Signpath Pharma 10-Q 15 Aug 16 2016 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2016	Aug. 12, 2016
Document and Entity Information
Entity Registrant Name	SIGNPATH PHARMA, INC.
Entity Central Index Key	1,455,694
Document Type	10-Q
Document Period End Date	Jun. 30, 2016
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		14,203,887
Trading Symbol	SGTH
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2,016

Condensed Balance Sheets (Unaud

Condensed Balance Sheets (Unaudited) - USD ($)	Jun. 30, 2016	Dec. 31, 2015
CURRENT ASSETS
Cash	$ 640,529	$ 692,480
Prepaid expenses	1,856	5,453
Total current assets	642,385	697,933
TOTAL ASSETS	642,385	697,933
CURRENT LIABILITIES
Accounts payable and accrued expenses	283,240	309,795
Total current liabilities	283,240	309,795
STOCKHOLDERS' EQUITY
Common stock; $0.001 par value, 50,000,000 shares authorized; 14,203,887 and 14,163,887 shares issued and outstanding, respectively	14,204	14,164
Accrued dividends	2,145,297	1,729,741
Subscription receivable		(249,150)
Additional paid-in capital	14,329,588	13,943,694
Accumulated deficit	(16,131,246)	(15,051,588)
Total stockholders' equity	359,145	388,138
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	642,385	697,933
Convertible Preferred Stock Series A [Member]
STOCKHOLDERS' EQUITY
Convertible Preferred Stock, 5,000,000 shares authorized, $0.10 par value	326	326
Convertible Preferred Stock Series B [Member]
STOCKHOLDERS' EQUITY
Convertible Preferred Stock, 5,000,000 shares authorized, $0.10 par value	215	215
Convertible Preferred Stock Series C [Member]
STOCKHOLDERS' EQUITY
Convertible Preferred Stock, 5,000,000 shares authorized, $0.10 par value	500	500
Convertible Preferred Stock Series D [Member]
STOCKHOLDERS' EQUITY
Convertible Preferred Stock, 5,000,000 shares authorized, $0.10 par value	236	236
Convertible Preferred Stock Series E [Member]
STOCKHOLDERS' EQUITY
Convertible Preferred Stock, 5,000,000 shares authorized, $0.10 par value	$ 25

Condensed Balance Sheets (Paren

Condensed Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2016	Dec. 31, 2015
Preferred stock par value	$ .10	$ 0.10
Preferred stock authorized	5,000,000	5,000,000
Preferred stock issued	13,007
Preferred stock outstanding	13,007
Common stock par value	$ 0.001	$ 0.001
Common stock shares authorized	50,000,000	50,000,000
Common stock shares issued	14,203,887	14,163,887
Common stock shares outstanding	14,203,887	14,163,887
Convertible Preferred Stock Series A [Member]
Preferred stock authorized	5,000	5,000
Preferred stock issued	3,256	3,256
Preferred stock outstanding	3,256	3,256
Convertible Preferred Stock Series B [Member]
Preferred stock authorized	3,000	3,000
Preferred stock issued	2,146	2,146
Preferred stock outstanding	2,146	2,146
Convertible Preferred Stock Series C [Member]
Preferred stock authorized	6,000	6,000
Preferred stock issued	5,001	5,001
Preferred stock outstanding	5,001	5,001
Convertible Preferred Stock Series D [Member]
Preferred stock authorized	6,000	6,000
Preferred stock issued	2,359	2,359
Preferred stock outstanding	2,359	2,359
Convertible Preferred Stock Series E [Member]
Preferred stock authorized	6,000	6,000
Preferred stock issued	245	0
Preferred stock outstanding	245	0

Condensed Statements of Operati

Condensed Statements of Operations (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Income Statement [Abstract]
REVENUES
OPERATING EXPENSES
General and administrative	31,264	69,728	67,657	120,267
Professional fees	72,472	103,495	118,110	220,661
Research and development	137,661	193,141	208,602	409,645
Salaries and wages	442,081	81,382	685,360	149,269
Total Operating Expenses	(683,478)	(447,746)	(1,079,729)	(899,842)
OPERATING LOSS	(683,478)	(447,746)	(1,079,729)	(899,842)
OTHER INCOME (EXPENSE)
Other income		5,240		23,641
Foreign currency loss	(2,114)	1,802	34	(9,984)
Interest income	17	22	37	39
Total Other Income (Expense)	(2,097)	7,064	71	13,696
NET LOSS BEFORE INCOME TAXES	(685,575)	(440,682)	(1,079,658)	(886,146)
Provision for income taxes
NET LOSS	(685,575)	(440,682)	(1,079,658)	(886,146)
PREFERRED STOCK DIVIDEND	(208,751)	(189,078)	(415,556)	(366,409)
NET LOSS ATTRIBUTABLE TO COMMON STOCKHOLDERS	$ (894,326)	$ (629,760)	$ (1,495,214)	$ (1,252,555)
BASIC AND DILUTED LOSS PER SHARE	$ (0.06)	$ (0.04)	$ (0.11)	$ (0.09)
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING	14,203,887	14,163,887	14,186,524	14,163,887

Condensed Statements of Cash Fl

Condensed Statements of Cash Flows (Unaudited) - USD ($)	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
OPERATING ACTIVITIES
Net loss	$ (1,079,658)	$ (886,146)
Adjustments to reconcile net loss to net cash used in operating activities:
Stock options compensation	549,415	75,538
Loss on equity modification		29,610
Changes in operating assets and liabilities
Common stock issue for services		16,000
Change in prepaid expenses	3,596
Accounts payable and accrued expenses	23,446	(86,209)
Net Cash Used in Operating Activities	(503,201)	(851,207)
FINANCING ACTIVITIES
Preferred stock issued for cash, net of stock offering costs	451,250	800,795
Net Cash Provided by Financing Activities	451,250	800,795
NET DECREASE IN CASH	(51,951)	(50,412)
CASH AT BEGINNING OF PERIOD	692,480	716,193
CASH AT END OF PERIOD	640,529	665,781
SUPPLEMENTAL DISCLOSURES OF NON CASH FINANCING ACTIVITIES:
Issuance of shares for accrued fees	50,000	34,000
Preferred dividend accrual	$ 415,556	$ 366,409

Description of Business and Bas

Description of Business and Basis of Presentation	6 Months Ended
	Jun. 30, 2016
Accounting Policies [Abstract]
Description of Business and Basis of Presentation	NOTE 1 – DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION Basis of Presentation These financial statements and related notes are presented in accordance with accounting principles generally accepted in the United States, and are expressed in U.S. dollars. The Company’s fiscal year-end is December 31. The accompanying unaudited condensed financial statements have been prepared by the Company without an audit. In the opinion of management, all adjustments (which include normal recurring adjustments) necessary to present fairly the financial position, results of operations, and cash flows at June 30, 2016, and for all periods presented herein, have been made. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted. It is suggested that these condensed financial statements be read in conjunction with the financial statements and notes thereto included in the Company’s December 31, 2015 audited financial statements filed with the SEC on April 8, 2016. The results of operations for the period ended June 30, 2016 are not necessarily indicative of the operating results for the full year. Description of Business Throughout this report, the terms “we,“ “us,“ “our,“ “registrant,“ “Company“ refer to SignPath Pharma Inc. Business SignPath Pharma, Inc. (the “Company“) is a clinical stage biotechnology company founded in May 2006 to develop synthesized proprietary formulations of curcumin, a naturally occurring compound found in the root of the Curcuma longa Linn (turmeric) plant, for applications in human diseases. Good Manufacturing Practice (GMP) synthesis renders the curcumin active pharmaceutical ingredient (API) 99.2% pure. The Company is a publicly held non-traded Delaware corporation. During the six months ended June 30, 2016 and 2015, the Company expended $208,602 and $409,645 respectively, for net research and development. None of these expenses were borne by customers as the final products are not commercially available. They consisted primarily of payments made to commercial and academic institutions.

Going Concern

Going Concern	6 Months Ended
	Jun. 30, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Going Concern	NOTE 2 – GOING CONCERN The Company’s financial statements are prepared using generally accepted accounting principles 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. The Company has not yet established an ongoing source of revenues sufficient to cover its operating costs and allow it to continue as a going concern. During the six months ended June 30, 2016 the Company recognized sales revenue of $-0- and incurred a net loss of $1,079,658. As of June 30, 2016, the Company had an accumulated deficit of $16,131,246. The continuation of the Company as a going concern is dependent upon the continued financial support from its shareholders, the ability to raise equity or debt financing, and the attainment of profitable operations from the Company’s planned business. If the Company is unable to obtain adequate capital, it could be forced to cease operations. These condensed financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern. In order to continue as a going concern, the Company will need, among other things, additional capital resources. Management’s plan is to obtain such resources for the Company by obtaining capital from significant shareholders sufficient to meet its operating expenses and seeking equity and/or debt financing from third parties. However, management cannot provide any assurances that the Company will be successful in accomplishing any of its plans. The ability of the Company to continue as a going concern is dependent upon its ability to successfully accomplish the plans described in the preceding paragraph and eventually secure other sources of financing and attain profitable 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.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2016
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	NOTE 3 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America 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. Actual results could differ from those estimates. Cash and Cash Equivalents The Company considers all highly liquid instruments with a maturity of three months or less at the time of issuance to be cash equivalents. There were no cash equivalents as of June 30, 2016 and December 31, 2015 respectively. Concentration of Credit Risk Financial instruments, which potentially subject the Company to concentrations of credit risk, consist principally of cash. Cash balances are maintained in accounts held by major banks and financial institutions located in the United States. The Company occasionally maintains amounts on deposit with a financial institution that are in excess of the federally insured limit of $250,000. The risk is managed by maintaining all deposits in high quality financial institutions. The Company had $390,529 and $442,480 cash balances in excess of federally insured limits at June 30, 2016 and December 31, 2015, respectively. Fair Value of Financial Instruments In accordance with ASC 820, the carrying value of cash and cash equivalents and accounts payable approximates fair value due to the short-term maturity of these instruments. ASC 820 clarifies the definition of fair value, prescribes methods for measuring fair value, and establishes a fair value hierarchy to classify the inputs used in measuring fair value as follows: Level 1- Inputs are unadjusted quoted prices in active markets for identical assets or liabilities available at the measurement date. Level 2- Inputs are unadjusted quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, inputs other than quoted prices that are observable, and inputs derived from or corroborated by observable market data. Level 3- Inputs are unobservable inputs which reflect the reporting entity’s own assumptions on what assumptions the market participants would use in pricing the asset or liability based on the best available information. The carrying amounts reported in the balance sheets for cash, accounts payable and accrued expenses approximate their fair market value based on the short-term maturity of these instruments. Research and Development Costs The Company expenses the costs of the development of its pharmaceutical products during the period incurred. The Company incurred research and development expenses of $208,602 and $409,645 during the six months ended June 30, 2016 and 2015 respectively. Stock-Based Compensation The Company follows the provisions of ASC 718 which requires all share-based payments to employees, including grants of employee stock options, to be recognized in the income statement based on their fair values. The Company uses the Black-Scholes pricing model for determining the fair value of stock based compensation. Equity instruments issued to non-employees for goods or services are accounted for at fair value and are marked to market until service is complete or a performance commitment date is reached, whichever is earlier. Income Taxes The Company accounts for income taxes under the asset and liability method. Deferred tax assets and liabilities are determined based on differences between the financial reporting and tax bases of assets and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. The charge for taxation is based on the results for the year as adjusted for items, which are non-assessable or disallowed. It is calculated using tax rates that have been enacted or substantively enacted by the balance sheet date. Basic and Diluted Net income (Loss) per Share The Company computes net income (loss) per share in accordance with ASC 260 which requires presentation of both basic and diluted earnings per share (EPS) on the face of the income statement. Basic EPS is computed by dividing net income (loss) available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method for convertible preferred stock using the if-converted method. In computing Diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants. Diluted EPS excludes all dilutive potential shares if their effect is anti-dilutive. For the six months ended June 30, 2016 and 2015, all of the Company’s potentially dilutive securities (warrants, options, convertible preferred stock) were excluded from the computation of diluted earnings per share as they were anti-dilutive. The total number of potentially dilutive Common Shares that were excluded were 27,072,039 and 25,442,831 at June 30, 2016, and June 30, 2015, respectively.

Accrued Liabilities

Accrued Liabilities	6 Months Ended
	Jun. 30, 2016
Payables and Accruals [Abstract]
Accrued Liabilities	NOTE 4 – ACCRUED LIABILITIES The Company has concluded it is probable that it will pay $85,738 in liquidated damages pursuant to the registration rights clause in certain of the securities sold in fiscal years 2008 and 2009, the Company was required to file a registration statement by January 27, 2009. The Company failed to do so until April 7, 2009, resulting in liquidated damages of 2% per month of the gross proceeds, which approximated $1.8 million as of that date. During the year ended December 31, 2009, the Company’s registration statement covering the securities was declared effective by the SEC. Each holder is entitled to $47.32 per share owned. During the year ended December 31, 2009, the Company accrued $85,738 in the accompanying balance sheet related to this liability. The balance of the liability was $85,738 as of June 30, 2016, which will be satisfied by the issuance of common stock

Preferred Stock

Preferred Stock	6 Months Ended
	Jun. 30, 2016
Equity [Abstract]
Preferred Stock	NOTE 5 – PREFERRED STOCK The Company has authorized 5,000,000 shares of Preferred Stock, $.10 par value, of which, as of June 30, 2016, an aggregate of 13,007 shares were issued and outstanding consisting of (i) 5,000 shares of Series A Convertible Preferred Stock authorized and 3,256 shares issued and outstanding, (ii) 3,000 shares of Series B Convertible Preferred Stock authorized and 2,146 shares were issued and outstanding, (iii) 6,000 shares of Series C Convertible Preferred Stock authorized and 5,001 shares were issued and outstanding, (iv) 6,000 shares of Series D Convertible Preferred Stock are authorized, 2,359 of which were issued and outstanding, (v) 6,000 shares of Series E Convertible Preferred Stock are authorized, 245 of which were issued and outstanding. Series E Convertible Preferred Stock The dividend rate of 6.5% per annum and the terms of the dividends are the same as Series A, B C and D Preferred Stock. The Conversion Rate is 500 shares of Common Stock (at $2.00 per share) for each $1,000 stated value of Series E Preferred Stock. The Series E Preferred Stock is convertible at any time by the holder and may be converted, by the Company, into Common Stock following the effectiveness of a registration statement if the Company’s Common Stock trades above 200% of the Conversion Rate for 10 consecutive trading days. The Series E Preferred Stock ranks on parity with the Series B C and D Preferred Stock and junior to the Series A Preferred Stock on sale or liquidation of the Company. The Series E Preferred Stock votes on an as converted basis with the Common Stock and Series A, B, C, and D Preferred Stock having one vote for each share issuable upon conversion of the Preferred Stock. For the six months that ended June 30, 2015 the Company issued 945 shares of Series D Preferred Stock. Gross proceeds received for these shares was $945,249 offset by stock offering costs of $144,454 issued to the placement agent, a related party. For the six months ended June 30, 2016 the Company issued 245 shares of Series E Preferred Stock. Gross proceeds received for these shares were $245,000 offset by stock offering costs of $42,900 issued to the placement agent, a related party. The Company also received $249,150 related to the subscription receivable balance at December 31, 2015.

Common Stock

Common Stock	6 Months Ended
	Jun. 30, 2016
Equity [Abstract]
Common Stock	NOTE 6 – COMMON STOCK On March 21, 2016, the Company granted 40,000 shares of common stock to Jack Levine, Audit Committee Chair, for services rendered during 2015. These shares were issued at a fair value of $1.25 per share, for a total value of $50,000, which was accrued as of December 31, 2015.

Warrants and Options

Warrants and Options	6 Months Ended
	Jun. 30, 2016
Warrants And Options
Warrants and Options	NOTE 7 – WARRANTS AND OPTIONS Warrants A summary of the status of the Company’s warrants as of June 30, 2016 and December 31, 2015 are presented below: Number of Warrants Weighted Average Exercise Price Weighted Average Grant Date Fair Value Remaining Term (years) Outstanding as of December 31, 2015 13,059,834 1.32 $ 1.13 4.09 Granted 61,250 2.50 1.25 7.00 Cancelled/Expired 100,000 .085 - - Outstanding as of June 30, 2016 13,021,084 $ 1.33 $ 1.14 3.63 During the six months ended June 30, 2016, the Company issued Class E warrants in connection with the Series E Preferred Stock sold in Note 5. Each unit sold of Class E Preferred Stock with a face value of $1,000 allows the purchase of 125 shares (30,625 total) of common stock with an exercise price of $3.00 per share and expiration of seven years following an effective registration statement for the resale of the shares underlying the warrants. During the six months ended June 30, 2016, the Company issued 15,000 Placement Agent warrants in connection with the sale of Series E Preferred Stock sold in Note 5. The warrants have the same terms as the Series E warrants noted above, except for a $2.00 per share exercise price. The warrants were not deemed to be derivative instruments because they do not have a reset feature, and therefore no liability were recorded related to the warrants. The Company valued these warrants using the Black-Scholes option pricing model totaling $18,210 under the following assumptions: $1.25 stock price, $2.00 exercise price, 7 years to maturity, 170.67% volatility, and 1.38% risk free rate. Also, during the six months ended June 30, 2016, the Company issued 15,625 Placement Agent warrants in connection with the sale of Series E Preferred Stock sold in Note 5. The warrants have the same terms as the Series E Placement Agent warrants noted above, except for a $2.00 per share exercise price. The warrants were not deemed to be derivative instruments because they do not have a reset feature, and therefore no liability were recorded related to the warrants. The Company valued these warrants using the Black-Scholes option pricing model totaling $18,959 under the following assumptions: $1.25 stock price, $2.00 exercise price, 7 years to maturity, 170.00% volatility, and 1.32% risk free rate. Options The Company’s 2009 Employee Stock Incentive Plan (the “2009 Plan“) was adopted by the Company’s Board of Directors on February 9, 2009 in order to motivate participants by means of stock options and restricted stock to achieve the Company’s long-term performance goals and enable our employees, officers, directors and consultants to participate in our long term growth and financial success. The 2009 Plan, which is administered by our Board of Directors, currently authorizes the issuance of a maximum of 3,000,000 (as of January 1, 2016) shares of our common stock, which may be authorized and unissued shares or treasury shares. Employee options shall be deemed Incentive Stock Options (as defined in the 2009 Option Plan) to the maximum extent permitted by Section 422 of the Internal Revenue Code including a five-year limit on exercise for 10% or greater stockholders with any excess grant to the above individuals over the limits set by Section 422 being Non-Qualified Stock Options as defined in the 2009 Option Plan. Both the Incentive Stock Options or any Non-Qualified Stock Options must be granted at an exercise price of not less than the fair market value of shares of common stock at the time the option is granted and Incentive Stock Options granted to 10% or greater stockholders must be granted at an exercise price of not less than 110% of the fair market value of the shares on the date of grant. If any award under the 2009 Plan terminates, expires unexercised, or is cancelled, the shares of common stock that would otherwise have been issuable pursuant thereto will be available for issuance pursuant to the grant of new awards. The 2009 Plan will terminate on February 9, 2019. As of June 30, 2016, an aggregate of 2,390,000 options were outstanding, as follows: Number of Options Weighted Average Exercise Price Weighted Average Grant Date Fair Value Expiration Date (yrs) Outstanding as of December 31, 2015 1,715,000 $ 1.53 $ 0.98 4.18 Granted 675,000 2.00 1.18 10.00 Outstanding as of June30, 2016 2,390,000 $ 1.66 $ 1.03 5.35 Exercisable as of June 30, 2016 1,496,250 $ 1.46 $ 0.98 4.76 For the six months ended June 30, 2016, the Company issued two options each for 50,000 for a total of 100,000 shares of common stock to two members of its board of directors and under the 2009 plan for compensation for services provided during 2016. The options have an exercise price of $2.00 per share and have a life of five years. The options vest as follows: one fourth on the date of grant, one fourth on every quarter from grant date. The Company valued these options using the Black-Scholes option pricing model totaling $58,211 each, under the following assumptions: $1.25 stock price, $2.00 exercise price, 5 years to maturity, 171% volatility, 1.38% risk free rate. For the six months ended June 30, 2016, the Company issued an option for 300,000 shares of common stock to its CEO, under the 2009 plan. The option has an exercise price of $2.00 per share and has a life of ten years. The first 100,000 shares vested and are exercisable on the grant date. The Company valued these 100,000 options using the Black-Scholes option pricing model totaling $116,422 under the following assumptions: $1.25 stock price, $2.00 exercise price, 10 years to maturity, 171% volatility, 1.38% risk free rate. The additional 200,000 shares under the option will vest as follows: 100,000 shares shall vest and become exercisable upon initiation of Phase I trials for the Company’s proprietary anti-arrhythmia drug candidate SPP4040, and another 100,000 shares shall vest and become exercisable upon initiation of Phase II trials for SPP4040, both of which have not occurred at this time. For the six months ended June 30, 2016, the Company issued an option for 250,000 shares of common stock to its CEO, under the 2009 plan. The option was issued under the terms of the CEO’s February 2013 Employment Agreement. The option has an exercise price of $0.85 per share and has a life of ten years. The Company valued these options using the Black-Scholes option pricing model totaling $298,368 under the following assumptions: $1.25 stock price, $.85 exercise price, 10 years to maturity, 170% volatility, 1.32% risk free rate. The options shall be vested and fully exercisable upon the date of grant . For the six months ended June 30, 2016, the Company issued an option for 25,000 shares of common stock to one member of the Scientific Advisory Board and under the 2009 Employee Stock Incentive Plan. The option has an exercise price of $2.00 per share and has a life of ten years. The option vest as follows: one half on August 10, 2016, the other half on August 10, 2017. The Company valued this option using the Black-Scholes option pricing model totaling $29,083, under the following assumptions: $1.25 stock price, $2.00 exercise price, 10 years to maturity, 170% volatility, 1.38% risk free rate

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2016
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	NOTE 8 – COMMITMENTS AND CONTINGENCIES SignPath is obligated to pay running royalties of 2.5% on net sales of less than $250 million for products covered by an issued patent licensed under the University of Texas MD Anderson Cancer Center (UTMDACC) License Agreement. This royalty rate increases to 3% for sales equal to, or greater than, $250 million. A royalty of 1.5% of net sales is payable by SignPath for products covered under the license which are not protected by an issued patent. After sales to the public begin, SignPath must pay a minimum annual royalty of $75,000 which can be deducted from the royalties on net sales due under the agreement. In addition, SignPath is obligated to pay 20% to 25% of all non-royalty consideration received under sublicensing agreements. On December 12, 2014, the Board of Directors authorized an amendment to Dr. Helson’s employment agreement to provide that: (A) upon successful completion of Phase I trials for anti-Ebola testing in Africa paid for by the United States Army Medical Research Institute of Infectious Diseases (“USAMRIID“), exclusive of the cost of drug products and shipping, Dr. Helson would receive options to purchase 300,000 shares of Common Stock exercisable at then current fair market value and a cash bonus of $75,000, and (B) upon successful completion of Phase I trials in Vienna, Austria for the lead anti-QT prolongation drugs (Moxifloxacin) for liposomes Dr. Helson would receive additional options to purchase 300,000 shares of Common Stock exercisable at then current fair market value and a cash bonus of $75,000. On March 27, 2015, the Board of Directors authorized a bonus to Dr. Helson providing that: upon the closing of financing for $20 million or more with The Westbury Group, or any other financing, Dr. Helson would be awarded a discretionary bonus of up to 100% of his then current salary estimated to be $375,000 per annum. On May 1, 2015 The Company entered into an employment agreement with Mr. Kai Larson and appointed him as Vice President of Corporate Development, Chief Operating Officer, and Secretary. Mr. Larson will have a salary of $200,000 per year, $150,000 of which is deferred until such time that the Company raises an aggregate of $10 million through either debt or equity financing, or licensing revenues. In addition, the Company granted Mr. Larson options to purchase 750,000 shares of common stock as recorded in 2015. On December 23, 2015, the Company entered into an agreement with Annie Bouchard, a co-inventor of the SPP4040 drug candidate under development. In the Agreement, Ms. Bouchard agreed to assign all patent rights relating to cardiac arrhythmia mitigation drugs to SignPath and continue collaborations with SignPath regarding future development of cardiac arrhythmia therapies. In return, Ms. Bouchard is entitled to one third of any future profits earned from these cardiac arrhythmia therapies.

Related Party

Related Party	6 Months Ended
	Jun. 30, 2016
Related Party Transactions [Abstract]
Related Party	NOTE 9 – RELATED PARTY Meyers Securities Corp. and Meyers Associates LP, the placement agent for its preferred stock offerings, have numerous relationships and related transactions. Meyers Associates LP receives a 10% sales commission of the gross proceeds from the sale of all Preferred Units, as well as a non-accountable expense allowance equal to 3% of the gross proceeds of the Offering and warrants to purchase 20% of the Securities sold in the Offering. For the six months ended June 30, 2016 and 2015, Meyers Associates LP received total commissions in the amount of $42,900 and $144,454, respectively. They were also granted 30,625 and 118,157 in Placement Agent Warrants for the six months ended June 30, 2016 and 2015, respectively. As of June 30, 2016 and 2015, the Company had a payable due to Dr. Larry Helson related to Medicare coverage for the time he has been employed by the Company. The total amount due is $30,000 to be paid out at a rate of $2,900 per annum.

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2016
Subsequent Events [Abstract]
Subsequent Events	NOTE 10 – SUBSEQUENT EVENTS On July 13, 2016 the Company issued 110 shares of Series E Preferred Stock. Gross proceeds received for these shares were $110,000 offset by stock offering costs of $17,650 issued to the placement agent, a related party. On July 13, 2016, the Company issued Class E warrants in connection with the Series E Preferred Stock sold on July 13, 2016. Each unit sold of Class E Preferred Stock with a face value of $1,000 allows the purchase of 125 (13,750 total) shares of common stock with an exercise price of $3.00 per share and an expiration of seven years following the Issuance Date of the warrant. The Company valued these warrants using the Black-Scholes option pricing model totaling $16,590 under the following assumptions: $1.25 stock price, $3 exercise price, 7 years to maturity, 171.24% volatility, and 1.10% risk free rate. On July 13, 2016, the Company issued Placement Agent Warrants to Meyers Associates LP, a related party for a total of 13,750 common shares. A Placement Agent warrant allows the purchase of 125 shares of common stock for each $1,000 unit sold with an exercise price of $2 per share. The Company valued these warrants using the Black-Scholes option pricing model totaling $16,698 under the following assumptions: $1.25 stock price, $2 exercise price, 7 years to maturity, 171.24% volatility, and 1.10% risk free rate.

Summary of Significant Accoun16

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2016
Accounting Policies [Abstract]
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America 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. Actual results could differ from those estimates.
Cash and Cash Equivalents	Cash and Cash Equivalents The Company considers all highly liquid instruments with a maturity of three months or less at the time of issuance to be cash equivalents. There were no cash equivalents as of June 30, 2016 and December 31, 2015 respectively.
Concentration of Credit Risk	Concentration of Credit Risk Financial instruments, which potentially subject the Company to concentrations of credit risk, consist principally of cash. Cash balances are maintained in accounts held by major banks and financial institutions located in the United States. The Company occasionally maintains amounts on deposit with a financial institution that are in excess of the federally insured limit of $250,000. The risk is managed by maintaining all deposits in high quality financial institutions. The Company had $390,529 and $442,480 cash balances in excess of federally insured limits at June 30, 2016 and December 31, 2015, respectively.
Fair Value of Financial Instruments	Fair Value of Financial Instruments In accordance with ASC 820, the carrying value of cash and cash equivalents and accounts payable approximates fair value due to the short-term maturity of these instruments. ASC 820 clarifies the definition of fair value, prescribes methods for measuring fair value, and establishes a fair value hierarchy to classify the inputs used in measuring fair value as follows: Level 1- Inputs are unadjusted quoted prices in active markets for identical assets or liabilities available at the measurement date. Level 2- Inputs are unadjusted quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, inputs other than quoted prices that are observable, and inputs derived from or corroborated by observable market data. Level 3- Inputs are unobservable inputs which reflect the reporting entity’s own assumptions on what assumptions the market participants would use in pricing the asset or liability based on the best available information. The carrying amounts reported in the balance sheets for cash, accounts payable and accrued expenses approximate their fair market value based on the short-term maturity of these instruments.
Research and Development Costs	Research and Development Costs The Company expenses the costs of the development of its pharmaceutical products during the period incurred. The Company incurred research and development expenses of $208,602 and $409,645 during the six months ended June 30, 2016 and 2015 respectively.
Stock-based Compensation	Stock-Based Compensation The Company follows the provisions of ASC 718 which requires all share-based payments to employees, including grants of employee stock options, to be recognized in the income statement based on their fair values. The Company uses the Black-Scholes pricing model for determining the fair value of stock based compensation. Equity instruments issued to non-employees for goods or services are accounted for at fair value and are marked to market until service is complete or a performance commitment date is reached, whichever is earlier.
Income Taxes	Income Taxes The Company accounts for income taxes under the asset and liability method. Deferred tax assets and liabilities are determined based on differences between the financial reporting and tax bases of assets and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. The charge for taxation is based on the results for the year as adjusted for items, which are non-assessable or disallowed. It is calculated using tax rates that have been enacted or substantively enacted by the balance sheet date.
Basic and Diluted Net Income (loss) Per Share	Basic and Diluted Net income (Loss) per Share The Company computes net income (loss) per share in accordance with ASC 260 which requires presentation of both basic and diluted earnings per share (EPS) on the face of the income statement. Basic EPS is computed by dividing net income (loss) available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method for convertible preferred stock using the if-converted method. In computing Diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants. Diluted EPS excludes all dilutive potential shares if their effect is anti-dilutive. For the six months ended June 30, 2016 and 2015, all of the Company’s potentially dilutive securities (warrants, options, convertible preferred stock) were excluded from the computation of diluted earnings per share as they were anti-dilutive. The total number of potentially dilutive Common Shares that were excluded were 27,072,039 and 25,442,831 at June 30, 2016, and June 30, 2015, respectively.

Warrants and Option (Tables)

Warrants and Option (Tables)	6 Months Ended
	Jun. 30, 2016
Warrants And Options
Schedule of Warrants Activity	A summary of the status of the Company’s warrants as of June 30, 2016 and December 31, 2015 are presented below: Number of Warrants Weighted Average Exercise Price Weighted Average Grant Date Fair Value Remaining Term (years) Outstanding as of December 31, 2015 13,059,834 1.32 $ 1.13 4.09 Granted 61,250 2.50 1.25 7.00 Cancelled/Expired 100,000 .085 - - Outstanding as of June 30, 2016 13,021,084 $ 1.33 $ 1.14 3.63
Schedule of Stock Options Activity	As of June 30, 2016, an aggregate of 2,390,000 options were outstanding, as follows: Number of Options Weighted Average Exercise Price Weighted Average Grant Date Fair Value Expiration Date (yrs) Outstanding as of December 31, 2015 1,715,000 $ 1.53 $ 0.98 4.18 Granted 675,000 2.00 1.18 10.00 Outstanding as of June30, 2016 2,390,000 $ 1.66 $ 1.03 5.35 Exercisable as of June 30, 2016 1,496,250 $ 1.46 $ 0.98 4.76

Description of Business and B18

Description of Business and Basis of Presentation (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Accounting Policies [Abstract]
Research and development	$ 137,661	$ 193,141	$ 208,602	$ 409,645

Going Concern (Details Narrativ

Going Concern (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015	Dec. 31, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Revenues
Net loss	685,575	$ 440,682	1,079,658	$ 886,146
Accumulated Deficit	$ 16,131,246		$ 16,131,246		$ 15,051,588

Summary of Significant Accoun20

Summary of Significant Accounting Policies (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015	Dec. 31, 2015
Accounting Policies [Abstract]
Cash and cash equivalents
Federally insured limit	250,000		250,000
Cash balances in excess of federally insured limits	390,529		390,529		$ 442,480
Research and development expenses	$ 137,661	$ 193,141	$ 208,602	$ 409,645
Potentially Anti-dilutive Common Shares			27,072,039	25,442,831

Accrued Liabilities (Details Na

Accrued Liabilities (Details Narrative) - USD ($)	Apr. 07, 2009	Jan. 27, 2009	Jun. 30, 2016	Dec. 31, 2009
Payables and Accruals [Abstract]
Probable Liquidated Damages		$ 85,738
Percentage of liquidated damages per month	2.00%
Proceeds from damages	$ 1,800,000
Each holder owned price per share			$ 47.32
Accrued liabilities			$ 85,738	$ 85,738

Preferred Stock (Details Narrat

Preferred Stock (Details Narrative) - USD ($)	6 Months Ended
	Jun. 30, 2016	Dec. 31, 2015
Preferred stock authorized	5,000,000	5,000,000
Preferred stock, par value	$ .10	$ 0.10
Preferred stock issued	13,007
Preferred stock outstanding	13,007
Subscription receivable		$ 249,150
Convertible Preferred Stock Series A [Member]
Preferred stock authorized	5,000	5,000
Preferred stock issued	3,256	3,256
Preferred stock outstanding	3,256	3,256
Percentage of annual cumulative per shares dividend of liquidation preference of preferred stock	6.50%
Convertible Preferred Stock Series B [Member]
Preferred stock authorized	3,000	3,000
Preferred stock issued	2,146	2,146
Preferred stock outstanding	2,146	2,146
Percentage of annual cumulative per shares dividend of liquidation preference of preferred stock	6.50%
Convertible Preferred Stock Series C [Member]
Preferred stock authorized	6,000	6,000
Preferred stock issued	5,001	5,001
Preferred stock outstanding	5,001	5,001
Percentage of annual cumulative per shares dividend of liquidation preference of preferred stock	6.50%
Convertible Preferred Stock Series D [Member]
Preferred stock authorized	6,000	6,000
Preferred stock issued	2,359	2,359
Preferred stock outstanding	2,359	2,359
Percentage of annual cumulative per shares dividend of liquidation preference of preferred stock	6.50%
Number of stock issued during period	945
Gross proceeds recieved for issued shares	$ 945,249
Offering costs	$ 144,454
Convertible Preferred Stock Series E [Member]
Preferred stock authorized	6,000	6,000
Preferred stock issued	245	0
Preferred stock outstanding	245	0
Convertible preferred stock shares of common stock	500
Preferred stock conversion price per share	$ 2
Percentage of common stock trade above of conversion rate per share	200.00%
Preferred stock liquidation distribution per share	$ 1,000
Number of stock issued during period	245
Gross proceeds recieved for issued shares	$ 245,000
Offering costs	$ 42,900

Common Stock (Details Narrative

Common Stock (Details Narrative) - USD ($)	Mar. 21, 2016	Dec. 31, 2015
Accrued receivable		$ 50,000
Jack Levine [Member]
Number of common stock shares issued for services	40,000
Fair value of price per share	$ 1.25

Warrants and Options (Details N

Warrants and Options (Details Narrative) - USD ($)	6 Months Ended
	Jun. 30, 2016	Dec. 31, 2015
Number of options outstanding	2,390,000	1,715,000
Number of options granted during the period	675,000
2009 Employee Stock Incentive Plan [Member]
Number of shares authorized maximum	3,000,000
Maximum percentage of fair market value of shares grant	110.00%
Number of options outstanding	2,390,000
2009 Employee Stock Incentive Plan [Member] | Two Members And Board Of Directors [Member]
Fair value of warrants	$ 58,211
Stock price	$ 1.25
Exercise price	$ 2
Maturity years	5 years
Volatility rate	171.00%
Risk free rate	1.38%
Number of options outstanding	100,000
Number of options granted during the period	50,000
Option exercise price per share	$ 2
2009 Employee Stock Incentive Plan [Member] | Chief Executive Officer [Member]
Fair value of warrants	$ 116,422
Stock price	$ 1.25
Exercise price	$ 2
Maturity years	10 years
Volatility rate	171.00%
Risk free rate	1.38%
Number of options granted during the period	100,000
Number of stock options vested during the period	200,000
Number of stock options vested exercisable on grant date	100,000
Number of options for shares of common stock	300,000
Option exercise price per share	$ 2
2009 Employee Stock Incentive Plan [Member] | Chief Executive Officer [Member] | 2013 Employment Agreement [Member]
Fair value of warrants	$ 298,368
Stock price	$ 1.25
Exercise price	$ .85
Maturity years	10 years
Volatility rate	170.00%
Risk free rate	1.32%
Number of options for shares of common stock	250,000
Option exercise price per share	$ 0.85
2009 Employee Stock Incentive Plan [Member] | Chief Executive Officer [Member] | 2009 Employee Stock Incentive Plan [Member]
Fair value of warrants	$ 29,083
Stock price	$ 1.25
Exercise price	$ 2
Maturity years	10 years
Volatility rate	170.00%
Risk free rate	1.38%
Number of options for shares of common stock	25,000
Option exercise price per share	$ 2
2009 Employee Stock Incentive Plan [Member] | Board of Directors [Member]
Number of options granted during the period	50,000
2009 Employee Stock Incentive Plan [Member] | Chief Executive Officer [Member] | Phase 1 Trial [Member]
Number of stock options vested during the period	100,000
2009 Employee Stock Incentive Plan [Member] | Chief Executive Officer [Member] | Phase 2 Trial [Member]
Number of stock options vested during the period	100,000
Series E Preferred Stock [Member]
Warrants exercisable price per share	$ 2
Number of shares sold during the period	15,000
Fair value of warrants	$ 18,210
Stock price	$ 1.25
Exercise price	$ 2
Maturity years	7 years
Volatility rate	170.67%
Risk free rate	1.38%
Series E Preferred Stock [Member] | Placement Agent [Member]
Number of shares sold during the period	15,625
Fair value of warrants	$ 18,094
Stock price	$ 1.25
Exercise price	$ 2
Maturity years	7 years
Volatility rate	170.00%
Risk free rate	132.00%
Class E Preferred Stock [Member]
Preferred Stock, face value	$ 1,000
Isuuance of warrants to purchase of common stock	125
Number of common stock shares issued	30,625
Warrants exercisable price per share	$ 3

Warrants and Options - Schedule

Warrants and Options - Schedule of Warrants and Options (Details) - Warrant [Member]	6 Months Ended
	Jun. 30, 2016$ / sharesshares
Number of Warrants Outstanding, Beginning Balance | shares	13,059,834
Number of Warrants granted | shares	61,250
Number of warrants, Cancelled/Expired | shares	100,000
Number of Warrants outstanding, Ending Balance | shares	13,021,084
Weighted Average Exercise Price, Warrants Outstanding, Beginning Balance	$ 1.32
Weighted Average Exercise Price, Warrants granted	2.50
Weighted Average Exercise Price,Cancelled/Expired	0.085
Weighted Average Exercise Price, Warrants outstanding, Ending Balance	1.33
Weighted Average Grant Date Fair Value, Outstanding, Beginning Balance	1.13
Weighted Average Grant Date Fair Value, granted	1.25
Weighted Average Grant Date Fair Value, Outstanding, Ending Balance	$ 1.14
Weighted Average Remaining Contractual Terms (Years), Outstanding Beginning	4 years 1 month 2 days
Weighted Average Remaining Contractual Terms (Years), Granted	7 years
Weighted Average Remaining Contractual Terms (Years), Outstanding Ending	3 years 7 months 17 days

Warrants and Options - Schedu26

Warrants and Options - Schedule of Stock Options Activity (Details)	6 Months Ended
	Jun. 30, 2016$ / sharesshares
Warrants And Options
Number of Options Outstanding, Beginning Balance | shares	1,715,000
Number of Options granted | shares	675,000
Number of Options Outstanding, Ending Balance | shares	2,390,000
Number of Options Outstanding, Exercisable | shares	1,496,250
Weighted Average Exercise Price, Option Outstanding, Beginning Balance	$ 1.53
Weighted Average Exercise Price, Option granted	2
Weighted Average Exercise Price, Option Outstanding, Ending Balance	1.66
Weighted Average Exercise Price, Option Outstanding, Exercisable	1.46
Weighted Average Grant Date Fair Value, Outstanding, Beginning Balance	0.98
Weighted Average Grant Date Fair Value, granted	1.18
Weighted Average Grant Date Fair Value, Outstanding, Ending Balance	1.03
Weighted Average Grant Date Fair Value, Outstanding, Exercisable	$ 0.98
Weighted Average Remaining Contractual Terms (Years), Outstanding Beginning	4 years 2 months 5 days
Weighted Average Remaining Contractual Terms (Years), Granted	10 years
Weighted Average Remaining Contractual Terms (Years), Outstanding Ending	5 years 4 months 6 days
Weighted Average Remaining Contractual Terms (Years), Exercisable	4 years 9 months 4 days

Commitments and Contingencies (

Commitments and Contingencies (Details Narrative) - USD ($)	May 01, 2015	Mar. 27, 2015	Dec. 12, 2014	Jun. 30, 2016
Percentage of royalty sales payable				1.50%
Minimum annual royalty				$ 75,000
Dr. Helson's Employment [Member]
Option to purchase of common stock			300,000
Cash bonus			$ 75,000
Authorized bonus amount		$ 20,000,000
Annual salary		$ 375,000
Percentage of discretionary bonus		100.00%
Dr. Helson's Employment [Member] | Additional Stock Options [Member]
Option to purchase of common stock			300,000
Cash bonus			$ 75,000
Employment Agreement With Mr. Kai Larson [Member]
Option to purchase of common stock	750,000
Annual salary	$ 200,000
Deferred salary	150,000
Debt equity finance	$ 10,000,000
Minimum [Member]
Percentage of royalties on net sales				2.50%
Product converted by issuance of patent licensed				$ 250,000,000
Percentage of non-royalty consideration				20.00%
Maxmimum [Member]
Percentage of royalties on net sales				3.00%
Product converted by issuance of patent licensed				$ 250,000,000
Percentage of non-royalty consideration				25.00%

Related Party (Details Narrativ

Related Party (Details Narrative) - USD ($)	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Dr. Larry Helson [Member]
Due to related parties	$ 30,000
Payment of related party debt	$ 2,900
Meyers Associates LP [Member]
Percentage of sales commission received	10.00%
Percentage of non-accountable expense allowance	3.00%
Percentage of purchase warrants offering	20.00%
Commissions	$ 42,900	$ 144,454
Number of warrants granted during the period	30,625	118,157

Subsequent Events (Details Narr

Subsequent Events (Details Narrative) - USD ($)	Jul. 13, 2016	Jun. 30, 2016	Jun. 30, 2015
Proceeds from issuance of preferred stock		$ 451,250	$ 800,795
Series E Preferred Stock [Member]
Number of stock sold during the period		15,000
Warrants exercisable price per share		$ 2
Fair value of warrants		$ 18,210
Stock price		$ 1.25
Exercise price		$ 2
Maturity years		7 years
Volatility rate		170.67%
Risk free rate		1.38%
Subsequent Event [Member] | Placement Agent Warrants [Member] | Meyers Associates LP [Member]
Number of stock sold during the period	1,000
Number of stock sold value during the period	$ 125
Issuance of common stock shares	13,750
Warrants exercisable price per share	$ 2
Fair value of warrants	$ 16,698
Stock price	$ 1.25
Exercise price	$ 2
Maturity years	7 years
Volatility rate	171.24%
Risk free rate	1.10%
Subsequent Event [Member] | Series E Preferred Stock [Member]
Number of preferred stock shares issued during the period	110
Proceeds from issuance of preferred stock	$ 110,000
Stock offering costs	$ 17,650
Subsequent Event [Member] | Series E Preferred Stock [Member] | Class E Warrants [Member]
Number of stock sold during the period	1,000
Number of stock sold value during the period	$ 125
Issuance of common stock shares	13,750
Warrants exercisable price per share	$ 3
Fair value of warrants	$ 16,590
Stock price	$ 1.25
Exercise price	$ 3
Maturity years	7 years
Volatility rate	171.24%
Risk free rate	1.10%