Atossa Therapeutics (ATOS) 10-Q 6 Aug 15 2015 Q2 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Aug. 06, 2015
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2015
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q2
Entity Registrant Name	ATOSSA GENETICS INC
Entity Central Index Key	1,488,039
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Trading Symbol	ATOS
Entity Common Stock, Shares Outstanding		29,046,260

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Current assets
Cash and cash equivalents	$ 11,402,935	$ 8,500,718
Accounts receivable, net	2,012,153	297,958
Prepaid expenses	239,092	247,207
Inventory, net	101,339	39,788
Total current assets	13,755,519	9,085,671
Furniture and equipment, net	360,206	357,532
Intangible assets, net	1,822,328	1,920,645
Deferred financing costs	570,500	351,961
Other assets	52,647	48,193
Total assets	16,561,200	11,764,002
Current liabilities
Accounts payable	580,541	594,357
Accrued expenses	1,900,284	444,861
Payroll liabilities	840,228	1,056,705
Short-term lease obligations	72,338	76,025
Other current liabilities	20,272	42,228
Total current liabilities	3,413,663	2,214,176
Deferred rent, net of current portion	10,019	2,483
Long-term lease obligations	12,531	49,216
Total liabilities	$ 3,436,213	$ 2,265,875
Commitments and contingencies (note 13)
Stockholders' equity
Preferred stock - $.001 par value; 10,000,000 shares authorized, 0 shares issued and outstanding	$ 0	$ 0
Common stock - $.001 par value; 75,000,000 shares authorized, 29,046,260 and 24,564,058 shares issued and outstanding	29,046	24,564
Additional paid-in capital	54,751,098	44,648,103
Accumulated deficit	(41,655,157)	(35,174,540)
Total stockholders' equity	13,124,987	9,498,127
Total liabilities and stockholders' equity	$ 16,561,200	$ 11,764,002

CONDENSED CONSOLIDATED BALANCE3

CONDENSED CONSOLIDATED BALANCE SHEETS [Parenthetical] - $ / shares	Jun. 30, 2015	Dec. 31, 2014
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, authorized	75,000,000	75,000,000
Common stock, shares issued	29,046,260	24,564,058
Common stock, shares outstanding	29,046,260	24,564,058

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Net revenue	$ 2,694,157	$ 9,875	$ 4,567,425	$ 33,999
Cost of revenue	1,854,711	0	3,062,665	0
Gross profit	839,446	9,875	1,504,760	33,999
Operating expenses:
Selling	732,061	223,385	1,278,915	461,223
Research and development	510,458	510,767	1,307,683	933,270
General and administrative	2,790,872	2,462,256	5,395,983	4,236,964
Total operating expenses	4,033,391	3,196,408	7,982,581	5,631,457
Operating loss	(3,193,945)	(3,186,533)	(6,477,821)	(5,597,458)
Other income (expense)	48,619	(1,443)	(2,796)	(2,049)
Loss before income taxes	(3,145,326)	(3,187,976)	(6,480,617)	(5,599,507)
Income taxes	0	0	0	0
Net loss	$ (3,145,326)	$ (3,187,976)	$ (6,480,617)	$ (5,599,507)
Loss per common share - basic and diluted (in dollars per share)	$ (0.11)	$ (0.13)	$ (0.25)	$ (0.24)
Weighted average shares outstanding, basic & diluted	27,686,202	24,430,346	25,805,293	23,515,576

CONSOLIDATED STATEMENT OF STOCK

CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY - 6 months ended Jun. 30, 2015 - USD ($)	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Deficit [Member]
Balance at Dec. 31, 2014	$ 9,498,127	$ 24,564	$ 44,648,103	$ (35,174,540)
Balance (in shares) at Dec. 31, 2014		24,564,058
Issuance of common shares for cash	5,964,451	$ 4,107	5,960,344	0
Issuance of common shares for cash (in shares)		4,107,202
Deferred financing costs net of amortization	218,539	$ 375	218,164	0
Deferred financing costs net of amortization (in shares)		375,000
Financing fees from the public offering	(577,790)	$ 0	(577,790)	0
Issuance of prefunded warrants	4,116,537	0	4,116,537	0
Compensation cost for stock options granted to executives and employees	385,740	0	385,740	0
Net loss	(6,480,617)	0	0	(6,480,617)
Balance at Jun. 30, 2015	$ 13,124,987	$ 29,046	$ 54,751,098	$ (41,655,157)
Balance (in shares) at Jun. 30, 2015		29,046,260

CONDENSED CONSOLIDATED STATEME6

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss	$ (6,480,617)	$ (5,599,507)
Compensation cost for stock options granted	385,740	397,715
Depreciation and amortization	170,775	252,924
Loss on disposal of intangible assets	6,533	0
Bad debt expense	562,694	64,759
Changes in operating assets and liabilities:
Accounts receivable	(2,276,889)	26,158
Inventory	(61,551)	(1,910)
Prepaid expenses	8,115	(129,719)
Other assets	(4,454)	(24,863)
Accounts payable	(13,816)	542,042
Payroll liabilities	(216,477)	32,169
Deferred rent	8,736	(26,785)
Accrued expenses	1,415,051	(172,836)
Product recall liabilities	0	(199,465)
Other current liabilities	(23,156)	(19,027)
Net cash used in operating activities	(6,519,316)	(4,858,345)
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of furniture and equipment	(66,112)	(20,629)
Purchase of intangible assets	(15,553)	(170,441)
Net cash used in investing activities	(81,665)	(191,070)
CASH FLOWS FROM FINANCING ACTIVITIES
Net proceeds from issuance of common stock and warrants	9,503,198	13,005,745
Net cash provided by financing activities	9,503,198	13,005,745
NET INCREASE IN CASH AND CASH EQUIVALENTS	2,902,217	7,956,330
CASH AND CASH EQUIVALENTS, BEGINNING BALANCE	8,500,718	6,342,161
CASH AND CASH EQUIVALENTS, ENDING BALANCE	11,402,935	14,298,491
SUPPLEMENTAL DISCLOSURES:
Interest paid	3,311	2,192
NONCASH INVESTING AND FINANCING ACTIVITIES:
Noncash reclassification of prepaid license fees	0	15,000
Amortization of commitment shares	$ 392,711	$ 0

NATURE OF OPERATIONS

NATURE OF OPERATIONS	6 Months Ended
	Jun. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of Operations [Text Block]	NOTE 1: NATURE OF OPERATIONS Atossa Genetics Inc. (the “Company”) was incorporated on April 30, 2009 in the State of Delaware. The Company’s operations began in December 2008 with the negotiations for the acquisition of the Mammary Aspirate Specimen Cytology Test System, or the MASCT System, patent rights and assignments and the FDA clearance for marketing, which acquisition was completed in January 2009. The Company was formed to develop and market the MASCT System, which is a medical device that collects specimens of nipple aspirate fluid (NAF). The Company’s fiscal year ends on December 31st. In December 2011, the Company established The National Reference Laboratory for Breast Health, Inc., the NRLBH, as Since its inception, the Company has been dependent upon the receipt of capital investment to fund its continuing activities. In addition to the normal risks associated with a new business venture, there can be no assurance that the Company’s business plan will be successfully executed. The Company’s ability to execute its business plan will depend on its ability to obtain additional financing and achieve a profitable level of operations. There can be no assurance that sufficient financing will be obtained. Further, the Company cannot give any assurance that it will generate substantial revenue or that its business operations will prove to be profitable.

GOING CONCERN

GOING CONCERN	6 Months Ended
	Jun. 30, 2015
Substantial Doubt About Going Concern [Abstract]
Going Concern Disclosure [Text Block]	NOTE 2: GOING CONCERN The Company’s consolidated financial statements are prepared using generally accepted accounting principles in the United States of America (“GAAP”) applicable to a going concern, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The Company has incurred net losses and negative operating cash flows since inception. For the six months ended June 30, 2015, the Company recorded a net loss of approximately $ 6.5 6.5 11.4 10.3 Management’s Plan to Continue as a Going Concern In order to continue as a going concern, the Company will need, among other things, additional capital resources. Management’s plans to obtain such resources for the Company include (1) obtaining capital from the sale of its equity securities during 2015, (2) sales of the ForeCYTE and FullCYTE Breast Aspirators and laboratory service revenue in 2015, and (3) short-term borrowings from the banks, stockholders or related party(ies), if needed. However, management cannot provide any assurance that the Company will be successful in accomplishing any of its plans. The ability of the Company to continue as a going concern is dependent upon its ability to successfully accomplish the plans described in the preceding paragraph and eventually to secure other sources of financing and attain profitable operations.

SUMMARY OF ACCOUNTING POLICIES

SUMMARY OF ACCOUNTING POLICIES	6 Months Ended
	Jun. 30, 2015
Accounting Policies [Abstract]
Significant Accounting Policies [Text Block]	NOTE 3: SUMMARY OF ACCOUNTING POLICIES The accompanying condensed consolidated financial statements have been prepared pursuant to the rules of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures, normally included in annual financial statements prepared in accordance with U.S. generally accepted accounting principles (“GAAP”), have been condensed or omitted pursuant to those rules and regulations. The Company believes disclosures made are adequate to make the information presented not misleading. In the opinion of management, all adjustments which consist only of normal recurring adjustments necessary to fairly state the financial position, results The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reporting period. Actual results could differ from those estimates. The Company recognizes product and service revenue in accordance with GAAP when the following overall fundamental criteria are met: (i) persuasive evidence of an arrangement exists, (ii) delivery has occurred or the service has been performed, (iii) the Company’s price to the customer is fixed or determinable, and Service Revenue Diagnostic testing revenue is recognized upon completion of the test, communication of results to the patient’s physician, and when collectability is reasonably assured. Patient requisition forms and/or contracts are generally used to determine the existence of an arrangement. Services are provided to self-pay patients or patients covered by various commercial insurance plans and Medicare programs. Revenue for services under insurance plans are recognized net of allowances for contractual discounts and allowances for differences between the amounts we bill and expected payment amounts. The Company records revenue for diagnostic testing on an accrual basis based on the amount expected to be collected based on historical benefit allowed for Medicare and non-Medicare payors. The assumptions used to determine the expected benefits allowed are reasonable considering known facts and circumstances and may change as we develop more history. If the actual amount received from the payors or patients are different than the original accrual amount, revenue is subsequently adjusted. In May 2014, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers: Topic 606 In August, 2014, FASB issued ASU 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern.

PREPAID EXPENSES

PREPAID EXPENSES	6 Months Ended
	Jun. 30, 2015
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Prepaid Expenses [Text Block]	NOTE 4: PREPAID EXPENSES June 30, December 31, 2015 2014 Prepaid insurance 119,886 87,633 Retainer and security deposits 39,821 25,000 Prepaid hardware and software 32,691 38,268 Lab supplies 7,499 14,976 Tradeshow and other marketing events - 50,000 Other 39,195 31,330 Total prepaid expenses $ 239,092 $ 247,207

FURNITURE AND EQUIPMENT

FURNITURE AND EQUIPMENT	6 Months Ended
	Jun. 30, 2015
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment Disclosure [Text Block]	NOTE 5: FURNITURE AND EQUIPMENT June 30, December 31, 2015 2014 Machinery and equipment $ 586,100 $ 522,813 Leasehold improvements 96,491 93,665 Furniture and equipment 682,591 616,478 Less: Accumulated depreciation (322,385) (258,946) Total furniture and equipment $ 360,206 $ 357,532 Depreciation and amortization expense for the three months ended June 30, 2015 and 2014 was $ 32,844 19,864 63,438 41,035

INTANGIBLE ASSETS

INTANGIBLE ASSETS	6 Months Ended
	Jun. 30, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Intangible Assets Disclosure [Text Block]	NOTE 6: INTANGIBLE ASSET S June 30, December 31, 2015 2014 Patents $ 1,630,000 $ 1,630,000 Capitalized license costs 200,000 200,000 Software 203,890 203,038 Intangible assets 2,033,890 2,033,038 Less: Accumulated amortization (211,562) (112,393) Total intangible assets, net $ 1,822,328 $ 1,920,645 Intangible assets amounted to $ 1,822,328 1,920,645 3 11,018 9,466 22,829 18,227 Patents amounted to $ 1,630,000 7 12 37,254 93,498 74,508 186,995 Capitalized license costs consist of fees paid to A5 Genetics KFT, Corporation, pursuant to which the Company received the world-wide (other than the European Union) exclusive license to use the software in the NextCYTE test. Amortization expense related to license costs was $ 5,000 4,999 10,000 6,667 For the Year Ending December 31, Amounts 2015 (includes the remainder of the year) $ 107,030 2016 227,130 2017 198,628 2018 169,934 2019 169,015 Thereafter 950,591 $ 1,822,328

PAYROLL LIABILITIES

PAYROLL LIABILITIES	6 Months Ended
	Jun. 30, 2015
Payables and Accruals [Abstract]
Accounts Payable and Accrued Liabilities Disclosure [Text Block]	NOTE 7: PAYROLL LIABILITIES: Payroll liabilities consisted of the following: June 30, December 31, 2015 2014 Accrued bonus payable $ 459,592 $ 752,828 Accrued payroll liabilities 169,854 109,653 Accrued payroll tax liabilities 210,782 194,224 Total payroll liabilities $ 840,228 $ 1,056,705

ACCRUED EXPENSES

ACCRUED EXPENSES	6 Months Ended
	Jun. 30, 2015
Payables and Accruals [Abstract]
Accounts Payable and Accrued Liabilities Disclosure [Text Block]	NOTE 8: ACCRUED EXPENSES: June 30, December 31, 2015 2014 Accrued commissions $ 1,502,759 $ 174,398 Accrued expenses 279,030 254,126 Accrued royalties 118,495 16,337 Total accrued expenses $ 1,900,284 $ 444,861

STOCKHOLDERS' EQUITY

STOCKHOLDERS' EQUITY	6 Months Ended
	Jun. 30, 2015
Stockholders' Equity Note [Abstract]
Stockholders' Equity Note Disclosure [Text Block]	NOTE 9: STOCKHOLDERS’ EQUITY The Company is authorized to issue a total of 85,000,000 75,000,000 0.001 10,000,000 0.001 750,000 0.001 On May 19, 2014, the Company adopted a stockholder rights agreement which provided that all stockholders of record on May 26, 2014 received a non-taxable distribution of one preferred stock purchase right for each share of the Company’s common stock held by such stockholder. Each right is attached to and trades with the associated share of common stock. The rights will become exercisable only if one of the following occurs: (1) a person becomes an “Acquiring Person” by acquiring beneficial ownership of 15 2.0 15.00 30.00 2014 Public Offering of Common Stock and Warrants On January 29, 2014, the Company closed a public offering of 5,834,234 2.40 14.0 3.00 6.00 Placement Agent Fees In connection with the 2014 Public Offering, the Company paid Dawson James Securities, Inc. (the “Placement Agent”), a cash fee equal to 7 980,151 175,027 3 3.00 980,151 121,707 Warrants The 2014 Warrants are exercisable at any time commencing after January 29, 2014. Subject to the call right described above, the 2014 Warrants shall expire and no longer be exercisable on November 29, 2018. The 2014 Warrants cannot be exercised on a cashless basis. There are no redemption features embodied in the 2014 Warrants and they have met the conditions provided in current GAAP accounting standards for equity classification. 2015 Issuance of Additional Shares to Aspire During the first quarter of 2015, we sold a total of 2,653,199 4,292,349 2015 Offering of Common Stock and Pre-Funded Warrants In June 2015, the Company entered into a Placement Agent Agreement with Roth Capital Partners, LLC. and Dawson James Securities, Inc. (the “2015 Placement Agents”), pursuant to which the Company issued and sold an aggregate of 1,454,003 1.15 3,610,997 1.14 5.2 577,790 0.01 Placement Agent and Other Fees In connection with the 2015 Offering, the Company paid the 2015 Placement Agents a cash fee of $ 463,091 57,886 , and incurred legal fees of $ 114,699 Outstanding Warrants Outstanding Warrants to Exercise Purchase Shares Price Expiration Date 2011 private placement 4,252,050 $ 1.25 - 1.60 June 23, 2016 Acueity warrants 325,000 5.00 September 30, 2017 2014 public offering 1,166,849 3.00 January 29, 2019 2015 offering prefunded warrants 3,610,997 0.01 Perpetual Placement agent fees for Company’s offerings 242,027 2.12 – 12.43 March - November, 2018 Outside consulting 47,500 $ 4.24 January 14, 2018 9,644,423

NET LOSS PER SHARE

NET LOSS PER SHARE	6 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Earnings Per Share [Text Block]	NOTE 10: NET LOSS PER SHARE The Company accounts for and discloses net loss per common share in accordance with FASB Accounting Standards Codification (“ASC”) Topic 260, Earnings per Share The following table sets forth the number of potential common shares excluded from the calculation of net loss per diluted share for the three and six months ended June 30, 2015 and 2014 because the effect of them would be anti-dilutive since the Company recorded net losses for both periods: Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Options to purchase common stock 4,312,409 3,610,152 4,312,409 3,610,152 Warrants to purchase common stock 9,644,423 6,033,426 9,644,423 6,033,426 13,956,832 9,643,578 13,956,832 9,643,578

INCOME TAXES

INCOME TAXES	6 Months Ended
	Jun. 30, 2015
Income Tax Disclosure [Abstract]
Income Tax Disclosure [Text Block]	NOTE 11: INCOME TAXES Deferred income tax assets and liabilities are recognized for the estimated future tax consequences attributable to differences between the financial reporting and tax bases of assets and liabilities and are measured using enacted tax rates in effect for the year in which those temporary differences are expected to be recovered or settled. A valuation allowance is provided for the amount of deferred tax assets that, based on available evidence, are not expected to be realized. As a result of the Company’s cumulative losses, management has concluded that a full valuation allowance against the Company’s net deferred tax assets is appropriate. No income tax liabilities existed as of June 30, 2015 and December 31, 2014 due to the Company’s continuing operating losses.

CONCENTRATION OF CREDIT RISK

CONCENTRATION OF CREDIT RISK	6 Months Ended
	Jun. 30, 2015
Risks and Uncertainties [Abstract]
Concentration Risk Disclosure [Text Block]	NOTE 12: CONCENTRATION OF CREDIT RISK Financial instruments that potentially subject the Company to concentration of credit risk consist principally of cash deposits. Accounts at each institution are insured by the Federal Deposit Insurance Corporation (“FDIC”) up to $ 250,000 11,152,935 8,250,718

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	6 Months Ended
	Jun. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies Disclosure [Text Block]	NOTE 13: COMMITMENTS AND CONTINGENCIES Affymetrix Purchase Commitment In September 1, 2013, in connection with the development of the NextCYTE test by the NRLBH, the NRLBH entered into an “OwnerChip Program Agreement” with Affymetrix, Inc. (“Affymetrix”), a manufacturer of GeneChip Systems, where Affymetrix has agreed to loan a GeneChip System 3000Dx v.2 (“instrument”) to the Company if it purchases and takes delivery of a minimum thirty GeneChip Human Genome U133 Plus 2.0 (30-pack) arrays at $ 21,590 647,700 of the three-year 206,702 a two-year service 51,600 94,723 142,005 Year Ending December 31, Amount 2015 $ 35,645 2016 49,224 Total minimum lease payments $ 84,869 A5 Software Development Commitment On June 10, 2013, the Company entered into an irrevocable license and service agreement with A5 Genetics KFT, Corporation (“A5 Genetics”), pursuant to which the Company received the worldwide 100,000 100,000 1.2 50 65 Luminex Reagent Rental Agreement and Assay License Agreement On September 2, 2014, in connection with the development of a pharmacogenomics test by the NRLBH, the NRLBH entered into a three-year rental agreement with Luminex Corporation (Luminex), which provides that the NRLBH acquires the right to use Luminex instruments, including accessories, peripherals and options (the “System”) at no cost if the NRLBH purchases goods (the “Products”) at agreed upon quantities and prices for the next three years. The minimum purchases of Products under the agreement are $ 452,408 Targeted Medical Education (TME) Master Service Agreement On September 1, 2014, the NRLBH entered into a three year agreement with TME Research LLC (TME) which requires TME to provide to the NRLBH 100 tissue specimens in connection with the development of the NextCYTE test. Fees payable to TME under the agreement includes $99,600 up front, $31,500 upon supplying the first 25 specimens and $31,500 at the time of final delivery of all specimens. The agreement is terminable with 60 days prior written notice or immediately upon a material breach. 162,600 Besins Healthcare Luxembourg SARL Agreement On May 14, 2015, the Company entered into an Intellectual Property License Agreement with Besins Healthcare Luxembourg SARL (“Besins”). The agreement The agreement 8 9 5,000,000 20,000,000 The agreement automatically expires on a country-by-country basis fifteen years after the first commercial sale of Afimoxifene Gel in the particular country. The Agreement may be terminated (i) by either party upon a material breach of the agreement that is not cured by the breaching party, (ii) by mutual agreement of the parties, (iii) by the Company at its discretion if it elects to stop developing or commercializing Afimoxifene Gel, (iv) by Besins on a country-by-country basis or indication-by-indication basis if the Company fails to commercialize or commence commercial sales within a specified time, or (v) by Besins if Atossa fails to accomplish any aspect of the development plan within six months of target date set forth in the development plan. The development plan covers an 18-month period and is required to be updated by the Company every six months during the term of the agreement Litigation and Contingencies On October 10, 2013, a putative securities class action complaint, captioned Cook v. Atossa Genetics, Inc., et al., No. 2:13-cv-01836-RSM, was filed in the United States District Court for the Western District of Washington against us, certain of the Company’s directors and officers and the underwriters of the Company’s November 2012 initial public offering. The complaint alleges that all defendants violated Sections 11 and 12(a)(2), and that the Company and certain of its directors and officers violated Section 15, of the Securities Act by making material false and misleading statements and omissions in the offering’s registration statement, and that we and certain of our directors and officers violated Sections 10(b) and 20A of the Exchange Act and SEC Rule 10b-5 promulgated thereunder by making false and misleading statements and omissions in the registration statement and in certain of the Company’s subsequent press releases and SEC filings with respect to its NAF specimen collection process, its ForeCYTE Breast Health Test and its MASCT device. This action seeks, on behalf of persons who purchased the Company’s common stock between November 8, 2012 and October 4, 2013, inclusive, damages of an unspecific amount. On February 14, 2014, the Court appointed plaintiffs Miko Levi, Bandar Almosa and Gregory Harrison (collectively, the “Levi Group”) as lead plaintiffs, and approved their selection of co-lead counsel and liaison counsel. The Court also amended the caption of the case to read In re Atossa Genetics, Inc. Securities Litigation On May 18, 2015, Plaintiffs filed The Company believes this lawsuit is without merit and plans to defend itself vigorously; however, failure by the Company to obtain a favorable resolution of the claims set forth in the complaint could have a material adverse effect on the Company’s business, results of operations and financial condition. Currently, the amount of such material adverse effect cannot be reasonably estimated, and no provision or liability has been recorded for these claims as of June 30, 2015. The costs associated with defending and resolving the lawsuit and ultimate outcome cannot be predicted. These matters .

STOCK BASED COMPENSATION

STOCK BASED COMPENSATION	6 Months Ended
	Jun. 30, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	NOTE 14: STOCK BASED COMPENSATION Stock Options and Incentive Plan : On September 28, 2010, the Board of Directors approved the adoption of the 2010 Stock Option and Incentive Plan, or the 2010 Plan, to provide for the grant of equity-based awards to employees, officers, non-employee directors and other key persons providing services to the Company. Awards of incentive options may be granted under the 2010 Plan until September 2020. No other awards may be granted under the 2010 Plan after the date that is 10 years from the date of stockholder approval. An aggregate of 1,000,000 Number of January 1, shares 2012 450,275 2013 516,774 2014 742,973 2015 983,362 Total additional shares 2,693,384 The Company granted options to purchase 845,822 666,466 Compensation costs associated with the Company’s stock options are recognized, based on the grant-date fair values of these options, over the requisite service period, or vesting period. Accordingly, the Company recognized stock based compensation expense of $ 205,112 385,740 167,534 397,715 Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Selling expenses $ 13,100 $ 25,911 $ 45,399 $ 41,837 Research and development expenses 24,820 10,139 43,790 14,766 General and administrative expenses 167,192 131,484 296,551 341,112 $ 205,112 $ 167,534 $ 385,740 $ 397,715 Executives & Employees Officers January – Date of Grant January – June 2015 June 2015 Fair value of common stock on date of grant $ 1.19 – 1.59 $ 1.21 – 1.59 Exercise price of the options $ 1.40 – 1.88 $ 1.44 – 1.88 Expected life of the options (years) 6.03 – 6.13 6.06 – 6.11 Dividend yield 0.00 % 0.00 % Expected volatility 110.8 – 115.0 % 111.3 – 113.5 % Risk-free interest rate 1.64 – 1.79 % 1.72 – 1.74 % Expected forfeiture per year (%) 10.00 % 10.00 % Weighted average fair value of the options per unit $ 1.50 $ 1.46 Weighted- Average Weighted- Contractual Average Life Number of Exercise Remaining Underlying Price Per in Aggregate Shares Share Years Intrinsic Value Outstanding as of January 1, 2015 3,675,634 $ 2.86 $ 344,000 Granted 1,145,822 1.71 - Forfeited (509,047) 2.06 63,223 Exercised - - - Outstanding as of June 30, 2015 4,312,409 2.65 8.03 $ 39,400 Exercisable as of June 30, 2015 1,734,948 3.89 6.37 $ - Vested and expected to vest (1) 3,929,771 $ 2.74 7.90 $ 33,255 (1) vested shares and unvested shares after a forfeiture rate is applied As of June 30, 2015, there were 2,577,461 2,057,210 over a weighted average 3.16

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	6 Months Ended
	Jun. 30, 2015
Subsequent Events [Abstract]
Subsequent Events [Text Block]	NOTE 15: SUBSEQUENT EVENTS All subsequent events requiring recognition as of June 30, 2015 have been incorporated into these consolidated financial statements and there are no subsequent events that require disclosure in accordance with FASB ASC Topic 855, “Subsequent Events.”

SUMMARY OF ACCOUNTING POLICIES

SUMMARY OF ACCOUNTING POLICIES (Policies)	6 Months Ended
	Jun. 30, 2015
Accounting Policies [Abstract]
Basis of Accounting, Policy [Policy Text Block]	Basis of Presentation: The accompanying condensed consolidated financial statements have been prepared pursuant to the rules of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures, normally included in annual financial statements prepared in accordance with U.S. generally accepted accounting principles (“GAAP”), have been condensed or omitted pursuant to those rules and regulations. The Company believes disclosures made are adequate to make the information presented not misleading. In the opinion of management, all adjustments which consist only of normal recurring adjustments necessary to fairly state the financial position, results
Use of Estimates, Policy [Policy Text Block]	Use of Estimates: The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reporting period. Actual results could differ from those estimates.
Revenue Recognition, Policy [Policy Text Block]	Revenue Recognition The Company recognizes product and service revenue in accordance with GAAP when the following overall fundamental criteria are met: (i) persuasive evidence of an arrangement exists, (ii) delivery has occurred or the service has been performed, (iii) the Company’s price to the customer is fixed or determinable, and Service Revenue Diagnostic testing revenue is recognized upon completion of the test, communication of results to the patient’s physician, and when collectability is reasonably assured. Patient requisition forms and/or contracts are generally used to determine the existence of an arrangement. Services are provided to self-pay patients or patients covered by various commercial insurance plans and Medicare programs. Revenue for services under insurance plans are recognized net of allowances for contractual discounts and allowances for differences between the amounts we bill and expected payment amounts. The Company records revenue for diagnostic testing on an accrual basis based on the amount expected to be collected based on historical benefit allowed for Medicare and non-Medicare payors. The assumptions used to determine the expected benefits allowed are reasonable considering known facts and circumstances and may change as we develop more history. If the actual amount received from the payors or patients are different than the original accrual amount, revenue is subsequently adjusted.
New Accounting Pronouncements, Policy [Policy Text Block]	Recently Issued Accounting Pronouncements: In May 2014, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers: Topic 606 In August, 2014, FASB issued ASU 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern.

PREPAID EXPENSES (Tables)

PREPAID EXPENSES (Tables)	6 Months Ended
	Jun. 30, 2015
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Table Text Block]	Prepaid expenses consisted of the following: June 30, December 31, 2015 2014 Prepaid insurance 119,886 87,633 Retainer and security deposits 39,821 25,000 Prepaid hardware and software 32,691 38,268 Lab supplies 7,499 14,976 Tradeshow and other marketing events - 50,000 Other 39,195 31,330 Total prepaid expenses $ 239,092 $ 247,207

FURNITURE AND EQUIPMENT (Tables

FURNITURE AND EQUIPMENT (Tables)	6 Months Ended
	Jun. 30, 2015
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment [Table Text Block]	Furniture and equipment consisted of the following: June 30, December 31, 2015 2014 Machinery and equipment $ 586,100 $ 522,813 Leasehold improvements 96,491 93,665 Furniture and equipment 682,591 616,478 Less: Accumulated depreciation (322,385) (258,946) Total furniture and equipment $ 360,206 $ 357,532

INTANGIBLE ASSETS (Tables)

INTANGIBLE ASSETS (Tables)	6 Months Ended
	Jun. 30, 2015
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Intangible Assets and Goodwill [Table Text Block]	Intangible assets consisted of the following: June 30, December 31, 2015 2014 Patents $ 1,630,000 $ 1,630,000 Capitalized license costs 200,000 200,000 Software 203,890 203,038 Intangible assets 2,033,890 2,033,038 Less: Accumulated amortization (211,562) (112,393) Total intangible assets, net $ 1,822,328 $ 1,920,645
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block]	Future estimated amortization expenses as of June 30, 2015 for the five succeeding years are as follows: For the Year Ending December 31, Amounts 2015 (includes the remainder of the year) $ 107,030 2016 227,130 2017 198,628 2018 169,934 2019 169,015 Thereafter 950,591 $ 1,822,328

PAYROLL LIABILITIES (Tables)

PAYROLL LIABILITIES (Tables)	6 Months Ended
	Jun. 30, 2015
Payables and Accruals [Abstract]
Schedule of Accrued Liabilities [Table Text Block]	Payroll liabilities consisted of the following: June 30, December 31, 2015 2014 Accrued bonus payable $ 459,592 $ 752,828 Accrued payroll liabilities 169,854 109,653 Accrued payroll tax liabilities 210,782 194,224 Total payroll liabilities $ 840,228 $ 1,056,705

ACCRUED EXPENSES (Tables)

ACCRUED EXPENSES (Tables)	6 Months Ended
	Jun. 30, 2015
Payables and Accruals [Abstract]
Schedule of Accounts Payable and Accrued Liabilities [Table Text Block]	Accrued expenses consisted of the following: June 30, December 31, 2015 2014 Accrued commissions $ 1,502,759 $ 174,398 Accrued expenses 279,030 254,126 Accrued royalties 118,495 16,337 Total accrued expenses $ 1,900,284 $ 444,861

STOCKHOLDERS' EQUITY (Tables)

STOCKHOLDERS' EQUITY (Tables)	6 Months Ended
	Jun. 30, 2015
Stockholders' Equity Note [Abstract]
Schedule of Stockholders' Equity Note, Warrants or Rights [Table Text Block]	As of June 30, 2015, warrants to purchase 9,644,423 shares of common stock are outstanding including: Outstanding Warrants to Exercise Purchase Shares Price Expiration Date 2011 private placement 4,252,050 $ 1.25 - 1.60 June 23, 2016 Acueity warrants 325,000 5.00 September 30, 2017 2014 public offering 1,166,849 3.00 January 29, 2019 2015 offering prefunded warrants 3,610,997 0.01 Perpetual Placement agent fees for Company’s offerings 242,027 2.12 – 12.43 March - November, 2018 Outside consulting 47,500 $ 4.24 January 14, 2018 9,644,423

NET LOSS PER SHARE (Tables)

NET LOSS PER SHARE (Tables)	6 Months Ended
	Jun. 30, 2015
Earnings Per Share [Abstract]
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block]	The following table sets forth the number of potential common shares excluded from the calculation of net loss per diluted share for the three and six months ended June 30, 2015 and 2014 because the effect of them would be anti-dilutive since the Company recorded net losses for both periods: Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Options to purchase common stock 4,312,409 3,610,152 4,312,409 3,610,152 Warrants to purchase common stock 9,644,423 6,033,426 9,644,423 6,033,426 13,956,832 9,643,578 13,956,832 9,643,578

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	6 Months Ended
	Jun. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Operating Leases of Lessee Disclosure [Table Text Block]	The future minimum payments for the Affymetrix capital lease are as follows: Year Ending December 31, Amount 2015 $ 35,645 2016 49,224 Total minimum lease payments $ 84,869

STOCK BASED COMPENSATION (Table

STOCK BASED COMPENSATION (Tables)	6 Months Ended
	Jun. 30, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award [Table Text Block]	Number of January 1, shares 2012 450,275 2013 516,774 2014 742,973 2015 983,362 Total additional shares 2,693,384
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block]	Stock-based compensation expense was included in the following captions in the condensed consolidated statements of operations for the periods shown: Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Selling expenses $ 13,100 $ 25,911 $ 45,399 $ 41,837 Research and development expenses 24,820 10,139 43,790 14,766 General and administrative expenses 167,192 131,484 296,551 341,112 $ 205,112 $ 167,534 $ 385,740 $ 397,715
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]	The following table presents information concerning stock option grants for the six months ended June 30, 2015: Executives & Employees Officers January – Date of Grant January – June 2015 June 2015 Fair value of common stock on date of grant $ 1.19 – 1.59 $ 1.21 – 1.59 Exercise price of the options $ 1.40 – 1.88 $ 1.44 – 1.88 Expected life of the options (years) 6.03 – 6.13 6.06 – 6.11 Dividend yield 0.00 % 0.00 % Expected volatility 110.8 – 115.0 % 111.3 – 113.5 % Risk-free interest rate 1.64 – 1.79 % 1.72 – 1.74 % Expected forfeiture per year (%) 10.00 % 10.00 % Weighted average fair value of the options per unit $ 1.50 $ 1.46
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block]	Options issued and outstanding as of June 30, 2015 and their activities during the six months then ended are as follows: Weighted- Average Weighted- Contractual Average Life Number of Exercise Remaining Underlying Price Per in Aggregate Shares Share Years Intrinsic Value Outstanding as of January 1, 2015 3,675,634 $ 2.86 $ 344,000 Granted 1,145,822 1.71 - Forfeited (509,047) 2.06 63,223 Exercised - - - Outstanding as of June 30, 2015 4,312,409 2.65 8.03 $ 39,400 Exercisable as of June 30, 2015 1,734,948 3.89 6.37 $ - Vested and expected to vest (1) 3,929,771 $ 2.74 7.90 $ 33,255 (1) vested shares and unvested shares after a forfeiture rate is applied

GOING CONCERN (Details Textual)

GOING CONCERN (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014	Dec. 31, 2013
Net Income (Loss) Attributable to Parent	$ 3,145,326	$ 3,187,976	$ 6,480,617	$ 5,599,507
Cash and Cash Equivalents, at Carrying Value, Total	11,402,935	$ 14,298,491	11,402,935	14,298,491	$ 8,500,718	$ 6,342,161
Working Capital	$ 10,300,000		10,300,000
Net Cash Provided by (Used in) Operating Activities, Continuing Operations			$ (6,519,316)	$ (4,858,345)

PREPAID EXPENSES (Details)

PREPAID EXPENSES (Details) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Deferred Costs, Capitalized, Prepaid, and Other Assets [Line Items]
Prepaid insurance	$ 119,886	$ 87,633
Retainer and security deposits	39,821	25,000
Prepaid hardware and software	32,691	38,268
Lab supplies	7,499	14,976
Tradeshow and other marketing events	0	50,000
Other	39,195	31,330
Total prepaid expenses	$ 239,092	$ 247,207

FURNITURE AND EQUIPMENT (Detail

FURNITURE AND EQUIPMENT (Details) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Property, Plant and Equipment [Line Items]
Machinery and equipment	$ 586,100	$ 522,813
Leasehold improvements	96,491	93,665
Furniture and equipment	682,591	616,478
Less: Accumulated depreciation	(322,385)	(258,946)
Total furniture and equipment	$ 360,206	$ 357,532

FURNITURE AND EQUIPMENT (Deta35

FURNITURE AND EQUIPMENT (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Property, Plant and Equipment [Line Items]
Depreciation and amortization expense			$ 170,775	$ 252,924
Property, Plant and Equipment [Member]
Property, Plant and Equipment [Line Items]
Depreciation and amortization expense	$ 32,844	$ 19,864	$ 63,438	$ 41,035

INTANGIBLE ASSETS (Details)

INTANGIBLE ASSETS (Details) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Finite-Lived Intangible Assets [Line Items]
Patents	$ 1,630,000	$ 1,630,000
Capitalized license costs	200,000	200,000
Software	203,890	203,038
Intangible assets	2,033,890	2,033,038
Less: Accumulated amortization	(211,562)	(112,393)
Total intangible assets, net	$ 1,822,328	$ 1,920,645

INTANGIBLE ASSETS (Details 1)

INTANGIBLE ASSETS (Details 1) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Finite-Lived Intangible Assets [Line Items]
2015 (includes the remainder of the year)	$ 107,030
2,016	227,130
2,017	198,628
2,018	169,934
2,019	169,015
Thereafter	950,591
Intangible assets, net	$ 1,822,328	$ 1,920,645

INTANGIBLE ASSETS (Details Text

INTANGIBLE ASSETS (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Assets, Net, Total	$ 1,822,328		$ 1,822,328		$ 1,920,645
Finite-Lived Patents, Gross	1,630,000		1,630,000		$ 1,630,000
Computer Software, Intangible Asset [Member]
Finite-Lived Intangible Assets [Line Items]
Amortization of Intangible Assets	11,018	$ 9,466	$ 22,829	$ 18,227
Finite-Lived Intangible Asset, Useful Life			3 years
Patents [Member]
Finite-Lived Intangible Assets [Line Items]
Amortization of Intangible Assets	37,254	93,498	$ 74,508	186,995
Patents [Member] | Minimum [Member]
Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Asset, Useful Life			7 years
Patents [Member] | Maximum [Member]
Finite-Lived Intangible Assets [Line Items]
Finite-Lived Intangible Asset, Useful Life			12 years
Software License Arrangement [Member]
Finite-Lived Intangible Assets [Line Items]
Amortization of Intangible Assets	$ 5,000	$ 4,999	$ 10,000	$ 6,667

PAYROLL LIABILITIES (Details)

PAYROLL LIABILITIES (Details) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Payroll Liabilities [Line Items]
Accrued bonus payable	$ 459,592	$ 752,828
Accrued payroll liabilities	169,854	109,653
Accrued payroll tax liabilities	210,782	194,224
Total payroll liabilities	$ 840,228	$ 1,056,705

ACCRUED EXPENSES (Details)

ACCRUED EXPENSES (Details) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Accounts Payable And Accrued Liabilities [Line Items]
Accrued commissions	$ 1,502,759	$ 174,398
Accrued expenses	279,030	254,126
Accrued royalties	118,495	16,337
Total accrued expenses	$ 1,900,284	$ 444,861

STOCKHOLDERS' EQUITY (Details)

STOCKHOLDERS' EQUITY (Details) - $ / shares	6 Months Ended
	Jun. 30, 2015	May. 19, 2014	Jan. 29, 2014
Class of Warrant or Right [Line Items]
Class of Warrant or Right, Outstanding	9,644,423
Class of Warrant or Right, Exercise Price of Warrants or Rights		$ 15
2011 Private Placement [Member]
Class of Warrant or Right [Line Items]
Class of Warrant or Right, Outstanding	4,252,050
Expiration Dates of Class of Warrant or Right Not Date From Which Warrants or Rights Exercisable	Jun. 23, 2016
2011 Private Placement [Member] | Maximum [Member]
Class of Warrant or Right [Line Items]
Class of Warrant or Right, Exercise Price of Warrants or Rights	$ 1.60
2011 Private Placement [Member] | Minimum [Member]
Class of Warrant or Right [Line Items]
Class of Warrant or Right, Exercise Price of Warrants or Rights	$ 1.25
Acuiety Warrants [Member]
Class of Warrant or Right [Line Items]
Class of Warrant or Right, Outstanding	325,000
Class of Warrant or Right, Exercise Price of Warrants or Rights	$ 5
Expiration Dates of Class of Warrant or Right Not Date From Which Warrants or Rights Exercisable	Sep. 30, 2017
2014 Public Offering [Member]
Class of Warrant or Right [Line Items]
Class of Warrant or Right, Outstanding	1,166,849
Class of Warrant or Right, Exercise Price of Warrants or Rights	$ 3		$ 3
Expiration Dates of Class of Warrant or Right Not Date From Which Warrants or Rights Exercisable	Jan. 29, 2019
2015 Offering Prefunded Warrants [Member]
Class of Warrant or Right [Line Items]
Class of Warrant or Right, Outstanding	3,610,997
Class of Warrant or Right, Exercise Price of Warrants or Rights	$ 0.01
Placement Agent Fee [Member]
Class of Warrant or Right [Line Items]
Class of Warrant or Right, Outstanding	242,027
Placement Agent Fee [Member] | Maximum [Member]
Class of Warrant or Right [Line Items]
Class of Warrant or Right, Exercise Price of Warrants or Rights	$ 12.43
Expiration Dates of Class of Warrant or Right Not Date From Which Warrants or Rights Exercisable	Nov. 30, 2018
Placement Agent Fee [Member] | Minimum [Member]
Class of Warrant or Right [Line Items]
Class of Warrant or Right, Exercise Price of Warrants or Rights	$ 2.12
Expiration Dates of Class of Warrant or Right Not Date From Which Warrants or Rights Exercisable	Mar. 31, 2018
Outside consulting firm [Member]
Class of Warrant or Right [Line Items]
Class of Warrant or Right, Outstanding	47,500
Class of Warrant or Right, Exercise Price of Warrants or Rights	$ 4.24
Expiration Dates of Class of Warrant or Right Not Date From Which Warrants or Rights Exercisable	Jan. 14, 2018

STOCKHOLDERS' EQUITY (Details T

STOCKHOLDERS' EQUITY (Details Textual) - Range [Domain] - USD ($)	1 Months Ended	3 Months Ended	6 Months Ended
	Jan. 29, 2014	Mar. 31, 2015	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014	May. 19, 2014
Stockholder's Equity [Line Items]
Total Shares Authorized			85,000,000
Common Stock, Shares Authorized			75,000,000		75,000,000
Common Stock, Par or Stated Value Per Share (in dollars per share)			$ 0.001		$ 0.001
Preferred Stock, Shares Authorized			10,000,000		10,000,000
Preferred Stock, Par or Stated Value Per Share (in dollars per share)			$ 0.001		$ 0.001
Class of Warrant or Right, Exercise Price of Warrants or Rights						$ 15
Percentage of Common Stock Outstanding						2.00%
Entitled to Receive Worth of Common Stock						$ 30
Proceeds from Issuance of Common Stock			$ 9,503,198	$ 13,005,745
Series A Preferred Stock [Member]
Stockholder's Equity [Line Items]
Preferred Stock, Shares Authorized			750,000
Preferred Stock, Par or Stated Value Per Share (in dollars per share)			$ 0.001
2014 Public Offering [Member]
Stockholder's Equity [Line Items]
Shares, Issued	5,834,234
Shares Issued, Price Per Share	$ 2.40
Proceeds from Issuance or Sale of Equity	$ 14,000,000
Warrants Callable Per Share	$ 6
Class of Warrant or Right, Exercise Price of Warrants or Rights	$ 3		$ 3
2015 Public Offering [Member]
Stockholder's Equity [Line Items]
Fees and Commissions, Other			$ 463,091
Share Price			$ 1.15
Issuance Of Prefunded Warrants			3,610,997
Prefunded Warrants Price			$ 1.14
Net Proceeds From Issuance Of Prefunded Warrants			$ 5,200,000
Prefunded Warrants Exercise Price			$ 0.01
Reimbursement Of Legal Fees			$ 57,886
Deferred Offering Costs			577,790
Legal Fees			$ 114,699
Placement Agent1 [Member]
Stockholder's Equity [Line Items]
Cash Fee Equals to Percentage of Gross Proceeds from Sale of Common Stock and Warrants	7.00%
Fees and Commissions, Other	$ 980,151
Placement Agent1 [Member] | Warrant [Member]
Stockholder's Equity [Line Items]
Fees and Commissions, Other	$ 980,151
Exercise Price of Common Stock	$ 3
Option Indexed To Issuer's Equity, Indexed Shares	121,707
Percentage of Shares Sold in Offering	3.00%
Placement Agent Warrants [Member]
Stockholder's Equity [Line Items]
Option Indexed To Issuer's Equity, Indexed Shares	175,027
Aspire Capital Fund, Llc [Member]
Stockholder's Equity [Line Items]
Stock Issued During Period, Shares, New Issues		2,653,199
Proceeds from Issuance of Common Stock		$ 4,292,349
Beneficial Owner [Member]
Stockholder's Equity [Line Items]
Equity Method Investment, Ownership Percentage						15.00%
Roth Capital Partners LLC And Dawson James Securities Inc [Member] | 2015 Placement Agents [Member]
Stockholder's Equity [Line Items]
Shares, Issued			1,454,003

NET LOSS PER SHARE (Details)

NET LOSS PER SHARE (Details) - shares	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	13,956,832	9,643,578	13,956,832	9,643,578
Equity Option [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	4,312,409	3,610,152	4,312,409	3,610,152
Warrant [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	9,644,423	6,033,426	9,644,423	6,033,426

CONCENTRATION OF CREDIT RISK (D

CONCENTRATION OF CREDIT RISK (Details Textual) - USD ($)	Jun. 30, 2015	Dec. 31, 2014
Concentration Risk [Line Items]
Cash, FDIC Insured Amount	$ 250,000
Cash, Uninsured Amount	$ 11,152,935	$ 8,250,718

COMMITMENTS AND CONTINGENCIES45

COMMITMENTS AND CONTINGENCIES (Details) - Affymetrix Inc [Member]	Jun. 30, 2015USD ($)
Capital Leased Assets [Line Items]
2,015	$ 35,645
2,016	49,224
Total minimum lease payments	$ 84,869

COMMITMENTS AND CONTINGENCIES46

COMMITMENTS AND CONTINGENCIES (Details Textual) - USD ($)	Sep. 02, 2014	Jun. 10, 2013	Sep. 30, 2013	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2013	Sep. 30, 2014
COMMITMENTS AND CONTINGENCIES [Line Items]
Research and Development Expense, Total				$ 510,458	$ 510,767	$ 1,307,683	$ 933,270
Other Commitments, Description	On September 1, 2014, the NRLBH entered into a three year agreement with TME Research LLC (TME) which requires TME to provide to the NRLBH 100 tissue specimens in connection with the development of the NextCYTE test. Fees payable to TME under the agreement includes $99,600 up front, $31,500 upon supplying the first 25 specimens and $31,500 at the time of final delivery of all specimens. The agreement is terminable with 60 days prior written notice or immediately upon a material breach.
Minimum [Member]
COMMITMENTS AND CONTINGENCIES [Line Items]
Percentage of Royalty Payment				8.00%		8.00%
Maximum [Member]
COMMITMENTS AND CONTINGENCIES [Line Items]
Percentage of Royalty Payment				9.00%		9.00%
Milestone Payment One [Member]
COMMITMENTS AND CONTINGENCIES [Line Items]
Other Commitment, Total				$ 5,000,000		$ 5,000,000
Milestone Payment Two [Member]
COMMITMENTS AND CONTINGENCIES [Line Items]
Other Commitment, Total				$ 20,000,000		20,000,000
Targeted Medical Education [Member] | Master Service Agreement [Member]
COMMITMENTS AND CONTINGENCIES [Line Items]
Research and Development Expense, Total						$ 162,600
A5 Genetics KFT [Member]
COMMITMENTS AND CONTINGENCIES [Line Items]
Cost of Services, Licenses and Services							$ 100,000
Additional License Fee Amount Paid								$ 100,000
Additional License Fee Obligation Amount		$ 1,200,000
Royalty Expense		50
Cost of Services		$ 65
Affymetrix In [Member] | OwnerChip Program Agreement [Member] | Subsidiaries [Member]
COMMITMENTS AND CONTINGENCIES [Line Items]
Payments for Software			$ 21,590					$ 94,723
Purchase Obligation			647,700						$ 142,005
Contract Payable, Due in Rolling Year Two			51,600
Capital Leased Assets, Gross			$ 206,702
NRLBH [Member]
COMMITMENTS AND CONTINGENCIES [Line Items]
Minimum Purchase Under License Agreement to Acquire Right	$ 452,408

STOCK BASED COMPENSATION (Detai

STOCK BASED COMPENSATION (Details)	6 Months Ended
	Jun. 30, 2015shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Additional Shares Authorized	2,693,384
Plan 2012 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Additional Shares Authorized	450,275
Plan 2013 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Additional Shares Authorized	516,774
Plan 2014 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Additional Shares Authorized	742,973
Plan 2015 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Additional Shares Authorized	983,362

STOCK BASED COMPENSATION (Det48

STOCK BASED COMPENSATION (Details 1) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs, Capitalized Amount	$ 205,112	$ 167,534	$ 385,740	$ 397,715
General and administrative [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs, Capitalized Amount	167,192	131,484	296,551	341,112
Research and development [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs, Capitalized Amount	24,820	10,139	43,790	14,766
Selling expenses [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Employee Service Share-based Compensation, Allocation of Recognized Period Costs, Capitalized Amount	$ 13,100	$ 25,911	$ 45,399	$ 41,837

STOCK BASED COMPENSATION (Det49

STOCK BASED COMPENSATION (Details 2) - Jun. 30, 2015 - $ / shares	Total
Employees [Member]
Share Based Payment Award Stock Options Valuation Assumption [Line Items]
Dividend yield	0.00%
Expected forfeiture per year (%)	10.00%
Weighted average fair value of the options per unit	$ 1.50
Employees [Member] | Minimum [Member]
Share Based Payment Award Stock Options Valuation Assumption [Line Items]
Fair value of common stock on date of grant	1.19
Exercise price of the options	$ 1.40
Expected life of the options (years)	6 years 11 days
Expected volatility	110.80%
Risk free rate	1.64%
Employees [Member] | Maximum [Member]
Share Based Payment Award Stock Options Valuation Assumption [Line Items]
Fair value of common stock on date of grant	$ 1.59
Exercise price of the options	$ 1.88
Expected life of the options (years)	6 years 1 month 17 days
Expected volatility	115.00%
Risk free rate	1.79%
Employees and Officers [Member]
Share Based Payment Award Stock Options Valuation Assumption [Line Items]
Dividend yield	0.00%
Expected forfeiture per year (%)	10.00%
Weighted average fair value of the options per unit	$ 1.46
Employees and Officers [Member] | Minimum [Member]
Share Based Payment Award Stock Options Valuation Assumption [Line Items]
Fair value of common stock on date of grant	1.21
Exercise price of the options	$ 1.44
Expected life of the options (years)	6 years 22 days
Expected volatility	111.30%
Risk free rate	1.72%
Employees and Officers [Member] | Maximum [Member]
Share Based Payment Award Stock Options Valuation Assumption [Line Items]
Fair value of common stock on date of grant	$ 1.59
Exercise price of the options	$ 1.88
Expected life of the options (years)	6 years 1 month 10 days
Expected volatility	113.50%
Risk free rate	1.74%

STOCK BASED COMPENSATION (Det50

STOCK BASED COMPENSATION (Details 3) - Jun. 30, 2015 - USD ($)		Total
Share Based Compensation Stock Options Activity [Line Items]
Number of Underlying Shares, Outstanding as of January 1, 2015 (in shares)		3,675,634
Number of Underlying Shares, Granted (in shares)		1,145,822
Number of Underlying Shares, Forfeited (in shares)		(509,047)
Number of Underlying Shares, Exercised (in shares)		0
Number of Underlying Shares, Outstanding as of March 31, 2015 (in shares)		4,312,409
Number of Underlying Shares, Exercisable as of March 31, 2015 (in shares)		1,734,948
Number of Underlying Shares, Vested and expected to vest (in shares)	[1]	3,929,771
Weighted-Average Exercise Price Per Share, Outstanding as of January 1, 2015 (in dollars per share)		$ 2.86
Weighted-Average Exercise Price Per Share, Granted (in dollars per share)		1.71
Weighted-Average Exercise Price Per Share, Forfeited (in dollars per share)		2.06
Weighted-Average Exercise Price Per Share, Exercised (in dollars per share)		0
Weighted-Average Exercise Price Per Share, Outstanding as of March 31, 2015 (in dollars per share)		2.65
Weighted-Average Exercise Price Per Share, Exercisable as of March 31, 2015 (in dollars per share)		3.89
Weighted-Average Exercise Price Per Share, Vested and expected to vest (in dollars per share)	[1]	$ 2.74
Weighted-Average Contractual Life Remaining in Years, Outstanding as of March 31, 2015		8 years 11 days
Weighted-Average Contractual Life Remaining in Years, Exercisable as of March 31, 2015		6 years 4 months 13 days
Weighted-Average Contractual Life Remaining in Years, Vested and expected to vest	[1]	7 years 10 months 24 days
Aggregate Intrinsic Value, Outstanding as of January 1, 2015		$ 344,000
Aggregate Intrinsic Value, Granted (in dollars)		0
Aggregate Intrinsic Value, Forfeited (in dollars)		63,223
Aggregate Intrinsic Value, Exercised (in dollars)		0
Aggregate Intrinsic Value, Outstanding as of March 31, 2015		39,400
Aggregate Intrinsic Value, Exercisable as of March 31, 2015		0
Aggregate Intrinsic Value, Vested and expected to vest	[1]	$ 33,255
[1]	vested shares and unvested shares after a forfeiture rate is applied

STOCK BASED COMPENSATION (Det51

STOCK BASED COMPENSATION (Details Textual) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Jul. 30, 2015
Stock-based Compensation [Line Items]
Share-based Compensation	$ 205,112	$ 167,534	$ 385,740	$ 397,715
Share-Based Compensation Arrangement By Share-Based Payment Award, Options, Grants In Period, Gross			1,145,822
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period			3 years 1 month 28 days
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares					2,577,461
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized					$ 2,057,210
Stock Option and Incentive Plan 2010 [Member]
Stock-based Compensation [Line Items]
Shares held in Employee Stock Option Plan, Suspense Shares					1,000,000
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant					666,466
Employees And Directors [Member]
Stock-based Compensation [Line Items]
Share-Based Compensation Arrangement By Share-Based Payment Award, Options, Grants In Period, Gross			845,822