend yield | 0% | 0% | ||||||||||||
Expected term | 3-5 years | 5-10 years | ||||||||||||
The remaining amount of unrecognized stock-based compensation expense at December 31, 2013, is approximately $283,000, which is expected to be recognized over the weighted average period of 8.31 years. | ||||||||||||||
WARRANT_DERIVATIVE_LIABILITY
WARRANT DERIVATIVE LIABILITY | 6 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Derivative Liabilities [Abstract] | ' | |||||||||||||
WARRANT DERIVATIVE LIABILITY | ' | |||||||||||||
NOTE 7 – Warrant Derivative Liability | ||||||||||||||
At December 31, 2013, there were 2,907,347 outstanding warrants classified as derivative liabilities due to exercise price re-set provisions included in the underlying warrant agreements. | ||||||||||||||
Warrants classified as derivative liabilities are recorded at their estimated fair values at the issuance date and are revalued at each subsequent reporting date. Warrants were determined to have an estimated fair value per share and aggregate value as of December 31, 2013, and in aggregate value as of June 30, 2013, as follows: | ||||||||||||||
Estimated | ||||||||||||||
Fair Value Per | Estimated | Estimated | ||||||||||||
Share $ | Total Fair Value in | Total Fair Value in | ||||||||||||
as of | Aggregate $ | Aggregate $ | ||||||||||||
December 31, | as of | as of | ||||||||||||
Issued Warrants | 2013 | December 31, 2013 | June 30, 2013 | |||||||||||
June 2012 Warrants | 562,551 | $ | 0.02 | $ | 11,000 | $ | 27,000 | |||||||
July 2012 Warrants | 338,013 | 0.02 | 7,000 | 17,000 | ||||||||||
August 2012 Warrants | 120,719 | 0.02 | 3,000 | 6,000 | ||||||||||
October 2012 Warrants | 48,287 | 0.02 | 1,000 | 3,000 | ||||||||||
Advisory Agreement Warrants | 1,837,777 | 0.02 | 38,000 | 90,000 | ||||||||||
Total | 2,907,347 | $ | 60,000 | $ | 143,000 | |||||||||
FAIR_VALUE_MEASUREMENTS
FAIR VALUE MEASUREMENTS | 6 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||
FAIR VALUE MEASUREMENTS | ' | |||||||||||||
NOTE 8 – FAIR VALUE MEASUREMENTS | ||||||||||||||
We follow FASB ASC Topic No. 820, Fair Value Measurements and Disclosures (“ASC 820”) in connection with financial assets and liabilities measured at fair value on a recurring basis subsequent to initial recognition. | ||||||||||||||
ASC 820 requires that assets and liabilities carried at fair value will be classified and disclosed in one of the following categories: | ||||||||||||||
Level 1: Quoted market prices in active markets for identical assets and liabilities. | ||||||||||||||
Level 2: Observable market based inputs or unobservable inputs that are corroborated by market data. | ||||||||||||||
Level 3: Unobservable inputs that are not corroborated by market data. | ||||||||||||||
The hierarchy noted above requires us to minimize the use of unobservable inputs and to use observable market data, if available, when determining fair value. | ||||||||||||||
The fair value of our recorded derivative liabilities is determined based on unobservable inputs that are not corroborated by market data, which is a (Level 3) classification. We record derivative liabilities on our balance sheets at fair value with changes in fair value recorded in our condensed consolidated statements of operations. | ||||||||||||||
Following is a summary as of the reporting date of the fair values and applicable level within the fair value hierarchy of assets and liabilities measured at fair value on a recurring basis: | ||||||||||||||
Quoted Prices in | ||||||||||||||
Active Markets | Significant | |||||||||||||
for Identical | Significant Other | Unobservable | ||||||||||||
At December 31, 2013: | Assets | Observable Inputs | Inputs | |||||||||||
(Level 1) | (Level 2) | (Level 3) | ||||||||||||
Description: | ||||||||||||||
Warrant derivative liabilities | $ | - | $ | - | $ | 60,000 | ||||||||
Quoted Prices in | ||||||||||||||
Active Markets | Significant | |||||||||||||
for Identical | Significant Other | Unobservable | ||||||||||||
At June 30, 2013: | Assets | Observable Inputs | Inputs | |||||||||||
(Level 1) | (Level 2) | (Level 3) | ||||||||||||
Description: | ||||||||||||||
Warrant derivative liabilities | $ | - | $ | - | $ | 143,000 | ||||||||
The table below sets forth a summary of changes in the fair value of our (Level 3) financial instruments for the six months ended December 31, 2013: | ||||||||||||||
Estimated fair | Change in estimated | |||||||||||||
Balance at | value of new | fair value | Balance at | |||||||||||
June 30, | derivative | recognized in results | December 31, | |||||||||||
2013 | liabilities | of operations | 2013 | |||||||||||
Warrant derivative liabilities | $ | 143,000 | $ | - | $ | -83,000 | $ | 60,000 | ||||||
OTHER_RELATED_PARTY_TRANSACTIO
OTHER RELATED PARTY TRANSACTIONS | 6 Months Ended |
Dec. 31, 2013 | |
Related Party Transactions [Abstract] | ' |
RELATED PARTY TRANSACTIONS | ' |
NOTE 9 – OTHER RELATED PARTY TRANSACTIONS | |
Sublease Agreement | |
Effective July 1, 2013, the Company relocated its principal office and manufacturing to Vista, California. The Company entered into a month-to-month sub-lease agreement for shared space with Epic Boats, a related party, with monthly payments of approximately $4,950. On December 1, 2013, the monthly payment increased to $7,920 due to Epic Boats transferring operations to Louisiana. | |
Epic Boats Inventory Deposit | |
As of December 31, 2013, the Company maintains a prepaid deposit from Epic Boats in the amount of $135,000. The deposit is related to anticipated sales of batteries from the Company to Epic Boats that have yet to be delivered. | |
CONCENTRATIONS
CONCENTRATIONS | 6 Months Ended |
Dec. 31, 2013 | |
Risks and Uncertainties [Abstract] | ' |
CONCENTRATIONS | ' |
NOTE 10 – CONCENTRATIONS | |
Credit Risk | |
Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of temporary cash investments. The Company maintains cash balances at a financial institution in San Diego, California. The Company’s cash balance at this institution is secured by the Federal Deposit Insurance Corporation up to $250,000. As of December 31, 2013, cash totaled approximately $4,000, which consists of funds held in a non-interest bearing bank deposit account. The Company has not experienced any losses in such accounts. Management believes that the Company is not exposed to any significant credit risk with respect to its cash. | |
Customer Concentrations | |
During the three and six months ended December 31, 2013, the Company had three customers that represented more than 10% of its revenues on an individual basis and approximately 94% and 73%, respectively, in the aggregate. | |
During the three and six months ended December 31, 2012, the Company had one major customer that represented more than 10% of its revenues on an individual basis and approximately $480,000 and 81%, in the aggregate. | |
Suppliers/Vendor Concentrations | |
We obtain components and supplies included in our products from a small group of suppliers. During the three and six months ended December 31, 2013, we had three and four suppliers, respectively, who accounted for more than 10% of our total inventory purchases on an individual basis and approximately 82% and 67%, respectively, in the aggregate. | |
During the three and six months ended December 31, 2012, we did not have a major supplier that accounted for more than 10% of our total purchases on an individual basis. | |
In the past, we have sourced Lithium batteries from a number of suppliers. We are realigning our battery sourcing to improve consistency, responsiveness, and quality. As a result, we have signed a non-exclusive supply agreement with Henan Huanyu New Energy Technology Ltd, a Chinese company for a term of five (5) years ending August 30, 2017. | |
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 6 Months Ended |
Dec. 31, 2013 | |
Subsequent Events [Abstract] | ' |
Subsequent Events [Text Block] | ' |
NOTE 11 – SUBSEQUENT EVENTS | |
On January 13, 2014, Esenjay Investments, LLC, company in which our director, Michael Johnson, is a director and shareholder of, purchased an aggregate 10 Units for a total purchase price of $600,000 to be paid as follows: $200,000 in cash and $400,000 paid in the form of forgiveness of debt of equal amount under the outstanding Revolving Note for $1,000,000. Each Unit consisting of 1,000,000 shares of common stock and 500,000 five-year warrants to purchase one share of common stock at an exercise price of $0.20 per share. The securities offered and sold in the private placement have not been registered under the Securities Act and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act. | |
On February 4, 2014, we accepted Unit Subscription Agreements from five (5) accredited investors to which we sold 2.8 Units for an aggregate purchase price of $168,000, or $60,000 per Unit, all of which were paid in cash (“February 2014 Private Placement”). Each Unit consisted of 1,000,000 shares of our common stock and 500,000 warrants. We issued a total of 2,800,00 shares of our common stock and warrants to purchase up to 1,400,000 shares of our common stock, at an exercise price of $0.20 per share until February 4, 2019. In connection with the February 2014 Private Placement, we paid a placement agent a fee equal to 9% of the gross proceeds raised in the February 2014 Private Placement and warrants at an exercise price of $0.06 per share. The number shares of our common stock subject to the placement agent warrants will equal 9% of the aggregate gross proceeds from the February 2014 Private Placement divided by $0.06 and have a term of 5 years. The securities offered and sold to the investors have not been registered under the Securities Act of 1933, as amended (“Securities Act”), and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act. | |
On February 7, 2014, Flux Power received approval to sell its 24 Volt LiFT Pack lithium battery solution for Class III Toyota and Raymond “walkie” lift trucks (forklifts). Toyota is the world’s number one selling lift truck manufacturer. | |
Management has evaluated events subsequent to December 31, 2013, through the date of this filing with the Securities and Exchange Commission for transactions and other events that may require adjustment of and/or disclosure in such financial statements. | |
SUMMARY_OF_SIGNIFICANT_ACCOUNT1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Dec. 31, 2013 | |
Accounting Policies [Abstract] | ' |
Principles of Consolidation | ' |
Principles of Consolidation | |
The condensed consolidated financial statements include the Flux Power Holdings, Inc. and its wholly-owned subsidiary Flux Power Inc. after elimination of all intercompany accounts and transactions. | |
Subsequent Events | ' |
Subsequent Events | |
Management has evaluated events subsequent to December 31, 2013, through the date of this filing with the Securities and Exchange Commission for transactions and other events that may require adjustment of and/or disclosure in such financial statements. | |
Reclassifications | ' |
Reclassifications | |
Certain prior year amounts have been reclassified to conform to the current year presentation for comparative purposes. | |
Use of Estimates in Financial Statement Preparation | ' |
Use of Estimates in Financial Statement Preparation | |
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, and expenses, as well as certain financial statement disclosures. Significant estimates include valuation allowances relating to accounts receivable, inventory, and deferred tax assets, and valuations of derivative liabilities and equity instruments. While management believes that the estimates and assumptions used in the preparation of the financial statements are appropriate, actual results could differ from these estimates. | |
Cash and Cash Equivalents | ' |
Cash and Cash Equivalents | |
As of December 31, 2013, cash totaled approximately $4,000 and consists of funds held in a non-interest bearing bank deposit account. The Company considers all liquid short-term investments with maturities of less than three months when acquired to be cash equivalents. The Company had no other cash equivalents at December 31, 2013 and June 30, 2013. | |
Fair Values of Financial Instruments | ' |
Fair Values of Financial Instruments | |
The carrying amount of our accounts payable and accounts receivable approximates their estimated fair values due to the short-term maturities of those financial instruments. The carrying amount of notes payable and line of credit approximates their fair value as the interest approximates current market interest rates for the similar instruments. Derivative liabilities recorded in connection with warrants are reported at their estimated fair value, with changes in fair value being reported in results of operations (see Note 8). Except for derivative liabilities referenced above, the Company does not have any other assets or liabilities that are measured at fair value on a recurring basis. | |
Accounts Receivable and Customer Deposits | ' |
Accounts Receivable and Customer Deposits | |
Accounts receivable are carried at their estimated collectible amounts. The Company may require advance deposits from its customers prior to shipment of the ordered products. The Company has not experienced collection issues related to its accounts receivable, and has not recorded an allowance for doubtful accounts during the three and six months ended December 31, 2013 and 2012. | |
Inventories | ' |
Inventories | |
Inventories consist primarily of battery management systems and the related subcomponents, and are stated at the lower of cost (first-in, first-out) or market. The Company evaluates inventories to determine if write-downs are necessary due to obsolescence or if the inventory levels are in excess of anticipated demand at market value based on consideration of historical sales and product development plans. The Company did not record an adjustment related to obsolete inventory during the three and six months ended December 31, 2013 and 2012. | |
Property, Plant and Equipment | ' |
Property, Plant and Equipment | |
Property, plant and equipment are stated at cost, net of accumulated depreciation. Depreciation and amortization are provided using the straight-line method over the estimated useful lives, of the related assets ranging from three to ten years, or, in the case of leasehold improvements, over the lesser of the useful life of the related asset or the lease term. | |
Stock-based Compensation | ' |
Stock-based Compensation | |
Pursuant to the provisions of the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 718-10, Stock Compensation, which establishes accounting for equity instruments exchanged for employee service, we utilize the Black-Scholes option pricing model to estimate the fair value of employee stock option awards at the date of grant. This model, which requires the input of highly subjective assumptions, includes expected volatility and expected life of the options. Changes in these inputs and assumptions can materially affect the measure of estimated fair value of our share-based compensation. These assumptions are subjective and generally require significant analysis and judgment to develop. When estimating fair value, some of the assumptions will be based on, or determined from, external data and other assumptions may be derived from our historical experience with stock-based payment arrangements. The appropriate weight to place on historical experience is a matter of judgment, based on relevant facts and circumstances. In accordance with this guidance, the estimated grant-date fair value of options expected to vest is recognized as compensation expense on a pro-rata basis over the vesting period of the options. | |
Common stock or equity instruments such as warrants issued for services to non-employees are valued at their estimated fair value at the measurement date (the date when a firm commitment for performance of the services is reached, typically the date of issuance, or when performance is complete). | |
Revenue Recognition | ' |
Revenue Recognition | |
The Company recognizes revenue when persuasive evidence of an arrangement exists, delivery has occurred, price is fixed or determinable, and collectability of the selling price is reasonably assured. Delivery occurs when risk of loss is passed to the customer, as specified by the terms of the applicable customer agreements. When a right of return exists, contractually or implied, the Company recognizes revenue on the sell-through method. Under this method, revenue is not recognized upon delivery of the inventory components. Instead, the Company records deferred revenue upon delivery and recognizes revenue when the inventory components are sold through to the end user. During the three and six months ended December 31, 2013, and 2012, the Company did not record any deferred revenue. | |
Product Warranties | ' |
Product Warranties | |
The Company evaluates its exposure to product warranty obligations based on historical experience. Our products are warrantied for two years unless modified by a separate agreement. As of December 31, 2013, the Company carries a warranty liability of approximately $11,000, which is included in accrued expenses on the Company’s balance sheets. | |
Shipping and Handling Costs | ' |
Shipping and Handling Costs | |
The Company records shipping and handling costs charged to customers as revenue and shipping and handling costs to cost of sales as incurred. | |
Impairment of Long-lived Assets | ' |
Impairment of Long-lived Assets | |
In accordance with authoritative guidance for the impairment or disposal of long-lived assets, if indicators of impairment exist, the Company assesses the recoverability of the affected long-lived assets by determining whether the carrying value of such assets can be recovered through the undiscounted future operating cash flows. If impairment is indicated, the Company measures the amount of such impairment by comparing the carrying value of the asset to the present value of the expected future cash flows associated with the use of the asset. The Company believes that no impairment indicators are present. | |
Research and Development | ' |
Research and Development | |
The Company is actively engaged in new product development efforts. Research and development cost relating to possible future products are expensed as incurred. | |
Income Taxes | ' |
Income Taxes | |
The Company follows FASB ASC Topic No, 740, Income Taxes. Deferred tax assets or liabilities are recorded to reflect the future tax consequences of temporary differences between the financial reporting basis of assets and liabilities and their tax basis at each year-end. These amounts are adjusted, as appropriate, to reflect enacted changes in tax rates expected to be in effect when the temporary differences reverse. | |
The Company records deferred tax assets and liabilities based on the differences between the financial statement and tax bases of assets and liabilities and on operating loss carry forwards using enacted tax rates in effect for the year in which the differences are expected to reverse. A valuation allowance is provided when it is more likely than not that some portion or all of a deferred tax asset will not be realized. | |
We also follow the provisions of FASB ASC Topic No.740 relating to uncertain tax provisions and have analyzed filing positions in all of the federal and state jurisdictions where the Company is required to file income tax returns, as well as all open tax years in these jurisdictions. Based on our analysis, no unrecognized tax benefits have been identified as of December 31, 2013, or June 30, 2013, and accordingly, no additional tax liabilities have been recorded. | |
Net Income (Loss) Per Common Share | ' |
Net Income (Loss) Per Common Share | |
The Company calculates basic income (loss) per common share by dividing net earnings or loss by the weighted average number of common shares outstanding during the periods. Diluted earnings (loss) per common share include the impact from all dilutive potential common shares relating to outstanding convertible securities. | |
For the three and six months ended December 31, 2013, basic and diluted weighted-average common shares outstanding were 47,715,793 and 47,604,706, respectively. The Company incurred a net loss for the three and six months ended December 31, 2013, and therefore, basic and diluted loss per share for those periods are the same because the inclusion of potential common equivalent shares were excluded from diluted weighted-average common shares outstanding during the period, as the inclusion of such shares would be anti-dilutive. As of December 31, 2013, there were 460,713 potentially dilutive common shares outstanding, which include common shares underlying outstanding stock options that were excluded from diluted weighted-average common shares outstanding. | |
For the three months ended December 31, 2012, basic and diluted weighted-average common shares outstanding were 46,614,250 and 50,878,086, respectively, and for the six months ended December 31, 2012, basic and diluted weighted-average common shares outstanding were 46,022,798, and 50,243,557, respectively. The potentially dilutive common shares outstanding for the three and six months ended December 31, 2012, which include common shares underlying outstanding stock options and warrants, included in the diluted weighted-average calculation were approximately 4,240,005 and 3,971,824, respectively. | |
Derivative Financial Instruments | ' |
Derivative Financial Instruments | |
The Company does not use derivative instruments to hedge exposures to cash flow, market, or foreign currency risk. | |
We evaluate free-standing derivative instruments (or embedded derivatives) to properly classify such instruments within equity or as liabilities in our financial statements. The classification of a derivative instrument is reassessed at each reporting date. If the classification changes because of events during a reporting period, the instrument is reclassified as of the date of the event that caused the reclassification. There is no limit on the number of times a contract may be reclassified. | |
Instruments classified as derivative liabilities are recorded initially at their estimated fair value and are re-measured each reporting period (or upon reclassification). The change in fair value is recorded on our condensed consolidated statements of operations in other (income) expense (see Note 7). | |
New Accounting Standards | ' |
New Accounting Standards | |
The Company reviews new accounting standards as issued. There have been no recently issued accounting standards, or changes in accounting standards, that have had, or are expected to have, a material impact on our condensed consolidated financial statements. | |
STOCKHOLDERS_EQUITY_Tables
STOCKHOLDERS' EQUITY (Tables) | 6 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Stockholders' Equity Note [Abstract] | ' | |||||||||||||
Warrant Activity and Related Balances Outstanding | ' | |||||||||||||
Warrant activity during the six months ended December 31, 2013, and related balances outstanding as of such dates are reflected below: | ||||||||||||||
Weighted | ||||||||||||||
Average | Remaining | |||||||||||||
Exercise | Contract | |||||||||||||
Price Per | Term (# | |||||||||||||
Number | Share | years) | ||||||||||||
Shares purchasable under outstanding warrants at June 30, 2013 | 2,907,347 | $ | 0.41 | |||||||||||
Stock purchase warrants issued | — | — | ||||||||||||
Stock purchase warrants exercised | — | — | ||||||||||||
Shares purchasable under outstanding warrants at December 31, 2013 | 2,907,347 | $ | 0.41 | 3.46 - 3.84 | ||||||||||
Warrant activity during the six months ended December 31, 2012, and related balances outstanding as of such dates are reflected below: | ||||||||||||||
Weighted | ||||||||||||||
Average | Remaining | |||||||||||||
Exercise | Contract | |||||||||||||
Price Per | Term (# | |||||||||||||
Number | Share | years) | ||||||||||||
Shares purchasable under outstanding warrants at June 30, 2012 | 2,400,328 | $ | 0.41 | |||||||||||
Stock purchase warrants issued | 507,019 | — | ||||||||||||
Stock purchase warrants exercised | — | — | ||||||||||||
Shares purchasable under outstanding warrants at December 31, 2012 | 2,907,347 | $ | 0.41 | 4.49 | ||||||||||
Stock Options Activity | ' | |||||||||||||
Activity in stock options during the six months ended December 31, 2013, and related balances outstanding as of that date are reflected below: | ||||||||||||||
Weighted | ||||||||||||||
Weighted | Average | |||||||||||||
Average | Remaining | |||||||||||||
Number of | Exercise Price | Contract | ||||||||||||
Shares | per share | Term (# years) | ||||||||||||
Outstanding at June 30, 2013 | 2,527,389 | $ | 0.15 | 5.85 | ||||||||||
Granted | 3,010,973 | 0.1 | ||||||||||||
Exercised | — | — | ||||||||||||
Forfeited and cancelled | -460,001 | 0.04 | ||||||||||||
Outstanding at December 31, 2013 | 5,078,361 | $ | 0.14 | 8.69 | ||||||||||
Exercisable at December 31, 2013 | 3,357,982 | $ | 0.2 | 8.31 | ||||||||||
Activity in stock options during the six months ended December 31, 2012, and related balances outstanding as of that date are reflected below: | ||||||||||||||
Weighted | ||||||||||||||
Weighted | Average | |||||||||||||
Average | Remaining | |||||||||||||
Number of | Exercise Price | Contract | ||||||||||||
Shares | per share | Term (# years) | ||||||||||||
Outstanding at June 30, 2012 | 4,536,949 | $ | 0.17 | 7.61 | ||||||||||
Granted | — | |||||||||||||
Exercised | -100,000 | 0.04 | ||||||||||||
Forfeited and cancelled | -1,021,896 | 0.3 | ||||||||||||
Outstanding at December 31, 2012 | 3,415,053 | $ | 0.13 | 6.26 | ||||||||||
Exercisable at December 31, 2012 | 2,333,219 | $ | 0.19 | 5.18 | ||||||||||
Employee Option Grants and Non-employee Option Grants | ' | |||||||||||||
We allocated stock-based compensation expense included in the condensed consolidated statements of operations for employee option grants and non-employee option grants as follows: | ||||||||||||||
For the Three Months Ended | For the Six Months Ended | |||||||||||||
December 31, | December 31, | December 31, | December 31, | |||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||
Research and development | $ | 4,000 | $ | 4,000 | $ | 3,000 | $ | 8,000 | ||||||
General and administration | 33,000 | -10,000 | 57,000 | 30,000 | ||||||||||
Total stock-based compensation expense | $ | 37,000 | $ | -6,000 | $ | 60,000 | $ | 38,000 | ||||||
Stock Options Valuation Assumptions | ' | |||||||||||||
The Company uses the Black-Scholes valuation model to calculate the fair value of stock options. The fair value of stock options was measured at the grant date using the assumptions (annualized percentages) in the table below: | ||||||||||||||
Six months ended December 31, | 2013 | 2012 | ||||||||||||
Expected volatility | 218% | 100% | ||||||||||||
Risk free interest rate | 1.4% to 1.7% | 0.8% to 3.0% | ||||||||||||
Forfeiture rate | 13% | 5% | ||||||||||||
Dividend yield | 0% | 0% | ||||||||||||
Expected term | 3-5 years | 5-10 years | ||||||||||||
WARRANT_DERIVATIVE_LIABILITY_T
WARRANT DERIVATIVE LIABILITY (Tables) | 6 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Derivative Liabilities [Abstract] | ' | |||||||||||||
Fair Value Measurements, Nonrecurring | ' | |||||||||||||
Warrants were determined to have an estimated fair value per share and aggregate value as of December 31, 2013, and in aggregate value as of June 30, 2013, as follows: | ||||||||||||||
Estimated | ||||||||||||||
Fair Value Per | Estimated | Estimated | ||||||||||||
Share $ | Total Fair Value in | Total Fair Value in | ||||||||||||
as of | Aggregate $ | Aggregate $ | ||||||||||||
December 31, | as of | as of | ||||||||||||
Issued Warrants | 2013 | December 31, 2013 | June 30, 2013 | |||||||||||
June 2012 Warrants | 562,551 | $ | 0.02 | $ | 11,000 | $ | 27,000 | |||||||
July 2012 Warrants | 338,013 | 0.02 | 7,000 | 17,000 | ||||||||||
August 2012 Warrants | 120,719 | 0.02 | 3,000 | 6,000 | ||||||||||
October 2012 Warrants | 48,287 | 0.02 | 1,000 | 3,000 | ||||||||||
Advisory Agreement Warrants | 1,837,777 | 0.02 | 38,000 | 90,000 | ||||||||||
Total | 2,907,347 | $ | 60,000 | $ | 143,000 | |||||||||
FAIR_VALUE_MEASUREMENTS_Tables
FAIR VALUE MEASUREMENTS (Tables) | 6 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||
Fair Value Measurements | ' | |||||||||||||
Following is a summary as of the reporting date of the fair values and applicable level within the fair value hierarchy of assets and liabilities measured at fair value on a recurring basis: | ||||||||||||||
Quoted Prices in | ||||||||||||||
Active Markets | Significant | |||||||||||||
for Identical | Significant Other | Unobservable | ||||||||||||
At December 31, 2013: | Assets | Observable Inputs | Inputs | |||||||||||
(Level 1) | (Level 2) | (Level 3) | ||||||||||||
Description: | ||||||||||||||
Warrant derivative liabilities | $ | - | $ | - | $ | 60,000 | ||||||||
Quoted Prices in | ||||||||||||||
Active Markets | Significant | |||||||||||||
for Identical | Significant Other | Unobservable | ||||||||||||
At June 30, 2013: | Assets | Observable Inputs | Inputs | |||||||||||
(Level 1) | (Level 2) | (Level 3) | ||||||||||||
Description: | ||||||||||||||
Warrant derivative liabilities | $ | - | $ | - | $ | 143,000 | ||||||||
Summary of valuation techniques used to measure the fair value of financial instruments | ' | |||||||||||||
The table below sets forth a summary of changes in the fair value of our (Level 3) financial instruments for the six months ended December 31, 2013: | ||||||||||||||
Estimated fair | Change in estimated | |||||||||||||
Balance at | value of new | fair value | Balance at | |||||||||||
June 30, | derivative | recognized in results | December 31, | |||||||||||
2013 | liabilities | of operations | 2013 | |||||||||||
Warrant derivative liabilities | $ | 143,000 | $ | - | $ | -83,000 | $ | 60,000 | ||||||
Liquidity_And_Going_Concern_Ad
Liquidity And Going Concern - Additional Information (Detail) (USD $) | 6 Months Ended | |
Dec. 31, 2013 | Jun. 30, 2013 | |
Accumulated deficit | ($5,639,000) | ($3,977,000) |
Proceeds from line of credit | 2,000,000 | ' |
Adjustments to Additional Paid in Capital, Equity Component of Convertible Debt, Subsequent Adjustments | $2,500,000 | ' |
Recovered_Sheet1
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Jun. 30, 2012 | |
Accounting Policies [Line Items] | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents | $4,000 | $41,000 | $4,000 | $41,000 | $20,000 | $812,000 |
Product warranty liability | $11,000 | ' | $11,000 | ' | ' | ' |
Anti-dilutive options and warrants | ' | 4,240,005 | 460,713 | 3,971,824 | ' | ' |
Weighted average number of common shares outstanding - basic and diluted | 47,715,793 | ' | 47,604,706 | ' | ' | ' |
Weighted Average Number of Shares Outstanding, Basic, Total | 47,715,793 | 46,614,250 | 47,604,706 | 46,022,798 | ' | ' |
Weighted Average Number of Shares Outstanding, Diluted | 47,715,793 | 50,878,086 | 47,604,706 | 50,243,557 | ' | ' |
Recovered_Sheet2
Stockholder Notes Payable And Line Of Credit - Additional Information (Detail) (USD $) | 1 Months Ended | 6 Months Ended | 0 Months Ended | 1 Months Ended | 0 Months Ended | 1 Months Ended | |||||||||||
Sep. 24, 2012 | Dec. 31, 2013 | Oct. 16, 2013 | Oct. 16, 2013 | Oct. 16, 2013 | Jan. 13, 2014 | Oct. 31, 2011 | Sep. 30, 2013 | Oct. 16, 2013 | Oct. 16, 2013 | Jan. 13, 2014 | Mar. 07, 2012 | Sep. 30, 2013 | Oct. 16, 2013 | Oct. 16, 2013 | Dec. 31, 2013 | Oct. 31, 2011 | |
First Amendment [Member] | First Amendment [Member] | First Amendment [Member] | Subsequent Event [Member] | Revolving promissory note | Revolving promissory note | Revolving promissory note | Revolving promissory note | Revolving promissory note | Bridge Note [Member] | Bridge Note [Member] | Bridge Note [Member] | Bridge Note [Member] | Esenjay Investments LLC [Member] | Esenjay Investments LLC [Member] | |||
Until December31, 2013 | Until December31, 2015 | Second Amendment [Member] | Second Amendment [Member] | Subsequent Event [Member] | First Amendment [Member] | First Amendment [Member] | Major Stockholder [Member] | ||||||||||
Until December31, 2015 | Until December31, 2015 | ||||||||||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt instrument, principal amount | ' | ' | ' | ' | ' | ' | $1,000,000 | ' | ' | ' | $1,000,000 | $250,000 | ' | ' | ' | ' | ' |
Equity Method Investment, Ownership Percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 42.60% |
Debt instrument, interest rate, stated percentage | ' | ' | ' | ' | ' | ' | 8.00% | ' | 6.00% | ' | ' | 8.00% | ' | 6.00% | ' | ' | ' |
Debt instrument, maturity date | 31-Dec-15 | 31-Dec-15 | ' | ' | ' | ' | 30-Sep-13 | ' | 31-Dec-15 | ' | ' | 7-Mar-14 | ' | ' | ' | ' | ' |
Debt Instrument, Convertible, Conversion Price | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0.30 | ' | ' | ' | ' | $0.30 | ' | ' |
Convertible Notes Payable, Noncurrent | ' | ' | ' | ' | ' | ' | ' | 1,000,000 | ' | ' | ' | ' | 250,000 | ' | ' | ' | ' |
Line of Credit Facility, Maximum Borrowing Capacity | 1,500,000 | ' | 2,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of Credit Facility, Amount Outstanding | ' | 1,886,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of Credit Facility, Interest Rate at Period End | 8.00% | ' | 6.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line Of Credit Facility Conversion Maximum Amount | ' | ' | 400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line Of Credit Facility Convertible Conversion Price | ' | ' | ' | $0.06 | $0.30 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total Units Purchase Price To Be Paid In Forgiveness Of Debt | ' | ' | ' | ' | ' | 400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of Credit Facility, Current Borrowing Capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $114,000 | ' |
Warrant_Activity_and_Related_B
Warrant Activity and Related Balances Outstanding (Detail) (USD $) | 6 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Number | ' | ' |
Shares purchasable under outstanding warrants, Begining Balance | 2,907,347 | 2,400,328 |
Stock purchase warrants issued | 0 | 507,019 |
Stock purchase warrants exercised | 0 | 0 |
Shares purchasable under outstanding warrants, Ending Balance | 2,907,347 | 2,907,347 |
Weighted Average Exercise Price Per Share | ' | ' |
Shares purchasable under outstanding warrants, Beginning Balance | $0.41 | $0.41 |
Stock purchase warrants issued | $0 | $0 |
Stock purchase warrants exercised | $0 | $0 |
Shares purchasable under outstanding warrants, Ending Balance | $0.41 | $0.41 |
Weighted Average Remaining Contract Term | ' | '4 years 5 months 26 days |
Maximum [Member] | ' | ' |
Weighted Average Exercise Price Per Share | ' | ' |
Weighted Average Remaining Contract Term | '3 years 10 months 2 days | ' |
Minimum [Member] | ' | ' |
Weighted Average Exercise Price Per Share | ' | ' |
Weighted Average Remaining Contract Term | '3 years 5 months 16 days | ' |
Stock_Option_Activity_Detail
Stock Option Activity (Detail) (USD $) | 6 Months Ended | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Jun. 30, 2012 | |
Number of Shares | ' | ' | ' | ' |
Outstanding Begining | 2,527,389 | 4,536,949 | 4,536,949 | ' |
Granted | 3,010,973 | 0 | ' | ' |
Exercised | 0 | -100,000 | ' | ' |
Forfeited and cancelled | -460,001 | -1,021,896 | ' | ' |
Outstanding Ending | 5,078,361 | 3,415,053 | 2,527,389 | 4,536,949 |
Exercisable | 3,357,982 | 2,333,219 | ' | ' |
Weighted Average Exercise Price Per Share | ' | ' | ' | ' |
Outstanding Begining | $0.15 | $0.17 | $0.17 | ' |
Granted | $0.10 | ' | ' | ' |
Exercised | $0 | $0.04 | ' | ' |
Forfeited and cancelled | $0.04 | $0.30 | ' | ' |
Outstanding Ending | $0.14 | $0.13 | $0.15 | $0.17 |
Exercisable | $0.20 | $0.19 | ' | ' |
Weighted Average Remaining Contract Term (in years) | ' | ' | ' | ' |
Outstanding | '8 years 8 months 8 days | '6 years 3 months 4 days | '5 years 10 months 6 days | '7 years 7 months 10 days |
Exercisable | '8 years 3 months 22 days | '5 years 2 months 5 days | ' | ' |
Employee_Option_Grants_and_Non
Employee Option Grants and Non-employee Option Grants (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | |
Total stock-based compensation expense | $37,000 | ($6,000) | $60,000 | $38,000 |
Research and Development Expense [Member] | ' | ' | ' | ' |
Total stock-based compensation expense | 4,000 | 4,000 | 3,000 | 8,000 |
General and Administrative Expense [Member] | ' | ' | ' | ' |
Total stock-based compensation expense | $33,000 | ($10,000) | $57,000 | $30,000 |
Assumptions_Used_to_Measure_Fa
Assumptions Used to Measure Fair Value of Stock Options (Detail) | 6 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Share based Compensation Arrangement by Share based Payment Award, Fair Value Assumptions, Method Used [Line Items] | ' | ' |
Expected volatility | 218.00% | 100.00% |
Risk free interest rate, minimum | 1.40% | 0.80% |
Risk free interest rate, maximum | 1.70% | 3.00% |
Forfeiture rate | 13.00% | 5.00% |
Dividend yield | 0.00% | 0.00% |
Minimum [Member] | ' | ' |
Share based Compensation Arrangement by Share based Payment Award, Fair Value Assumptions, Method Used [Line Items] | ' | ' |
Expected term | '3 years | '5 years |
Maximum [Member] | ' | ' |
Share based Compensation Arrangement by Share based Payment Award, Fair Value Assumptions, Method Used [Line Items] | ' | ' |
Expected term | '5 years | '10 years |
Stockholders_Equity_Additional
Stockholders' Equity - Additional Information (Detail) (USD $) | 1 Months Ended | 3 Months Ended | 4 Months Ended | 6 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 3 Months Ended | 12 Months Ended | 1 Months Ended | 12 Months Ended | 1 Months Ended | 4 Months Ended | 1 Months Ended | 1 Months Ended | 1 Months Ended | 0 Months Ended | 1 Months Ended | 3 Months Ended | 1 Months Ended | ||||||||||||||||||
Oct. 30, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Oct. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Jul. 09, 2013 | Jun. 30, 2013 | Jun. 30, 2012 | Aug. 31, 2013 | Jun. 30, 2013 | Apr. 04, 2013 | Dec. 31, 2013 | Jun. 30, 2013 | Jun. 04, 2013 | Apr. 04, 2013 | Jun. 30, 2013 | Apr. 04, 2013 | Jul. 09, 2013 | Dec. 31, 2013 | Jun. 14, 2013 | Oct. 31, 2012 | Oct. 31, 2012 | Jun. 30, 2013 | Jun. 14, 2012 | Dec. 14, 2013 | Jun. 14, 2013 | Jun. 14, 2013 | Apr. 04, 2013 | Dec. 31, 2013 | Oct. 14, 2013 | Nov. 08, 2013 | Dec. 18, 2013 | Dec. 18, 2013 | Dec. 31, 2013 | Jun. 14, 2012 | Jun. 14, 2012 | Feb. 04, 2014 | |
Second Tranche [Member] | Second Tranche [Member] | Third Tranche [Member] | Third Tranche [Member] | Third Tranche [Member] | Third Tranche [Member] | Second And Third Tranche [Member] | Second And Third Tranche [Member] | First Tranche [Member] | Baytree Capital [Member] | Baytree Capital [Member] | Baytree Capital [Member] | Common Stock [Member] | Warrant [Member] | Warrant [Member] | Baytree [Member] | Baytree [Member] | Baytree [Member] | Caro Capital LLC [Member] | Caro Capital LLC [Member] | Caro Capital LLC [Member] | Catalyst Global LLC [Member] | Catalyst Global LLC [Member] | Institutional Analyst Holdings Inc [Member] | Institutional Analyst Holdings Inc [Member] | Options [Member] | Advisory Agreement [Member] | Advisory Agreement [Member] | Subsequent Event [Member] | ||||||||||
First Tranche [Member] | First Tranche [Member] | Restricted Stock | ||||||||||||||||||||||||||||||||||||
Stockholders Equity Note Disclosure [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock, authorized | ' | 145,000,000 | ' | ' | 145,000,000 | ' | ' | 145,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock, par value | ' | $0.00 | ' | ' | $0.00 | ' | $0.12 | $0.00 | ' | ' | ' | ' | ' | ' | $0.32 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0.05 | $0.60 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Preferred stock, authorized | ' | 5,000,000 | ' | ' | 5,000,000 | ' | ' | 5,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Preferred stock, par value | ' | $0.00 | ' | ' | $0.00 | ' | ' | $0.00 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares of common stocks issued | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 32,000 | 32,000 | ' | ' | ' | ' | ' | ' | ' | 2,353,093 | 48,287 | ' | 100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000 | ' |
Advisory service agreement period | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '6 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Warrant to purchase restricted shares of common stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,837,777 | ' |
Warrant term | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '5 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock initial exercise price | 0.41 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.41 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.41 | ' | 0.06 |
Shares of common stock outstanding under the option plan | ' | 5,078,361 | 3,415,053 | ' | 5,078,361 | 3,415,053 | ' | 2,527,389 | 4,536,949 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,010,973 | ' | ' | ' | ' | ' | ' | ' | ' |
Prepaid Advisory Fees | ' | ' | ' | ' | ' | ' | ' | ' | $3,258,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $747,000 | ' | ' | ' | ' | ' | $5,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amortization of prepaid advisory fees | ' | 815,000 | ' | ' | 825,000 | 830,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from Issuance or Sale of Equity | ' | ' | ' | 980,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common Stock Value | ' | 48,000 | ' | ' | 48,000 | ' | ' | 47,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 44,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted Stock Per Contract Terms | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accrued expenses | ' | 156,000 | ' | ' | 156,000 | ' | ' | 211,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 60,000 | ' | ' | ' | ' | 5,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance Of Restricted Shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000 | ' | ' | ' | 100,000 | ' | 100,000 | 100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 450,000 | 180,000 | 400,000 | ' | ' | ' | ' | ' |
Issuance Of Restricted Stock Price Per Share | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0.08 | ' | ' | ' | ' | ' | ' | $0.50 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0.05 | ' | $0.06 | ' | ' | ' | ' |
Issuance Of Restricted Shares Value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 50,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 500,000 | ' | ' | 9,000 | ' | 24,000 | ' | ' | ' | ' |
Exercisable options intrinsic value | ' | 12,000 | ' | ' | 12,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sale of Stock, Price Per Share | ' | $0.05 | ' | ' | $0.05 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share Based Compensation | ' | ' | ' | ' | 60,000 | 38,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 21,000 | ' | ' | ' |
Share Based Compensation Weighted average Amortization Period | ' | ' | ' | ' | '8 years 3 months 22 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Issued During Period, Shares, Issued for Services | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consulting Expenses | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000 | ' | 283,000 | 32,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Warrants issued | 579,450 | 2,907,347 | ' | ' | 2,907,347 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument, Decrease, Forgiveness | ' | ' | ' | ' | 400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument, Debt Default, Amount | ' | 1,000,000 | ' | ' | 1,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity Purchase price | ' | ' | ' | ' | 200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common Stock Shares Issued | ' | 48,135,576 | ' | ' | 48,135,576 | ' | ' | 47,355,576 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Common Stock Shares Outstanding | ' | 48,135,576 | ' | ' | 48,135,576 | ' | ' | 47,355,576 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Advisory Fees | ' | ' | ' | ' | 6,500 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,000 | ' | 2,500 | ' | ' | ' | ' | ' |
Common Stock, Par Or Stated Value Per Share | ' | $0.00 | ' | ' | $0.00 | ' | $0.12 | $0.00 | ' | ' | ' | ' | ' | ' | $0.32 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0.05 | $0.60 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accrued Liabilities Current | ' | 156,000 | ' | ' | 156,000 | ' | ' | 211,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 60,000 | ' | ' | ' | ' | 5,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Additional Issuance Of Restricted Shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 400,000 | ' | ' | ' | ' |
Gain Loss On Settlement Of Accrued Liability | ' | $0 | $0 | ' | $42,000 | $0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair_Value_Per_Share_and_Aggre
Fair Value Per Share and Aggregate (Detail) (USD $) | Dec. 31, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2012 |
Accounting Policies [Line Items] | ' | ' | ' | ' |
Issued Warrants | 2,907,347 | 2,907,347 | 2,907,347 | 2,400,328 |
Estimated Total Fair Value in Aggregate | $60,000 | $143,000 | ' | ' |
June 2012 Warrants [Member] | ' | ' | ' | ' |
Accounting Policies [Line Items] | ' | ' | ' | ' |
Issued Warrants | 562,551 | ' | ' | ' |
Estimated Fair Value Per Share | $0.02 | ' | ' | ' |
Estimated Total Fair Value in Aggregate | 11,000 | 27,000 | ' | ' |
July 2012 Warrants [Member] | ' | ' | ' | ' |
Accounting Policies [Line Items] | ' | ' | ' | ' |
Issued Warrants | 338,013 | ' | ' | ' |
Estimated Fair Value Per Share | $0.02 | ' | ' | ' |
Estimated Total Fair Value in Aggregate | 7,000 | 17,000 | ' | ' |
August 2012 Warrants [Member] | ' | ' | ' | ' |
Accounting Policies [Line Items] | ' | ' | ' | ' |
Issued Warrants | 120,719 | ' | ' | ' |
Estimated Fair Value Per Share | $0.02 | ' | ' | ' |
Estimated Total Fair Value in Aggregate | 3,000 | 6,000 | ' | ' |
October 2012 Warrants [Member] | ' | ' | ' | ' |
Accounting Policies [Line Items] | ' | ' | ' | ' |
Issued Warrants | 48,287 | ' | ' | ' |
Estimated Fair Value Per Share | $0.02 | ' | ' | ' |
Estimated Total Fair Value in Aggregate | 1,000 | 3,000 | ' | ' |
Advisory Agreement Warrants [Member] | ' | ' | ' | ' |
Accounting Policies [Line Items] | ' | ' | ' | ' |
Issued Warrants | 1,837,777 | ' | ' | ' |
Estimated Fair Value Per Share | $0.02 | ' | ' | ' |
Estimated Total Fair Value in Aggregate | $38,000 | $90,000 | ' | ' |
Warrant_Derivative_Liability_A
Warrant Derivative Liability - Additional Information (Detail) | Dec. 31, 2013 | Oct. 30, 2012 |
Stock purchase warrants issued | 2,907,347 | 579,450 |
Fair_Value_Measurements_Detail
Fair Value Measurements (Detail) (USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
Fair Value Measurements [Line Items] | ' | ' |
Warrant derivative liabilities | $60,000 | $143,000 |
Fair Value, Inputs, Level 1 | ' | ' |
Fair Value Measurements [Line Items] | ' | ' |
Warrant derivative liabilities | 0 | 0 |
Fair Value, Inputs, Level 2 | ' | ' |
Fair Value Measurements [Line Items] | ' | ' |
Warrant derivative liabilities | 0 | 0 |
Fair Value, Inputs, Level 3 | ' | ' |
Fair Value Measurements [Line Items] | ' | ' |
Warrant derivative liabilities | $60,000 | $143,000 |
Fair_Value_of_Derivative_Liabi
Fair Value of Derivative Liabilities Recorded (Detail) (USD $) | Dec. 31, 2013 | Jun. 30, 2013 |
Warrantderivativeliabilities | $60,000 | $143,000 |
Estimated Fair Value Of New Derivative Liabilities [Member] | ' | ' |
Warrantderivativeliabilities | 0 | ' |
Change In Estimated Fair Value Recognized In Results Of Operations [Member] | ' | ' |
Warrantderivativeliabilities | ($83,000) | ' |
Recovered_Sheet3
Other Related Party Transactions - Additional Information (Detail) (USD $) | 6 Months Ended |
Dec. 31, 2013 | |
Epic Boats Llc [Member] | ' |
Related Party Transaction [Line Items] | ' |
Operating Leases, Rent Expense, Sublease Rentals | $4,950 |
Prepaid deposit | 135,000 |
Louisiana [Member] | ' |
Related Party Transaction [Line Items] | ' |
Increase Decrease Operating Loss Monthly Rental Expense | $7,920 |
Concentrations_Additional_Info
Concentrations - Additional Information (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2012 |
Credit Risk [Member] | Four Major Suppliers [Member] | Three Suppliers [Member] | Four Suppliers [Member] | Major Supplier [Member] | Major Supplier [Member] | Customer [Member] | Customer [Member] | Customer [Member] | Three Customer [Member] | Three Customer [Member] | One Major Customer [Member] | One Major Customer [Member] | ||
Concentration Risk [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash, FDIC Insured Amount | $4,000 | $250,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Concentration Risk, Percentage | ' | ' | 10.00% | ' | 10.00% | 10.00% | 10.00% | 94.00% | 81.00% | 73.00% | 10.00% | 10.00% | 10.00% | 10.00% |
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $480,000 |
Percentage Of Purchases From Major Suppliers | ' | ' | ' | 82.00% | 67.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Subsequent_Events_Additional_I
Subsequent Events - Additional Information (Detail) (USD $) | 0 Months Ended | 1 Months Ended | 0 Months Ended | 1 Months Ended | 0 Months Ended | |||
Jan. 13, 2014 | Oct. 30, 2012 | Feb. 04, 2014 | Jan. 13, 2014 | Feb. 04, 2014 | Jan. 13, 2014 | Oct. 31, 2011 | Jan. 13, 2014 | |
Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | |||
Common Stock [Member] | Common Stock [Member] | Subsequent Event [Member] | ||||||
Subsequent Event [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Issued During Period, Shares, New Issues | ' | ' | ' | ' | 280,000 | 1,000,000 | ' | ' |
Warrants To Purchase Common Stock | ' | ' | 1,400,000 | 500,000 | ' | ' | ' | ' |
Common Stock And Warrants Exercise Price Per Share | $0.20 | ' | $0.20 | ' | ' | ' | ' | ' |
Debt Instrument, Face Amount | ' | ' | ' | ' | ' | ' | $1,000,000 | $1,000,000 |
Total Units Purchase Price To Be Paid | 600,000 | ' | ' | ' | ' | ' | ' | ' |
Total Units Purchase Price To Be Paid In Cash | 200,000 | ' | ' | ' | ' | ' | ' | ' |
Total Units Purchase Price To Be Paid In Forgiveness Of Debt | ' | ' | ' | 400,000 | ' | ' | ' | ' |
Per Unit Rate For Total Purchase Price Units | ' | ' | 2.8 | ' | ' | ' | ' | ' |
Total Units Purchase Price Paid In Cash | ' | ' | 168,000 | ' | ' | ' | ' | ' |
Total Units Purchase Price Paid For Per Unit | ' | ' | $60,000 | ' | ' | ' | ' | ' |
Number Of Common Stock For Per Unit | ' | ' | 1,000,000 | ' | ' | ' | ' | ' |
Number Of Warrants For Per Unit | ' | ' | 500,000 | ' | ' | ' | ' | ' |
Percentage Of Placement Agent Fee on Gross Proceeds Of Equity | ' | ' | 9.00% | ' | ' | ' | ' | ' |
Class Of Warrant Or Right, Exercise Price Of Warrants Or Rights | ' | 0.41 | 0.06 | ' | ' | ' | ' | ' |
Private Placement Agent Warrants Term | ' | ' | '5 years | ' | ' | ' | ' | ' |