Soupman (SOUPQ) 10-K 14 Dec 16 2016 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($)	12 Months Ended
	Aug. 31, 2016	Dec. 14, 2016	Feb. 29, 2016
Document and Entity Information [Abstract]
Entity Registrant Name	SOUPMAN, INC.
Entity Central Index Key	1,475,273
Amendment Flag	false
Current Fiscal Year End Date	--08-31
Entity Voluntary Filer	No
Entity Well-known Seasoned Issuer	No
Entity Current Reporting Status	Yes
Document Type	10-K
Document Period End Date	Aug. 31, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	FY
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		242,754,924
Entity Public Float			$ 4,917,114

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Aug. 31, 2016	Aug. 31, 2015
Current Assets
Cash	$ 1,424,544	$ 611,354
Accounts receivable - net	321,347	180,766
Inventory	286,804	358,934
Prepaid expenses	108,693	47,506
Total Current Assets	2,141,388	1,198,560
Property and equipment - net	4,423	8,438
Other Assets
Due from franchisees	52,951	16,273
Intangible assets - net		1,577
Other	20,161	4,800
Total Other Assets	73,112	22,650
Total Assets	2,218,923	1,229,648
Current Liabilities
Accounts payable and accrued liabilities	3,990,306	4,431,198
Current portion of convertible debt - net of discount	130,680	1,296,597
Current portion of demand debt - net of discount	1,991,996	3,082,563
Deferred revenue	157,513	204,249
Derivative liabilities	3,311,580	239,748
Total Current Liabilities	9,582,075	9,254,355
Long Term Liabilities
Convertible debt - net of discount	186,667
Demand debt	1,709,500
Total Long Term Liabilities	1,896,167
Total Liabilities	11,478,242	9,254,355
Stockholders' Deficit
Preferred stock
Common stock, par value $0.001; 500,000,000 shares authorized, 221,904,924 an 70,967,340 issued and outstanding	221,905	70,968
Additional paid in capital	22,298,089	17,410,385
Accumulated deficit	(31,118,452)	(24,821,607)
Total Stockholders' Deficit	(8,585,422)	(7,321,231)
Noncontrolling interest	(673,897)	(703,476)
Total Deficit	(9,259,319)	(8,024,707)
Total Liabilities and Stockholders' Deficit	2,218,923	1,229,648
Series A Convertible Preferred Stock [Member]
Stockholders' Deficit
Preferred stock	879	882
Total Deficit	879	882
Series B Convertible Preferred Stock [Member]
Stockholders' Deficit
Preferred stock	10,431	18,141
Total Deficit	10,431	18,141
Series C Convertible Preferred Stock [Member]
Stockholders' Deficit
Preferred stock	1,725
Total Deficit	1,725
Series D Convertible Preferred Stock [Member]
Stockholders' Deficit
Preferred stock	1
Total Deficit	$ 1

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Aug. 31, 2016	Aug. 31, 2015
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	500,000,000	75,000,000
Common stock, shares issued	221,904,924	70,967,340
Common stock, shares outstanding	221,904,924	70,967,340
Series A Convertible Preferred Stock [Member]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	2,500,000	2,500,000
Preferred stock, shares issued	878,639	881,360
Preferred stock, shares outstanding	878,639	881,360
Series B Convertible Preferred Stock [Member]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	45,000,000	45,000,000
Preferred stock, shares issued	10,431,516	18,141,051
Preferred stock, shares outstanding	10,431,516	18,141,051
Series C Convertible Preferred Stock [Member]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	2,500,000	0
Preferred stock, shares issued	1,725,000	0
Preferred stock, shares outstanding	1,725,000	0
Series D Convertible Preferred Stock [Member]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	672	0
Preferred stock, shares issued	672	0
Preferred stock, shares outstanding	672	0

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Revenue
Soup sales - net	$ 2,399,870	$ 1,756,063
Franchise sales - net	206,250
Franchise royalties	46,736	173,326
Total revenue	2,652,856	1,929,389
Cost of sales	2,081,118	1,762,209
Gross profit	571,738	167,180
Operating expenses:
General and administrative	3,901,895	1,799,771
Royalty	91,437	80,283
Total operating expenses	3,993,332	1,880,054
Loss from operations	(3,421,594)	(1,712,874)
Other income (expense)
Interest expense	(686,937)	(1,297,045)
Gain (loss) on settlement of accounts payable - net	(39,037)	141,540
Gain (loss) on settlement of debt and accrued liabilities	(1,397,234)	26,791
Change in fair value of derivative liabilities	(722,464)	289,952
Loss on debt extinguishment		(198,132)
Debt conversion expense		(204,313)
Total other expense	(2,845,672)	(1,241,207)
Net loss including non-controlling interest	(6,267,266)	(2,954,081)
Net income (loss) attributable to non-controlling interest	29,579	(14,462)
Net loss attributable to Soupman	(6,296,845)	(2,939,619)
Deemed dividend on Series B preferred stock	(3,215,651)
Net loss attributable to common stockholders	$ (9,512,496)	$ (2,939,619)
Net loss per share, basic & diluted	$ (0.09)	$ (0.05)
Weighted average shares outstanding, basic & diluted	102,333,610	62,129,481

Consolidated Statement of Stock

Consolidated Statement of Stockholders' Deficit - USD ($)		Series A Convertible Preferred Stock [Member]	Series B Convertible Preferred Stock [Member]	Series C Convertible Preferred Stock [Member]	Series D Convertible Preferred Stock [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Deficit [Member]	Noncontrolling Interest [Member]	Total
Beginning balance at Aug. 31, 2014		$ 932				$ 47,171	$ 12,114,969	$ (21,881,988)	$ (689,014)	$ (10,407,930)
Beginning balance, shares at Aug. 31, 2014		931,360				47,170,509
Stock based compensation							157,354			157,354
Issuance of common stock for services rendered ($0.03 - $0.19/share)						$ 20,340	821,141			841,481
Issuance of common stock for services rendered ($0.03 - $0.19/share), shares						20,339,774
Issuance of stock for cash			$ 10,224				1,889,525			1,899,749
Issuance of stock for cash, shares			10,223,750
Issuance of Series B preferred stock for warrants exercised ($0.20 /share)			$ 2,826				562,462			565,288
Issuance of Series B preferred stock for warrants excercised ($0.20 /share), shares			2,826,440
Issuance of Series B preferred stock for services rendered ($0.40)			$ 250				99,750			100,000
Issuance of Series B preferred stock for services rendered ($0.40), shares			250,000
Issuance of Series B preferred stock for debt and accrued interest ($0.40/share)			$ 4,841				1,931,504			1,936,345
Issuance of Series B preferred stock for debt and accrued interest ($0.40/share), shares			4,840,861
Conversion of preferred stock to common stock		$ (50)				$ 50
Conversion of preferred stock to common stock, shares		(50,000)				50,000
Beneficial conversion feature on convertible debt
Issuance of additional Series B preferred stock for inducement to settle debt							204,313			204,313
Reclassification of derivatives on settled debts							202,131			202,131
Reclassification of unamortized debt discount on settled debts							(30,411)			(30,411)
Reclassification of tainted derivatives (warrants)							(37,179)			(37,179)
Forfeiture of awarded shares							(607,739)			(607,739)
Issuance of common stock for debt and accrued interest ($0.02 - $0.40)						$ 3,407	102,565			105,972
Issuance of common stock for debt and accrued interest ($0.02 - $0.40), shares						3,407,057
Net Loss								(2,939,619)	(14,462)	(2,954,081)
Ending balance at Aug. 31, 2015		$ 882	$ 18,141			$ 70,968	17,410,385	(24,821,607)	(703,476)	(8,024,707)
Ending balance, shares at Aug. 31, 2015		881,360	18,141,051			70,967,340
Stock based compensation			$ 279			$ 6,244	493,922			500,445
Stock based compensation, shares	[1]		279,405			6,243,502
Issuance of common stock for services rendered ($0.03 - $0.19/share)						$ 8,131	489,636			497,767
Issuance of common stock for services rendered ($0.03 - $0.19/share), shares						8,130,523
Issuance of stock for cash						$ 1,031	40,219			41,250
Issuance of stock for cash, shares						1,031,250
Issuance of additional common stock for inducement to settle debt and AP						$ 2,250	154,375			156,625
Issuance of additional common stock for inducement to settle debt and AP, shares						2,250,000
Excess of fair market value of common stock over share issuance price to settle debt							161,111			161,111
Issuance of Series B preferred stock for cash ($0.20 /share)			$ 1,200				238,800			240,000
Issuance of Series B preferred stock for cash ($0.20 /share), shares			1,200,000
Issuance of Series B preferred stock for warrants exercised ($0.20 /share)			$ 3,549				706,251			709,800
Issuance of Series B preferred stock for warrants excercised ($0.20 /share), shares			3,549,000
Issuance of Series B preferred stock for debt and accrued interest ($0.40/share)			$ 2,750				1,097,250			1,100,000
Issuance of Series B preferred stock for debt and accrued interest ($0.40/share), shares			2,750,000
Conversion of preferred stock to common stock		$ (3)				$ 3
Conversion of preferred stock to common stock, shares		(2,721)				2,721
Conversion of Series B preferred stock to Series C preferred stock			$ (3,450)	$ 1,725			1,725
Conversion of Series B preferred stock to Series C preferred stock, shares			(3,450,000)	1,725,000
Conversion of Series B preferred stock to common stock			$ (12,038)			$ 120,379	(108,341)
Conversion of Series B preferred stock to common stock, shares			(12,037,940)			120,379,400
Issuance of Series D preferred stock for debt					$ 1		332,639			332,640
Issuance of Series D preferred stock for debt, shares					672
Reclassification of remaining derivative debt relating to converted notes							2,068			2,068
Tainting of convertible notes and warrants							(9,298)			(9,298)
Beneficial conversion feature on convertible debt							1,800			1,800
Deemed dividend on Series B preferred stock							(3,215,651)			(3,215,651)
Beneficial conversion feature on Series B preferred stock							3,215,651			3,215,651
Excess of fair market value of Series B stock over share issuance price to settle debt							852,500			852,500
Issuance of common stock for debt and accrued interest ($0.02 - $0.40)						$ 12,899	433,047			445,946
Issuance of common stock for debt and accrued interest ($0.02 - $0.40), shares						12,900,188
Net Loss								(6,296,845)	29,579	(6,267,266)
Ending balance at Aug. 31, 2016		$ 879	$ 10,431	$ 1,725	$ 1	$ 221,905	$ 22,298,089	$ (31,118,452)	$ (673,897)	$ (9,259,319)
Ending balance, shares at Aug. 31, 2016		878,639	10,431,516	1,725,000	672	221,904,924
[1]	Total stock issued for compensation consists of both common shares and Series B preferred shares; see note 7D.

Consolidated Statement of Stoc6

Consolidated Statement of Stockholders' Deficit (Parenthetical) - $ / shares	Aug. 31, 2016	Aug. 31, 2015
Series B Convertible Preferred Stock [Member]
Stock issued for services rendered, issuance price per share		$ 0.40
Stock issued for debt & accrued interest, issuance price per share	$ 0.71	0.40
Stock issued for cash, issuance price per share	0.20
Stock issued for warrants exercised, price per share	0.20	0.20
Series B Convertible Preferred Stock [Member] | Minimum [Member]
Stock issued for cash, issuance price per share		0.16
Series B Convertible Preferred Stock [Member] | Maximum [Member]
Stock issued for cash, issuance price per share		0.20
Common Stock [Member]
Stock issued for debt & accrued interest, issuance price per share	0.40
Stock issued for cash, issuance price per share	0.04
Common Stock [Member] | Minimum [Member]
Stock issued for services rendered, issuance price per share	0.05	0.03
Stock issued for debt & accrued interest, issuance price per share		0.02
Stock issued for cash, issuance price per share
Stock issued for conversion of stock, issuance price per share		0.001
Common Stock [Member] | Maximum [Member]
Stock issued for services rendered, issuance price per share	$ 0.14	0.19
Stock issued for debt & accrued interest, issuance price per share		0.10
Stock issued for cash, issuance price per share
Stock issued for conversion of stock, issuance price per share		$ 0.001

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Cash Flows From Operating Activities:
Net loss	$ (6,267,266)	$ (2,954,081)
Adjustments to reconcile net loss to net cash used in operating activities
Depreciation	4,015	5,048
Bad debt expense (recovery)	(26,417)	241,581
Amortization of intangibles	1,577	9,401
Amortization of debt discount	281,304	643,105
Stock based compensation	500,445	157,354
Common stock issued for services	497,767	536,615
Excess of fair market value of Series B over share issuance price to settle debt	852,500
Common stock issued for inducement to settle debt	120,000	204,313
Excess of fair market value of common stock over share issuance price to settle debt	161,111
Change in fair market value of derivative liabilities	722,464	(289,952)
Credit of note payable against franchise license agreement	(100,000)
Loss (gain) on settlement of accounts payable	39,037	(141,540)
Loss (gain) on settlement of debt and accrued liabilities	263,623	(26,791)
Loss on debt extinguishment		198,132
Forfeiture of awarded shares		(607,739)
(Increase) decrease in:
Accounts receivable - net	(114,164)	(17,755)
Accounts receivable - related party		30,039
Inventory	72,130	108,724
Prepaid expenses	(61,187)	(7,737)
Other assets	(15,361)	4,892
Accounts payable and accrued liabilities	411,166	506,663
Accounts payable and accrued liabilities - related parties		(145,291)
Deferred franchising revenue	(46,736)	(4,000)
Net Cash Used in Operating Activities	(2,703,992)	(1,549,019)
Cash Flows From Investing Activities:
Due from franchisee	(36,678)	46,410
Net Cash Provided by (Used in) Investing Activities	(36,678)	46,410
Cash Flows From Financing Activities:
Proceeds from issuance of notes	3,062,890	483,500
Proceeds from issuance of common stock for cash	41,250
Proceeds from issuance of Series B preferred stock for cash	240,000	1,899,749
Proceeds from exercise of Series B preferred stock warrants	709,800	565,288
Repayment of debt and accrued interest in cash	(500,080)	(848,753)
Net Cash Provided by Financing Activities	3,553,860	2,099,784
Net increase in cash	813,190	597,175
Cash at beginning of year	611,354	14,179
Cash at end of year	1,424,544	611,354
Supplemental disclosures of cash flow information:
Cash paid for interest	82,104	4,000
Cash paid for taxes
Supplemental disclosures of non-cash investing and financing activities:
Debt discount recorded on derivatives	2,342,138	316,102
Debt discount recorded on Series D preferred stock issued with debt	332,640
Debt converted to Series B preferred stock	1,100,000	1,936,345
Debt and accrued interest converted to common stock	445,946	83,972
Reclassification of accrued interest to debt	712,898	40,934
Reclassification of accrued commissions to debt	12,500
Tainting of derivatives related to convertible notes	9,298
Reclassification of derivative liabilities to equity	2,068	239,310
Beneficial conversion feature on convertible debt	1,800
Conversion of Series B preferred stock to common stock	120,379
Conversion of Series B preferred stock Series C preferred stock	1,725
Conversion of Series A preferred stock to common stock	3	50
Issuance of stock for prior year(s) employee payroll and expenses		404,866
Reclassification of unamortized debt discount on settled debts to APIC		$ 30,411

Description of Business and Sum

Description of Business and Summary of Significant Accounting Policies	12 Months Ended
	Aug. 31, 2016
Accounting Policies [Abstract]
Description of Business and Summary of Significant Accounting Policies	Note 1 - Description of Business and Summary of Significant Accounting Policies The Company (fka/ Passport Arts, Inc.) was incorporated in the State of Nevada on December 2, 2008. On January 31, 2011, the Company reincorporated in Delaware and changed its name to Soupman, Inc. The Company manufactures and sells a variety of soups to grocery chains and franchisees. Fiscal Year The Company’s fiscal year-end is August 31. Principles of Consolidation The consolidated financial statements include the accounts of Soupman, Inc., its wholly owned subsidiary The Original Soupman, Inc. (“OSM”), OSM’s wholly-owned subsidiary, International Gourmet Soups, Inc. (“IGS”), and IGS’s 80%-owned subsidiary Kiosk Concepts, Inc. (“Kiosk”) (collectively “Soupman” or “the Company”.) The Company reports the non-controlling interests in Kiosk on its statement of equity as a component separate from the Company’s equity and on its statement of operations as a component separate from the Company’s income. All significant intercompany transactions and balances have been eliminated in consolidation. Reclassification The Company has reclassified certain prior year amounts to conform to the current year’s presentation. As part of these reclassifications, the Company combined its accounts payable & accrued liabilities – related parties, which was made up only accrued amounts due to employees, with its accounts payable & accrued liabilities and reclassed certain accounts payable on the 2015 balance sheet to deferred revenue. In addition, the Company broke out it prior year’s total for stock issued for Series B shares on its statement of equity and statement of cash flow into two separate categories: stock issuance for cash and stock issuance for the exercise of warrants. Uses of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Such estimates and assumptions impact both assets and liabilities, including but not limited to: net realizable value of accounts receivable and inventory, estimated useful lives and potential impairment of property and equipment, estimates used in the valuation of intangible assets and potential impairment thereof, estimates of fair value of share based payments, estimates of fair value of warrants issued and recorded as debt discount, estimates of tax liabilities, estimates of the probability and potential magnitude of contingent liabilities and assumptions used to calculate volatility for the company’s derivative liabilities. Making estimates requires management to exercise significant judgment. It is at least reasonably possible that the estimate of the effect of a condition, situation or set of circumstances that existed at the date of the financial statements, which management considered in formulating its estimate, could have since changed or could change in the near term due to one or more future non-conforming events. Accordingly, actual results could differ significantly from estimated results. Risks and Uncertainties The Company’s operations are subject to risk and uncertainties including financial, operational, regulatory and other risks including the potential risk of business failure. These conditions may limit our access to capital. See Note 10 – Going Concern. The Company has experienced, and in the future expects to continue to experience, variability in its sales and earnings. The factors expected to contribute to this variability include, among others, (i) the uncertainty associated with the success of franchisees, (ii) the cyclical nature of the soup business, (iii) general economic conditions and (iv) the related volatility of prices pertaining to the cost of sales. Cash and Cash Equivalents The Company minimizes credit risk associated with cash by periodically evaluating the credit quality of its primary financial institution(s). The balance at times may exceed federally insured limits; at August 31, 2016 and 2015, respectively, the balances did not exceed the federally insured limit. The Company has no cash equivalents. Accounts Receivable and Allowance for Doubtful Accounts The Company recognizes an allowance for losses on accounts receivable in an amount equal to the estimated probable losses net of recoveries. The allowance is based on an analysis of historical bad debt experience, current receivables aging, and expected future write-offs, as well as an assessment of specific identifiable customer accounts considered at risk or uncollectible. Inventory Inventory consists of finished goods - soups and is stated at the lower of cost or market using the FIFO method of accounting. The Company does not have any work in progress or raw materials. Loss Contingencies The Company is subject to the possibility of various losses arising from the ordinary course of business. Each quarter ( the Company considers the likelihood of a loss or impairment of an asset or the incurrence of a liability, as well as its ability to estimate the amount of loss in determining loss contingencies. An estimated loss contingency is accrued when it is probable that an asset has been impaired or a liability has been incurred and the amount of loss can be reasonably estimated. Property and Equipment Property and equipment is stated at cost less accumulated depreciation and is reviewed each quarter, or whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Depreciation of property and equipment is provided utilizing the straight-line method over the estimated useful live of the respective asset(s). Expenditures for maintenance and repairs are expensed as incurred. Intangible Assets Amortization of identifiable intangible assets is provided utilizing the straight-line method over the estimated useful life of the respective asset(s) and are reviewed quarterly for impairment or if an indicator(s) of a potential impairment exist. As of August 31, 2016, all intangible assets have been fully amortized. Fair Value of Financial Instruments The Company measures assets and liabilities at fair value based on an expected exit price as defined by the authoritative guidance on fair value measurements, which represents the amount that would be received on the sale of an asset or paid to transfer a liability, as the case may be, in an orderly transaction between market participants. As such, fair value may be based on assumptions that market participants would use in pricing an asset or liability. The authoritative guidance on fair value measurements establishes a consistent framework for measuring fair value on either a recurring or nonrecurring basis whereby inputs, used in valuation techniques, are assigned a hierarchical level. The following are the hierarchical levels of inputs to measure fair value: ● Level 1 – ● Level 2 - Inputs reflect quoted prices for identical assets or liabilities in markets that are not active; quoted prices for similar assets or liabilities in active markets; inputs other than quoted prices that are observable for the assets or liabilities; or inputs that are derived principally from or corroborated by observable market data by correlation or other means. ● Level 3 – ’ 2016 2015 Derivative liabilities (balance) $ 3,311,580 $ 239,748 The Level 3 valuation relates to derivative liabilities measured using management's estimates of fair value as well as other significant inputs, such as volatility and risk free interest rate, which may be unobservable. See Note 6. The Company has determined the estimated fair value amounts presented in these financial statements using available market information and appropriate methodologies. However, considerable judgment is required in interpreting market data to develop the estimates of fair value. The estimates presented in the financial statements are not necessarily indicative of the amounts that could be realized in a current market exchange. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts. Fair value estimates are based upon pertinent information available. The Company has determined that the carrying value of all financial instruments approximates fair value. The Company's financial instruments consist primarily of accounts receivable, inventory, prepaid expenses, accounts payable and accrued liabilities and debt. The carrying amounts of the Company's financial instruments generally approximated their fair values as of August 31, 2016 and 2015, respectively, due to the short-term nature of these instruments. Derivative Liabilities Fair value accounting requires bifurcation of embedded derivative instruments, such as ratchet provisions or conversion features in convertible debt or equity instruments, and measurement of their fair value. In determining the appropriate fair value, the Company uses the Black-Scholes pricing model. In assessing the convertible debt instruments, management determines if the convertible debt host instrument is conventional convertible debt and further if there is a beneficial conversion feature requiring measurement. If the instrument is not considered conventional convertible debt, the Company will continue its evaluation process of these instruments as derivative financial instruments. Once derivative liabilities are determined, they are adjusted to reflect fair value at the end of each reporting period. Any increase or decrease in the fair value is recorded in results of operations as a change in fair value of derivatives. In addition, the fair value of freestanding derivative instruments such as warrants, are also valued using the Black-Scholes pricing model. Debt Issue Costs The Company may record debt issue costs in connection with raising funds through the issuance of debt. These costs may be paid in the form of cash or warrants, the fair value of which is determined using the Black-Scholes pricing model. Debt Discount The Company records debt discounts in connection with raising funds through the issuance of debt. These costs are amortized over the original term of the debt and recorded as interest expense. If a conversion of the underlying debt occurs, a proportionate share of the unamortized amounts is immediately expensed. Original Issue Discount For certain convertible debts, the Company provides the debt holder with an original issue discount. The original issue discount is recorded as debt discount, reducing the face amount of the note and is amortized over the original term of the debt and recorded to interest expense. Share-Based Payments Generally, all forms of share-based payments, including stock option grants, warrants and restricted stock grants and stock appreciation rights issued to employees are accounted for under ASC 718 and are measured at their fair value on the awards’ grant date, based on estimated number of awards that are ultimately expected to vest. Share-based compensation awards issued to non-employees for services rendered are accounted for under ASC 505-50 and are recorded at either the fair value of the services rendered or the fair value of the share-based payment, whichever is more readily determinable. Fair value of stock options and warrants, is generally determined using a Black-Scholes pricing model, which incorporates assumptions about expected volatility, risk free rate, dividend yield, and expected life. Compensation cost for share-based awards is recognized on a straight-line basis over the vesting period. Revenue Recognition Revenue is recorded when all of the following have occurred: (1) persuasive evidence of an arrangement exists, (2) the asset(s) are transferred to the customer without further obligation by the Company, (3) the sales price to the customer is fixed or determinable, and (4) collectability is reasonably assured. The Company recognizes soup revenue when the product(s) are received by the customer and the risk of ownership is transferred to the customer. Sales discounts and promotions, such as “buy one, get one free”, and slotting fees are netted against soup revenue. For the years ended August 31, 2016 and 2015, the Company recorded incentives of $3,000 and $522,013. The Company does not offer a right of return. Revenues from individual franchise sales are recognized when substantially all significant services that are to be provided by the Company have been performed. Royalty fees are charged to the franchisee at 5% of the franchisee's gross sales and are recorded when charged. The Company charges its franchisees an advertising fee equal to ½% of their sales revenue and initially carries this fee as a liability, which is included as a component of accounts payable and accrued liabilities. This advertising fee is expensed as advertising dollars are spent. Deferred Revenue Deferred franchise revenues result from payments received from new franchises prior to the Company’s performance under the terms of the franchise agreements. Often these payments are made before stores locations have been identified. Cost of Sales Cost of sales represents costs directly related to the production and manufacturing of the Company’s products. Soup sold is typically shipped directly to the customer from the Company’s third party manufacturer or warehouse and the associated costs are shown as a component of cost of sales. Advertising The Company expenses advertising costs when incurred. Advertising expense for the years ended August 31, 2016 and 2015 is as follows: 2016 2015 Advertising $ 30,341 $ 11,117 Earnings (Loss) Per Share Basic earnings/loss per share (“EPS”) is computed by dividing net loss attributable to the Company that is available to common stockholders by the weighted average number of common shares outstanding during the period, excluding the effects of any potentially dilutive securities. Diluted EPS gives effect to all dilutive potential of shares of common stock outstanding during the period including stock warrants, using the treasury stock method (by using the average stock price for the period to determine the number of shares assumed to be purchased from the exercise of warrants), and convertible debt, using the if-converted method. Diluted EPS excludes all dilutive potential of shares of common stock if their effect is anti-dilutive. The Company has the following potential common stock equivalents at August 31, 2016 and 2015: 2016 2015 Stock options 2,275,000 1,975,000 Warrants 6,286,050 7,496,140 Convertible Series A preferred shares (converted to common stock at 1:1 basis) 878,639 881,360 Convertible Series B preferred shares (converted to common stock at 1:10 basis) 104,315,160 181,410,510 Convertible Series C preferred shares (converted to common stock at 1:20 basis) 34,500,000 — Convertible Series D preferred shares (converted to common stock at 1:50,000 basis) 33,600,000 — Convertible debt - derivatives liabilities (exercise price $0.02 - $0.40/share) 169,175,000 4,147,963 Total common stock equivalents 351,029,849 195,910,973 At August 31, 2016, the total number of issued and outstanding shares plus the total common stock equivalents exceeded the number of authorized shares; as a result, all convertible debt and warrants were tainted. The number of common stock equivalents may change at each reporting period. The Company reflected a net loss for the years ended August 31, 2016 and 2015; therefore, the effect of considering any common stock equivalents would have been anti-dilutive; consequently, a separate computation of diluted earnings (loss) per share is not presented. Non-controlling Interest In December 2009, OSM acquired 80% of Kiosk, which it reported the third party’s 20% as a noncontrolling interest. As part of the Company’s merger in December 2010 with OSM, the Company began to report this noncontrolling interest on its financial statements. Concentrations Accounts Receivable The following table shows significant concentrations in our accounts receivable at August 31, 2016 and 2015. 2016 2015 A 0 % 19 % B 29 % 0 % C 29 % 3 % D 14 % 32 % E 0 % 10 % F 0 % 10 % Vendors The following table shows significant concentrations in our purchases for the years ended August 31, 2016 and 2015. 2016 2015 A 66 % 51 % B 26 % 11 % C 5 % 18 % Sales The following table shows significant concentrations in our revenues for the years ended August 31, 2016 and 2015. 2016 2015 A 24 % 9 % B 14 % 19 % C 13 % 14 % D 3 % 11 % E 4 % 10 % F 3 % 10 % Income Taxes The Company accounts for income taxes in accordance with ASC Topic 740, “ Income Taxes In addition, ASC Topic 740-20, “Income Taxes – Intraperiod Tax Allocation” Recent Accounting Pronouncements In April 2015, the FASB issued ASU No. 2015-03, Interest — Imputation of Interest: Simplifying the Presentation of Debt Issuance Costs (“ASU 2015-03”), which requires that debt issuance costs be presented as a direct deduction from the carrying amount of the related debt liability, consistent with the presentation of debt discounts. Prior to the issuance of ASU 2015-03, debt issuance costs were required to be presented as other assets, separate from the related debt liability. ASU 2015-03 does not change the recognition and measurement requirements for debt issuance costs. The standard was effective for fiscal years beginning after December 15, 2015 on a retrospective basis. The Company adopted this update retrospectively during the period ended August 31, 2016. In July 2015, the FASB issued ASU 2015-11, "Simplifying the Measurement of Inventory" ("ASU 2015-11"). The previous standard required entities to measure inventory at the lower of cost or market, with market defined as net realizable value or replacement cost. ASU 2015-11 requires entities to measure inventory at the lower of cost and net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. ASU 2015-11 is effective for annual reporting periods beginning after December 15, 2016, including interim periods therein. The Company does not anticipate that adoption of this ASU it will have a material effect on its financial statements. In March 2016, the FASB issued ASU 2016-09, "Stock Compensation," which is intended to simplify several aspects of the accounting for share-based payment award transactions, including adjustments to the timing of when excess tax benefits should be recorded and classification in the statement of cash flows. The guidance will be effective for fiscal years beginning after December 15, 2016, including interim periods within those years. The Company does not anticipate that adoption of this ASU will materially affect its results of operations

Accounts Receivable _ Accounts

Accounts Receivable / Accounts Receivable - Related Parties	12 Months Ended
	Aug. 31, 2016
Receivables [Abstract]
Accounts Receivable / Accounts Receivable - Related Parties	Note 2 - Accounts Receivable / Accounts Receivable – Related Parties Accounts receivable consisted of the following at August 31, 2016 and 2015. 2016 2015 Accounts receivable $ 321,347 $ 431,384 Allowance for doubtful accounts (franchise receivables) — (250,618 ) Accounts receivable – net $ 321,347 $ 180,766 For the years ended August 31, 2016 and 2015, related party accounts receivables represented amounts owed to the Company by franchises for soup sold to locations owned or operated by directors of the Company. Related-parties receivable consisted of the following at August 31, 2016 and 2015. 2016 2015 Accounts receivable $ — $ 46,296 Allowance for doubtful accounts (franchise receivables) — (46,296 ) Accounts receivable – net $ — $ — For the year ended August 31, 2016, the Company recognized $26,417 bad debt recovery (included in general and administrative expense).At August 31, 2015, the Company took a 100% reserve against its accounts receivable franchisees nonrelated parties and a 100% reserve against its accounts receivable franchisees related parties, and recorded a total bad debt expense of $241,581, which included a direct write-off of $176,570. The Company’s accounts receivable reserves and the recordation of bad debt expense related solely to the Company’s franchisees. These reserves were taken due to the age of the receivables; however, since the Company has personal guarantees from each of its franchisees, the Company fully intends on collecting these receivables, in which case they will record the payments as bad debt recovery (offset to general and administrative expense).

Prepaid Expenses

Prepaid Expenses	12 Months Ended
	Aug. 31, 2016
Prepaid Expense and Other Assets, Current [Abstract]
Prepaid Expenses	Note 3 - Prepaid Expenses Prepaid expenses consist of the following at August 31, 2016 and 2015. 2016 2015 Prepaid insurance $ 48,715 $ 25,941 Prepaid freight 4,899 4,899 Prepaid Inventory 27,412 — Prepaid other 27,667 16,666 Prepaid expenses – net $ 108,693 $ 47,506

Accounts Payable and Accrued Li

Accounts Payable and Accrued Liabilities	12 Months Ended
	Aug. 31, 2016
Accounts Payable and Accrued Liabilities [Abstract]
Accounts Payable and Accrued Liabilities	Note 4 - Accounts Payable and Accrued Liabilities For the year ended August 31, 2016, the Company recorded a loss of $39,037 on the settlement of certain accounts payable and accrued interest. For the year ended August 31, 2015, the Company recorded a net gain of $141,540 on the settlement of certain accounts payable and accrued interest.

Debt

Debt	12 Months Ended
	Aug. 31, 2016
Debt Disclosure [Abstract]
Debt	Note 5 - Debt Debt consists of the following at August 31, 2016 and 2015: Description 2016 2015 A. Convertible debt – derivative liabilities $ 3,491,000 $ 1,296,597 Less : debt discount (3,173,653 ) — Convertible debt – net 1 317,347 1,296,597 B. Convertible debt – non-derivatives — — Less : debt discount — — Convertible debt – net — — C. Unsecured demand debt 1,816,227 382,563 Less : debt discount (4,731 ) — Unsecured demand debt – net 2 1,811,496 — D. Secured demand debt 3 1,890,000 2,700,000 Total debt - net $ 4,018,843 $ 4,379,160 1. Includes $130,680 of short-term debt and $186, 667 of long-term debt 2. Includes $791,996 of short-term debt and $1,019,500 of long-term debt 3. Includes $1,200,000 of short-term debt and $690,000 of long-term debt During the years ended August 31, 2016 and 2015, the Company determined that all of its convertible debt and warrant instruments were tainted. See Note 6. The Company’s total debt is $7,197,227 and is due and payable over the next 4 fiscal years as set out below: Year Principle Repayment Past Due $ 1,715,595 2017 412,132 2018 3,837,621 2019 620,231 2020 611,648 Total Debt $ 7,197,227 The corresponding debts above are more fully discussed below: (A) Convertible Debt - Derivative Liabilities Description 2016 2015 Carry forward balance $ 1,296,597 $ 1,533,154 Borrowings 1 3,480,000 300,000 Loss for additional debt brought about by debt settlements 45,147 — Repayment of derivative debt (25,000 ) (32,692 ) Conversion of derivative debt to common stock (370,000 ) (790,712 ) Reclassification of convertible derivative debt to demand debt (936,744 ) — Gain on settlement of debt (5,000 ) — Reclassification of convertible debt to derivative debt due to tainting 6,000 286,847 Ending balance $ 3,491,000 $ 1,296,597 1. Includes net proceeds of $2,703,435, an original issue discount $360,000 and debt issue costs (recorded as debt discount) of $416,565 During the year ended August 31, 2016, the Company settled a lawsuit with certain investors, incurring a loss of $45,147, which was recorded as additional debt. The $45,147 loss is included in the “gain (loss) on settlement of debt and accrued liabilities” on the Income Statement. During the years ended August 31, 2016, $370,000 of the Company’s convertible debt along with $75,946 accrued interest was converted into shares of the Company’s common stock and loss of $161,111 was recognized for the excess of fair market value of common stock over share issuance price to settle debt. The $161,111 loss is included in the “gain (loss) on settlement of debt and accrued liabilities” on the Income Statement. During the years ended August 31, 2016, the Company repaid an investor $95,000 of the inventor’s $100,000 note and recorded as a gain of $5,000, which is included in the gain (loss) on settlement of debt and accrued liabilities on the Income Statement. As part of that same agreement, $43,654 of accrued interest was forgiven and was also recorded as a gain and included in the gain (loss) on settlement of debt and accrued liabilities on the Income Statement. During the years ended August 31, 2016, $936,744 of the Company’s derivative debt became demand debt: $630,000 due to a debt settlement that removed the conversion feature from the note; $219,244 upon the settlement of certain debts which lost their conversion feature due to a court order; and $87,500 due to an automatic conversion feature in certain notes (the Series 2 and Series 3 notes). Per these agreements, the principle and interest were to automatically convert upon the Company raising at least $2 million in equity financing. This condition was met during the fiscal year, but the notes were not converted. Therefore, the nature of these notes changed to demand notes; these notes will be converted in fiscal year 2017. During the years ended August 31, 2016 and 2015, respectively, the Company’s reclassed $6,000 and 286,847 of its convertible debt to derivative debt due to tainting. During the years ended August 31, 2016 and 2015, the Company issued new derivative debt, the terms and amounts of which are set out below: Description Information 2016 2015 Interest Rate 8% - 10 % 10 % Maturity Date(s) Aug. 1, 2016 to April 1, 2018 Oct. 6, 2016 Series 10 10% per annum interest; 24-month term; convertible at $0.04 per share — 300,000 Series 12 10% per annum interest; 2-month term; convertible at $0.04 per share 50,000 — Series 13 8% per annum interest; 12-month terms; automatically converts at $0.02 per share, upon an increase in the number of authorized shares 70,000 — Series 14 8% per annum interest; 20 month term; convertible at $0.02 per share only after the Company increases the number of authorized shares 3,360,000 — Total derivative debt at August 31, 2016 and 2015 consists of the following. Description Information 2016 2015 Series 2 8% per annum interest; convertible at $1.00 per share; term expired $ — $ 120,000 Series 3 8% per annum interest; convertible at $0.75 per share; term expired — 72,500 Series 4 1% per month interest; convertible at $0.75 per share; term expired — 724,097 Series 7 1% per month interest; convertible at $0.60 per share; term expired — 280,000 Series 8 8% per annum interest; convertible at $0.40 per share; term expired. Shown as derivative due to tainting 100,000 100,000 Series 12 10% per annum interest; 2-month term; convertible at $0.02 per share; term expired 25,000 — Series 13 8% per annum interest; convertible at $0.02 per share; remaining term: 10 days 6,000 — Series 14 8% per annum interest; convertible at $0.02 per share only after the Company increases the number of authorized shares; remaining term: 19 months 3,360,000 — Total $ 3,491,000 $ 1,296,597 During the year ended August 31, 2016, the Company entered into a secured agreement with a lender for $3,360,000, which included an original issue discount of $360,000 and debt issuance cost of $416,565 (recorded as debt discount, per ASU 2015-03). The total proceed to the company was $2,583,435. As part of the agreement, the Company issued 672 of its Series D preferred shares, having a relative fair value of $332,640, which was recorded as debt discount. Holders of derivative debt have the option to convert all or part of the note’s principal plus accrued interest into shares of the Company’s common stock at the conversion price(s) and terms set out above. During the year ended August 31, 2015, the Company converted the debt principal of $56,973 into 1,050,000 shares of its common stock. In addition, during the same year, the Company offered to lower the exercise price on convertible debt to $0.04 per share to induce holders of the Company’s derivative debt to convert. This offer was conditioned on the Company raising at least $1 million and required a mandatory conversion if this and one other condition occurred. On June 18, 2015, all conditions were met, and the Company converted the debt principal of $783,739 into 23,313,730 shares of its Series B stock. Extinguishment accounting was applied; as a result, the Company reclassed $202,131 of derivative debt to additional paid in capital. See Note 6. (B) Convertible Debt – Non-derivatives Description 2016 2015 Carry forward balance $ — $ 1,378,207 Borrowings 6,000 83,500 Repayment of convertible debt — (631,819 ) Conversion of convertible debt to stock — (844,250 ) Gain on debt settlement (48,791 ) Reclassification of convertible debt to derivative due to tainting (6,000 ) 63,153 Ending balance $ — $ — During the years ended August 31, 2016 and 2015, the Company incurred an expense of $0 and $204,313 in connection with the settlement of unsecured convertible debt. During the years ended August 31, 2016 and 2015, the Company issued unsecured convertible debt (that was not recorded as a derivative liability), the terms and amounts of which are set out below: Description Information 2016 2015 Interest rate 8 % 8 % Default interest rate N/A N/A Term 9 months Maturity Sept. 11, 2016 Sep. 5, 2014 to Series 9 debt 8% per annum interest; convertible after 180 days at $0.02 per share; 9-months term $ — $ 83,500 Series 13 debt 8% interest; convertible after at $0.02 per share; 2-month term $ 6,000 $ — Holders of convertible non-derivative debt have the option to convert all or part of the note’s principal plus accrued interest into shares of the Company’s common stock at the conversion price(s) and terms set out above. During the year ended August 31, 2015, the Company modified certain debts, cancelling 523,000 warrants that were exercisable at $0.80 and issuing 826,500 3-year warrants exercisable at $0.35 cents. Extinguishment accounting was applied: as a result, the Company recorded a loss on debt extinguishment of $17,723. (C) Unsecured Demand Debt Unsecured demand notes consist of the following at August 31, 2016 and 2015: Description 2016 2015 Carry forward balance $ 382,563 $ 833,192 Borrowings 1 360,000 100,000 Loss on additional debt brought about by debt settlements 121,360 — Repayments (165,080 ) (150,629 ) Credit of note payable against franchise license agreement (100,000 ) — Rollup of accrued interest into debt 268,140 — Rollup of accrued commissions to debt 12,500 — Reclassification of derivative debt to demand debt 936,744 — Conversion of demand debt to stock — (50,000 ) Reclassification to derivative debt due to tainting — (350,000 ) Ending balance $ 1,816,227 $ 382,563 1. Includes net proceeds of $353,455 and debt issue costs (recorded as debt discount) of $6,545. During the year ended August 31, 2016, the Company borrowed $360,000 from two entities. The loans are based on the Company’s cash flows and are paid back daily. The total repayment amount is $490,400, which includes interest of $130,400. The loans mature between February 7, 2017 and March 11, 2017. During the year ended August 31, 2016, the Company entered into a Master Franchise License Agreement with one of its investors. As payment towards the licensing fee, the Company agreed to reclass the $100,000 debt owed the investors as a partial payment towards the licensing fee. Unsecured demand notes consisted of the following at August 31, 2016 and 2015: Description Information 2016 2015 Represents all unsecured demand debt 8% to 12% per annum interest; maturity dates from past due to April 1, 2020 $ 1,816,227 $ 382,563 Total $ 1,816,227 $ 382,563 During the year ended August 31, 2016, the Company settled a debt dispute with a former marketing company for $50,000 plus 1,500,000 shares of common stock, having a fair value of $120,000; the Company recorded a loss in connection with the stock issuance, The Company also recorded a reduction of accrued commissions of $9,472, During the year ended August (D) Secured Demand Debt Description 2016 2015 Carry forward balance $ 2,700,000 $ 2,700,000 Borrowings — — Loss on new debt brought about by debt settlement 155,242 — Repayment of debt (310,000 ) — Conversion of debt to Series B preferred stock (1,100,000 ) — Reclassification of accrued interest to debt 444,758 — Ending balance $ 1,890,000 $ 2,700,000 Secured demand debt consisted of the following activity and terms for the years ended August 31, 2016 and 2015: Information 2016 2015 Interest Rate 5 % 12.75 % Maturity Nov. 15, 2018 Aug. 28, 2014 Second security on the assets of OSM $ 1,890,000 $ 2,700,000 During the year ended August 31, 2016, the Company entered into a debt settlement with one of its secured debt holders for $2,100,000, incurring a loss of $155,242, (E) Debt discount 2016 2015 Total outstanding debt $ 7,197,227 $ 4,379,160 Carry forward debt discount – net — (335,318 ) Debt discount related to derivatives (2,342,138 ) (316,102 ) Debt discount related to Series D preferred stock issued along with debt (332,640 ) Debt discount related to original issue discounts (360,000 ) — Debt discount related to debt issue costs (423,110 ) — Debt discount related to beneficial conversion feature (1,800 ) — Amortization of debt discount 281,304 651,420 Debt – net $ 4,018,843 $ 4,379,160

Derivative Liabilities

Derivative Liabilities	12 Months Ended
	Aug. 31, 2016
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Liabilities	Note 6- Derivative Liabilities The Company identified conversion features embedded within convertible debt and/or warrants (see Note 5(A)). At August 31, 2015, the Company reclassed all of its convertible debts and warrants to derivative debt due to tainting. On February 24, 2014, after the shareholders increased the number of authorized shares, tainting was removed. On July 28, 2016, the Company again tainted its convertible debts and warrants; said debts remain tainted at August 31, 2016. The fair value of the Company’s derivative liabilities at August 31, 2016 and 2015 is as follows. 2016 2015 Carry forward balance $ 239,748 $ 180,418 Fair value at the commitment date recorded as debt discount 2,342,138 353,282 Fair value at the commitment date recorded as derivative expense 2,231,865 527,270 Loss on debt extinguishment — 198,132 Fair value mark-to-market adjustment (1,509,401 ) (817,223 ) Tainting of derivatives of convertible notes and warrants 9,298 (202,131 ) Reclassification of derivative liabilities to equity (2,068 ) — Derivative liabilities (balance) $ 3,311,580 $ 239,748 The Company records debt discount relating to its derivative debt to the extent of gross proceeds raised in its debt financing transactions, and immediately expenses as “derivative expense” the remaining value of the derivative if it exceeded the gross proceeds of the note. The Company recorded a derivative expense of $2,231,865 and $527,270 for the years ended August 31, 2016 and 2015, respectively, and includes this amount in the change in fair value of derivatives on its statements of operations cash flow. The fair value at the commitment and re-measurement dates for convertible debt and warrants that are treated as derivative liabilities were based upon the following management assumptions for the years ended August 31, 2016 and 2015: 2016 Commitment Date Re-measurement Date Exercise price $0.02 - $0.04 $0.02 - $0.04 Expected dividends 0 % 0 % Expected volatility 149% -218 % 204%-232 % Expected term: convertible debt and warrants 0.08 -2.0 years 0.25 to 1.58 years Risk free interest rate 0.28%-0.70 % 0.33%-0.61 % 2015 Commitment Date Re-measurement Date Exercise price $0.20 $0.20 Expected dividends 0 % 0 % Expected volatility 176% -290 % 151%-211 % Expected term: convertible debt and warrants 0.25 -5 years 0.25 to 4.61 years Risk free interest rate 0.10%-0.98 % 0.01%-1.01 % Modification of underlying debt During the years ended August 31, 2015 the Company negotiated modifications to certain of its underlying unsecured notes, which had an embedded conversion feature. For each modification, the Company compared the value of both the old and new convertible debt as well as the fair value of any new warrants granted in the modification. For each debt, the Company determined whether the present value of the cash flows associated with the new debt exceeded the present value of the old debt by more than 10%, and if so, applied extinguishment accounting; for all other notes, modification accounting was applied. For the years ended August 31, 2016 and 2015, respectively, the Company recorded $0 and $0 as debt discount relating to its debt modifications and losses of $0 and $198,132, respectively.

Stockholders' Deficit

Stockholders' Deficit	12 Months Ended
	Aug. 31, 2016
Equity [Abstract]
Stockholders' Deficit	Note 7 - Stockholders’ Deficit (A) Series A – Convertible Preferred Stock Holders of the Company’s Series A preferred shares have no voting rights and receive no dividends, but receive $1.00 per share in the case of liquidation of the Company. This series of shares convert on a 1:1 basis at par value ($0.001) into shares of the Company’s common stock. In the event that shares are issued, the Company will evaluate for beneficial conversion features. Series A convertible preferred stock consists of the following activity for the years ended August 31, 2016 and 2015: Balance - August 31, 2014 $ 931,360 Conversion to common stock (50,000 ) Balance – August 31, 2015 881,360 Conversion to common stock (2,721 ) Balance – August 31, 2016 $ 878,639 No gain or loss was recorded in the conversion of preferred to common stock. (B) Series B – Convertible Preferred Stock During the year ended August 31, 2016, the Company increased its authorized Series B shares from 20,000,000 to 45,000,000. Holders of the Company’s Series B preferred shares receive no dividends, but have 10 votes per share. This series of shares convert on a 1:10 basis at par value ($0.001) into shares of the Company’s common stock. In the event that shares are issued, the Company will evaluate for beneficial conversion features and recorded as deemed dividend. During the year ended August 31, 2016, the Company recorded a deemed dividend on the Series B preferred shares of $3,215,651. Series B convertible preferred stock consists of the following activity for the years ended August 31, 2016 and 2015: Range of value Type Shares Fair value per share Balance – August 31, 2014 — $ — Shares issued for cash 10,223,750 1,899,749 $ 0.16 - $0.20 Shares issued for warrants exercised 2,826,440 568,288 $ 0.20 Shares issued for services 250,000 100,000 $ 0.40 Shares issued for debt and accrued interest 4,840,861 1,936,345 $ 0.40 Balance – August 31, 2015 18,141,051 4,501,382 Shares issued for cash 1,200,000 240,000 $ 0.20 Shares issued for warrants exercised 3,549,000 709,800 $ 0.20 Shares issued for compensation 1 279,405 90,853 $ 0.27 - $0.52 Shares issued for debt and accrued interest 2,750,000 1,952,500 $ 0.71 Shares converted into common stock (12,037,940 ) Shares converted into Series C preferred stock (3,450,000 ) Balance – August 31, 2016 10,431,516 1. Total stock issued for compensation consists of both common shares and Series B preferred shares; see note 7D. (C) Series C – Convertible Preferred Stock During the year ended August 31, 2016, the Company authorized 2,500,000 Series C preferred shares. Holders of the Company’s Series C preferred shares receive no dividends, but have 20 votes per share. This series of shares convert on a 1:20 basis at par value ($0.001) into shares of the Company’s common stock. The company analyzed both ASC 480 and ASR 268 and concluded that its Series C preferred shares are permanent equity. The Company also analyzed for a beneficial conversion feature under ASC 470 and determined there was no deemed dividend. During the year ended August 31, 2016, the Company issued 1,725,000 of its Series C preferred shares for 3,450,000 of its Series B preferred shares. (D) Series D – Convertible Preferred Stock During the year ended August 31, 2016, the Company authorized 672 Series D preferred shares. Holders of the Company’s Series D preferred shares receive no dividends, and have no voting rights. This series of shares have a stated value of $1,000 per shares and convert into shares of the Company’s common stock at $0.02. The Company analyzed both ASC 480 and ASR 268 and concluded that its Series D preferred shares are permanent equity. The Company also analyzed for a beneficial conversion feature under ASC 470 and determined there was no deemed dividend. During the year ended August 31, 2016, the Company issued 672 of its Series D preferred shares, having a relative fair value of $332,640, which was recorded as debt discount. See note 5A. (E) Common Stock For the years ended August 31, 2016 and 2015, the Company issued the following shares of common stock: 2016 Range of value 2015 Range of value Type Shares Fair value per share Shares Fair value per share 1. Stock issued for cash 1,031,250 $ 41,250 $ 0.04 — $ — $ — 2. Stock issued as compensation 1 6,243,502 409,592 0.03—0.08 3. Stock issued for services 8,130,523 497,767 0.05—0.14 20,339,774 841,481 0.03—.019 4. Stock issued in connection with convertible debt (see Note 5(B)) 15,150,158 602,571 0.02—.08 3,407,057 105,972 0.02—.0.10 5. Conversion of Series A Preferred Stock to common stock 2,271 50,000 6. Conversion of Series B Preferred Stock to common stock 120,380,934 1. Total stock issued for compensation consists of both Series B preferred shares and common shares; see note 7B. Unless otherwise indicated, fair value for the share issued was based upon the quoted closing trading price on the dates shares were issued. The corresponding stock issuances above are more fully discussed below: 1 - No expenses were recorded in connection with shares issued 2 - Includes 5,000,000 shares issued to the Company’s CEO for compensation in 2016 3 - Includes 404,866 shares issued for accrued payroll in 2015 4 - Includes $445,946 for the conversion of debt and accrued interest to common stock and $156,625 for the fair value of shares given to settle debt and AP in 2016; include $22,000 for the fair market value of shares given to settle debt in 2015, and $83,972 for the conversion of debt and accrued interest to common stock 5 - Shares issued on a one for one (1 for 1) basis in connection with the conversion of Series A preferred shares; no gain or loss incurred on conversion 6 - Shares issued on a one for ten (1 for 10) basis in connection with the conversion of Series B preferred shares; no gain or loss incurred on conversion During the fiscal year ended August 31, 2015 and pursuant to ASC 718, the company reversed prior period compensation expenses of $562,434 and current period expenses of $45,305 relating to forfeited awards. There was no such reversal during fiscal 2016. (D) Stock Options The following is a summary of the Company’s stock option activity for the years ended August 31, 2016 and 2015: Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life Aggregate Intrinsic Value Balance – August 31, 2014 1,975,000 $ 0.53 6.44 years — Granted — Exercised — Forfeited — Balance – August 31, 2015 1,975,000 $ 0.53 5.44 years — Exercisable – August 31, 2015 1,975,000 $ 0.53 5.44 years — Grant date fair value of options granted – 2015 $ — Weighted average grant date fair value – 2015 $ — Balance – August 31, 2015 1,975,000 $ 0.53 5.44 years — Granted 300,000 $ 0.05 3 years Exercised — Forfeited — Balance – August 31, 2016 2,275,000 $ .46 4.16 years — Exercisable – August 31, 2016 2,275,000 $ .46 4.16 years — Grant date fair value of options granted – 2016 $ 13,800 Weighted average grant date fair value – 2016 $ .046 Outstanding options held by related parties (August 31, 2016) 1,750,000 Exercisable options held by related parties (August 31, 2016) 1,750,000 The following is a summary of the Company’s unvested stock options at August 31, 2016 and 2015. Un-vested Stock Options Weighted Average Grant Date Fair Value Unvested – August 31, 2014 100,000 $ 0.75 Granted — — Vested (100,000 ) — Forfeited/Cancelled — — Unvested – August 31, 2015 — — Granted 300,000 $ 0.05 Vested (300,000 ) $ 0.05 Forfeited/Cancelled — — Unvested – August 31, 2016 — — Weighted average remaining life for vesting — — The Company incurred expenses related to vested options of $13,800 and $0 for the years ended August 31, 2016 and 2015. (E) Stock Warrants The following is a summary of the Company’s stock warrant activity for the years ended August 31, 2016 and 2015; warrants that were not exercised during the term of the warrants are shown in the below table as forfeited: Number of Warrants Weighted Average Exercise Price Balance at August 31, 2014 5,938,202 $ 0.66 Granted (for debt) 951,500 $ .35 Granted (other) 1,975,000 $ .03 Exercised — — Forfeited (1,368,562 ) $ 0.79 Balance at August 31, 2015 7,496,140 $ 0.42 Granted (for debt) — — Granted (other) — — Exercised — — Expired (1,210,090 ) $ .95 Balance at August 31, 2016 6,286,050 $ .33 Warrants Outstanding Warrants Exercisable Range of exercise price Number Outstanding Weighted Average Remaining Contractual Life (in years) Weighted Average Exercise Price Number Exercisable Weighted Average Exercise Price Intrinsic Value $0.03 -$0.80 6,286,050 1.49 $ .33 6,286,050 $ .33 $ 0 During the year ended August 31, 2015, the Company issued 8,750,000 warrants to purchase 8,750,000 of its Series B shares to an investor at $0.20 per warrant, of which 2,826,440 were exercised in 2015 with the Company receiving cash proceeds of $565,288. During the year ended August 31, 2016, the investor exercised an additional 3,549,000 warrants and the Company received cash proceeds of $709,800. The remaining 2,374,560 unexercised warrants expired in 2016.

Commitments and Contingencies

Commitments and Contingencies	12 Months Ended
	Aug. 31, 2016
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 8 - Commitments and Contingencies Commitments The Company is obligated to pay the minority stockholder of Kiosk an amount equal to 3% of its gross soup sales on the first $50,000,000 in sales, 2% of sales between $50,000,000 and $75,000,000, and 1% of sales thereafter, in perpetuity. The Company was obligated to pay the minority stockholder a minimum against these sales of $225,000 per year through June 30, 2014 provided certain services to the Company were rendered. For the years ended August 31, 2016, and 2015, the Company recorded these payments as royalty expense. Litigations, Claims and Assessments Soupman, Inc. is a defendant in a lawsuit filed by Mark Hellner and four other plaintiffs in New York State Supreme Court (Case Index No. 6083/2014). The plaintiffs are holders of a series of notes issued by the Company and are seeking repayment of the notes with interest. The plaintiffs have prevailed in the action and on July 22, 2015 submitted a proposed judgment for $299,202. The entry of this judgment has been fully reserved by the Company. Soupman, Inc. is a defendant in a case initiates by Brand Initiatives Group. LLC v. Soupman. Inc., Index No. 651647/2016. In March 2016, plaintiff initiated an action against the Company for the Company's alleged breach of a marketing contract. Plaintiff commenced this action in the Supreme Court of the State of New York, County of New York. Plaintiff asserted causes of action for breach of contract, conversion, account stated, and quasi-contract/unjust enrichment. The Company answered the complaint, and asserted affirmative defenses and counterclaims seeking damages for plaintiff's breach of contract and a declaratory judgment providing that plaintiff was not entitled to receive any consideration under the contract due to its breach of contract. Plaintiff served a reply to the Company's counterclaims and asserted affirmative defenses to those counterclaims. The parties have served discovery demands upon each other. Neither party has responded the other's discovery demands. There has been no motion practice and no conference with the court has been scheduled. The Company intends to vigorously contest plaintiff s allegations and prosecute the Company's counterclaims, and believes that the Company has meritorious defenses to plaintiff s claims in this action.

Income Taxes

Income Taxes	12 Months Ended
	Aug. 31, 2016
Income Tax Disclosure [Abstract]
Income Taxes	Note 9 - Income Taxes There was no income tax expense for the years ended August 31, 2016 and 2015 due to the Company’s net losses. At August 31, 2016, the Company has a net operating loss carry-forward of approximately $30.9 million available to offset future taxable income, which partially expiring in 2032. The current tax effect should the entire NOL be used is approximately $11.9 million. Utilization of future net operating losses may be limited due to potential ownership changes under Section 382 of the Internal Revenue Code. The Company’s tax expense differs from the “expected” tax expense for the years ended August 31, 2016 and 2015, (computed by applying the Federal Corporate tax rate of 34% to loss before taxes and 7.1% for New York State Corporate Taxes, the blended rate used was 38.69%). The valuation allowance at August 31, 2015 was approximately $10.8 million. The net change in valuation allowance during the year ended August 31, 2016 was an increase of approximately $1.1 million. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not, that some portion or all of the deferred income tax assets will not be realized. The ultimate realization of deferred income tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred income tax liabilities, projected future taxable income, and tax planning strategies in making this assessment. Based on consideration of these items, management has determined that enough uncertainty exists relative to the realization of the deferred income tax asset balances to warrant the application of a full valuation allowance as of August 31, 2016. The effects of temporary differences that gave rise to significant portions of deferred tax assets at August 31, 2016 and 2015 are as follows: Deferred tax assets: 2016 2015 Net operating loss carry-forward $ 11,946,000 $ 10,800,000 Total gross deferred tax assets 11,946,000 10,800,000 Less valuation allowance (11,946,000 ) (10,800,000 ) Net deferred tax assets $ — $ — At August 31, 2016 and 2015, respectively, the Company did not record any liabilities for uncertain tax positions and the Company does not anticipate that it is reasonably possible that unrecognized tax benefits as of August 31, 2016, will significantly change within the next 12 months.

Going Concern

Going Concern	12 Months Ended
	Aug. 31, 2016
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Going Concern	Note 10 - Going Concern As reflected in the accompanying financial statements, for the year ended August 31, 2016 the Company had a net loss of approximately $6.3 million, net cash used in operations of approximately $2.7 million, working capital deficit of approximately $7.4 million and a stockholders’ deficit of approximately $8.6 million. These factors raise substantial doubt about the Company’s ability to continue as a going concern. The ability of the Company to continue its operations is dependent on management's plans, which may include the raising of capital through debt and/or equity markets with some additional funding from other traditional financing sources, including term notes, until such time that funds provided by operations are sufficient to fund working capital requirements. The Company may need to incur liabilities with certain related parties to sustain the Company’s existence. The Company will require additional funding to finance the growth of its current and expected future operations as well as to achieve its strategic objectives. The Company believes its current available cash along with anticipated revenues will be insufficient to meet its cash needs for the near future. There can be no assurance that financing will be available in amounts or terms acceptable to the Company, if at all. In response to these problems, management has taken the following actions: · seeking additional third party convertible debt financing; · seeking to increase sales and distribution of Tetra Pak products; · seeking to open new franchise locations; and · allocating sufficient resources to continue advertising and marketing efforts The accompanying consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. These financial statements do not include any adjustments relating to the recovery of the recorded assets or the classification of the liabilities that might be necessary should the Company be unable to continue as a going concern.

Subsequent Events

Subsequent Events	12 Months Ended
	Aug. 31, 2016
Subsequent Events [Abstract]
Subsequent Events	Note 11 - Subsequent Events Since August 31, 2016, the Company issued: · 10,250,000 shares of its common stock for the conversion of 1,250,000 shares of Series B preferred. · 10,600,000 shares of its common stock for services rendered. · 15,000 shares of its Series B preferred stock for serviced rendered.

Description of Business and S19

Description of Business and Summary of Significant Accounting Policies (Policies)	12 Months Ended
	Aug. 31, 2016
Accounting Policies [Abstract]
Fiscal Year	Fiscal Year The Company’s fiscal year-end is August 31.
Principles of Consolidation	Principles of Consolidation The consolidated financial statements include the accounts of Soupman, Inc., its wholly owned subsidiary The Original Soupman, Inc. (“OSM”), OSM’s wholly-owned subsidiary, International Gourmet Soups, Inc. (“IGS”), and IGS’s 80%-owned subsidiary Kiosk Concepts, Inc. (“Kiosk”) (collectively “Soupman” or “the Company”.) The Company reports the non-controlling interests in Kiosk on its statement of equity as a component separate from the Company’s equity and on its statement of operations as a component separate from the Company’s income. All significant intercompany transactions and balances have been eliminated in consolidation.
Reclassification	Reclassification The Company has reclassified certain prior year amounts to conform to the current year’s presentation. As part of these reclassifications, the Company combined its accounts payable & accrued liabilities – related parties, which was made up only accrued amounts due to employees, with its accounts payable & accrued liabilities and reclassed certain accounts payable on the 2015 balance sheet to deferred revenue. In addition, the Company broke out it prior year’s total for stock issued for Series B shares on its statement of equity and statement of cash flow into two separate categories: stock issuance for cash and stock issuance for the exercise of warrants.
Use of Estimates	Uses of Estimates The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Such estimates and assumptions impact both assets and liabilities, including but not limited to: net realizable value of accounts receivable and inventory, estimated useful lives and potential impairment of property and equipment, estimates used in the valuation of intangible assets and potential impairment thereof, estimates of fair value of share based payments, estimates of fair value of warrants issued and recorded as debt discount, estimates of tax liabilities, estimates of the probability and potential magnitude of contingent liabilities and assumptions used to calculate volatility for the company’s derivative liabilities. Making estimates requires management to exercise significant judgment. It is at least reasonably possible that the estimate of the effect of a condition, situation or set of circumstances that existed at the date of the financial statements, which management considered in formulating its estimate, could have since changed or could change in the near term due to one or more future non-conforming events. Accordingly, actual results could differ significantly from estimated results.
Risks and Uncertainties	Risks and Uncertainties The Company’s operations are subject to risk and uncertainties including financial, operational, regulatory and other risks including the potential risk of business failure. These conditions may limit our access to capital. See Note 10 – Going Concern. The Company has experienced, and in the future expects to continue to experience, variability in its sales and earnings. The factors expected to contribute to this variability include, among others, (i) the uncertainty associated with the success of franchisees, (ii) the cyclical nature of the soup business, (iii) general economic conditions and (iv) the related volatility of prices pertaining to the cost of sales.
Cash and Cash Equivalents	Cash and Cash Equivalents The Company minimizes credit risk associated with cash by periodically evaluating the credit quality of its primary financial institution(s). The balance at times may exceed federally insured limits; at August 31, 2016 and 2015, respectively, the balances did not exceed the federally insured limit. The Company has no cash equivalents.
Accounts Receivable and Allowance for Doubtful Accounts	Accounts Receivable and Allowance for Doubtful Accounts The Company recognizes an allowance for losses on accounts receivable in an amount equal to the estimated probable losses net of recoveries. The allowance is based on an analysis of historical bad debt experience, current receivables aging, and expected future write-offs, as well as an assessment of specific identifiable customer accounts considered at risk or uncollectible.
Inventory	Inventory Inventory consists of finished goods - soups and is stated at the lower of cost or market using the FIFO method of accounting. The Company does not have any work in progress or raw materials.
Loss Contingencies	Loss Contingencies The Company is subject to the possibility of various losses arising from the ordinary course of business. Each quarter ( the Company considers the likelihood of a loss or impairment of an asset or the incurrence of a liability, as well as its ability to estimate the amount of loss in determining loss contingencies. An estimated loss contingency is accrued when it is probable that an asset has been impaired or a liability has been incurred and the amount of loss can be reasonably estimated.
Property and Equipment	Property and Equipment Property and equipment is stated at cost less accumulated depreciation and is reviewed each quarter, or whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Depreciation of property and equipment is provided utilizing the straight-line method over the estimated useful live of the respective asset(s). Expenditures for maintenance and repairs are expensed as incurred.
Intangible Assets	Intangible Assets Amortization of identifiable intangible assets is provided utilizing the straight-line method over the estimated useful life of the respective asset(s) and are reviewed quarterly for impairment or if an indicator(s) of a potential impairment exist. As of August 31, 2016, all intangible assets have been fully amortized.
Fair Value of Financial Instruments	Fair Value of Financial Instruments The Company measures assets and liabilities at fair value based on an expected exit price as defined by the authoritative guidance on fair value measurements, which represents the amount that would be received on the sale of an asset or paid to transfer a liability, as the case may be, in an orderly transaction between market participants. As such, fair value may be based on assumptions that market participants would use in pricing an asset or liability. The authoritative guidance on fair value measurements establishes a consistent framework for measuring fair value on either a recurring or nonrecurring basis whereby inputs, used in valuation techniques, are assigned a hierarchical level. The following are the hierarchical levels of inputs to measure fair value: ● Level 1 – ● Level 2 - Inputs reflect quoted prices for identical assets or liabilities in markets that are not active; quoted prices for similar assets or liabilities in active markets; inputs other than quoted prices that are observable for the assets or liabilities; or inputs that are derived principally from or corroborated by observable market data by correlation or other means. ● Level 3 – ’ 2016 2015 Derivative liabilities (balance) $ 3,311,580 $ 239,748 The Level 3 valuation relates to derivative liabilities measured using management's estimates of fair value as well as other significant inputs, such as volatility and risk free interest rate, which may be unobservable. See Note 6. The Company has determined the estimated fair value amounts presented in these financial statements using available market information and appropriate methodologies. However, considerable judgment is required in interpreting market data to develop the estimates of fair value. The estimates presented in the financial statements are not necessarily indicative of the amounts that could be realized in a current market exchange. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts. Fair value estimates are based upon pertinent information available. The Company has determined that the carrying value of all financial instruments approximates fair value. The Company's financial instruments consist primarily of accounts receivable, inventory, prepaid expenses, accounts payable and accrued liabilities and debt. The carrying amounts of the Company's financial instruments generally approximated their fair values as of August 31, 2016 and 2015, respectively, due to the short-term nature of these instruments.
Derivative Liabilities	Derivative Liabilities Fair value accounting requires bifurcation of embedded derivative instruments, such as ratchet provisions or conversion features in convertible debt or equity instruments, and measurement of their fair value. In determining the appropriate fair value, the Company uses the Black-Scholes pricing model. In assessing the convertible debt instruments, management determines if the convertible debt host instrument is conventional convertible debt and further if there is a beneficial conversion feature requiring measurement. If the instrument is not considered conventional convertible debt, the Company will continue its evaluation process of these instruments as derivative financial instruments. Once derivative liabilities are determined, they are adjusted to reflect fair value at the end of each reporting period. Any increase or decrease in the fair value is recorded in results of operations as a change in fair value of derivatives. In addition, the fair value of freestanding derivative instruments such as warrants, are also valued using the Black-Scholes pricing model.
Debt Issue Costs	Debt Issue Costs The Company may record debt issue costs in connection with raising funds through the issuance of debt. These costs may be paid in the form of cash or warrants, the fair value of which is determined using the Black-Scholes pricing model.
Debt Discount	Debt Discount The Company records debt discounts in connection with raising funds through the issuance of debt. These costs are amortized over the original term of the debt and recorded as interest expense. If a conversion of the underlying debt occurs, a proportionate share of the unamortized amounts is immediately expensed.
Original Issue Discount	Original Issue Discount For certain convertible debts, the Company provides the debt holder with an original issue discount. The original issue discount is recorded as debt discount, reducing the face amount of the note and is amortized over the original term of the debt and recorded to interest expense.
Share-Based Payments	Share-Based Payments Generally, all forms of share-based payments, including stock option grants, warrants and restricted stock grants and stock appreciation rights issued to employees are accounted for under ASC 718 and are measured at their fair value on the awards’ grant date, based on estimated number of awards that are ultimately expected to vest. Share-based compensation awards issued to non-employees for services rendered are accounted for under ASC 505-50 and are recorded at either the fair value of the services rendered or the fair value of the share-based payment, whichever is more readily determinable. Fair value of stock options and warrants, is generally determined using a Black-Scholes pricing model, which incorporates assumptions about expected volatility, risk free rate, dividend yield, and expected life. Compensation cost for share-based awards is recognized on a straight-line basis over the vesting period.
Revenue Recognition	Revenue Recognition Revenue is recorded when all of the following have occurred: (1) persuasive evidence of an arrangement exists, (2) the asset(s) are transferred to the customer without further obligation by the Company, (3) the sales price to the customer is fixed or determinable, and (4) collectability is reasonably assured. The Company recognizes soup revenue when the product(s) are received by the customer and the risk of ownership is transferred to the customer. Sales discounts and promotions, such as “buy one, get one free”, and slotting fees are netted against soup revenue. For the years ended August 31, 2016 and 2015, the Company recorded incentives of $3,000 and $522,013. The Company does not offer a right of return. Revenues from individual franchise sales are recognized when substantially all significant services that are to be provided by the Company have been performed. Royalty fees are charged to the franchisee at 5% of the franchisee's gross sales and are recorded when charged. The Company charges its franchisees an advertising fee equal to ½% of their sales revenue and initially carries this fee as a liability, which is included as a component of accounts payable and accrued liabilities. This advertising fee is expensed as advertising dollars are spent.
Deferred Revenue	Deferred Revenue Deferred franchise revenues result from payments received from new franchises prior to the Company’s performance under the terms of the franchise agreements. Often these payments are made before stores locations have been identified.
Cost of Sales	Cost of Sales Cost of sales represents costs directly related to the production and manufacturing of the Company’s products. Soup sold is typically shipped directly to the customer from the Company’s third party manufacturer or warehouse and the associated costs are shown as a component of cost of sales.
Advertising	Advertising The Company expenses advertising costs when incurred. Advertising expense for the years ended August 31, 2016 and 2015 is as follows: 2016 2015 Advertising $ 30,341 $ 11,117
Earnings (Loss) Per Share	Earnings (Loss) Per Share Basic earnings/loss per share (“EPS”) is computed by dividing net loss attributable to the Company that is available to common stockholders by the weighted average number of common shares outstanding during the period, excluding the effects of any potentially dilutive securities. Diluted EPS gives effect to all dilutive potential of shares of common stock outstanding during the period including stock warrants, using the treasury stock method (by using the average stock price for the period to determine the number of shares assumed to be purchased from the exercise of warrants), and convertible debt, using the if-converted method. Diluted EPS excludes all dilutive potential of shares of common stock if their effect is anti-dilutive. The Company has the following potential common stock equivalents at August 31, 2016 and 2015: 2016 2015 Stock options 2,275,000 1,975,000 Warrants 6,286,050 7,496,140 Convertible Series A preferred shares (converted to common stock at 1:1 basis) 878,639 881,360 Convertible Series B preferred shares (converted to common stock at 1:10 basis) 104,315,160 181,410,510 Convertible Series C preferred shares (converted to common stock at 1:20 basis) 34,500,000 — Convertible Series D preferred shares (converted to common stock at 1:50,000 basis) 33,600,000 — Convertible debt - derivatives liabilities (exercise price $0.02 - $0.40/share) 169,175,000 4,147,963 Total common stock equivalents 351,029,849 195,910,973 At August 31, 2016, the total number of issued and outstanding shares plus the total common stock equivalents exceeded the number of authorized shares; as a result, all convertible debt and warrants were tainted. The number of common stock equivalents may change at each reporting period. The Company reflected a net loss for the years ended August 31, 2016 and 2015; therefore, the effect of considering any common stock equivalents would have been anti-dilutive; consequently, a separate computation of diluted earnings (loss) per share is not presented.
Non-controlling Interest	Non-controlling Interest In December 2009, OSM acquired 80% of Kiosk, which it reported the third party’s 20% as a noncontrolling interest. As part of the Company’s merger in December 2010 with OSM, the Company began to report this noncontrolling interest on its financial statements.
Concentrations	Concentrations Accounts Receivable The following table shows significant concentrations in our accounts receivable at August 31, 2016 and 2015. 2016 2015 A 0 % 19 % B 29 % 0 % C 29 % 3 % D 14 % 32 % E 0 % 10 % F 0 % 10 % Vendors The following table shows significant concentrations in our purchases for the years ended August 31, 2016 and 2015. 2016 2015 A 66 % 51 % B 26 % 11 % C 5 % 18 % Sales The following table shows significant concentrations in our revenues for the years ended August 31, 2016 and 2015. 2016 2015 A 24 % 9 % B 14 % 19 % C 13 % 14 % D 3 % 11 % E 4 % 10 % F 3 % 10 %
Income Taxes	Income Taxes The Company accounts for income taxes in accordance with ASC Topic 740, “ Income Taxes In addition, ASC Topic 740-20, “Income Taxes – Intraperiod Tax Allocation”
Recent Accounting Pronouncements	Recent Accounting Pronouncements In April 2015, the FASB issued ASU No. 2015-03, Interest — Imputation of Interest: Simplifying the Presentation of Debt Issuance Costs (“ASU 2015-03”), which requires that debt issuance costs be presented as a direct deduction from the carrying amount of the related debt liability, consistent with the presentation of debt discounts. Prior to the issuance of ASU 2015-03, debt issuance costs were required to be presented as other assets, separate from the related debt liability. ASU 2015-03 does not change the recognition and measurement requirements for debt issuance costs. The standard was effective for fiscal years beginning after December 15, 2015 on a retrospective basis. The Company adopted this update retrospectively during the period ended August 31, 2016. In July 2015, the FASB issued ASU 2015-11, "Simplifying the Measurement of Inventory" ("ASU 2015-11"). The previous standard required entities to measure inventory at the lower of cost or market, with market defined as net realizable value or replacement cost. ASU 2015-11 requires entities to measure inventory at the lower of cost and net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. ASU 2015-11 is effective for annual reporting periods beginning after December 15, 2016, including interim periods therein. The Company does not anticipate that adoption of this ASU it will have a material effect on its financial statements. In March 2016, the FASB issued ASU 2016-09, "Stock Compensation," which is intended to simplify several aspects of the accounting for share-based payment award transactions, including adjustments to the timing of when excess tax benefits should be recorded and classification in the statement of cash flows. The guidance will be effective for fiscal years beginning after December 15, 2016, including interim periods within those years. The Company does not anticipate that adoption of this ASU will materially affect its results of operations

Description of Business and S20

Description of Business and Summary of Significant Accounting Policies (Tables)	12 Months Ended
	Aug. 31, 2016
Accounting Policies [Abstract]
Schedule of Major Categories of Liabilities Measured at Fair Value on Recurring Basis	2016 2015 Derivative liabilities (balance) $ 3,311,580 $ 239,748
Schedule of Advertising Expense	The Company expenses advertising costs when incurred. Advertising expense for the years ended August 31, 2016 and 2015 is as follows: 2016 2015 Advertising $ 30,341 $ 11,117
Schedule of Potential Common Stock Equivalents	The Company has the following potential common stock equivalents at August 31, 2016 and 2015: 2016 2015 Stock options 2,275,000 1,975,000 Warrants 6,286,050 7,496,140 Convertible Series A preferred shares (converted to common stock at 1:1 basis) 878,639 881,360 Convertible Series B preferred shares (converted to common stock at 1:10 basis) 104,315,160 181,410,510 Convertible Series C preferred shares (converted to common stock at 1:20 basis) 34,500,000 — Convertible Series D preferred shares (converted to common stock at 1:50,000 basis) 33,600,000 — Convertible debt - derivatives liabilities (exercise price $0.02 - $0.40/share) 169,175,000 4,147,963 Total common stock equivalents 351,029,849 195,910,973
Summary of Significant Concentrations	Accounts Receivable The following table shows significant concentrations in our accounts receivable at August 31, 2016 and 2015. 2016 2015 A 0 % 19 % B 29 % 0 % C 29 % 3 % D 14 % 32 % E 0 % 10 % F 0 % 10 % Vendors The following table shows significant concentrations in our purchases for the years ended August 31, 2016 and 2015. 2016 2015 A 66 % 51 % B 26 % 11 % C 5 % 18 % Sales The following table shows significant concentrations in our revenues for the years ended August 31, 2016 and 2015. 2016 2015 A 24 % 9 % B 14 % 19 % C 13 % 14 % D 3 % 11 % E 4 % 10 % F 3 % 10 %

Accounts & Franchisee Receivabl

Accounts & Franchisee Receivable / Franchisee Receivable - Related Parties (Tables)	12 Months Ended
	Aug. 31, 2016
Receivables [Abstract]
Schedule of Accounts Receivable	Accounts receivable consisted of the following at August 31, 2016 and 2015. 2016 2015 Accounts receivable $ 321,347 $ 431,384 Allowance for doubtful accounts (franchise receivables) — (250,618 ) Accounts receivable – net $ 321,347 $ 180,766
Schedule of Related Party and Franchise Accounts Receivable	For the years ended August 31, 2016 and 2015, related party accounts receivables represented amounts owed to the Company by franchises for soup sold to locations owned or operated by directors of the Company. Related-parties receivable consisted of the following at August 31, 2016 and 2015. 2016 2015 Accounts receivable $ — $ 46,296 Allowance for doubtful accounts (franchise receivables) — (46,296 ) Accounts receivable – net $ — $ —

Prepaid Expenses (Tables)

Prepaid Expenses (Tables)	12 Months Ended
	Aug. 31, 2016
Prepaid Expense and Other Assets, Current [Abstract]
Schedule of Prepaid Expenses	Prepaid expenses consist of the following at August 31, 2016 and 2015. 2016 2015 Prepaid insurance $ 48,715 $ 25,941 Prepaid freight 4,899 4,899 Prepaid Inventory 27,412 — Prepaid other 27,667 16,666 Prepaid expenses – net $ 108,693 $ 47,506

Debt (Tables)

Debt (Tables)	12 Months Ended
	Aug. 31, 2016
Short-term Debt [Line Items]
Schedule of Debt Outstanding	Debt consists of the following at August 31, 2016 and 2015: Description 2016 2015 A. Convertible debt – derivative liabilities $ 3,491,000 $ 1,296,597 Less : debt discount (3,173,653 ) — Convertible debt – net 1 317,347 1,296,597 B. Convertible debt – non-derivatives — — Less : debt discount — — Convertible debt – net — — C. Unsecured demand debt 1,816,227 382,563 Less : debt discount (4,731 ) — Unsecured demand debt – net 2 1,811,496 — D. Secured demand debt 3 1,890,000 2,700,000 Total debt - net $ 4,018,843 $ 4,379,160 1. Includes $130,680 of short-term debt and $186, 667 of long-term debt 2. Includes $791,996 of short-term debt and $1,019,500 of long-term debt 3. Includes $1,200,000 of short-term debt and $690,000 of long-term debt
Schedule of Total Debt	The Company’s total debt is $7,197,227 and is due and payable over the next 4 fiscal years as set out below: Year Principle Repayment Past Due $ 1,715,595 2017 412,132 2018 3,837,621 2019 620,231 2020 611,648 Total Debt $ 7,197,227
Schedule of Debt Net of Discounts	2016 2015 Total outstanding debt $ 7,197,227 $ 4,379,160 Carry forward debt discount – net — (335,318 ) Debt discount related to derivatives (2,342,138 ) (316,102 ) Debt discount related to Series D preferred stock issued along with debt (332,640 ) Debt discount related to original issue discounts (360,000 ) — Debt discount related to debt issue costs (423,110 ) — Debt discount related to beneficial conversion feature (1,800 ) — Amortization of debt discount 281,304 651,420 Debt – net $ 4,018,843 $ 4,379,160
Convertible Debt - Derivative Liabilities [Member]
Short-term Debt [Line Items]
Schedule of Changes In Debt Instrument During Period	Description 2016 2015 Carry forward balance $ 1,296,597 $ 1,533,154 Borrowings 1 3,480,000 300,000 Loss for additional debt brought about by debt settlements 45,147 — Repayment of derivative debt (25,000 ) (32,692 ) Conversion of derivative debt to common stock (370,000 ) (790,712 ) Reclassification of convertible derivative debt to demand debt (936,744 ) — Gain on settlement of debt (5,000 ) — Reclassification of convertible debt to derivative debt due to tainting 6,000 286,847 Ending balance $ 3,491,000 $ 1,296,597 1. Includes net proceeds of $2,703,435, an original issue discount $360,000 and debt issue costs (recorded as debt discount) of $416,565
Schedule of Terms of Debt Instruments	During the years ended August 31, 2016 and 2015, the Company issued new derivative debt, the terms and amounts of which are set out below: Description Information 2016 2015 Interest Rate 8% - 10 % 10 % Maturity Date(s) Aug. 1, 2016 to April 1, 2018 Oct. 6, 2016 Series 10 10% per annum interest; 24-month term; convertible at $0.04 per share — 300,000 Series 12 10% per annum interest; 2-month term; convertible at $0.04 per share 50,000 — Series 13 8% per annum interest; 12-month terms; automatically converts at $0.02 per share, upon an increase in the number of authorized shares 70,000 — Series 14 8% per annum interest; 20 month term; convertible at $0.02 per share only after the Company increases the number of authorized shares 3,360,000 —
Schedule of Total Derivative Debt Outstanding	Total derivative debt at August 31, 2016 and 2015 consists of the following. Description Information 2016 2015 Series 2 8% per annum interest; convertible at $1.00 per share; term expired $ — $ 120,000 Series 3 8% per annum interest; convertible at $0.75 per share; term expired — 72,500 Series 4 1% per month interest; convertible at $0.75 per share; term expired — 724,097 Series 7 1% per month interest; convertible at $0.60 per share; term expired — 280,000 Series 8 8% per annum interest; convertible at $0.40 per share; term expired. Shown as derivative due to tainting 100,000 100,000 Series 12 10% per annum interest; 2-month term; convertible at $0.02 per share; term expired 25,000 — Series 13 8% per annum interest; convertible at $0.02 per share; remaining term: 10 days 6,000 — Series 14 8% per annum interest; convertible at $0.02 per share only after the Company increases the number of authorized shares; remaining term: 19 months 3,360,000 — Total $ 3,491,000 $ 1,296,597
Convertible Debt - Non-derivatives [Member]
Short-term Debt [Line Items]
Schedule of Changes In Debt Instrument During Period	Description 2016 2015 Carry forward balance $ — $ 1,378,207 Borrowings 6,000 83,500 Repayment of convertible debt — (631,819 ) Conversion of convertible debt to stock — (844,250 ) Gain on debt settlement (48,791 ) Reclassification of convertible debt to derivative due to tainting (6,000 ) 63,153 Ending balance $ — $ —
Schedule of Terms of Debt Instruments	During the years ended August 31, 2016 and 2015, the Company issued unsecured convertible debt (that was not recorded as a derivative liability), the terms and amounts of which are set out below: Description Information 2016 2015 Interest rate 8 % 8 % Default interest rate N/A N/A Term 9 months Maturity Sept. 11, 2016 Sep. 5, 2014 to Series 9 debt 8% per annum interest; convertible after 180 days at $0.02 per share; 9-months term $ — $ 83,500 Series 13 debt 8% interest; convertible after at $0.02 per share; 2-month term $ 6,000 $ —
Unsecured Demand Debt [Member]
Short-term Debt [Line Items]
Schedule of Changes In Debt Instrument During Period	Unsecured demand notes consist of the following at August 31, 2016 and 2015: Description 2016 2015 Carry forward balance $ 382,563 $ 833,192 Borrowings 1 360,000 100,000 Loss on additional debt brought about by debt settlements 121,360 — Repayments (165,080 ) (150,629 ) Credit of note payable against franchise license agreement (100,000 ) — Rollup of accrued interest into debt 268,140 — Rollup of accrued commissions to debt 12,500 — Reclassification of derivative debt to demand debt 936,744 — Conversion of demand debt to stock — (50,000 ) Reclassification to derivative debt due to tainting — (350,000 ) Ending balance $ 1,816,227 $ 382,563 1. Includes net proceeds of $353,455 and debt issue costs (recorded as debt discount) of $6,545.
Schedule of Terms of Debt Instruments	Unsecured demand notes consisted of the following at August 31, 2016 and 2015: Description Information 2016 2015 Represents all unsecured demand debt 8% to 12% per annum interest; maturity dates from past due to April 1, 2020 $ 1,816,227 $ 382,563 Total $ 1,816,227 $ 382,563
Secured Demand Debt [Member]
Short-term Debt [Line Items]
Schedule of Changes In Debt Instrument During Period	Description 2016 2015 Carry forward balance $ 2,700,000 $ 2,700,000 Borrowings — — Loss on new debt brought about by debt settlement 155,242 — Repayment of debt (310,000 ) — Conversion of debt to Series B preferred stock (1,100,000 ) — Reclassification of accrued interest to debt 444,758 — Ending balance $ 1,890,000 $ 2,700,000
Schedule of Terms of Debt Instruments	Secured demand debt consisted of the following activity and terms for the years ended August 31, 2016 and 2015: Information 2016 2015 Interest Rate 5 % 12.75 % Maturity Nov. 15, 2018 Aug. 28, 2014 Second security on the assets of OSM $ 1,890,000 $ 2,700,000

Derivative Liabilities (Tables)

Derivative Liabilities (Tables)	12 Months Ended
	Aug. 31, 2016
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Fair Value of Derivative Liabilities	The fair value of the Company’s derivative liabilities at August 31, 2016 and 2015 is as follows. 2016 2015 Carry forward balance $ 239,748 $ 180,418 Fair value at the commitment date recorded as debt discount 2,342,138 353,282 Fair value at the commitment date recorded as derivative expense 2,231,865 527,270 Loss on debt extinguishment — 198,132 Fair value mark-to-market adjustment (1,509,401 ) (817,223 ) Tainting of derivatives of convertible notes and warrants 9,298 (202,131 ) Reclassification of derivative liabilities to equity (2,068 ) — Derivative liabilities (balance) $ 3,311,580 $ 239,748
Schedule of Assumptions Used to Measure Derivative Liabilities	The fair value at the commitment and re-measurement dates for convertible debt and warrants that are treated as derivative liabilities were based upon the following management assumptions for the years ended August 31, 2016 and 2015: 2016 Commitment Date Re-measurement Date Exercise price $0.02 - $0.04 $0.02 - $0.04 Expected dividends 0 % 0 % Expected volatility 149% -218 % 204%-232 % Expected term: convertible debt and warrants 0.08 -2.0 years 0.25 to 1.58 years Risk free interest rate 0.28%-0.70 % 0.33%-0.61 % 2015 Commitment Date Re-measurement Date Exercise price $0.20 $0.20 Expected dividends 0 % 0 % Expected volatility 176% -290 % 151%-211 % Expected term: convertible debt and warrants 0.25 -5 years 0.25 to 4.61 years Risk free interest rate 0.10%-0.98 % 0.01%-1.01 %

Stockholders' Deficit (Tables)

Stockholders' Deficit (Tables)	12 Months Ended
	Aug. 31, 2016
Class of Stock [Line Items]
Schedule of Stock Option Activity	The following is a summary of the Company’s stock option activity for the years ended August 31, 2016 and 2015: Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life Aggregate Intrinsic Value Balance – August 31, 2014 1,975,000 $ 0.53 6.44 years — Granted — Exercised — Forfeited — Balance – August 31, 2015 1,975,000 $ 0.53 5.44 years — Exercisable – August 31, 2015 1,975,000 $ 0.53 5.44 years — Grant date fair value of options granted – 2015 $ — Weighted average grant date fair value – 2015 $ — Balance – August 31, 2015 1,975,000 $ 0.53 5.44 years — Granted 300,000 $ 0.05 3 years Exercised — Forfeited — Balance – August 31, 2016 2,275,000 $ .46 4.16 years — Exercisable – August 31, 2016 2,275,000 $ .46 4.16 years — Grant date fair value of options granted – 2016 $ 13,800 Weighted average grant date fair value – 2016 $ .046 Outstanding options held by related parties (August 31, 2016) 1,750,000 Exercisable options held by related parties (August 31, 2016) 1,750,000
Schedule of Unvested Stock Options	The following is a summary of the Company’s unvested stock options at August 31, 2016 and 2015. Un-vested Stock Options Weighted Average Grant Date Fair Value Unvested – August 31, 2014 100,000 $ 0.75 Granted — — Vested (100,000 ) — Forfeited/Cancelled — — Unvested – August 31, 2015 — — Granted 300,000 $ 0.05 Vested (300,000 ) $ 0.05 Forfeited/Cancelled — — Unvested – August 31, 2016 — — Weighted average remaining life for vesting — —
Schedule of Stock Warrant Activity	The following is a summary of the Company’s stock warrant activity for the years ended August 31, 2016 and 2015; warrants that were not exercised during the term of the warrants are shown in the below table as forfeited: Number of Warrants Weighted Average Exercise Price Balance at August 31, 2014 5,938,202 $ 0.66 Granted (for debt) 951,500 $ .35 Granted (other) 1,975,000 $ .03 Exercised — — Forfeited (1,368,562 ) $ 0.79 Balance at August 31, 2015 7,496,140 $ 0.42 Granted (for debt) — — Granted (other) — — Exercised — — Expired (1,210,090 ) $ .95 Balance at August 31, 2016 6,286,050 $ .33
Schedule of Stock Warrants Outstanding by Exercise Price Range	Warrants Outstanding Warrants Exercisable Range of exercise price Number Outstanding Weighted Average Remaining Contractual Life (in years) Weighted Average Exercise Price Number Exercisable Weighted Average Exercise Price Intrinsic Value $0.03 -$0.80 6,286,050 1.49 $ .33 6,286,050 $ .33 $ 0
Common Stock [Member]
Class of Stock [Line Items]
Schedule of Stock Issued	For the years ended August 31, 2016 and 2015, the Company issued the following shares of common stock: 2016 Range of value 2015 Range of value Type Shares Fair value per share Shares Fair value per share 1. Stock issued for cash 1,031,250 $ 41,250 $ 0.04 — $ — $ — 2. Stock issued as compensation 1 6,243,502 409,592 0.03—0.08 3. Stock issued for services 8,130,523 497,767 0.05—0.14 20,339,774 841,481 0.03—.019 4. Stock issued in connection with convertible debt (see Note 5(B)) 15,150,158 602,571 0.02—.08 3,407,057 105,972 0.02—.0.10 5. Conversion of Series A Preferred Stock to common stock 2,271 50,000 6. Conversion of Series B Preferred Stock to common stock 120,380,934 1. Total stock issued for compensation consists of both Series B preferred shares and common shares; see note 7B.
Series A Convertible Preferred Stock [Member]
Class of Stock [Line Items]
Schedule of Stock Issued	Series A convertible preferred stock consists of the following activity for the years ended August 31, 2016 and 2015: Balance - August 31, 2014 $ 931,360 Conversion to common stock (50,000 ) Balance – August 31, 2015 881,360 Conversion to common stock (2,721 ) Balance – August 31, 2016 $ 878,639
Series B Convertible Preferred Stock [Member]
Class of Stock [Line Items]
Schedule of Stock Issued	Series B convertible preferred stock consists of the following activity for the years ended August 31, 2016 and 2015: Range of value Type Shares Fair value per share Balance – August 31, 2014 — $ — Shares issued for cash 10,223,750 1,899,749 $ 0.16 - $0.20 Shares issued for warrants exercised 2,826,440 568,288 $ 0.20 Shares issued for services 250,000 100,000 $ 0.40 Shares issued for debt and accrued interest 4,840,861 1,936,345 $ 0.40 Balance – August 31, 2015 18,141,051 4,501,382 Shares issued for cash 1,200,000 240,000 $ 0.20 Shares issued for warrants exercised 3,549,000 709,800 $ 0.20 Shares issued for compensation 1 279,405 90,853 $ 0.27 - $0.52 Shares issued for debt and accrued interest 2,750,000 1,952,500 $ 0.71 Shares converted into common stock (12,037,940 ) Shares converted into Series C preferred stock (3,450,000 ) Balance – August 31, 2016 10,431,516 1. Total stock issued for compensation consists of both common shares and Series B preferred shares; see note 7D.

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
	Aug. 31, 2016
Income Tax Disclosure [Abstract]
Schedule of Deferred Tax Assets	The effects of temporary differences that gave rise to significant portions of deferred tax assets at August 31, 2016 and 2015 are as follows: Deferred tax assets: 2016 2015 Net operating loss carry-forward $ 11,946,000 $ 10,800,000 Total gross deferred tax assets 11,946,000 10,800,000 Less valuation allowance (11,946,000 ) (10,800,000 ) Net deferred tax assets $ — $ —

Description of Business and S27

Description of Business and Summary of Significant Accounting Policies (Narrative) (Details) - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Noncontrolling Interest [Line Items]
Sales discounts and promotions	$ 3,000	$ 522,013
Royalty fee charged to franchisee expressed as a percentage of the franchisee's gross sales	5.00%
Advertising fee charged to franchisees expressed as a percentage of franchisee's sales revenue	0.05%
Noncontrolling Interest [Member]
Noncontrolling Interest [Line Items]
Non-controlling interest, ownership percentage	20.00%

Description of Business and S28

Description of Business and Summary of Significant Accounting Policies (Schedule of Fair Value Instruments) (Details) - USD ($)	Aug. 31, 2016	Aug. 31, 2015
Fair Value, Inputs, Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative liabilities (Level 3)	$ 3,311,580	$ 239,748

Description of Business and S29

Description of Business and Summary of Significant Accounting Policies (Schedule of Advertising Expense) (Details) - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Accounting Policies [Abstract]
Advertising	$ 30,341	$ 11,117

Description of Business and S30

Description of Business and Summary of Significant Accounting Policies (Schedule of Common Stock Equivalents) (Details) - $ / shares	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Stock options	2,275,000	1,975,000
Warrants	6,286,050	7,496,140
Convertible debt - derivatives liabilities (exercise price $0.02 - $0.40/share)	169,175,000	4,147,963
Total common stock equivalents	351,029,849	195,910,973
Series A Convertible Preferred Stock [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Convertible preferred shares	878,639	881,360
Series B Convertible Preferred Stock [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Convertible preferred shares	104,315,160	181,410,510
Series C Convertible Preferred Stock [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Convertible preferred shares	34,500,000	0
Series D Convertible Preferred Stock [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Convertible preferred shares	33,600,000	0
Convertible Debt - Derivative Liabilities [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Exercise price of potential common stock equivalents, minimum price per share	$ 0.02	$ 0.02
Exercise price of potential common stock equivalents, maximum price per share	$ 0.40	$ 0.40

Description of Business and S31

Description of Business and Summary of Significant Accounting Policies (Schedule of Receivable Concentrations) (Details) - Accounts Receivable [Member]	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Customer A [Member]
Concentration Risk [Line Items]
Concentration risk percentage	0.00%	19.00%
Customer B [Member]
Concentration Risk [Line Items]
Concentration risk percentage	29.00%	0.00%
Customer C [Member]
Concentration Risk [Line Items]
Concentration risk percentage	29.00%	3.00%
Customer D [Member]
Concentration Risk [Line Items]
Concentration risk percentage	14.00%	32.00%
Customer E [Member]
Concentration Risk [Line Items]
Concentration risk percentage	0.00%	10.00%
Customer F [Member]
Concentration Risk [Line Items]
Concentration risk percentage	0.00%	10.00%

Description of Business and S32

Description of Business and Summary of Significant Accounting Policies (Schedule of Purchase Concentrations) (Details) - Purchases [Member]	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Vendor A [Member]
Concentration Risk [Line Items]
Concentration risk percentage	66.00%	51.00%
Vendor B [Member]
Concentration Risk [Line Items]
Concentration risk percentage	26.00%	11.00%
Vendor C [Member]
Concentration Risk [Line Items]
Concentration risk percentage	5.00%	18.00%

Description of Business and S33

Description of Business and Summary of Significant Accounting Policies (Schedule of Revenue Concentrations) (Details) - Revenue [Member]	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Customer A [Member]
Concentration Risk [Line Items]
Concentration risk percentage	24.00%	9.00%
Customer B [Member]
Concentration Risk [Line Items]
Concentration risk percentage	14.00%	19.00%
Customer C [Member]
Concentration Risk [Line Items]
Concentration risk percentage	13.00%	14.00%
Customer D [Member]
Concentration Risk [Line Items]
Concentration risk percentage	3.00%	11.00%
Customer E [Member]
Concentration Risk [Line Items]
Concentration risk percentage	4.00%	10.00%
Customer F [Member]
Concentration Risk [Line Items]
Concentration risk percentage	3.00%	10.00%

Accounts Receivable _ Account34

Accounts Receivable / Accounts Receivable - Related Parties (Narrative) (Details) - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Receivables [Abstract]
Bad debt recovery (expense)	$ 26,417	$ (241,581)
Direct write-offs of accounts receivable		$ 176,570

Accounts & Franchisee Receiva35

Accounts & Franchisee Receivable / Franchisee Receivable - Related Parties (Schedule of Accounts Receivable) (Details) - USD ($)	Aug. 31, 2016	Aug. 31, 2015
Receivables [Abstract]
Accounts receivable	$ 321,347	$ 431,384
Allowance for doubtful accounts (franchise receivables)		(250,618)
Accounts receivable - net	$ 321,347	$ 180,766

Accounts & Franchisee Receiva36

Accounts & Franchisee Receivable / Franchisee Receivable - Related Parties (Schedule of Related Party Receivables) (Details) - USD ($)	Aug. 31, 2016	Aug. 31, 2015
Receivables [Abstract]
Accounts receivable		$ 46,296
Allowance for doubtful accounts (franchise receivables)		(46,296)
Accounts receivable - net

Prepaid Expenses (Details)

Prepaid Expenses (Details) - USD ($)	Aug. 31, 2016	Aug. 31, 2015
Prepaid Expense and Other Assets, Current [Abstract]
Prepaid insurance	$ 48,715	$ 25,941
Prepaid freight	4,899	4,899
Prepaid inventory	27,412
Prepaid other	27,667	16,666
Prepaid expenses - net	$ 108,693	$ 47,506

Accounts Payable and Accrued 38

Accounts Payable and Accrued Liabilities (Details) - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Accounts Payable and Accrued Liabilities [Abstract]
Gain (loss) on settlement of accounts payable - net	$ (39,037)	$ 141,540

Debt (Schedule of Debt Outstand

Debt (Schedule of Debt Outstanding) (Details) - USD ($)		Aug. 31, 2016		Aug. 31, 2015	Aug. 31, 2014
Debt Instrument [Line Items]
Carrying amount		$ 7,197,227		$ 4,379,160
Less: debt discount
Total current debt		4,018,843		4,379,160
Debt in default		1,660,178		2,546,597
Convertible Debt - Derivative Liabilities [Member]
Debt Instrument [Line Items]
Carrying amount		3,491,000		1,296,597	$ 1,533,154
Less: debt discount		(3,173,653)
Total current debt	[1]	317,347		1,296,597
Debt current		130,680
Debt noncurrent		186,667
Convertible Debt - Non-derivatives [Member]
Debt Instrument [Line Items]
Carrying amount					1,378,207
Less: debt discount
Total current debt
Unsecured Demand/Term Debt [Member]
Debt Instrument [Line Items]
Carrying amount		1,816,227		382,563
Less: debt discount		(4,731)
Total current debt		1,811,496	[2]
Debt current		791,996
Debt noncurrent		1,019,500
Secured Demand Debt [Member]
Debt Instrument [Line Items]
Carrying amount		1,890,000		2,700,000	$ 2,700,000
Total current debt	[3]	1,890,000		$ 2,700,000
Debt current		1,200,000
Debt noncurrent		$ 690,000
[1]	Includes $130,680 of short-term debt and $186, 667 of long-term debt
[2]	Includes $791,996 of short-term debt and $1,019,500 of long-term debt
[3]	Includes $1,200,000 of short-term debt and $690,000 of long-term debt

Debt (Schedule of Total Debt)

Debt (Schedule of Total Debt)	Aug. 31, 2016USD ($)
Debt Disclosure [Abstract]
Past Due	$ 1,715,595
2,017	412,132
2,018	3,837,621
2,019	620,231
2,020	611,648
Total Debt	$ 7,197,227

Debt (Convertible Debt - Deriva

Debt (Convertible Debt - Derivative Liabilities - Summary) (Details) - USD ($)		12 Months Ended
		Aug. 31, 2016	Aug. 31, 2015
Debt Instrument [Line Items]
Carry forward balance		$ 4,379,160
Repayments		(500,080)	$ (848,753)
Ending balance		7,197,227	4,379,160
Convertible Debt - Derivative Liabilities [Member]
Debt Instrument [Line Items]
Carry forward balance		1,296,597	1,533,154
Borrowings	[1]	3,480,000	300,000
Loss for additional debt brought about by debt settlements		45,147
Repayments		(25,000)	(32,692)
Conversion of derivative debt to common stock		(370,000)	(790,712)
Reclassification of convertible debt to demand debt		(936,744)
Gain on settlement of debt		(5,000)
Reclassification of convertible debt to derivative debt due to tainting		6,000	286,847
Ending balance		$ 3,491,000	$ 1,296,597
[1]	Includes net proceeds of $2,703,435, an original issue discount $360,000 and debt issue costs (recorded as debt discount) of $416,565

Debt (Convertible Debt - Deri42

Debt (Convertible Debt - Derivative Liabilities - Terms) (Details) - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Debt Instrument [Line Items]
Gain (loss) on settlement of debt and accrued liabilities	$ (1,397,234)	$ 26,791
Excess of fair market value of common stock over share issuance price to settle debt	161,111
Debt discount related to Series D preferred stock issued along with debt	332,640
Debt discount related to original issue discounts	$ 360,000
Convertible Debt - Derivative Liabilities [Member]
Debt Instrument [Line Items]
Face amount		$ 1,296,597
Debt instrument, interest rate		10.00%
Debt instrument, maturity date		Oct. 6, 2016
Debt instrument maturity date, beginning of range	Aug. 1, 2016
Debt instrument maturity date, end of range	Apr. 1, 2018
Debt instrument, principal converted
Debt conversion, description	During the years ended August 31, 2016, $936,744 of the Company's derivative debt became demand debt: $630,000 due to a debt settlement that removed the conversion feature from the note; $219,244 upon the settlement of certain debts which lost their conversion feature due to a court order; and $87,500 due to an automatic conversion feature in certain notes (the Series 2 and Series 3 notes). Per these agreements, the principle and interest were to automatically convert upon the Company raising at least $2 million in equity financing. This condition was met during the fiscal year, but the notes were not converted. Therefore, the nature of these notes changed to demand notes; these notes will be converted in fiscal year 2017.	During the year ended August 31, 2015, the Company converted the debt principal of $56,973 into 1,050,000 shares of its common stock. In addition, during the same year, the Company offered to lower the exercise price on convertible debt to $0.04 per share to induce holders of the Company's derivative debt to convert. This offer was conditioned on the Company raising at least $1 million and required a mandatory conversion if this and one other condition occurred. On June 18, 2015, all conditions were met, and the Company converted the debt principal of $783,739 into 23,313,730 shares of its Series B stock.  Extinguishment accounting was applied; as a result, the Company reclassed $202,131 of derivative debt to additional paid in capital. See Note 6.
Original issue discount	$ 360,000
Debt issuance costs	416,565
Proceeds from debt	2,703,435
Gain (loss) on settlement of debt and accrued liabilities	45,147
Convertible debt amount converted	370,000
Accrued interest converted	75,946
Repayment of debt	95,000
Accrued interest forgiven	43,654
Convertible Debt - Derivative Liabilities [Member] | Series 10 [Member]
Debt Instrument [Line Items]
Face amount		$ 300,000
Debt instrument, conversion price		$ 0.04
Information relating to debt instrument		10% per annum interest; 24-month term; convertible at $0.04 per share
Convertible Debt - Derivative Liabilities [Member] | Series 12 Debt [Member]
Debt Instrument [Line Items]
Face amount	$ 50,000
Debt instrument, interest rate	10.00%
Debt instrument, conversion price	$ 0.02
Information relating to debt instrument	10% per annum interest; 2-month term; convertible at $0.04 per share
Convertible Debt - Derivative Liabilities [Member] | Series 13 Debt [Member]
Debt Instrument [Line Items]
Face amount	$ 70,000
Debt instrument, interest rate	8.00%
Debt instrument, conversion price	$ 0.02
Information relating to debt instrument	8% per annum interest; 12-month terms; automatically converts at $0.02 per share, upon an increase in the number of authorized shares
Convertible Debt - Derivative Liabilities [Member] | Series 14 Debt [Member]
Debt Instrument [Line Items]
Face amount	$ 3,360,000
Debt instrument, interest rate	8.00%
Debt instrument, conversion price	$ 0.02
Information relating to debt instrument	8% per annum interest; 20 month term; convertible at $0.02 per share only after the Company increases the number of authorized shares
Convertible Debt - Derivative Liabilities [Member] | Minimum [Member]
Debt Instrument [Line Items]
Debt instrument, interest rate	8.00%
Convertible Debt - Derivative Liabilities [Member] | Maximum [Member]
Debt Instrument [Line Items]
Debt instrument, interest rate	10.00%

Debt (Convertible Debt - Deri43

Debt (Convertible Debt - Derivative Liabilities - Summary of Total Derivative Debt) (Details) - USD ($)	Aug. 31, 2016	Aug. 31, 2015	Aug. 31, 2014
Debt Instrument [Line Items]
Carrying amount	$ 7,197,227	$ 4,379,160
Convertible Debt - Derivative Liabilities [Member]
Debt Instrument [Line Items]
Carrying amount	3,491,000	$ 1,296,597	$ 1,533,154
Debt instrument, interest rate		10.00%
Convertible Debt - Derivative Liabilities [Member] | Series 2 Debt [Member]
Debt Instrument [Line Items]
Carrying amount		$ 120,000
Conversion price per share	$ 1	$ 1
Debt instrument, interest rate	8.00%	8.00%
Convertible Debt - Derivative Liabilities [Member] | Series 3 Debt [Member]
Debt Instrument [Line Items]
Carrying amount		$ 72,500
Conversion price per share	$ 0.75	$ 0.75
Debt instrument, interest rate	8.00%	8.00%
Convertible Debt - Derivative Liabilities [Member] | Series 4 Debt [Member]
Debt Instrument [Line Items]
Carrying amount		$ 724,097
Conversion price per share	$ 0.75	$ 0.75
Debt instrument, interest rate	1.00%	1.00%
Convertible Debt - Derivative Liabilities [Member] | Series 7 Debt [Member]
Debt Instrument [Line Items]
Carrying amount		$ 280,000
Conversion price per share	$ 0.60	$ 0.60
Debt instrument, interest rate	1.00%	1.00%
Convertible Debt - Derivative Liabilities [Member] | Series 8 Debt [Member]
Debt Instrument [Line Items]
Carrying amount	$ 100,000	$ 100,000
Conversion price per share	$ 0.40	$ 0.40
Debt instrument, interest rate	8.00%	8.00%
Convertible Debt - Derivative Liabilities [Member] | Series 12 Debt [Member]
Debt Instrument [Line Items]
Carrying amount	$ 25,000
Conversion price per share	$ 0.02
Debt instrument, interest rate	10.00%
Convertible Debt - Derivative Liabilities [Member] | Series 13 Debt [Member]
Debt Instrument [Line Items]
Carrying amount	$ 6,000
Conversion price per share	$ 0.02
Debt instrument, interest rate	8.00%
Convertible Debt - Derivative Liabilities [Member] | Series 14 Debt [Member]
Debt Instrument [Line Items]
Carrying amount	$ 3,360,000
Conversion price per share	$ 0.02
Debt instrument, interest rate	8.00%

Debt (Convertible Debt - Non-de

Debt (Convertible Debt - Non-derivatives - Summary) (Details) - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Debt Instrument [Line Items]
Carry forward balance	$ 4,379,160
Repayments	(500,080)	$ (848,753)
Ending balance	7,197,227	4,379,160
Convertible Debt - Non-derivatives [Member]
Debt Instrument [Line Items]
Carry forward balance		1,378,207
Borrowings	6,000	83,500
Repayments		(631,819)
Conversion of convertible debt to common stock		(844,250)
Gain on debt settlement		(48,791)
Reclassification of derivative debt back to convertible debt (tainting removed)	(6,000)	63,153
Ending balance

Debt (Convertible Debt - Non-45

Debt (Convertible Debt - Non-derivatives - Terms) (Details) - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015	Aug. 31, 2014
Debt Instrument [Line Items]
Loss on extinguishment of debt		$ 198,132
Carrying amount	7,197,227	4,379,160
Stock issued during period, fair value	41,250	1,899,749
Repayment of debt	$ 500,080	$ 848,753
Convertible Debt - Non-derivatives [Member]
Debt Instrument [Line Items]
Debt instrument, interest rate	8.00%	8.00%
Debt instrument, term		9 months
Debt instrument, maturity date	Sep. 11, 2016
Debt instrument maturity date, beginning of range		Sep. 5, 2014
Debt instrument maturity date, end of range		Jun. 9, 2015
Number of warrants cancelled due to debt modification		523,000
Exercise price of cancelled warrants		$ 0.80
Number of new 3-year warrants issued		826,500
Exercise price of new 3-year warrants		$ 0.35
Loss on extinguishment of debt		$ 17,723
Carrying amount			$ 1,378,207
Repayment of debt		631,819
Expense incurred for settlement of debt		$ 204,313
Convertible Debt - Non-derivatives [Member] | Series 9 Debt [Member]
Debt Instrument [Line Items]
Debt instrument, interest rate	8.00%	8.00%
Debt instrument, term	9 months	9 months
Debt instrument, conversion price	$ 0.02	$ 0.02
Information relating to debt instrument	8% per annum interest; convertible after 180 days at $0.02 per share; 9-months term	8% per annum interest; convertible after 180 days at $0.02 per share; 9-months term
Carrying amount		$ 83,500
Convertible Debt - Non-derivatives [Member] | Series 13 Debt [Member]
Debt Instrument [Line Items]
Debt instrument, interest rate	8.00%
Debt instrument, conversion price	$ 0.02
Information relating to debt instrument	8% interest; convertible after at $0.02 per share; 2-month term
Carrying amount	$ 6,000

Debt (Unsecured Demand Debt - S

Debt (Unsecured Demand Debt - Summary) (Details) - USD ($)		12 Months Ended
		Aug. 31, 2016	Aug. 31, 2015
Debt Instrument [Line Items]
Carry forward balance		$ 4,379,160
Repayments		(500,080)	$ (848,753)
Credit of note payable against franchise license agreement		100,000
Ending balance		7,197,227	4,379,160
Unsecured Demand Debt [Member]
Debt Instrument [Line Items]
Carry forward balance		382,563	833,192
Borrowings	[1]	360,000	100,000
Loss for additional debt brought about by debt settlements		121,360
Repayments		(165,080)	(150,629)
Credit of note payable against franchise license agreement		(100,000)
Rollup of accrued interest into debt		268,140
Rollup of accrued commissions to debt		12,500
Reclassification of derivative debt to demand debt		936,744
Conversion of demand debt to stock			(50,000)
Reclassification to derivative debt due to tainting			(350,000)
Ending balance		$ 1,816,227	$ 382,563
[1]	Includes net proceeds of $353,455 and debt issue costs (recorded as debt discount) of $6,545.

Debt (Unsecured Demand Debt - T

Debt (Unsecured Demand Debt - Terms) (Details) - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015	Aug. 31, 2014
Debt Instrument [Line Items]
Carrying amount	$ 7,197,227	$ 4,379,160
Loss incurred in connection with settlement with debt holder	121,360
Reclassification of accrued commissions to debt	12,500
Litigation [Member]
Debt Instrument [Line Items]
Amount awarded to plaintiff in litigation matter	$ 50,000
Number of common shares issued as settlement of litigation matter	1,500,000
Fair value of common stock issued as settlement of litigation matter	$ 120,000
Gain (loss) on settlement of litigation matter	9,474
Unsecured Demand Debt [Member]
Debt Instrument [Line Items]
Carrying amount	1,816,227	382,563	$ 833,192
Unsecured Demand Debt [Member] | Demand Notes [Member]
Debt Instrument [Line Items]
Carrying amount	$ 1,816,227	$ 382,563
Information relating to debt instrument	8% to 12% per annum interest; maturity dates from past due to April 1, 2020	8% to 12% per annum interest; maturity dates from past due to April 1, 2020
Debt instrument maturity date, end of range	Apr. 1, 2020	Apr. 1, 2020
Accrued interest	$ 130,400
Debt issuance costs	6,545
Proceeds from debt	$ 353,455

Debt (Secured Demand Debt - Sum

Debt (Secured Demand Debt - Summary) (Details) - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Debt Instrument [Line Items]
Carry forward balance	$ 4,379,160
Repayments	(500,080)	$ (848,753)
Ending balance	7,197,227	4,379,160
Secured Demand Debt [Member]
Debt Instrument [Line Items]
Carry forward balance	2,700,000	2,700,000
Borrowings
Loss on new debt brought about by debt settlement	155,242
Repayments	(310,000)
Conversion of debt to Series B preferred stock	(1,100,000)
Reclassification of accrued interest to debt	444,758
Ending balance	$ 1,890,000	$ 2,700,000

Debt (Secured Demand Debt - Ter

Debt (Secured Demand Debt - Terms) (Details) - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015	Aug. 31, 2014
Debt Instrument [Line Items]
Carrying amount	$ 7,197,227	$ 4,379,160
Gain (loss) on settlement of debt and accrued liabilities	(1,397,234)	26,791
Debt converted to Series B preferred stock	1,100,000	$ 1,936,345
Fair value of debt converted to Series B preferred stock	$ 1,952,100
Secured Demand Debt [Member]
Debt Instrument [Line Items]
Debt instrument, interest rate	5.00%	12.75%
Debt instrument, maturity date	Nov. 15, 2018	Aug. 28, 2014
Information relating to debt instrument	Second security on the assets of OSM	Second security on the assets of OSM
Carrying amount	$ 1,890,000	$ 2,700,000	$ 2,700,000
Settlement of debt	2,100,000
Loss on debt settlement	155,242
Gain (loss) on settlement of debt and accrued liabilities	$ (852,500)

Debt (Schedule of Debt Net of D

Debt (Schedule of Debt Net of Discounts) (Details) - USD ($)	Aug. 31, 2016	Aug. 31, 2015
Debt Disclosure [Abstract]
Total outstanding debt	$ 7,197,227	$ 4,379,160
Carry forward debt discount - net		(335,318)
Debt discount related to derivatives	(2,342,138)	(316,102)
Debt discount related to Series D preferred stock issued along with debt	(332,640)
Debt discount related to original issue discounts	(360,000)
Debt discount related to debt issue costs	(423,110)
Debt discount related to beneficial conversion feature	(1,800)
Amortization of debt discount	281,304	651,420
Debt - net	$ 4,018,843	$ 4,379,160

Derivative Liabilities (Narrati

Derivative Liabilities (Narrative) (Details) - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Debt discount recorded on debt modification
Derivative expense	$ 2,231,865	$ 527,270

Derivative Liabilities (Schedul

Derivative Liabilities (Schedule of Fair Value of Derivative Liabilities) (Details) - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Carry forward balance	$ 239,748	$ 180,418
Fair value at the commitment date recorded as debt discount	2,342,138	353,282
Fair value at the commitment date recorded as derivative expense	2,231,865	527,270
Loss on debt extinguishment		198,132
Fair value mark-to-market adjustment	(1,509,401)	(817,223)
Tainting of derivatives of convertible notes and warrants	9,298	(202,131)
Reclassification of derivative liabilities to equity	(2,068)
Derivative liabilities (balance)	$ 3,311,580	$ 239,748

Derivative Liabilities (Sched53

Derivative Liabilities (Schedule of Assumptions Used to Measure Derivative Liabilities) (Details)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Commitment Date [Member]
Derivative [Line Items]
Exercise price		0.20
Expected dividends	0.00%	0.00%
Commitment Date [Member] | Minimum [Member]
Derivative [Line Items]
Exercise price	0.02
Expected volatility	149.00%	176.00%
Expected term: convertible debt and warrants	29 days	3 months
Risk free interest rate	0.28%	0.10%
Commitment Date [Member] | Maximum [Member]
Derivative [Line Items]
Exercise price	0.04
Expected volatility	218.00%	290.00%
Expected term: convertible debt and warrants	2 years	5 years
Risk free interest rate	0.70%	0.98%
Remeasurement Date [Member]
Derivative [Line Items]
Exercise price		0.20
Expected dividends	0.00%	0.00%
Remeasurement Date [Member] | Minimum [Member]
Derivative [Line Items]
Exercise price	0.02
Expected volatility	204.00%	151.00%
Expected term: convertible debt and warrants	3 months	3 months
Risk free interest rate	0.33%	0.01%
Remeasurement Date [Member] | Maximum [Member]
Derivative [Line Items]
Exercise price	0.04
Expected volatility	232.00%	211.00%
Expected term: convertible debt and warrants	1 year 6 months 29 days	4 years 7 months 10 days
Risk free interest rate	0.61%	1.01%

Stockholders' Deficit (Converti

Stockholders' Deficit (Convertible Preferred Stock Narrative) (Details) - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Class of Stock [Line Items]
Deemed dividend on preferred stock	$ 3,215,651
Issuance of Series D preferred stock for debt	$ 332,640
Series A Convertible Preferred Stock [Member]
Class of Stock [Line Items]
Description of voting rights entitled to preferred stock holders	Holders of the Company's Series A preferred shares have no voting rights and receive no dividends, but receive $1.00 per share in the case of liquidation of the Company.
Liquidation amount of preferred share received by holders	$ 1
Terms of convertible preferred stock	This series of shares convert on a 1:1 basis at par value ($0.001) into shares of the Company's common stock.
Number of shares converted during period	0
Preferred stock, shares authorized	2,500,000	2,500,000
Preferred stock, shares issued	878,639	881,360
Series B Convertible Preferred Stock [Member]
Class of Stock [Line Items]
Description of voting rights entitled to preferred stock holders	Holders of the Company's preferred shares receive no dividends, but have 10 votes per share.
Terms of convertible preferred stock	This series of shares convert on a 1:10 basis at par value ($0.001) into shares of the Company's common stock.
Preferred stock, shares authorized	45,000,000	45,000,000
Preferred stock, shares issued	10,431,516	18,141,051
Deemed dividend on preferred stock	$ 3,215,651
Series C Convertible Preferred Stock [Member]
Class of Stock [Line Items]
Description of voting rights entitled to preferred stock holders	Holders of the Company's Series C preferred shares receive no dividends, but have 20 votes per share.
Terms of convertible preferred stock	This series of shares convert on a 1:20 basis at par value ($0.001) into shares of the Company's common stock
Preferred stock, shares authorized	2,500,000	0
Preferred stock, shares issued	1,725,000	0
Series D Convertible Preferred Stock [Member]
Class of Stock [Line Items]
Description of voting rights entitled to preferred stock holders	Holders of the Company's Series D preferred shares receive no dividends, and have no voting rights.
Terms of convertible preferred stock	This series of shares have a stated value of $1,000 per shares and convert into shares of the Company's common stock at $0.02.
Preferred stock, shares authorized	672	0
Preferred stock, shares issued	672	0

Stockholders' Deficit (Schedule

Stockholders' Deficit (Schedule of Activity of Series A - Convertible Preferred Stock) (Details) - Series A Convertible Preferred Stock [Member] - shares	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Class of Stock [Line Items]
Beginning balance, shares	881,360	931,360
Conversion of preferred stock to common stock, shares	(2,721)	(50,000)
Ending balance, shares	878,639	881,360

Stockholders' Deficit (Schedu56

Stockholders' Deficit (Schedule of Activity of Series B - Convertible Preferred Stock) (Details) - USD ($)		12 Months Ended
		Aug. 31, 2016	Aug. 31, 2015
Class of Stock [Line Items]
Issuance of stock for cash		$ 41,250	$ 1,899,749
Issuance of Series B preferred stock for services rendered ($0.40)			100,000
Issuance of Series B preferred stock for debt and accrued interest ($0.40/share)		1,100,000	1,936,345
Issuance of Series B preferred stock for cash ($0.20 /share)		240,000
Issuance of Series B preferred stock for warrants exercised ($0.20 /share)		709,800	565,288
Stock based compensation		500,445
Series B Convertible Preferred Stock [Member]
Class of Stock [Line Items]
Beginning balance		$ 4,501,382
Beginning balance, shares		18,141,051
Issuance of stock for cash			$ 10,224
Shares issued for compensation	[1]	$ 90,853
Shares issued for debt and accrued interest		1,952,500
Shares issued for cash ($0.20/share), shares			10,223,750
Issuance of Series B preferred stock for services rendered ($0.40)			$ 250
Shares issued for services ($0.04/share)			250,000
Issuance of Series B preferred stock for debt and accrued interest ($0.40/share)		$ 2,750	$ 4,841
Shares issued for debt and accrued interest ($0.40/share), shares		2,750,000	4,840,861
Ending balance			$ 4,501,382
Issuance of Series B preferred stock for cash ($0.20 /share)		$ 1,200
Issuance of Series B preferred stock for cash ($0.20 /share), shares		1,200,000
Issuance of Series B preferred stock for warrants exercised ($0.20 /share)		$ 3,549	$ 2,826
Issuance of Series B preferred stock for warrants excercised ($0.20 /share), shares		3,549,000	2,826,440
Stock based compensation		$ 279
Stock based compensation, shares	[1]	279,405
Conversion of Series B preferred stock to common stock, shares		(12,037,940)
Conversion of Series B preferred stock to Series C preferred stock, shares		(3,450,000)
Ending balance, shares		10,431,516	18,141,051
Stock issued for cash, issuance price per share		$ 0.20
Stock issued for services, issuance price per share			$ 0.40
Stock issued for debt & accrued interest, issuance price per share		0.71	0.40
Stock issued for warrants, issuance price per share		0.20	0.20
Series B Convertible Preferred Stock [Member] | Minimum [Member]
Class of Stock [Line Items]
Stock issued for cash, issuance price per share			0.16
Stock issued for compensation, issuance price per share		0.27
Series B Convertible Preferred Stock [Member] | Maximum [Member]
Class of Stock [Line Items]
Stock issued for cash, issuance price per share			$ 0.20
Stock issued for compensation, issuance price per share		$ 0.52
[1]	Total stock issued for compensation consists of both common shares and Series B preferred shares; see note 7D.

Stockholders' Deficit (Common S

Stockholders' Deficit (Common Stock) (Details) - USD ($)		12 Months Ended
		Aug. 31, 2016	Aug. 31, 2015
Class of Stock [Line Items]
Issuance of stock for cash		$ 41,250	$ 1,899,749
Stock based compensation		500,445
Stock issued for services rendered, fair value		497,767	841,481
Stock issued for debt & accrued interest, fair value		445,946	105,972
Conversion of preferred stock to common stock
Forfeiture of awarded shares			607,739
Issuance of stock for prior year(s) employee payroll and expenses			$ 404,866
Common Stock [Member]
Class of Stock [Line Items]
Issuance of stock for cash, shares		1,031,250
Issuance of stock for cash		$ 1,031
Stock based compensation		$ 6,244
Stock based compensation, shares	[1]	6,243,502
Shares issued for compensation	[1]	$ 409,592
Stock issued for services rendered, shares		8,130,523	20,339,774
Stock issued for services rendered, fair value		$ 8,131	$ 20,340
Stock issued in connection with convertible debt, shares		15,150,158
Stock issued in connection with convertible debt		$ 602,571
Stock issued for debt & accrued interest, shares		12,900,188	3,407,057
Stock issued for debt & accrued interest, fair value		$ 12,899	$ 3,407
Conversion of preferred stock to common stock, shares		2,721	50,000
Conversion of preferred stock to common stock		$ 3	$ 50
Conversion of Series B Preferred Stock to common stock, shares		120,380,934
Stock issued for cash, issuance price per share		$ 0.04
Stock issued for debt & accrued interest, issuance price per share		$ 0.40
Fair market value of shares given to settle debt		$ 445,946	22,000
Amount of conversion of debt and accrued interest to common stock		$ 156,625	83,972
Reversal of prior period compensation expenses			562,434
Reversal of current period expense forfeited awards			$ 45,305
Common Stock [Member] | CEO [Member]
Class of Stock [Line Items]
Stock based compensation, shares		5,000,000
Common Stock [Member] | Minimum [Member]
Class of Stock [Line Items]
Stock issued for cash, issuance price per share
Stock issued for compensation, issuance price per share		$ 0.03
Stock issued for convertible debt, issuance price per share		0.02
Stock issued for services, issuance price per share		0.05	0.03
Stock issued for debt & accrued interest, issuance price per share			0.02
Stock issued for conversion of stock, issuance price per share			0.001
Common Stock [Member] | Maximum [Member]
Class of Stock [Line Items]
Stock issued for cash, issuance price per share
Stock issued for compensation, issuance price per share		0.08
Stock issued for convertible debt, issuance price per share		0.08
Stock issued for services, issuance price per share		$ 0.14	0.19
Stock issued for debt & accrued interest, issuance price per share			0.10
Stock issued for conversion of stock, issuance price per share			$ 0.001
[1]	Total stock issued for compensation consists of both common shares and Series B preferred shares; see note 7D.

Stockholders' Deficit (Schedu58

Stockholders' Deficit (Schedule of Stock Option Activity) (Details) - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015	Aug. 31, 2014
Summary of Stock Option Activity:
Stock based compensation	$ 500,445	$ 157,354
Stock Options [Member]
Summary of Stock Option Activity:
Options outstanding, beginning	1,975,000	1,975,000
Granted	300,000
Exercised
Forfeited
Options outstanding, ending	2,275,000	1,975,000	1,975,000
Weighted average exercise price, beginning	$ 0.53	$ 0.53
Granted	0.05
Exercised
Forfeited
Weighted average exercise price, ending	$ 0.46	$ 0.53	$ 0.53
Granted, weighted average remaining contractual life	3 years
Options outstanding, weighted average remaining contractual life	4 years 1 month 28 days	5 years 5 months 9 days	6 years 5 months 9 days
Options exercisable, weighed average remaining contractual life	4 years 1 month 28 days	5 years 5 months 9 days
Aggregate intrinsic value, beginning
Aggregate intrinsic value, ending
Exercisable options, number	2,275,000	1,975,000	1,875,000
Exercisable options, weighted average exercise price	$ .46	$ 0.53	$ 0.51
Grant date fair value	$ 13,800
Weighted average grant date fair value	$ .046
Stock Options [Member] | Related Party [Member]
Summary of Stock Option Activity:
Weighted average exercise price, ending	$ 1,750,000
Exercisable options, number	1,750,000

Stockholders' Deficit (Schedu59

Stockholders' Deficit (Schedule of Unvested Stock Options) (Details) - Stock Options [Member] - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unvested number, beginning		100,000
Granted	300,000
Vested	(300,000)	(100,000)
Forfeited/Cancelled
Unvested number, ending
Unvested options weighted average grant date fair value, beginning		$ 0.75
Granted	0.05
Vested	.046
Forfeited/Cancelled
Unvested options weighted average grant date fair value, ending
Weighted average remaining life for vesting	0 years
Expenses incurred related to vested options	$ 13,800

Stockholders' Deficit (Schedu60

Stockholders' Deficit (Schedule of Stock Warrant Activity) (Details) - Warrant [Member] - $ / shares	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Number of warrants:
Warrants outstanding, beginning	7,496,140	5,938,202
Granted (for debt)		951,500
Granted (other)		1,975,000
Exercised
Forfeited/Expired	(1,210,090)	(1,368,562)
Warrants outstanding, ending	6,286,050	7,496,140
Warrants outstanding weighted average exercise price, beginning	$ 0.42	$ 0.66
Granted (for debt)		0.35
Granted (other)		.03
Exercised
Forfeited/Expired	0.95	0.79
Warrants outstanding weighted average exercise price, ending	$ .33	$ 0.42

Stockholders' Deficit (Summary

Stockholders' Deficit (Summary of Warrants Outstanding by Price Range) (Details) - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Share Based Compensation Shares Authorized Under Equity Instruments Other Than Options Exercise Price Range [Line Items]
Warrants issued		8,750,000
Warrants exercised	3,549,000	2,826,440
Warrants expired	2,374,560
Proceeds from issuance of warrants	$ 709,800	$ 565,288
Series B Convertible Preferred Stock [Member]
Share Based Compensation Shares Authorized Under Equity Instruments Other Than Options Exercise Price Range [Line Items]
Issuance of Series B preferred stock for warrants excercised ($0.20 /share), shares	3,549,000	2,826,440
Stock issued for warrants exercised, price per share	$ 0.20	$ 0.20
Warrant [Member] | Warrant Exercise Price Range One [Member]
Share Based Compensation Shares Authorized Under Equity Instruments Other Than Options Exercise Price Range [Line Items]
Range of exercise price, lower limit	0.03
Range of exercise price, upper limit	$ 0.80
Number outstanding	6,286,050
Remaining Average Contractual Life	1 year 5 months 27 days
Weighted Average Exercise Price, Outstanding	$ 0.33
Number exercisable	6,286,050
Weighted average exercise price, exercisable	$ 0.33
Intrinsic value

Commitments and Contingencies (

Commitments and Contingencies (Details)	Aug. 31, 2016USD ($)
Commitments and Contingencies Disclosure [Abstract]
Percentage of gross soup sales owed to minority stockholder on first $50,000,000 in sales	3.00%
Percentage of gross soup sales owed to minority stockholder on sales between $50,000,000 and $75,000,000	2.00%
Percentage of gross soup sales owed to minority stockholder on sales above $75,000,000, in perpetuity	1.00%
The minimum monetary obligation owed to minority stockholder per year through June 30, 2014, provided certain services to the Company were rendered	$ 225,000
Lawsuit accrual	$ 299,202

Income Taxes (Narrative) (Detai

Income Taxes (Narrative) (Details) - USD ($) $ in Millions	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015
Income Tax Disclosure [Abstract]
Income tax expense
Net operating loss carry-forward	$ 30.9
Expiration date of net operating loss carry-forward	Dec. 31, 2032
Federal corporate tax rate	34.00%
New York State corporate tax rate	7.10%
Blended tax rate	38.69%
Increase in deferred asset valuation allowance	$ 1.1
Accrual for uncertain tax positions

Income Taxes (Schedule of Defer

Income Taxes (Schedule of Deferred Tax Assets) (Details) - USD ($)	Aug. 31, 2016	Aug. 31, 2015
Income Tax Disclosure [Abstract]
Net operating loss carry-forward	$ 11,946,000	$ 10,800,000
Total gross deferred tax assets	11,946,000	10,800,000
Less valuation allowance	(11,946,000)	(10,800,000)
Net deferred tax assets

Going Concern (Details)

Going Concern (Details) - USD ($)	12 Months Ended
	Aug. 31, 2016	Aug. 31, 2015	Aug. 31, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Net loss	$ 6,296,845	$ 2,939,619
Net cash used in operating activities	2,703,992	1,549,019
Working capital deficit	7,400,000
Total Deficit	$ 9,259,319	$ 8,024,707	$ 10,407,930

Subsequent Events (Details)

Subsequent Events (Details) - USD ($)	3 Months Ended	12 Months Ended
	Dec. 15, 2016	Aug. 31, 2016	Aug. 31, 2015
Subsequent Event [Line Items]
Proceeds from issuance of preferred stock for cash		$ 240,000	$ 1,899,749
Series B Convertible Preferred Stock [Member]
Subsequent Event [Line Items]
Issuance of stock for cash, shares			10,223,750
Subsequent Event [Member] | Common Stock [Member]
Subsequent Event [Line Items]
Stock issued for services rendered, Shares	10,600,000
Shares issued from conversion	10,250,000
Subsequent Event [Member] | Series B Convertible Preferred Stock [Member]
Subsequent Event [Line Items]
Stock issued for services rendered, Shares	15,000
Number of shares converted	1,250,000