Paltalk (PALT) 10-Q 13 Aug 15 2015 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Aug. 13, 2015
Document and Entity Information [Abstract]
Entity Registrant Name	Snap Interactive, Inc
Entity Central Index Key	1,355,839
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Type	10-Q
Document Period End Date	Jun. 30, 2015
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q2
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		39,682,826

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 1,914,728	$ 1,138,385
Credit card holdback receivable	229,160	648,759
Accounts receivable, net of allowances and reserves of $59,038 and $42,533, respectively	$ 264,341	221,128
Short term security deposits		115,104
Prepaid expense and other current assets	$ 114,961	93,542
Total current assets	2,523,190	2,216,918
Fixed assets and intangible assets, net	418,494	563,123
Notes receivable	79,800	78,520
Long term security deposits	335,659	135,000
Investments	200,000	200,000
Total assets	3,557,143	3,193,561
Current liabilities:
Accounts payable	896,914	1,074,345
Accrued expenses and other current liabilities	$ 360,644	1,062,836
Notes payable		400,000
Deferred subscription revenue	$ 1,822,872	1,952,075
Deferred advertising revenue		13,427
Total current liabilities	$ 3,080,430	$ 4,502,683
Deferred rent, net of current portion	59,904
Convertible note payable, net of discount	1,023,020
Derivative liabilities	1,703,425	$ 23,425
Capital lease obligations, net of current portion	113,676	149,055
Total liabilities	$ 5,980,455	$ 4,675,163
Commitments and Contingencies
Stockholders' equity (deficit):
Preferred stock, $0.001 par value, 10,000,000 shares authorized, none issued and outstanding
Common stock, $0.001 par value, 100,000,000 shares authorized, 50,007,826 and 49,507,826 shares issued, respectively, and 39,682,826 and 39,182,826 shares outstanding, respectively	$ 39,683	$ 39,183
Additional paid-in capital	12,394,444	11,858,489
Accumulated deficit	(14,857,439)	(13,379,274)
Total stockholders' equity (deficit)	(2,423,312)	(1,481,602)
Total liabilities and stockholders' equity (deficit)	$ 3,557,143	$ 3,193,561

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Balance Sheets [Abstract]
Allowances and reserves on accounts receivables	$ 59,038	$ 42,533
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, shares issued
Preferred stock, shares outstanding
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	50,007,826	49,507,826
Common stock, shares outstanding	39,682,826	39,182,826

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Revenues:
Subscription revenue	$ 3,075,868	$ 3,151,002	$ 6,205,178	$ 6,290,022
Advertising revenue	112,671	299,008	169,444	452,341
Total revenues	3,188,539	3,450,010	6,374,622	6,742,363
Costs and expenses:
Programming, hosting and technology expense	477,486	669,795	1,004,433	1,612,206
Compensation expense	777,116	864,859	1,513,696	1,634,262
Professional fees	176,728	262,876	411,361	513,031
Advertising and marketing expense	1,338,070	1,110,726	3,064,167	2,582,937
General and administrative expense	657,514	795,854	1,602,115	1,659,272
Total costs and expenses	3,426,914	3,704,110	7,595,772	8,001,708
Loss from operations	(238,375)	(254,100)	(1,221,150)	(1,259,345)
Interest expense, net	(430,611)	$ (5,578)	(667,015)	(3,705)
Change in fair value of derivative liabilities	410,000		410,000	70,275
Loss before provision for income taxes	$ (258,986)	$ (259,678)	$ (1,478,165)	$ (1,192,775)
Provision for income taxes
Net loss	$ (258,986)	$ (259,678)	$ (1,478,165)	$ (1,192,775)
Net loss per share of common stock:
Basic and diluted	$ (0.01)	$ (0.01)	$ (0.04)	$ (0.03)
Weighted average number of shares of common stock used in calculating net loss per share of common stock:
Basic and diluted	39,682,826	39,152,713	39,550,411	39,155,340

Condensed Consolidated Stateme5

Condensed Consolidated Statement of Changes in Stockholders' Equity (Deficit) (Unaudited) - 6 months ended Jun. 30, 2015 - USD ($)	Total	Common Stock	Additional Paid-in Capital	Accumulated Deficit
Balance at Dec. 31, 2014	$ (1,481,602)	$ 39,183	$ 11,858,489	$ (13,379,274)
Balance, shares at Dec. 31, 2014		39,182,826
Common stock issued in connection with Securities Purchase Agreement		$ 350	(350)
Common stock issued in connection with Securities Purchase Agreement, shares		350,000
Common stock issued in connection with Advisory Services Agreement	$ 30,000	$ 150	29,850
Common stock issued in connection with Advisory Services Agreement, shares		150,000
Stock-based compensation expense for restricted stock awards	436,049		436,049
Stock-based compensation expense for stock options	70,406		70,406
Net loss	(1,478,165)			$ (1,478,165)
Balance at Jun. 30, 2015	$ (2,423,312)	$ 39,683	$ 12,394,444	$ (14,857,439)
Balance, shares at Jun. 30, 2015		39,682,826

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash flows from operating activities:
Net loss	$ (1,478,165)	$ (1,192,775)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	96,007	86,873
Stock-based compensation expense	506,455	$ 494,712
Loss on disposal of fixed assets	79,628
Amortization of debt issuance cost	60,198
Amortization of debt discount	397,863
Change in fair value of derivative liabilities	$ (410,000)	$ (70,275)
Changes in operating assets and liabilities:
Restricted cash		104,893
Credit card holdback receivable	$ 419,599	(453,752)
Accounts receivable	(43,213)	$ 108,489
Security deposits	(85,555)
Prepaid expenses and other current assets	(22,210)	$ (13,303)
Accounts payable, accrued expenses and other current liabilities	(873,646)	(89,913)
Deferred rent	49,027	(19,306)
Deferred subscription revenue	(129,203)	131,996
Deferred advertising revenue	(13,427)	146,667
Net cash used in operating activities	(1,446,642)	(765,694)
Cash flows from investing activities:
Purchase of property and equipment	(37,007)	$ (3,731)
Proceeds from sale of fixed assets	$ 6,000
Purchase of non-marketable equity securities		$ (50,000)
Issuance to employees of note receivable and accrued interest	$ (1,280)
Notes receivable		$ 47,818
Net cash used in investing activities	$ (32,287)	$ (5,913)
Cash flows from financing activities:
Payments of capital lease obligations	(30,479)
(Repayment of) proceeds from promissory notes	(400,000)	$ 400,000
Payment of financing costs	(314,249)
Proceeds from issuance of promissory notes	3,000,000
Net cash provided by financing activities	2,255,272	$ 400,000
Net increase (decrease) in cash and cash equivalents	776,343	(371,607)
Balance of cash and cash equivalents at beginning of period	1,138,385	927,352
Balance of cash and cash equivalents at end of period	1,914,728	$ 555,745
Supplemental disclosure of cash flow information:
Cash paid in interest and taxes	90,000
Non-cash investing and financing activities:
Compound embedded derivative under the Note and Securities Purchase Agreement recorded as derivative liabilities (See Note 5)	1,748,000
Warrants issued under the Advisory Services Agreement as additional consideration for the Note and recorded as derivative liabilities (See Note 5)	$ 342,000
Warrants issued for debt issuance costs		$ 4,750
Common stock issued under the Advisory Services Agreement as additional consideration for the Note	$ 30,000

Organization and Basis of Prese

Organization and Basis of Presentation	6 Months Ended
	Jun. 30, 2015
Organization and Basis of Presentation [Abstract]
Organization and Basis of Presentation	1. Organization and Basis of Presentation The accompanying unaudited condensed consolidated financial statements include Snap Interactive, Inc. and its wholly owned subsidiary, Snap Mobile Limited (collectively, the “Company”). The Company was organized to operate an online dating application and a stand-alone website. The condensed consolidated financial statements included in this report have been prepared in accordance with generally accepted accounting principles in the United States of America (“GAAP”) and the rules and regulations of the Securities and Exchange Commission (the “SEC”) for interim financial information. The Company has not included certain information normally included in annual financial statements pursuant to those rules and regulations, although it believes that the disclosure included herein is adequate to make the information presented not misleading. The condensed consolidated financial statements contained herein should be read in conjunction with the Company’s audited consolidated financial statements and the related notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2014 (the “Form 10-K”), filed with the SEC on March 5, 2015. In the opinion of management, the accompanying unaudited condensed consolidated financial information contains all normal and recurring adjustments necessary to fairly present the condensed consolidated financial condition, results of operations, cash flows and changes in the stockholders’ equity (deficit) of the Company for the interim periods presented. The Company’s historical results are not necessarily indicative of future operating results and the results for the three and six months ended June 30, 2015 are not necessarily indicative of results for the year ending December 31, 2015, or for any other period.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2015
Summary of Significant Accounting Policies [Abstract]
Summary of Significant Accounting Policies	2. Summary of Significant Accounting Policies During the three and six months ended June 30, 2015, there were no material changes to the Company’s significant accounting policies from those disclosed in the Form 10-K, except for the following: Significant Estimates and Judgments The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Significant estimates relied upon in preparing these financial statements include the provision for future credit card chargebacks and subscription revenue refunds, estimates used to determine the fair value of our common stock, stock options, non-cash capital stock issuances, stock-based compensation, derivative instruments, debt discounts, conversion features and common stock warrants, collectability of our accounts receivable and the valuation allowance on deferred tax assets. Management evaluates these estimates on an ongoing basis. Changes in estimates are recorded in the period in which they become known. We base estimates on historical experience and various other assumptions that we believe to be reasonable under the circumstances. Actual results may differ from our estimates. Convertible Instruments The Company evaluates and bifurcates conversion features from the instruments containing such features and accounts for them as free standing derivative financial instruments according to certain criteria. The criteria include circumstances in which (a) the economic characteristics and risks of the embedded derivative instrument are not clearly and closely related to the economic characteristics and risks of the underlying instrument, (b) the hybrid instrument that contains both the embedded derivative instrument and the underlying instrument is not re-measured at fair value under otherwise applicable GAAP with changes in fair value reported in earnings as they occur and (c) a separate instrument with the same terms as the embedded derivative instrument would be considered a derivative instrument. An exception to this rule is when the underlying instrument is deemed to be conventional as that term is described under applicable GAAP. Common Stock Purchase Warrants and Other Derivative Financial Instruments The Company classifies common stock purchase warrants and other free standing derivative financial instruments as equity if the contracts (i) require physical settlement or net-share settlement in common stock or (ii) give the Company a choice of net-cash settlement or settlement in common stock (physical settlement or net-share settlement). The Company classifies any contracts that (i) require net-cash settlement (including a requirement to net cash settle the contract if an event occurs and if that event is outside the control of the Company), (ii) give the counterparty a choice of net-cash settlement or settlement in common stock (physical settlement or net-share settlement) or (iii) contain reset provisions as either an asset or a liability. The Company assesses classification of its freestanding derivatives at each reporting date to determine whether a change in classification between assets and liabilities is required. The Company determined that certain freestanding derivatives, including the conversion feature embedded in the 12% Senior Secured Convertible Note (the “Note”) and warrants issued under the Securities Purchase Agreement (the “Securities Purchase Agreement”), dated as of February 13, 2015, by and between the Company and Sigma Opportunity Fund II, LLC (“Sigma II”), contained reset provisions and have been classified as derivative liabilities as more fully described in Note 5. Recently Issued Accounting Pronouncements In April 2015, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2015-03 (“ASU 2015-03”), Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs

Accounts Receivable, Net

Accounts Receivable, Net	6 Months Ended
	Jun. 30, 2015
Accounts Receivable, Net [Abstract]
Accounts Receivable, Net	3. Accounts Receivable, Net Accounts receivable, net consisted of the following as of June 30, 2015 and December 31, 2014: June 30, December 31, 2015 2014 (Unaudited) Accounts receivable $ 323,379 $ 263,661 Less: reserve for future chargebacks (59,038 ) (42,533 ) Total accounts receivable, net $ 264,341 $ 221,128 Credit card payments for subscriptions and micro-transactions typically settle several days after the date of purchase. The amount of unsettled transactions due from credit card payment processors was $129,941 as of June 30, 2015, as compared to $135,535 as of December 31, 2014. The amount of accounts receivable due from Apple Inc. was $117,446, or 51.3% of the Company’s accounts receivable, as of June 30, 2015, compared to $116,427, or 52.6% of the Company’s accounts receivable, as of December 31, 2014.

Security Deposits

Security Deposits	6 Months Ended
	Jun. 30, 2015
Security Deposits [Abstract]
Security Deposits	4. Security Deposits In October 2014, the Company issued a $135,000 security deposit which replaced the previous letter of credit as part of the new capital lease obligations for equipment with Hewlett Packard Financial Services Company (“HP”). The Company recorded $135,000 under long-term security deposits on its Condensed Consolidated Balance Sheet as of June 30, 2015 and December 31, 2014. In February 2015, the Company issued $200,659 as a security deposit as part of the new office rent lease (see Note 14). The Company recorded the $200,659 under long-term security deposits on its Condensed Consolidated Balance Sheet as of June 30, 2015.

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2015
Fair Value Measurements [Abstract]
Fair Value Measurements	5. Fair Value Measurements The fair value framework under the FASB’s guidance requires the categorization of assets and liabilities into three levels based upon the assumptions used to measure the assets or liabilities. Level 1 provides the most reliable measure of fair value, whereas Level 3, if applicable, would generally require significant management judgment. The three levels for categorizing assets and liabilities under the fair value measurement requirements are as follows: ● Level 1: Fair value measurement of the asset or liability using observable inputs such as quoted prices in active markets for identical assets or liabilities; ● Level 2: Fair value measurement of the asset or liability using inputs other than quoted prices that are observable for the applicable asset or liability, either directly or indirectly, such as quoted prices for similar (as opposed to identical) assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active; and ● Level 3: Fair value measurement of the asset or liability using unobservable inputs that reflect the Company’s own assumptions regarding the applicable asset or liability. The following table summarizes the liabilities measured at fair value on a recurring basis as of June 30, 2015: Level 1 Level 2 Level 3 Total LIABILITIES: Warrant liabilities $ - $ - $ 933,425 $ 933,425 Compound embedded derivative - - 770,000 770,000 Total derivative liabilities $ - $ - $ 1,703,425 $ 1,703,425 The following table summarizes the liabilities measured at fair value on a recurring basis as of December 31, 2014: Level 1 Level 2 Level 3 Total LIABILITIES: Warrant liability $ - $ - $ 23,425 $ 23,425 Total derivative liability $ - $ - $ 23,425 $ 23,425 Level 3 liabilities are valued using unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the liabilities. For fair value measurements categorized within Level 3 of the fair value hierarchy, the Company’s accounting and finance department, who report to the Chief Financial Officer, determine its valuation policies and procedures. The development and determination of the unobservable inputs for Level 3 fair value measurements and fair value calculations are the responsibility of the Company’s accounting and finance department and are approved by the Chief Financial Officer. Level 3 Valuation Techniques: Level 3 financial liabilities consist of the derivative liabilities for which there is no current market for these securities such that the determination of fair value requires significant judgment or estimation. Changes in fair value measurements categorized within Level 3 of the fair value hierarchy are analyzed each period based on changes in estimates or assumptions and recorded as appropriate. The Company deems financial instruments which do not have fixed settlement provisions to be derivative instruments. The common stock purchase warrants and the conversion feature embedded in the Note do not have fixed settlement provisions because their exercise prices may be lowered if the Company issues securities at a lower price in the future. In addition, the Company issued warrants to purchase common stock in January 2011 in conjunction with an equity financing. In accordance with Accounting Standards Codification (“ASC”) Topic 480, Distinguishing Liabilities from Equity The Company’s derivative liabilities are carried at fair value and were classified as Level 3 in the fair value hierarchy due to the use of significant unobservable inputs. In order to calculate fair value, the Company uses a custom model developed with the assistance of an independent third-party valuation expert. This model calculates the fair value of the warrant derivative liabilities at each measurement date using a Monte-Carlo style simulation, as the value of certain features of the warrant derivative liabilities would not be captured by the standard Black-Scholes model. The following table summarizes the values of certain assumptions used by the Company’s custom model to estimate the fair value of the warrant liabilities as of June 30, 2015 and December 31, 2014: June 30, December 31, 2015 2014 (Unaudited) Stock price $ 0.17 $ 0.20 Weighted average strike price $ 0.64 $ 2.50 Remaining contractual term (years) 1.6 1.1 Volatility 100.0 % 125.7 % Risk-free rate 0.5 % 0.3 % Dividend yield 0.0 % 0.0 % The following table summarizes the values of certain assumptions used by the Company’s custom model to estimate the fair value of the conversion feature liability as of June 30, 2015: June 30, 2015 (Unaudited) Stock price $ 0.17 Strike price $ 0.20 Remaining contractual term (years) 1.6 Volatility 95.0 % Risk-free rate 0.6 % Dividend yield 0.0 % For the purposes of determining fair value, the Company used “adjusted volatility” in favor of “historical volatility” in its Monte-Carlo style simulation. Historical volatility of the Company was calculated using weekly stock prices over a look back period corresponding to the remaining contractual term of the warrants as of each valuation date. Management considered the lack of marketability of these instruments by incorporating a 10% incremental discount rate through a reduction of the volatility estimate (also known as volatility haircut) to calculate the adjusted volatility as of each valuation date. The following table sets forth a summary of the changes in the fair value of our Level 3 financial liabilities that are measured at fair value on a recurring basis: Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Beginning balance $ 2,113,426 $ 23,425 $ 23,425 $ 140,550 Fair value of derivatives issued - - 2,090,000 - Change in fair value of derivative liabilities (410,000 ) - (410,000 ) (117,125 ) Ending balance $ 1,703,426 $ 23,425 $ 1,703,425 $ 23,425

Fixed Assets and Intangible Ass

Fixed Assets and Intangible Assets, Net	6 Months Ended
	Jun. 30, 2015
Fixed Assets and Intangible Assets, Net [Abstract]
Fixed Assets and Intangible Assets, Net	6. Fixed Assets and Intangible Assets, Net Fixed assets and intangible assets, net consisted of the following at June 30, 2015 and December 31, 2014: June 30, December 31, 2015 2014 (Unaudited) Computer equipment $ 234,858 $ 256,610 Furniture and fixtures 98,160 142,856 Leasehold improvements 20,333 382,376 Software 10,968 10,968 Website domain name 124,938 124,938 Website costs 40,500 40,500 Equipment under capital leases 218,605 218,605 Total fixed assets 748,362 1,176,853 Less: Accumulated depreciation and amortization (329,868 ) (613,730 ) Total fixed assets and intangible assets, net $ 418,494 $ 563,123 Depreciation and amortization expense for the three and six months ended June 30, 2015 was $35,188 and $96,007, respectively, as compared to $43,610 and $86,873 for the three and six months ended June 30, 2014, respectively. The Company only holds fixed assets in the United States. During March 2015, the Company disposed of fixed assets, primarily consisting of leasehold improvements and furniture and fixtures, in connection with the relocation of the Company’s corporate headquarters. The net loss on the disposal of the fixed assets for the six months ended June 30, 2015 was $79,628.

Notes Receivable

Notes Receivable	6 Months Ended
	Jun. 30, 2015
Accounts Receivable, Net [Abstract]
Notes Receivable	7. Notes Receivable At June 30, 2015, the Company had notes receivable due in the aggregate amount of $79,800 from two former employees. The employees issued the notes to the Company since the Company paid taxes for stock-based compensation on these employees’ behalf in 2011 and 2012. The outstanding amounts under the notes are secured by pledged stock certificates and are due at various times during 2021-2023. Interest accrues on these notes at rates ranging from 2.80% to 3.57% per annum.

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2015
Income Taxes [Abstract]
Income Taxes	8. Income Taxes The Company had no income tax benefit or provision for the six months ended June 30, 2015 and 2014. Since the Company incurred a net loss for the six months ended June 30, 2015 and 2014, there was no income tax expense for either period. Increases in deferred tax balances have been offset by a valuation allowance and have no impact on the Company’s deferred income tax provision. In calculating the provision for income taxes on an interim basis, the Company estimates the annual effective income tax rate based upon the facts and circumstances known for the period and applies that rate to the earnings or losses for the most recent interim period. The Company’s effective income tax rate is based on expected income and statutory tax rates and takes into consideration permanent differences between financial statement income and tax return income applicable to the Company in the various jurisdictions in which the Company operates. The effect of a discrete item, such as changes in estimates, changes in enacted tax laws or rates or tax status, and unusual or infrequently occurring events, is recognized in the interim period in which the discrete item occurs. The accounting estimates used to compute the provision for income taxes may change as new events occur, additional information is obtained or as the result of new judicial interpretations or changes in tax laws or regulations.

Accrued Expenses and Other Curr

Accrued Expenses and Other Current Liabilities	6 Months Ended
	Jun. 30, 2015
Accrued Expenses and Other Current Liabilities [Abstract]
Accrued Expenses and Other Current Liabilities	9. Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consisted of the following at June 30, 2015 and December 31, 2014: June 30, December 31, 2015 2014 (Unaudited) Compensation and benefits $ 199,625 $ 360,515 Deferred rent - 10,877 Professional fees 74,707 254,807 Repayment of advertising agreement advance - 329,165 Other accrued expenses 86,312 107,472 Total accrued expenses and other current liabilities $ 360,644 $ 1,062,836

Notes and Convertible Note Paya

Notes and Convertible Note Payable	6 Months Ended
	Jun. 30, 2015
Notes and Convertible Note Payable [Abstract]
Notes and Convertible Note Payable	10. Notes and Convertible Note Payable Notes Payable On April 24, 2014, the Company issued a promissory note in the amount of $300,000 to a related party, Clifford Lerner, the Company’s President, Chief Executive Officer and the Chairman of the Company’s Board of Directors. The promissory note was originally due and payable on January 24, 2015, but was subsequently amended to extend its maturity for an additional nine months and was due and payable on October 24, 2015 and bore interest at the rate of nine percent (9%) per annum. On March 25, 2015, the promissory note was repaid in full (see Note 16). On May 20, 2014, the Company issued a promissory note in the amount of $100,000 and a warrant to purchase 25,000 shares of its common stock to Thomas Carrella. The promissory note was due and payable on February 20, 2015 and bore interest at the rate of fifteen percent (15%) per annum. The Company calculated the fair value of the warrant using Black-Scholes option pricing model and recorded $4,750 of deferred financing costs related to the issuance of the warrant that were amortized over the term of the promissory note. On February 20, 2015, the promissory note was repaid in full. Securities Purchase Agreement On February 13, 2015, pursuant to the Securities Purchase Agreement, the Company closed a private placement of debt and equity securities for aggregate gross proceeds of $3,000,000. In connection with the Securities Purchase Agreement, the Company issued Sigma II (i) 350,000 shares of the Company’s common stock, (ii) the Note in the aggregate principal amount of $3,000,000 and (iii) a warrant to purchase up to 10,500,000 shares of the Company’s common stock. The Company incurred financing costs of $314,249 in connection with the Securities Purchase Agreement that will be amortized over the term of the Note. Amortization for the deferred financing cost was $39,174 and $59,406 for the three and six months ended June 30, 2015, respectively. The Note bears interest at a rate of 12% per annum and matures on the earlier of February 13, 2017 or a change in control. During any time while the Note is outstanding, the outstanding principal balance of the Note, together with all accrued and unpaid interest, is convertible into shares of the Company’s common stock at the option of Sigma II at a conversion price of $0.20 per share, subject to certain adjustments, including reset adjustments to the conversion price if the Company issues securities at lower prices in the future, as disclosed in Note 5. The Company’s obligations under the Note are secured by a first priority lien on all of its assets and property. The Note is also secured by up to 65% of the outstanding capital stock and other equity interests of Snap Mobile Limited, the Company’s wholly owned subsidiary. Snap Mobile Limited is also a guarantor of the Note. An event of default under the Note includes, among other things, (i) the Company’s failure to pay any amounts due and payable when and as required, (ii) failure of a representation or warranty made by the Company to be correct and accurate when made, (iii) the institution of bankruptcy or similar proceedings against the Company and (iv) the Company’s inability to pay debts as they become due. The Note also requires the Company to maintain an aggregate cash balance of $1,350,000 in its bank accounts or it will be required to make partial prepayments on the Note. If the Company fails to maintain this aggregate cash balance in its bank accounts for a thirty day period, it is required to make a $125,000 prepayment on the Note. For each subsequent calendar month that the aggregate cash balance in the Company’s bank accounts does not equal or exceed $1,500,000, the Company must make an additional $125,000 prepayment on the Note. The Note contains a compound embedded derivative consisting of an embedded conversion feature and interest make-whole provisions and was accounted for as a derivative liability with an aggregate fair value of $950,000. In addition, the fair value of the warrants was $798,000 and was also required to be accounted for as a derivative liability. Both instruments were also recorded as debt discounts on the date the Note was issued. The Company is amortizing the debt discount using the effective interest method over the life of the Note, which is two years. Contractual interest expense under the Note incurred for the three and six months ended June 30, 2015 was $90,000 and $136,000, respectively. Simultaneously with the closing of the private placement, the Company entered into the Advisory Agreement with Sigma pursuant to which Sigma agreed to provide the Company with certain advisory and consulting services. In connection with the Advisory Agreement, the Company issued Sigma 150,000 shares of the Company’s common stock and a warrant to purchase up to 4,500,000 shares of the Company’s common stock. Both the shares of common stock and the warrant issued were fully vested and non-forfeitable on the date that the Advisory Agreement was entered into. Based on the terms of the Advisory Agreement and the criteria outlined in ASC 505-50, Equity-Based Payments to Non-Employees In addition to the issuance of common stock and warrants under the Advisory Agreement, the Company also agreed to pay Sigma a monthly advisory fee of $10,000, up to an aggregate limit of $240,000, subject to certain exceptions, over the life of the Note (the “Cash Payment”). If the Company were to prepay the Note or the repayment of the Note was accelerated for certain reasons, the Company would still be required to remit either a portion or the full amount of the Cash Payment. The Company also agreed to pay Sigma a cash payment of $150,000 if the Company effectuates a dilutive issuance (as defined) while the Note is outstanding (the “Dilutive Cash Payment”). The Company determined that, based on the make-whole features associated with the Cash Payment and the contingent make-whole features associated with the Dilutive Cash Payment, that these payments are required to be treated as derivative instruments in accordance with ASC 815. The fair value of these instruments was included in the value of the compound embedded derivative discussed above. Amortization expense relating to the debt discount for the three and six months ended June 30, 2015 was $264,274 and $397,863, respectively, which is included as interest expense on the accompanying Condensed Consolidated Statements of Operations.

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Jun. 30, 2015
Stock-Based Compensation and Common Stock Warrants [Abstract]
Stock-Based Compensation	11. Stock-Based Compensation The Snap Interactive, Inc. Amended and Restated 2011 Long-Term Incentive Plan (the “Plan”) permits the Company to award stock options (both incentive stock options and non-qualified stock options), stock appreciation rights, restricted stock, restricted stock units, shares of performance stock, dividend equivalent rights, and other stock-based awards and cash-based incentive awards to its employees (including an employee who is also a director or officer under certain circumstances), non-employee directors and consultants. The maximum number of shares of common stock that may be issued pursuant to awards under the Plan is 7,500,000 shares, 100% of which may be issued pursuant to incentive stock options. As of June 30, 2015, there were 3,495,272 shares available for future issuance under the Plan. Stock Options The following table summarizes the assumptions used in the Black-Scholes pricing model to estimate the fair value of the options granted during the six months ended June 30, 2015: Six Months Ended June 30, 2015 Expected volatility 182.84 % Expected life of option 6.17 Risk free interest rate 1.76 % Expected dividend yield 0 % The expected life of the options is the period of time over which employees and non-employees are expected to hold their options prior to exercise. The expected life of options has been determined using the "simplified" method as prescribed by Staff Accounting Bulletin 110, which uses the midpoint between the vesting date and the end of the contractual term. The volatility of the Company’s common stock is calculated using the Company’s historical volatilities beginning at the grant date and going back for a period of time equal to the expected life of the award. The following table summarizes stock option activity for the six months ended June 30, 2015: Number of Options Weighted Average Exercise Price Stock Options: Outstanding at December 31, 2014 3,808,253 $ 0.55 Granted 508,000 0.22 Expired or canceled, during the period – – Forfeited, during the period (286,525 ) 0.28 Outstanding at June 30, 2015 4,029,728 0.53 Exercisable at June 30, 2015 2,412,398 $ 0.68 At June 30, 2015, the aggregate intrinsic value of stock options that were outstanding and exercisable was $0 and $0, respectively. At June 30, 2014, the aggregate intrinsic value of stock options that were outstanding and exercisable was $0 and $3,150, respectively. The intrinsic value for stock options is calculated based on the exercise price of the underlying awards and the fair value of such awards as of the period-end date. The aggregate fair value for the options granted during the six months ended June 30, 2015 was $89,158. Stock-based compensation expense relating to stock options for the three and six months ended June 30, 2015 was $46,313 and $70,406, respectively, as compared to $28,379 and $76,033 for the three and six months ended June 30, 2014, respectively. The Company estimates potential forfeitures of stock awards and adjusts recorded stock-based compensation expense accordingly. The estimate of forfeitures is adjusted over the requisite service period to the extent that actual forfeitures differ, or are expected to differ, from such estimates. Changes in estimated forfeitures are recognized through a cumulative catch-up adjustment in the period of change and will also impact the amount of stock-based compensation expense that is recognized in future periods. At June 30, 2015, there was $419,557 of total unrecognized compensation expense related to stock options, which is expected to be recognized over a weighted average period of 3.23 years. Non-employee stock option activity described below is also included in the stock option activity summarized on the previous table. The following table summarizes non-employee stock option activity for the six months ended June 30, 2015: Number of Options Weighted Average Exercise Price Non-Employee Stock Options: Outstanding at December 31, 2014 250,000 $ 0.81 Granted 25,000 0.20 Outstanding at June 30, 2015 275,000 0.75 Exercisable at June 30, 2015 250,000 $ 0.81 At June 30, 2015 and 2014, the aggregate intrinsic value of non-employee stock options that were outstanding and exercisable was $0 and $0, respectively. Stock-based compensation expense relating to non-employee stock options for the three and six months ended June 30, 2015 was $1,378 and $4,414, respectively, as compared to $2,401 and $3,205 for the three and six months ended June 30, 2014, respectively. The aggregate fair value for the options granted during the six months ended June 30, 2015 was $2,928. Restricted Stock Awards The following table summarizes restricted stock award activity for the six months ended June 30, 2015: Number of RSAs Weighted Average Grant Date Fair Value Restricted Stock Awards: Outstanding at December 31, 2014 10,325,000 $ 0.56 Vested – – Forfeited, during the period – – Outstanding at June 30, 2015 10,325,000 $ 0.56 On June 30, 2015, there was $3,084,580 of total unrecognized compensation expense related to unvested restricted stock awards, which is expected to be recognized over a weighted average period of 4.00 years. Stock-based compensation expense relating to restricted stock awards for the three and six months ended June 30, 2015 was $230,279 and $436,049, respectively, as compared to $243,857 and $418,679 for the three and six months ended June 30, 2014, respectively. Non-employee restricted stock award activity described below is also included in total restricted stock award activity summarized on the previous table. The following table summarizes non-employee restricted stock award activity for the six months ended June 30, 2015: Number of RSAs Weighted Average Grant Date Fair Value Non-Employee Restricted Stock Awards: Outstanding at December 31, 2014 1,075,000 $ 0.42 Vested – – Outstanding at June 30, 2015 1,075,000 $ 0.42 On June 30, 2015, there was $145,176 of total unrecognized stock-based compensation expense related to non-employee unvested restricted stock awards, which is expected to be recognized over a weighted average period of 6.86 years. Stock-based compensation expense relating to non-employee restricted stock awards for the three and six months ended June 30, 2015 was ($352) and ($22,678), respectively, as compared to $13,227 and $5,365 for the three and six months ended June 30, 2014, respectively.

Common Stock Warrants

Common Stock Warrants	6 Months Ended
	Jun. 30, 2015
Stock-Based Compensation and Common Stock Warrants [Abstract]
Common Stock Warrants	12. Common Stock Warrants Warrant Liability In January 2011, the Company completed an equity financing that raised gross proceeds of $8,500,000 from the issuance of 4,250,000 shares of common stock at a price of $2.00 per share and warrants to purchase an aggregate of 2,125,000 shares of common stock. The warrants are exercisable any time on or before January 19, 2016 and have an exercise price of $2.50 per share. The Company received $7,915,700 in net proceeds from the equity financing after deducting offering expenses of $584,300. The exercise price of the warrants and number of shares of common stock to be received upon the exercise of the warrants are subject to adjustment for reverse and forward stock splits, stock dividends, stock combinations and other similar transactions. The Company also issued warrants to purchase an aggregate of 255,000 shares of its common stock to the Company’s placement agent and advisors in January 2011 in connection with the equity financing as consideration for their services. These warrants have the same terms, including exercise price, registration rights and expiration, as the warrants issued to the investors in the equity financing. The Company has recorded a derivative liability on its Condensed Consolidated Balance Sheet at the end of each reporting period based on the estimated fair value of the warrants. The warrants are valued at the end of each reporting period with changes recorded as marked-to-market adjustment on derivative liability on the Company’s Condensed Consolidated Statements of Operations. The fair value of these warrants was $23,425 on June 30, 2015 and December 31, 2014, based on a model developed with the assistance of an independent third-party valuation expert. The gain on change in fair value of these warrants was $0 and $0 for the three months ended June 30, 2015 and 2014, respectively, and $0 and $70,275 for the six months ended June 30, 2015 and 2014, respectively, and was not presented within loss from operations. On February 13, 2015, the Company issued a warrant to each of Sigma II and Sigma to purchase up to 10,500,000 shares and 4,500,000 shares, respectively, of the Company’s common stock in connection with the issuance of the Note and the execution of the Advisory Agreement as previously disclosed in Note 10. The warrants were immediately exercisable on February 13, 2015 and expire on the earlier of (a) February 13, 2020 or (b) a change in control. The warrants have an exercise price of $0.35 per share, subject to certain adjustments, including reset adjustments to the exercise price if the Company issues securities at lower prices in the future, as disclosed in Note 5. The Company has recorded a derivative liability on its Condensed Consolidated Balance Sheet at the end of each reporting period based on the estimated fair value of the warrants. The warrants are valued at the end of each reporting period with changes recorded as marked-to-market adjustment on derivative liability on the Company’s Condensed Consolidated Statements of Operations. The fair value of these warrants was $933,425 on June 30, 2015, based on a model developed with the assistance of an independent third-party valuation expert. Warrant Equity On May 20, 2014, the Company issued a warrant to purchase 25,000 shares of its common stock to Thomas Carrella in connection with the issuance of a promissory note. The warrant has an exercise price equal to $0.32 per share and, if unexercised, expires on May 20, 2019. The Company calculated the fair value of the warrant issued to Mr. Carrella using Black-Scholes option pricing model and recorded $4,750 of deferred financing costs related to the issuance of the warrant that was amortized over the term of the promissory note. The following table summarizes warrant activity for the six months ended June 30, 2015: Number of Warrants Weighted Average Exercise Price Stock Warrants: Outstanding at December 31, 2014 2,367,500 $ 2.48 Granted 15,000,000 0.35 Exercised - - Forfeited - - Outstanding at June 30, 2015 17,367,500 0.64 Warrants exercisable at June 30, 2015 17,367,500 $ 0.64

Net Loss Per Share of Common St

Net Loss Per Share of Common Stock	6 Months Ended
	Jun. 30, 2015
Net Loss Per Share of Common Stock [Abstract]
Net Loss Per Share of Common Stock	13. Net Loss Per Share of Common Stock Basic net loss per share of common stock is computed based upon the number of weighted average shares of common stock outstanding as defined by ASC Topic 260, Earnings Per Share. The following table provides a reconciliation of the numerator and denominator used in computing basic and diluted net loss per share of common stock: Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Numerator: Net loss $ (258,986 ) $ (259,678 ) $ (1,478,165 ) $ (1,192,775 ) Denominator: Basic shares: Weighted-average number of shares of common stock outstanding 39,682,826 39,152,713 39,550,411 39,155,340 Diluted shares: Weighted-average number of shares used to compute basic net loss per share of common stock 39,682,826 39,152,713 39,550,411 39,155,340 Weighted-average number of shares used to compute diluted net loss per share of common stock 39,682,826 39,152,713 39,550,411 39,155,340 Net loss per share of common stock: Basic $ (0.01 ) $ (0.01 ) $ (0.04 ) $ (0.03 ) Diluted $ (0.01 ) $ (0.01 ) $ (0.04 ) $ (0.03 )

Commitments

Commitments	6 Months Ended
	Jun. 30, 2015
Commitments [Abstract]
Commitments	14. Commitments Operating Lease Agreements During 2013, the Company entered into a two-year service agreement with Equinix Operating Co., Inc. (“Equinix”) whereby Equinix agreed to provide certain products and services to the Company from January 2013 to January 2015. Pursuant to the service agreement, the Company agreed to pay monthly recurring fees in the amount of $8,450 and certain nonrecurring fees in the amount of $9,700. The agreement automatically renews for additional twelve month terms unless earlier terminated by either party. Hosting expense under this lease for the three and six months ended June 30, 2015 was $46,699 and $93,248, respectively, as compared to $44,465 and $88,256 for the three and six months ended June 30, 2014, respectively. On February 4, 2015, the Company entered into a lease for office space located at 320 West 37th Street, 13th Floor, New York, NY 10018 and paid a security deposit in the amount of $200,659. The term of the lease runs until March 4, 2022. The Company’s monthly office rent payments under the lease will be approximately $25,000 per month for the first year of the term of the lease, which will escalate on an annual basis each year thereafter. Rent expense under this lease for the three and six months ended June 30, 2015 was $82,552 and $110,069, respectively. Capital Lease Agreements In October 2014, two HP lease agreements were canceled due to price negotiations and we entered into two new three-year lease agreements with HP for equipment and certain financed items. In December 2014, we cancelled our remaining operating lease agreements and entered into two additional three-year capital lease agreements with notes. The Company recognized these leases on its Condensed Consolidated Balance Sheets under capitalized lease obligations. Amortization for equipment under capital leases was $18,217 and $36,434 for the three and six months ended June 30, 2015, respectively. Other Agreements In June 2014, the Company entered into a Membership Acquisition Agreement (the “Acquisition Agreement”) with Zoosk, Inc. (“Zoosk”) whereby it received an upfront payment of $500,000 in two installments in exchange for implementing certain integration features on the Company’s AYI.com website and application that advertise Zoosk during the term of the Acquisition Agreement. The Company was entitled to a payout for each person that registered with Zoosk through the integration features during the term of the Acquisition Agreement. The term of the Acquisition Agreement commenced on August 15, 2014 and ended on November 13, 2014. In 2014, the Company earned $170,835 under the Acquisition Agreement and recorded the remaining amount of $329,165 as an advance repayment under accrued expenses and other current liabilities on its Condensed Consolidated Balance Sheet at December 31, 2014. During the six months ended June 30, 2015, the Company repaid the advance repayment.

Related Party Transactions

Related Party Transactions	6 Months Ended
	Jun. 30, 2015
Related Party Transactions [Abstract]
Related Party Transactions	15. Related Party Transactions On January 31, 2013, the Company entered into a subscription agreement with Darrell Lerner and DCL in connection with his separation from the Company. Pursuant to this agreement, the Company purchased (i) 50,000 shares of DCL’s common stock for an aggregate purchase price of $50,000 in April 2013, (ii) 25,000 shares of DCL’s common stock for an aggregate purchase price of $25,000 in July 2013, (iii) 25,000 shares of DCL’s common stock for an aggregate purchase price of $25,000 in October 2013, (iv) 25,000 shares of DCL’s common stock for an aggregate purchase price of $25,000 in January 2014, (v) 25,000 shares of DCL’s common stock for an aggregate purchase price of $25,000 in April 2014, (vi) 25,000 shares of DCL’s common stock for an aggregate price of $25,000 in July 2014 and (vii) 25,000 shares of DCL’s common stock for an aggregate price of $25,000 in September 2014. These nonmarketable securities have been recorded in “Investments” on the Company’s Condensed Consolidated Balance Sheet measured on a cost basis. On January 31, 2013, the Company entered into a consulting agreement with Darrell Lerner, pursuant to which Mr. Lerner agreed to serve as a consultant to the Company for a three-year period, beginning on February 1, 2013 (the “Effective Date”). Pursuant to the agreement, Mr. Lerner agreed to assist and advise the Company on legal, financial and other matters for which he has knowledge that pertains to the Company, as the Company reasonably requests. As compensation for his services, the Company agreed to pay Mr. Lerner a monthly fee of $25,000 for the initial two year period of the agreement and a monthly fee of $5,000 for every month thereafter. The monthly payments under the agreement are conditioned upon Mr. Lerner’s compliance with a customary confidentiality covenant covering certain information concerning the Company, a covenant not to compete during the term of the agreement and for a period of one year following the termination of the agreement, a non-disparagement covenant regarding the Company and a non-solicitation covenant for a period of six months immediately following the later of the termination of the agreement or the end of the term of the agreement. The consulting agreement is for a three-year period; provided, however, that the Company may terminate the agreement at any time without notice and may renew the term of the agreement by providing written notice to Mr. Lerner prior to or at the expiration of the term. If the Company terminates the agreement without “cause” (as defined in the agreement) prior to the three-year anniversary of the Effective Date, the Company has agreed to (i) pay Mr. Lerner the amount of the monthly fees owed to Mr. Lerner for the period from the Effective Date to the two year anniversary of the Effective Date and (ii) take all commercially reasonably actions to cause (A) 325,000 shares of restricted common stock of the Company previously granted to Mr. Lerner, (B) 600,000 shares of restricted common stock of the Company previously granted to Mr. Lerner and (iii) 150,000 shares of restricted common stock of the Company granted to Mr. Lerner pursuant to the agreement, to be vested as of the date of such termination. On April 24, 2014, the Company issued a promissory note in the amount of $300,000 to a related party, Clifford Lerner, the Company’s President, Chief Executive Officer and the Chairman of the Company’s Board of Directors. The promissory note bears interest at the rate of nine percent (9%) per annum. On March 25, 2015, the promissory note was repaid in full.

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2015
Subsequent Events [Abstract]
Subsequent Events	16. Subsequent Events Management has evaluated subsequent events or transactions occurring through the date the condensed consolidated financial statements were issued and determined that no events or transactions are required to be disclosed herein.

Summary of Significant Accoun23

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2015
Summary of Significant Accounting Policies [Abstract]
Significant Estimates and Judgments	Significant Estimates and Judgments The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Significant estimates relied upon in preparing these financial statements include the provision for future credit card chargebacks and subscription revenue refunds, estimates used to determine the fair value of our common stock, stock options, non-cash capital stock issuances, stock-based compensation, derivative instruments, debt discounts, conversion features and common stock warrants, collectability of our accounts receivable and the valuation allowance on deferred tax assets. Management evaluates these estimates on an ongoing basis. Changes in estimates are recorded in the period in which they become known. We base estimates on historical experience and various other assumptions that we believe to be reasonable under the circumstances. Actual results may differ from our estimates.
Convertible Instruments	Convertible Instruments The Company evaluates and bifurcates conversion features from the instruments containing such features and accounts for them as free standing derivative financial instruments according to certain criteria. The criteria include circumstances in which (a) the economic characteristics and risks of the embedded derivative instrument are not clearly and closely related to the economic characteristics and risks of the underlying instrument, (b) the hybrid instrument that contains both the embedded derivative instrument and the underlying instrument is not re-measured at fair value under otherwise applicable GAAP with changes in fair value reported in earnings as they occur and (c) a separate instrument with the same terms as the embedded derivative instrument would be considered a derivative instrument. An exception to this rule is when the underlying instrument is deemed to be conventional as that term is described under applicable GAAP.
Common Stock Purchase Warrants and Other Derivative Financial Instruments	Common Stock Purchase Warrants and Other Derivative Financial Instruments The Company classifies common stock purchase warrants and other free standing derivative financial instruments as equity if the contracts (i) require physical settlement or net-share settlement in common stock or (ii) give the Company a choice of net-cash settlement or settlement in common stock (physical settlement or net-share settlement). The Company classifies any contracts that (i) require net-cash settlement (including a requirement to net cash settle the contract if an event occurs and if that event is outside the control of the Company), (ii) give the counterparty a choice of net-cash settlement or settlement in common stock (physical settlement or net-share settlement) or (iii) contain reset provisions as either an asset or a liability. The Company assesses classification of its freestanding derivatives at each reporting date to determine whether a change in classification between assets and liabilities is required. The Company determined that certain freestanding derivatives, including the conversion feature embedded in the 12% Senior Secured Convertible Note (the “Note”) and warrants issued under the Securities Purchase Agreement (the “Securities Purchase Agreement”), dated as of February 13, 2015, by and between the Company and Sigma Opportunity Fund II, LLC (“Sigma II”), contained reset provisions and have been classified as derivative liabilities as more fully described in Note 5.
Recently Issued Accounting Pronouncements	Recently Issued Accounting Pronouncements In April 2015, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2015-03 (“ASU 2015-03”), Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs

Accounts Receivable, Net (Table

Accounts Receivable, Net (Tables)	6 Months Ended
	Jun. 30, 2015
Accounts Receivable, Net [Abstract]
Schedule of accounts receivable, net	June 30, December 31, 2015 2014 (Unaudited) Accounts receivable $ 323,379 $ 263,661 Less: reserve for future chargebacks (59,038 ) (42,533 ) Total accounts receivable, net $ 264,341 $ 221,128

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2015
Fair Value Measurements [Abstract]
Schedule of liabilities measured at fair value	Level 1 Level 2 Level 3 Total LIABILITIES: Warrant liabilities $ - $ - $ 933,425 $ 933,425 Compound embedded derivative - - 770,000 770,000 Total derivative liabilities $ - $ - $ 1,703,425 $ 1,703,425 The following table summarizes the liabilities measured at fair value on a recurring basis as of December 31, 2014: Level 1 Level 2 Level 3 Total LIABILITIES: Warrant liability $ - $ - $ 23,425 $ 23,425 Total derivative liability $ - $ - $ 23,425 $ 23,425
Schedule of estimated fair value of the warrant liability	June 30, December 31, 2015 2014 (Unaudited) Stock price $ 0.17 $ 0.20 Weighted average strike price $ 0.64 $ 2.50 Remaining contractual term (years) 1.6 1.1 Volatility 100.0 % 125.7 % Risk-free rate 0.5 % 0.3 % Dividend yield 0.0 % 0.0 % The following table summarizes the values of certain assumptions used by the Company’s custom model to estimate the fair value of the conversion feature liability as of June 30, 2015: June 30, 2015 (Unaudited) Stock price $ 0.17 Strike price $ 0.20 Remaining contractual term (years) 1.6 Volatility 95.0 % Risk-free rate 0.6 % Dividend yield 0.0 %
Schedule of financial liabilities that are measured at fair value on a recurring basis	Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Beginning balance $ 2,113,426 $ 23,425 $ 23,425 $ 140,550 Fair value of derivatives issued - - 2,090,000 - Change in fair value of derivative liabilities (410,000 ) - (410,000 ) (117,125 ) Ending balance $ 1,703,426 $ 23,425 $ 1,703,425 $ 23,425

Fixed Assets and Intangible A26

Fixed Assets and Intangible Assets, Net (Tables)	6 Months Ended
	Jun. 30, 2015
Fixed Assets and Intangible Assets, Net [Abstract]
Schedule of fixed assets and intangible assets	June 30, December 31, 2015 2014 (Unaudited) Computer equipment $ 234,858 $ 256,610 Furniture and fixtures 98,160 142,856 Leasehold improvements 20,333 382,376 Software 10,968 10,968 Website domain name 124,938 124,938 Website costs 40,500 40,500 Equipment under capital leases 218,605 218,605 Total fixed assets 748,362 1,176,853 Less: Accumulated depreciation and amortization (329,868 ) (613,730 ) Total fixed assets and intangible assets, net $ 418,494 $ 563,123

Accrued Expenses and Other Cu27

Accrued Expenses and Other Current Liabilities (Tables)	6 Months Ended
	Jun. 30, 2015
Accrued Expenses and Other Current Liabilities [Abstract]
Schedule of accrued expenses and other current liabilities	June 30, December 31, 2015 2014 (Unaudited) Compensation and benefits $ 199,625 $ 360,515 Deferred rent - 10,877 Professional fees 74,707 254,807 Repayment of advertising agreement advance - 329,165 Other accrued expenses 86,312 107,472 Total accrued expenses and other current liabilities $ 360,644 $ 1,062,836

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average assumptions used to estimate fair value of options granted	Six Months Ended June 30, Expected volatility 182.84 % Expected life of option 6.17 Risk free interest rate 1.76 % Expected dividend yield 0 %
Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Schedule of non-employee restricted stock award activity	Number of Options Weighted Average Exercise Price Stock Options: Outstanding at December 31, 2014 3,808,253 $ 0.55 Granted 508,000 0.22 Expired or canceled, during the period - - Forfeited, during the period (286,525 ) 0.28 Outstanding at June 30, 2015 4,029,728 0.53 Exercisable at June 30, 2015 2,412,398 $ 0.68
Non-Employee Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Schedule of non-employee restricted stock award activity	Number of Options Weighted Average Exercise Price Non-Employee Stock Options: Outstanding at December 31, 2014 250,000 $ 0.81 Granted 25,000 0.20 Outstanding at June 30, 2015 275,000 0.75 Exercisable at June 30, 2015 250,000 $ 0.81
Restricted Stock Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Schedule of restricted stock award and non-employee restricted stock award activity	Number of RSAs Weighted Average Grant Date Fair Value Restricted Stock Awards: Outstanding at December 31, 2014 10,325,000 $ 0.56 Vested - - Forfeited, during the period - - Outstanding at June 30, 2015 10,325,000 $ 0.56
Non-Employee Restricted Stock Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Schedule of restricted stock award and non-employee restricted stock award activity	Number of RSAs Weighted Average Grant Date Fair Value Non-Employee Restricted Stock Awards: Outstanding at December 31, 2014 1,075,000 $ 0.42 Vested - - Outstanding at June 30, 2015 1,075,000 $ 0.42

Common Stock Warrants (Tables)

Common Stock Warrants (Tables)	6 Months Ended
	Jun. 30, 2015
Stock-Based Compensation and Common Stock Warrants [Abstract]
Schedule of warrant activity	Number of Warrants Weighted Average Exercise Price Stock Warrants: Outstanding at December 31, 2014 2,367,500 $ 2.48 Granted 15,000,000 0.35 Exercised - - Forfeited - - Outstanding at June 30, 2015 17,367,500 0.64 Warrants exercisable at June 30, 2015 17,367,500 $ 0.64

Net Loss Per Share of Common 30

Net Loss Per Share of Common Stock (Tables)	6 Months Ended
	Jun. 30, 2015
Net Loss Per Share of Common Stock [Abstract]
Reconciliation of numerator and denominator used in computing basic and diluted net loss per common share	Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Numerator: Net loss $ (258,986 ) $ (259,678 ) $ (1,478,165 ) $ (1,192,775 ) Denominator: Basic shares: Weighted-average number of shares of common stock outstanding 39,682,826 39,152,713 39,550,411 39,155,340 Diluted shares: Weighted-average number of shares used to compute basic net loss per share of common stock 39,682,826 39,152,713 39,550,411 39,155,340 Weighted-average number of shares used to compute diluted net loss per share of common stock 39,682,826 39,152,713 39,550,411 39,155,340 Net loss per share of common stock: Basic $ (0.01 ) $ (0.01 ) $ (0.04 ) $ (0.03 ) Diluted $ (0.01 ) $ (0.01 ) $ (0.04 ) $ (0.03 )

Summary of Significant Accoun31

Summary of Significant Accounting Policies (Details)	Jun. 30, 2015
Summary of Significant Accounting Policies (Textual)
Percentage of convertible note	12.00%

Accounts Receivable, Net (Detai

Accounts Receivable, Net (Details) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Accounts Receivable, Net [Abstract]
Accounts receivable	$ 323,379	$ 263,661
Less: Reserve for future chargebacks	(59,038)	(42,533)
Total accounts receivable, net	$ 264,341	$ 221,128

Accounts Receivable, Net (Det33

Accounts Receivable, Net (Details Textual) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Accounts Receivable, Net (Textual)
Unsettled transactions from credit card payment processors	$ 129,941	$ 135,535
Accounts receivable due from Apple Inc.	$ 117,446	$ 116,427
Percentage of accounts receivable	51.30%	52.60%

Security Deposits (Details)

Security Deposits (Details) - USD ($)	Jun. 30, 2015	Feb. 28, 2015	Dec. 31, 2014	Oct. 31, 2014
Security Deposits (Textual)
Security deposits		$ 200,659
New capital lease obligations for equipment				$ 135,000
Long term security deposits	$ 335,659		$ 135,000

Fair Value Measurements (Detail

Fair Value Measurements (Details) - Recurring [Member] - USD ($)	Jun. 30, 2015	Dec. 31, 2014
LIABILITIES:
Total derivative liabilities	$ 1,703,425	$ 23,425
Warrant liabilities [Member]
LIABILITIES:
Total derivative liabilities	933,425	$ 23,425
Compound embedded derivative [Member]
LIABILITIES:
Total derivative liabilities	$ 770,000
Level 1 [Member]
LIABILITIES:
Total derivative liabilities
Level 1 [Member] | Warrant liabilities [Member]
LIABILITIES:
Total derivative liabilities
Level 1 [Member] | Compound embedded derivative [Member]
LIABILITIES:
Total derivative liabilities
Level 2 [Member]
LIABILITIES:
Total derivative liabilities
Level 2 [Member] | Warrant liabilities [Member]
LIABILITIES:
Total derivative liabilities
Level 2 [Member] | Compound embedded derivative [Member]
LIABILITIES:
Total derivative liabilities
Level 3 [Member]
LIABILITIES:
Total derivative liabilities	$ 1,703,425	$ 23,425
Level 3 [Member] | Warrant liabilities [Member]
LIABILITIES:
Total derivative liabilities	933,425	$ 23,425
Level 3 [Member] | Compound embedded derivative [Member]
LIABILITIES:
Total derivative liabilities	$ 770,000

Fair Value Measurements (Deta36

Fair Value Measurements (Details 1) - $ / shares	6 Months Ended	12 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Schedule of estimated fair value of the warrant liability
Stock price	$ 0.17
Strike price	$ 0.20
Remaining contractual term (years)	1 year 7 months 6 days
Volatility	95.00%
Risk-free rate	0.60%
Dividend yield	0.00%
Warrant liabilities [Member]
Schedule of estimated fair value of the warrant liability
Stock price	$ 0.17	$ 0.20
Strike price	$ 0.64	$ 2.50
Remaining contractual term (years)	1 year 7 months 6 days	1 year 1 month 6 days
Volatility	100.00%	125.70%
Risk-free rate	0.50%	0.30%
Dividend yield	0.00%	0.00%

Fair Value Measurements (Deta37

Fair Value Measurements (Details 2) - Recurring [Member] - Level 3 [Member] - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Fair Value, Assets and Liabilities Measured On Recurring and Nonrecurring Basis [Line Items]
Beginning balance	$ 2,113,426	$ 23,425	$ 23,425	$ 140,550
Fair value of derivatives issued			2,090,000
Change in fair value of derivative liabilities	$ (410,000)		(410,000)	$ (117,125)
Ending balance	$ 1,703,425	$ 23,425	$ 1,703,425	$ 23,425

Fair Value Measurements (Deta38

Fair Value Measurements (Details Textual)	6 Months Ended
	Jun. 30, 2015
Fair Value Measurements (Textual)
Incremental discount rate premium due to lack of marketability	10.00%

Fixed Assets and Intangible A39

Fixed Assets and Intangible Assets, Net (Details) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Schedule of fixed assets and intangible assets
Total fixed assets	$ 748,362	$ 1,176,853
Less: Accumulated depreciation and amortization	(329,868)	(613,730)
Total fixed assets and intangible assets, net	418,494	563,123
Computer equipment [Member]
Schedule of fixed assets and intangible assets
Total fixed assets	234,858	256,610
Furniture and fixtures [Member]
Schedule of fixed assets and intangible assets
Total fixed assets	98,160	142,856
Leasehold improvements [Member]
Schedule of fixed assets and intangible assets
Total fixed assets	20,333	382,376
Software [Member]
Schedule of fixed assets and intangible assets
Total fixed assets	10,968	10,968
Website domain name [Member]
Schedule of fixed assets and intangible assets
Total fixed assets	124,938	124,938
Website costs [Member]
Schedule of fixed assets and intangible assets
Total fixed assets	40,500	40,500
Equipment under capital leases [Member]
Schedule of fixed assets and intangible assets
Total fixed assets	$ 218,605	$ 218,605

Fixed Assets and Intangible A40

Fixed Assets and Intangible Assets, Net (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Fixed Assets and Intangible Assets, Net (Textual)
Depreciation and amortization expense	$ 35,188	$ 43,610	$ 96,007	$ 86,873
Loss on disposal of fixed assets			$ 79,628

Notes Receivable (Details)

Notes Receivable (Details) - USD ($)	6 Months Ended
	Jun. 30, 2015	Dec. 31, 2014
Notes Receivable (Textual)
Notes receivable	$ 79,800	$ 78,520
Maturity period of due note	At various times during 2021-2023
Notes receivable, interest rate, minimum	2.80%
Notes receivable, interest rate, maximum	3.57%

Income Taxes (Details Textual)

Income Taxes (Details Textual) - USD ($) None in scaling factor is -9223372036854775296	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Income Taxes (Textua)
Provision for income taxes

Accrued Expenses and Other Cu43

Accrued Expenses and Other Current Liabilities (Details) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Schedule of accrued expenses and other current liabilities
Compensation and benefits	$ 199,625	$ 360,515
Deferred rent		10,877
Professional fees	$ 74,707	254,807
Repayment of advertising agreement advance		329,165
Other accrued expenses	$ 86,312	107,472
Total accrued expenses and other current liabilities	$ 360,644	$ 1,062,836

Notes and Convertible Note Pa44

Notes and Convertible Note Payable (Details) - USD ($)	1 Months Ended			3 Months Ended		6 Months Ended
	Feb. 13, 2015	May. 20, 2014	Jan. 31, 2011	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Apr. 24, 2014
Notes and Convertible Note Payable (Textual)
Shares of common stock issued			4,250,000
Advisory fees						$ 240,000
Fair value of the warrants				$ 0	$ 0	0	$ 70,275
Promissory note to a related party		$ 100,000						$ 300,000
Promissory note payable interest rate		15.00%						9.00%
Promissory note issued to purchase warrant		25,000
Amortization of deferred financing cost				39,174		59,406
Amortization of debt discount				$ 264,274		397,863
Common Stock [Member]
Notes and Convertible Note Payable (Textual)
Grant date fair value						30,000
Warrant [Member]
Notes and Convertible Note Payable (Textual)
Grant date fair value						$ 342,000
Securities Purchase Agreement [Member]
Notes and Convertible Note Payable (Textual)
Debt and equity securities	$ 3,000,000
Shares of common stock issued	350,000
Aggregate principal amount	$ 3,000,000
Warrant issued to purchase common stock	10,500,000
Deferred financing cost	$ 314,249
Interest rate				12.00%		12.00%
Maturity date						Feb. 13, 2017
Conversion price				$ 0.20		$ 0.20
Convertible note, description						(i) the Company's failure to pay any amounts due and payable when and as required, (ii) failure of a representation or warranty made by the Company to be correct and accurate when made, (iii) the institution of bankruptcy or similar proceedings against the Company and (iv) the Company's inability to pay debts as they become due. The Note also requires the Company to maintain an aggregate cash balance of $1,350,000 in its bank accounts or it will be required to make partial prepayments on the Note. If the Company fails to maintain this aggregate cash balance in its bank accounts for a thirty day period, it is required to make a $125,000 prepayment on the Note. For each subsequent calendar month that the aggregate cash balance in the Company's bank accounts does not equal or exceed $1,500,000, the Company must make an additional $125,000 prepayment on the Note.
Percentage of outstanding capital stock secured						65.00%
Interest expense under convertible debt				$ 90,000		$ 136,000
Fair value of embedded conversion feature and warrants						950,000
Fair value of the warrants						$ 798,000
Advisory Agreement [Member]
Notes and Convertible Note Payable (Textual)
Warrant issued to purchase common stock						4,500,000
Shares issued for consulting services, shares						150,000
Advisory fees						$ 10,000
Derivative instruments						$ 150,000

Stock-Based Compensation (Detai

Stock-Based Compensation (Details) - 6 months ended Jun. 30, 2015 - Stock Options [Member]	Total
Weighted average assumptions used to estimate fair value of options granted
Expected volatility	182.84%
Expected life of option	6 years 2 months 1 day
Risk free interest rate	1.76%
Expected dividend yield	0.00%

Stock-Based Compensation (Det46

Stock-Based Compensation (Details 1) - 6 months ended Jun. 30, 2015 - $ / shares	Total
Stock Options [Member]
Schedule of Stock Options, Non-employee Stock Option and Unvested Stock Options
Beginning Balance, Number of Options/Warrants	3,808,253
Granted	508,000
Expired or canceled, during the period
Forfeited, during the period	(286,525)
Ending Balance, Number of Options/Warrants	4,029,728
Options/Warrants exercisable	2,412,398
Beginning Balance, Weighted Average Exercise Price	$ 0.55
Granted, Weighted Average Exercise Price	$ 0.22
Expired or canceled, during the period
Forfeited, Weighted Average Exercise Price	$ 0.28
Ending Balance, Weighted Average Exercise Price	0.53
Exercisable, Weighted Average Exercise Price	$ 0.68
Non-Employee Stock Option [Member]
Schedule of Stock Options, Non-employee Stock Option and Unvested Stock Options
Beginning Balance, Number of Options/Warrants	250,000
Granted	25,000
Ending Balance, Number of Options/Warrants	275,000
Options/Warrants exercisable	250,000
Beginning Balance, Weighted Average Exercise Price	$ 0.81
Granted, Weighted Average Exercise Price	0.20
Ending Balance, Weighted Average Exercise Price	0.75
Exercisable, Weighted Average Exercise Price	$ 0.81

Stock-Based Compensation (Det47

Stock-Based Compensation (Details 2) - 6 months ended Jun. 30, 2015 - $ / shares	Total
Restricted Stock [Member]
Schedule of restricted stock award and non-employee stock option activity
Beginning balance	10,325,000
Vested
Forfeited, during the period
Ending balance	10,325,000
Weighted average grant date fair value, Beginning balance	$ 0.56
Weighted average grant date fair value, Vested
Weighted average grant date fair value, Forfeited
Weighted average grant date fair value, Ending balance	$ 0.56
Non-Employee Restricted Stock Awards [Member]
Schedule of restricted stock award and non-employee stock option activity
Beginning balance	1,075,000
Vested
Ending balance	1,075,000
Weighted average grant date fair value, Beginning balance	$ 0.42
Weighted average grant date fair value, Vested
Weighted average grant date fair value, Ending balance	$ 0.42

Stock-Based Compensation (Det48

Stock-Based Compensation (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Stock-Based Compensation (Textual)
Stock-based compensation expense			$ 506,455	$ 494,712
Total unrecognized compensation cost related to non-vested stock options	$ 419,557		$ 419,557
Number of shares authorized under Option	7,500,000		7,500,000
Weighted average expected recognition period of compensation cost not yet recognized			3 years 2 months 23 days
Percentage of common stock delivered pursuant to incentive stock options			100.00%
Number of stock reserved for issuance	3,495,272		3,495,272
Stock Options [Member]
Stock-Based Compensation (Textual)
Stock options outstanding, intrinsic value	$ 0	$ 0	$ 0	0
Stock options exercisable, intrinsic value	0	3,150	0	3,150
Stock-based compensation expense	46,313	28,379	70,406	76,033
Aggregate fair value of option granted			89,158
Non Employee Stock Option [Member]
Stock-Based Compensation (Textual)
Stock options outstanding, intrinsic value	0	0	0	0
Stock options exercisable, intrinsic value	0	0	0	0
Stock-based compensation expense	1,378	2,401	4,414	3,205
Aggregate fair value of option granted			2,928
Restricted Stock [Member]
Stock-Based Compensation (Textual)
Stock-based compensation expense	230,279	243,857	436,049	418,679
Unvested Restricted Stock Award [Member]
Stock-Based Compensation (Textual)
Total unrecognized compensation cost related to non-vested stock options	3,084,580		$ 3,084,580
Weighted average expected recognition period of compensation cost not yet recognized			4 years
Non-employee unvested restricted stock awards [Member]
Stock-Based Compensation (Textual)
Stock-based compensation expense	(352)	$ (352)	$ 5,365	$ 13,227
Total unrecognized compensation cost related to non-vested stock options	$ 145,176		$ 145,176
Weighted average expected recognition period of compensation cost not yet recognized			6 years 10 months 10 days

Common Stock Warrants (Details)

Common Stock Warrants (Details) - 6 months ended Jun. 30, 2015 - Stock Warrant [Member] - $ / shares	Total
Schedule of warrant activity
Beginning Balance, Number of Options/Warrants	2,367,500
Granted	15,000,000
Exercised
Forfeited
Ending Balance, Number of Options/Warrants	17,367,500
Options/Warrants exercisable	17,367,500
Beginning Balance, Weighted Average Exercise Price	$ 2.48
Granted, Weighted Average Exercise Price	$ 0.35
Exercised, Weighted Average Exercise Price
Forfeited, Weighted Average Exercise Price
Ending Balance, Weighted Average Exercise Price	$ 0.64
Exercisable, Weighted Average Exercise Price	$ 0.64

Common Stock Warrants (Details

Common Stock Warrants (Details Textual) - USD ($)	1 Months Ended			3 Months Ended		6 Months Ended
	Feb. 13, 2015	May. 20, 2014	Jan. 31, 2011	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Common Stock Warrants (Textual)
Gross proceeds from equity financing			$ 8,500,000
Shares of common stock issued			4,250,000
Price per share			$ 2
Common stock shares issued for warrant exercised			2,125,000
Warrants expiration date			Jan. 19, 2016
Warrants exercise price		$ 0.32	$ 2.50
Net proceeds from issuance of warrants			$ 7,915,700
Offering cost of warrants			$ 584,300
Fair value of warrants				$ 23,425		$ 23,425		$ 23,425
Gain on change in fair value of warrants				$ 0	$ 0	$ 0	$ 70,275
Percentage of convertible note				12.00%		12.00%
Common stock, shares issued				50,007,826		50,007,826		49,507,826
Private Placement [Member]
Common Stock Warrants (Textual)
Warrant issued to purchase common stock			255,000
Sigma [Member]
Common Stock Warrants (Textual)
Warrants expiration date	Feb. 13, 2020
Warrants exercise price	$ 0.35
Warrant issued to purchase common stock	4,500,000
Sigma II [Member]
Common Stock Warrants (Textual)
Warrant issued to purchase common stock	10,500,000
Fair value of warrants				$ 933,425		$ 933,425
Thomas Carrella [Member]
Common Stock Warrants (Textual)
Warrant issued to purchase common stock		25,000
Deferred financing cost		$ 4,750

Net Loss Per Share of Common 51

Net Loss Per Share of Common Stock (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Numerator:
Net loss	$ (258,986)	$ (259,678)	$ (1,478,165)	$ (1,192,775)
Basic shares:
Weighted-average number of shares of common stock outstanding	39,682,826	39,152,713	39,550,411	39,155,340
Diluted shares:
Weighted-average number of shares used to compute basic net loss per share of common stock	39,682,826	39,152,713	39,550,411	39,155,340
Weighted-average number of shares used to compute diluted net loss per share of common stock	39,682,826	39,152,713	39,550,411	39,155,340
Net loss per share of common stock:
Basic	$ (0.01)	$ (0.01)	$ (0.04)	$ (0.03)
Diluted	$ (0.01)	$ (0.01)	$ (0.04)	$ (0.03)

Net Loss Per Share of Common 52

Net Loss Per Share of Common Stock (Details Textual) - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Stock Option and Warrants [Member]
Net Loss Per Common Share (Textual)
Shares issuable excluded from computation of diluted net loss per share	46,722,228	16,917,278	46,722,228	16,917,278

Commitments (Details)

Commitments (Details)	Feb. 04, 2015USD ($)	Oct. 31, 2014Agreement	Jun. 30, 2014USD ($)	Jun. 30, 2015USD ($)	Jun. 30, 2014USD ($)	Jun. 30, 2015USD ($)	Jun. 30, 2014USD ($)	Dec. 31, 2013USD ($)	Feb. 28, 2015USD ($)	Dec. 31, 2014USD ($)
Commitments (Textual)
Security deposit									$ 200,659
Monthly office rent payments on operating lease	$ 25,000
Expiration date of lease	Mar. 4, 2022
Acquisition Agreement [Member]
Commitments (Textual)
Upfront payment under agreements			$ 500,000
Earnings under acquisition agreement			$ 170,835
Advance repayment										$ 329,165
Office Space [Member]
Commitments (Textual)
Rent expense				$ 82,552		$ 110,069
HP [Member]
Commitments (Textual)
Number of lease agreements cancelled | Agreement		2
Description of capital lease agreements		Two HP lease agreements were canceled due to price negotiations and we entered into two new three-year lease agreements with HP for equipment and certain financed items.
Amortization for capital leases				18,217		36,434
Equinix [Member]
Commitments (Textual)
Monthly recurring fees								$ 8,450
Nonrecurring fees								$ 9,700
Hosting expense				$ 46,699	$ 44,465	$ 93,248	$ 88,256
Term of service agreement								2 years
Description of renewal of service agreement								Agreement automatically renews for additional twelve month terms unless earlier terminated by either party.

Related Party Transactions (Det

Related Party Transactions (Details) - USD ($)

1 Months Ended

Sep. 30, 2014

Jul. 31, 2014

Apr. 30, 2014

Jan. 31, 2014

Oct. 31, 2013

Jul. 31, 2013

Apr. 30, 2013

Jan. 31, 2013

Jun. 30, 2015

Dec. 31, 2014

May. 20, 2014

Apr. 24, 2014

Related Party Transactions (Textual)

Promissory note, amount

$ 1,079,178

Promissory note payable interest rate

15.00%

9.00%

Clifford Lerner

Related Party Transactions (Textual)

Promissory note, amount

$ 300,000

Promissory note payable interest rate

9.00%

Lerner [Member]

Related Party Transactions (Textual)

Consulting agreement term

3 years

Initial compensation fee

$ 25,000

Per month consulting fee

$ 5,000

Compensation agreement term

2 years

Lerner [Member] | Issuance One [Member]

Related Party Transactions (Textual)

Issuance of restricted shares of common stock

325,000

Lerner [Member] | Issuance Two [Member]

Related Party Transactions (Textual)

Issuance of restricted shares of common stock

600,000

Lerner [Member] | Issuance Three [Member]

Related Party Transactions (Textual)

Issuance of restricted shares of common stock

150,000

Dcl Ventures Inc [Member]

Related Party Transactions (Textual)

Share purchase under initial investment

25,000

25,000

25,000

25,000

25,000

25,000

50,000

Investment in DCL Ventures, Inc

$ 25,000

$ 25,000

$ 25,000

$ 25,000

$ 25,000

$ 25,000

$ 50,000