Towerstream (TWER) 10-Q 15 May 18 2018 Q1 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	3 Months Ended
	Mar. 31, 2018	May 11, 2018
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)		394,399
Document Type	10-Q
Document Period End Date	Mar. 31, 2018
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q1
Amendment Flag	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($)	Mar. 31, 2018	Dec. 31, 2017
Current Assets
Cash and cash equivalents	$ 5,317,120	$ 7,568,982
Accounts receivable, net of reserves for uncollectible accounts of $100,717 and $95,884, respectively	864,234	912,333
Prepaid expenses and other current assets	347,513	242,320
Total Current Assets	6,528,867	8,723,635
Property and equipment, net	12,696,390	13,430,980
Intangible assets, net	1,922,656	2,242,471
Goodwill	1,674,281	1,674,281
Other assets	429,378	386,047
Total Assets	23,251,572	26,457,414
Current Liabilities
Accounts payable	253,026	1,150,861
Accrued expenses	1,320,269	1,622,036
Accrued interest	859,985	722,629
Deferred revenues	1,083,262	934,450
Current maturities of capital lease obligations	258,209	382,918
Current liabilities of discontinued operations	1,011,526	1,029,022
Deferred rent	90,837	78,048
Long-term debt (callable), net of debt discounts and deferred financing costs of $598,963 and $789,287, respectively	34,401,795	33,868,700
Total Current Liabilities	39,278,909	39,788,664
Long-Term Liabilities
Capital lease obligations, net of current maturities	364,478	305,947
Other	736,494	754,203
Total Long-Term Liabilities	1,100,972	1,060,150
Total Liabilities	40,379,881	40,848,814
Commitments (Note 15)
Stockholders' Deficit
Common stock, par value $0.001; 200,000,000 shares authorized; 394,399 shares issued and outstanding as of March 31, 2018 and December 31, 2017, respectively	394	394
Additional paid-in-capital	174,819,646	174,733,113
Accumulated deficit	(191,948,351)	(189,124,909)
Total Stockholders' Deficit	(17,128,309)	(14,391,400)
Total Liabilities and Stockholders' Deficit	23,251,572	26,457,414
Series G Convertible Preferred Stock [Member]
Stockholders' Deficit
Preferred stock	1	1
Series H Convertible Preferred Stock [Member]
Stockholders' Deficit
Preferred stock	$ 1	$ 1

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - USD ($)	Mar. 31, 2018	Dec. 31, 2017
Accounts receivable, reserves for uncollectable accounts	$ 100,717	$ 95,884
Debt discount, current	$ 598,963	$ 789,287
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized (in shares)	5,000,000	5,000,000
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)	394,399	394,399
Common stock, outstanding (in shares)	394,399	394,399
Series G Convertible Preferred Stock [Member]
Preferred stock, shares issued (in shares)	538	538
Preferred stock, shares outstanding (in shares)	538	538
Preferred stock, liquidation value	$ 538,000	$ 538,000
Series H Convertible Preferred Stock [Member]
Preferred stock, shares issued (in shares)	501	501
Preferred stock, shares outstanding (in shares)	501	501
Preferred stock, liquidation value	$ 501,000	$ 501,000

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Revenues	$ 6,441,802	$ 6,572,317
Operating Expenses
Infrastructure and access	2,688,722	2,708,311
Depreciation and amortization	1,703,597	2,433,501
Network operations	1,065,250	1,200,907
Customer support	474,816	367,682
Sales and marketing	748,001	864,976
General and administrative	1,167,760	1,537,728
Total Operating Expenses	7,848,146	9,113,105
Operating Loss	(1,406,344)	(2,540,788)
Other Expense
Interest expense, net	(1,417,098)	(1,272,272)
Total Other Expense	(1,417,098)	(1,272,272)
Net Loss	$ (2,823,442)	$ (3,813,060)
Net loss per common share – basic and diluted (in dollars per share)	$ (7.16)	$ (14.50)
Weighted average common shares outstanding – basic and diluted (in shares)	394,399	262,904

Condensed Consolidated Stateme5

Condensed Consolidated Statement of Stockholders' Deficit (Unaudited) - 3 months ended Mar. 31, 2018 - USD ($)	Preferred Stock [Member]Series G Convertible Preferred Stock [Member]	Preferred Stock [Member]Series H Convertible Preferred Stock [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Total
Balance (in shares) at Dec. 31, 2017	538	501	394,399
Balance at Dec. 31, 2017	$ 1	$ 1	$ 394	$ 174,733,113	$ (189,124,909)	$ (14,391,400)
Stock-based compensation for options				86,533		86,533
Net loss					(2,823,442)	(2,823,442)
Balance (in shares) at Mar. 31, 2018	538	501	394,399
Balance at Mar. 31, 2018	$ 1	$ 1	$ 394	$ 174,819,646	$ (191,948,351)	$ (17,128,309)

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Cash Flows From Operating Activities
Net loss	$ (2,823,442)	$ (3,813,060)
Adjustments to reconcile loss from continuing operations to net cash used in continuing operating activities:
Provision for doubtful accounts	35,000	7,000
Depreciation for property, plant and equipment	1,383,782	2,015,617
Amortization for intangible assets	319,815	417,884
Amortization for debt discount and deferred financing costs	190,324	290,700
Interest added to principal	342,771	321,813
Accrued interest	137,356
Stock-based compensation - Options	86,533	352,281
Loss on the sale of property, plant and equipment	42,152
Stock-based compensation - Employee stock purchase plan		54
Deferred rent	(4,920)	(27,684)
Changes in operating assets and liabilities:
Accounts receivable	13,099	(114,890)
Prepaid expenses and other current assets	(105,193)	50,967
Other assets	(43,331)	(191)
Accounts payable	(897,835)	(148,858)
Accrued expenses	24,974	383,748
Deferred revenues	148,812	(46,860)
Total Adjustments	1,673,339	3,501,581
Net Cash Used In Continuing Operating Activities	(1,150,103)	(311,479)
Net Cash Used In Discontinued Operating Activities	(17,496)	(71,253)
Net Cash Used In Operating Activities	(1,167,599)	(382,732)
Cash Flows From Investing Activities
Acquisitions of property and equipment	(915,354)	(556,530)
Proceeds from the sale of property, plant and equipment	15,000
Change in security deposits		(10,533)
Net Cash Used In Investing Activities	(900,354)	(567,063)
Cash Flows From Financing Activities
Repayment of capital leases	(183,909)	(254,800)
Issuance of common stock under employee stock purchase plan		304
Net Cash Used In Financing Activities	(183,909)	(254,496)
Net Decrease In Cash and Cash Equivalents
Continuing Operations	(2,234,366)	(1,133,038)
Discontinued Operations	(17,496)	(71,253)
Net Decrease In Cash and Cash Equivalents	(2,251,862)	(1,204,291)
Cash and Cash Equivalents – Beginning	7,568,982	12,272,444
Cash and Cash Equivalents – Ending	5,317,120	11,068,153
Interest	746,726	661,419
Income taxes	669	730
Included in accrued expenses	278,905	154,093
Included in capital leases	117,731
Interest added to principal	$ 342,771	$ 321,813

Note 1 - Organization and Natur

Note 1 - Organization and Nature of Business	3 Months Ended
	Mar. 31, 2018
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 sixty first 2016, not In March 2018, no not

Note 2 - Liquidity, Going Conce

Note 2 - Liquidity, Going Concern, and Management Plans	3 Months Ended
	Mar. 31, 2018
Notes to Financial Statements
Liquidity and Management Plans [Text Block]	Note 2. , Going Concern and Management Plans 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, 2018, $5.3 $32.8 March 31, 2018, $191.9 one not The Company has monitored and reduced certain of its operating costs over the course of 2017 first 2018. no no may no

Note 3 - Summary of Significant

Note 3 - Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2018
Notes to Financial Statements
Significant Accounting Policies [Text Block]	Note 3. Basis of Presentation. 10 10 X not March 31, 2018 three March 31, 2018 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 December 31, 2017. 10 December 31, 2017, 10 Retroactive Adjustment for Reverse Stock Split. September 29, 2017, one seventy-five Use of Estimates. Concentration of Credit Risk. may March 31, 2018, $5.1 $250,000. Intrinsic Value of Stock Options and Warrants Recent Accounting Pronouncements May 2014 , No. 2014 09 2014 09 ” 2014 19 one 606, 606” 606 606 January 1, 2018 13, Revenues Reclassifications. no Subsequent Events

Note 4 - Discontinued Operation

Note 4 - Discontinued Operations	3 Months Ended
	Mar. 31, 2018
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. The components of the balance sheet accounts presented as discontinued operations were as follows: March 31, 201 8 December 31, 201 7 Liabilities: Accrued expenses - leases $ 1,011,526 $ 1,029,022 Total Current Liabilities $ 1,011,526 $ 1,029,022 Accrued expenses represent the estimated cost of terminating the leases associated with the Hetnets business. Accordingly, disbursements associated with such activity during the period ended March 31, 2018 March 31, 2018 $17,496 $1,011,526.

Note 5 - Property and Equipment

Note 5 - Property and Equipment, Net	3 Months Ended
	Mar. 31, 2018
Notes to Financial Statements
Property, Plant and Equipment Disclosure [Text Block]	Note 5. Property and equipment, net is comprised of: March 31, 201 8 December 31, 201 7 Network and base station equipment $ 43,954,530 $ 43,573,869 Customer premise equipment 35,628,144 34,996,202 Information technology 4,882,523 4,881,332 Furniture, fixtures and other 1,715,524 1,715,524 Leasehold improvements 1,516,039 1,651,300 Accrual – equipment received not invoiced 278,905 605,646 87,975,665 87,423,873 Less: accumulated depreciation 75,279,275 73,992,893 Property and equipment, net $ 12,696,390 $ 13,430,980 Depreciation expense for the three March 31, 2018 2017 $1,383,782 $2,015,617, Property acquired through capital leases included within the Company’s property and equipment consists of the following: March 31, 201 8 December 31, 201 7 Network and base station equipment $ 2,629,526 $ 2,629,526 Customer premise equipment 1,387,104 1,269,373 Information technology 1,860,028 1,860,028 5,876,658 5,758,927 Less: accumulated depreciation 4,811,407 4,708,697 Property acquired through capital leases, net $ 1,065,251 $ 1,050,230

Note 6 - Goodwill and Intangibl

Note 6 - Goodwill and Intangible Assets, Net	3 Months Ended
	Mar. 31, 2018
Notes to Financial Statements
Intangible Assets Disclosure [Text Block]	Note 6. Goodwill and Intangible Assets , Net Intangible assets, net consist of the following: March 31, 201 8 December 31, 201 7 Goodwill $ 1,674,281 $ 1,674,281 Backhaul agreement 3,837,783 3,837,783 Less: accumulated amortization 2,665,127 2,345,312 Backhaul agreement, net 1,172,656 1,492,471 FCC licenses 750,000 750,000 Intangible assets, net $ 1,922,656 $ 2,242,471 Amortization expense for the three March 31, 2018 2017 $319,815 $417,884, 4, three not Remainder of 2018 959,446 2019 213,210 Total $ 1,172,656

Note 7 - Accrued Expenses

Note 7 - Accrued Expenses	3 Months Ended
	Mar. 31, 2018
Notes to Financial Statements
Accrued Liabilities Disclosure [Text Block]	Note 7. Accrued expenses consist of the following: March 31, 201 8 December 31, 201 7 Payroll and related $ 564,017 $ 515,448 Professional services 163,680 318,979 Other 138,208 279,374 Property and equipment 278,905 320,043 Network 175,459 188,192 Total $ 1,320,269 $ 1,622,036 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, 2018
Notes to Financial Statements
Other Liabilities Disclosure [Text Block]	Note 8. Long-Term Liabilities Other long-term liabilities consist of the following: March 31, 201 8 December 31, 201 7 Deferred rent $ 399,896 $ 417,605 Deferred taxes 336,598 336,598 Total $ 736,494 $ 754,203

Note 9 - Long-term Debt

Note 9 - Long-term Debt	3 Months Ended
	Mar. 31, 2018
Notes to Financial Statements
Debt Disclosure [Text Block]	Note 9. Long-term debt (callable) consists of the following: March 31, 201 8 December 31, 201 7 Principal $ 35,000,758 $ 34,657,987 Unamortized debt discount (598,963 ) (789,287 ) Total $ 34,401,795 $ 33,868,700 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 1.88% March 31, 2018. 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 5% may Effective January 26, 2018, October 16, 2014 March 30, 2018 ( $6,500,000 “$6,500,000 $6,500,000 $4,000,000 February 28, 2018 6.1 December 31, 2017 March 30, 2018 April 15, 2018. March 31, 2018 December 31, 2017, April 15, 2018, second 16 Subsequent Events 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 $6,406,970 a) $2,463,231 1,600 800 $1,890.00 $15.00 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 53,334 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 $1,210,697 $965,439 three March 31, 2018 2017, $867,926 $643,626 $342,771 $321,813 three March 31, 2018 2017, The Company recorded amortization expense of $190,324 $290,700 three March 31, 2018 2017,

Note 10 - Stock Options and War

Note 10 - Stock Options and Warrants	3 Months Ended
	Mar. 31, 2018
Notes to Financial Statements
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	Note 1 0 . Stock Options and Warrants 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, 201 8 201 7 Risk-free interest rate - % 1.7 % Expected volatility - % 110 % Expected life (in years) - 4.2 Expected dividend yield - - Estimated forfeiture rates - % 20 % Weighted average per share grant date fair value $ - $ 9.84 Stock-based compensation $ 86,533 $ 352,281 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 $141,635 March 31, 2018 1.6 Option transactions under the stock option plans during the three March 31, 2018 Number Weighted Average Exercise Price Outstanding as of January 1, 2018 76,601 $ 117.42 Granted during 2018 - - Cancelled /expired (163 ) 544.60 Outstanding as of March 31, 2018 76,438 $ 116.51 Exercisable as of March 31, 2018 50,055 $ 168.87 Cancellations for the three March 31, 2018 149 14 The weighted average remaining contractual life of the outstanding options as of March 31, 2018 8.7 There was no March 31, 2018. March 31, 2018 $3.50 Stock Warrants There were 2,400 March 31, 2018 December 31, 2017, $1,265.00. 4.1 There was no March 31, 2018.

Note 11 - Employee Stock Purcha

Note 11 - Employee Stock Purchase Plan	3 Months Ended
	Mar. 31, 2018
Notes to Financial Statements
Employee Stock Purchase Plan Disclosure [Text Block]	Note 1 1 . Employee Stock Purchase Plan Under the Company’s 2010 15% 334 March 31, 2018. no three March 31, 2018. three March 31, 2017, 30 $358. $54 15% three March 31, 2017.

Note 12 - Fair Value Measuremen

Note 12 - Fair Value Measurement	3 Months Ended
	Mar. 31, 2018
Notes to Financial Statements
Fair Value Disclosures [Text Block]	Note 1 2 . Fair Value Measurement 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, 2018.

Note 13 - Revenues

Note 13 - Revenues	3 Months Ended
	Mar. 31, 2018
Notes to Financial Statements
Revenue from Contract with Customer [Text Block]	Note 13. In May 2014, 606, 606 606 January 1, 2018 March 31, 2018 $65,576 606. not 606 not 2017 Revenue Recognition Generally, the Company considers all revenues as arising from contracts with customers. Revenue is recognized based on the five ASC606: Step 1 Step 2 not Step 3 not Step 4 one Step 5 Disaggregation of Revenue We provide fixed wireless business internet service to companies ranging from small businesses to fortune 500 no one three Deferred Revenues Customers are billed monthly in advance. Deferred revenues are recognized for that portion of monthly charges not The Company also defers installation fees billed to the customer and commission costs associated with obtaining new contracts. The installation fees and commission costs are amortized over the average contract term of new contracts. As of March 31, 2018, $65,576 $105,550

Note 14 - Net Loss Per Common S

Note 14 - Net Loss Per Common Share	3 Months Ended
	Mar. 31, 2018
Notes to Financial Statements
Earnings Per Share [Text Block]	Note 1 4 . Net Loss Per Common Share 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, 201 8 201 7 Stock options 76,438 70,587 Warrants 2,400 2,400 Series D Convertible Preferred Stock - 41,100 Series F Convertible Preferred Stock - 56,200 Series G Convertible Preferred Stock 71,734 - Series H Convertible Preferred Stock 53,440 - Total 204,012 170,287

Note 15 - Commitments

Note 15 - Commitments	3 Months Ended
	Mar. 31, 2018
Notes to Financial Statements
Commitments Disclosure [Text Block]	Note 1 5 . Commitments 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 2023. one fifteen not not March 31, 2018, Remainder of 2018 $ 6,326,739 2019 6,582,121 2020 4,297,526 2021 2,401,804 2022 1,172,735 Thereafter 462,033 Total $ 21,242,958 Rent expenses were as follows: Three Months Ended March 31, 201 8 201 7 Points of Presence $ 2,217,640 $ 2,106,103 Corporate offices 59,673 81,524 Other 2,37,290 97,256 Total $ 2,514,603 $ 2,284,883 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 October 2017, January 1, 2018 December 31, 2024 five December 31, 2024. $183,256 2018 2.5% $213,422 2024. Capital Lease Obligations The Company has entered into capital leases to acquire property and equipment expiring through August 2020. March 31, 2018, Total Capital lease obligation: Remainder of 2018 $ 235,122 2019 274,230 2020 186,102 Subtotal 695,454 Less: Interest Expense (72,767 ) Total $ 622,687 Total Capital lease obligation: Current $ 258,209 Long-term 364,478 Total $ 622,687

Note 16 - Subsequent Events

Note 16 - Subsequent Events	3 Months Ended
	Mar. 31, 2018
Notes to Financial Statements
Subsequent Events [Text Block]	Note 1 6 - Subsequent Events Effective April 15, 2018, second October 16, 2014 6.1 June 30, 2018 ( $6,500,000 June 30, 2018 $6,500,000 $3,000,000

Significant Accounting Policies

Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2018
Accounting Policies [Abstract]
Basis of Accounting, Policy [Policy Text Block]	Basis of Presentation. 10 10 X not March 31, 2018 three March 31, 2018 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 December 31, 2017. 10 December 31, 2017, 10
Stockholders' Equity, Policy [Policy Text Block]	Retroactive Adjustment for Reverse Stock Split. September 29, 2017, one seventy-five
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, 2018, $5.1 $250,000.
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block]	Intrinsic Value of Stock Options and Warrants
New Accounting Pronouncements, Policy [Policy Text Block]	Recent Accounting Pronouncements May 2014 , No. 2014 09 2014 09 ” 2014 19 one 606, 606” 606 606 January 1, 2018 13, Revenues
Reclassification, Policy [Policy Text Block]	Reclassifications. no
Subsequent Events, Policy [Policy Text Block]	Subsequent Events

Note 4 - Discontinued Operati24

Note 4 - Discontinued Operations (Tables)	3 Months Ended
	Mar. 31, 2018
Notes Tables
Discontinued Operation, Schedule of Amounts Recognized in Balance Sheet [Table Text Block]	March 31, 201 8 December 31, 201 7 Liabilities: Accrued expenses - leases $ 1,011,526 $ 1,029,022 Total Current Liabilities $ 1,011,526 $ 1,029,022

Note 5 - Property and Equipme25

Note 5 - Property and Equipment, Net (Tables)	3 Months Ended
	Mar. 31, 2018
Notes Tables
Property, Plant and Equipment [Table Text Block]	March 31, 201 8 December 31, 201 7 Network and base station equipment $ 43,954,530 $ 43,573,869 Customer premise equipment 35,628,144 34,996,202 Information technology 4,882,523 4,881,332 Furniture, fixtures and other 1,715,524 1,715,524 Leasehold improvements 1,516,039 1,651,300 Accrual – equipment received not invoiced 278,905 605,646 87,975,665 87,423,873 Less: accumulated depreciation 75,279,275 73,992,893 Property and equipment, net $ 12,696,390 $ 13,430,980
Schedule of Capital Leased Assets [Table Text Block]	March 31, 201 8 December 31, 201 7 Network and base station equipment $ 2,629,526 $ 2,629,526 Customer premise equipment 1,387,104 1,269,373 Information technology 1,860,028 1,860,028 5,876,658 5,758,927 Less: accumulated depreciation 4,811,407 4,708,697 Property acquired through capital leases, net $ 1,065,251 $ 1,050,230

Note 6 - Goodwill and Intangi26

Note 6 - Goodwill and Intangible Assets, Net (Tables)	3 Months Ended
	Mar. 31, 2018
Notes Tables
Schedule of Intangible Assets and Goodwill [Table Text Block]	March 31, 201 8 December 31, 201 7 Goodwill $ 1,674,281 $ 1,674,281 Backhaul agreement 3,837,783 3,837,783 Less: accumulated amortization 2,665,127 2,345,312 Backhaul agreement, net 1,172,656 1,492,471 FCC licenses 750,000 750,000 Intangible assets, net $ 1,922,656 $ 2,242,471
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block]	Remainder of 2018 959,446 2019 213,210 Total $ 1,172,656

Note 7 - Accrued Expenses (Tabl

Note 7 - Accrued Expenses (Tables)	3 Months Ended
	Mar. 31, 2018
Notes Tables
Schedule of Accrued Liabilities [Table Text Block]	March 31, 201 8 December 31, 201 7 Payroll and related $ 564,017 $ 515,448 Professional services 163,680 318,979 Other 138,208 279,374 Property and equipment 278,905 320,043 Network 175,459 188,192 Total $ 1,320,269 $ 1,622,036

Note 8 - Other Long-term Liab28

Note 8 - Other Long-term Liabilities (Tables)	3 Months Ended
	Mar. 31, 2018
Notes Tables
Other Liabilities [Table Text Block]	March 31, 201 8 December 31, 201 7 Deferred rent $ 399,896 $ 417,605 Deferred taxes 336,598 336,598 Total $ 736,494 $ 754,203

Note 9 - Long-term Debt (Tables

Note 9 - Long-term Debt (Tables)	3 Months Ended
	Mar. 31, 2018
Notes Tables
Schedule of Long-term Debt Instruments [Table Text Block]	March 31, 201 8 December 31, 201 7 Principal $ 35,000,758 $ 34,657,987 Unamortized debt discount (598,963 ) (789,287 ) Total $ 34,401,795 $ 33,868,700

Note 10 - Stock Options and W30

Note 10 - Stock Options and Warrants (Tables)	3 Months Ended
	Mar. 31, 2018
Notes Tables
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]	Three Months Ended March 31, 201 8 201 7 Risk-free interest rate - % 1.7 % Expected volatility - % 110 % Expected life (in years) - 4.2 Expected dividend yield - - Estimated forfeiture rates - % 20 % Weighted average per share grant date fair value $ - $ 9.84 Stock-based compensation $ 86,533 $ 352,281
Share-based Compensation, Stock Options, Activity [Table Text Block]	Number Weighted Average Exercise Price Outstanding as of January 1, 2018 76,601 $ 117.42 Granted during 2018 - - Cancelled /expired (163 ) 544.60 Outstanding as of March 31, 2018 76,438 $ 116.51 Exercisable as of March 31, 2018 50,055 $ 168.87

Note 14 - Net Loss Per Common31

Note 14 - Net Loss Per Common Share (Tables)	3 Months Ended
	Mar. 31, 2018
Notes Tables
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block]	Three Months Ended March 31, 201 8 201 7 Stock options 76,438 70,587 Warrants 2,400 2,400 Series D Convertible Preferred Stock - 41,100 Series F Convertible Preferred Stock - 56,200 Series G Convertible Preferred Stock 71,734 - Series H Convertible Preferred Stock 53,440 - Total 204,012 170,287

Note 15 - Commitments (Tables)

Note 15 - Commitments (Tables)	3 Months Ended
	Mar. 31, 2018
Notes Tables
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block]	Remainder of 2018 $ 6,326,739 2019 6,582,121 2020 4,297,526 2021 2,401,804 2022 1,172,735 Thereafter 462,033 Total $ 21,242,958
Schedule of Rent Expense [Table Text Block]	Three Months Ended March 31, 201 8 201 7 Points of Presence $ 2,217,640 $ 2,106,103 Corporate offices 59,673 81,524 Other 2,37,290 97,256 Total $ 2,514,603 $ 2,284,883
Schedule of Future Minimum Lease Payments for Capital Leases [Table Text Block]	Total Capital lease obligation: Remainder of 2018 $ 235,122 2019 274,230 2020 186,102 Subtotal 695,454 Less: Interest Expense (72,767 ) Total $ 622,687 Total Capital lease obligation: Current $ 258,209 Long-term 364,478 Total $ 622,687

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, Renewal Term	1 year
Asset Purchase Agreement, Cancellation Notice	60 days
Asset Purchase Agreement, Number of One Year Renewals	2

Note 2 - Liquidity, Going Con34

Note 2 - Liquidity, Going Concern, and Management Plans (Details Textual) - USD ($)	Mar. 31, 2018	Dec. 31, 2017	Mar. 31, 2017	Dec. 31, 2016
Cash and Cash Equivalents, at Carrying Value, Ending Balance	$ 5,317,120	$ 7,568,982	$ 11,068,153	$ 12,272,444
Working Capital	32,800,000
Retained Earnings (Accumulated Deficit), Ending Balance	$ (191,948,351)	$ (189,124,909)

Note 3 - Summary of Significa35

Note 3 - Summary of Significant Accounting Policies (Details Textual)	Sep. 29, 2017	Mar. 31, 2018USD ($)
Cash, Uninsured Amount		$ 5,100,000
Cash, FDIC Insured Amount		$ 250,000
Reverse Stock Split [Member]
Stockholders' Equity Note, Stock Split, Conversion Ratio	75

Note 4 - Discontinued Operati36

Note 4 - Discontinued Operations (Details Textual)	Mar. 09, 2016USD ($)	Mar. 31, 2018USD ($)
Disposal Group, Including Discontinued Operation, Change to Accrued Liabilities, Current		$ 17,496
Disposal Group, Including Discontinued Operation, Accrued Liabilities, Current		$ 1,011,526
Shared Wireless Business [Member]
Asset Purchase Agreement, Term	3 years
Asset Purchase Agreement, Number of One Year Renewals	2
Asset Purchase Agreement, Cancellation Notice	60 days
Disposal Group, Including Discontinued Operation, Assets, Total	$ 2,660,041
Disposal Group, Including Discontinued Operation, Consideration	$ 3,837,783
Asset Purchase Agreement, Renewal Term	1 year

Note 4 - Discontinued Operati37

Note 4 - Discontinued Operations - Components of Balance Sheet Accounts (Details) - USD ($)	Mar. 31, 2018	Dec. 31, 2017
Liabilities:
Disposal Group, Including Discontinued Operation, Accrued Liabilities, Current	$ 1,011,526
Total Current Liabilities	1,011,526	$ 1,029,022
Network [Member]
Liabilities:
Disposal Group, Including Discontinued Operation, Accrued Liabilities, Current	$ 1,011,526	$ 1,029,022

Note 5 - Property and Equipme38

Note 5 - Property and Equipment, Net (Details Textual) - USD ($)	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Depreciation, Total	$ 1,383,782	$ 2,015,617

Note 5 - Property and Equipme39

Note 5 - Property and Equipment, Net - Property and Equipment (Details) - USD ($)	Mar. 31, 2018	Dec. 31, 2017
Property, Plant, and Equipment, Gross	$ 87,975,665	$ 87,423,873
Less: accumulated depreciation	75,279,275	73,992,893
Property and equipment, net	12,696,390	13,430,980
Network and Base Station Equipment [Member]
Property, Plant, and Equipment, Gross	43,954,530	43,573,869
Customer Premise Equipment [Member]
Property, Plant, and Equipment, Gross	35,628,144	34,996,202
Information Technology [Member]
Property, Plant, and Equipment, Gross	4,882,523	4,881,332
Furniture and Fixtures [Member]
Property, Plant, and Equipment, Gross	1,715,524	1,715,524
Leasehold Improvements [Member]
Property, Plant, and Equipment, Gross	1,516,039	1,651,300
Equipment Received but Not Invoiced [Member]
Property, Plant, and Equipment, Gross	$ 278,905	$ 605,646

Note 5 - Property and Equipme40

Note 5 - Property and Equipment, Net - Property Acquired Through Capital Leases (Details) - USD ($)	Mar. 31, 2018	Dec. 31, 2017
Capital Leased Assets, Gross	$ 5,876,658	$ 5,758,927
Less: accumulated depreciation	4,811,407	4,708,697
Property acquired through capital leases, net	1,065,251	1,050,230
Network and Base Station Equipment [Member]
Capital Leased Assets, Gross	2,629,526	2,629,526
Customer Premise Equipment [Member]
Capital Leased Assets, Gross	1,387,104	1,269,373
Information Technology [Member]
Capital Leased Assets, Gross	$ 1,860,028	$ 1,860,028

Note 6 - Goodwill and Intangi41

Note 6 - Goodwill and Intangible Assets, Net (Details Textual) - USD ($)	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Amortization of Intangible Assets, Total	$ 319,815	$ 417,884
Time Warner Cable [Member] | Backhaul Agreement [Member]
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life	3 years

Note 6 - Goodwill and Intangi42

Note 6 - Goodwill and Intangible Assets, Net - Intangible Assets and Goodwill (Details) - USD ($)	Mar. 31, 2018	Dec. 31, 2017
Goodwill	$ 1,674,281	$ 1,674,281
Backhaul agreement, net	1,172,656
FCC licenses	750,000	750,000
Intangible assets, net	1,922,656	2,242,471
Backhaul Agreement [Member]
Backhaul agreement	3,837,783	3,837,783
Backhaul agreement, net	1,172,656	1,492,471
Customer Relationships [Member]
Less: accumulated amortization	$ 2,665,127	$ 2,345,312

Note 6 - Goodwill and Intangi43

Note 6 - Goodwill and Intangible Assets, Net - Future Amortization Expense (Details)	Mar. 31, 2018USD ($)
Remainder of 2018	$ 959,446
2,019	213,210
Total	$ 1,172,656

Note 7 - Accrued Expenses - Acc

Note 7 - Accrued Expenses - Accrued Expenses (Details) - USD ($)	Mar. 31, 2018	Dec. 31, 2017
Accrued Liabilities, Current	$ 1,320,269	$ 1,622,036
Payroll and Related [Member]
Accrued Liabilities, Current	564,017	515,448
Professional Services [Member]
Accrued Liabilities, Current	163,680	318,979
Other Accrued Liabilities [Member]
Accrued Liabilities, Current	138,208	279,374
Property and Equipment [Member]
Accrued Liabilities, Current	278,905	320,043
Network [Member]
Accrued Liabilities, Current	$ 175,459	$ 188,192

Note 8 - Other Long-term Liab45

Note 8 - Other Long-term Liabilities - Other Liabilities, Current and Noncurrent (Details) - USD ($)	Mar. 31, 2018	Dec. 31, 2017
Deferred rent	$ 399,896	$ 417,605
Deferred taxes	336,598	336,598
Total	$ 736,494	$ 754,203

Note 9 - Long-term Debt (Detail

Note 9 - Long-term Debt (Details Textual) - USD ($)	Jan. 26, 2018	Nov. 08, 2016	Oct. 31, 2014	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Debt Instrument, Unamortized Discount, Total				$ 598,963		$ 789,287
Amortization of Debt Issuance Costs and Discounts, Total				190,324	$ 290,700
Melody Business Finance LLC [Member]
Debt Conversion, Original Debt, Amount		$ 5,000,000
Melody Business Finance LLC [Member] | Series D Convertible Preferred Stock [Member]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights		53,334
Debt Conversion, Converted Instrument, Shares Issued		1,000
Towerstream Investor [Member] | Melody Business Finance LLC [Member]
Proceeds from Collection of Notes Receivable		$ 5,500,000
Melody Business Finance LLC [Member] | Secured Debt [Member]
Debt Instrument, Face Amount			$ 35,000,000
Proceeds from Issuance of Long-term Debt, Total			$ 33,950,000
Debt Instrument, Original Issue 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 Covenant, Deposit and Securities Accounts, Minimum Balance, Waived	$ 6,500,000
Debt Covenant, Deposit and Securities Accounts, Minimum Balance, Termination of Forbearance Period	$ 4,000,000
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, Total			6,406,970
Warrants and Rights Outstanding			2,463,231
Debt Issuance Costs, Gross			2,893,739
Debt Instrument, Original Issue Discount			$ 1,050,000
Debt Conversion, Original Debt, Amount		5,000,000
Debt Conversion, Original Debt, Amount, Principal Portion		4,935,834
Debt Conversion, Original Debt, Amount, Interest Portion		64,166
Interest Expense, Write-off of Unamortized Debt Discount		331,609
Gain (Loss) on Extinguishment of Debt, Total		$ (500,000)
Interest Expense, Total				1,210,697	965,439
Interest Paid, Including Capitalized Interest, Operating and Investing Activities, Total				867,926	643,626
Notes Assumed				342,771	321,813
Amortization of Debt Issuance Costs and Discounts, Total				$ 190,324	$ 290,700
Melody Business Finance LLC [Member] | Secured Debt [Member] | Warrant One [Member]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights			1,600
Class of Warrant or Right, Exercise Price of Warrants or Rights			$ 1,890
Melody Business Finance LLC [Member] | Secured Debt [Member] | Warrant Two [Member]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights			800
Class of Warrant or Right, Exercise Price of Warrants or Rights			$ 15
Melody Business Finance LLC [Member] | Secured Debt [Member] | If Rate Is Greater Than LIBOR Rate [Member]
Debt Instrument, Interest Rate, Stated Percentage			8.00%
Melody Business Finance LLC [Member] | Secured Debt [Member] | London Interbank Offered Rate (LIBOR) [Member]
Debt Instrument, Basis Spread on Variable Rate			7.00%
Debt Instrument, Reference Rate				1.88%

Note 9 - Long-term Debt - Summa

Note 9 - Long-term Debt - Summary of Long-term Debt (Details) - USD ($)	Mar. 31, 2018	Dec. 31, 2017
Principal	$ 35,000,758	$ 34,657,987
Unamortized debt discount	(598,963)	(789,287)
Total	$ 34,401,795	$ 33,868,700

Note 10 - Stock Options and W48

Note 10 - Stock Options and Warrants (Details Textual) - USD ($)	3 Months Ended
	Mar. 31, 2018	Dec. 31, 2017
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period	149
Share-based Compensation Arrangement by Share-based Payment Award, Options, Expirations in Period	14
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Remaining Contractual Term	8 years 255 days
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value	$ 0
Share Price	$ 3.50
Class of Warrant or Right, Outstanding	2,400	2,400
Class Of Warrant Or Right, Outstanding, Weighted Average Exercise Price	$ 1,265
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Outstanding, Weighted Average Remaining Contractual Terms	4 years 36 days
Warrant [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Aggregate Intrinsic Value, Outstanding	$ 0
Employee Stock Option [Member]
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Total	$ 141,635
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition	1 year 219 days

Note 10 - Stock Options and W49

Note 10 - Stock Options and Warrants - Black-Scholes Option Pricing Model Assumptions (Details) - USD ($)	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Risk-free interest rate		1.70%
Expected volatility		110.00%
Expected life (in years) (Year)		4 years 73 days
Expected dividend yield
Estimated forfeiture rates		20.00%
Weighted average per share grant date fair value (in dollars per share)		$ 9.84
Stock-based compensation	$ 86,533	$ 352,281

Note 10 - Stock Options and W50

Note 10 - Stock Options and Warrants - Option Transactions Under the Stock Option Plans (Details)	3 Months Ended
	Mar. 31, 2018$ / sharesshares
Outstanding (in shares) | shares	76,601
Outstanding, weighted average exercise price (in dollars per share) | $ / shares	$ 117.42
Granted (in shares) | shares
Granted, weighted average exercise price (in dollars per share) | $ / shares
Cancelled /expired (in shares) | shares	(163)
Cancelled /expired (in dollars per share) | $ / shares	$ 544.60
Outstanding (in shares) | shares	76,438
Outstanding, weighted average exercise price (in dollars per share) | $ / shares	$ 116.51
Exercisable (in shares) | shares	50,055
Exercisable, weighted average exercise price (in dollars per share) | $ / shares	$ 168.87

Note 11 - Employee Stock Purc51

Note 11 - Employee Stock Purchase Plan (Details Textual) - 2010 Employee Stock Purchase Plan [Member] - USD ($)	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
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	334
Stock Issued During Period, Shares, Employee Stock Purchase Plans		30
Stock Issued During Period, Value, Employee Stock Purchase Plan		$ 358
Defined Contribution Plan, Cost		$ 54

Note 13 - Revenues (Details Tex

Note 13 - Revenues (Details Textual) - USD ($)	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Revenue from Contract with Customer, Including Assessed Tax	$ 6,441,802	$ 6,572,317
Deferred Revenue, Current [Member]
Deferred Installation Fees	65,576
Other Current Assets [Member]
Deferred Commission Costs	105,550
Accounting Standards Update 2014-09 [Member]
Revenue from Contract with Customer, Including Assessed Tax	$ (65,576)

Note 14 - Net Loss Per Common53

Note 14 - Net Loss Per Common Share - Antidilutive Shares Excluded From Computation of EPS (Details) - shares	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Antidilutive Securities Excluded From Computation of Earnings Per Share, Amount (in shares)	204,012	170,287
Employee Stock Option [Member]
Antidilutive Securities Excluded From Computation of Earnings Per Share, Amount (in shares)	76,438	70,587
Warrant [Member]
Antidilutive Securities Excluded From Computation of Earnings Per Share, Amount (in shares)	2,400	2,400
Series D Convertible Preferred Stock [Member]
Antidilutive Securities Excluded From Computation of Earnings Per Share, Amount (in shares)		41,100
Series F Convertible Preferred Stock [Member]
Antidilutive Securities Excluded From Computation of Earnings Per Share, Amount (in shares)		56,200
Series G Convertible Preferred Stock [Member]
Antidilutive Securities Excluded From Computation of Earnings Per Share, Amount (in shares)	71,734
Series H Convertible Preferred Stock [Member]
Antidilutive Securities Excluded From Computation of Earnings Per Share, Amount (in shares)	53,440

Note 15 - Commitments (Details

Note 15 - Commitments (Details Textual) - USD ($)	1 Months Ended
	Oct. 31, 2017	Mar. 31, 2018
Corporate Offices [Member]
Lessee, Operating Lease, Renewal Term	5 years
Operating Lease, Annual Rent	$ 183,256
Annual Increase in Operating Lease Rent Expense	2.50%
Minimum [Member]
Lessee, Operating Lease, Renewal Term		1 year
Maximum [Member]
Lessee, Operating Lease, Renewal Term		15 years
Maximum [Member] | Corporate Offices [Member]
Operating Lease, Annual Rent	$ 213,422

Note 15 - Commitments - Total F

Note 15 - Commitments - Total Future Operating Lease Obligations (Details)	Mar. 31, 2018USD ($)
Remainder of 2018	$ 6,326,739
2,019	6,582,121
2,020	4,297,526
2,021	2,401,804
2,022	1,172,735
Thereafter	462,033
Total	$ 21,242,958

Note 15 - Commitments - Rent Ex

Note 15 - Commitments - Rent Expenses (Details) - USD ($)	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Lease and Rental Expense	$ 2,514,603	$ 2,284,883
Points of Presence [Member]
Lease and Rental Expense	2,217,640	2,106,103
Corporate Offices [Member]
Lease and Rental Expense	59,673	81,524
Other Leased Property [Member]
Lease and Rental Expense	$ 237,290	$ 97,256

Note 15 - Commitments - Total57

Note 15 - Commitments - Total Future Capital Lease Obligations (Details) - USD ($)	Mar. 31, 2018	Dec. 31, 2017
Remainder of 2018	$ 235,122
2,019	274,230
2,020	186,102
Subtotal	695,454
Less: Interest Expense	(72,767)
Total	622,687
Current	258,209	$ 382,918
Long-term	364,478	$ 305,947
Total	$ 622,687

Note 16 - Subsequent Events (De

Note 16 - Subsequent Events (Details Textual) - Melody Business Finance LLC [Member] - Secured Debt [Member] - USD ($)	Apr. 15, 2018	Jan. 26, 2018
Debt Covenant, Deposit and Securities Accounts, Minimum Balance, Waived		$ 6,500,000
Debt Covenant, Deposit and Securities Accounts, Minimum Balance, Termination of Forbearance Period		$ 4,000,000
Subsequent Event [Member]
Debt Covenant, Deposit and Securities Accounts, Minimum Balance, Waived	$ 6,500,000
Debt Covenant, Deposit and Securities Accounts, Minimum Balance, Termination of Forbearance Period	$ 3,000,000