Total Sports Media (TSMI) 10-Q 14 Jan 15 2015 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Nov. 30, 2014	Jan. 14, 2015
Document And Entity Information
Entity Registrant Name	Streamtrack, Inc.
Entity Central Index Key	1442376
Document Type	10-Q
Document Period End Date	30-Nov-14
Amendment Flag	FALSE
Current Fiscal Year End Date	-23
Is Entity a Well-known Seasoned Issuer?	No
Is Entity a Voluntary Filer?	No
Is Entity's Reporting Status Current?	Yes
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		839,588,899
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2015

Consolidated_Balance_Sheets

Consolidated Balance Sheets (USD $)	Nov. 30, 2014	Aug. 31, 2014
Current assets:
Cash	$2,711	$26,590
Accounts receivable, net of allowances of $6,000 and $6,000 at November 30, 2014 and August 31, 2014, respectively	260,057	314,731
Prepaid expenses	12,754	16,858
Other current assets	12,282	10,150
Total current assets	287,804	368,329
Property and equipment, net	541,622	499,315
Other assets
Notes receivable	173,625	171,000
Other assets	45,853	45,853
Total other assets	219,478	216,853
Total assets	1,048,904	1,084,497
Current liabilities:
Accounts payable and accrued expenses	1,069,737	1,109,456
Line of credit	547,495	532,305
Derivative liability embedded within convertible note payable	5,598,325	1,022,350
Capital lease payable - in default	59,204	63,704
Related party payable	92,619	8,062
Convertible notes payable, net of discount of $10,345 and $79,328, respectively	922,485	745,445
Related party convertible notes payable, net of discount of $9,142 and $15,046, respectively	165,858	309,951
Total current liabilities	8,455,723	3,791,273
Long term liabilities
Convertible notes payable, net of discount of $45,833 and $0, respectively	14,167	10,000
Related party convertible notes payable, net of discount of $735,078 and $0, respectively	103,363	85,134
Related party payables		626,864
Total long term liabilities	117,530	721,998
Total liabilities	8,573,253	4,513,271
Stockholders' deficit:
Preferred stock; $0.0001 par value; 4,799,900 shares authorized; 0 shares issued and outstanding as of November 30, 2014 and August 31, 2014
Series A preferred stock; $0.0001 par value; 100 shares authorized; 0 shares issued and outstanding as of November 30, 2014 and August 31, 2014
Series B preferred stock; $0.0001 par value; 200,000 shares authorized; 200,000 shares issued and outstanding as of November 30, 2014 and August 31, 2014	20	20
Common stock, $0.0001 par value; 1,000,000,000 shares authorized; 443,047,233 shares issued and outstanding at November 30, 2014; 202,247,023 shares issued and 184,786,023 shares outstanding as of August 31, 2014	44,305	18,479
Additional paid-in capital	3,041,053	2,109,652
Accumulated deficit	-10,609,727	-5,556,925
Total stockholders' deficit	-7,524,349	-3,428,774
Total liabilities and stockholders' deficit	$1,048,904	$1,084,497

Consolidated_Balance_Sheets_Pa

Consolidated Balance Sheets (Parenthetical) (USD $)	Nov. 30, 2014	Aug. 31, 2014
Assets
Accounts receivable, net of allowances	$6,000	$6,000
Liabilities and stockholders' deficit
Convertible notes payable, net of discount	10,345	79,328
Related party convertible notes payable, net of debt discount	9,142	15,046
Long term liabilities
Convertible notes payable, net of discount	45,833	0
Related party convertible promissory notes, net of debt discount	$735,078	$0
Stockholders' deficit:
Preferred stock, par value	$0.00	$0.00
Preferred stock, Authorized	4,799,900	4,799,900
Preferred stock, Issued	0	0
Preferred stock, outstanding	0	0
Preferred stock series A, par value	$0.00	$0.00
Preferred stock series A, Authorized	100	100
Preferred stock series A, Issued	$0	$0
Preferred stock series A, outstanding	$0	$0
Preferred stock series B, par value	$0.00	$0.00
Preferred stock series B, Authorized	200,000	200,000
Preferred stock series B, Issued	200,000	200,000
Preferred stock series B, outstanding	200,000	200,000
Common stock, par value	$0.00	$0.00
Common stock, Authorized	1,000,000,000	1,000,000,000
Common stock, Issued	443,047,233	202,247,023
Common stock, outstanding	443,047,233	184,786,023

Consolidated_Statements_of_Ope

Consolidated Statements of Operations (USD $)	3 Months Ended
	Nov. 30, 2014	Nov. 30, 2013
Revenue
Advertising	$309,108	$515,577
Services	11,000	8,250
Total revenue	320,108	523,827
Costs of sales:
Media network	105,582	127,943
Depreciation and amortization	68,646	82,296
Colocation services	38,334	47,700
Broadcaster commissions	45,131	63,793
Other costs	2,454	73,025
Total costs of sales	260,147	394,757
Gross profit	59,961	129,070
Operating expenses
Product development	8,999	82,752
Officer compensation	48,000	120,000
Marketing and sales	40,849	42,639
Other expenses	217,359	156,569
Total operating expenses	315,207	401,960
Loss from operations	-255,246	-272,890
Other income (expense):
Other income (expense)	-26,457	2,625
Interest expense (including accretion of debt discount of $122,569 and $9,612, respectively)	-195,126	-77,683
Loss on extinguishment		111,865
Change in fair value of derivatives	-4,575,975	588,329
Total other income (expense)	-4,797,558	625,136
Income (loss) before provision for income taxes	-5,052,804	352,246
Net income (loss)	($5,052,804)	$352,246
Basic net income (loss) per common share attributable to common stockholders	($0.02)	$0.02
Diluted net income (loss) per common share attributable to common stockholders	($0.02)	$0.01
Weighted-average number of shares used in computing basic and dilutive per share amounts	294,532,882	17,592,780
Weighted-average number of shares used in computing dilutive per share amounts	294,532,882	39,119,011

Consolidated_Statements_of_Ope1

Consolidated Statements of Operations (Parenthetical) (USD $)	3 Months Ended
	Nov. 30, 2014	Nov. 30, 2013
Consolidated Statements Of Operations Parenthetical
Accretion of debt discount	$122,569	$9,612

Consolidated_Statements_of_Cas

Consolidated Statements of Cash Flows (USD $)	3 Months Ended
	Nov. 30, 2014	Nov. 30, 2013
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	($5,052,804)	$352,246
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Stock-based compensation and stock for services		1,636
Depreciation and amortization	132,317	82,860
Re-measurement of derivative liabilities	4,575,975	-588,329
Accretion of debt discount	122,569	9,612
Stock issued for services and finance fees	23,392
Amortization of finance fees		11,458
Changes in operating assets and liabilities:
Accounts receivable	54,674	-86,019
Prepaid expenses	4,104	-107,493
Note receivable	-2,625
Other current assets	-2,132	-2,625
Accounts payable and accrued expenses	23,312	131,271
Related party payables	84,557
Net cash used in operating activities	-36,661	-195,383
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property and equipment	-174,624
Net cash used in investing activities	-174,624
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of convertible promissory notes	50,000
Payments on related party notes payable	-25,284
Proceeds from line of credit	15,190	120,548
Payments on capital lease	-4,500
Proceeds from issuance of convertible promissory notes - related parties	152,000
Net (payments) advances to Factor		73,069
Net cash provided by financing activities	187,406	193,617
Change in cash and cash equivalents	-23,879	-1,766
Cash and cash equivalents, beginning of period	26,590	7,980
Cash and cash equivalents, end of period	2,711	6,214
Supplemental disclosures of cash flow information
Cash paid for interest
Cash paid for income taxes
Non cash investing and financing activities:
Issuance of common stock for conversion of debt and accrued interest	41,942	22,140
Issuance of preferred stock in satisfaction of amounts owed to officers		200,000
Acquisition of assets with issuance of common stock		42,500
Beneficial conversion feature recorded on convertible debt	828,864
Issuance of common stock for accounts payable	$63,029

Nature_of_Business

Nature of Business	3 Months Ended
	Nov. 30, 2014
Notes to Financial Statements
Note 1 - Nature of Business	StreamTrack, Inc. (the “Company”) is a digital media and technology services company. The Company provides audio and video streaming and advertising services through its RadioLoyaltyTM Platform (the “Platform”) to over 5,500 internet and terrestrial radio stations and other broadcast content providers. The Platform consists of a web-based and mobile player that manages streaming audio and video content, social media engagement, display and video ad serving within the web player and is also capable of replacing audio ads with video ads within the web player in a live or on-demand environment. The Company offers the Platform directly to its broadcasters and integrates or white labels its technologies with web-based internet radio guides and other web-based content providers. The Company is also continuing development of WatchThis™, a patent-pending technology to provide web, mobile and IP television streaming services that are e-commerce enabled within streamed content. The Company was incorporated as a Wyoming corporation on May 6, 2008.
	Basis of Presentation
	The accompanying interim financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America and the rules of the Securities and Exchange Commission (“SEC”), and should be read in conjunction with the audited financial statements and notes thereto contained in the Company’s Form 10-K for the year ended August 31, 2014. In the opinion of management, all adjustments necessary in order for the financial statements to be not misleading have been reflected herein. The results of operations for interim periods are not necessarily indicative of the results to be expected for the full year. The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries, StreamTrack Media, Inc. and RadioLoyalty, Inc., California corporations. All intercompany balances and transactions have been eliminated in consolidation. In the opinion of the Company’s management, the consolidated financial statements include all adjustments, which include only normal recurring adjustments, necessary for the fair presentation of the Company’s financial position for the periods presented.
	Going Concern
	The Company’s financial statements are prepared using accounting principles generally accepted in the United States of America applicable to a going concern, which contemplates the realization of assets and liquidation of liabilities in the normal course of business. For the three months ended November 30, 2014, the Company recorded a loss of $5,052,804 and used cash flow from operations of $36,661. As of November 30, 2014, the Company had a working capital deficit of $8,167,919, which excluding the derivative liability was $2,569,594, indicated that the Company may have difficulty continuing as a going concern.
	Management is confident but cannot guarantee that the Company will be able to raise additional capital in order to repay debts and continue operations. For the twelve months ending August 31, 2015, the Company is obligated to make payments on certain operating leases, convertible debts, and a capital lease, among others of $144,420, $1,149,770, and $63,704, respectively. The Company’s normal operating costs are also significant and include consulting fees, professional fees, product development costs and marketing and sales costs associated with management’s business plan. Since inception and through the date of these financial statements, the Company has successfully raised a significant amount of capital through debt and equity offerings. The Company anticipates launching several new product offerings and initiating certain new significant partnerships during the fiscal year ending August 31, 2015. The Company expects those products and partnerships to be profitable but notes that it will require an unknown amount of capital for product development and commercial deployment. The Company will attempt to have its potential partners pay for the some of these costs but management cannot be certain that it will succeed in implementing such arrangements. Management may potentially make a business decision to move forward, delay, or cancel certain partnerships because of the Company’s overall capital needs. Nonetheless, the ability of the Company to continue as a going concern is dependent on the successful execution of the business plan in order to reach break-even and become profitable. If the Company is unable to become profitable and sustain positive cash flow, the Company could be forced to modify its business operations or possibly cease operations entirely. Management cannot provide any assurances that the Company will be successful in its operations. The accompanying financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.
	Use of Estimates
	The preparation of financial statements in conformity with U.S. GAAP requires management to make certain estimates, judgments, and assumptions that affect the reported amounts of assets and liabilities and the related disclosures at the date of the financial statements, as well as the reported amounts of revenue and expenses during the periods presented. Estimates are used for determining the allowance for doubtful accounts, the fair value of RL’s common stock through August 31, 2013, stock-based compensation, fair values of warrants to purchase common stock, derivative liabilities and income taxes. To the extent there are material differences between these estimates, judgments, or assumptions and actual results, the Company’s financial statements could be affected. In many cases, the accounting treatment of a particular transaction is specifically dictated by U.S. GAAP and does not require management’s judgment in its application. There are also areas in which management’s judgment in selecting among available alternatives would not produce a materially different result.

Composition_of_Certain_Financi

Composition of Certain Financial Statement Captions	3 Months Ended
	Nov. 30, 2014
Notes to Financial Statements
Note 2 - Composition of Certain Financial Statement Captions	Property and Equipment
	Property and equipment consisted of the following:
		November 30,			August 31,
		2014			2014
	Software	$	1,421,856		$	1,247,232
	Servers, computers, and other related equipment		198,924			198,924
	Leasehold improvements		1,675			1,675
			1,622,455			1,447,831
	Less accumulated depreciation and amortization		(1,080,833	)		(948,516	)
	Property and equipment, net	$	541,622		$	499,315
	Depreciation expense totaled $132,317 and $82,860 for the three months ended November 30, 2014 and 2013, respectively. There have been no write-offs or impairments of property and equipment since the Company’s inception on November 30, 2011.
	Note Receivable
	At November 30, 2014, note receivable consisted of a $150,000 convertible promissory note and $23,625 in accrued interest. The note bears interest at 7% and is due from a digital content provider on or before August 28, 2016. The balance owed can be converted into either preferred stock or common stock of the digital content provider, at the Company’s election, subject to certain conditions and contingencies. The Company agreed to work with the digital content provider to make modifications to its Universal PlayerTM technology platform to better suit the digital content provider’s specific needs. The Company received a $25,000 deposit previously. The Company has received the remaining fees, which are recorded as a note receivable. The Company expects to earn additional revenue from the client beginning fiscal 2015.
	Accounts Payable and Accrued Expenses
	Accounts payable and accrued expenses consisted of the following:
		November 30,			August 31,
		2014			2014
	Accounts payable	$	770,999		$	854,207
	Accrued interest		98,627			75,736
	Accrued broadcaster commissions		79,191			60,695
	Accrued consulting fees		43,333			43,333
	Credit card		77,587			75,485
	Accounts payable and accrued expenses	$	1,069,737		$	1,109,456

Fair_Value

Fair Value	3 Months Ended
	Nov. 30, 2014
Notes to Financial Statements
Note 3 - Fair Value	Fair value is an exit price, representing the amount that would be received from the sale of an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. Fair value measurements are required to be disclosed by level within the following fair value hierarchy:
	Level 1– Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date.
	Level 2 – Inputs (other than quoted prices included in Level 1) are either directly or indirectly observable for the asset or liability through correlation with market data at the measurement date and for the duration of the instrument’s anticipated life.
	Level 3 – Inputs lack observable market data to corroborate management’s estimate of what market participants would use in pricing the asset or liability at the measurement date. Consideration is given to the risk inherent in the valuation technique and the risk inherent in the inputs to the model.
	When determining fair value, whenever possible the Company uses observable market data, and relies on unobservable inputs only when observable market data is not available. Fair-value estimates discussed herein are based upon certain market assumptions and pertinent information available to management as of November 30, 2014 and August 31, 2014. The respective carrying value of certain on-balance-sheet financial instruments approximated their fair values. These financial instruments include cash, accounts receivable, prepaids, accounts payable, accrued liabilities, notes payable, and convertible notes payable. Fair values for these items were assumed to approximate carrying values because of their short term in nature or they are payable on demand.
	The fair value of these financial assets and liabilities was determined using the following inputs:
		Fair Value Measurement Using
		Quoted Prices in Active Markets		Significant		Significant Unobservable		Total
		for Identical Instruments		Other		Inputs
		(Level 1)		Observable		(Level 3)
				Inputs
				(Level 2)
	Fair values as of November 30, 2014
	Liabilities:
	Derivative liabilities	$	-	$	5,598,325		-		5,598,325
	Total liabilities measured at fair value	$	-	$	5,598,325		-		5,598,325
	Fair values as of August 31, 2014
	Liabilities:
	Derivative liabilities		-	$	1,022,350		-		1,022,350
	Total liabilities measured at fair value	$	-	$	1,022,350		-		1,022,350
	The Company’s derivative liabilities were classified as Level 2 within the fair value hierarchy because they were valued using significant other observable inputs. At each reporting period, the Company calculates the derivative liability using the Black-Scholes pricing model taking into account variables such as expected life, risk free interest rate, expected volatility, the fair market value of the Company's common stock and the conversion price.

Asset_Acquisition_Disposition

Asset Acquisition / Disposition	3 Months Ended
	Nov. 30, 2014
Notes to Financial Statements
Note 4 - Asset Acquisition / Disposition	Asset Acquisition
	On November 21, 2013, the Company, entered into an Asset Purchase Agreement with Robot Fruit, Inc., a New York Corporation ("Robot Fruit") pursuant to which, the Company issued 850,000 shares of common stock in exchange for Robot Fruit Mobile Application Development Platform and related code and intellectual property. The Company accounted for the purchase as an asset acquisition as the assets did not meet the definition of a business. In connection with the agreement, the Company determined the fair market value of the common stock issued to be $42,500, which was recorded as software within property and equipment on the accompanying balance sheet. The Company determined the expected life of the asset acquired to be 36 months.
	Disposition
	On November 15, 2013, the Company entered into an Asset Purchase Agreement with Dane Media, LLC (the "Agreement"), a New Jersey limited liability corporation ("Dane Media") pursuant to which, for an aggregate purchase price of $150,000, Dane Media purchased from StreamTrack, its (i) Student Matching Services (as defined in the Agreement), (ii) each of (A) www.studentmatchingservice.com and (B) www.studentmatchingservices.com, and (iii) each of the (A) Call Center Agreement, and the (B) Data/List Management Agreement (as each are described in the Agreement).
	Pursuant to the Agreement, the Company shall not compete with Dane Media in call center verified education leads for a period of 12 months following execution of the Agreement. The Company will continue to operate its advertising and lead generation business in various other vertical markets. Moreover, pursuant to the Agreement, the Company forgave certain payments owed by Dane Media to the Company of $38,135 which were invoiced between September 1, 2013 and November 15, 2013. The $150,000 purchase price was paid according to the following schedule: $50,000 upon closing of the transaction; $50,000 on December 13, 2013; and $50,000 on December 31, 2013. In connection, with the transaction the Company recorded a gain on sale of $111,865. The Company did not reclass the income and expenses directly related to the disposition of the education related lead generation to discontinued operations. The Company still operates within the advertising and lead generation business services with other verticals.

Commitments_and_Contingencies

Commitments and Contingencies	3 Months Ended
	Nov. 30, 2014
Notes to Financial Statements
Note 5 - Commitments and Contingencies	On October 23, 2013, the Superior Court in the Judicial District of Danbury, Connecticut entered an order approving the stipulation of the parties (the "Stipulation") in the matter of ASC Recap LLC ("ASC") v. StreamTrack, Inc. Under the Stipulation, the Company agreed to issue, as settlement of liabilities owed by the Company to ASC in the aggregate amount of $766,288 (the "Claim Amount"), shares of common stock (the "Settlement Shares") as follows:
	(a) In one or more tranches as necessary, 3,740,000 shares of common stock (the "Initial Issuance") and an additional 200,000 shares of common stock as a settlement fee.
	(b) Through the Initial Issuance and any required additional issuances, that number of shares of common stock with an aggregate value equal to (A) the sum of
	(i) the Claim Amount and (ii) reasonable attorney fees and trade execution fees in the amount of $75,000, divided by (B) the Purchase Price (defined under the Stipulation as the market price (defined as the lowest closing bid price of the Company's common stock during the valuation period set forth in the Stipulation) less the product of the Discount (equal to 25%) and the market price. The parties reasonably estimated that the fair market value of the Settlement Shares and all other amounts to be received by ASC is equal to approximately $1,100,000.
	(c) If at any time during the valuation period the closing bid price of the Company's common stock is below 90% of the closing bid price on the day before an issuance date, the Company will immediately cause to be issued to ASC such additional shares as may be required to effect the purposes of the Stipulation.
	(d) Notwithstanding anything to the contrary in the Stipulation, the number of shares beneficially owned by ASC will not exceed 9.99% of the Company's outstanding common stock.
	In connection with the Settlement Shares, the Company relied on the exemption from registration provided by Section 3(a)(10) under the Securities Act.
	In connection with the settlement, during the three months ended November 30, 2014 the Company issued 105,663,000 shares of common stock to ASC in which gross proceeds of $86,421 were generated from the sale of the common shares. In connection with the transaction, ASC received fees of $23,392 and provided payments of $63,029 to settle outstanding vendor payables. The remaining amount on the settlement of liabilities owed by the Company to ASC is in the aggregate amount of $253,492 as of November 30, 2014. The Company cannot reasonably estimate the amount of proceeds ASC expects to receive from the sale of these shares which will be used to satisfy the liabilities. Thus, the Company accounts for the transaction as the shares are sold and the liabilities are settled. All amounts are included within accounts payable. Shares which are held by ASC at each reporting period are accounted for as issued but not outstanding.
	Legal Proceedings
	The Company is potentially subject to various legal proceedings and claims arising in the ordinary course of its business. There are no pending legal proceedings against the Company as of the date of these financial statements.

Capital_Lease

Capital Lease	3 Months Ended
	Nov. 30, 2014
Notes to Financial Statements
Note 6 - Capital Lease	The Company periodically leases computer servers and related hardware under capital lease agreements. The lease terms are typically from three to five years, depending on the type of equipment. The leased equipment typically has a bargain purchase price, and qualifies for treatment as a capital lease. For book purposes, the assets are amortized over their estimated useful lives.
	Assets under capital lease, included within property and equipment on the balance sheet, as of November 30, 2014 and August 31, 2014 were as follows:
		November 30,			August 31,
		2014			2014
	Servers	$	147,049		$	147,049
	Less: accumulated depreciation		(147,049	)		(147,049	)
	Net assets under capital lease	$	-		$	-
	On March 22, 2013, the Company reached a settlement and release agreement with IBM Credit, LLC (“IBM”) the lessor associated with the Company’s computer servers and software classified under capital lease. The balance owed to IBM as of March 22, 2013 was agreed to be $108,704. Payments of $9,000 per month are scheduled in order to satisfy this balance. The final payment due March 1, 2014 is for $9,704. As of November 30, 2014 and as of the date of these financial statements, the Company was in default of this agreement and the amount outstanding of $59,204 is reflected as a current liability on the accompanying balance sheet.

Related_Party_Transactions

Related Party Transactions	3 Months Ended
	Nov. 30, 2014
Notes to Financial Statements
Note 7 - Related Party Transactions	The Company has only been operating since November 30, 2011. As a result, the Company has an extremely limited credit history. The Company’s Chief Executive Officer, and the Chief Executive Officer of StreamTrack Media, Inc. (the “Executives”) use their personal credit cards to fund operations on a frequent basis. If the Company did not have access to these credit cards, the Company would have to rely exclusively on external sources of capital. The Company’s external sources of capital are not always readily available. Once the Company’s track record is more established and results of operations are profitable, then external sources of capital should become more readily available. As a result, in time-constrained circumstances, the use of personal credit cards is necessary until such time as the Company is able to build up its own credit-worthiness and access more readily available and significant credit.
	The related party payable as of November 30, 2014 and August 31, 2014 consists of unpaid compensation and non-interest bearing cash advances and charges on personal credit lines made on behalf of the Company by the Executives. The balances owed to the Executives are not secured and are due on demand. Interest will be charged on these balances. During the three months ended November 30, 2014, the Executives converted a significant portion of amounts due to them for unpaid compensation and other advances to long-term convertible notes payable, see Note 8 for additional information. In addition, the Executives agreed to a temporary reduction in their annual salary from $240,000 to $50,000 per annum for the period from December 1, 2014 to May 31, 2015.
	See Notes 8 and 10 for additional related party transactions.

Debt_Instruments

Debt Instruments	3 Months Ended
	Nov. 30, 2014
Notes to Financial Statements
Note 8 - Debt Instruments	Asset-Based Debt Financing
	On April 11, 2013, the Company executed a non-dilutive asset-based debt financing (the “Lender Financing”) with a third party (the “Lender”). The Lender Financing consists of a $250,000 line of credit, subsequently increased to $520,000, secured by all of the Company’s assets. The Company’s management also executed limited recourse guarantees with the Lender. Interest is payable monthly based on a floating interest rate determined based on a formula outlined in detail within the financing agreement. The Company anticipates the effective monthly interest rate charged on the outstanding balance owed to the third party will be between 2.6% and 1.1%. The Lender Financing was due and payable in full on September 30, 2013.
	On September 15, 2014, the Company executed an extension to this agreement whereby the maturity date has been extended to December 31, 2015. The Lender financing is currently capped at $520,000 which begins decreasing to $500,000 on December 31, 2014; $450,000 on March 31, 2015; $400,000 on June 30, 2015 and $300,000 by September 30, 2015.
	Convertible Notes Payable
	The Company relied on various financings from a lender since 2010 (the “Creditor”). Each note issued by the Creditor (the “Creditor Notes”) bears interest per annum at a rate of 8%, has a default interest rate of 22% and is generally payable within six months from the issuance date. In April 2014, the Creditor entered into an exchange agreement with another lender whereby they transferred their interest in the Creditor Notes to another lender. See below for additional information.
	Vendor Convertible Note
	On November 1, 2012, the Company issued a convertible note for $140,000 (the “Vendor Note”) to a former Vendor ("Vendor"). The Vendor Note was executed on November 1, 2012 and was immediately convertible into the Company’s common stock at a 50% discount to the lowest bid price as quoted on the OTC Markets for the five days prior to the conversion date. The table below details the transactions with the Vendor during the three months ended November 30, 2014.
	Vendor Note, principal balance as of August 31, 2014	$	35,300
	Conversion of Vendor Note to common stock (69,750,000) common shares issued)		(16,050	)
	Vendor Note, principal balance, November 30, 2014	$	19,250
	As a result of the fact that the number of shares the Vendor Note was convertible into was indeterminable, the Company determined a derivative liability was embedded within the Vendor Note. The Company measured the derivative liability using the input attributes disclosed below and recorded a derivative liability of $190,927 as of November 1, 2012. As a result of the valuation of the derivative liability being in excess of the value of the proceeds of the Vendor Note by $50,927, this amount was recorded within change in fair value of derivatives by the Company on November 1, 2012. The debt discount associated with the Vendor Note was immediately expensed to interest expense as a result of the Vendor Note being immediately convertible and due on demand.
	As of May 31, 2014, the conversion price of the Vendor Note is based upon a 50% discount to lowest five days bid prices of the Company’s common stock over the five-day period prior to conversion. As a result, the lower the stock price at the time the Vendor converts the Vendor Note, the more common shares the Vendor will receive. To the extent the Vendor converts the Vendor Note and then sells its common stock, the common stock may decrease due to the additional shares in the market. This could allow the Vendor to receive greater amounts of common stock upon conversion. The sale of each share of common stock further depresses the stock price. Due to the floating conversion price of the notes, the Company does not know the exact number of shares that the Vendor would be issued upon conversion. The table below details the number of shares of the Company’s common stock the Vendor would be issued, if the Vendor elected to convert the Vendor Note to common shares on each reporting date. The shares issuable upon conversion of the Vendor Note may result in substantial dilution to the interests of the Company’s other shareholders.
	Creditor #2 Convertible Promissory Notes
	In April 2014, the Creditor entered into an exchange agreement with another lender (the “Creditor #2”), whereby the Creditor transferred the Creditor's notes and accrued interest to Creditor #2. In April, the Company entered into i) a note agreement for $284,560 representing amounts transferred from the Creditor; ii) two $125,000 notes in which the proceeds were received on the same date (collectively referred to as the “Creditor #2 Notes”) with Creditor #2. The Creditor #2 Notes bears interest per annum at 10.0%, payable six months after the issuance date and is convertible on the date of issuance based upon based upon a 45% discount to lowest trading price, for the 15 trading days prior to conversion. As a result, the lower the stock price at the time the Creditor #2 converts the Creditor #2 Notes, the more common shares the Creditor #2 will receive. The table below details the transactions with the Creditor #2 during the three months ended November 30, 2014.
	Creditor #2 Notes, principal balance as of August 31, 2014	$	464,449
	Conversion of Creditor #2 Notes to common stock (82,848,210 common shares issued)		(25,892	)
	Creditor #2 Notes, principal balance as of November 30, 2014	$	438,557
	To the extent the Creditor #2 converts the Creditor #2 Notes and then sells its common stock, the market price of the common stock may decrease due to the additional shares in the market. This could allow the Creditor #2 to receive greater amounts of common stock upon conversion. The sale of each share of common stock could further depress the stock price. Due to the floating conversion price of the notes, the Company does not know the exact number of shares that the Creditor #2 would be issued upon conversion. The shares issuable upon conversion of the Creditor #2 Notes may result in substantial dilution to the interests of the Company’s other shareholders. In this regard, even though the investor may not hold shares amounting to more than 9.99% of the outstanding shares at one time, this restriction does not prevent the investor from selling some of its holdings and then receiving additional shares. In this way, the investor could sell more than the 9.99% limit while never holding more than the limit.
	During the three months ended November 30, 2014, the Company amortized the remaining discount of $62,500 to interest expense. The discount was the result of a derivative liability recorded in connection with the Creditor #2 Notes in fiscal 2014.
	Convertible Promissory Notes
	As of November 30, 2014, the Company has 18 convertible promissory notes issued between December 2011 and November 2014. The convertible promissory notes bear interest at ether 4% or 8% per annum and are due in full, including principal and interest, three years from the issuance date ranging from December 2014 to September 2017. The convertible promissory notes also include a conversion option whereby the holders may elect at any time to convert any portion or the entire balance into the Company’s common stock at conversion prices ranging from $0.0001 to $1.25. The table below details the transactions associated with the convertible promissory notes during the three months ended November 30, 2014.
	Convertible Promissory Notes, principal balance as of August 31, 2014	$	745,134
	Proceeds received from additional Convertible Promissory Notes - Related Party		152,000
	Conversion of accrued salaries and advances to Convertible Promissory Notes - Related Party		626,864
	Proceeds received from additional Convertible Promissory Notes		50,000
	Payments on Convertible Promissory Notes - Related Party		(25,284	)
	Convertible Promissory Notes, principal balance as of November 30, 2014	$	1,548,714
	Of the convertible promissory notes outstanding, $410,134 are held by related parties. These related parties consist of the Company's officers, former officers, significant shareholders or entities controlled by these individuals. As of August 31, 2014, $175,000 of these notes were included within the current portion of convertible promissory notes on the accompanying balance sheet as the note was due within one year of the balance sheet.
	For some of the convertible promissory notes, the conversion feature associated with the convertible promissory notes provide for a rate of conversion that is below market value. This conversion feature is accounted for as a beneficial conversion feature. A beneficial conversion feature was recorded and classified as a debt discount on the balance sheet at the time of issuance of each convertible promissory note with a corresponding credit to additional paid-in capital.
	In addition, six of the convertible promissory notes received warrants to purchase shares of the Company's common stock. The valuation of the stock warrants and the beneficial conversion feature associated with the issuance of convertible promissory notes utilized valuation inputs and related figures provided by a professional and independent valuation firm. The Company allocated the a portion of the proceeds received from the convertible promissory notes to the warrants using the relative fair value resulting in a debt discount to each convertible promissory note.
	The discounts are amortized over the term of the convertible promissory note using the straight line method. The amortized value for each period is recorded as an offset against the debt discount on the balance sheet, classified as interest expense - accretion in the statement of operations and as accretion of debt discount within the statement of cash flows. During the three months ended November 30, 2014, the Company recorded a beneficial conversion feature of $828,864 in connection with the issuance of $828,864 in convertible notes. Of the $828,864, $89,500 related to proceeds received from the Company's Chief Executive Officer, $62,500 in proceeds from the Chief Executive Officer of StreamTrack Media, Inc., $50,000 in proceeds from a third party, $316,758 in salary and advances due to our Chief Executive Officer converted to a convertible note payable and $310,106 in salary and advances due to StreamTrack Media, Inc.'s Chief Executive Officer converted to a convertible note payable. During the three months ended November 30, 2014 and 2013, $122,569 and $9,612 of the discounts were amortized to interest expense, respectively. As of November 30, 2014, $800,398 discounts remained which will be expensed in fiscal 2015 through 2017.

Derivatives

Derivatives	3 Months Ended
	Nov. 30, 2014
Notes to Financial Statements
Note 9 - Derivatives	Creditor Notes
	Upon the six-month anniversary (180 days) of all financings with the Creditor, the shares underlying the Creditor’s Notes were eligible to be sold under Rule 144 under the Securities Act of 1933, as amended. As a result of the conversion price not being fixed, the number of shares of the Company’s common stock that were issuable upon the conversion of the Creditor’s Notes was indeterminable until such time as the Creditor elects to convert to common stock.
	On the six-month anniversary of Creditor Notes, the Company measures and records a derivative liability using the input attributes disclosed below. On November 30, 2013, the Company re-measured the derivative liability using the weighted average input attributes below and determined the value to be $3,501 of which $478,560 was classified as “change in fair value of derivatives” and was recorded for the three months ended November 30, 2013 in the statement of operations.
		November 30,
		2013
	Expected life (in years)		0.1
	Balance of note and accrued interest outstanding	$	328,072
	Stock price	$	0.03
	Effective conversion price	$	0.0375
	Shares issuable upon conversion		8,748,587
	Risk-free interest rate		0.04	%
	Expected volatility		61.83	%
	Expected dividend yield		-
	Creditor #2 Note
	The Creditor #2 Notes were executed on April 15, 2014 and were immediately convertible into the Company’s common stock at rates ranging from 45% - 55% discount to the lowest trading price for the 15 days prior to the conversion date. As a result of the fact that the number of shares the Creditor #2 Notes was convertible into was indeterminable, the Company determined a derivative liability was embedded within the Creditor #2 Notes. The Company measured the derivative liability using the input attributes disclosed below and recorded a derivative liability of $3,158,190 as of April 15, 2014 of which $1,219,891 was included within “change in fair value of derivatives” due to a portion of the derivative liability being in excess of the $250,000 in proceeds received and $1,481,723, which included offset of $206,576 from relief of the derivative liability related to the Creditor Notes, within “Loss on extinguishment” due to extinguishment accounting on the Creditor Note transferred to Creditor #2.
	On November 30, 2014, the Company re-measured the derivative liability using the input attributes below and determined the value to be $5,425,075 of which $4,478,756 was classified as “change in fair value of derivatives” and was recorded for the three months ended November 30, 2014 in the statement of operations.
		November 30,
		2014
	Expected life (in years)		0.5
	Balance of note outstanding	$	441,743
	Stock price	$	0.0019
	Effective conversion price	$	0.0001
	Shares issuable upon conversion		3,013,930,640
	Risk-free interest rate		0.18	%
	Expected volatility		308.36	%
	Expected dividend yield		-
	Vendor Note
	The Vendor Note was executed on November 1, 2012 and was immediately convertible into the Company’s common stock at a 50% discount to the lowest bid price as quoted on the OTC Bulletin Board for the five days prior to the conversion date. As a result of the fact that the number of shares the Vendor Note was convertible into was indeterminable, the Company determined a derivative liability was embedded within the Vendor Note. The Company measured the derivative liability using the input attributes disclosed below and recorded a derivative liability of $190,927 as of November 1, 2012. As a result of the valuation of the derivative liability being in excess of the value of the proceeds of the Vendor Note by $50,927, a deemed dividend of $50,927 was recorded by the Company on November 1, 2012. The debt discount of $140,000 associated with the Vendor Note was immediately expensed to interest expense – accretion as a result of the Vendor Note being immediately convertible and due on demand.
	On November 30, 2014, the Company re-measured the derivative liability using the input attributes below and determined the value to be $173,250 of which $97,219 was classified as “change in fair value of derivatives” and was recorded for the three months ended November 30, 2014 in the statement of operations.
	On November 30, 2013, the Company re-measured the derivative liability using the weighted average input attributes below and determined the value to be $186,245 of which $108,769 was classified as “change in fair value of derivatives” and was recorded for the three months ended November 30, 2013 in the statement of operations.
		November 30,			November 30,
		2014			2013
	Expected life (in years)		0.5			0.1
	Balance of note outstanding	$	19,250		$	96,500
	Stock price	$	0.0019		$	0.03
	Effective conversion price	$	0.0002		$	0.01
	Shares issuable upon conversion		96,250,000			9,650,000
	Risk-free interest rate		0.18	%		0.18	%
	Expected volatility		380.36	%		61.83	%
	Expected dividend yield		-	%		-	%

Stockholders_Equity

Stockholders' Equity	3 Months Ended
	Nov. 30, 2014
Notes to Financial Statements
Note 10 - Stockholders' Equity	Series A Preferred Stock
	Each share of Series A Preferred Stock has voting rights equal to the voting equivalent of the common stock into which it is convertible at the time of the vote. The holders of the Series A Preferred Stock are not entitled to dividends. The Series A Preferred Stock has no preferential rights to the Company’s common stock and will share in any liquidation proceeds with the common stock on an as converted basis.
	Series B Preferred Stock
	On October 25, 2013, the Company filed a Certificate of Designation of Series B Preferred Stock (the "Series B Certificate of Designation") with the Secretary of State of Wyoming. Pursuant to the Series B Certificate of Designation, the Company designated 200,000 shares of its blank check preferred stock as Series B Preferred Stock. The Series B Preferred Stock will rank senior to the common stock, Series A Preferred Stock and any subsequently created series of preferred stock that does not expressly rank pari passu with or senior to the Series B Preferred Stock (the "Junior Stock"). The Series B Preferred Stock will not be entitled to dividends. In the event of a liquidation, the Series B Preferred Stock will be entitled to a payment of the Stated Value of $1.00 per share prior to any payments being made in respect of the Junior Stock. Each share of Series B Preferred Stock will entitle the holder to vote on all matters voted on by holders of common stock as a single class. With respect to any such vote, each share of Series B Preferred Stock will entitle the holder to cast such number of votes equal to 0.000255% of the total number of votes entitled to be cast. Effective upon the closing of a Qualified Financing, all issued and outstanding shares of Series B Preferred Stock will automatically convert into common stock in an amount determined by dividing the product of the number of shares being converted and the Stated Value by the Conversion Price. The Conversion Price will be equal to the price per share of the common stock sold under the Qualified Financing (or, if the Qualified Financing involves the sale of securities convertible into common stock, by the conversion price of such convertible securities). A "Qualified Financing" is defined as the sale by the Company in a single offering of common stock or securities convertible into common stock for gross proceeds of at least $5,000,000.
	On October 31, 2013, the Company entered into amendment, waiver and exchange agreements (the "Exchange Agreements") with Michael Hill (the Company's chief executive officer and director) and Aaron Gravitz (the Company's director). Under each Exchange Agreement, the Company issued to each of Mr. Hill and Mr. Gravitz 100,000 shares of Series B Preferred Stock in exchange for $100,000 in unpaid compensation.
	Common Stock
	Each share of common stock has the right to one vote per share. The holders of common stock are also entitled to receive dividends as and when declared by the board of directors of the Company, whenever funds are legally available, subject to the rights under any outstanding preferred stock.
	Detachable Stock Warrants
	As of November 30, 2014, the Company has a total of 362,500 detachable stock warrants outstanding. The warrants have a three-year term and are exercisable into the Company’s common stock at an exercise price of $0.41 per share.
	Stock Based Compensation
	The fair value of the Company’s Restricted Stock Units (“RSUs”) is expensed ratably over the vesting period. RSUs vest daily on a cliff basis over the service period, generally three years. The Company recorded stock-based compensation expense related to restricted stock units of $8,262 during the three months ended November 30, 2013. As of November 30, 2014, all compensation costs related to RSUs has been recognized.

Net_Income_Loss_Per_Share

Net Income (Loss) Per Share	3 Months Ended
	Nov. 30, 2014
Notes to Financial Statements
Note 11 - Net Income (Loss) Per Share	Basic net income (loss) per share is computed by dividing the net income (loss) by the weighted-average number of shares of common stock outstanding during the period.
	Diluted net loss per share is computed by giving effect to all potential shares of common stock, including convertible debt instruments, preferred stock, restricted stock unit grants and detachable stock warrants. Basic and diluted net loss per share for the three months ended November 30, 2014 was the same as the inclusion of all potential common shares outstanding would have been anti-dilutive. The following is the calculation of dilutive shares for the three months ended November 30, 2013.
			For the Three Months Ended November 30,
			2013
	Weighted-average common shares outstanding used in computing basic net income per share:			17,592,780
	Common stock equivalents:
	Creditor Notes			8,748,587
	Vendor Note			9,650,000
	Convertible promissory notes			3,127,644
	Series B Preferred Stock (A)			-
	Weighted-average common shares outstanding used in computing dilutive net income per share:			39,119,011
	The following is the reconciliation of net income used in the calculation of the dilutive income per share for the three months ended November 30, 2013.
		For the Three Months Ended November 30,
		2013
	Net income available to common stock holders:	$	352,246
	Adjustments:
	Accrued interest on convertible notes		25,823
	Accretion of discount on convertible notes		9,612
	Net income used in the calculation of the dilutive income per share:	$	387,681
	(A) The Series B Preferred Stock is only convertible on a qualified financing in excess of $5.0 million. Thus, the potential dilutive shares have not been included within the calculation.
	The warrants outstanding have been excluded from the table above as their exercise prices are greater than the average closing price of the Company's common stock for the three months ended November 30, 2013.

Subsequent_Events

Subsequent Events	3 Months Ended
	Nov. 30, 2014
Notes to Financial Statements
Note 12 - Subsequent Events	In December 2014, we entered into a $15,000 convertible note payable with our Chief Executive Officer. Under the terms of the agreement, the note incurs interest at 8%, is due in two years and convertible into common stock at $0.0001 per share.
	In December 2014, we entered into a $15,000 convertible note payable with the Chief Executive Officer of StreamTrack Media, Inc. Under the terms of the agreement, the note incurs interest at 8%, is due in two years and convertible at $0.0001 per share.
	In December 2014, we entered into a $114,350 convertible note payable, in which proceeds of $81,479 are to be received, with a third party. Under the terms of the agreement, the note incurs interest at 4%, is due in two years and convertible at current market price discounted at 10% based upon the lowest five day period prior to the date of conversion.
	In December 2014, the holder of a $150,000 convertible note payable sold the note to a third party. In connection with this sale, the Company agreed to adjust the conversion price of the convertible note payable from a fixed rate to a variable conversion price based upon 75% of the lowest closing bid price for the Company's common stock for the five trading days immediately preceding the conversion date. The Company expects to account for the transaction as an extinguishment and will record a derivative liability in connection with the new terms of the convertible note payable.
	In December 2014, the Company designated 20,000 shares of preferred stock as Series C Convertible Preferred ("Series C") stock. Each share of Series C is convertible into $150 in fair market value of the Company's common. The fair value will be equal to the average closing market price of the Company's common stock during the 10 trading days prior to the conversion of the Series C.
	Subsequent to November 30, 2014, the Company issued 122,490,000 shares of common stock in connection with $36,694 in convertible notes payable.
	Subsequent to November 30, 2014, the Company issued 127,760,000 shares of common stock in connection with the settlement of accounts payable and related fees of $135,051.

Composition_of_Certain_Financi1

Composition of Certain Financial Statement Captions (Tables)	3 Months Ended
	Nov. 30, 2014
Composition Of Certain Financial Statement Captions Tables
Property and Equipment		November 30,			August 31,
		2014			2014
	Software	$	1,421,856		$	1,247,232
	Servers, computers, and other related equipment		198,924			198,924
	Leasehold improvements		1,675			1,675
			1,622,455			1,447,831
	Less accumulated depreciation and amortization		(1,080,833	)		(948,516
	Property and equipment, net	$	541,622		$	499,315
Accounts Payable and Accrued Expenses		November 30,			August 31,
		2014			2014
	Accounts payable	$	770,999		$	854,207
	Accrued interest		98,627			75,736
	Accrued broadcaster commissions		79,191			60,695
	Accrued consulting fees		43,333			43,333
	Credit card		77,587			75,485
	Accounts payable and accrued expenses	$	1,069,737		$	1,109,456

Fair_Value_Tables

Fair Value (Tables)	3 Months Ended
	Nov. 30, 2014
Fair Value Tables
Fair Value of financial assets and liabilities		Fair Value Measurement Using
		Quoted Prices in Active Markets		Significant		Significant Unobservable		Total
		for Identical Instruments		Other		Inputs
		(Level 1)		Observable		(Level 3)
				Inputs
				(Level 2)
	Fair values as of November 30, 2014
	Liabilities:
	Derivative liabilities	$	-	$	5,598,325		-		5,598,325
	Total liabilities measured at fair value	$	-	$	5,598,325		-		5,598,325
	Fair values as of August 31, 2014
	Liabilities:
	Derivative liabilities		-	$	1,022,350		-		1,022,350
	Total liabilities measured at fair value	$	-	$	1,022,350		-		1,022,350

Capital_Lease_Tables

Capital Lease (Tables)	3 Months Ended
	Nov. 30, 2014
Capital Lease Tables
Assets under capital lease	Assets under capital lease, included within property and equipment on the balance sheet, as of November 30, 2014 and August 31, 2014 were as follows:
		November 30,			August 31,
		2014			2014
	Servers	$	147,049		$	147,049
	Less: accumulated depreciation		(147,049	)		(147,049	)
	Net assets under capital lease	$	-		$	-

Debt_Instruments_Tables

Debt Instruments (Tables)	3 Months Ended
	Nov. 30, 2014
Vendor Note [Member]
Schedule of Convertible notes	Vendor Note, principal balance as of August 31, 2014	$	35,300
	Conversion of Vendor Note to common stock (69,750,000) common shares issued)		(16,050	)
	Vendor Note, principal balance, November 30, 2014	$	19,250
Creditor Notes 1 [Member]
Schedule of Convertible notes	Creditor #2 Notes, principal balance as of August 31, 2014	$	464,449
	Conversion of Creditor #2 Notes to common stock (82,848,210 common shares issued)		(25,892	)
	Creditor #2 Notes, principal balance as of November 30, 2014	$	438,557
Convertible Promissory Note [Member]
Schedule of Convertible notes	Convertible Promissory Notes, principal balance as of August 31, 2014	$	745,134
	Proceeds received from additional Convertible Promissory Notes - Related Party		152,000
	Conversion of accrued salaries and advances to Convertible Promissory Notes - Related Party		626,864
	Proceeds received from additional Convertible Promissory Notes		50,000
	Payments on Convertible Promissory Notes - Related Party		(25,284	)
	Convertible Promissory Notes, principal balance as of November 30, 2014	$	1,548,714

Derivatives_Tables

Derivatives (Tables)	3 Months Ended
	Nov. 30, 2014
Creditor Notes 1 [Member]
Derivative Liabilities		30-Nov-13
	Expected life (in years)		0.1
	Balance of note and accrued interest outstanding	$	328,072
	Stock price	$	0.03
	Effective conversion price	$	0.0375
	Shares issuable upon conversion		8,748,587
	Risk-free interest rate		0.04	%
	Expected volatility		61.83	%
	Expected dividend yield		-
Creditor Notes 2 [Member]
Derivative Liabilities		30-Nov-14
	Expected life (in years)		0.5
	Balance of note outstanding	$	441,743
	Stock price	$	0.0019
	Effective conversion price	$	0.0001
	Shares issuable upon conversion		3,013,930,640
	Risk-free interest rate		0.18	%
	Expected volatility		308.36	%
	Expected dividend yield		-
Vendor Note [Member]
Derivative Liabilities		30-Nov-14			30-Nov-13
	Expected life (in years)		0.5			0.1
	Balance of note outstanding	$	19,250		$	96,500
	Stock price	$	0.0019		$	0.03
	Effective conversion price	$	0.0002		$	0.01
	Shares issuable upon conversion		96,250,000			9,650,000
	Risk-free interest rate		0.18	%		0.18	%
	Expected volatility		380.36	%		61.83	%
	Expected dividend yield		-	%		-	%

Net_Income_Loss_Per_Share_Tabl

Net Income (Loss) Per Share (Tables)	3 Months Ended
	Nov. 30, 2014
Net Income Loss Per Share Tables
Computation of historical basic and diluted net loss per share
			For the Three Months Ended November 30,
			2013
	Weighted-average common shares outstanding used in computing basic net income per share:			17,592,780
	Common stock equivalents:
	Creditor Notes			8,748,587
	Vendor Note			9,650,000
	Convertible promissory notes			3,127,644
	Series B Preferred Stock (A)			-
	Weighted-average common shares outstanding used in computing dilutive net income per share:			39,119,011
Reconciliation of net income		For the Three Months Ended November 30,
		2013
	Net income available to common stock holders:	$	352,246
	Adjustments:
	Accrued interest on convertible notes		25,823
	Accretion of discount on convertible notes		9,612
	Net income used in the calculation of the dilutive income per share:	$	387,681

Nature_of_Business_Details_Nar

Nature of Business (Details Narrative) (USD $)	3 Months Ended
	Nov. 30, 2014	Nov. 30, 2013
Nature Of Business Details Narrative
Net loss	($5,052,804)	$352,246
Cash flow from operations	-36,661	-195,383
Working capital deficit	8,167,919
Derivative liability	2,569,594
Obligation to make payments in terms of operating leases during next year	144,420
Obligation to make payments in terms of convertible debts during next year	1,149,770
Obligation to make payments in terms of capital lease and others during next year	$63,704

Composition_of_Certain_Financi2

Composition of Certain Financial Statement Captions (Details) (USD $)	Nov. 30, 2014	Aug. 31, 2014
Property and equipment, gross	$1,622,455	$1,447,831
Less accumulated depreciation and amortization	-1,080,833	-948,516
Property and equipment, net	541,622	499,315
Software [Member]
Property and equipment, gross	1,421,856	1,247,232
Servers computers And Other Related Equipment [Member]
Property and equipment, gross	198,924	198,924
Lease hold Improvements [Member]
Property and equipment, gross	$1,675	$1,675

Composition_of_Certain_Financi3

Composition of Certain Financial Statement Captions (Details 1) (USD $)	Nov. 30, 2014	Aug. 31, 2014
Composition Of Certain Financial Statement Captions Details 1
Accounts payable	$770,999	$854,207
Accrued interest	98,627	75,736
Accrued broadcaster Commisions	79,191	60,695
Accrued consulting fees	43,333	43,333
Credit card	77,587	75,485
Accounts payable and accrued expenses	$1,069,737	$1,109,456

Composition_of_Certain_Financi4

Composition of Certain Financial Statement Captions (Details Narrative) (USD $)	3 Months Ended
	Nov. 30, 2014	Nov. 30, 2013
Composition Of Certain Financial Statement Captions Details Narrative
Depreciation expense, total	$132,317	$82,860
Write-offs	0	0
Convertible promissory note	150,000
Accrued interest	23,625
Annual compounded interest	7.00%
Interest due from related party on	8/28/16
Deposit received	$25,000

Fair_Value_Details

Fair Value (Details) (USD $)	Nov. 30, 2014	Aug. 31, 2014
Liabilities:
Derivative liabilities	$5,598,325	$1,022,350
Total liabilities measured at fair value	5,598,325	1,022,350
Fair Value Inputs Level 1 [Member]
Liabilities:
Derivative liabilities
Total liabilities measured at fair value
Fair Value Inputs Level 2 [Member]
Liabilities:
Derivative liabilities	5,598,325	1,022,350
Total liabilities measured at fair value	5,598,325	1,022,350
Fair Value Inputs Level 3 [Member]
Liabilities:
Derivative liabilities
Total liabilities measured at fair value

Capital_Lease_Details

Capital Lease (Details) (USD $)	Nov. 30, 2014	Aug. 31, 2014
Capital Lease Details
Servers	$147,049	$147,049
Less: accumulated depreciation	-147,049	-147,049
Net assets under capital lease

Capital_Lease_Details_Narrativ

Capital Lease (Details Narrative) (USD $)	Nov. 30, 2014	Aug. 31, 2014
Capital Lease Details Narrative
Capital lease payable - in default	$59,204	$63,704

Debt_Instruments_Details

Debt Instruments (Details) (USD $)	3 Months Ended
	Nov. 30, 2014
Vendor Note [Member]
Vendor Note, principal balance	$35,300
Conversion of Vendor Note to common stock (69,750,000) common shares issued)	-16,050
Vendor Note, principal balance	19,250
Creditor Note 1 [Member]
Creditor Notes 2, principal balance	464,449
Conversion of Creditor #2 Notes to common stock (82,848,210 common shares issued)	-25,892
Creditor Notes 2, principal balance	438,557
Convertible Promissory Notes [Member]
Proceeds received from additional Convertible Promissory Notes - Related Party	152,000
Conversion of accrued salaries and advances to Convertible Promissory Notes - Related Party	626,864
Proceeds received from additional Convertible Promissory Notes	50,000
Payments on Convertible Promissory Notes - Related Party	-25,284
Convertible Promissory Notes, principal balance	$1,548,714

Debt_Instruments_Details_Narra

Debt Instruments (Details Narrative) (USD $)	3 Months Ended
	Nov. 30, 2014	Nov. 30, 2013	Aug. 31, 2014
Creditor Note 1 [Member]
Discounts to interest expense	$62,500
Convertible Promissory Notes [Member]
Current portion of convertible promissory notes			175,000
Amortized discount to interest expense		9,612
Unamortized discount to interest expense	800,398
Convertible Promissory Notes [Member]
Beneficial conversion of convertible notes	828,864
Issuance of convertible notes	828,864
Amortized discount to interest expense	$122,569

Derivatives_Details

Derivatives (Details) (USD $)	3 Months Ended
	Nov. 30, 2013	Nov. 30, 2014	Aug. 31, 2014
Balance of notes and accrued interest outstanding		1,069,737	$1,109,456
Shares issuable upon conversion
Creditor Note [Member]
Expected life (in years)	1 month 6 days
Balance of notes and accrued interest outstanding	328,072
Stock price	0.03
Effective conversion price	0.0375
Shares issuable upon conversion	8,748,587
Risk-free interest rate	0.04%
Expected volatility	61.83%
Expected dividend yield
Creditor Notes 1 [Member]
Balance of notes and accrued interest outstanding		441,743
Stock price		0.0019
Effective conversion price		0.0001
Creditor Note 1 [Member]
Expected life (in years)		6 months
Shares issuable upon conversion		3,013,930,640
Risk-free interest rate		0.18%
Expected volatility		308.36%
Expected dividend yield
Vendor Note [Member]
Expected life (in years)	1 month 6 days	6 months
Balance of notes and accrued interest outstanding	96,500	19,250
Stock price	0.03	0.0019
Effective conversion price	0.01	0.0002
Shares issuable upon conversion	9,650,000	96,250,000
Risk-free interest rate	0.18%	0.18%
Expected volatility	61.83%	380.36%
Expected dividend yield

Derivatives_Details_Narrative

Derivatives (Details Narrative) (USD $)	Nov. 30, 2014	Nov. 30, 2013
Creditor Note [Member]
Derivative liability using the weighted average		$3,501
Change in fair value of derivatives		478,560
Creditor Note 1 [Member]
Derivative liability using the weighted average	5,425,075
Change in fair value of derivatives	4,478,756
Vendor Note [Member]
Derivative liability using the weighted average	173,250	186,245
Change in fair value of derivatives	$97,219	$108,769

Stockholders_Equity_Details_Na

Stockholders' Equity (Details Narrative) (USD $)	3 Months Ended
	Nov. 30, 2014	Nov. 30, 2013
Detachable stock warrants outstanding	$362,500
Stock warrants exercise price	$0.41
Stock-based compensation		1,636
Restricted Stock Units [Member]
Stock-based compensation		$8,262

Net_Income_Loss_Per_Share_Deta

Net Income (Loss) Per Share (Details)	3 Months Ended
	Nov. 30, 2014	Nov. 30, 2013
Net Income Loss Per Share Details
Weighted-average common shares outstanding used in computing basic net income per share:		17,592,780
Common stock equivalents:
Creditor Notes		8,748,587
Vendor Note		9,650,000
Convertible promissory notes		3,127,644
Series B Preferred Stock (A)
Weighted-average common shares outstanding used in computing dilutive net income per share:	294,532,882	39,119,011

Net_Income_Loss_Per_Share_Deta1

Net Income (Loss) Per Share (Details 1) (USD $)	3 Months Ended
	Nov. 30, 2013
Net Income Loss Per Share Details 1
Net income available to common stock holders:	$352,246
Adjustments:
Accrued interest on convertible notes	25,823
Accretion of discount on convertible notes	9,612
Net income used in the calculation of the dilutive income per share:	$387,681