Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Apr. 30, 2019 | Jul. 09, 2019 | Oct. 31, 2018 | |
Document And Entity Information | |||
Entity Registrant Name | ASPEN GROUP, INC. | ||
Entity Central Index Key | 0001487198 | ||
Document Type | 10-K | ||
Document Period End Date | Apr. 30, 2019 | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --04-30 | ||
Is Entity a Well-known Seasoned Issuer | No | ||
Is Entity a Voluntary Filer | No | ||
Is Entity's Reporting Status Current | Yes | ||
Entity Filer Category | Accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 91 | ||
Entity Common Stock, Shares Outstanding | 18,648,884 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2019 | ||
Entity Interactive Data Current | Yes |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) | Apr. 30, 2019 | Apr. 30, 2018 |
Current assets: | ||
Cash | $ 9,519,352 | $ 14,612,559 |
Restricted cash | 448,400 | 190,506 |
Accounts receivable, net of allowance of $1,247,031 and $468,174, respectively | 10,656,470 | 6,802,723 |
Prepaid expenses | 410,745 | 199,406 |
Other receivables | 2,145 | 184,569 |
Total current assets | 21,037,112 | 21,989,763 |
Property and equipment: | ||
Call center equipment | 193,774 | 140,509 |
Computer and office equipment | 327,621 | 230,810 |
Furniture and fixtures | 1,381,271 | 932,454 |
Software | 4,314,198 | 2,878,753 |
Total | 6,216,864 | 4,182,526 |
Less accumulated depreciation and amortization | (1,825,524) | (1,320,360) |
Total property and equipment, net | 4,391,340 | 2,862,166 |
Goodwill | 5,011,432 | 5,011,432 |
Intangible assets, net of accumulated amortization of $1,558,333 and 458,333, respectively | 8,541,667 | 9,641,667 |
Courseware, net | 161,930 | 138,159 |
Accounts receivable, secured - net of allowance of $625,963, and $625,963, respectively | 45,329 | 45,329 |
Long term contractual accounts receivable | 3,085,243 | 1,315,050 |
Debt issue cost, net | 300,824 | |
Deposits and other assets | 629,626 | 584,966 |
Total assets | 43,204,503 | 41,588,532 |
Current liabilities: | ||
Accounts payable | 1,699,221 | 2,227,214 |
Accrued expenses | 651,418 | 658,854 |
Deferred revenue | 2,456,865 | 1,814,136 |
Refunds due students | 1,174,501 | 815,841 |
Deferred rent, current portion | 47,436 | 8,160 |
Convertible notes payable, current portion | 50,000 | 1,050,000 |
Other current liabilities | 270,786 | 203,371 |
Total current liabilities | 6,350,227 | 6,777,576 |
Convertible note payable | 1,000,000 | |
Senior secured loan payable, net of discount of $353,328 | 9,646,672 | |
Deferred rent | 746,176 | 77,365 |
Total liabilities | 16,743,075 | 7,854,941 |
Commitments and contingencies - See Note 11 | ||
Stockholders' equity: | ||
Preferred stock, $0.001 par value; 1,000,000 shares authorized, 0 issued and outstanding at April 30, 2019 and April 30, 2018 | ||
Common stock, $0.001 par value; 40,000,000 shares authorized, 18,665,551 issued and 18,648,884 outstanding at April 30, 2019 18,333,521 issued and 18,316,854 outstanding at April 30, 2018 | 18,666 | 18,334 |
Additional paid-in capital | 68,562,727 | 66,557,005 |
Treasury stock (16,667 shares) | (70,000) | (70,000) |
Accumulated deficit | (42,049,965) | (32,771,748) |
Total stockholders' equity | 26,461,428 | 33,733,591 |
Total liabilities and stockholders' equity | $ 43,204,503 | $ 41,588,532 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) | Apr. 30, 2019 | Apr. 30, 2018 |
Assets | ||
Allowance for doubtful accounts, current accounts receivables | $ 1,247,031 | $ 468,174 |
Allowance for doubtful accounts, noncurrent accounts receivables | 625,963 | 625,963 |
Accumulated amortization of intangible assets | 1,558,333 | $ 458,333 |
Discount senior secured loan payable | $ 353,328 | |
Stockholders' Equity: | ||
Preferred stock, par value | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 40,000,000 | 40,000,000 |
Common stock, shares issued | 18,665,551 | 18,333,521 |
Common stock, shares outstanding | 18,648,884 | 18,316,854 |
Treasury stock, shares | 16,667 | 16,667 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) | 12 Months Ended | |
Apr. 30, 2019 | Apr. 30, 2018 | |
Income Statement [Abstract] | ||
Revenues | $ 34,025,418 | $ 22,021,512 |
Operating expenses | ||
Cost of revenues (exclusive of depreciation and amortization shown separately below) | 15,977,218 | 9,853,819 |
General and administrative | 24,987,828 | 16,328,580 |
Depreciation and amortization | 2,170,098 | 1,092,283 |
Total operating expenses | 43,135,144 | 27,274,682 |
Operating loss | (9,109,726) | (5,253,170) |
Other income (expense): | ||
Other income | 276,189 | 149,761 |
Gain on extinguishment of warrant liability | 52,500 | |
Interest expense | (444,680) | (2,010,152) |
Total other income (expense), net | (168,491) | (1,807,891) |
Loss before income taxes | (9,278,217) | (7,061,061) |
Income tax expense (benefit) | ||
Net loss | $ (9,278,217) | $ (7,061,061) |
Net loss per share allocable to common stockholders - basic and diluted | $ (0.50) | $ (0.50) |
Weighted average number of common shares outstanding: basic and diluted | 18,409,459 | 14,215,868 |
CONSOLIDATED STATEMENT OF CHANG
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) | Common Stock [Member] | Additional Paid-In Capital [Member] | Treasury Stock [Member] | Accumulated Deficit [Member] | Total |
Balance at Apr. 30, 2017 | $ 13,504 | $ 33,607,423 | $ (70,000) | $ (25,710,687) | $ 7,840,240 |
Balance, shares at Apr. 30, 2017 | 13,504,012 | ||||
Stock-based compensation | 642,566 | 642,566 | |||
Common stock issued for stock options exercised for cash | $ 137 | 475,688 | 475,825 | ||
Common stock issued for stock options exercised for cash, shares | 136,563 | ||||
Common stock issued for cashless warrant exercise | $ 172 | (172) | |||
Common stock issued for cashless warrant exercise, shares | 171,962 | ||||
Common stock issued for warrants exercised for cash | $ 88 | 246,292 | 246,380 | ||
Common stock issued for warrants exercised for cash, shares | 87,775 | ||||
Warrants issued with senior secured term loan | 478,428 | 478,428 | |||
Fees associated with equity raise | (2,215,730) | (2,215,730) | |||
Restricted stock issued for services | $ 10 | 88,689 | 88,699 | ||
Restricted stock issued for services, shares | 10,000 | ||||
Common stock issued for acquisition | $ 1,203 | 10,214,041 | 10,215,244 | ||
Common stock issued for acquisition, shares | 1,203,209 | ||||
Common stock issued in equity raise | $ 3,220 | 23,019,780 | 23,023,000 | ||
Common stock issued in equity raise, shares | 3,220,000 | ||||
Net loss | (7,061,061) | (7,061,061) | |||
Balance at Apr. 30, 2018 | $ 18,334 | 66,557,005 | (70,000) | (32,771,748) | 33,733,591 |
Balance, shares at Apr. 30, 2018 | 18,333,521 | ||||
Stock-based compensation | 1,190,385 | 1,190,385 | |||
Common stock issued for cashless stock options exercised | $ 112 | (112) | |||
Common stock issued for cashless stock options exercised, shares | 111,666 | ||||
Common stock issued for stock options exercised for cash | $ 56 | 128,145 | 128,201 | ||
Common stock issued for stock options exercised for cash, shares | 56,910 | ||||
Common stock issued for cashless warrant exercise | $ 120 | (120) | |||
Common stock issued for cashless warrant exercise, shares | 119,594 | ||||
Common stock issued for warrants exercised for cash | $ 44 | 99,956 | 100,000 | ||
Common stock issued for warrants exercised for cash, shares | 43,860 | ||||
Warrants issued with debt financing | 615,587 | 615,587 | |||
Warrants issued for services | 1,713 | 1,713 | |||
Purchase of treasury stock, net of broker fees | (7,370,000) | (7,370,000) | |||
Re-sale of treasury stock, net of broker fees | 7,370,000 | 7,370,000 | |||
Fees associated with equity raise | (29,832) | (29,832) | |||
Net loss | (9,278,217) | (9,278,217) | |||
Balance at Apr. 30, 2019 | $ 18,666 | $ 68,562,727 | $ (70,000) | $ (42,049,965) | $ 26,461,428 |
Balance, shares at Apr. 30, 2019 | 18,665,551 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | 12 Months Ended | |
Apr. 30, 2019 | Apr. 30, 2018 | |
Cash flows from operating activities: | ||
Net loss | $ (9,278,217) | $ (7,061,061) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Bad debt expense | 854,008 | 535,366 |
Gain on extinguishment of warrant liability | (52,500) | |
Depreciation and amortization | 2,170,098 | 1,092,283 |
Stock-based compensation | 1,190,385 | 642,566 |
Warrants awarded to directors for service | 1,713 | |
Loss on asset disposition | 27,590 | |
Amortization and write-off origination fees | 829,794 | |
Amortization of debt discounts | 40,881 | |
Amortization of debt issue costs | 54,247 | |
Cash paid to settle convertible debt | 60,932 | |
Amortization of prepaid shares for services | 8,285 | 80,415 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (6,477,948) | (3,360,277) |
Prepaid expenses | (219,624) | (13,593) |
Accrued interest receivable | (45,400) | |
Other receivables | 182,424 | (103,105) |
Other assets | (44,660) | (528,549) |
Accounts payable | (527,993) | 1,319,268 |
Accrued expenses | (7,436) | 280,697 |
Deferred rent | 663,376 | 22,079 |
Refunds due students | 358,660 | 505,265 |
Deferred revenue | 642,729 | (1,953) |
Other liabilities | 112,126 | 221,180 |
Net cash used in operating activities | (10,216,014) | (5,609,935) |
Cash flows from investing activities: | ||
Purchases of courseware and accreditation | (91,522) | (48,388) |
Purchases of property and equipment | (2,531,521) | (1,836,618) |
Notes receivable | 900,000 | |
Cash paid in acquisition | (2,589,719) | |
Proceeds from promissory note interest receivable | 53,400 | |
Net cash used in investing activities | (2,623,043) | (3,521,325) |
Cash flows from financing activities: | ||
Repayment of convertible note payable | (2,000,000) | |
Proceeds of Equity offering | 23,023,000 | |
Disbursements for equity offering costs | (29,832) | (2,215,730) |
Proceeds from senior secured term loan | 7,500,000 | |
Repayment of senior secured loan | (7,500,000) | |
Proceeds of stock options and warrants exercised | 228,201 | 722,205 |
Purchase of treasury stock | (7,370,000) | |
Re-sale of treasury stock | 7,370,000 | |
Offering costs paid on debt financing | (100,000) | (351,367) |
Closing costs of senior secured loans | (33,693) | |
Cash paid to settle convertible debt | (60,932) | |
Proceeds of senior secured loan | 10,000,000 | |
Net cash provided by financing activities | 8,003,744 | 21,178,108 |
Net increase (decrease) in cash and cash equivalents | (4,835,313) | 12,046,848 |
Cash, restricted cash, and cash equivalents at beginning of year | 14,803,065 | 2,756,217 |
Cash and cash equivalents at end of year | 9,967,752 | 14,803,065 |
Supplemental disclosure cash flow information | ||
Cash paid for interest | 118,217 | 540,341 |
Cash paid for income taxes | ||
Supplemental disclosure of non-cash investing and financing activities | ||
Warrants issued as part of revolving credit facility | 255,071 | |
Warrants issued as part of senior secured term loans | 360,516 | 478,428 |
Assets acquired net of liabilities assumed for non-cash consideration | 12,215,244 | |
Common stock issued for services | $ 29,809 | $ 88,699 |
CONSOLIDATED STATEMENTS OF CA_2
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) | Apr. 30, 2019 | Apr. 30, 2018 |
Statement of Cash Flows [Abstract] | ||
Cash | $ 9,519,352 | $ 14,612,559 |
Restricted cash | 448,400 | 190,506 |
Total cash and restricted cash | $ 9,967,752 | $ 14,803,065 |
Nature of Operations and Liquid
Nature of Operations and Liquidity | 12 Months Ended |
Apr. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Operations and Liquidity | Note 1. Nature of Operations and Liquidity Overview Aspen Group, Inc. (together with its subsidiaries, the Company, Aspen, or AGI) is a holding company, which has three subsidiaries. They are Aspen University, Inc. (Aspen University) organized in 1987, Aspen Nursing, Inc. (ANI) (a subsidiary of Aspen University) formed in July 2018 and United States University, Inc. (USU) formed in May 2017. USU was the vehicle we used to acquire United States University on December 1, 2017. (See Note 5). When we refer to USU in this Report, we refer to either the online university which has operated under the name United States University or our subsidiary which operates this university, as the context implies. AGI is an education technology holding company that leverages its infrastructure and expertise to allow its two universities, Aspen University and United States University, to deliver on the vision of making college affordable again. Because we believe higher education should be a catalyst to our students long-term economic success, we exert financial prudence by offering affordable tuition that is one of the greatest values in higher education. AGIs primary focus relative to future growth is to target the high growth nursing profession, as today 81% of all students across both universities are degree-seeking nursing students. Since 1993, Aspen University has been nationally accredited by the Distance Education and Accrediting Council (DEAC), a national accrediting agency recognized by the U.S. Department of Education (the DOE). In February 2019, the DEAC informed Aspen University that it had renewed its accreditation for five years through January 2024. Since 2009, USU has been regionally accredited by WASC Senior College and University Commission. (WSCUC). Both universities are qualified to participate under the Higher Education Act of 1965, as amended (HEA) and the Federal student financial assistance programs (Title IV, HEA programs). USU has a provisional certification resulting from the ownership change of control on December 1, 2017. Liquidity At April 30, 2019, the Company had a cash balance of $9,519,352 with an additional $448,400 in restricted cash. In April 2018, the Company raised $23,023,000 in equity through the sale of 3,220,000 shares at $7.15 per share. With the proceeds, the Company repaid a $7.5 million senior secured term loan. On November 5, 2018 the Company entered into a three year, $5,000,000 senior revolving credit facility. There is currently no outstanding balance under that facility. The Company paid $1,160,000 of principal and accrued interest related to a convertible note on December 3, 2018, as explained in Note 9. Also, on February 25, 2019, the Company paid a total of $1,080,000, which included the remaining $1 million of principal, $19,068 of accrued unpaid interest and settlement expense of $60,932 to prepay the debt and eliminate the holders conversion option. This was the final payment for the acquisition of USU and was originally due on December 1, 2019. (See Note 9). The Company also anticipates ongoing investment spending, including an expected investment of approximately $600,000 related to the new campus for its Pre-Licensure BSN Program with Honor Health. In March 2019, the Company entered into loan agreements and received proceeds of $10 million. In connection with the loan agreements, the Company issued 18 month senior secured promissory notes, with the right to extend the term of the loan for an additional 12 months by paying a 1% one-time extension fee. Also, as a term of the loan agreement, the February 25, 2019 payment detailed above was made. (See Note 10) During the year ended April 30, 2019 the Company used cash of $4,835,313, which included using $10,216,014 in operating activities. The Company expects revenue growth to continue, and expenses to grow at a slower pace. As a result, the Company expects cash used in operations to decline in future quarters as compared to the quarter ending April 30, 2019. The Company has analyzed its liquidity position and believes its current resources are adequate to meet anticipated liquidity needs for the next 12 months. |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Apr. 30, 2019 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | Note 2. Significant Accounting Policies Principles of Consolidation The consolidated financial statements include the accounts of AGI and its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. Use of Estimates The preparation of the consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP) requires management to make estimates and assumptions that affect the reported amounts in the consolidated financial statements. Actual results could differ from those estimates. Significant estimates in the accompanying consolidated financial statements include the allowance for doubtful accounts and other receivables, the valuation of collateral on certain receivables, estimates of the fair value of assets acquired and liabilities assumed in a business combination, amortization periods and valuation of courseware, intangibles and software development costs, valuation of beneficial conversion features in convertible debt, valuation of goodwill, valuation of loss contingencies, valuation of stock-based compensation and the valuation allowance on deferred tax assets. Cash, Cash Equivalents, and Restricted Cash For the purposes of the consolidated statements of cash flows, the Company considers all highly liquid investments with an original maturity of six months or less when purchased to be cash equivalents. There were no cash equivalents at April 30, 2019 and 2018. The Company maintains its cash in bank and financial institution deposits that at times may exceed federally insured limits of $250,000 per financial institution. The Company has not experienced any losses in such accounts from inception through April 30, 2019. As of April 30, 2019 and 2018, there were deposits totaling $9,359,208 and $14,422,499 respectively, held in two separate institutions greater ASU No 2016-18 In November 2016, FASB issue ASU No. 2016-18, Statement of Cash Flows (Topic 230) Restricted Cash (ASU 2016- 18), requiring restricted cash and cash equivalents to be included with cash and cash equivalents of the statement of cash flows. The new standard is effective for fiscal years, and interim periods with those year, beginning December 15, 2017, with early adoption permitted. The Company adopted this new ASU at May 1, 2018. As of April 30, 2019, restricted cash of $448,400 consists of $120,864 which is collateral for a letter of credit issued by the bank and required under the USU facility operating lease. Also, included is $71,828 and an additional $255,708, which is collateral for a letter of credit issued by the bank and related to USUs receipt of Title IV funds and is required by DOE in connection with the change of control of USU. (See Note 11). Restricted cash as of April 30, 2018 was $190,506. Goodwill and Intangibles Goodwill represents the excess of the purchase price of USU over the fair market value of assets acquired and liabilities assumed from Educacion Significativa, LLC. Goodwill has an indefinite life and is not amortized. Goodwill is tested annually for impairment. ASU 2017-04 - In January 2017, the Financial Accounting Standards Board issued Accounting Standards Update No. 2017-04: "Intangibles - Goodwill and Other (Topic 350) - to simplify how an entity is required to test goodwill for impairment by eliminating Step 2 from the goodwill impairment test. Step 2 measures a goodwill impairment loss by comparing the implied fair value of a reporting units goodwill with the carrying amount of that goodwill. This guidance is effective for interim and annual reporting periods beginning after December 15, 2019. The Company early adopted this standard effective April 30, 2018. Intangible assets represent both indefinite lived and definite lived assets. Accreditation and regulatory approvals and trade name and trademarks are deemed to have indefinite useful lives and accordingly are not amortized but are tested annually for impairment. Student relationships and curriculums are deemed to have definite lives and are amortized accordingly. Fair Value Measurements Fair value is the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants. The Company classifies assets and liabilities recorded at fair value under the fair value hierarchy based upon the observability of inputs used in valuation techniques. Observable inputs (highest level) reflect market data obtained from independent sources, while unobservable inputs (lowest level) reflect internally developed market assumptions. The fair value measurements are classified under the following hierarchy: Level 1Observable inputs that reflect quoted market prices (unadjusted) for identical assets and liabilities in active markets; Level 2Observable inputs, other than quoted market prices, that are either directly or indirectly observable in the marketplace for identical or similar assets and liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets and liabilities; and Level 3Unobservable inputs that are supported by little or no market activity that are significant to the fair value of assets or liabilities. The estimated fair value of certain financial instruments, including cash and cash equivalents, accounts receivable, accounts payable and accrued expenses are carried at historical cost basis, which approximates their fair values because of the short-term nature of these instruments. Accounts Receivable and Allowance for Doubtful Accounts Receivable All students are required to select both a primary and secondary payment option with respect to amounts due to Aspen for tuition, fees and other expenses. The monthly payment plan represents approximately 69% of the payments that are made by students, making it the most common payment type. In instances where a student selects financial aid as the primary payment option, he or she often selects personal cash as the secondary option. If a student who has selected financial aid as his or her primary payment option withdraws prior to the end of a course but after the date that Aspens institutional refund period has expired, the student will have incurred the obligation to pay the full cost of the course. If the withdrawal occurs before the date at which the student has earned 100% of his or her financial aid, Aspen may have to return all or a portion of the Title IV funds to the DOE and the student will owe Aspen all amounts incurred that are in excess of the amount of financial aid that the student earned, and that Aspen is entitled to retain. In this case, Aspen must collect the receivable using the students second payment option. For accounts receivable from students, Aspen records an allowance for doubtful accounts for estimated losses resulting from the inability, failure or refusal of its students to make required payments, which includes the recovery of financial aid funds advanced to a student for amounts in excess of the students cost of tuition and related fees. Aspen determines the adequacy of its allowance for doubtful accounts using an allowance method based on an analysis of its historical bad debt experience, current economic trends, and the aging of the accounts receivable and each students status. Aspen estimates the amounts to increase the allowance based upon the risk presented by the age of the receivables and student status. Aspen writes off accounts receivable balances at the time the balances are deemed uncollectible. Aspen continues to reflect accounts receivable with an offsetting allowance as long as management believes there is a reasonable possibility of collection. For accounts receivable from primary payors other than students, Aspen estimates its allowance for doubtful accounts by evaluating specific accounts where information indicates the customers may have an inability to meet financial obligations, such as bankruptcy proceedings and receivable amounts outstanding for an extended period beyond contractual terms. In these cases, Aspen uses assumptions and judgment, based on the best available facts and circumstances, to record a specific allowance for those customers against amounts due to reduce the receivable to the amount expected to be collected. These specific allowances are re-evaluated and adjusted as additional information is received. The amounts calculated are analyzed to determine the total amount of the allowance. Aspen may also record a general allowance as necessary. Direct write-offs are taken in the period when Aspen has exhausted its efforts to collect overdue and unpaid receivables or otherwise evaluate other circumstances that indicate that Aspen should abandon such efforts. (See Note 14) When a student signs up for the monthly payment plan, there is a contractual amount that the Company can expect to earn over the life of the students program. This contractual amount cannot be recorded as an accounts receivable because, the student does have the option to stop attending. As a student takes a class, revenue is earned over the class term. Some students accelerate their program, taking two or more classes every eight week period, which increases the students accounts receivable balance. If any portion of that balance will be paid in a period greater than 12 months, that portion is reflected as long-term accounts receivable. At April 30, 2019 and 2018, those balances are $3,085,243 and $1,315,050, respectively. The Company has determined that the long term accounts receivable do not constitute a significant financing component as the list price, cash selling price and promised consideration are equal. Further, the interest free financing portion of the monthly payment plans are not considered significant to the contract. Property and Equipment Property and equipment are recorded at cost less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the related assets per the following table. Category Useful Life Call center equipment 5 years Computer and office equipment 5 years Furniture and fixtures 7 years Library (online) 3 years Software 5 years Costs incurred to develop internal-use software during the preliminary project stage are expensed as incurred. Internal-use software development costs are capitalized during the application development stage, which is after: (i) the preliminary project stage is completed; and (ii) management authorizes and commits to funding the project and it is probable the project will be completed and used to perform the function intended. Capitalization ceases at the point the software project is substantially complete and ready for its intended use, and after all substantial testing is completed. Upgrades and enhancements are capitalized if it is probable that those expenditures will result in additional functionality. Depreciation is provided for on a straight-line basis over the expected useful life of five years of the internal-use software development costs and related upgrades and enhancements. When existing software is replaced with new software, the unamortized costs of the old software are expensed when the new software is ready for its intended use. Leasehold improvements are amortized using the straight-line method over the shorter of the lease term or the estimated useful lives of the leasehold improvements. Upon the retirement or disposition of property and equipment, the related cost and accumulated depreciation are removed and a gain or loss is recorded in the consolidated statements of operations. Repairs and maintenance costs are expensed in the period incurred. Courseware and Accreditation The Company records the costs of courseware and accreditation in accordance with Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) Topic 350 Intangibles - Goodwill and Other. Generally, costs of courseware creation and enhancement are capitalized. Accreditation renewal or extension costs related to intangible assets are capitalized as incurred. Courseware is stated at cost less accumulated amortization. Amortization is provided for on a straight-line basis over the expected useful life of five years. Long-Lived Assets The Company assesses potential impairment to its long-lived assets when there is evidence that events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Events and circumstances considered by the Company in determining whether the carrying value of identifiable intangible assets and other long-lived assets may not be recoverable include, but are not limited to: significant changes in performance relative to expected operating results, significant changes in the use of the assets, significant negative industry or economic trends, a significant decline in the Companys stock price for a sustained period of time, and changes in the Companys business strategy. An impairment loss is recorded when the carrying amount of the long-lived asset is not recoverable and exceeds its fair value. The carrying amount of a long-lived asset is not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset. Any required impairment loss is measured as the amount by which the carrying amount of a long-lived asset exceeds fair value and is recorded as a reduction in the carrying value of the related asset and an expense to operating results. Refunds Due Students The Company receives Title IV funds from the Department of Education to cover tuition and living expenses. After deducting tuition and fees, the Company sends checks for the remaining balances to the students. Leases The Company enters into various lease agreements in conducting its business. At the inception of each lease, the Company evaluates the lease agreement to determine whether the lease is an operating or capital lease. Leases may contain initial periods of free rent and/or periodic escalations. When such items are included in a lease agreement, the Company records rent expense on a straight-line basis over the initial term of a lease. The difference between the rent payment and the straight-line rent expense is recorded as a deferred rent liability. The Company expenses any additional payments under its operating leases for taxes, insurance or other operating expenses as incurred. The company plans to implement ASU 2016-02 on May 1, 2019, and does not anticipate any material changes to our consolidated financial statements other than additional assets and off-setting liabilities, see Recent Accounting Pronouncements below. Treasury Stock Purchases and sales of treasury stock are accounted for using the cost method. Under this method, shares acquired are recorded at the acquisition price directly to the treasury stock account. Upon sale, the treasury stock account is reduced by the original acquisition price of the shares and any difference is recorded in equity. This method does not allow the company to recognize a gain or loss to income from the purchase and sale of treasury stock. Revenue Recognition and Deferred Revenue On May 1, 2018, the company adopted Accounting Standards Codification 606 (ASC 606). ASC 606 is based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This ASC also requires additional disclosure about the nature, amount, timing, and uncertainty of revenue and cash flows arising from customer purchase orders, including significant judgments. Our adoption of this ASC, resulted in no change to our results of operations or our balance sheet. Revenues consist primarily of tuition and course fees derived from courses taught by the Company online as well as from related educational resources and services that the Company provides to its students. Under ASC 606, this tuition revenue is recognized pro-rata over the applicable period of instruction and are not considered separate performance obligations. Non-tuition related revenue and fees are recognized as services are provided or when the goods are received by the student. (See Note 14) The Company had revenues from students outside the United States representing 1.62% and 2.3% of the revenues for the years ended April 30, 2019 and 2018 respectively. Cost of Revenues Cost of revenues consists of two categories of cost, instructional costs and services, and marketing and promotional costs. Instructional Costs and Services Instructional costs and services consist primarily of costs related to the administration and delivery of the Company's educational programs. This expense category includes compensation costs associated with online faculty, technology license costs and costs associated with other support groups that provide services directly to the students and are included in cost of revenues. Marketing and Promotional Costs Marketing and promotional costs include costs associated with producing marketing materials and advertising. Such costs are generally affected by the cost of advertising media, the efficiency of the Company's marketing and recruiting efforts, and expenditures on advertising initiatives for new and existing academic programs. Non-direct response advertising activities are expensed as incurred, or the first time the advertising takes place, depending on the type of advertising activity. Total marketing and promotional costs were $9,096,550 and $5,428,828 for year ended April 30, 2019 and 2018, respectively and are included in cost of revenues. General and Administrative General and administrative expenses include compensation of employees engaged in corporate management, finance, human resources, information technology, academic operations, compliance and other corporate functions. General and administrative expenses also include professional services fees, bad debt expense related to accounts receivable, financial aid processing costs, non-capitalizable courseware and software costs, travel and entertainment expenses and facility costs. Legal Expenses All legal costs for litigation are charged to expense as incurred. Income Tax The Company uses the asset and liability method to compute the differences between the tax basis of assets and liabilities and the related financial statement amounts. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount that more likely than not will be realized. The Company has deferred tax assets and liabilities that reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Deferred tax assets are subject to periodic recoverability assessments. Realization of the deferred tax assets, net of deferred tax liabilities, is principally dependent upon achievement of projected future taxable income. The Company records a liability for unrecognized tax benefits resulting from uncertain tax positions taken or expected to be taken in a tax return. The Company accounts for uncertainty in income taxes using a two-step approach for evaluating tax positions. Step one, recognition, occurs when the Company concludes that a tax position, based solely on its technical merits, is more likely than not to be sustained upon examination. Step two, measurement, is only addressed if the position is more likely than not to be sustained. Under step two, the tax benefit is measured as the largest amount of benefit, determined on a cumulative probability basis, which is more likely than not to be realized upon ultimate settlement. The Company recognizes interest and penalties, if any, related to unrecognized tax benefits in income tax expense. Accounting for Derivatives The Company evaluates its convertible instruments, options, warrants or other contracts to determine if those contracts or embedded components of those contracts qualify as derivatives to be separately accounted for under ASC Topic 815, Derivatives and Hedging. The result of this accounting treatment is that the fair value of the derivative is marked-to-market each balance sheet date and recorded as a liability. In the event that the fair value is recorded as a liability, the change in fair value is recorded in the statement of operations as other income (expense). Upon conversion, exercise, or other extinguishment (transaction) of a derivative instrument, the instrument is marked to fair value at the transaction date and then that fair value is recognized as an extinguishment gain or loss. Equity instruments that are initially classified as equity that become subject to reclassification under ASC Topic 815 are reclassified to liability at the fair value of the instrument on the reclassification date. The Company has early adopted FASB ASU 2017-11, which simplifies the accounting for certain equity-linked financial instruments and embedded features with down round features that reduce the exercise price when the pricing of a future round of financing is lower. This allows the company to treat such instruments or their embedded features as equity instead of considering them as a derivative. If such a feature is triggered in a stand-alone instrument treated as equity, the value is measured pre-trigger and post-trigger. The difference in these two measurements is treated as a dividend, reducing income. The value recognized as a dividend is not subsequently remeasured, but in instances where the feature is triggered multiple times each instance is recognized. Stock-Based Compensation Stock-based compensation expense is measured at the grant date fair value of the award and is expensed over the requisite service period. For employee stock-based awards, the Company calculates the fair value of the award on the date of grant using the Black-Scholes option pricing model. Determining the fair value of stock-based awards at the grant date under this model requires judgment, including estimating volatility, employee stock option exercise behaviors and forfeiture rates. The assumptions used in calculating the fair value of stock-based awards represent the Company's best estimates, but these estimates involve inherent uncertainties and the application of management judgment. For non-employee stock-based awards, the Company has early adopted ASU 2018-07, which substantially aligns share based compensation for employees and non-employees. See Recent Accounting Pronouncements below. Business Combinations We include the results of operations of businesses we acquire from the date of the respective acquisition. We allocate the purchase price of acquisitions to the assets acquired and liabilities assumed at fair value. The excess of the purchase price of an acquired business over the amount assigned to the assets acquired and liabilities assumed is recorded as goodwill. We expense transaction costs associated with business combinations as incurred. Net Loss Per Share Net loss per common share is based on the weighted average number of common shares outstanding during each period. Options to purchase 3,409,154 and 2,980,010 common shares, warrants to purchase 731,152 and 651,286 common shares, unvested restricted stock of 64,116 and 0, and $50,000 and $50,000 of convertible debt (convertible into 4,167 and 4,167 common shares) were outstanding at April 30, 2019 and April 30, 2018, respectively, but were not included in the computation of diluted net loss per share because the effects would have been anti-dilutive. The options, warrants and convertible debt are considered to be common stock equivalents and are only included in the calculation of diluted earnings per common share when their effect is dilutive. Segment Information The Company operates in one reportable segment as a single educational delivery operation using a core infrastructure that serves the curriculum and educational delivery needs of its online students regardless of geography. The Company's chief operating decision makers, its Chief Executive Officer and Chief Academic Officer, manage the Company's operations as a whole, and no revenue, expense or operating income information is evaluated by the chief operating decision makers on any component level. Recent Accounting Pronouncements Financial Accounting Standards Board, Accounting Standard Updates which are not effective until after April 30, 2019, are not expected to have a significant effect on the Companys consolidated financial position or results of operations. ASU 2018-07 ASU 2016-02 |
Accounts Receivable
Accounts Receivable | 12 Months Ended |
Apr. 30, 2019 | |
Receivables [Abstract] | |
Accounts Receivable | Note 3. Accounts Receivable Accounts receivable consisted of the following at April 30, 2019 and 2018: April 30, 2019 2018 Accounts receivable $ 14,988,744 $ 8,585,947 Long term contractual accounts receivable (3,085,243 ) (1,315,050 ) Less: Allowance for doubtful accounts (1,247,031 ) (468,174 ) Accounts receivable, net $ 10,656,470 $ 6,802,723 Bad debt expense for the years ended April 30, 2019 and 2018, were $854,008 and $535,366 respectively. |
Property and Equipment
Property and Equipment | 12 Months Ended |
Apr. 30, 2019 | |
Property and equipment: | |
Property and Equipment | Note 4. Property and Equipment As property and equipment reach the end of their useful lives, the fully expired asset is written off against the associated accumulated depreciation. There is no expense impact for such write offs. Property and equipment consisted of the following at April 30, 2019 and April 30, 2018: For the Years Ended April 30, 2019 2018 Call center hardware $ 193,774 $ 140,509 Computer and office equipment 327,621 230,810 Furniture and fixtures 1,381,271 932,454 Software 4,314,198 2,878,753 6,216,864 4,182,526 Accumulated depreciation (1,825,524 ) (1,320,360 ) Property and equipment, net $ 4,391,340 $ 2,862,166 Software consisted of the following at April 30, 2019 and 2018: For the Years Ended April 30, 2019 2018 Software $ 4,314,198 $ 2,878,753 Accumulated depreciation (1,351,193 ) (1,146,008 ) Software, net $ 2,963,005 $ 1,732,745 Depreciation expense and amortization for all Property and Equipment as well as the portion for just software is presented below for the years ended April 30, 2019 and 2018: For the Years Ended April 30, 2019 2018 Depreciation and amortization Expense $ 1,002,347 $ 578,244 Software amortization Expense $ 684,871 $ 475,178 The following is a schedule of estimated future amortization expense of software at April 30, 2019: Year Ending April 30, 2020 $ 826,918 2021 754,471 2022 664,998 2023 504,758 Thereafter 211,860 Total $ 2,963,005 |
USU Goodwill and Intangibles
USU Goodwill and Intangibles | 12 Months Ended |
Apr. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
USU Goodwill and Intangibles | Note 5. USU Goodwill and Intangibles On December 1, 2017, USU acquired United States University and assumed certain liabilities from Educacion Significativa, LLC (“ESL”). USU is a wholly owned subsidiary of AGI and was formed for the purpose of completing the asset purchase transaction. For purposes of purchase accounting, AGI is referred to as the acquirer. AGI acquired the assets and assumed certain liabilities of ESL for a purchase price of approximately $14.8 million. The purchase consideration consisted of a cash payment of $2,500,000 less an adjustment for working capital of approximately $110,000 plus approximately $200,000 of additional costs paid to/on behalf of and for the benefit of the seller, a convertible note of $2,000,000 and 1,203,209 shares of AGI stock valued at the quoted closing price of $8.49 per share as of November 30, 2017. The stock consideration represents $10,215,244 of the purchase consideration. The acquisition was accounted for by AGI in accordance with the acquisition method of accounting pursuant to ASC 805 Business Combinations and pushdown accounting was applied to record the fair value of the assets acquired and liabilities assumed on United States University, Inc. Under this method, the purchase price is allocated to the identifiable assets acquired and liabilities assumed based on their estimated fair values at the date of acquisition. The excess of the amount paid over the estimated fair values of the identifiable net assets was $5,011,432 which has been reflected in the consolidated balance sheet as goodwill. The following is a summary of the estimated fair value of the assets acquired and liabilities assumed at the date of acquisition: Purchase Price Allocation Useful Life Cash and cash equivalents $ Current assets acquired 244,465 Other assets acquired 176,667 Intangible assets Accreditation and regulatory approvals 6,200,000 Trade name and trademarks 1,700,000 Student relationships 2,000,000 2 years Curriculum 200,000 1 year Goodwill 5,011,432 Less: Current liabilities assumed (727,601 ) Total purchase price $ 14,804,963 We determined the fair value of assets acquired and liabilities assumed based on assumptions that reasonable market participants would use while employing the concept of highest and best use of the respective items. We used the following assumptions, the majority of which include significant unobservable inputs (Level 3), and valuation methodologies to determine fair value: · Intangibles - We used the multiple period excess earnings method to value the Accreditation and regulatory approvals. The Trade name and trademarks were valued using the relief-from-royalty method, which represents the benefit of owning these intangible assets rather than paying royalties for their use. The Student relationships were valued using the excess earnings method. The curriculum was valued using the replacement cost approach. · Other assets and liabilities - The carrying value of all other assets and liabilities approximated fair value at the time of acquisition. The goodwill resulting from the acquisition may become deductible for tax purposes in the future. The goodwill resulting from the acquisition is principally attributable to the future earnings potential associated with enrollment growth and other intangibles that do not qualify for separate recognition such as the assembled workforce. We have selected an April 30 th We assigned an indefinite useful life to the accreditation and regulatory approvals and the trade name and trademarks as we believe they have the ability to generate cash flows indefinitely. In addition, there are no legal, regulatory, contractual, economic or other factors to limit the intangibles useful life and we intend to renew the intangibles, as applicable, and renewal can be accomplished at little cost. We determined all other acquired intangibles are finite-lived and we are amortizing them on either a straight-line basis or using an accelerated method to reflect the pattern in which the economic benefits of the assets are expected to be consumed. Amortization expense for the year ended April 30, 2019 was $1,100,000. Intangible assets consisted of the following at April 30, 2019 and 2018: April 30, April 30, 2019 2018 Intangible assets $ 10,100,000 $ 10,100,000 Accumulated amortization (1,558,333 ) (458,333 ) Net intangible assets $ 8,541,667 $ 9,641,667 |
Courseware and Accreditation
Courseware and Accreditation | 12 Months Ended |
Apr. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Courseware and Accreditation | Note 6. Courseware and Accreditation Courseware costs capitalized were $34,422 for the year ended April 30, 2019 and $48,388 for the year ended April 30, 2018. As courseware reaches the end of its useful life, it is written off against the accumulated amortization. There is no expense impact for such write-offs. Courseware consisted of the following at April 30, 2019 and 2018: April 30, 2019 2018 Courseware $ 325,987 $ 298,064 Accreditation 57,100 Accumulated amortization (221,157 ) (159,905 ) Courseware, net $ 161,930 $ 138,159 The Company capitalized $57,100 in accreditation costs associated with intangible assets during the year ended April 30, 2019. Amortization expense of courseware for the years ended April 30, 2019 and 2018: For the Years Ended April 30, 2019 2018 Amortization expense $ 67,751 $ 55,706 The following is a schedule of estimated future amortization expense of courseware at April 30, 2019: Year Ending April 30, 2020 $ 63,610 2021 36,645 2022 28,758 2023 23,219 Thereafter 9,698 Total $ 161,930 |
Secured Note and Accounts Recei
Secured Note and Accounts Receivable | 12 Months Ended |
Apr. 30, 2019 | |
Due from Related Parties, Unclassified [Abstract] | |
Secured Note and Accounts Receivable | Note 7. Secured Note and Accounts Receivable On March 30, 2008 and December 1, 2008, Aspen University sold courseware pursuant to marketing agreements to Higher Education Management Group, Inc. (HEMG,) which was then a related party and principal stockholder of the Company. The sold courseware amounts were $455,000 and $600,000, respectively; UCC filings were filed accordingly. Under the marketing agreements, the receivables were due net 60 months. On September 16, 2011, HEMG pledged 772,793 Series C preferred shares (automatically converted to 54,571 common shares on March 13, 2012) of the Company as collateral for this account receivable which at that time had a remaining balance of $772,793. Based on the reduction in value of the collateral to $2.28 based on the then current price of the Companys common stock, the Company recognized an expense of $123,647 during the year ended April 30, 2014 as an additional allowance. As of April 30, 2019, and April 30, 2018, the balance of the account receivable, net of allowance, was $45,329. HEMG failed to pay to Aspen University any portion of the $772,793 amount due as of September 30, 2014. Consequently, on November 18, 2014 Aspen University filed a complaint vs. HEMG in the United States District Court for the District of New Jersey, to collect the full amount due to the Company. HEMG defaulted and Aspen University obtained a default judgment. In addition, Aspen University gave notice to HEMG that it intended to privately sell the 54,571 shares after March 10, 2015. On April 29, 2015, the Company sold those shares to a private investor for $1.86 per share or $101,502, which proceeds reduced the receivable balance to $671,291 with a remaining allowance of $625,963, resulting in a net receivable of $45,329. (See Note 11) |
Accrued Expenses
Accrued Expenses | 12 Months Ended |
Apr. 30, 2019 | |
Payables and Accruals [Abstract] | |
Accrued Expenses | Note 8. Accrued Expenses Accrued expenses consisted of the following at April 30, 2019 and 2018: April 30, 2019 2018 Accrued compensation $ 226,805 $ 202,664 Accrued interest 135,115 79,853 Other accrued expenses 289,498 376,337 Accrued expenses $ 651,418 $ 658,854 |
Convertible Notes and Convertib
Convertible Notes and Convertible Notes - Related Party | 12 Months Ended |
Apr. 30, 2019 | |
Debt Disclosure [Abstract] | |
Convertible Notes and Convertible Notes - Related Party | Note 9. Convertible Notes and Convertible Notes Related Party On February 29, 2012, a loan payable of $50,000 was converted into a two-year convertible promissory note, interest of 0.19% per annum. Beginning March 31, 2012, the note was convertible into common shares of the Company at the rate of $12.00 per share. This loan (now a convertible promissory note) was originally due in February 2014. The amount due under this note has been reserved for payment upon the note being tendered to the Company by the note holder. On December 1, 2017, the Company completed the acquisition of USU and, as part of the consideration, a $2.0 million convertible note (the Note) was issued, bearing 8% annual interest that matures over a two-year period after the closing. (See Note 5) At the option of the Note holder, on each of the first and second anniversaries of the closing date, $1,000,000 of principal and accrued interest under the Note will be convertible into shares of the Companys common stock based on the volume weighted average price per share for the ten preceding trading days (subject to a floor of $2.00 per share) or become payable in cash. There was no beneficial conversion feature on the note date and the conversion terms of the note exempt it from derivative accounting. Subsequently the note was assigned to a third party. On December 1, 2018 the Company paid the first payment of $1 million principal and $60,000 in interest. On February 25, 2019, the Company paid the remaining principal of $1 million and $80,000 of interest and fees . Convertible notes payable consisted of the following at April 30, 2019 and 2018: April 30, 2019 2018 Convertible note payable - originating December 1, 2017; no monthly payments required; bearing an annual rate of interest at 8%; $1,000,000 maturing on December 1, 2018 and $1,000,000 maturing on December 1, 2019 $ 0 $ 2,000,000 Convertible note payable - originating February 29, 2012; no monthly payments required; bearing interest at 0.19%; maturing at February 29, 2014 50,000 50,000 50,000 2,050,000 Less: Current maturities (50,000 ) (1,050,000 ) Total $ 0 $ 1,000,000 |
Convertible Notes, Senior Secur
Convertible Notes, Senior Secured Term Loans and Revolving Credit Facility | 12 Months Ended |
Apr. 30, 2019 | |
Debt Disclosure [Abstract] | |
Convertible Notes, Senior Secured Term Loans and Revolving Credit Facility | Note 10. Convertible Notes, Senior Secured Term Loans and Revolving Credit Facility On February 29, 2012, a loan payable of $50,000 was converted into a two-year convertible promissory note, interest of 0.19% per annum. Beginning March 31, 2012, the note was convertible into common shares of the Company at the rate of $12.00 per share. The Company evaluated the convertible note and determined that, for the embedded conversion option, there was no beneficial conversion value to record as the conversion price is considered to be the fair market value of the common shares on the note issue date. This loan (now a convertible promissory note) was originally due in February 2014. The amount due under this note has been reserved for payment upon the note being tendered to the Company by the note holder. However, this $50,000 note is derived from $200,000 of loans made to Aspen University prior to 2011, which was prior to the merger of Aspen University and EGC, the acquisition vehicle led by Michael Mathews, the Companys current Chairman and Chief Executive Officer. The bankruptcy judge in the HEMG bankruptcy proceedings has recently ruled that the Company may pursue remedies for these undisclosed loans. On December 1, 2017, the Company completed the acquisition of USU and, as part of the consideration, a $2,000,000 convertible note (the Note) was issued, bearing 8% annual interest that matured over a two-year period after the closing. (See Note 8) At the option of the Note holder, on each of the first and second anniversaries of the closing date, $1,000,000 of principal and accrued interest under the Note would have been convertible into shares of the Companys common stock based on the volume weighted average price per share for the ten preceding trading days (subject to a floor of $2.00 per share) or become payable in cash. There was no beneficial conversion feature on the note date and the conversion terms of the note exempt it from derivative accounting. Subsequently the note was assigned to a third party. On December 1, 2018 the Company paid scheduled principal and interest on the note of $1,160,000. On February 25, 2019, the Company paid the remaining principal of $1,000,000, accrued interest $19,068, and a settlement expense $60,932. Upon the receipt of the payment, the Note was terminated. This prepayment eliminated the note holders option to convert principal and interest into the Companys common stock on the scheduled maturity date and also was pre-condition for borrowing the $10,000,000 under the Senior Secured Loans dated March 6, 2019. (See Note 9). Revolving Credit Facility On November 5, 2018, the Company entered into a loan agreement (the Credit Facility Agreement) with the Leon and Toby Cooperman Family Foundation (the Lender). The Credit Facility Agreement provides for a $5,000,000 revolving credit facility (the Facility) evidenced by a revolving promissory note (the Revolving Note). Borrowings under the Credit Facility Agreement will bear interest at 12% per annum. The Facility matures on November 4, 2021. Pursuant to the terms of the Credit Facility Agreement, the Company agreed to pay to the Foundation a $100,000 one-time upfront Facility fee. The Company also agreed to pay to the Foundation a commitment fee, payable quarterly at the rate of 2% per annum on the undrawn portion of the Facility. The Company has not borrowed any sum under the Facility. The Credit Facility Agreement contains customary representations and warranties, events of default and covenants. Pursuant to the Loan Agreement and the Revolving Note, all future or contemporaneous indebtedness incurred by the Company, other than indebtedness expressly permitted by the Credit Facility Agreement and the Revolving Note, will be subordinated to the Facility. Pursuant to the Credit Facility Agreement, on November 5, 2018 the Company issued to the Foundation warrants to purchase 92,049 shares of the Companys common stock exercisable for five years from the date of issuance at the exercise price of $5.85 per share which were deemed to have a relative fair value of $255,071. The relative fair value of the warrants along with the Facility fee were treated as debt issue costs, as the facility has not been drawn on, assets to be amortized over the term of the loan. On March 6, 2019, in connection with entering into the Senior Secured Loans, the Company amended and restated the Credit Facility Agreement (the Amended and Restated Facility Agreement) and the related revolving promissory note. The Amended and Restated Facility Agreement provides among other things that the Companys obligations thereunder are secured by a first priority lien in the Collateral, on a pari passu basis with the Lenders. Senior Secured Term Loans On July 25, 2017, the Company signed a $10 million senior secured term loan with Runway Growth Capital Fund (formerly known as GSV Growth Capital Fund). The Company drew $5 million under the facility at closing, then subsequently drew $2.5 million in December 2017, following the closing of the Companys acquisition of substantially all the assets of Educacion Significativa, LLC (ESL), including receipt of all required regulatory approvals, among other conditions to funding. Terms of the 4-year senior loan included a 10% over 3-month LIBOR per annum interest rate. The Company would have been required to begin making principal repayments upon the 24-month anniversary of the initial closing (July 24, 2019), and each month thereafter would have been required to repay 1/24th of the total loan amount outstanding. Should the Company achieve both annualized revenue growth of at least 30% and operating margin of at least 7.5% for any 12-month trailing period, then at the quarter-end of that 12-month trailing period, the Company could have elected to extend the interest only period for the quarter immediately following the 12-month trailing period throughout the duration of the loan. Additionally, the Company paid a 0.25% origination fee on the initial $5 million draw and paid another 0.25% origination fee upon the second $2.5 million draw, and issued 224,174 5-year warrants at an exercise price of $6.87. The relative fair value of the warrants was $478,428 and was recorded as debt discount along with other direct costs of the term loan and was being amortized to interest expense over the term of the loan. On April 23, 2018, the Company repaid the entire $7.5 million outstanding senior secured term loan plus early termination and closing fees of approximately $600,000. The Company paid this using the funding received in the equity raise on April 18, 2018. On March 6, 2019, the Company entered into loan agreements (each a Loan Agreement and together, the Loan Agreements) with the Leon and Toby Cooperman Family Foundation, of which Mr. Leon Cooperman, a stockholder of the Company, is the trustee, and another stockholder of the Company (each a Lender and together, the Lenders). Each Loan Agreement provides for a $5 million term loan (each a Loan and together, the Loans), evidenced by a term promissory note and security agreement (each a Note and together, the Term Notes), for combined total proceeds of $10 million. The Company borrowed $5 Million from each Lender that day. The Term Notes bear interest at 12% per annum and mature on September 6, 2020, subject to one 12-month extension upon the Companys option, and upon payment of a 1% one-time extension fee. Pursuant to the Loan Agreements and the Term Notes, all future or contemporaneous indebtedness incurred by the Company, including any sums borrowed under the $5 Million Credit Facility Agreement, other than indebtedness expressly permitted by the Loan Agreements and the Term Notes, will be subordinated to the Loans. The Companys obligations under the Loan Agreements are secured by a first priority lien in certain deposit accounts of the Company, all current and future accounts receivable of Aspen University and USU, subsidiaries of the Company (the Subsidiaries), certain of the deposit accounts of the Subsidiaries and all of the outstanding capital stock of the Subsidiaries (the Collateral). Pursuant to the Loan Agreements, on March 6, 2019 the Company issued to each Lender warrants to purchase 100,000 shares of the Companys common stock exercisable for five years from the date of issuance at the exercise price of $6.00 per share. The two warrants were deemed to have a combined relative fair value of $360,516. The relative fair value along with closing costs of $33,693 were treated as debt discounts to be amortized over the term of the loan. On March 6, 2019, in connection with entering into the Loan Agreements, the Company also entered into an intercreditor agreement (the Intercreditor Agreement) among the Company, the Lenders and the lender under the Credit Facility Agreement. The Intercreditor Agreement provides among other things that the Companys obligations under, and the security interests in the Collateral granted pursuant to, the Loan Agreements and the Amended and Restated Facility Agreement shall rank pari passu |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Apr. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 11. Commitments and Contingencies Operating Leases On September 18, 2017 the Company signed a six year lease for its corporate headquarters in New York, NY commencing December 1, 2017. The rent amount is $186,060 per year, subject to an increase annually, and is payable at a rate of $15,505 per month. Related to this lease the Company produced a security deposit of $32,500, which is included in other assets and security deposits on the accompanying consolidated balance sheet. On December 17, 2018 the Company entered into an agreement to terminate the New York lease and replace it with a new lease for a larger office within the same location. The new lease is for five years commencing on February 15, 2019. The rent is $325,882 per year, subject to an increase annually, and is, payable at a rate of $27,157 per month. Related to this lease the Company produced an additional security deposit of $21,814, which is included in other assets and security deposits on the accompanying consolidated balance sheet. In October 2018, the Company signed a 62 month lease beginning October 1, 2018 and expiring on December 31, 2023 for our office located in Moncton, New Brunswick, Canada. The monthly base rent is $13,241 CAD which is approximately $10,100 USD. The Company leased office space for its developers in Dieppe, New Brunswick, Canada under a three year agreement commencing March 1, 2017. The monthly rent payment is $4,367 CAD which is approximately $3,200 USD. This lease was terminated on March 31, 2019. The Company leases office space for its Denver, Colorado location under a two year lease commencing January 1, 2017. The monthly rent payment was $10,756. This lease was extended for twelve months, through December 31, 2019. The monthly base rent is $11,028. On December 5, 2017 the Company signed a 92 month lease with Sky Harbor Tower, for the campus located in Phoenix, Arizona. The operating lease granted eight initial months of free rent and had a monthly rent of $66,696, subject to and increases after 12 months. Related to this lease the Company produced a security deposit of $519,271, which is included in other assets and security deposits on the accompanying consolidated balance sheet. On February 1, 2016, the Company entered into a 64-month lease agreement for its call center in Phoenix, Arizona. The operating lease granted four initial months of free rent and had a monthly base rent of $10,718 and then increases 2% per year after. This facility was vacated and staff was moved to the Sky Harbor Tower. As the Company continues to grow this may be used for additional expansion space. United States Universitys lease commenced July 1, 2016 and expires on June 30, 2022. The initial monthly base rent was $51,270 for the first 10 months and increases each year. The following is a schedule by years of future minimum rental payments required under operating leases that have initial or remaining noncancelable lease terms in excess of one year as of April 30, 2019. Year Ending April 30, 2020 $ 2,282,260 2021 2,332,558 2022 2,264,523 2023 1,702,609 2024 1,497,027 2025 1,134,718 2026 779,287 Total minimum payments required $ 11,992,982 Rent expense for the years ended April 30, 2019 and 2018 were $2,278,642 and $853,145, respectively. Employment Agreements From time to time, the Company enters into employment agreements with certain of its employees. These agreements typically include bonuses, some of which may or may not be performance-based in nature. Legal Matters From time to time, we may be involved in litigation relating to claims arising out of our operations in the normal course of business. As of April 30, 2019, except as discussed below, there were no other pending or threatened lawsuits that could reasonably be expected to have a material effect on the results of our operations and there are no proceedings in which any of our directors, officers or affiliates, or any registered or beneficial shareholder, is an adverse party or has a material interest adverse to our interest. On February 11, 2013, Higher Education Management Group, Inc., (HEMG) and its Chairman, Mr. Patrick Spada, sued the Company, certain senior management members and our directors in state court in New York seeking damages arising principally from (i) allegedly false and misleading statements in the filings with the Securities and Exchange Commission (the SEC) and the DOE where the Company disclosed that HEMG and Mr. Spada borrowed $2.2 million without board authority, (ii) the alleged breach of an April 2012 agreement whereby the Company had agreed, subject to numerous conditions and time limitations, to purchase certain shares of the Company from HEMG, and (iii) alleged diminution to the value of HEMGs shares of the Company due to Mr. Spadas disagreement with certain business transactions the Company engaged in, all with Board approval. On December 10, 2013, the Company filed a series of counterclaims against HEMG and Mr. Spada in the same state court of New York. By order dated August 4, 2014, the New York court denied HEMG and Spadas motion to dismiss the fraud counterclaim the Company asserted against them. While the Company has been advised by its counsel that HEMGs and Spadas claims in the New York lawsuit is baseless, the Company cannot provide any assurance as to the ultimate outcome of the case. Defending the lawsuit maybe expensive and will require the expenditure of time which could otherwise be spent on the Companys business. While unlikely, if Mr. Spadas and HEMGs claims in the New York litigation were to be successful, the damages the Company could pay could potentially be material. In November 2014, the Company and Aspen University sued HEMG seeking to recover sums due under two 2008 Agreements where Aspen University sold course materials to HEMG in exchange for long-term future payments. On September 29, 2015, the Company and Aspen University obtained a default judgment in the amount of $772,793. This default judgment precipitated the bankruptcy petition discussed in the next paragraph. On October 15, 2015, HEMG filed bankruptcy pursuant to Chapter 7. As a result, the remaining claims and Aspens counterclaims in the New York lawsuit are currently stayed. The bankrupt estates sole asset consists of 208,000 shares of AGI common stock, plus a claim filed by the bankruptcy trustee against Spadas brother and a third party to recover approximately 167,000 shares. The Company filed a proof of claim against the bankruptcy estate which included approximately $670,000 on the judgment and approximately $2.2 million from the misappropriation. The other creditor is a secured creditor which alleges it is owed the principal amount of $1,200,000. AGI alleges that because HEMG, a Nevada corporation, had failed to pay annual fees to Nevada it lacked the legal authority to create the security interest and that AGI has priority. In February 2019, the bankruptcy court dismissed the Companys misappropriation claim leaving its judgment and a $200,000 claim that HEMG fraudulently failed to disclose $200,000 of notes payable. Regulatory Matters The Companys subsidiaries, Aspen University and United States University, are subject to extensive regulation by Federal and State governmental agencies and accrediting bodies. In particular, the Higher Education Act (the HEA) and the regulations promulgated thereunder by the DOE subject the subsidiaries to significant regulatory scrutiny on the basis of numerous standards that schools must satisfy to participate in the various types of federal student financial assistance programs authorized under Title IV of the HEA. On August 22, 2017, the DOE informed Aspen University of its determination that the institution has qualified to participate under the HEA and the Federal student financial assistance programs (Title IV, HEA programs) and set a subsequent program participation agreement reapplication date of March 31, 2021. USU currently has provisional certification to participate in the Title IV Programs due to its acquisition by the Company. The provisional certification allows the school to continue to receive Title IV funding as it did prior to the change of ownership. The HEA requires accrediting agencies to review many aspects of an institution's operations in order to ensure that the education offered is of sufficiently high quality to achieve satisfactory outcomes and that the institution is complying with accrediting standards. Failure to demonstrate compliance with accrediting standards may result in the imposition of probation, the requirements to provide periodic reports, the loss of accreditation or other penalties if deficiencies are not remediated. Because our subsidiaries operate in a highly regulated industry, each may be subject from time to time to audits, investigations, claims of noncompliance or lawsuits by governmental agencies or third parties, which allege statutory violations, regulatory infractions or common law causes of action. Return of Title IV Funds An institution participating in Title IV Programs must correctly calculate the amount of unearned Title IV Program funds that have been disbursed to students who withdraw from their educational programs before completion and must return those unearned funds in a timely manner, no later than 45 days of the date the school determines that the student has withdrawn. Under the DOE regulations, failure to make timely returns of Title IV Program funds for 5% or more of students sampled on the institution's annual compliance audit in either of its two most recently completed fiscal years can result in the institution having to post a letter of credit in an amount equal to 25% of its required Title IV returns during its most recently completed fiscal year. If unearned funds are not properly calculated and returned in a timely manner, an institution is also subject to monetary liabilities or an action to impose a fine or to limit, suspend or terminate its participation in Title IV Programs. Subsequent to a compliance audit, in 2015, Educacion Significativa, LLC (ESL) the predecessor to USU recognized that it had not fully complied with all requirements for calculating and making timely returns of Title IV funds (R2T4). In 2016, ESL, the predecessor to USU, had a material finding related to the same issue and is required to maintain a letter of credit in the amount of $71,634 as a result of this finding. The letter of credit was been provided to the Department of Education by AGI since it assumed this obligation in its purchase of USU. This letter of credit expired in early 2019 and the cash is expected to be returned. USU also was asked to post a new letter of credit for $255,708, which was funded by AGI in April 2019 and was also notified that it would be required to follow Heightened Cash Management 1, which requires that funds to students be sent earlier. USU is waiting for formal notification from the DOE. Delaware Approval to Confer Degrees Aspen University is a Delaware corporation. Delaware law requires an institution to obtain approval from the Delaware Department of Education (Delaware DOE) before it may incorporate with the power to confer degrees. The Delaware DOE granted full approval to operate with degree-granting authority in the State of Delaware until July 1, 2020. Aspen University is authorized by the Colorado Commission on Education to operate in Colorado as a degree granting institution. USU is also a Delaware corporation and received initial approval from the Delaware DOE to confer degrees through June 2023. |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Apr. 30, 2019 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity | Note 12. Stockholders Equity Preferred Stock The Company is authorized to issue 1,000,000 shares of blank check preferred stock with designations, rights and preferences as may be determined from time to time by our Board of Directors. As of April 30, 2019 and April 30, 2018, we had no shares of preferred stock issued and outstanding. On June 28, 2019 the Companys Stockholders voted to reduce the number of Authorized Shares of Common Stock from 250 million to 40 million shares. The number of authorized shares of Preferred Stock was also reduced from 10 million to 1 million shares. Common Stock Effective May 24, 2017, the Company entered into waiver agreements with all of its investors in the April 2017 common stock offering. In consideration for waiving their registration rights, the Company paid to each of the investors 1.5% of their investment amount in the offering. The total amount paid was $112,500 and was recorded in general and administrative expenses during the quarter ended July 31, 2017. In November 2017, the company issued 5,000 restricted shares each to two consultants assisting with establishing the new campus. The shares were valued at $88,699 based on the trading price of $8.87 on the grant date and recorded as a prepaid asset being amortized over the six month term of the agreement. On December 1, 2017 certain assets were acquired and certain liabilities assumed from Educacion Significativa, LLC (dba United States University) by United States University, Inc. United States University, Inc. is a wholly owned subsidiary of Aspen Group Inc. (AGI). As part of the purchase price the company issued 1,203,209 shares of AGI stock were valued at the quoted closing price of $8.49 per share as of November 30, 2017. (See Note 5) On April 18, 2018 and April 23, 2018, the Company raised a total of $23,023,000 through an equity raise of 3,220,000 shares of common stock at $7.15 per share. The number of shares raised on April 18, 2018 was 2,800,000 and then another 420,000 shares were raised on April 23, 2018. The cost of raising these funds was approximately $2.2 million and was recorded as a reduction of equity. Proceeds from the equity raise were first used to repay the senior secured term loan and the remainder to support the operations of USU and the pre-licensure campus. During fiscal 2018, the Company issued 171,962 shares of common stock upon the cashless exercise of warrants. During fiscal 2018, the Company issued 87,775 shares of common stock upon the exercise of warrants and received proceeds of $246,380. During fiscal 2018, the Company issued 136,563 shares of common stock upon the exercise of stock options and received proceeds of $475,825. During the year ended April 30, 2019, the Company issued 111,666 shares of common stock upon the cashless exercise of stock options. During the year ended April 30, 2019, the Company issued 119,594 shares of common stock upon the cashless exercise of 218,323 stock warrants. During the year ended April 30, 2019, the Company issued 56,910 shares of common stock upon the exercise of stock options for cash and received proceeds of $128,201. During the year ended April 30, 2019, the Company issued 43,860 shares of common stock upon the exercise of 43,860 stock warrants for cash and received proceeds of $100,000. Restricted Stock On September 6, 2018, the Board approved a grant of 25,000 shares of restricted stock to the Chief Financial Officer. The stock vests over 36 months and the stock price was $7.15 on the date of the grant. The value of the compensation was approximately $180,000 and will be recognized over 36 months. On December 24, 2018, the Compensation Committee of the Board approved a grant of a total of 24,672 shares or restricted common stock to certain directors pursuant to the Aspen Group, Inc. 2018 Equity Incentive Plan (the 2018 Plan). The restricted shares shall vest in three equal annual increments on December 24, 2019, December 24, 2020 and December 24, 2021, subject to continued service as a director of the Company, on each applicable vesting date. The compensation of these restricted shares is approximately $127,000 and will be recognized over 36 months. Also, one director opted for an annual payment in cash of $35,000, which will be paid quarterly, in lieu of the restricted stock grant. Expense recognition for the restricted stock and the cash payment commenced on December 24, 2018. On April 10, 2019, the Company granted 25,000 shares to its investor relations firm, of which 5,000 were vested and the balance vest quarterly over one year, subject to continued service. The total value was $122,250 since the stock closed at $4.89 on April 10, 2019, which will be recognized over the service period. There were no unvested shares outstanding at April 30, 2018. During fiscal 2019, 10,556 shares of the above restricted stock issuances vested leaving 64,116 total unvested shares at April 30, 2019. Total unrecognized compensation expense related to the unvested common shares as April 30, 2019 amounted to approximately $340,000 which will be amortized over the remaining vesting periods. Treasury Stock On July 19, 2018, AGI in simultaneous transactions repurchased 1,000,000 shares of common stock at $7.40 per share and re-sold the shares to a large well-known institutional money manager at $7.40 per share. The shares were purchased by the Company from ESL pursuant to a Securities Purchase Agreement dated July 18, 2018. The purchaser paid $30,000 to a broker-dealer in connection with the transaction. (See Note 14) Warrants A summary of the Companys warrant activity during the year ended April 30, 2019 is presented below: Weighted Weighted Average Average Remaining Aggregate Number of Exercise Contractual Intrinsic Warrants Shares Price Term Value Balance Outstanding, April 30, 2018 651,286 $ 3.80 2.4 $ 2,581,450 Granted 342,049 5.80 4.78 Exercised (262,183 ) Surrendered Expired Balance Outstanding, April 30, 2019 731,152 $ 5.28 3.29 $ 413,296 Exercisable, April 30, 2019 681,152 $ 5.31 3.17 $ 413,296 ALL WARRANTS EXERCISABLE WARRANTS Weighted Weighted Weighted Average Outstanding Average Average Exercisable Exercise Exercise No. of Exercise Remaining Life No. of Price Price Warrants Price In Years Warrants $2.28 $2.28 164,929 $2.28 0.29 164,929 $4.89 $4.89 50,000 $4.89 4.95 $5.85 to $6.00 $5.95 292,049 $5.85 to $6.00 4.75 292,049 $6.87 $6.87 224,174 $6.87 3.24 224,174 731,152 681,152 In connection with the Senior Secured Term Loan that was finalized on July 25, 2017, the Company issued 224,174 5-year warrants at an exercise price of $6.87. In the year ended April 30, 2018, the Company issued 259,737 shares of Common Stock in conjunction with the cash and cashless exercise of 398,526 warrants. The Company received $246,380 in conjunction with the cash exercises. As noted in Note 10, 92,049 warrants were granted as part of the Credit Facility Agreement executed on November 8, 2018. The warrants are five year warrants and exercisable at a price of $5.85. The Company granted 200,000 warrants on March 5, 2019 related to senior secured loans. The Company granted 50,000 warrants on April 10, 2019 to an advisory board member for services. The warrants vest ratably over three years. During the year ended April 30, 2019, 262,183 warrants were exercised. Of these, 218,323 warrants were cashless exercises resulting in 119,594 shares being issued and 43,860 were exercised for cash resulting in 43,860 shares being issued and generating $100,000 in proceeds. On June 3, 2019, a former director did a cashless exercise of 21,930 warrants, receiving 9,806 shares. On June 7, 2019, the CEO did a cashless exercise for the same amount receiving 9,597 shares. Stock Incentive Plan and Stock Option Grants to Employees and Directors On March 13, 2012, the Company adopted the Aspen Group, Inc. 2012 Equity Incentive Plan (the 2012 Plan) that provides for the grant of 3,500,000 shares in the form of incentive stock options, non-qualified stock options, restricted shares, stock appreciation rights and restricted stock units to employees, consultants, officers and directors. As of April 30, 2019, there were 322,712 shares remaining available for future issuance under the 2012 Plan. On December 13, 2018, the stockholders of the Company approved the 2018 Plan that provides for the grant of 500,000 shares in the form of incentive stock options, non-qualified stock options, restricted shares, stock appreciation rights and restricted stock units to employees, consultants, officers and directors. As of April 30, 2019, there were approximately 8,000 shares remaining available for future issuance under the Plan. The Company estimates the fair value of share-based compensation utilizing the Black-Scholes option pricing model, which is dependent upon several variables such as the expected option term, expected volatility of the Companys stock price over the expected term, expected risk-free interest rate over the expected option term, expected dividend yield rate over the expected option term, and an estimate of expected forfeiture rates. The Company believes this valuation methodology is appropriate for estimating the fair value of stock options granted to employees and directors which are subject to ASC Topic 718 requirements. These amounts are estimates and thus may not be reflective of actual future results, nor amounts ultimately realized by recipients of these grants. The Company recognizes compensation on a straight-line basis over the requisite service period for each award. The following table summarizes the assumptions the Company utilized to record compensation expense for stock options granted to employees during the period ended. April 30, 2019 2018 Expected life (years) 3.5 4-5 Expected volatility 50.1 % 40% - 43 % Risk-free interest rate 2.63 % 0.38 % Dividend yield 0.00 % 0.00 % Expected forfeiture rate n/a n/a The Company utilized the simplified method to estimate the expected life for stock options granted to employees. The simplified method was used as the Company does not have sufficient historical data regarding stock option exercises. The expected volatility is based on historical volatility. The risk-free interest rate is based on the U.S. Treasury yields with terms equivalent to the expected life of the related option at the time of the grant. Dividend yield is based on historical trends. While the Company believes these estimates are reasonable, the compensation expense recorded would increase if the expected life was increased, a higher expected volatility was used, or if the expected dividend yield increased. A summary of the Companys stock option activity for employees and directors during the year ended April 30, 2019, is presented below: Weighted Weighted Average Average Remaining Aggregate Number of Exercise Contractual Intrinsic Options Shares Price Term Value Balance Outstanding, April 30, 2018 2,980,010 $ 3.62 3.15 $ 16,558,373 Granted 1,006,542 6.88 Exercised (251,186 ) 2.30 Forfeited (326,212 ) 6.47 Expired Balance Outstanding, April 30, 2019 3,409,154 $ 4.44 2.90 $ 6,880,644 Exercisable, April 30, 2019 2,244,861 $ 3.35 2.31 $ 6,868,206 ALL OPTIONS EXERCISABLE OPTIONS Weighted Weighted Weighted Average Outstanding Average Average Exercisable Exercise Exercise No. of Exercise Remaining Life No. of Price Price Options Price In Years Options $1.57 to $2.10 $1.96 919,390 $1.96 2.06 919,390 $2.28 to $2.76 $2.32 471,081 $2.32 1.43 471,081 $3.24 to $4.38 $4.20 333,224 $3.86 2.39 261,834 $4.50 to $5.20 $4.96 718,292 $4.90 3.04 336,833 $5.95 to $6.28 $6.07 80,417 $6.13 3.18 36,806 $7.17 to $7.55 $7.39 662,417 $7.51 4.17 144,139 $8.57 to $9.07 $8.97 224,333 $8.97 3.69 74,778 Options only 3,409,154 2,244,861 On May 13, 2017, the Company granted its executive officers a total of 500,000 five-year options to purchase shares of the Companys common stock under the Plan. The options vest annually over three years, subject to continued employment at each applicable vesting date, and are exercisable at $4.90 per share. The Chairman and Chief Executive Officer received 200,000 options with a fair value of $282,000, the Chief Operating Officer received 200,000 options with a fair value of $282,000, the Chief Academic Officer received 70,000 options with a fair value of $98,700 and the Chief Financial Officer received 30,000 options with a fair value of $42,300. In May 2017, the Company issued 5,500 stock options to various employees at exercise prices ranging from $4.95 to $5.10 per share. Effective June 11, 2017, the Company granted the Chief Academic Officer 30,000 five-year options. The options vest quarterly over a three-year period in 12 equal quarterly increments with the first vesting date being September 11, 2017, subject to continued employment on each applicable vesting date. The options are exercisable at $6.28 per share and the fair value is $54,000. On August 21, 2017, 52,250 options were issued to 24 employees with an exercise price of $5.95 per share and a fair value of $89,348. On January 4, 2018, 180,000 options were issued to the board of directors with an exercise price of $9.07 per share and a fair value of $421,200. On January 17, 2018, 74,000 options were issued to 23 employees with an exercise price of $8.57 per share and a fair value of $149,480. On February 12, 2018, 31,000 options were granted to 21 employees with an exercise price of $7.31 per share and a fair value of $54,250. On April 5, 2018, 19,000 options were granted to 24 employees with an exercise price of $7.31 per share and a fair value of $33,250. During the year ended April 30, 2018, the company issued 113,597 shares of common stock in conjunction with the exercise of 63,838 stock options. The company received $455,387 related to these exercises. During the year ended April 30, 2019, the Company issued 111,666 shares of common stock upon the cashless exercise of stock options. During the year ended April 30, 2019, the Company issued 56,910 shares of common stock upon the exercise of stock options for cash and received proceeds of $128,202. On July 19, 2018, the Board granted 200,000 five year options to the Chief Executive Officer and 180,000 options to each of the Chief Operating Officer and Chief Academic Officer. The fair value per option was $2.56 or $1,433,600 for all 560,000 options granted. The exercise price is $7.55 per share. As of September 6, 2018, the Board approved 180,000 five-year options to the Chief Financial Officer and 50,000 five-year options to the Chief Accounting Officer. The fair value of the two grants on September 6, 2018 was $257,400 for the Chief Financial Officer and $71,500 for the Chief Accounting Officer. As required by the rules of the Nasdaq Stock market, both option grants subject to shareholder approval which occurred on December 13, 2018, which will be the measurement date for recording the transaction and the compensation will be recognized over 33 months. In April 2019, the CEO rescinded his grant and the expenses associated with the unvested options previously recorded was reversed during the year ended April 30, 2019. On December 13, 2018, the Company granted 67,000 options to 61 employees who had been hired throughout 2018. The fair value of these options was approximately $136,000 and will be recognized over 36 month. The exercise price is $5.20. On December 24, 2018, the Company granted 61,667 options to three directors, 41,667 to one director, and 10,000 each to two others. The exercise price is $5.1445 and the total fair value was approximately $123,000, which will be recognized over 36 months. In April 30, 2019, the Company granted 65,750 options to 44 new and continuing employees. The exercise price is $4.56 and the fair value was approximately $117,000. Effective May 13, 2019, the Company granted 10,000 five-year non-qualified stock options to each of three former directors exercisable at $4.12 per share. On June 18, 2019, as a result of errors in a third party software system used to track stock options, the Company granted Andrew Kaplan, a current director, and two former directors (not recipients of the options in the first sentence) 5,131, 15,000 and 10,000 shares of restricted common stock, respectively. The Company recorded compensation expense of $1,190,385 for the year ended April 30, 2019 in connection with employee stock options and restricted stock grants. As of April 30, 2019, there was $1,917,367 of unrecognized compensation costs related to non-vested share-based option arrangements. That cost is expected to be recognized over a weighted-average period of approximately 2.5 years. |
Related Party
Related Party | 12 Months Ended |
Apr. 30, 2019 | |
Related Party Transactions [Abstract] | |
Related Party | Note 13. Related party On July 19, 2018, AGI in simultaneous transactions repurchased 1,000,000 shares of common stock (the Shares) at $7.40 per share and re-sold the Shares to a large well-known institutional money manager (the Purchaser) at $7.40 per share. The Shares were purchased by the Company from ESL pursuant to a Securities Purchase Agreement. The Shares were sold to the Purchaser through Craig-Hallum Capital Group, LLC (Craig Hallum). Craig-Hallum acted as a dealer in this transaction and received an ordinary brokerage commission from the Purchaser. The Purchaser initiated the transaction by contacting the Company seeking to buy a large block of common stock. The Company approached ESL which had acquired the Shares on December 1, 2017 when it sold United States University to the Company. Ms. Oksana Malysheva, the sole manager of ESL, became a director of the Company as part of the purchase of United States University and is no longer a director of the Company. |
Revenue
Revenue | 12 Months Ended |
Apr. 30, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Note 14. Revenue Revenues consist primarily of tuition and fees derived from courses taught by the Company online as well as from related educational resources that the Company provides to its students, such as access to our online materials and learning management system. The Companys educational programs have starting and ending dates that differ from its fiscal quarters. Therefore, at the end of each fiscal quarter, a portion of revenue from these programs is not yet earned and is therefore deferred. The Company also charges students fees for library and technology costs, which are recognized over the related service period and are not considered separate performance obligations. Other services, books, and exam fees are recognized as services are provided or when goods are received by the student. The Companys contract liabilities are reported as deferred revenue and refunds due students. Deferred revenue represents the amount of tuition, fees, and other student invoices in excess of the portion recognized as revenue and it is included in current liabilities in the accompanying consolidated balance sheets. The following table represents our revenues disaggregated by the nature and timing of services: For the Years Ended April 30, 2019 2018 Tuition - recognized over period of instruction $ 31,032,677 $ 20,765,165 Course fees - recognized over period of instruction 2,488,232 884,739 Book fees - recognized at a point in time 106,819 82,788 Exam fee - recognized at a point in time 189,090 140,500 Service fees - recognized at a point in time 208,600 148,320 $ 34,025,418 $ 22,021,512 Contract Balances and Performance Obligations The Company recognizes deferred revenue as a student participates in a course which continues past the balance sheet date. Deferred revenue at April 30, 2019 was $2,456,865 which is future revenue that has not yet been earned for courses in progress. The Company has $1,174,501 of refunds due students, which mainly represents Title IV funds due to students after deducting their tuition payments Of the total revenue earned during the year ended April 30, 2019, approximately $1.8 million came from revenues which were deferred at April 30, 2018. The Company begins providing the performance obligation by beginning instruction in a course, a contract receivable is created, resulting in accounts receivable. The Company accounts for receivables in accordance with ASC 310, Receivables. The Company uses the portfolio approach, as discussed below. Aspen records an allowance for doubtful accounts for estimated losses resulting from the inability, failure or refusal of its students to make required payments, which includes the recovery of financial aid funds advanced to a student for amounts in excess of the students cost of tuition and related fees. Aspen determines the adequacy of its allowance for doubtful accounts using an allowance method based on an analysis of its historical bad debt experience, current economic trends, and the aging of the accounts receivable and student status. Aspen applies reserves to its receivables based upon an estimate of the risk presented by the age of the receivables and student status. Aspen writes off accounts receivable balances at the time the balances are deemed uncollectible. Aspen continues to reflect accounts receivable with an offsetting allowance as long as management believes there is a reasonable possibility of collection . Cash Receipts Our students finance costs through a variety of funding sources, including, among others, monthly payment plans, installment plans, federal loan and grant programs (Title IV), employer reimbursement, and various veterans and military funding and grants, and cash payments. Most students elect to use our monthly payment plan. This plan allows them to make continuous monthly payments during the length of their program and through the length of their payment plan. Title IV and military funding typically arrives during the period of instruction. Students who receive reimbursement from employers typically do so after completion of a course. Students who choose to pay cash for a class typically do so before beginning the class. Significant Judgments We analyze revenue recognition on a portfolio approach under ASC 606-10-10-4. Significant judgment is utilized in determining the appropriate portfolios to assess for meeting the criteria to recognize revenue under ASC Topic 606. We have determined that all of our students can be grouped into one portfolio. Students behave similarly, regardless of their payment method or academic program. Enrollment agreements and refund policies are similar for all of our students. We do not expect that revenue earned for the portfolio is significantly different as compared to revenue that would be earned if we were to assess each student contract separately. The Company maintains institutional tuition refund policies, which provides for all or a portion of tuition to be refunded if a student withdraws during stated refund periods. Certain states in which students reside impose separate, mandatory refund policies, which override the Companys policy to the extent in conflict. If a student withdraws at a time when a portion or none of the tuition is refundable, then in accordance with its revenue recognition policy, the Company recognizes as revenue the tuition that was not refunded. Since the Company recognizes revenue pro-rata over the term of the course and because, under its institutional refund policy, the amount subject to refund is never greater than the amount of the revenue that has been deferred, under the Companys accounting policies revenue is not recognized with respect to amounts that could potentially be refunded. The Company had revenues from students outside the United States representing 1.62% and 2.3% of the revenues for the year ended April 30, 2019 and 2018 respectively. |
Income Taxes
Income Taxes | 12 Months Ended |
Apr. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 15. Income Taxes The components of income tax expense (benefit) are as follows: For the Years Ended April 30, 2019 2018 Current: Federal $ $ State Deferred: Federal State Total Income tax expense (benefit) $ $ Significant components of the Company's deferred income tax assets and liabilities are as follows: April 30, 2019 2018 Deferred tax assets: Net operating loss carryforward $ 9,033,235 $ 7,163,547 Allowance for doubtful accounts (recovery) 181,774 105,122 Deferred rent 180,154 20,574 Stock-based compensation 954,586 687,067 Contributions carryforward 60 60 Total deferred tax assets 10,349,809 7,976,370 Deferred tax liabilities: Property and equipment (234,336 ) (132,042 ) Intangibles (64,439 ) (6,573) Total deferred tax liabilities (298,775 ) (138,615 ) Deferred tax assets, net 10,051,034 7,837,755 Valuation allowance: Beginning of year (7,837,755 ) (9,471,662 ) Decrease (increase) during period (2,213,279 ) 1,633,907 Ending balance (10,051,034 ) (7,837,755 ) Net deferred tax asset $ $ A valuation allowance is established if it is more likely than not that all or a portion of the deferred tax asset will not be realized. The Company recorded a valuation allowance at April 30, 2019 and 2018 due to the uncertainty of realization. Management believes that based upon its projection of future taxable operating income for the foreseeable future, it is more likely than not that the Company will not be able to realize the tax benefit associated with deferred tax assets. The net change in the valuation allowance during the year ended April 30, 2019 was an increase of $2,213,279. At April 30, 2019, the Company had approximately $37,500,000 of net operating loss carryforwards which will expire from 2033 to 2038. The Company believes its tax positions are all highly certain of being upheld upon examination. As such, the Company has not recorded a liability for unrecognized tax benefits. As of April 30, 2019, tax years 2015 through 2018 remain open for IRS audit. The Company has received no notice of audit from the Internal Revenue Service for any of the open tax years. Changes to the Federal Tax Code per the Tax Cuts and Jobs Acts that went into effect during the Fiscal Year ended April 30, 2018 are integrated into the tax rate calculation below. A reconciliation of income tax computed at the U.S. statutory rate to the effective income tax rate is as follows: April 30, 2019 2018 Statutory U.S. federal income tax rate 21.0 % 34.0 % State income taxes, net of federal tax benefit 3.6 3.0 Other (0.8 ) (0.9 ) Effect of change in federal tax rates 0 (13.0 ) Change in valuation allowance (23.8 ) (23.1 ) Effective income tax rate 0.0 % 0.0 % |
Concentrations
Concentrations | 12 Months Ended |
Apr. 30, 2019 | |
Risks and Uncertainties [Abstract] | |
Concentrations | Note 16. Concentrations Concentration of Credit Risk As of April 30, 2019, the Companys bank balances exceed FDIC insurance by $9,359,208. |
Fair Value Measurements - Warra
Fair Value Measurements - Warrant Derivative liability | 12 Months Ended |
Apr. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements - Warrant Derivative liability | Note 17. Fair Value Measurements Warrant Derivative liability The accounting standard for fair value measurements provides a framework for measuring fair value and requires expanded disclosures regarding fair value measurements. Fair value is defined as the price that would be received for an asset or the exit price that would be paid to transfer a liability in the principal or most advantageous market in an orderly transaction between market participants on the measurement date. The accounting standard established a fair value hierarchy which requires an entity to maximize the use of observable inputs, where available. This hierarchy prioritizes the inputs into three broad levels as follows. Level 1 input are quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 inputs are quoted prices for similar assets and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly through market corroboration, for substantially the full term of the financial instrument. Level 3 inputs are unobservable inputs based on the Companys own assumptions used to measure assets and liabilities at fair value. An asset or liabilitys classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement. Assets and liabilities measured at fair value on a recurring and non-recurring basis consisted of the following at April 30, 2018 which related to 62,500 warrants which contained price protection: Carrying Value at April 30, Fair value Measurements at April 30, 2017 2017 (Level 1) (Level 2) (Level 3) Warrant derivative liability $ 52,500 $ $ $ 52,500 The following is a summary of activity of Level 3 liabilities for the years ended April 30, 2018 Balance April 30, 2017 $ 52,500 Gain on extinguishment of warrant liability (52,500 ) Balance April 30, 2018 $ Changes in fair value of the warrant derivative liability are included in other income (expense) in the accompanying consolidated statements of operations. There were no changes in the valuation techniques during years ended April 30, 2019 and 2018. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Apr. 30, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 18. Subsequent Events The Company held a special meeting of shareholders (the Special Meeting) of the Company on June 28, 2019. At the Special Meeting, the Companys shareholders approved a proposal to reduce the number of authorized shares of common stock from 250,000,000 to 40,000,000 shares, and the number of authorized shares of preferred stock from 10,000,000 to 1,000,000 shares (the Authorized Share Reduction), and a corresponding Amendment to the Companys Certificate of Incorporation, as amended, to effect the Authorized Share Reduction. On June 28, 2019, the Company then amended its Certificate of Incorporation by reducing its authorized common stock to 40,000,000 and preferred stock to 1,000,000 shares. |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 12 Months Ended |
Apr. 30, 2019 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of AGI and its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. |
Use of Estimates | Use of Estimates The preparation of the consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (GAAP) requires management to make estimates and assumptions that affect the reported amounts in the consolidated financial statements. Actual results could differ from those estimates. Significant estimates in the accompanying consolidated financial statements include the allowance for doubtful accounts and other receivables, the valuation of collateral on certain receivables, estimates of the fair value of assets acquired and liabilities assumed in a business combination, amortization periods and valuation of courseware, intangibles and software development costs, valuation of beneficial conversion features in convertible debt, valuation of goodwill, valuation of loss contingencies, valuation of stock-based compensation and the valuation allowance on deferred tax assets. |
Cash, Cash Equivalents, and Restricted Cash | Cash, Cash Equivalents, and Restricted Cash For the purposes of the consolidated statements of cash flows, the Company considers all highly liquid investments with an original maturity of six months or less when purchased to be cash equivalents. There were no cash equivalents at April 30, 2019 and 2018. The Company maintains its cash in bank and financial institution deposits that at times may exceed federally insured limits of $250,000 per financial institution. The Company has not experienced any losses in such accounts from inception through April 30, 2019. As of April 30, 2019 and 2018, there were deposits totaling $9,359,208 and $14,422,499 respectively, held in two separate institutions greater ASU No 2016-18 In November 2016, FASB issue ASU No. 2016-18, Statement of Cash Flows (Topic 230) Restricted Cash (ASU 2016- 18), requiring restricted cash and cash equivalents to be included with cash and cash equivalents of the statement of cash flows. The new standard is effective for fiscal years, and interim periods with those year, beginning December 15, 2017, with early adoption permitted. The Company adopted this new ASU at May 1, 2018. As of April 30, 2019, restricted cash of $448,400 consists of $120,864 which is collateral for a letter of credit issued by the bank and required under the USU facility operating lease. Also, included is $71,828 and an additional $255,708, which is collateral for a letter of credit issued by the bank and related to USUs receipt of Title IV funds and is required by DOE in connection with the change of control of USU. (See Note 11). Restricted cash as of April 30, 2018 was $190,506. |
Goodwill and Intangibles | Goodwill and Intangibles Goodwill represents the excess of the purchase price of USU over the fair market value of assets acquired and liabilities assumed from Educacion Significativa, LLC. Goodwill has an indefinite life and is not amortized. Goodwill is tested annually for impairment. ASU 2017-04 - In January 2017, the Financial Accounting Standards Board issued Accounting Standards Update No. 2017-04: "Intangibles - Goodwill and Other (Topic 350) - to simplify how an entity is required to test goodwill for impairment by eliminating Step 2 from the goodwill impairment test. Step 2 measures a goodwill impairment loss by comparing the implied fair value of a reporting units goodwill with the carrying amount of that goodwill. This guidance is effective for interim and annual reporting periods beginning after December 15, 2019. The Company early adopted this standard effective April 30, 2018. Intangible assets represent both indefinite lived and definite lived assets. Accreditation and regulatory approvals and trade name and trademarks are deemed to have indefinite useful lives and accordingly are not amortized but are tested annually for impairment. Student relationships and curriculums are deemed to have definite lives and are amortized accordingly. |
Fair Value Measurements | Fair Value Measurements Fair value is the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants. The Company classifies assets and liabilities recorded at fair value under the fair value hierarchy based upon the observability of inputs used in valuation techniques. Observable inputs (highest level) reflect market data obtained from independent sources, while unobservable inputs (lowest level) reflect internally developed market assumptions. The fair value measurements are classified under the following hierarchy: Level 1Observable inputs that reflect quoted market prices (unadjusted) for identical assets and liabilities in active markets; Level 2Observable inputs, other than quoted market prices, that are either directly or indirectly observable in the marketplace for identical or similar assets and liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets and liabilities; and Level 3Unobservable inputs that are supported by little or no market activity that are significant to the fair value of assets or liabilities. The estimated fair value of certain financial instruments, including cash and cash equivalents, accounts receivable, accounts payable and accrued expenses are carried at historical cost basis, which approximates their fair values because of the short-term nature of these instruments. |
Accounts Receivable and Allowance for Doubtful Accounts Receivable | Accounts Receivable and Allowance for Doubtful Accounts Receivable All students are required to select both a primary and secondary payment option with respect to amounts due to Aspen for tuition, fees and other expenses. The monthly payment plan represents approximately 69% of the payments that are made by students, making it the most common payment type. In instances where a student selects financial aid as the primary payment option, he or she often selects personal cash as the secondary option. If a student who has selected financial aid as his or her primary payment option withdraws prior to the end of a course but after the date that Aspens institutional refund period has expired, the student will have incurred the obligation to pay the full cost of the course. If the withdrawal occurs before the date at which the student has earned 100% of his or her financial aid, Aspen may have to return all or a portion of the Title IV funds to the DOE and the student will owe Aspen all amounts incurred that are in excess of the amount of financial aid that the student earned, and that Aspen is entitled to retain. In this case, Aspen must collect the receivable using the students second payment option. For accounts receivable from students, Aspen records an allowance for doubtful accounts for estimated losses resulting from the inability, failure or refusal of its students to make required payments, which includes the recovery of financial aid funds advanced to a student for amounts in excess of the students cost of tuition and related fees. Aspen determines the adequacy of its allowance for doubtful accounts using an allowance method based on an analysis of its historical bad debt experience, current economic trends, and the aging of the accounts receivable and each students status. Aspen estimates the amounts to increase the allowance based upon the risk presented by the age of the receivables and student status. Aspen writes off accounts receivable balances at the time the balances are deemed uncollectible. Aspen continues to reflect accounts receivable with an offsetting allowance as long as management believes there is a reasonable possibility of collection. For accounts receivable from primary payors other than students, Aspen estimates its allowance for doubtful accounts by evaluating specific accounts where information indicates the customers may have an inability to meet financial obligations, such as bankruptcy proceedings and receivable amounts outstanding for an extended period beyond contractual terms. In these cases, Aspen uses assumptions and judgment, based on the best available facts and circumstances, to record a specific allowance for those customers against amounts due to reduce the receivable to the amount expected to be collected. These specific allowances are re-evaluated and adjusted as additional information is received. The amounts calculated are analyzed to determine the total amount of the allowance. Aspen may also record a general allowance as necessary. Direct write-offs are taken in the period when Aspen has exhausted its efforts to collect overdue and unpaid receivables or otherwise evaluate other circumstances that indicate that Aspen should abandon such efforts. (See Note 14) When a student signs up for the monthly payment plan, there is a contractual amount that the Company can expect to earn over the life of the students program. This contractual amount cannot be recorded as an accounts receivable because, the student does have the option to stop attending. As a student takes a class, revenue is earned over the class term. Some students accelerate their program, taking two or more classes every eight week period, which increases the students accounts receivable balance. If any portion of that balance will be paid in a period greater than 12 months, that portion is reflected as long-term accounts receivable. At April 30, 2019 and 2018, those balances are $3,085,243 and $1,315,050, respectively. The Company has determined that the long term accounts receivable do not constitute a significant financing component as the list price, cash selling price and promised consideration are equal. Further, the interest free financing portion of the monthly payment plans are not considered significant to the contract. |
Property and Equipment | Property and Equipment Property and equipment are recorded at cost less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the related assets per the following table. Category Useful Life Call center equipment 5 years Computer and office equipment 5 years Furniture and fixtures 7 years Library (online) 3 years Software 5 years Costs incurred to develop internal-use software during the preliminary project stage are expensed as incurred. Internal-use software development costs are capitalized during the application development stage, which is after: (i) the preliminary project stage is completed; and (ii) management authorizes and commits to funding the project and it is probable the project will be completed and used to perform the function intended. Capitalization ceases at the point the software project is substantially complete and ready for its intended use, and after all substantial testing is completed. Upgrades and enhancements are capitalized if it is probable that those expenditures will result in additional functionality. Depreciation is provided for on a straight-line basis over the expected useful life of five years of the internal-use software development costs and related upgrades and enhancements. When existing software is replaced with new software, the unamortized costs of the old software are expensed when the new software is ready for its intended use. Leasehold improvements are amortized using the straight-line method over the shorter of the lease term or the estimated useful lives of the leasehold improvements. Upon the retirement or disposition of property and equipment, the related cost and accumulated depreciation are removed and a gain or loss is recorded in the consolidated statements of operations. Repairs and maintenance costs are expensed in the period incurred. |
Courseware and Accreditation | Courseware and Accreditation The Company records the costs of courseware and accreditation in accordance with Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) Topic 350 Intangibles - Goodwill and Other. Generally, costs of courseware creation and enhancement are capitalized. Accreditation renewal or extension costs related to intangible assets are capitalized as incurred. Courseware is stated at cost less accumulated amortization. Amortization is provided for on a straight-line basis over the expected useful life of five years. |
Long-Lived Assets | Long-Lived Assets The Company assesses potential impairment to its long-lived assets when there is evidence that events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Events and circumstances considered by the Company in determining whether the carrying value of identifiable intangible assets and other long-lived assets may not be recoverable include, but are not limited to: significant changes in performance relative to expected operating results, significant changes in the use of the assets, significant negative industry or economic trends, a significant decline in the Companys stock price for a sustained period of time, and changes in the Companys business strategy. An impairment loss is recorded when the carrying amount of the long-lived asset is not recoverable and exceeds its fair value. The carrying amount of a long-lived asset is not recoverable if it exceeds the sum of the undiscounted cash flows expected to result from the use and eventual disposition of the asset. Any required impairment loss is measured as the amount by which the carrying amount of a long-lived asset exceeds fair value and is recorded as a reduction in the carrying value of the related asset and an expense to operating results. |
Refunds Due Students | Refunds Due Students The Company receives Title IV funds from the Department of Education to cover tuition and living expenses. After deducting tuition and fees, the Company sends checks for the remaining balances to the students. |
Leases | Leases The Company enters into various lease agreements in conducting its business. At the inception of each lease, the Company evaluates the lease agreement to determine whether the lease is an operating or capital lease. Leases may contain initial periods of free rent and/or periodic escalations. When such items are included in a lease agreement, the Company records rent expense on a straight-line basis over the initial term of a lease. The difference between the rent payment and the straight-line rent expense is recorded as a deferred rent liability. The Company expenses any additional payments under its operating leases for taxes, insurance or other operating expenses as incurred. The company plans to implement ASU 2016-02 on May 1, 2019, and does not anticipate any material changes to our consolidated financial statements other than additional assets and off-setting liabilities, see Recent Accounting Pronouncements below. |
Treasury Stock | Treasury Stock Purchases and sales of treasury stock are accounted for using the cost method. Under this method, shares acquired are recorded at the acquisition price directly to the treasury stock account. Upon sale, the treasury stock account is reduced by the original acquisition price of the shares and any difference is recorded in equity. This method does not allow the company to recognize a gain or loss to income from the purchase and sale of treasury stock. |
Revenue Recognition and Deferred Revenue | Revenue Recognition and Deferred Revenue On May 1, 2018, the company adopted Accounting Standards Codification 606 (ASC 606). ASC 606 is based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. This ASC also requires additional disclosure about the nature, amount, timing, and uncertainty of revenue and cash flows arising from customer purchase orders, including significant judgments. Our adoption of this ASC, resulted in no change to our results of operations or our balance sheet. Revenues consist primarily of tuition and course fees derived from courses taught by the Company online as well as from related educational resources and services that the Company provides to its students. Under ASC 606, this tuition revenue is recognized pro-rata over the applicable period of instruction and are not considered separate performance obligations. Non-tuition related revenue and fees are recognized as services are provided or when the goods are received by the student. (See Note 14) The Company had revenues from students outside the United States representing 1.62% and 2.3% of the revenues for the years ended April 30, 2019 and 2018 respectively. |
Cost of Revenues | Cost of Revenues Cost of revenues consists of two categories of cost, instructional costs and services, and marketing and promotional costs. |
Instructional Costs and Services | Instructional Costs and Services Instructional costs and services consist primarily of costs related to the administration and delivery of the Company's educational programs. This expense category includes compensation costs associated with online faculty, technology license costs and costs associated with other support groups that provide services directly to the students and are included in cost of revenues. |
Marketing and Promotional Costs | Marketing and Promotional Costs Marketing and promotional costs include costs associated with producing marketing materials and advertising. Such costs are generally affected by the cost of advertising media, the efficiency of the Company's marketing and recruiting efforts, and expenditures on advertising initiatives for new and existing academic programs. Non-direct response advertising activities are expensed as incurred, or the first time the advertising takes place, depending on the type of advertising activity. Total marketing and promotional costs were $9,096,550 and $5,428,828 for year ended April 30, 2019 and 2018, respectively and are included in cost of revenues. |
General and Administrative | General and Administrative General and administrative expenses include compensation of employees engaged in corporate management, finance, human resources, information technology, academic operations, compliance and other corporate functions. General and administrative expenses also include professional services fees, bad debt expense related to accounts receivable, financial aid processing costs, non-capitalizable courseware and software costs, travel and entertainment expenses and facility costs. |
Legal Expenses | Legal Expenses All legal costs for litigation are charged to expense as incurred. |
Income Tax | Income Tax The Company uses the asset and liability method to compute the differences between the tax basis of assets and liabilities and the related financial statement amounts. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount that more likely than not will be realized. The Company has deferred tax assets and liabilities that reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Deferred tax assets are subject to periodic recoverability assessments. Realization of the deferred tax assets, net of deferred tax liabilities, is principally dependent upon achievement of projected future taxable income. The Company records a liability for unrecognized tax benefits resulting from uncertain tax positions taken or expected to be taken in a tax return. The Company accounts for uncertainty in income taxes using a two-step approach for evaluating tax positions. Step one, recognition, occurs when the Company concludes that a tax position, based solely on its technical merits, is more likely than not to be sustained upon examination. Step two, measurement, is only addressed if the position is more likely than not to be sustained. Under step two, the tax benefit is measured as the largest amount of benefit, determined on a cumulative probability basis, which is more likely than not to be realized upon ultimate settlement. The Company recognizes interest and penalties, if any, related to unrecognized tax benefits in income tax expense. |
Accounting for Derivatives | Accounting for Derivatives The Company evaluates its convertible instruments, options, warrants or other contracts to determine if those contracts or embedded components of those contracts qualify as derivatives to be separately accounted for under ASC Topic 815, Derivatives and Hedging. The result of this accounting treatment is that the fair value of the derivative is marked-to-market each balance sheet date and recorded as a liability. In the event that the fair value is recorded as a liability, the change in fair value is recorded in the statement of operations as other income (expense). Upon conversion, exercise, or other extinguishment (transaction) of a derivative instrument, the instrument is marked to fair value at the transaction date and then that fair value is recognized as an extinguishment gain or loss. Equity instruments that are initially classified as equity that become subject to reclassification under ASC Topic 815 are reclassified to liability at the fair value of the instrument on the reclassification date. The Company has early adopted FASB ASU 2017-11, which simplifies the accounting for certain equity-linked financial instruments and embedded features with down round features that reduce the exercise price when the pricing of a future round of financing is lower. This allows the company to treat such instruments or their embedded features as equity instead of considering them as a derivative. If such a feature is triggered in a stand-alone instrument treated as equity, the value is measured pre-trigger and post-trigger. The difference in these two measurements is treated as a dividend, reducing income. The value recognized as a dividend is not subsequently remeasured, but in instances where the feature is triggered multiple times each instance is recognized. |
Stock-Based Compensation | Stock-Based Compensation Stock-based compensation expense is measured at the grant date fair value of the award and is expensed over the requisite service period. For employee stock-based awards, the Company calculates the fair value of the award on the date of grant using the Black-Scholes option pricing model. Determining the fair value of stock-based awards at the grant date under this model requires judgment, including estimating volatility, employee stock option exercise behaviors and forfeiture rates. The assumptions used in calculating the fair value of stock-based awards represent the Company's best estimates, but these estimates involve inherent uncertainties and the application of management judgment. For non-employee stock-based awards, the Company has early adopted ASU 2018-07, which substantially aligns share based compensation for employees and non-employees. See Recent Accounting Pronouncements below. |
Business Combinations | Business Combinations We include the results of operations of businesses we acquire from the date of the respective acquisition. We allocate the purchase price of acquisitions to the assets acquired and liabilities assumed at fair value. The excess of the purchase price of an acquired business over the amount assigned to the assets acquired and liabilities assumed is recorded as goodwill. We expense transaction costs associated with business combinations as incurred. |
Net Loss Per Share | Net Loss Per Share Net loss per common share is based on the weighted average number of common shares outstanding during each period. Options to purchase 3,409,154 and 2,980,010 common shares, warrants to purchase 731,152 and 651,286 common shares, unvested restricted stock of 64,116 and 0, common shares, and $50,000 and $50,000 of convertible debt (convertible into 4,167 and 4,167 common shares) were outstanding at April 30, 2019 and April 30, 2018, respectively, but were not included in the computation of diluted net loss per share because the effects would have been anti-dilutive. The options, warrants and convertible debt are considered to be common stock equivalents and are only included in the calculation of diluted earnings per common share when their effect is dilutive. |
Segment Information | Segment Information The Company operates in one reportable segment as a single educational delivery operation using a core infrastructure that serves the curriculum and educational delivery needs of its online students regardless of geography. The Company's chief operating decision makers, its Chief Executive Officer and Chief Academic Officer, manage the Company's operations as a whole, and no revenue, expense or operating income information is evaluated by the chief operating decision makers on any component level. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Financial Accounting Standards Board, Accounting Standard Updates which are not effective until after April 30, 2019, are not expected to have a significant effect on the Companys consolidated financial position or results of operations. ASU 2018-07 ASU 2016-02 |
Significant Accounting Polici_3
Significant Accounting Policies (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Accounting Policies [Abstract] | |
Schedule of Property and Equipment Useful Lives | Depreciation is computed using the straight-line method over the estimated useful lives of the related assets per the following table. Category Useful Life Call center equipment 5 years Computer and office equipment 5 years Furniture and fixtures 7 years Library (online) 3 years Software 5 years |
Accounts Receivable (Tables)
Accounts Receivable (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Receivables [Abstract] | |
Schedule of Accounts Receivable | Accounts receivable consisted of the following at April 30, 2019 and 2018: April 30, 2019 2018 Accounts receivable $ 14,988,744 $ 8,585,947 Long term contractual accounts receivable (3,085,243 ) (1,315,050 ) Less: Allowance for doubtful accounts (1,247,031 ) (468,174 ) Accounts receivable, net $ 10,656,470 $ 6,802,723 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Property, Plant and Equipment [Line Items] | |
Schedule of Property and Equipment | Property and equipment consisted of the following at April 30, 2019 and April 30, 2018: For the Years Ended April 30, 2019 2018 Call center hardware $ 193,774 $ 140,509 Computer and office equipment 327,621 230,810 Furniture and fixtures 1,381,271 932,454 Software 4,314,198 2,878,753 6,216,864 4,182,526 Accumulated depreciation (1,825,524 ) (1,320,360 ) Property and equipment, net $ 4,391,340 $ 2,862,166 |
Schedule of Depreciation and Amortization Expense | Depreciation expense and amortization for all Property and Equipment as well as the portion for just software is presented below for the years ended April 30, 2019 and 2018: For the Years Ended April 30, 2019 2018 Depreciation and amortization Expense $ 1,002,347 $ 578,244 Software amortization Expense $ 684,871 $ 475,178 |
Software [Member] | |
Property, Plant and Equipment [Line Items] | |
Schedule of Intangible Asset | Software consisted of the following at April 30, 2019 and 2018: For the Years Ended April 30, 2019 2018 Software $ 4,314,198 $ 2,878,753 Accumulated depreciation (1,351,193 ) (1,146,008 ) Software, net $ 2,963,005 $ 1,732,745 |
Schedule of Estimated Future Amortization Expense | The following is a schedule of estimated future amortization expense of software at April 30, 2019: Year Ending April 30, 2020 $ 826,918 2021 754,471 2022 664,998 2023 504,758 Thereafter 211,860 Total $ 2,963,005 |
USU Goodwill and Intangibles (T
USU Goodwill and Intangibles (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of Estimated Fair Value of Assets Acquired and Liabilities Assumed | The following is a summary of the estimated fair value of the assets acquired and liabilities assumed at the date of acquisition: Purchase Price Allocation Useful Life Cash and cash equivalents $ Current assets acquired 244,465 Other assets acquired 176,667 Intangible assets Accreditation and regulatory approvals 6,200,000 Trade name and trademarks 1,700,000 Student relationships 2,000,000 2 years Curriculum 200,000 1 year Goodwill 5,011,432 Less: Current liabilities assumed (727,601 ) Total purchase price $ 14,804,963 |
Schedule of Intangible Assets | Intangible assets consisted of the following at April 30, 2019 and 2018: April 30, April 30, 2019 2018 Intangible assets $ 10,100,000 $ 10,100,000 Accumulated amortization (1,558,333 ) (458,333 ) Net intangible assets $ 8,541,667 $ 9,641,667 |
Courseware and Accreditation (T
Courseware and Accreditation (Tables) - Courseware [Member] | 12 Months Ended |
Apr. 30, 2019 | |
Finite-Lived Intangible Assets [Line Items] | |
Schedule of Intangible Asset | Courseware consisted of the following at April 30, 2019 and 2018: April 30, 2019 2018 Courseware $ 325,987 $ 298,064 Accreditation 57,100 Accumulated amortization (221,157 ) (159,905 ) Courseware, net $ 161,930 $ 138,159 |
Schedule of amortization expense of intangible assets | Amortization expense of courseware for the years ended April 30, 2019 and 2018: For the Years Ended April 30, 2019 2018 Amortization expense $ 67,751 $ 55,706 |
Schedule of Estimated Future Amortization Expense | The following is a schedule of estimated future amortization expense of courseware at April 30, 2019: Year Ending April 30, 2020 $ 63,610 2021 36,645 2022 28,758 2023 23,219 Thereafter 9,698 Total $ 161,930 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Expenses | Accrued expenses consisted of the following at April 30, 2019 and 2018: April 30, 2019 2018 Accrued compensation $ 226,805 $ 202,664 Accrued interest 135,115 79,853 Other accrued expenses 289,498 376,337 Accrued expenses $ 651,418 $ 658,854 |
Convertible Notes and Convert_2
Convertible Notes and Convertible Notes - Related Party (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Convertible Notes Payable | Convertible notes payable consisted of the following at April 30, 2019 and 2018: April 30, 2019 2018 Convertible note payable - originating December 1, 2017; no monthly payments required; bearing an annual rate of interest at 8%; $1,000,000 maturing on December 1, 2018 and $1,000,000 maturing on December 1, 2019 $ 0 $ 2,000,000 Convertible note payable - originating February 29, 2012; no monthly payments required; bearing interest at 0.19%; maturing at February 29, 2014 50,000 50,000 50,000 2,050,000 Less: Current maturities (50,000 ) (1,050,000 ) Total $ 0 $ 1,000,000 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Rental Payments | The following is a schedule by years of future minimum rental payments required under operating leases that have initial or remaining noncancelable lease terms in excess of one year as of April 30, 2019. Year Ending April 30, 2020 $ 2,282,260 2021 2,332,558 2022 2,264,523 2023 1,702,609 2024 1,497,027 2025 1,134,718 2026 779,287 Total minimum payments required $ 11,992,982 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Schedule of Warrants Activity | A summary of the Companys warrant activity during the year ended April 30, 2019 is presented below: Weighted Weighted Average Average Remaining Aggregate Number of Exercise Contractual Intrinsic Warrants Shares Price Term Value Balance Outstanding, April 30, 2018 651,286 $ 3.80 2.4 $ 2,581,450 Granted 342,049 5.80 4.78 Exercised (262,183 ) Surrendered Expired Balance Outstanding, April 30, 2019 731,152 $ 5.28 3.29 $ 413,296 Exercisable, April 30, 2019 681,152 $ 5.31 3.17 $ 413,296 |
Stock Incentive Plan and Stock Option Grants to Employees and Directors [Member] | |
Schedule of Options and Warrants by Exercise Price Range | ALL OPTIONS EXERCISABLE OPTIONS Weighted Weighted Weighted Average Outstanding Average Average Exercisable Exercise Exercise No. of Exercise Remaining Life No. of Price Price Options Price In Years Options $1.57 to $2.10 $1.96 919,390 $1.96 2.06 919,390 $2.28 to $2.76 $2.32 471,081 $2.32 1.43 471,081 $3.24 to $4.38 $4.20 333,224 $3.86 2.39 261,834 $4.50 to $5.20 $4.96 718,292 $4.90 3.04 336,833 $5.95 to $6.28 $6.07 80,417 $6.13 3.18 36,806 $7.17 to $7.55 $7.39 662,417 $7.51 4.17 144,139 $8.57 to $9.07 $8.97 224,333 $8.97 3.69 74,778 Options only 3,409,154 2,244,861 |
Schedule of Assumptions Used In Valuing Stock Options | The following table summarizes the assumptions the Company utilized to record compensation expense for stock options granted to employees during the period ended. April 30, 2019 2018 Expected life (years) 3.5 4-5 Expected volatility 50.1 % 40% - 43 % Risk-free interest rate 2.63 % 0.38 % Dividend yield 0.00 % 0.00 % Expected forfeiture rate n/a n/a |
Schedule of Stock Option Activity | A summary of the Companys stock option activity for employees and directors during the year ended April 30, 2019, is presented below: Weighted Weighted Average Average Remaining Aggregate Number of Exercise Contractual Intrinsic Options Shares Price Term Value Balance Outstanding, April 30, 2018 2,980,010 $ 3.62 3.15 $ 16,558,373 Granted 1,006,542 6.88 Exercised (251,186 ) 2.30 Forfeited (326,212 ) 6.47 Expired Balance Outstanding, April 30, 2019 3,409,154 $ 4.44 2.90 $ 6,880,644 Exercisable, April 30, 2019 2,244,861 $ 3.35 2.31 $ 6,868,206 |
Warrant [Member] | |
Schedule of Options and Warrants by Exercise Price Range | ALL WARRANTS EXERCISABLE WARRANTS Weighted Weighted Weighted Average Outstanding Average Average Exercisable Exercise Exercise No. of Exercise Remaining Life No. of Price Price Warrants Price In Years Warrants $2.28 $2.28 164,929 $2.28 0.29 164,929 $4.89 $4.89 50,000 $4.89 4.95 $5.85 to $6.00 $5.95 292,049 $5.85 to $6.00 4.75 292,049 $6.87 $6.87 224,174 $6.87 3.24 224,174 731,152 681,152 |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregated Revenue | The following table represents our revenues disaggregated by the nature and timing of services: For the Years Ended April 30, 2019 2018 Tuition - recognized over period of instruction $ 31,032,677 $ 20,765,165 Course fees - recognized over period of instruction 2,488,232 884,739 Book fees - recognized at a point in time 106,819 82,788 Exam fee - recognized at a point in time 189,090 140,500 Service fees - recognized at a point in time 208,600 148,320 $ 34,025,418 $ 22,021,512 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income Tax Expense (Benefit) | The components of income tax expense (benefit) are as follows: For the Years Ended April 30, 2019 2018 Current: Federal $ $ State Deferred: Federal State Total Income tax expense (benefit) $ $ |
Schedule of Deferred Income Tax Assets and Liabilities | Significant components of the Company's deferred income tax assets and liabilities are as follows: April 30, 2019 2018 Deferred tax assets: Net operating loss carryforward $ 9,033,235 $ 7,163,547 Allowance for doubtful accounts (recovery) 181,774 105,122 Deferred rent 180,154 20,574 Stock-based compensation 954,586 687,067 Contributions carryforward 60 60 Total deferred tax assets 10,349,809 7,976,370 Deferred tax liabilities: Property and equipment (234,336 ) (132,042 ) Intangibles (64,439 ) (6,573) Total deferred tax liabilities (298,775 ) (138,615 ) Deferred tax assets, net 10,051,034 7,837,755 Valuation allowance: Beginning of year (7,837,755 ) (9,471,662 ) Decrease (increase) during period (2,213,279 ) 1,633,907 Ending balance (10,051,034 ) (7,837,755 ) Net deferred tax asset $ $ |
Schedule of Income Tax Reconciliation | A reconciliation of income tax computed at the U.S. statutory rate to the effective income tax rate is as follows: April 30, 2019 2018 Statutory U.S. federal income tax rate 21.0 % 34.0 % State income taxes, net of federal tax benefit 3.6 3.0 Other (0.8 ) (0.9 ) Effect of change in federal tax rates 0 (13.0 ) Change in valuation allowance (23.8 ) (23.1 ) Effective income tax rate 0.0 % 0.0 % |
Fair Value Measurements - War_2
Fair Value Measurements - Warrant Derivative liability (Tables) | 12 Months Ended |
Apr. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Schedule of Liabilities Measured at Fair Value | Assets and liabilities measured at fair value on a recurring and non-recurring basis consisted of the following at April 30, 2018 which related to 62,500 warrants which contained price protection: Carrying Value at April 30, Fair value Measurements at April 30, 2018 2018 (Level 1) (Level 2) (Level 3) Warrant derivative liability $ 52,500 $ $ $ 52,500 |
Summary of Activity of Level 3 Liabilities | The following is a summary of activity of Level 3 liabilities for the years ended April 30, 2018 Balance April 30, 2017 $ 52,500 Gain on extinguishment of warrant liability (52,500 ) Balance April 30, 2018 $ |
Nature of Operations and Liqu_2
Nature of Operations and Liquidity (Liquidity) (Details) - USD ($) | Dec. 03, 2018 | Dec. 02, 2018 | Nov. 05, 2018 | Mar. 31, 2019 | Feb. 25, 2019 | Apr. 30, 2019 | Apr. 30, 2018 | Apr. 23, 2018 |
Debt Instrument [Line Items] | ||||||||
Approximate cash position | $ 9,519,352 | $ 14,612,559 | ||||||
Restricted cash | 448,400 | 190,506 | ||||||
Proceeds from shares issued | 23,023,000 | |||||||
Share price | $ 7.15 | |||||||
Expected investment | 600,000 | |||||||
Cash used in operating activities | 10,216,014 | 5,609,935 | ||||||
Cash used during period | $ 4,835,313 | (12,046,848) | ||||||
Convertible Notes Payable [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Amount of principal and accrued interest paid | $ 1,160,000 | $ 1,080,000 | ||||||
Repayment of principal amount on convertible debt | $ 1,160,000 | 1,000,000 | ||||||
Repayment of accrued interest on convertible debt | 19,068 | |||||||
Settlement expense | $ 60,932 | |||||||
Secured Debt [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Proceeds from shares issued | $ 23,023,000 | |||||||
Share price | $ 7.15 | |||||||
Sale of equity | 3,220,000 | |||||||
Repayment of loan | $ 7,500,000 | |||||||
Revolving Credit Facility [Member] | ||||||||
Debt Instrument [Line Items] | ||||||||
Upfront payment of facility fee | $ 10,000,000 | |||||||
Commitment fee percentage, payable quarterly | 1.00% | |||||||
Outstanding balance under credit facility | $ 5,000,000 |
Significant Accounting Polici_4
Significant Accounting Policies (Narrative) (Details) - USD ($) | 12 Months Ended | |
Apr. 30, 2019 | Apr. 30, 2018 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Cash equivalents | ||
Cash insured by FDIC | 250,000 | 250,000 |
Amount of cash balance uninsured by FDIC | 9,359,208 | 14,422,499 |
Marketing and promotional costs | 9,096,550 | 5,428,828 |
Long term accounts receivable | 3,085,243 | 1,315,050 |
Restricted cash | 448,400 | $ 190,506 |
Letter of credit issued by bank | $ 71,828 | |
Employee Stock Option [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities | 3,409,154 | 2,980,010 |
Warrant [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities | 731,152 | 651,286 |
Unvested Restricted Stock [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities | 64,116 | 0 |
Convertible Debt [Member] [Default Label] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities | 4,167 | 4,167 |
Convertible debt | $ 50,000 | $ 50,000 |
Sales Revenue, Net [Member] | Non-US [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Percentage of revenues from students outside the United States | 1.62% | 2.30% |
Letter of Credit [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Restricted cash | $ 120,864 | |
Letter of credit issued by bank | $ 255,708 |
Significant Accounting Polici_5
Significant Accounting Policies (Schedule of Property and Equipment Useful Lives) (Details) | 12 Months Ended |
Apr. 30, 2019 | |
Call center equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Depreciation Term | 5 years |
Computer and office equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Depreciation Term | 5 years |
Furniture and fixtures [Member] | |
Property, Plant and Equipment [Line Items] | |
Depreciation Term | 7 years |
Library (online) [Member] | |
Property, Plant and Equipment [Line Items] | |
Depreciation Term | 3 years |
Software [Member] | |
Property, Plant and Equipment [Line Items] | |
Depreciation Term | 5 years |
Accounts Receivable (Details)
Accounts Receivable (Details) - USD ($) | 12 Months Ended | |
Apr. 30, 2019 | Apr. 30, 2018 | |
Receivables [Abstract] | ||
Accounts receivable | $ 14,988,744 | $ 8,585,947 |
Long term contractual accounts receivable | (3,085,243) | (1,315,050) |
Less: Allowance for doubtful accounts | (1,247,031) | (468,174) |
Accounts receivable, net | 10,656,470 | 6,802,723 |
Bad debt expense | $ 854,008 | $ 535,366 |
Property and Equipment (Schedul
Property and Equipment (Schedule of Property and Equipment) (Details) - USD ($) | Apr. 30, 2019 | Apr. 30, 2018 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 6,216,864 | $ 4,182,526 |
Accumulated depreciation and amortization | (1,825,524) | (1,320,360) |
Property and equipment, net | 4,391,340 | 2,862,166 |
Call center equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 193,774 | 140,509 |
Computer and office equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 327,621 | 230,810 |
Furniture and fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 1,381,271 | 932,454 |
Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 4,314,198 | $ 2,878,753 |
Property and Equipment (Sched_2
Property and Equipment (Schedule of Software, Net) (Details) - USD ($) | Apr. 30, 2019 | Apr. 30, 2018 |
Property, Plant and Equipment [Line Items] | ||
Intangible asset, gross | $ 8,541,667 | $ 9,641,667 |
Accumulated amortization | (1,558,333) | (458,333) |
Intangible asset, net | 161,930 | 138,159 |
Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Intangible asset, gross | 4,314,198 | 2,878,753 |
Accumulated amortization | (1,351,193) | (1,146,008) |
Intangible asset, net | $ 2,963,005 | $ 1,732,745 |
Property and Equipment (Sched_3
Property and Equipment (Schedule Of Depreciation And Amortization Expense) (Details) - USD ($) | 12 Months Ended | |
Apr. 30, 2019 | Apr. 30, 2018 | |
Property and equipment: | ||
Depreciation and Amortization Expense | $ 1,002,347 | $ 578,244 |
Software Amortization Expense | $ 684,871 | $ 475,178 |
Property and Equipment (Sched_4
Property and Equipment (Schedule of Estimated Amortization Expense of Software) (Details) - USD ($) | Apr. 30, 2019 | Apr. 30, 2018 |
Property, Plant and Equipment [Line Items] | ||
Intangible asset, net | $ 161,930 | $ 138,159 |
Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
2020 | 826,918 | |
2021 | 754,471 | |
2022 | 664,998 | |
2023 | 504,758 | |
Thereafter | 211,860 | |
Intangible asset, net | $ 2,963,005 | $ 1,732,745 |
USU Goodwill and Intangibles (N
USU Goodwill and Intangibles (Narrative) (Details) - USD ($) | 1 Months Ended | 12 Months Ended | ||
Dec. 31, 2017 | Apr. 30, 2019 | Apr. 30, 2018 | Nov. 30, 2017 | |
Business Acquisition [Line Items] | ||||
Goodwill recognized | $ 5,011,432 | $ 5,011,432 | ||
Stock consideration, value | $ 10,215,244 | |||
Closing price used to value stock | $ 8.87 | |||
Educacion Significativa, LLC [Member] | ||||
Business Acquisition [Line Items] | ||||
Total purchase price | $ 14,804,963 | |||
Cash paid for acquisition | 2,500,000 | |||
Working capital adjustment to acquisition purchase price | 110,000 | |||
Additional costs paid by seller included in acquisition purchase price | 200,000 | |||
Goodwill recognized | $ 5,011,432 | |||
Stock consideration | 1,203,209 | |||
Stock consideration, value | $ 10,215,244 | |||
Closing price used to value stock | $ 8.49 | |||
Amortization of intangible assets | $ 1,100,000 | |||
Educacion Significativa, LLC [Member] | Convertible Debt [Member] [Default Label] | ||||
Business Acquisition [Line Items] | ||||
Debt instrument issued | $ 2,000,000 |
USU Goodwill and Intangibles (S
USU Goodwill and Intangibles (Summary of Estimated Fair Value of Assets Acquired and Liabilities Assumed) (Details) - USD ($) | 1 Months Ended | ||
Dec. 31, 2017 | Apr. 30, 2019 | Apr. 30, 2018 | |
Business Acquisition [Line Items] | |||
Goodwill | $ 5,011,432 | $ 5,011,432 | |
Educacion Significativa, LLC [Member] | |||
Business Acquisition [Line Items] | |||
Cash and cash equivalents | |||
Current assets acquired | 244,465 | ||
Other assets acquired | 176,667 | ||
Goodwill | 5,011,432 | ||
Less: Current liabilities assumed | (727,601) | ||
Total purchase price | 14,804,963 | ||
Educacion Significativa, LLC [Member] | Trademarks and Trade Names [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets | 1,700,000 | ||
Educacion Significativa, LLC [Member] | Student Relationships [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets | $ 2,000,000 | ||
Useful Life | 2 years | ||
Educacion Significativa, LLC [Member] | Curriculum [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets | $ 200,000 | ||
Useful Life | 1 year | ||
Educacion Significativa, LLC [Member] | Accreditation and Regulatory Approvals [Member] | |||
Business Acquisition [Line Items] | |||
Intangible assets | $ 6,200,000 |
USU Goodwill and Intangibles _2
USU Goodwill and Intangibles (Schedule of Intangible Assets) (Details) - USD ($) | Apr. 30, 2019 | Apr. 30, 2018 |
Business Acquisition [Line Items] | ||
Intangible assets | $ 8,541,667 | $ 9,641,667 |
Accumulated amortization | (1,558,333) | (458,333) |
Intangible asset, net | 161,930 | 138,159 |
Educacion Significativa, LLC [Member] | ||
Business Acquisition [Line Items] | ||
Intangible assets | 10,100,000 | 10,100,000 |
Accumulated amortization | (1,558,333) | (458,333) |
Intangible asset, net | $ 8,541,667 | $ 9,641,667 |
Courseware and Accreditation (N
Courseware and Accreditation (Narrative) (Details) - Courseware [Member] - USD ($) | 12 Months Ended | |
Apr. 30, 2019 | Apr. 30, 2018 | |
Finite-Lived Intangible Assets [Line Items] | ||
Courseware costs capitalized | $ 34,422 | $ 48,388 |
Amortization Expense | $ 67,751 | $ 55,706 |
Courseware and Accreditation (S
Courseware and Accreditation (Schedule of Courseware, Net) (Details) - USD ($) | Apr. 30, 2019 | Apr. 30, 2018 |
Finite-Lived Intangible Assets [Line Items] | ||
Intangible asset, gross | $ 8,541,667 | $ 9,641,667 |
Accumulated amortization | (1,558,333) | (458,333) |
Intangible asset, net | 161,930 | 138,159 |
Courseware [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible asset, gross | 325,987 | 298,064 |
Accreditation [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible asset, gross | 57,100 | |
Courseware and Accreditation [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Accumulated amortization | (221,157) | (159,905) |
Intangible asset, net | $ 161,930 | $ 138,159 |
Courseware and Accreditation _2
Courseware and Accreditation (Schedule of Estimated Future Amortization Expense) (Details) - USD ($) | Apr. 30, 2019 | Apr. 30, 2018 |
Finite-Lived Intangible Assets [Line Items] | ||
Intangible asset, net | $ 161,930 | $ 138,159 |
Courseware and Accreditation [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
2020 | 63,610 | |
2021 | 36,645 | |
2022 | 28,758 | |
2023 | 23,219 | |
Thereafter | 9,698 | |
Intangible asset, net | $ 161,930 | $ 138,159 |
Secured Note and Accounts Rec_2
Secured Note and Accounts Receivable (Details) - USD ($) | Apr. 29, 2015 | Dec. 31, 2008 | Mar. 31, 2008 | Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2014 | Mar. 13, 2012 | Sep. 16, 2011 |
Related Party Transaction [Line Items] | ||||||||
Courseware sales | $ 34,025,418 | $ 22,021,512 | ||||||
Price per share | $ 1.86 | |||||||
Accounts receivable, secured - related party, net of allowance | $ 45,329 | 45,329 | 45,329 | |||||
Allowance for doubtful accounts, noncurrent accounts receivables | 625,963 | $ 625,963 | $ 625,963 | |||||
Proceeds from issuance of common shares and warrants, net | 101,502 | |||||||
Accounts receivable, before allowance | $ 671,291 | |||||||
Parent Company [Member] | ||||||||
Related Party Transaction [Line Items] | ||||||||
Courseware sales | $ 600,000 | $ 455,000 | ||||||
Series C Preferred Shares pledged by HEMG | 772,793 | |||||||
Series C Preferred Shares pledged by HEMG, converted to common shares | 54,571 | |||||||
Price per share | $ 2.28 | |||||||
Receivable Collateral Valuation Reserve | $ 123,647 |
Accrued Expenses (Details)
Accrued Expenses (Details) - USD ($) | Apr. 30, 2019 | Apr. 30, 2018 |
Payables and Accruals [Abstract] | ||
Accrued compensation | $ 226,805 | $ 202,664 |
Accrued Interest | 135,115 | 79,853 |
Other accrued expenses | 289,498 | 376,337 |
Accrued expenses | $ 651,418 | $ 658,854 |
Convertible Notes and Convert_3
Convertible Notes and Convertible Notes - Related Party (Details) - USD ($) | Dec. 02, 2018 | Dec. 02, 2017 | Feb. 25, 2019 | Feb. 29, 2012 |
2 Year Promissory Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 0.19% | |||
Debt conversion, price per share | $ 12 | |||
Convertible note payable Dated February 29, 2012 [Member] | ||||
Debt Instrument [Line Items] | ||||
Face value of loan | $ 50,000 | |||
Convertible Debt [Member] [Default Label] | ||||
Debt Instrument [Line Items] | ||||
Payment of Principal amount | $ 1,000,000 | $ 1,000,000 | ||
Interest paid | $ 60,000 | $ 80,000 | ||
Convertible Debt [Member] [Default Label] | USU [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 8.00% | |||
Debt conversion, price per share | $ 2 | |||
Face value of loan | $ 2,000,000 | |||
Debt maturity period | 2 years | |||
Conversion of note into common share | $ 1,000,000 |
Convertible Notes and Convert_4
Convertible Notes and Convertible Notes - Related Party (Schedule of Convertible Notes Payable) (Details) - Notes Payable, Other Payables [Member] - USD ($) | 12 Months Ended | |
Apr. 30, 2019 | Apr. 30, 2018 | |
Debt Instrument [Line Items] | ||
Total | $ 50,000 | $ 2,050,000 |
Less: Current maturities | (50,000) | (1,050,000) |
Total | 0 | 1,000,000 |
Convertible note payable - Related Party Dated December 1, 2017 [Member] | ||
Debt Instrument [Line Items] | ||
Total | $ 0 | 2,000,000 |
Interest rate | 8.00% | |
Maturity date | Dec. 1, 2019 | |
Convertible note payable Dated February 29, 2012 [Member] | ||
Debt Instrument [Line Items] | ||
Total | $ 50,000 | $ 50,000 |
Interest rate | 0.19% | |
Maturity date | Feb. 28, 2014 |
Convertible Notes, Senior Sec_2
Convertible Notes, Senior Secured Term Loans and Revolving Credit Facility (Narrative) (Details) - USD ($) | Dec. 02, 2018 | Nov. 08, 2018 | Nov. 05, 2018 | Dec. 02, 2017 | Mar. 31, 2019 | Feb. 25, 2019 | Feb. 25, 2019 | Apr. 30, 2019 | Apr. 30, 2018 | Feb. 28, 2019 | Feb. 29, 2012 |
Debt Instrument [Line Items] | |||||||||||
Equity raise | $ 23,023,000 | ||||||||||
Accrued interest | 135,115 | 79,853 | |||||||||
Senior Secured Loans | $ 7,500,000 | ||||||||||
Convertible Notes Payable [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Convertible debt | $ 1,000,000 | $ 1,000,000 | |||||||||
Repayment of principal amount on convertible debt | $ 1,160,000 | 1,000,000 | |||||||||
Accrued interest | $ 19,068 | 19,068 | |||||||||
Settlement expense | 60,932 | ||||||||||
Senior Secured Loans | $ 10,000,000 | ||||||||||
Revolving Credit Facility [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Upfront payment of facility fee | $ 10,000,000 | ||||||||||
Commitment fee percentage, payable quarterly | 1.00% | ||||||||||
HEMG [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Notes payable | $ 200,000 | ||||||||||
2 Year Promissory Notes [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Interest rate | 0.19% | ||||||||||
Debt conversion, price per share | $ 12 | ||||||||||
Convertible note payable Dated February 29, 2012 [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Face value of loan | $ 50,000 | ||||||||||
Convertible Debt [Member] [Default Label] | USU [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Interest rate | 8.00% | ||||||||||
Debt conversion, price per share | $ 2 | ||||||||||
Face value of loan | $ 2,000,000 | ||||||||||
Debt maturity period | 2 years | ||||||||||
Conversion of note into common share | $ 1,000,000 | ||||||||||
Proceeds from convertible note issued | $ 2,000,000 | ||||||||||
Credit Facility Agreement [Member] | Revolving Credit Facility [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Line of credit, maximum borrowing capacity | $ 5,000,000 | ||||||||||
Interest rate | 12.00% | ||||||||||
Maturity date | Nov. 4, 2021 | ||||||||||
Upfront payment of facility fee | $ 100,000 | ||||||||||
Commitment fee percentage, payable quarterly | 2.00% | ||||||||||
Common stock issuable from warrants | 92,049 | 92,049 | |||||||||
Warrant exercise price | $ 5.85 | $ 5.85 | |||||||||
Warrant term | 5 years | 5 years | |||||||||
Fair value of warrants | $ 255,071 |
Convertible Notes, Senior Sec_3
Convertible Notes, Senior Secured Term Loans and Revolving Credit Facility (Senior Secured Term Loan) (Details) - USD ($) | Mar. 06, 2019 | Apr. 23, 2018 | Dec. 31, 2017 | Jul. 25, 2017 | Apr. 30, 2019 | Apr. 30, 2018 |
Debt Instrument [Line Items] | ||||||
Proceeds from term loan | $ 7,500,000 | |||||
Fair value of warrants issued as part of senior secured loan | 255,071 | |||||
Proceeds from shares issued | 23,023,000 | |||||
Warrants issued as part of senior secured term loans | 360,516 | 478,428 | ||||
Closing costs of senior secured loans | $ (33,693) | |||||
Warrant [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Warrants granted | 342,049 | |||||
Secured Debt [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Repayment of debt | 7,500,000 | |||||
Proceeds from shares issued | $ 23,023,000 | |||||
Secured Debt [Member] | Runway Growth Credit Fund [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt instrument, face amount | $ 10,000,000 | |||||
LIBOR interest rate | 10.00% | |||||
Proceeds from term loan | $ 2,500,000 | $ 5,000,000 | ||||
Debt term | 4 years | |||||
Origination fee | Company paid a 0.25% origination fee on the initial $5 million draw and paid another 0.25% origination fee upon the second $2.5 million draw | |||||
Repayment of debt | $ 7,500,000 | |||||
Closing fees | $ 600,000 | |||||
Secured Debt [Member] | Runway Growth Credit Fund [Member] | Warrant [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Term of award | 5 years | |||||
Warrants granted | 224,174 | |||||
Warrants granted, exercise price | $ 6.87 | |||||
Warrant [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Warrants granted | 398,526 | |||||
Loan Agreements [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt term | 5 years | |||||
Warrants granted, exercise price | $ 6 | |||||
Shares issued for convertible debt | 100,000 | |||||
Loan Agreements [Member] | Leon and Toby Cooperman Family Foundation [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Proceeds from term loan | $ 5,000,000 | |||||
Maturity date | Sep. 6, 2020 | |||||
Interest rate | 12.00% | |||||
Proceeds from shares issued | $ 10,000,000 | |||||
One-time extension fee | 1.00% | |||||
Loan Agreements [Member] | Warrant [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Warrants issued as part of senior secured term loans | $ 360,516 | |||||
Closing costs of senior secured loans | $ 33,693 |
Commitments and Contingencies_2
Commitments and Contingencies (Operating Leases) (Details) | Dec. 05, 2017USD ($) | Feb. 01, 2016USD ($) | Dec. 17, 2018USD ($) | Oct. 31, 2018USD ($) | Oct. 31, 2018CAD ($) | Sep. 18, 2017USD ($) | Apr. 30, 2019USD ($) | Apr. 30, 2019CAD ($) | Apr. 30, 2018USD ($) | Dec. 31, 2019USD ($) |
Operating Leased Assets [Line Items] | ||||||||||
Rent expense | $ 2,278,642 | $ 853,145 | ||||||||
New York, New York [Member] | ||||||||||
Operating Leased Assets [Line Items] | ||||||||||
Monthly rent payments | $ 27,157 | $ 15,505 | ||||||||
Lease term | 5 years | 6 years | ||||||||
Security deposit | $ 21,814 | $ 32,500 | ||||||||
Lease expiration date | Feb. 15, 2019 | |||||||||
Rent expense | $ 325,882 | $ 186,060 | ||||||||
New Brunswick [Member] | ||||||||||
Operating Leased Assets [Line Items] | ||||||||||
Monthly rent payments | $ 10,100 | |||||||||
Lease term | 62 months | 62 months | ||||||||
Lease expiration date | Dec. 31, 2023 | Dec. 31, 2023 | ||||||||
New Brunswick [Member] | CAD [Member] | ||||||||||
Operating Leased Assets [Line Items] | ||||||||||
Monthly rent payments | $ 13,241 | |||||||||
Dieppe, NB, Canada [Member] | ||||||||||
Operating Leased Assets [Line Items] | ||||||||||
Monthly rent payments | $ 3,200 | |||||||||
Lease term | 3 years | 3 years | ||||||||
Dieppe, NB, Canada [Member] | CAD [Member] | ||||||||||
Operating Leased Assets [Line Items] | ||||||||||
Monthly rent payments | $ 4,367 | |||||||||
Lease expiration date | Mar. 31, 2019 | Mar. 31, 2019 | ||||||||
Denver, Colorado [Member] | ||||||||||
Operating Leased Assets [Line Items] | ||||||||||
Monthly rent payments | $ 10,756 | |||||||||
Lease term | 2 years | 2 years | ||||||||
Lease expiration date | Jan. 1, 2017 | Jan. 1, 2017 | ||||||||
Denver, Colorado [Member] | Subsequent Event [Member] | ||||||||||
Operating Leased Assets [Line Items] | ||||||||||
Monthly rent payments | $ 11,028 | |||||||||
Phoenix, Arizona [Member] | ||||||||||
Operating Leased Assets [Line Items] | ||||||||||
Monthly rent payments | $ 66,696 | $ 10,718 | ||||||||
Lease term | 92 months | 64 months | ||||||||
Security deposit | $ 519,271 | |||||||||
Monthly rent annual escalation rate | 2.00% | |||||||||
United States University [Member] | ||||||||||
Operating Leased Assets [Line Items] | ||||||||||
Monthly rent payments | $ 51,270 | |||||||||
Lease term | 10 months | 10 months | ||||||||
Lease expiration date | Jun. 30, 2022 | Jun. 30, 2022 |
Commitments and Contingencies_3
Commitments and Contingencies (Other) (Details) - USD ($) | Oct. 15, 2015 | Feb. 28, 2019 | Apr. 30, 2019 | Dec. 31, 2016 | Sep. 29, 2015 | Feb. 28, 2013 |
Other Commitments [Line Items] | ||||||
Possible estimated loss | $ 2,200,000 | |||||
Letter of credit issued by bank | $ 71,828 | |||||
Letter of Credit [Member] | ||||||
Other Commitments [Line Items] | ||||||
Letter of credit issued by bank | $ 255,708 | |||||
HEMG [Member] | ||||||
Other Commitments [Line Items] | ||||||
Possible estimated loss | $ 2,200,000 | |||||
Proof of claim filed by company against bankruptcy estate | 670,000 | |||||
Amount of default judgment in litigation matter | $ 772,793 | |||||
Principal amount owed to primary claimant in bankruptcy claim | $ 1,200,000 | |||||
Number of AGI common stock remaining as sole asset in bankrutcy claim | 208,000 | |||||
Number of AGI common stock filed in bankruptcy claim by third party | 167,000 | |||||
Damages sought value | $ 200,000 | |||||
Notes payable | $ 200,000 | |||||
USU [Member] | Letter of Credit [Member] | ||||||
Other Commitments [Line Items] | ||||||
Line of credit, maximum borrowing capacity | $ 71,634 |
Commitments and Contingencies_4
Commitments and Contingencies (Schedule of Future Minimum Rental Payments) (Details) | Apr. 30, 2019USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2020 | $ 2,282,260 |
2021 | 2,332,558 |
2022 | 2,264,523 |
2023 | 1,702,609 |
2024 | 1,497,027 |
2025 | 1,134,718 |
2026 | 779,287 |
Total minimum payments required | $ 11,992,982 |
Stockholders' Equity (Preferred
Stockholders' Equity (Preferred Stock, Common Stock and Warrants Narrative) (Details) - USD ($) | Apr. 10, 2019 | Nov. 08, 2018 | Nov. 05, 2018 | Sep. 06, 2018 | Jul. 19, 2018 | Apr. 23, 2018 | Apr. 29, 2015 | Dec. 24, 2018 | Jul. 19, 2018 | Apr. 23, 2018 | Apr. 18, 2018 | Dec. 31, 2017 | Nov. 30, 2017 | Jul. 25, 2017 | May 24, 2017 | Apr. 30, 2019 | Apr. 30, 2018 | Jun. 28, 2019 | Jun. 07, 2019 | Jun. 03, 2019 | Mar. 05, 2019 |
Stockholders Equity [Line Items] | |||||||||||||||||||||
Preferred stock, shares authorized | 1,000,000 | 1,000,000 | |||||||||||||||||||
Percentage of investment amount paid by company | 1.50% | ||||||||||||||||||||
Investment amount paid by company to investors | $ 112,500 | ||||||||||||||||||||
Proceeds from options exercised | $ 246,380 | ||||||||||||||||||||
Common stock, shares issued | 18,665,551 | 18,333,521 | |||||||||||||||||||
Common stock issued for acquisition | $ 10,215,244 | ||||||||||||||||||||
Closing price used to value stock | $ 8.87 | ||||||||||||||||||||
Restricted stock issued to consultants, shares | 5,000 | ||||||||||||||||||||
Restricted stock issued to consultants, value | $ 88,700 | ||||||||||||||||||||
Shares issued for services rendered | 88,699 | ||||||||||||||||||||
Proceeds from issuance of common stock | $ 101,502 | ||||||||||||||||||||
Shares issued price per share | $ 7.15 | $ 7.15 | |||||||||||||||||||
Common stock issued in equity raise | $ 23,023,000 | 23,023,000 | |||||||||||||||||||
Common stock issued in equity raise, shares | 3,220,000 | 420,000 | 2,800,000 | ||||||||||||||||||
Cost of stock issuance | $ 2,200,000 | ||||||||||||||||||||
Payment of origination fees | $ 29,832 | $ 2,215,730 | |||||||||||||||||||
Compensation cost of unvested shares yet to be recognized, period of recognition | 2 years 6 months | ||||||||||||||||||||
Market price of company stock | $ 1.86 | ||||||||||||||||||||
Per share price | $ 0.001 | $ 0.001 | |||||||||||||||||||
Investor [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Restricted shares granted, value | $ 122,250 | ||||||||||||||||||||
Restricted shares granted | 25,000 | ||||||||||||||||||||
Senior Loans [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Shares granted | 200,000 | ||||||||||||||||||||
Secured Debt [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Issuance of common shares for cash, shares | 3,220,000 | ||||||||||||||||||||
Shares issued price per share | $ 7.15 | ||||||||||||||||||||
Secured Debt [Member] | Runway Growth Credit Fund [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Debt term | 4 years | ||||||||||||||||||||
Revolving Credit Facility [Member] | Credit Facility Agreement [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Fair value of warrants outstanding | $ 255,071 | ||||||||||||||||||||
Exercise price of warrants | $ 5.85 | $ 5.85 | |||||||||||||||||||
Common stock issuable from warrants | 92,049 | 92,049 | |||||||||||||||||||
Warrant term | 5 years | 5 years | |||||||||||||||||||
CFO [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Term of award | 33 months | ||||||||||||||||||||
Compensation cost of unvested shares yet to be recognized, period of recognition | 5 years | ||||||||||||||||||||
Director [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Term of award | 36 months | ||||||||||||||||||||
Board [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Shares granted | 50,000 | ||||||||||||||||||||
Former Director [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Common stock, shares issued | 9,806 | ||||||||||||||||||||
Chairman and Chief Executive Officer [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Common stock, shares issued | 9,597 | ||||||||||||||||||||
Compensation cost of unvested shares yet to be recognized, period of recognition | 5 years | ||||||||||||||||||||
Warrant Transaction One [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Stock issued during period from exercise of warrants | 111,666 | 171,962 | |||||||||||||||||||
Warrant Transaction Two [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Stock issued during period from exercise of warrants | 119,594 | 87,775 | |||||||||||||||||||
Proceeds from exercise of warrants | $ 218,323 | $ 246,380 | |||||||||||||||||||
Warrant Transaction Three [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Stock issued during period from exercise of warrants | 56,910 | 136,563 | |||||||||||||||||||
Proceeds from exercise of warrants | $ 128,201 | $ 475,825 | |||||||||||||||||||
Warrant Transaction Four [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Stock issued during period from exercise of warrants | 43,860 | ||||||||||||||||||||
Proceeds from exercise of warrants | $ 100,000 | ||||||||||||||||||||
Restricted Stock [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Award vesting period | 36 months | ||||||||||||||||||||
Compensation cost of unvested shares yet to be recognized | $ 340,000 | ||||||||||||||||||||
Restricted shares granted, value | $ 24,672 | ||||||||||||||||||||
Shares granted | 24,672 | ||||||||||||||||||||
Vesting period | The restricted shares shall vest in three equal annual increments on December 24, 2019, December 24, 2020 and December 24, 2021. | ||||||||||||||||||||
Shares vesting during period | 10,556 | ||||||||||||||||||||
Nonvested shares outstanding | 64,116 | ||||||||||||||||||||
Restricted Stock [Member] | Investor [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Shares issued price per share | $ 4.89 | ||||||||||||||||||||
Number of shares vested | 5,000 | ||||||||||||||||||||
Restricted Stock [Member] | CFO [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Restricted shares granted | 25,000 | ||||||||||||||||||||
Award vesting period | 36 months | ||||||||||||||||||||
Compensation cost of unvested shares yet to be recognized | $ 180,000 | ||||||||||||||||||||
Compensation cost of unvested shares yet to be recognized, period of recognition | 36 months | ||||||||||||||||||||
Market price of company stock | $ 7.15 | ||||||||||||||||||||
Restricted Stock [Member] | Director [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Officers compensation | $ 35,000 | ||||||||||||||||||||
Warrant [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Warrants granted | 342,049 | ||||||||||||||||||||
Warrant [Member] | Secured Debt [Member] | Runway Growth Credit Fund [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Warrants granted | 224,174 | ||||||||||||||||||||
Warrants granted, exercise price | $ 6.87 | ||||||||||||||||||||
Term of award | 5 years | ||||||||||||||||||||
Educacion Significativa, LLC [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Stock consideration | 1,203,209 | ||||||||||||||||||||
Common stock issued for acquisition | $ 10,215,244 | ||||||||||||||||||||
Closing price used to value stock | $ 8.49 | ||||||||||||||||||||
Common Stock [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Common stock issued from exercise of stock options | 56,910 | 136,563 | |||||||||||||||||||
Common stock, shares issued | 259,737 | ||||||||||||||||||||
Stock consideration | 1,203,209 | ||||||||||||||||||||
Common stock issued for acquisition | $ 1,203 | ||||||||||||||||||||
Shares issued for services rendered | $ 10 | ||||||||||||||||||||
Shares issued for services rendered, shares | 10,000 | ||||||||||||||||||||
Proceeds from issuance of common stock | $ 455,387 | ||||||||||||||||||||
Shares issued price per share | $ 7.40 | $ 7.40 | |||||||||||||||||||
Common stock issued in equity raise | $ 3,220 | ||||||||||||||||||||
Common stock issued in equity raise, shares | 3,220,000 | ||||||||||||||||||||
Treasury stock repurchased | 1,000,000 | 1,000,000 | |||||||||||||||||||
Per share price | $ 7.40 | $ 7.40 | |||||||||||||||||||
Stock issuance costs paid by third parties | $ 30,000 | ||||||||||||||||||||
Common Stock [Member] | Warrant Transaction Four [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Stock issued during period from exercise of warrants | 43,860 | ||||||||||||||||||||
Common Stock [Member] | Maximum [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Preferred stock, shares authorized | 250,000,000 | ||||||||||||||||||||
Common Stock [Member] | Minimum [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Preferred stock, shares authorized | 40,000,000 | ||||||||||||||||||||
Preferred Stock [Member] | Maximum [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Preferred stock, shares authorized | 1,000,000 | ||||||||||||||||||||
Preferred Stock [Member] | Minimum [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Preferred stock, shares authorized | 1,000,000 | ||||||||||||||||||||
Warrant [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Common stock issued from exercise of stock options | 262,183 | ||||||||||||||||||||
Common stock, shares issued | 119,594 | ||||||||||||||||||||
Warrants granted | 398,526 | ||||||||||||||||||||
Proceeds from exercise of warrants | $ 100,000 | ||||||||||||||||||||
Issuance of common shares for cash | $ 43,860 | ||||||||||||||||||||
Warrant [Member] | Cashless Exercise of Stock Options [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Common stock issued from exercise of stock options | 218,323 | ||||||||||||||||||||
Warrant [Member] | Former Director [Member] | |||||||||||||||||||||
Stockholders Equity [Line Items] | |||||||||||||||||||||
Common stock, shares issued | 21,930 |
Stockholders' Equity (Stock Opt
Stockholders' Equity (Stock Options Narrative) (Details) - USD ($) | May 13, 2019 | Dec. 13, 2018 | Sep. 06, 2018 | Jul. 19, 2018 | Apr. 05, 2018 | Feb. 12, 2018 | Jan. 04, 2018 | Aug. 21, 2017 | Jun. 11, 2017 | May 13, 2017 | Apr. 29, 2015 | Jun. 18, 2019 | Apr. 30, 2019 | Dec. 24, 2018 | Jan. 17, 2018 | May 31, 2017 | Apr. 30, 2019 | Apr. 30, 2019 | Apr. 30, 2018 | Mar. 13, 2012 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Unrecognized compensation cost | $ 1,917,367 | $ 1,917,367 | $ 1,917,367 | |||||||||||||||||
Weighted average recognition period | 2 years 6 months | |||||||||||||||||||
Proceeds from issuance of stock | $ 101,502 | |||||||||||||||||||
Stock-based compensation | $ 1,190,385 | $ 642,566 | ||||||||||||||||||
Employee Stock Option [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Stock-based compensation | $ 1,190,384 | |||||||||||||||||||
Restricted Stock [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Equity Incentive Plan, available shares remaining for issuance | 24,672 | |||||||||||||||||||
Vesting period | 36 months | |||||||||||||||||||
Common Stock [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Share issued | 113,597 | |||||||||||||||||||
Proceeds from issuance of stock | $ 455,387 | |||||||||||||||||||
Common stock issued for stock options exercised for cash, shares | 56,910 | 136,563 | ||||||||||||||||||
Share issued in exercise of stock options | 56,910 | 136,563 | ||||||||||||||||||
Stock-based compensation | ||||||||||||||||||||
2012 Equity Incentive Plan [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Equity Incentive Plan, shares authorized | 500,000 | 3,500,000 | ||||||||||||||||||
Equity Incentive Plan, available shares remaining for issuance | 322,712 | 322,712 | 322,712 | |||||||||||||||||
Shares remaining available for future issuance | 8,000 | 8,000 | 8,000 | |||||||||||||||||
Employees [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Options granted | 19,000 | 31,000 | 52,250 | 74,000 | 5,500 | |||||||||||||||
Options granted, exercise price | $ 7.31 | $ 7.31 | $ 5.95 | $ 8.57 | ||||||||||||||||
Fair value of stock options granted | $ 33,250 | $ 54,250 | $ 89,348 | $ 149,480 | ||||||||||||||||
Employees [Member] | Maximum [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Options granted, exercise price | $ 5.10 | |||||||||||||||||||
Employees [Member] | Minimum [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Options granted, exercise price | $ 4.95 | |||||||||||||||||||
Board of directors [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Options granted | 560,000 | 180,000 | ||||||||||||||||||
Options granted, exercise price | $ 9.07 | |||||||||||||||||||
Weighted average grant-date fair value of stock options granted | $ 2.56 | |||||||||||||||||||
Weighted average recognition period | 5 years | |||||||||||||||||||
Fair value of stock options granted | $ 1,433,600 | $ 421,200 | ||||||||||||||||||
CAO [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Options granted | 180,000 | 30,000 | 70,000 | |||||||||||||||||
Options granted, exercise price | $ 7.55 | $ 6.28 | ||||||||||||||||||
Vesting period | 3 years | |||||||||||||||||||
Weighted average recognition period | 5 years | 5 years | ||||||||||||||||||
Fair value of stock options granted | $ 54,000 | $ 98,700 | ||||||||||||||||||
COO [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Options granted | 180,000 | 200,000 | ||||||||||||||||||
Options granted, exercise price | $ 7.55 | |||||||||||||||||||
Weighted average recognition period | 5 years | |||||||||||||||||||
Fair value of stock options granted | $ 282,000 | |||||||||||||||||||
CFO [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Options granted | 180,000 | 30,000 | ||||||||||||||||||
Weighted average recognition period | 5 years | |||||||||||||||||||
Fair value of stock options granted | $ 71,500 | $ 42,300 | ||||||||||||||||||
Options term | 33 months | |||||||||||||||||||
CFO [Member] | Restricted Stock [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Vesting period | 36 months | |||||||||||||||||||
Weighted average recognition period | 36 months | |||||||||||||||||||
Restricted shares granted | 25,000 | |||||||||||||||||||
Chairman and Chief Executive Officer [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Options granted | 200,000 | 200,000 | ||||||||||||||||||
Options granted, exercise price | $ 7.55 | |||||||||||||||||||
Weighted average recognition period | 5 years | |||||||||||||||||||
Fair value of stock options granted | $ 282,000 | |||||||||||||||||||
Executive officers [Member] | 2012 Equity Incentive Plan [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Options granted | 500,000 | |||||||||||||||||||
Options granted, exercise price | $ 4.90 | |||||||||||||||||||
Vesting period | 3 years | |||||||||||||||||||
Weighted average recognition period | 5 years | |||||||||||||||||||
61 Employee [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Options granted | 67,000 | |||||||||||||||||||
Weighted average grant-date fair value of stock options granted | $ 5.20 | |||||||||||||||||||
Fair value of stock options granted | $ 136,000 | |||||||||||||||||||
Options term | 36 months | |||||||||||||||||||
Three Directors [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Options granted | 61,667 | |||||||||||||||||||
Weighted average grant-date fair value of stock options granted | $ 5.1445 | |||||||||||||||||||
Director One[Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Options granted | 41,667 | |||||||||||||||||||
Weighted average grant-date fair value of stock options granted | $ 5.1445 | |||||||||||||||||||
Two Other Director [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Options granted | 10,000 | |||||||||||||||||||
Weighted average grant-date fair value of stock options granted | $ 5.1445 | |||||||||||||||||||
Director [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Fair value of stock options granted | $ 123,000 | |||||||||||||||||||
Options term | 36 months | |||||||||||||||||||
44 Employee [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Options granted | 65,750 | |||||||||||||||||||
Weighted average grant-date fair value of stock options granted | $ 4.56 | |||||||||||||||||||
Fair value of stock options granted | $ 117,000 | |||||||||||||||||||
Chief Accounting Officer [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Options granted | 50,000 | |||||||||||||||||||
Weighted average recognition period | 5 years | |||||||||||||||||||
Fair value of stock options granted | $ 257,400 | |||||||||||||||||||
Options term | 33 months | |||||||||||||||||||
Former Directors One [Member] | Subsequent Event [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Options granted | 10,000 | |||||||||||||||||||
Weighted average grant-date fair value of stock options granted | $ 4.12 | |||||||||||||||||||
Former Directors One [Member] | Restricted Stock [Member] | Subsequent Event [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Restricted shares granted | 5,131 | |||||||||||||||||||
Former Directors Two [Member] | Subsequent Event [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Options granted | 10,000 | |||||||||||||||||||
Weighted average grant-date fair value of stock options granted | $ 4.12 | |||||||||||||||||||
Former Directors Two [Member] | Restricted Stock [Member] | Subsequent Event [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Restricted shares granted | 15,000 | |||||||||||||||||||
Former Directors Three [Member] | Subsequent Event [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Options granted | 10,000 | |||||||||||||||||||
Weighted average grant-date fair value of stock options granted | $ 4.12 | |||||||||||||||||||
Former Directors Three [Member] | Restricted Stock [Member] | Subsequent Event [Member] | ||||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||||||||||
Restricted shares granted | 10,000 |
Stockholders' Equity (Schedule
Stockholders' Equity (Schedule of Warrants) (Details) - Warrant [Member] - USD ($) | 12 Months Ended | |
Apr. 30, 2019 | Apr. 30, 2018 | |
Number of Shares | ||
Balance Outstanding, April 30, 2018 | 651,286 | |
Granted | 342,049 | |
Exercised | (262,183) | |
Surrendered | ||
Expired | ||
Balance Outstanding, April 30, 2019 | 731,152 | 651,286 |
Exercisable, April 30, 2019 | 681,152 | |
Weighted Average Exercise Price | ||
Balance Outstanding, April 30, 2018 | $ 3.80 | |
Granted | 5.80 | |
Exercised | ||
Surrendered | ||
Expired | ||
Balance Outstanding, April 30, 2019 | 5.28 | $ 3.80 |
Exercisable, April 30, 2019 | $ 5.31 | |
Weighted Average Remaining Contractual Term | ||
Granted | 4 years 9 months 11 days | |
Balance Outstanding, April 30, 2019 | 3 years 3 months 15 days | 2 years 4 months 24 days |
Exercisable, April 30, 2019 | 3 years 2 months 1 day | |
Aggregate Intrinsic Value | ||
Balance Outstanding, April 30, 2018 | $ 2,581,450 | |
Balance Outstanding, April 30, 2019 | 413,296 | $ 2,581,450 |
Exercisable, April 30, 2019 | $ 413,296 |
Stockholders' Equity (Schedul_2
Stockholders' Equity (Schedule of All Warrants and Exercisable Warrants) (Details) | 12 Months Ended |
Apr. 30, 2019$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
ALL WARRANTS, Outstanding No. of Warrants | shares | 3,409,154 |
EXERCISABLE WARRANTS, Exercisable No. of Warrants | shares | 2,244,861 |
Warrant [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
ALL WARRANTS, Outstanding No. of Warrants | shares | 731,152 |
EXERCISABLE WARRANTS, Exercisable No. of Warrants | shares | 681,152 |
Warrant [Member] | $2.28 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
ALL WARRANTS, Exercise Price Upper Range | $ 2.28 |
ALL WARRANTS, Weighted Average Exercise Price | $ 2.28 |
ALL WARRANTS, Outstanding No. of Warrants | shares | 164,929 |
EXERCISABLE WARRANTS, Weighted Average Exercise Price | $ 2.28 |
EXERCISABLE WARRANTS, Weighted Average Remaining Life In Years | 3 months 15 days |
EXERCISABLE WARRANTS, Exercisable No. of Warrants | shares | 164,929 |
Warrant [Member] | $4.89 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
ALL WARRANTS, Exercise Price Upper Range | $ 4.89 |
ALL WARRANTS, Weighted Average Exercise Price | $ 4.89 |
ALL WARRANTS, Outstanding No. of Warrants | shares | 50,000 |
EXERCISABLE WARRANTS, Weighted Average Exercise Price | $ 4.89 |
EXERCISABLE WARRANTS, Weighted Average Remaining Life In Years | 4 years 11 months 12 days |
EXERCISABLE WARRANTS, Exercisable No. of Warrants | shares | |
Warrant [Member] | $5.85 to $6.00 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
ALL WARRANTS, Exercise Price Lower Range | $ 5.85 |
ALL WARRANTS, Exercise Price Upper Range | 6 |
ALL WARRANTS, Weighted Average Exercise Price | $ 5.95 |
ALL WARRANTS, Outstanding No. of Warrants | shares | 292,049 |
EXERCISABLE WARRANTS, Weighted Average Remaining Life In Years | 4 years 9 months |
EXERCISABLE WARRANTS, Exercisable No. of Warrants | shares | 292,049 |
Warrant [Member] | $5.85 to $6.00 [Member] | Minimum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
EXERCISABLE WARRANTS, Weighted Average Exercise Price | $ 5.85 |
Warrant [Member] | $5.85 to $6.00 [Member] | Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
EXERCISABLE WARRANTS, Weighted Average Exercise Price | 6 |
Warrant [Member] | $6.87 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
ALL WARRANTS, Exercise Price Upper Range | 6.87 |
ALL WARRANTS, Weighted Average Exercise Price | $ 6.87 |
ALL WARRANTS, Outstanding No. of Warrants | shares | 224,174 |
EXERCISABLE WARRANTS, Weighted Average Exercise Price | $ 6.87 |
EXERCISABLE WARRANTS, Weighted Average Remaining Life In Years | 3 years 2 months 27 days |
EXERCISABLE WARRANTS, Exercisable No. of Warrants | shares | 224,174 |
Stockholders' Equity (Schedul_3
Stockholders' Equity (Schedule of Assumptions Used to Value Stock Options) (Details) - Stock Incentive Plan and Stock Option Grants to Employees and Directors [Member] | 12 Months Ended | |
Apr. 30, 2019 | Apr. 30, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected life (years) | 3 years 6 months | |
Expected volatility | 50.10% | |
Expected volatility, minimum | 40.00% | |
Expected volatility, maximum | 43.00% | |
Risk-free interest rate | 2.63% | 0.38% |
Dividend yield | 0.00% | 0.00% |
Expected forfeiture rate | ||
Minimum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected life (years) | 4 years | |
Maximum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected life (years) | 5 years |
Stockholders' Equity (Schedul_4
Stockholders' Equity (Schedule of Stock Options Activity) (Details) | 12 Months Ended |
Apr. 30, 2019USD ($)$ / sharesshares | |
Number of Shares | |
Balance Outstanding, April 30, 2018 | |
Balance Outstanding, April 30, 2019 | 3,409,154 |
Exercisable, April 30, 2019 | 2,244,861 |
Stock Incentive Plan and Stock Option Grants to Employees and Directors [Member] | |
Number of Shares | |
Balance Outstanding, April 30, 2018 | 2,980,010 |
Granted | 1,006,542 |
Exercised | (251,186) |
Forfeited | (326,212) |
Expired | |
Balance Outstanding, April 30, 2019 | 3,409,154 |
Exercisable, April 30, 2019 | 2,244,861 |
Weighted Average Exercise Price | |
Balance Outstanding, April 30, 2018 | $ / shares | $ 3.62 |
Granted | $ / shares | 6.88 |
Exercised | $ / shares | 2.30 |
Forfeited | $ / shares | 6.47 |
Expired | $ / shares | |
Balance Outstanding, April 30, 2019 | $ / shares | 4.44 |
Exercisable, April 30, 2019 | $ / shares | $ 3.35 |
Weighted Average Remaining Contractual Term | |
Balance Outstanding, April 30, 2018 | 3 years 1 month 24 days |
Balance Outstanding, April 30, 2019 | 2 years 10 months 25 days |
Exercisable, April 30, 2019 | 2 years 3 months 22 days |
Aggregate Intrinsic Value | |
Balance Outstanding, April 30, 2018 | $ | $ 16,558,373 |
Granted | $ | |
Forfeited | $ | |
Balance Outstanding, April 30, 2019 | $ | 6,880,644 |
Exercisable, April 30, 2019 | $ | $ 6,868,206 |
Stockholders' Equity (Schedul_5
Stockholders' Equity (Schedule of All Options and Exercisable Options) (Details) | 12 Months Ended |
Apr. 30, 2019$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
ALL OPTIONS, Outstanding No. of Options | shares | 3,409,154 |
EXERCISABLE OPTIONS, Exercisable No. of Options | shares | 2,244,861 |
$1.57 to $2.10 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
ALL OPTIONS, Exercise Price Lower Range | $ 1.57 |
ALL OPTIONS, Exercise Price Upper Range | 2.10 |
ALL OPTIONS, Weighted Average Exercise Price | $ 1.96 |
ALL OPTIONS, Outstanding No. of Options | shares | 919,390 |
EXERCISABLE OPTIONS, Weighted Average Exercise Price | $ 1.96 |
EXERCISABLE OPTIONS, Weighted Average Remaining Life In Years | 2 years 22 days |
EXERCISABLE OPTIONS, Exercisable No. of Options | shares | 919,390 |
$2.28 to $2.76 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
ALL OPTIONS, Exercise Price Lower Range | $ 2.28 |
ALL OPTIONS, Exercise Price Upper Range | 2.76 |
ALL OPTIONS, Weighted Average Exercise Price | $ 2.32 |
ALL OPTIONS, Outstanding No. of Options | shares | 471,081 |
EXERCISABLE OPTIONS, Weighted Average Exercise Price | $ 2.32 |
EXERCISABLE OPTIONS, Weighted Average Remaining Life In Years | 1 year 5 months 5 days |
EXERCISABLE OPTIONS, Exercisable No. of Options | shares | 471,081 |
$3.24 to $4.38 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
ALL OPTIONS, Exercise Price Lower Range | $ 3.24 |
ALL OPTIONS, Exercise Price Upper Range | 4.38 |
ALL OPTIONS, Weighted Average Exercise Price | $ 4.20 |
ALL OPTIONS, Outstanding No. of Options | shares | 333,224 |
EXERCISABLE OPTIONS, Weighted Average Exercise Price | $ 3.86 |
EXERCISABLE OPTIONS, Weighted Average Remaining Life In Years | 2 years 4 months 20 days |
EXERCISABLE OPTIONS, Exercisable No. of Options | shares | 261,834 |
$4.50 to $5.20 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
ALL OPTIONS, Exercise Price Lower Range | $ 4.50 |
ALL OPTIONS, Exercise Price Upper Range | 5.20 |
ALL OPTIONS, Weighted Average Exercise Price | $ 4.96 |
ALL OPTIONS, Outstanding No. of Options | shares | 718,292 |
EXERCISABLE OPTIONS, Weighted Average Exercise Price | $ 4.90 |
EXERCISABLE OPTIONS, Weighted Average Remaining Life In Years | 3 years 15 days |
EXERCISABLE OPTIONS, Exercisable No. of Options | shares | 336,833 |
$5.95 to $6.28 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
ALL OPTIONS, Exercise Price Lower Range | $ 5.95 |
ALL OPTIONS, Exercise Price Upper Range | 6.28 |
ALL OPTIONS, Weighted Average Exercise Price | $ 6.07 |
ALL OPTIONS, Outstanding No. of Options | shares | 80,417 |
EXERCISABLE OPTIONS, Weighted Average Exercise Price | $ 6.13 |
EXERCISABLE OPTIONS, Weighted Average Remaining Life In Years | 3 years 2 months 5 days |
EXERCISABLE OPTIONS, Exercisable No. of Options | shares | 36,806 |
$7.17 to $7.55 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
ALL OPTIONS, Exercise Price Lower Range | $ 7.17 |
ALL OPTIONS, Exercise Price Upper Range | 7.55 |
ALL OPTIONS, Weighted Average Exercise Price | $ 7.39 |
ALL OPTIONS, Outstanding No. of Options | shares | 662,417 |
EXERCISABLE OPTIONS, Weighted Average Exercise Price | $ 7.51 |
EXERCISABLE OPTIONS, Weighted Average Remaining Life In Years | 4 years 2 months 1 day |
EXERCISABLE OPTIONS, Exercisable No. of Options | shares | 144,139 |
$8.57 to $9.07 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
ALL OPTIONS, Exercise Price Lower Range | $ 8.57 |
ALL OPTIONS, Exercise Price Upper Range | 9.07 |
ALL OPTIONS, Weighted Average Exercise Price | $ 8.97 |
ALL OPTIONS, Outstanding No. of Options | shares | 224,333 |
EXERCISABLE OPTIONS, Weighted Average Exercise Price | $ 8.97 |
EXERCISABLE OPTIONS, Weighted Average Remaining Life In Years | 3 years 8 months 9 days |
EXERCISABLE OPTIONS, Exercisable No. of Options | shares | 74,778 |
Related party (Narrative) (Deta
Related party (Narrative) (Details) - $ / shares | Apr. 30, 2019 | Jul. 19, 2018 | Apr. 30, 2018 | Apr. 23, 2018 |
Related Party Transaction [Line Items] | ||||
Per share price | $ 0.001 | $ 0.001 | ||
Sale of common stock per share price | $ 7.15 | |||
Common Stock [Member] | ||||
Related Party Transaction [Line Items] | ||||
Treasury stock repurchased | 1,000,000 | |||
Per share price | $ 7.40 | |||
Sale of common stock per share price | $ 7.40 |
Revenue (Narrative) (Details)
Revenue (Narrative) (Details) - USD ($) | 12 Months Ended | |
Apr. 30, 2019 | Apr. 30, 2018 | |
Disaggregation of Revenue [Line Items] | ||
Deferred revenue | $ 2,456,865 | $ 1,814,136 |
Refunds due students | $ 1,174,501 | $ 815,841 |
Sales Revenue, Net [Member] | Non-US [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Percentage of revenues from students outside the United States | 1.62% | 2.30% |
Revenue (Schedule of Disaggrega
Revenue (Schedule of Disaggregated Revenue) (Details) - USD ($) | 12 Months Ended | |
Apr. 30, 2019 | Apr. 30, 2018 | |
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 34,025,418 | $ 22,021,512 |
Tuition [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 31,032,677 | 20,765,165 |
Course Fees [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 2,488,232 | 884,739 |
Book Fees [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 106,819 | 82,788 |
Exam Fees [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 189,090 | 140,500 |
Service Fees [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 208,600 | $ 148,320 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) | 12 Months Ended | |
Apr. 30, 2019 | Apr. 30, 2018 | |
Operating Loss Carryforwards [Line Items] | ||
Net change in the valuation allowance | $ 2,213,279 | $ (1,633,907) |
Net operating loss carryforwards | $ 37,500,000 | |
Earliest Tax Year [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforwards, expiration | Dec. 31, 2033 | |
Years under examination | 2015 | |
Latest Tax Year [Member] | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carryforwards, expiration | Dec. 31, 2038 | |
Years under examination | 2018 |
Income Taxes (Schedule of Incom
Income Taxes (Schedule of Income Tax Expense (Benefit)) (Details) - USD ($) | 12 Months Ended | |
Apr. 30, 2019 | Apr. 30, 2018 | |
Current: | ||
Federal | ||
State | ||
Total Current Income tax expense (benefit) | ||
Deferred: | ||
Federal | ||
State | ||
Total Deferred Income tax expense (benefit) | ||
Total Income tax expense (benefit) |
Income Taxes (Schedule of Defer
Income Taxes (Schedule of Defered Income Tax Assets and Liabilities) (Details) - USD ($) | Apr. 30, 2019 | Apr. 30, 2018 | Apr. 30, 2017 |
Deferred tax assets: | |||
Net operating loss carryforward | $ 9,033,235 | $ 7,163,547 | |
Allowance for doubtful accounts (recovery) | 181,774 | 105,122 | |
Deferred rent | 180,154 | 20,574 | |
Stock-based compensation | 954,586 | 687,067 | |
Contributions carryforward | 60 | 60 | |
Total deferred tax assets | 10,349,809 | 7,976,370 | |
Deferred tax liabilities: | |||
Property and equipment | (234,336) | (132,042) | |
Intangibles | (64,439) | (6,573) | |
Total deferred tax liabilities | (298,775) | (138,615) | |
Deferred tax assets, net | 10,051,034 | 7,837,755 | |
Valuation allowance: | |||
Valuation allowance | (10,051,034) | (7,837,755) | $ (9,471,662) |
Net deferred tax asset |
Income Taxes (Deferred Tax Asse
Income Taxes (Deferred Tax Asset Valuation Allowance Rollforward) (Details) - USD ($) | 12 Months Ended | |
Apr. 30, 2019 | Apr. 30, 2018 | |
Income Tax Disclosure [Abstract] | ||
Valuation allowance, beginning of year | $ (7,837,755) | $ (9,471,662) |
Decrease (increase) during period | (2,213,279) | 1,633,907 |
Valuation allowance, ending balance | $ (10,051,034) | $ (7,837,755) |
Income Taxes (Schedule of Inc_2
Income Taxes (Schedule of Income Tax Reconciliation) (Details) | 12 Months Ended | |
Apr. 30, 2019 | Apr. 30, 2018 | |
Income Tax Disclosure [Abstract] | ||
Statutory U.S. federal income tax rate | 21.00% | 34.00% |
State income taxes, net of federal tax benefit | 3.60% | 3.00% |
Other | (0.80%) | (0.90%) |
Effect of change in federal tax rates | 0.00% | (13.00%) |
Change in valuation allowance | (23.80%) | (23.10%) |
Effective income tax rate | 0.00% | 0.00% |
Concentrations (Details)
Concentrations (Details) - USD ($) | Apr. 30, 2019 | Apr. 30, 2018 |
Risks and Uncertainties [Abstract] | ||
Amount of cash balance uninsured by FDIC | $ 9,359,208 | $ 14,422,499 |
Fair Value Measurements - War_3
Fair Value Measurements - Warrant Derivative Liability (Narrative) (Details) | Apr. 30, 2018shares |
Warrants With Price Protection [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Number of warrants containing price protection | 62,500 |
Fair Value Measurements - War_4
Fair Value Measurements - Warrant Derivative Liability (Measured On A Recurring Basis) (Details) - Fair Value, Measurements, Recurring [Member] | Apr. 30, 2017USD ($) |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Warrant Derivative Liability | $ 52,500 |
Fair Value, Inputs, Level 1 [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Warrant Derivative Liability | |
Fair Value, Inputs, Level 2 [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Warrant Derivative Liability | |
Fair Value, Inputs, Level 3 [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Warrant Derivative Liability | $ 52,500 |
Fair Value Measurements - War_5
Fair Value Measurements - Warrant Derivative Liability (Activity in Level 3) (Details) | 12 Months Ended |
Apr. 30, 2018USD ($) | |
Fair Value Disclosures [Abstract] | |
Balance Begnning | $ 52,500 |
Gain on extinguishment of warrant liability | (52,500) |
Balance Ending |
Subsequent Events (Details)
Subsequent Events (Details) - shares | Jun. 28, 2019 | Apr. 30, 2019 | Apr. 30, 2018 |
Subsequent Event [Line Items] | |||
Common stock, shares authorized | 40,000,000 | 40,000,000 | |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 | |
Subsequent Event [Member] | |||
Subsequent Event [Line Items] | |||
Common stock, shares authorized | 40,000,000 | ||
Preferred stock, shares authorized | 1,000,000 |