Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Mar. 31, 2017 | May 12, 2017 | |
Document Information [Line Items] | ||
Entity Registrant Name | TOWERSTREAM CORP | |
Entity Central Index Key | 1,349,437 | |
Trading Symbol | twer | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Current Reporting Status | Yes | |
Entity Voluntary Filers | No | |
Entity Well-known Seasoned Issuer | No | |
Entity Common Stock, Shares Outstanding (in shares) | 21,779,503 | |
Document Type | 10-Q/A | |
Document Period End Date | Mar. 31, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | true | |
Amendment Description | The Company is amending the previously filed 10-Q because on June 14, 2017, the Company determined it was in default of an affirmative covenant in its loan agreement and received a waiver of such default from its lender effective March 31, 2017. The Company concluded that approximately $32,100,000 of long term debt should have been reclassified to current liabilities as of March 31, 2017. There were no other changes to the Company's previously reported assets, total liabilities, net loss or loss per share of common stock. |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) | Mar. 31, 2017 | Dec. 31, 2016 |
Current Assets | ||
Cash and cash equivalents | $ 11,068,153 | $ 12,272,444 |
Accounts receivable, net of reserves for uncollectible accounts of $45,542 and $64,824, respectively | 612,964 | 505,074 |
Prepaid expenses and other current assets | 383,477 | 434,444 |
Current assets of discontinued operations | 231,978 | 231,978 |
Total Current Assets | 12,296,572 | 13,443,940 |
Property and equipment, net | 13,829,221 | 15,252,357 |
Intangible assets, net | 3,234,606 | 3,652,490 |
Goodwill | 1,674,281 | 1,674,281 |
Other assets | 380,493 | 369,769 |
Total Assets | 31,415,173 | 34,392,837 |
Current Liabilities | ||
Accounts payable | 174,767 | 323,625 |
Accrued expenses | 1,330,909 | 911,210 |
Deferred revenues | 1,114,660 | 1,161,520 |
Current maturities of capital lease obligations | 665,874 | 791,009 |
Current liabilities of discontinued operations | 1,168,747 | 1,240,000 |
Deferred rent | 130,154 | 110,738 |
Long-term debt, net of debt discount and deferred financing costs of $1,513,042 and $1,803,742, respectively | 32,099,766 | 31,487,253 |
Total Current Liabilities | 36,684,877 | 36,025,355 |
Long-Term Liabilities | ||
Capital lease obligations, net of current maturities | 29,038 | 158,703 |
Other | 1,015,137 | 1,062,237 |
Total Long-Term Liabilities | 1,044,175 | 1,220,940 |
Total Liabilities | 37,729,052 | 37,246,295 |
Commitments (Note 15) | ||
Stockholders' Deficit | ||
Common stock, par value $0.001; 200,000,000 shares authorized; 20,779,503 and 18,327,263 shares issued and outstanding as of March 31, 2017 and December 31, 2016, respectively | 20,779 | 18,327 |
Additional paid-in-capital | 174,133,626 | 173,782,939 |
Accumulated deficit | (180,468,287) | (176,655,227) |
Total Stockholders' Deficit | (6,313,879) | (2,853,458) |
Total Liabilities and Stockholders' Deficit | 31,415,173 | 34,392,837 |
Series A Preferred Stock [Member] | ||
Stockholders' Deficit | ||
Preferred stock | ||
Series B Convertible Preferred Stock [Member] | ||
Stockholders' Deficit | ||
Preferred stock | ||
Series C Convertible Preferred Stock [Member] | ||
Stockholders' Deficit | ||
Preferred stock | ||
Series D Convertible Preferred Stock [Member] | ||
Stockholders' Deficit | ||
Preferred stock | 2 | 2 |
Series E Convertible Preferred Stock [Member] | ||
Stockholders' Deficit | ||
Preferred stock | 500 | |
Series F Convertible Preferred Stock [Member] | ||
Stockholders' Deficit | ||
Preferred stock | $ 1 | $ 1 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($) | Mar. 31, 2017 | Dec. 31, 2016 |
Accounts receivable, reserves for uncollectable accounts | $ 45,542 | $ 64,824 |
Debt discount | $ 1,513,042 | $ 1,803,742 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, authorized (in shares) | 200,000,000 | 200,000,000 |
Common stock, issued (in shares) | 20,779,503 | 18,327,263 |
Common stock, outstanding (in shares) | 20,779,503 | 18,327,263 |
Series A Preferred Stock [Member] | ||
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized (in shares) | 5,000,000 | 5,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Series B Convertible Preferred Stock [Member] | ||
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized (in shares) | 5,000,000 | 5,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Series C Convertible Preferred Stock [Member] | ||
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Series D Convertible Preferred Stock [Member] | ||
Preferred stock, liquidation value | $ 1,233,000 | $ 1,233,000 |
Preferred stock, shares issued (in shares) | 1,233 | 1,233 |
Preferred stock, shares outstanding (in shares) | 1,233 | 1,233 |
Series E Convertible Preferred Stock [Member] | ||
Preferred stock, liquidation value | $ 0 | $ 500 |
Preferred stock, shares issued (in shares) | 0 | 500,000 |
Preferred stock, shares outstanding (in shares) | 0 | 500,000 |
Series F Convertible Preferred Stock [Member] | ||
Preferred stock, liquidation value | $ 843,000 | $ 1,233,000 |
Preferred stock, shares issued (in shares) | 843 | 1,233 |
Preferred stock, shares outstanding (in shares) | 843 | 1,233 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Revenues | $ 6,572,317 | $ 6,734,090 |
Operating Expenses | ||
Infrastructure and access | 2,708,311 | 2,570,747 |
Depreciation and amortization | 2,433,501 | 2,527,647 |
Network operations | 1,200,907 | 1,272,168 |
Customer support | 367,682 | 543,191 |
Sales and marketing | 864,976 | 1,494,920 |
General and administrative | 1,537,728 | 1,979,792 |
Total Operating Expenses | 9,113,105 | 10,388,465 |
Operating Loss | (2,540,788) | (3,654,375) |
Other Income/(Expense) | ||
Interest expense, net | 1,273,901 | 1,607,120 |
Other income, net | 1,629 | |
Total Other Income/(Expense) | (1,272,272) | (1,607,120) |
Loss from continuing operations | (3,813,060) | (5,261,495) |
Loss from discontinued operations | ||
Operating loss | (2,909,567) | |
Gain on sale of assets | 1,177,742 | |
Total | (1,731,825) | |
Net Loss | $ (3,813,060) | $ (6,993,320) |
(Loss) gain per share – basic and diluted | ||
Continuing (in dollars per share) | $ (0.19) | $ (1.55) |
Discontinued | ||
Operating (in dollars per share) | (0.86) | |
Non-operating (in dollars per share) | 0.35 | |
Total (in dollars per share) | (0.51) | |
Net loss per common share – basic and diluted (in dollars per share) | $ (0.19) | $ (2.06) |
Weighted average common shares outstanding – basic and diluted (in shares) | 19,717,264 | 3,402,540 |
Condensed Consolidated Stateme5
Condensed Consolidated Statement of Stockholders' Deficit (Unaudited) - 3 months ended Mar. 31, 2017 - USD ($) | Series E Convertible Preferred Stock [Member]Preferred Stock [Member] | Series E Convertible Preferred Stock [Member]Common Stock [Member] | Series F Convertible Preferred Stock [Member]Preferred Stock [Member] | Series F Convertible Preferred Stock [Member]Common Stock [Member] | Series F Convertible Preferred Stock [Member]Additional Paid-in Capital [Member] | Series D Convertible Preferred Stock [Member]Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings, Appropriated [Member] | Total |
Balance (in shares) at Dec. 31, 2016 | 500,000 | 1,233 | 1,233 | 18,327,263 | ||||||
Balance at Dec. 31, 2016 | $ 500 | $ 1 | $ 2 | $ 18,327 | $ 173,782,939 | $ (176,655,227) | $ (2,853,458) | |||
Conversion of convertible preferred stock into common shares (in shares) | (500,000) | 500,000 | (390) | 1,950,000 | ||||||
Conversion of convertible preferred stock into common shares | $ (500) | $ 500 | $ 1,950 | $ (1,950) | ||||||
Stock-based compensation for options | 352,281 | 352,281 | ||||||||
Issuance of common stock under employee stock purchase plan (in shares) | 2,240 | |||||||||
Issuance of common stock under employee stock purchase plan | $ 2 | 356 | 358 | |||||||
Net loss | (3,813,060) | (3,813,060) | ||||||||
Balance (in shares) at Mar. 31, 2017 | 843 | 1,233 | 20,779,503 | |||||||
Balance at Mar. 31, 2017 | $ 1 | $ 2 | $ 20,779 | $ 174,133,626 | $ (180,468,287) | $ (6,313,879) |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Cash Flows From Operating Activities | ||
Net loss | $ (3,813,060) | $ (6,993,320) |
Loss from discontinued operations | 1,731,825 | |
Loss from continuing operations | (3,813,060) | (5,261,495) |
Adjustments to reconcile loss from continuing operations to net cash used in continuing operating activities: | ||
Provision for doubtful accounts | 7,000 | |
Depreciation for property, plant and equipment | 2,015,617 | 2,322,974 |
Amortization for intangible assets | 417,884 | 204,673 |
Amortization of Debt Issuance Costs | 290,700 | 451,924 |
Accrued interest added to principal | 321,813 | 371,572 |
Loss on property and equipment | 528,364 | |
Stock-based compensation - Options | 352,281 | 296,385 |
Stock-based compensation - Stock issued for services | 20,000 | |
Stock-based compensation - Employee stock purchase plan | 54 | 1,784 |
Deferred rent | (27,684) | (548,161) |
Changes in operating assets and liabilities: | ||
Accounts receivable | (114,890) | (57,875) |
Prepaid expenses and other current assets | 50,967 | (390,252) |
Other assets | (191) | (6,588) |
Accounts payable | (148,858) | (369,104) |
Accrued expenses | 383,748 | 51,203 |
Deferred revenues | (46,860) | (275,926) |
Total Adjustments | 3,501,581 | 2,600,973 |
Net Cash Used In Continuing Operating Activities | (311,479) | (2,660,522) |
Net Cash Used In Discontinued Operating Activities | (71,253) | (2,094,260) |
Net Cash Used In Operating Activities | (382,732) | (4,754,782) |
Cash Flows From Investing Activities | ||
Acquisitions of property and equipment | (556,530) | (625,976) |
Change in security deposits | (10,533) | 15,639 |
Net Cash Used In Continuing Investing Activities | (567,063) | (610,337) |
Net Cash Provided By Discontinued Investing Activities | 124,130 | |
Net Cash Used In Investing Activities | (567,063) | (486,207) |
Cash Flows From Financing Activities | ||
Repayment of capital leases | (254,800) | (243,738) |
Issuance of common stock under employee stock purchase plan | 304 | 8,916 |
Net Cash Used In Continuing Financing Activities | (254,496) | (234,822) |
Net Decrease In Cash and Cash Equivalents | ||
Continuing Operations | (1,133,038) | (3,505,681) |
Discontinued Operations | (71,253) | (1,970,130) |
Net Decrease In Cash and Cash Equivalents | (1,204,291) | (5,475,811) |
Cash and Cash Equivalents – Beginning | 12,272,444 | 15,116,531 |
Cash and Cash Equivalents – Ending | 11,068,153 | 9,640,720 |
Interest | 661,419 | 778,971 |
Taxes | 730 | 11,780 |
Acquisition of property and equipment - Included in accrued expenses | 154,093 | 148,712 |
Exchange of intangible assets - discontinued operations (Note 4) | $ 3,837,783 |
Note 1 - Organization and Natur
Note 1 - Organization and Nature of Business | 3 Months Ended |
Mar. 31, 2017 | |
Notes to Financial Statements | |
Nature of Operations [Text Block] | Note 1. Towerstream Corporation (referred to as “Towerstream” or the “Company”) was incorporated in Delaware in December 1999. first five In January 2013, fourth 2015, fourth 2015 first 2016 On March 9, 2016, three two one sixty first 2016, not |
Note 2 - Liquidity and Manageme
Note 2 - Liquidity and Management Plans | 3 Months Ended |
Mar. 31, 2017 | |
Notes to Financial Statements | |
Liquidity and Management Plans [Text Block] | Note 2. 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. As of March 31, 2017, $11.1 $24.4 March 31, 2017, $180.5 one not During the year ended December 31, 2016, $9,130,000 $5,000,000 2016 first 2017. no no may no |
Note 3 - Summary of Significant
Note 3 - Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2017 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | Note 3. Restatement March 31, 2107, June 22, 2017, December 31, 2016 March 31, 2017 no On October 16, 2014, June 14, 2017, December 31, 2016 6.1 March 31, 2017. December 31, 2016 The Company has restated its previously reported balance sheets by reclassifying long term debt with a net carrying value of $31,487,253 $32,099,766 December 31, 2016 March 31, 2017, not December 31, 2016 no Basis of Presentation. 10 10 X not March 31, 2017 three March 31, 2017 not These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes thereto included in the Company’s Annual Report on Form 10 No. 2 December 31, 2016. 10 No. 2 December 31, 2016, 10 Retroactive Adjustment for Reverse Stock Split. July 7, 2016, one twenty Use of Estimates. Concentration of Credit Risk. may March 31, 2017, $10.8 $250,000. Revenue Recognition. one three no 104, 104” Deferred Revenues. not Intrinsic Value of Stock Options and Warrants Reclassifications. no |
Note 4 - Discontinued Operation
Note 4 - Discontinued Operations | 3 Months Ended |
Mar. 31, 2017 | |
Notes to Financial Statements | |
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block] | Note 4. During the fourth 2015, fourth 2015 first 2016 March 9, 2016, three two one sixty $2,660,041 $3,837,783. first 2016, $1,177,742 The Company determined that it will not $1,585,319 first 2016 $453,403 $528,364 not $110,500 not $493,052 $1,244,284 fourth 2015. first 2016 Discontinued Operations A more detailed presentation of loss from discontinued operations is set forth below. There has been no Three Months Ended March 31, 2017 2016 Revenues $ - $ 553,302 Operating expenses: Infrastructure and access - 2,523,222 Depreciation - 638,681 Network operations - 183,583 Customer support - 69,804 Sales and marketing - 246 General and administrative - 47,333 Total operating expenses - 3,462,869 Net operating loss - (2,909,567 ) Gain on sale of assets - 1,177,742 Net Loss $ - $ (1,731,825 ) The components of the balance sheet accounts presented as discontinued operations were as follows: March 31, 2017 December 31, 2016 Assets: Prepaid expenses and other current assets 231,978 231,978 Total Current Assets $ 231,978 $ 231,978 Liabilities: Accrued expenses - leases 1,168,747 1,240,000 Total Current Liabilities $ 1,168,747 $ 1,240,000 |
Note 5 - Property and Equipment
Note 5 - Property and Equipment | 3 Months Ended |
Mar. 31, 2017 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | Note 5. Property and equipment is comprised of: March 31, 2017 December 31, 2016 Network and base station equipment $ 42,434,071 $ 42,098,570 Customer premise equipment 33,855,343 33,617,085 Information technology 4,878,311 4,859,875 Furniture, fixtures and other 1,713,430 1,713,430 Leasehold improvements 1,631,608 1,631,322 84,512,763 83,920,282 Less: accumulated depreciation 70,683,542 68,667,925 Property and equipment, net $ 13,829,221 $ 15,252,357 Depreciation expense for the three March 31, 2017 2016 $2,015,617 $2,322,974, March 31, 2017 December 31, 2016 Network and base station equipment $ 2,620,898 $ 2,620,898 Customer premise equipment 669,792 669,792 Information technology 1,860,028 1,860,028 5,150,718 5,150,718 Less: accumulated depreciation 4,307,297 4,083,274 Property acquired through capital leases, net $ 843,421 $ 1,067,444 Property acquired through capital leases included within the Company’s property and equipment consists of the following: |
Note 6 - Intangible Assets
Note 6 - Intangible Assets | 3 Months Ended |
Mar. 31, 2017 | |
Notes to Financial Statements | |
Intangible Assets Disclosure [Text Block] | Note 6. Intangible assets consist of the following: March 31, 2017 December 31, 2016 Goodwill $ 1,674,281 $ 1,674,281 Customer relationships $ 11,856,126 $ 11,856,126 Less: accumulated amortization 11,823,436 11,725,369 Customer relationships, net 32,690 130,757 Backhaul agreement 3,837,783 3,837,783 Less: accumulated amortization 1,385,867 1,066,050 Backhaul agreement, net 2,451,916 2,771,733 FCC licenses 750,000 750,000 Intangible assets, net $ 3,234,606 $ 3,652,490 Amortization expense for the three March 31, 2017 2016 $417,884 $204,673, 4, three 50 April 2017. not |
Note 7 - Accrued Expenses
Note 7 - Accrued Expenses | 3 Months Ended |
Mar. 31, 2017 | |
Notes to Financial Statements | |
Accrued Liabilities Disclosure [Text Block] | Note 7. Accrued expenses consist of the following: March 31, 2017 December 31, 2016 Professional services $ 508,084 $ 263,928 Payroll and related 406,032 294,006 Property and equipment 154,093 118,139 Network 120,836 92,645 Other 141,864 142,492 Total $ 1,330,909 $ 911,210 Network represents costs incurred to provide services to the Company’s customers including tower rentals, bandwidth, troubleshooting and gear removal. |
Note 8 - Other Long-term Liabil
Note 8 - Other Long-term Liabilities | 3 Months Ended |
Mar. 31, 2017 | |
Notes to Financial Statements | |
Other Liabilities Disclosure [Text Block] | Note 8. Other liabilities consist of the following: March 31, 2017 December 31, 2016 Deferred rent $ 594,699 $ 641,799 Deferred taxes 420,438 420,438 Total $ 1,015,137 $ 1,062,237 |
Note 9 - Long-term Debt
Note 9 - Long-term Debt | 3 Months Ended |
Mar. 31, 2017 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | Note 9. Long-term debt (callable) consists of the following: March 31, 2017 December 31, 2016 Principal $ 33,612,808 $ 33,290,995 Unamortized debt discount (1,513,042 ) (1,803,742 ) Total $ 32,099,766 $ 31,487,253 In October 2014, $35,000,000 $33,950,000 3% This Note matures on October 16, 2019 360 a) A rate equal to the greater of: i) the sum of the one 7% 8% one 0.98% March 31, 2017. b) A rate of 4% This Note is secured by a first The Note contains representations and warranties by the Company and the Lender, certain indemnification provisions in favor of the Lender and customary covenants (including limitations on other debt, liens, acquisitions, investments and dividends), and events of default (including payment defaults, breaches of covenants, a material impairment in the Lender’s security interest or in the collateral, and events relating to bankruptcy or insolvency). The Note contains several restrictive covenants and the most significant of which requires the Company to maintain a minimum cash balance of $6,500,000 not one March 31, 2017, June 14, 2017 March 31, 2017. 5% may not The Company has the option to prepay the Note in the minimum principal amount of $5,000,000 $1,000,000 not A discount of $6,406,971 a) $2,463,231 120,000 60,000 $25.20 $0.20 April 2022. b) $2,893,739 c) $1,050,000 3% On November 8, 2016 $5,000,000 $4,935,834 $64,166, 1,000 4,000,000 a) Wrote-off the portion of the unamortized debt discount and deferred financing costs associated with the exchanged principal and recorded a charge to interest expense of $331,609. b) Recorded a non-cash loss on extinguishment of debt charge of $500,000. $5,500,000 $5,000,000 The Company recorded interest expense of $965,439 $1,114,716 three March 31, 2017 2016, $643,626 $743,144 $321,813 $371,572 three March 31, 2017 2016, The Company recorded amortization expense of $290,700 $451,924 three March 31, 2017 2016, |
Note 10 - Capital Stock
Note 10 - Capital Stock | 3 Months Ended |
Mar. 31, 2017 | |
Notes to Financial Statements | |
Stockholders' Equity Note Disclosure [Text Block] | Note 10. On January 9, 2017, 500,000 500,000 On various dates from January 26, 2017 March 23, 2017, 390 1,950,000 |
Note 11 - Stock Options and War
Note 11 - Stock Options and Warrants | 3 Months Ended |
Mar. 31, 2017 | |
Notes to Financial Statements | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | Note 11. Stock Options Plans The Company uses the Black-Scholes option pricing model to value options issued to employees, directors and consultants. Compensation expense, including the estimated effect of forfeitures, is recognized over the period of service, generally the vesting period. Stock compensation expense and the weighted average assumptions used to calculate the fair values of stock options granted during the periods indicated were as follows: Three Months Ended March 31, 2017 2016 Risk-free interest rate 1.7 % 1.2 % to 1.4 % Expected volatility 110 % 77 % to 82 % Expected life (in years) 4.2 4.2 Expected dividend yield - - Estimated forfeiture rates 20 % 1 % to 7 % Weighted average per share grant date fair value $ 0.13 $ 0.14 Stock-based compensation $ 352,281 $ 296,385 The risk-free interest rate was based on rates established by the Federal Reserve. The expected volatility was based upon the historical volatility for the Company’s common stock. The Company utilized historical data to determine the expected life of stock options. The dividend yield reflected the fact that the Company has not not $906,778 March 31, 2017 4.6 Option transactions under the stock option plans during the three March 31, 2017 Number Weighted Average Exercise Price Outstanding as of January 1, 2017 2,106,889 $ 5.30 Granted during 2017 3,252,072 0.17 Cancelled /expired (64,945 ) 22.62 Outstanding as of March 31, 2017 5,294,016 $ 1.94 Exercisable as of March 31, 2017 1,750,287 $ 4.96 Grants under the stock option plans during the three March 31, 2017 Number Consultant grants 25,000 Executive grants 3,227,072 Total 3,252,072 Options granted during the reporting period had a term of ten six two one two $426,701 three March 31, 2017. On January 24, 2017, 2,037,085 $0.17 ten 940,193 January 24, 2018; 626,795 eight twenty-four January 24, 2020; 548,446 three 548,446 $15,000,000. Certain stock options awarded to Ernest Ortega in conjunction with his 2017 $140,708 three March 31, 2017. not three March 31, 2017. On February 3, 2017, 1,189,987 $0.18 ten 500,653 439,008 250,326 100% eight Cancellations for the three March 31, 2017 57,445 7,500 The weighted average remaining contractual life of the outstanding options as of March 31, 2017 9.6 There was no March 31, 2017. March 31, 2017 $0.16 Stock Warrants There were 180,000 March 31, 2017 December 31, 2016, $ 16.87 five There was no March 31, 2017. |
Note 12 - Employee Stock Purcha
Note 12 - Employee Stock Purchase Plan | 3 Months Ended |
Mar. 31, 2017 | |
Notes to Financial Statements | |
Employee Stock Purchase Plan Disclosure [Text Block] | Note 12. Under the Company’s 2010 15% 25,000 March 31, 2017. three March 31, 2017 2016, 2,240 4,459 $358 $10,700, $54 $1,784 15% three March 31, 2017 2016, |
Note 13 - Fair Value Measuremen
Note 13 - Fair Value Measurement | 3 Months Ended |
Mar. 31, 2017 | |
Notes to Financial Statements | |
Fair Value Disclosures [Text Block] | Note 13. The FASB’s accounting standard for fair value measurements establishes a valuation hierarchy for disclosure of the inputs to valuation used to measure fair value. This hierarchy prioritizes the inputs into three 1 2 3 The carrying amounts of cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities approximate their fair value due to their short maturities. There were no three March 31, 2017. |
Note 14 - Net Loss Per Common S
Note 14 - Net Loss Per Common Share | 3 Months Ended |
Mar. 31, 2017 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | Note 14. Basic and diluted net loss per share has been calculated by dividing net loss by the weighted average number of common shares outstanding during the period. The following common stock equivalents were excluded from the computation of diluted net loss per common share because they were anti-dilutive. The exercise or issuance of these common stock equivalents would dilute earnings per share if the Company becomes profitable in the future. Three Months Ended March 31, 2017 2016 Stock options 5,294,016 253,777 Warrants 180,000 142,500 Series D Convertible Preferred Stock 3,082,500 - Series F Convertible Preferred Stock 4,215,000 - Total 12,771,516 396,277 |
Note 15 - Commitments
Note 15 - Commitments | 3 Months Ended |
Mar. 31, 2017 | |
Notes to Financial Statements | |
Commitments Disclosure [Text Block] | Note 15. Operating Lease Obligations The Company has entered into operating leases related to roof rights, cellular towers, office space, and equipment leases under various non-cancelable agreements expiring through June 2024. one fifteen not not March 31, 2017, Remainder of 2017 $ 5,742,994 2018 6,318,665 2019 4,846,377 2020 2,627,912 2021 667,892 Thereafter 231,105 Total $ 20,434,945 Rent expenses were as follows: Three Months Ended March 31, 2017 2016 Points of Presence $ 2,106,103 $ 2,075,658 Corporate offices 81,524 149,147 Other 97,256 121,489 Total $ 2,284,884 $ 2,346,294 Rent expenses related to Points of Presence were included in infrastructure and access in the Company’s condensed consolidated statements of operations. Rent expense related to our corporate offices was allocated between general and administrative, sales and marketing, customer support, and network operations expense in the Company’s condensed consolidated statements of operations. Other rent expenses were included in network operations within the Company’s condensed consolidated statements of operations. In September 2013, January 1, 2014 December 31, 2019 five December 31, 2024. $600,000 two one $380,000 February 2014. $359,750 2014 3% $416,970 2019. In December 2014, second February 2015 38 60 $53,130 3% April 2016, $26,648 $25,000. Capital Lease Obligations The Company has entered into capital leases to acquire property and equipment expiring through June 2018. March 31, 2017, Total Capital lease obligation: Remainder of 2017 $ 564,851 2018 161,770 Subtotal 726,621 Less: Interest Expense (31,709 ) Total $ 694,912 Total Capital lease obligation: Current $ 665,874 Long-term 29,038 Total $ 694,912 |
Note 16 - Subsequent Events
Note 16 - Subsequent Events | 3 Months Ended |
Mar. 31, 2017 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | Note 16 On various dates from April 4, 2017 April 13, 2017, 200 1,000,000 |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2017 | |
Accounting Policies [Abstract] | |
Restatement, Policy [Policy Text Block] | Restatement March 31, 2107, June 22, 2017, December 31, 2016 March 31, 2017 no On October 16, 2014, June 14, 2017, December 31, 2016 6.1 March 31, 2017. December 31, 2016 The Company has restated its previously reported balance sheets by reclassifying long term debt with a net carrying value of $31,487,253 $32,099,766 December 31, 2016 March 31, 2017, not December 31, 2016 no |
Basis of Accounting, Policy [Policy Text Block] | Basis of Presentation. 10 10 X not March 31, 2017 three March 31, 2017 not These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes thereto included in the Company’s Annual Report on Form 10 No. 2 December 31, 2016. 10 No. 2 December 31, 2016, 10 |
Stockholders' Equity, Policy [Policy Text Block] | Retroactive Adjustment for Reverse Stock Split. July 7, 2016, one twenty |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates. |
Concentration Risk, Credit Risk, Policy [Policy Text Block] | Concentration of Credit Risk. may March 31, 2017, $10.8 $250,000. |
Revenue Recognition, Policy [Policy Text Block] | Revenue Recognition. one three no 104, 104” |
Revenue Recognition, Deferred Revenue [Policy Text Block] | Deferred Revenues. not |
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | Intrinsic Value of Stock Options and Warrants |
Reclassification, Policy [Policy Text Block] | Reclassifications. no |
Note 4 - Discontinued Operati24
Note 4 - Discontinued Operations (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Notes Tables | |
Schedule Of Components Of Loss From Discontinued Operations [Table Text Block] | Three Months Ended March 31, 2017 2016 Revenues $ - $ 553,302 Operating expenses: Infrastructure and access - 2,523,222 Depreciation - 638,681 Network operations - 183,583 Customer support - 69,804 Sales and marketing - 246 General and administrative - 47,333 Total operating expenses - 3,462,869 Net operating loss - (2,909,567 ) Gain on sale of assets - 1,177,742 Net Loss $ - $ (1,731,825 ) |
Discontinued Operation, Schedule of Amounts Recognized in Balance Sheet [Table Text Block] | March 31, 2017 December 31, 2016 Assets: Prepaid expenses and other current assets 231,978 231,978 Total Current Assets $ 231,978 $ 231,978 Liabilities: Accrued expenses - leases 1,168,747 1,240,000 Total Current Liabilities $ 1,168,747 $ 1,240,000 |
Note 5 - Property and Equipme25
Note 5 - Property and Equipment (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | March 31, 2017 December 31, 2016 Network and base station equipment $ 42,434,071 $ 42,098,570 Customer premise equipment 33,855,343 33,617,085 Information technology 4,878,311 4,859,875 Furniture, fixtures and other 1,713,430 1,713,430 Leasehold improvements 1,631,608 1,631,322 84,512,763 83,920,282 Less: accumulated depreciation 70,683,542 68,667,925 Property and equipment, net $ 13,829,221 $ 15,252,357 |
Schedule of Capital Leased Assets [Table Text Block] | March 31, 2017 December 31, 2016 Network and base station equipment $ 2,620,898 $ 2,620,898 Customer premise equipment 669,792 669,792 Information technology 1,860,028 1,860,028 5,150,718 5,150,718 Less: accumulated depreciation 4,307,297 4,083,274 Property acquired through capital leases, net $ 843,421 $ 1,067,444 |
Note 6 - Intangible Assets (Tab
Note 6 - Intangible Assets (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Notes Tables | |
Schedule of Intangible Assets and Goodwill [Table Text Block] | March 31, 2017 December 31, 2016 Goodwill $ 1,674,281 $ 1,674,281 Customer relationships $ 11,856,126 $ 11,856,126 Less: accumulated amortization 11,823,436 11,725,369 Customer relationships, net 32,690 130,757 Backhaul agreement 3,837,783 3,837,783 Less: accumulated amortization 1,385,867 1,066,050 Backhaul agreement, net 2,451,916 2,771,733 FCC licenses 750,000 750,000 Intangible assets, net $ 3,234,606 $ 3,652,490 |
Note 7 - Accrued Expenses (Tabl
Note 7 - Accrued Expenses (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Notes Tables | |
Schedule of Accrued Liabilities [Table Text Block] | March 31, 2017 December 31, 2016 Professional services $ 508,084 $ 263,928 Payroll and related 406,032 294,006 Property and equipment 154,093 118,139 Network 120,836 92,645 Other 141,864 142,492 Total $ 1,330,909 $ 911,210 |
Note 8 - Other Long-term Liab28
Note 8 - Other Long-term Liabilities (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Notes Tables | |
Other Liabilities [Table Text Block] | March 31, 2017 December 31, 2016 Deferred rent $ 594,699 $ 641,799 Deferred taxes 420,438 420,438 Total $ 1,015,137 $ 1,062,237 |
Note 9 - Long-term Debt (Tables
Note 9 - Long-term Debt (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Notes Tables | |
Schedule of Long-term Debt Instruments [Table Text Block] | March 31, 2017 December 31, 2016 Principal $ 33,612,808 $ 33,290,995 Unamortized debt discount (1,513,042 ) (1,803,742 ) Total $ 32,099,766 $ 31,487,253 |
Note 11 - Stock Options and W30
Note 11 - Stock Options and Warrants (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Notes Tables | |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | Three Months Ended March 31, 2017 2016 Risk-free interest rate 1.7 % 1.2 % to 1.4 % Expected volatility 110 % 77 % to 82 % Expected life (in years) 4.2 4.2 Expected dividend yield - - Estimated forfeiture rates 20 % 1 % to 7 % Weighted average per share grant date fair value $ 0.13 $ 0.14 Stock-based compensation $ 352,281 $ 296,385 |
Share-based Compensation, Stock Options, Activity [Table Text Block] | Number Weighted Average Exercise Price Outstanding as of January 1, 2017 2,106,889 $ 5.30 Granted during 2017 3,252,072 0.17 Cancelled /expired (64,945 ) 22.62 Outstanding as of March 31, 2017 5,294,016 $ 1.94 Exercisable as of March 31, 2017 1,750,287 $ 4.96 |
Schedule Of Grants Under Stock Option Plan Details [Table Text Block] | Number Consultant grants 25,000 Executive grants 3,227,072 Total 3,252,072 |
Note 14 - Net Loss Per Common31
Note 14 - Net Loss Per Common Share (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Notes Tables | |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block] | Three Months Ended March 31, 2017 2016 Stock options 5,294,016 253,777 Warrants 180,000 142,500 Series D Convertible Preferred Stock 3,082,500 - Series F Convertible Preferred Stock 4,215,000 - Total 12,771,516 396,277 |
Note 15 - Commitments (Tables)
Note 15 - Commitments (Tables) | 3 Months Ended |
Mar. 31, 2017 | |
Notes Tables | |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | Remainder of 2017 $ 5,742,994 2018 6,318,665 2019 4,846,377 2020 2,627,912 2021 667,892 Thereafter 231,105 Total $ 20,434,945 |
Schedule of Rent Expense [Table Text Block] | Three Months Ended March 31, 2017 2016 Points of Presence $ 2,106,103 $ 2,075,658 Corporate offices 81,524 149,147 Other 97,256 121,489 Total $ 2,284,884 $ 2,346,294 |
Schedule of Future Minimum Lease Payments for Capital Leases [Table Text Block] | Total Capital lease obligation: Remainder of 2017 $ 564,851 2018 161,770 Subtotal 726,621 Less: Interest Expense (31,709 ) Total $ 694,912 Total Capital lease obligation: Current $ 665,874 Long-term 29,038 Total $ 694,912 |
Note 1 - Organization and Nat33
Note 1 - Organization and Nature of Business (Details Textual) - Shared Wireless Business [Member] | Mar. 09, 2016 |
Asset Purchase Agreement, Term | 3 years |
Asset Purchase Agreement, Number of One Year Renewals | 2 |
Asset Purchase Agreement, Renewal Term | 1 year |
Asset Purchase Agreement, Cancellation Notice | 60 days |
Note 2 - Liquidity and Manage34
Note 2 - Liquidity and Management Plans (Details Textual) - USD ($) | 12 Months Ended | |||
Dec. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2015 | |
Cash and Cash Equivalents, at Carrying Value | $ 12,272,444 | $ 11,068,153 | $ 9,640,720 | $ 15,116,531 |
Working Capital | (24,400,000) | |||
Retained Earnings (Accumulated Deficit) | (176,655,227) | $ (180,468,287) | ||
Proceeds from Issuance or Sale of Equity | 9,130,000 | |||
Debt Conversion, Original Debt, Amount | $ 5,000,000 |
Note 3 - Summary of Significa35
Note 3 - Summary of Significant Accounting Policies (Details Textual) - USD ($) | 3 Months Ended | |
Jun. 22, 2017 | Mar. 31, 2017 | |
Cash, Uninsured Amount | $ 10,800,000 | |
Cash, FDIC Insured Amount | $ 250,000 | |
Minimum [Member] | ||
Contractual Agreements, Term | 1 year | |
Maximum [Member] | ||
Contractual Agreements, Term | 3 years | |
Subsequent Event [Member] | Reclassification of Long-term Debt to Current Liabilities [Member] | December 31, 2016 [Member] | ||
Prior Period Reclassification Adjustment | $ 31,487,253 | |
Subsequent Event [Member] | Reclassification of Long-term Debt to Current Liabilities [Member] | March 31, 2017 [Member] | ||
Prior Period Reclassification Adjustment | $ 32,099,766 |
Note 4 - Discontinued Operati36
Note 4 - Discontinued Operations (Details Textual) | Mar. 09, 2016USD ($) | Mar. 31, 2017USD ($) | Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) |
Disposal Group, Including Discontinued Operation, Consideration | $ 3,837,783 | |||
Discontinued Operation, Gain (Loss) on Disposal of Discontinued Operation, Net of Tax | 1,177,742 | |||
Shared Wireless Business [Member] | ||||
Asset Purchase Agreement, Cancellation Notice | 60 days | |||
Disposal Group, Including Discontinued Operation, Assets | $ 2,660,041 | |||
Disposal Group, Including Discontinued Operation, Consideration | $ 3,837,783 | |||
Asset Impairment and Other Charges | 1,585,319 | |||
Estimated Costs to Settle Lease Obligations | 453,403 | |||
Impairment of Long-Lived Assets Held-for-use | 528,364 | |||
Write off of Security Deposits | 110,500 | |||
Accelerated Expensing of Deferred Acquistion Costs | $ 493,052 | |||
Reduction in Accrual for Terminated Lease Obligations | $ 1,244,284 | |||
Asset Purchase Agreement, Term | 3 years | |||
Asset Purchase Agreement, Number of One Year Renewals | 2 | |||
Asset Purchase Agreement, Renewal Term | 1 year |
Note 4 - Discontinued Operati37
Note 4 - Discontinued Operations - Loss From Discontinued Operations (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Revenues | $ 553,302 | |
Infrastructure and access | 2,523,222 | |
Depreciation | 638,681 | |
Network operations | 183,583 | |
Customer support | 69,804 | |
Sales and marketing | 246 | |
General and administrative | 47,333 | |
Total operating expenses | 3,462,869 | |
Net operating loss | (2,909,567) | |
Gain on sale of assets | 1,177,742 | |
Net Loss | $ (1,731,825) |
Note 4 - Discontinued Operati38
Note 4 - Discontinued Operations - Components of Balance Sheet Accounts (Details) - USD ($) | Mar. 31, 2017 | Dec. 31, 2016 |
Assets: | ||
Prepaid expenses and other current assets | $ 231,978 | $ 231,978 |
Total Current Assets | 231,978 | 231,978 |
Liabilities: | ||
Total Current Liabilities | 1,168,747 | 1,240,000 |
Network [Member] | ||
Liabilities: | ||
Accrued expenses - leases | $ 1,168,747 | $ 1,240,000 |
Note 5 - Property and Equipme39
Note 5 - Property and Equipment (Details Textual) - USD ($) | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Depreciation | $ 2,015,617 | $ 2,322,974 |
Note 5 - Property and Equipme40
Note 5 - Property and Equipment - Property and Equipment (Details) - USD ($) | Mar. 31, 2017 | Dec. 31, 2016 |
Property, Plant, and Equipment, Gross | $ 84,512,763 | $ 83,920,282 |
Less: accumulated depreciation | 70,683,542 | 68,667,925 |
Property and equipment, net | 13,829,221 | 15,252,357 |
Network and Base Station Equipment [Member] | ||
Property, Plant, and Equipment, Gross | 42,434,071 | 42,098,570 |
Customer Premise Equipment [Member] | ||
Property, Plant, and Equipment, Gross | 33,855,343 | 33,617,085 |
Information Technology [Member] | ||
Property, Plant, and Equipment, Gross | 4,878,311 | 4,859,875 |
Furniture and Fixtures [Member] | ||
Property, Plant, and Equipment, Gross | 1,713,430 | 1,713,430 |
Leasehold Improvements [Member] | ||
Property, Plant, and Equipment, Gross | $ 1,631,608 | $ 1,631,322 |
Note 5 - Property and Equipme41
Note 5 - Property and Equipment - Property Acquired Through Capital Leases (Details) - USD ($) | Mar. 01, 2017 | Dec. 31, 2016 |
Capital Leased Assets, Gross | $ 5,150,718 | $ 5,150,718 |
Less: accumulated depreciation | 4,307,297 | 4,083,274 |
Property acquired through capital leases, net | 843,421 | 1,067,444 |
Network and Base Station Equipment [Member] | ||
Capital Leased Assets, Gross | 2,620,898 | 2,620,898 |
Customer Premise Equipment [Member] | ||
Capital Leased Assets, Gross | 669,792 | 669,792 |
Information Technology [Member] | ||
Capital Leased Assets, Gross | $ 1,860,028 | $ 1,860,028 |
Note 6 - Intangible Assets (Det
Note 6 - Intangible Assets (Details Textual) - USD ($) | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Amortization of Intangible Assets | $ 417,884 | $ 204,673 |
Delos Internet [Member] | Customer Relationships [Member] | ||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 4 years 60 days | |
Time Warner Cable [Member] | Backhaul Agreement [Member] | ||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 3 years |
Note 6 - Intangible Assets - In
Note 6 - Intangible Assets - Intangible Assets and Goodwill (Details) - USD ($) | Mar. 31, 2017 | Dec. 31, 2016 |
Goodwill | $ 1,674,281 | $ 1,674,281 |
FCC licenses | 750,000 | 750,000 |
Intangible assets, net | 3,234,606 | 3,652,490 |
Customer Relationships [Member] | ||
Customer relationships | 11,856,126 | 11,856,126 |
Less: accumulated amortization | 11,823,436 | 11,725,369 |
Customer relationships, net | 32,690 | 130,757 |
Backhaul Agreement [Member] | ||
Backhaul agreement | 3,837,783 | 3,837,783 |
Less: accumulated amortization | 1,385,867 | 1,066,050 |
Customer relationships, net | $ 2,451,916 | $ 2,771,733 |
Note 7 - Accrued Expenses - Acc
Note 7 - Accrued Expenses - Accrued Expenses (Details) - USD ($) | Mar. 31, 2017 | Dec. 31, 2016 |
Accrued Liabilities, Current | $ 1,330,909 | $ 911,210 |
Professional Services [Member] | ||
Accrued Liabilities, Current | 508,084 | 263,928 |
Payroll and Related [Member] | ||
Accrued Liabilities, Current | 406,032 | 294,006 |
Property and Equipment [Member] | ||
Accrued Liabilities, Current | 154,093 | 118,139 |
Network [Member] | ||
Accrued Liabilities, Current | 120,836 | 92,645 |
Other Accrued Liabilities [Member] | ||
Accrued Liabilities, Current | $ 141,864 | $ 142,492 |
Note 8 - Other Long-term Liab45
Note 8 - Other Long-term Liabilities - Other Liabilities, Current and Noncurrent (Details) - USD ($) | Mar. 31, 2017 | Dec. 31, 2016 |
Deferred rent | $ 594,699 | $ 641,799 |
Deferred taxes | 420,438 | 420,438 |
Total | $ 1,015,137 | $ 1,062,237 |
Note 9 - Long-term Debt (Detail
Note 9 - Long-term Debt (Details Textual) - USD ($) | Nov. 08, 2016 | Oct. 31, 2014 | Mar. 31, 2017 | Mar. 31, 2016 | Dec. 31, 2016 |
Debt Instrument, Unamortized Discount | $ 1,513,042 | $ 1,803,742 | |||
Debt Conversion, Original Debt, Amount | $ 5,000,000 | ||||
Increase (Decrease) in Interest Payable, Net | 321,813 | $ 371,572 | |||
Amortization of Debt Issuance Costs | 290,700 | 451,924 | |||
Melody Business Finance LLC [Member] | |||||
Debt Conversion, Original Debt, Amount | $ 5,000,000 | ||||
Melody Business Finance LLC [Member] | Towerstream Investor [Member] | |||||
Proceeds from Collection of Notes Receivable | $ 5,500,000 | ||||
Melody Business Finance LLC [Member] | Series D Convertible Preferred Stock [Member] | |||||
Debt Conversion, Converted Instrument, Shares Issued | 1,000 | ||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 4,000,000 | ||||
Interest Expense, Write-off of Unamortized Debt Discount | $ 331,609 | ||||
Gain (Loss) on Extinguishment of Debt | (500,000) | ||||
Secured Debt [Member] | Melody Business Finance LLC [Member] | |||||
Debt Conversion, Original Debt, Amount, Principal Portion | 4,935,834 | ||||
Debt Conversion, Original Debt, Amount, Interest Portion | 64,166 | ||||
Debt Instrument, Face Amount | $ 35,000,000 | ||||
Proceeds from Issuance of Long-term Debt | $ 33,950,000 | ||||
Debt Instrument Discount Rate | 3.00% | ||||
Paid In Kind Interest Stated Rate | 4.00% | ||||
Debt Covenant, Cash and Cash Equivalents, Minimum Balance | $ 6,500,000 | ||||
Debt Instrument Additional Interes Rate In The Event Of Default | 5.00% | ||||
Debt Instrument Prepayment Minimum Principal Amount | $ 5,000,000 | ||||
Debt Instrument, Prepayment, Integral Amounts Beyond the Minimum Principal Amount | 1,000,000 | ||||
Debt Instrument, Unamortized Discount | 6,406,971 | ||||
Warrants and Rights Outstanding | 2,463,231 | ||||
Debt Issuance Costs, Gross | 2,893,739 | ||||
Debt Instrument, Original Issue Discount | $ 1,050,000 | ||||
Debt Instrument, Original Issue Discount Rate | 3.00% | ||||
Debt Conversion, Original Debt, Amount | $ 5,000,000 | ||||
Interest Expense | 965,439 | 1,114,716 | |||
Interest Paid | 643,626 | 743,144 | |||
Increase (Decrease) in Interest Payable, Net | 321,813 | 371,572 | |||
Amortization of Debt Issuance Costs | $ 290,700 | $ 451,924 | |||
Secured Debt [Member] | Melody Business Finance LLC [Member] | Warrant One [Member] | |||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 120,000 | ||||
Secured Debt [Member] | Melody Business Finance LLC [Member] | Warrant Two [Member] | |||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 60,000 | ||||
Secured Debt [Member] | Melody Business Finance LLC [Member] | If Rate Is Greater Than LIBOR Rate [Member] | |||||
Debt Instrument, Interest Rate, Stated Percentage | 8.00% | ||||
Debt Instrument, Reference Rate | 0.98% | ||||
Secured Debt [Member] | Melody Business Finance LLC [Member] | First Two Thirds Of Shares Under Warrants [Member] | |||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 25.20 | ||||
Secured Debt [Member] | Melody Business Finance LLC [Member] | Remaining One Third Of Shares Under Warrants [Member] | |||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 0.20 | ||||
Secured Debt [Member] | Melody Business Finance LLC [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||
Debt Instrument, Basis Spread on Variable Rate | 7.00% |
Note 9 - Long-term Debt - Summa
Note 9 - Long-term Debt - Summary of Long-term Debt (Details) - USD ($) | Mar. 31, 2017 | Dec. 31, 2016 |
Principal | $ 33,612,808 | $ 33,290,995 |
Unamortized debt discount | (1,513,042) | (1,803,742) |
Total | $ 32,099,766 | $ 31,487,253 |
Note 10 - Capital Stock (Detail
Note 10 - Capital Stock (Details Textual) - shares | Jan. 09, 2017 | Mar. 23, 2017 |
Conversion of Series E Convertible Preferred Stock into Shares of Common Stock [Member] | ||
Conversion of Stock, Shares Issued | 500,000 | |
Conversion of Stock, Shares Converted | 500,000 | |
Conversion of Series F Convertible Preferred Stock into Common Stock [Member] | ||
Conversion of Stock, Shares Issued | 1,950,000 | |
Conversion of Stock, Shares Converted | 390 |
Note 11 - Stock Options and W49
Note 11 - Stock Options and Warrants (Details Textual) - USD ($) | Feb. 03, 2017 | Jan. 24, 2017 | Mar. 31, 2017 | Dec. 31, 2016 |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 0.18 | $ 0.17 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 1,189,987 | 3,252,072 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 100.00% | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period | 57,445 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Expirations in Period | 7,500 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | 9 years 219 days | |||
Share Price | $ 0.16 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value | $ 0 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Intrinsic Value | $ 0 | |||
Class of Warrant or Right, Outstanding | 180,000 | 180,000 | ||
Class Of Warrant Or Right, Outstanding, Weighted Average Exercise Price | $ 16.87 | $ 16.87 | ||
Warrant [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Remaining Contractual Term | 5 years | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Aggregate Intrinsic Value, Outstanding | $ 0 | |||
Chief Executive Officer [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 500,653 | |||
Chief Operating Officer [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 439,008 | |||
Chief Financial Officer [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 250,326 | |||
Employee Stock Option [Member] | ||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 906,778 | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 4 years 219 days | |||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 2 years | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Granted in Period, Fair Value | $ 426,701 | |||
Stock Options, Employment Agreement [Member] | ||||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 0.17 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 2,037,085 | |||
Stock Options, Employment Agreement [Member] | Vest on January 24, 2018 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 940,193 | |||
Stock Options, Employment Agreement [Member] | Vest in Eight Quarterly Installments During the Twenty-four Months Ending January 24, 2020 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 626,795 | |||
Stock Options, Employment Agreement [Member] | Vest Upon the Achievement of Three Consecutive Quarters of Positive Cash Flow [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 548,446 | |||
Stock Options, Employment Agreement [Member] | Vest Upon Sale of Earth Station Assets in Miami, Florida for Gross Proceeds Equal to or Greater than $15,000,000 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 548,446 | |||
Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Granted in Period, Fair Value | $ 140,708 |
Note 11 - Stock Options and W50
Note 11 - Stock Options and Warrants - Black-Scholes Option Pricing Model Assumptions (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Risk-free interest rate | 1.70% | |
Expected volatility | 110.00% | |
Expected life (in years) (Year) | 4 years 73 days | 4 years 73 days |
Expected dividend yield | ||
Estimated forfeiture rates | 20.00% | |
Weighted average per share grant date fair value (in dollars per share) | $ 0.13 | $ 0.14 |
Stock-based compensation | $ 352,281 | $ 296,385 |
Minimum [Member] | ||
Risk-free interest rate | 1.20% | |
Expected volatility | 77.00% | |
Estimated forfeiture rates | 1.00% | |
Maximum [Member] | ||
Risk-free interest rate | 1.40% | |
Expected volatility | 82.00% | |
Estimated forfeiture rates | 7.00% |
Note 11 - Stock Options and W51
Note 11 - Stock Options and Warrants - Option Transactions Under the Stock Option Plans (Details) - $ / shares | Feb. 03, 2017 | Mar. 31, 2017 |
Outstanding (in shares) | 2,106,889 | |
Outstanding (in dollars per share) | $ 5.30 | |
Outstanding (in dollars per share) | $ 1.94 | |
Exercisable as of March 31, 2017 (in shares) | 1,750,287 | |
Granted (in shares) | 1,189,987 | 3,252,072 |
Granted (in dollars per share) | $ 0.18 | $ 0.17 |
Cancelled /expired (in shares) | (64,945) | |
Cancelled /expired (in dollars per share) | $ 22.62 | |
Outstanding (in shares) | 5,294,016 | |
Exercisable as of March 31, 2017 (in dollars per share) | $ 4.96 |
Note 11 - Stock Options and W52
Note 11 - Stock Options and Warrants - Grants Under Stock Option Plans (Details) - shares | Feb. 03, 2017 | Mar. 31, 2017 |
Granted (in shares) | 1,189,987 | 3,252,072 |
Consultant [Member] | ||
Granted (in shares) | 25,000 | |
Executive Officer [Member] | ||
Granted (in shares) | 3,227,072 |
Note 12 - Employee Stock Purc53
Note 12 - Employee Stock Purchase Plan (Details Textual) - USD ($) | 3 Months Ended | 9 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | Sep. 30, 2016 | |
Stock Issued During Period, Value, Employee Stock Purchase Plan | $ 358 | ||
2010 Employee Stock Purchase Plan [Member] | |||
Percentage Of Discount Allowed For Shares Issued Under Employee Stock Purchase Plan | 15.00% | ||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 25,000 | ||
Stock Issued During Period, Shares, Employee Stock Purchase Plans | 2,240 | 4,459 | |
Stock Issued During Period, Value, Employee Stock Purchase Plan | $ 358 | $ 10,700 | |
Defined Contribution Plan, Cost | $ 54 | $ 1,784 |
Note 14 - Net Loss Per Common54
Note 14 - Net Loss Per Common Share - Antidilutive Shares Excluded from Computation of EPS (Details) - shares | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Antidilutive Securities Excluded From Computation of Earnings Per Share, Amount (in shares) | 12,771,516 | 396,277 |
Employee Stock Option [Member] | ||
Antidilutive Securities Excluded From Computation of Earnings Per Share, Amount (in shares) | 5,294,016 | 253,777 |
Warrant [Member] | ||
Antidilutive Securities Excluded From Computation of Earnings Per Share, Amount (in shares) | 180,000 | 142,500 |
Series D Convertible Preferred Stock [Member] | ||
Antidilutive Securities Excluded From Computation of Earnings Per Share, Amount (in shares) | 3,082,500 | |
Series F Convertible Preferred Stock [Member] | ||
Antidilutive Securities Excluded From Computation of Earnings Per Share, Amount (in shares) | 4,215,000 |
Note 15 - Commitments (Details
Note 15 - Commitments (Details Textual) - USD ($) | 1 Months Ended | |||
Apr. 30, 2016 | Dec. 31, 2014 | Sep. 30, 2013 | Feb. 28, 2014 | |
Corporate Offices [Member] | ||||
Leasehold Improvements, Gross | $ 600,000 | |||
Operating Lease, Leasehold Improvements to be Made by Lessor | $ 380,000 | |||
Operating Lease, Annual Rent Two Years Ago | $ 359,750 | |||
Annual Increase in Operating Lease Rent Expense | 3.00% | |||
Operating Lease Annual Rent in Three Years | $ 416,970 | |||
Lessee, Operating Lease, Renewal Term | 5 years | |||
Sales Center [Member] | ||||
Operating Lease, Annual Rent | $ 53,130 | |||
Annual Increase in Operating Lease Rent Expense | 3.00% | |||
Lessee, Operating Lease, Term of Contract | 3 years 60 days | |||
Lessee, Operating Lease, Renewal Term | 5 years | |||
Security Deposit Forfeited | $ 26,648 | |||
Termination Payment of Lease | $ 25,000 |
Note 15 - Commitments - Total F
Note 15 - Commitments - Total Future Operating Lease Obligations (Details) | Mar. 31, 2017USD ($) |
Remainder of 2017 | $ 5,742,994 |
2,018 | 6,318,665 |
2,019 | 4,846,377 |
2,020 | 2,627,912 |
2,021 | 667,892 |
Thereafter | 231,105 |
Total | $ 20,434,945 |
Note 15 - Commitments - Rent Ex
Note 15 - Commitments - Rent Expenses (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Lease and Rental Expense | $ 2,284,884 | $ 2,346,294 |
Points of Presence [Member] | ||
Lease and Rental Expense | 2,106,103 | 2,075,658 |
Corporate Offices [Member] | ||
Lease and Rental Expense | 81,524 | 149,147 |
Other Leased Property [Member] | ||
Lease and Rental Expense | $ 97,256 | $ 121,489 |
Note 15 - Commitments - Total58
Note 15 - Commitments - Total Future Capital Lease Obligations (Details) - USD ($) | Mar. 31, 2017 | Dec. 31, 2016 |
Remainder of 2017 | $ 564,851 | |
2,018 | 161,770 | |
Subtotal | 726,621 | |
Less: Interest Expense | (31,709) | |
Total | 694,912 | |
Current | 665,874 | $ 791,009 |
Long-term | 29,038 | $ 158,703 |
Total | $ 694,912 |
Note 16 - Subsequent Events (De
Note 16 - Subsequent Events (Details Textual) - Subsequent Event [Member] - Series F Convertible Preferred Stock Convert to Common Stock [Member] | Apr. 13, 2017shares |
Conversion of Stock, Shares Converted | 200 |
Conversion of Stock, Shares Issued | 1,000,000 |