Ideal Power (IPWR) 10-Q 15 May 19 2019 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2019	May 13, 2019
Document and Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2019
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q1
Entity Registrant Name	Ideal Power Inc.
Entity Central Index Key	0001507957
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Trading Symbol	IPWR
Entity Common Stock, Shares Outstanding		14,722,840
Entity Emerging Growth Company	false
Entity Small Business	true

Balance Sheets

Balance Sheets - USD ($)		Mar. 31, 2019	Dec. 31, 2018
Current assets:
Cash and cash equivalents		$ 2,228,664	$ 3,258,077
Prepayments and other current assets		332,833	333,877
Current assets of discontinued operations held for sale	[1]	727,943	1,096,323
Total current assets		3,289,440	4,688,277
Property and equipment, net		55,600	63,214
Intangible assets, net		1,411,263	1,396,409
Right of use asset		386,624	0
Other assets		17,920	17,920
Total assets		5,160,847	6,165,820
Current liabilities:
Accounts payable		130,456	94,203
Accrued expenses		177,828	167,755
Current portion of lease liability		167,090	0
Current liabilities of discontinued operations held for sale		501,436	877,755
Total current liabilities		976,810	1,139,713
Long-term lease liability		221,828	0
Other long-term liabilities		430,978	428,163
Total liabilities		1,629,616	1,567,876
Commitments and contingencies
Stockholders' equity:
Preferred stock, $0.001 par value; 10,000,000 shares authorized; 810,000 shares issued and outstanding at March 31, 2019 and 1,518,430 shares issued at December 31, 2018, respectively		810	1,518
Common stock, $0.001 par value; 50,000,000 shares authorized; 14,736,020 shares issued and 14,722,840 shares outstanding at March 31, 2019 and 14,027,590 shares issued and 14,014,410 shares outstanding at December 31, 2018, respectively		14,736	14,028
Additional paid-in capital		67,984,046	68,009,860
Treasury stock, at cost, 13,180 shares at March 31, 2019 and December 31, 2018, respectively		(13,210)	(13,210)
Accumulated deficit		(64,455,151)	(63,414,252)
Total stockholders' equity		3,531,231	4,597,944
Total liabilities and stockholders' equity		$ 5,160,847	$ 6,165,820
[1]	The assets of the discontinued operations classified as held for sale are classified as current on the March 31, 2019 and December 31, 2018 balance sheets because it is probable that the sale will occur and proceeds will be collected within one year.

Balance Sheets (Parenthetical)

Balance Sheets (Parenthetical) - $ / shares	Mar. 31, 2019	Dec. 31, 2018
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	810,000	1,518,430
Preferred Stock, Shares Outstanding	810,000	1,518,430
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized	50,000,000	50,000,000
Common stock, shares, issued	14,736,020	14,027,590
Common stock, shares, outstanding	14,722,840	14,014,410
Treasury stock, shares	13,180	13,180

Statements of Operations

Statements of Operations - USD ($)	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Product revenue	$ 0	$ 0
Cost of product revenue	0	0
Gross profit	0	0
Operating expenses:
Research and development	218,216	94,544
General and administrative	468,390	882,099
Total operating expenses	686,606	976,643
Loss from continuing operations before interest	(686,606)	(976,643)
Interest (income) expense, net	7,118	(1,315)
Loss from continuing operations	(693,724)	(975,328)
Loss from discontinued operations	(347,175)	(1,080,834)
Net loss	$ (1,040,899)	$ (2,056,162)
Loss from continuing operations per share – basic and fully diluted	$ (0.05)	$ (0.07)
Loss from discontinued operations per share – basic and fully diluted	(0.02)	(0.08)
Net loss per share – basic and fully diluted	$ (0.07)	$ (0.15)
Weighted average number of shares outstanding – basic and fully diluted	14,313,525	13,991,121

Statements of Cash Flows

Statements of Cash Flows - USD ($)	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Cash flows from operating activities:
Loss from continuing operations	$ (693,724)	$ (975,328)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	27,595	43,704
Write-off of capitalized patents	0	10,873
Stock-based compensation	26,621	143,356
Decrease in operating assets:
Prepayments and other current assets	1,044	32,645
Increase (decrease) in operating liabilities:
Accounts payable	36,253	(55,362)
Accrued expenses	15,182	(85,084)
Net cash used in operating activities	(587,029)	(885,196)
Net cash used on operating activities – discontinued operations	(409,867)	(942,176)
Cash flows from investing activities:
Purchase of property and equipment	(1,194)	0
Acquisition of intangible assets	(31,323)	(33,561)
Net cash used in investing activities	(32,517)	(33,561)
Net cash used in investing activities – discontinued operations	0	(8,046)
Net decrease in cash and cash equivalents – continuing operations	(619,546)	(918,757)
Net decrease in cash and cash equivalents – discontinued operations	(409,867)	(950,222)
Cash and cash equivalents at beginning of period	3,258,077	10,022,247
Cash and cash equivalents at end of period	$ 2,228,664	$ 8,153,268

Statement of Stockholders' Equi

Statement of Stockholders' Equity - USD ($)	Total	Common Stock [Member]	Preferred Stock [Member]	Additional Paid-In Capital [Member]	Treasury Stock [Member]	Accumulated Deficit [Member]
Beginning balance at Dec. 31, 2017	$ 11,580,123	$ 13,998	$ 1,518	$ 67,081,359	$ (7,489)	$ (55,509,263)
Beginning balance (in shares) at Dec. 31, 2017		13,998,465	1,518,430		2,344
Stock-based compensation	192,033	$ 0	$ 0	192,033	$ 0	0
Net loss for the year	(2,056,162)	0	0	0	0	(2,056,162)
Ending balance at Mar. 31, 2018	9,715,994	$ 13,998	$ 1,518	67,273,392	$ (7,489)	(57,565,425)
Ending balance (in shares) at Mar. 31, 2018		13,998,465	1,518,430		2,344
Beginning balance at Dec. 31, 2018	4,597,944	$ 14,028	$ 1,518	68,009,860	$ (13,210)	(63,414,252)
Beginning balance (in shares) at Dec. 31, 2018		14,027,590	1,518,430		13,180
Conversion of preferred stock to common stock	0	$ 708	$ (708)	0	$ 0	0
Conversion of preferred stock to common stock (in shares)		708,430	(708,430)		0
Stock-based compensation	(25,814)	$ 0	$ 0	(25,814)	$ 0	0
Net loss for the year	(1,040,899)	0	0	0	0	(1,040,899)
Ending balance at Mar. 31, 2019	$ 3,531,231	$ 14,736	$ 810	$ 67,984,046	$ (13,210)	$ (64,455,151)
Ending balance (in shares) at Mar. 31, 2019		14,736,020	810,000		13,180

Organization and Description of

Organization and Description of Business	3 Months Ended
	Mar. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and Description of Business	Note 1 – Organization and Description of Business Ideal Power Inc. (the “Company”) was incorporated in Texas on May 17, 2007 under the name Ideal Power Converters, Inc. The Company changed its name to Ideal Power Inc. on July 8, 2013 and re-incorporated in Delaware on July 15, 2013. With headquarters in Austin, Texas, it developed power conversion solutions with a focus on solar + storage, microgrid and stand-alone energy storage applications. The principal products of the Company were 30-kilowatt power conversion systems, including 2-port and multi-port products. On April 16, 2018, the Company realigned into two operating divisions: Power Conversion Systems, to continue the commercialization of its PPSA™ technology, and B-TRAN, to develop its Bi-directional bi-polar junction TRANsistor (B-TRAN™) solid state switch technology. On January 2, 2019, the Board of Directors of the Company (the “Board”) approved a strategic shift to focus on the commercialization of its B-TRAN™ technology and a plan to suspend further power converter system development and sales while the Company located a buyer for its power conversion systems division. Since its inception, the Company has generated limited revenues from the sale of products and has financed its research and development efforts and operations through the sale of common stock. The Company’s continued operations are dependent upon its ability to obtain adequate sources of funding through future revenues, follow-on stock offerings, debt financing, co-development agreements, government grants, sale or licensing of developed intellectual property or other alternatives.

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2019
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Note 2 – Summary of Significant Accounting Policies Basis of Presentation The accompanying unaudited financial statements have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission for Form 10-Q. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations. The Balance Sheet at December 31, 2018 has been derived from the Company’s audited financial statements. In the opinion of management, these financial statements reflect all normal recurring, and other adjustments, necessary for a fair presentation. These financial statements should be read in conjunction with the audited financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018. Operating results for interim periods are not necessarily indicative of operating results for an entire fiscal year or any other future periods. Liquidity and Going Concern As reflected in the accompanying condensed financial statements, the Company had a net loss of $1 million and used $ 1 In order to meet the Company’s operating requirements through at least the next twelve months from the date of issuance of these financial statements, it will need to raise additional capital from third parties. There can be no assurance that the Company will be successful in obtaining third party financing. If external financing sources are not available or are inadequate to fund operations, or the technology under development is not capable of generating sustainable revenues in the future, the Company will be required to reduce operating costs, which could jeopardize future strategic initiatives and business plans. Accordingly, these factors, among others raise substantial doubt about the Company’s ability to continue as a going concern. The Company’s independent registered public accounting firm, in its report on the Company’s 2018 financial statements, raised substantial doubt about the Company’s ability to continue as a going concern. The accompanying condensed financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the settlement of liabilities and commitments in the normal course of business. The ability of the Company to continue as a going concern is dependent on its ability to raise additional capital and to develop profitable operations through implementation of its current business initiatives, however, there can be no assurances that the Company will be able to do so. The accompanying condensed financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern. Recently Adopted Standards In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), to increase transparency and comparability among organizations by requiring the recognition of lease assets and lease liabilities on the balance sheet. Most prominent among the amendments is the recognition of assets and liabilities by lessees for those leases classified as operating leases under previous U.S. GAAP. Under the new standard, disclosures are required to meet the objective of enabling users of financial statements to assess the amount, timing, and uncertainty of cash flows arising from leases. The new standard is effective for annual and interim periods beginning after December 15, 2018, with early adoption permitted. The Company elected not to early adopt this standard. Upon adoption, the Company r ecognized its lease commitment as a lease liability and right-of-use asset. For more details regarding the lease commitment, see Note 5. Recent Accounting Pronouncements Management does not believe that any other recently issued, but not yet effective, accounting standard, if adopted, would have a material impact on the Company’s financial statements.

Discontinued Operations

Discontinued Operations	3 Months Ended
	Mar. 31, 2019
Discontinued Operations and Disposal Groups [Abstract]
Disposal Groups, Including Discontinued Operations, Disclosure	Note 3 – Discontinued Operations On January 2, 2019, the Board approved a strategic shift to focus on the commercialization of its B-TRAN™ technology and a plan to suspend further power converter system development and sales while the Company located a buyer for its power conversion systems division. On January 4, 2019, the Company implemented a reduction-in-force in connection with this exit activity and recognized an expense of $92,600 in involuntary termination benefits. The Company did not recognize other associated costs related to exiting production of its power converters products as the sale of the power conversion systems division was deemed probable. The Company’s power conversion system division, a component supplier to energy storage system integrators, had not achieved the necessary scale to generate positive cash flows. As the division was dependent on the ability of its customers to scale in the small commercial and industrial segment of the storage market and based on the sales forecasts and commitments provided by these customers, the Company did not expect its power conversion systems division to scale sufficiently in the short term, requiring an inflow of additional capital for the business. As such, the decision was made to exit the power conversion systems business and sell the division and the Company’s PPSA™ technology and focus on the Company’s B-TRAN™ technology. As a result, the assets held for sale and discontinued operations criteria have been met and the Company’s financial statements are presented in accordance with ASC 205. Under ASC 205-20-45-10, during the period in which a component meets the assets held for sale and discontinued operations criteria, an entity must present the assets and liabilities of the discontinued operation separately in the asset and liability sections of the balance sheet for the comparative reporting periods. The prior period balance sheet should be reclassified for the held for sale items. For income statements, the current and prior periods should report the results of operations of the component in discontinued operations when comparative income statements are presented. The following is a reconciliation of the carrying amounts of major classes of assets and liabilities of the discontinued operations to assets and liabilities held for sale: March 31, December 31, 2019 2018 Accounts receivable, net $ 47,250 $ 270,768 Inventories, net 134,082 131,342 Prepayments and other current assets 17,336 22,322 Property and equipment, net 327,122 329,738 Intangible assets, net (1) 202,153 342,153 Current assets held for sale (2) $ 727,943 $ 1,096,323 Accounts payable $ 41,773 $ 356,113 Accrued expenses 459,663 521,642 Current liabilities held for sale $ 501,436 $ 877,755 (1) Includes an impairment charge of $500,000 of which $140,000 was recognized in the three months ended March 31, 2019, calculated as the net book value of assets held for sale prior to the impairment less the expected proceeds from the planned sale. The expected proceeds are based on the estimated fair value of the net assets held for sale less the estimated cost to sell the net assets held for sale. (2) The assets of the discontinued operations classified as held for sale are classified as current on the March 31, 2019 and December 31, 2018 balance sheets because it is probable that the sale will occur and proceeds will be collected within one year. The following is a reconciliation of the major classes of line items constituting loss on discontinued operations to loss on discontinued operations shown in the Statement of Operations: March 31, 2019 2018 Product revenue $ 113,500 $ 181,500 Cost of product revenue 98,768 334,963 Research and development 160,284 663,239 General and administrative 25,506 9,889 Sales and marketing 36,117 254,243 Impairment (1) 140,000 — Loss on discontinued operations $ (347,175 ) $ (1,080,834 ) (1) For the three months ended March 31, 2019, includes an impairment charge of $140,000, calculated as the net book value of assets held for sale prior to the impairment less the expected proceeds from the planned sale. The expected proceeds are based on the estimated fair value of the net assets held for sale less the estimated cost to sell the net assets held for sale.

Intangible Assets

Intangible Assets	3 Months Ended
	Mar. 31, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible Assets	Note 4 – Intangible Assets Intangible assets, net consisted of the following: March 31, 2019 December 31, 2018 (unaudited) Patents $ 855,327 $ 824,004 Other intangible assets 732,175 732,175 1,587,502 1,556,179 Accumulated amortization (176,239 ) (159,770 ) $ 1,411,263 $ 1,396,409 Amortization expense amounted to $16,469 and $15,950 for the three months ended March 31, 2019 and 2018, respectively. Amortization expense for the succeeding five years and thereafter is $49,543 (2019), $66,057 (2020-2023) and $717,148 (thereafter). At March 31, 2019 and December 31, 2018, the Company had capitalized $380,344 and $354,427, respectively, for costs related to patents that have not been awarded.

Lease

Lease	3 Months Ended
	Mar. 31, 2019
Leases [Abstract]
Lessee, Operating Leases [Text Block]	Note 5 – Lease The Company leases 14,782 square feet of office and laboratory space located in Austin, Texas. On April 20, 2018, the Company entered into an amendment to its existing operating lease which extended the lease term from May 31, 2018 to May 31, 2021. The annual base rent in the first year of the lease extension is $184,775 and increases by $7,391 in each succeeding year of the lease extension. In addition, the Company is required to pay its proportionate share of operating costs for the building under this triple net lease. The lease does not contain renewal or termination options. On January 1, 2019, the Company adopted ASC 842 utilized a modified retrospective approach with a date of initial application at the beginning of the period of adoption. At adoption, the Company recognized a right of use asset of $422,819 and lease liability of $427,131. As the discount rate implicit in the lease was not readily determinable and the Company did not have any outstanding indebtedness, the Company utilized market data, giving consideration to remaining term of the lease, to estimate its incremental borrowing rate at 8% per annum for purposes of calculating the right of use asset and lease liability. Future undiscounted minimum payments under the lease, as amended, are as follows: For the Year Ended December 31, Amount 2019 $ 142,893 2020 196,477 2021 83,149 Total future undiscounted minimum lease payments $ 422,519 Less: imputed interest (33,601 ) Total lease liability $ 388,918 For the three months ended March 31, 2019, operating cash flows for lease payments totaled $46,194 and the operating lease cost, recognized on a straight-line basis, totaled $48,488. At March 31, 2019, the remaining lease term was 26 months.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Mar. 31, 2019
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Note 6 – Commitments and Contingencies License Agreement In 2015, the Company entered into licensing agreements which expire on February 7, 2033. Per the agreements, the Company has an exclusive royalty-free license associated with semiconductor power switches which enhances its intellectual property portfolio. The agreements include both fixed and variable payments. The variable payments are a function of the number of associated patent filings pending and patents issued under the agreements. The Company will pay $10,000 for each patent filing pending and $20,000 for each patent issued within 20 days of December 21 st Indemnification of Executives The employment agreements of Company executives include an indemnification provision whereby the Company shall indemnify and defend, at the Company’s expense, its executives so as long as an executive’s actions were taken in good faith and in furtherance of Company’s business and within the scope of executive’s duties and authority.

Common and Preferred Stock

Common and Preferred Stock	3 Months Ended
	Mar. 31, 2019
Equity [Abstract]
Common Stock and Net Loss Per Share	Note 7 — Common and Preferred Stock On February 21, 2019, a shareholder converted 708,430 shares of preferred stock to 708,430 shares of common stock. On March 7, 2019, and following an initial notice of non-compliance from Nasdaq on September 7, 2018, the Company received a notice letter from Nasdaq indicating that it had not regained compliance with the minimum bid price requirement of $1 per share, as set forth in Nasdaq Listing Rule 5550(a)(2). However, Nasdaq determined that the Company was eligible for an additional 180-day period, or until September 3, 2019, to regain compliance based on the fact that it met the continued listing requirement for market value of publicly held shares and all other initial listing standards for the Nasdaq Capital Market, with the exception of the minimum bid price requirement, and it had provided written notice to Nasdaq of its intent to cure the deficiency during this second compliance period, by effecting a reverse stock split, if necessary. If the Company is unable to regain compliance with the Nasdaq’s minimum bid price requirement or with the continued listing requirements of The NASDAQ Stock Market, its common stock may be delisted in the future which could adversely affect its ability to raise additional capital.

Equity Incentive Plan

Equity Incentive Plan	3 Months Ended
	Mar. 31, 2019
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Equity Incentive Plan	Note 8 — Equity Incentive Plan On May 17, 2013, the Company adopted the 2013 Equity Incentive Plan (the “Plan”) and reserved shares of common stock for issuance under the Plan. The Plan is administered by the Compensation Committee of the Company’s Board of Directors. At March 31, 2019, 764,588 shares of common stock were available for issuance under the Plan. A summary of the Company’s stock option activity and related information is as follows: Stock Options Weighted Average Exercise Price Weighted Average Remaining Life (in years) Outstanding at December 31, 2018 1,470,447 $ 5.08 6.8 Granted — Forfeited/Expired/Exchanged (188,900 ) $ 5.61 Outstanding at March 31, 2019 1,281,547 $ 5.00 6.6 Exercisable at March 31, 2019 1,276,297 $ 4.99 6.6 A summary of the Company’s restricted stock unit activity is as follows: Restricted Stock Units Outstanding at December 31, 2018 69,375 Granted — Vested — Forfeited (58,125 ) Outstanding at March 31, 2019 11,250 The Company had 119,000 performance stock units outstanding at both March 31, 2019 and December 31, 2018. At March 31, 2019, there was $106,421 of unrecognized compensation cost related to non-vested equity awards granted under the Plan. That cost is expected to be recognized over a weighted average period of 0.4 years.

Warrants

Warrants	3 Months Ended
	Mar. 31, 2019
Warrants and Rights Note Disclosure [Abstract]
Warrants	Note 9 — Warrants The Company had 7,128,176 and 7,136,078 warrants outstanding at March 31, 2019 and December 31, 2018, respectively, with a weighted average exercise price of $2.62 per share. During the three months ended March 31, 2019, 7,902 warrants expired. At March 31, 2019, all warrants are exercisable, although for the Company’s two largest beneficial owners their warrants may be exercised only to the extent that the total number of shares of common stock then beneficially owned by these shareholders does not exceed 9.99% of the outstanding shares of the Company’s common stock.

Subsequent Events

Subsequent Events	3 Months Ended
	Mar. 31, 2019
Subsequent Events [Abstract]
Subsequent Events	Note 10 — Subsequent Events On April 4, 2019, the Company entered into Award Forfeiture Agreements (“Forfeiture Agreements”) with certain of the Company’s executives and members of its Board. Pursuant to the Forfeiture Agreements, these individuals voluntarily forfeited their equity award grants with a grant date prior to January 1, 2018. The forfeitures included 495,794 stock options and 119,000 performance stock units issued under the Plan and 250,000 On April 11, 2019, the Company entered into an asset purchase agreement (the “Purchase Agreement”) with Pathion Holdings, Inc., a Delaware corporation (the “Purchaser”) and Pathion, Inc., a Delaware corporation (“Subsidiary” and together with the Purchaser, the “Purchaser Entities”) to sell certain assets related to the Company’s PPSA™ / Power Conversion Systems business (the “PPSA Business”). The purchase price consists of $500,000 in cash and 150,000 shares of the common stock of the Purchaser. Pursuant to the Purchase Agreement, the Purchaser will assume certain liabilities relating to the PPSA Business, and the Purchaser shall have a limited three (3) year exclusive option to purchase the Company’s B-TRAN™, subject to certain minimum purchase obligations. The option is limited to third parties and for use in commercial, industrial, microgrid and grid-scale standalone energy storage systems using an integrated multi-port power conversion system. The Purchase Agreement contains customary provisions for an asset sale including representations and warranties, indemnification for intellectual property-related matters and indemnification, expiring after 6 months, for certain assumed liabilities in excess of $1 million. The closing of the transaction is contingent upon the Company and the Purchaser entering into an agreement pursuant to which the Company will sublease to the Purchaser approximately 80% of the premises located at 4120 Freidrich Lane, Suite 100, Austin, Texas, and the satisfaction of customary closing conditions. Subject to certain exceptions described in the Purchase Agreement, in the event that the Purchase Agreement is terminated by either party prior to closing, a “break-up” fee of $200,000 shall be payable to the non-terminating party. The transaction is expected to close in May 2019.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2019
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited financial statements have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission for Form 10-Q. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations. The Balance Sheet at December 31, 2018 has been derived from the Company’s audited financial statements. In the opinion of management, these financial statements reflect all normal recurring, and other adjustments, necessary for a fair presentation. These financial statements should be read in conjunction with the audited financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018. Operating results for interim periods are not necessarily indicative of operating results for an entire fiscal year or any other future periods.
Liquidity and Going Concern	Liquidity and Going Concern As reflected in the accompanying condensed financial statements, the Company had a net loss of $1 million and used $ 1 In order to meet the Company’s operating requirements through at least the next twelve months from the date of issuance of these financial statements, it will need to raise additional capital from third parties. There can be no assurance that the Company will be successful in obtaining third party financing. If external financing sources are not available or are inadequate to fund operations, or the technology under development is not capable of generating sustainable revenues in the future, the Company will be required to reduce operating costs, which could jeopardize future strategic initiatives and business plans. Accordingly, these factors, among others raise substantial doubt about the Company’s ability to continue as a going concern. The Company’s independent registered public accounting firm, in its report on the Company’s 2018 financial statements, raised substantial doubt about the Company’s ability to continue as a going concern. The accompanying condensed financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the settlement of liabilities and commitments in the normal course of business. The ability of the Company to continue as a going concern is dependent on its ability to raise additional capital and to develop profitable operations through implementation of its current business initiatives, however, there can be no assurances that the Company will be able to do so. The accompanying condensed financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.
Recently Adopted Standards and Recent Accounting Pronouncements	Recently Adopted Standards In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), to increase transparency and comparability among organizations by requiring the recognition of lease assets and lease liabilities on the balance sheet. Most prominent among the amendments is the recognition of assets and liabilities by lessees for those leases classified as operating leases under previous U.S. GAAP. Under the new standard, disclosures are required to meet the objective of enabling users of financial statements to assess the amount, timing, and uncertainty of cash flows arising from leases. The new standard is effective for annual and interim periods beginning after December 15, 2018, with early adoption permitted. The Company elected not to early adopt this standard. Upon adoption, the Company r ecognized its lease commitment as a lease liability and right-of-use asset. For more details regarding the lease commitment, see Note 5. Recent Accounting Pronouncements Management does not believe that any other recently issued, but not yet effective, accounting standard, if adopted, would have a material impact on the Company’s financial statements.

Discontinued Operations (Tables

Discontinued Operations (Tables)	3 Months Ended
	Mar. 31, 2019
Discontinued Operations and Disposal Groups [Abstract]
Disposal Groups, Including Discontinued Operations	The following is a reconciliation of the carrying amounts of major classes of assets and liabilities of the discontinued operations to assets and liabilities held for sale: March 31, December 31, 2019 2018 Accounts receivable, net $ 47,250 $ 270,768 Inventories, net 134,082 131,342 Prepayments and other current assets 17,336 22,322 Property and equipment, net 327,122 329,738 Intangible assets, net (1) 202,153 342,153 Current assets held for sale (2) $ 727,943 $ 1,096,323 Accounts payable $ 41,773 $ 356,113 Accrued expenses 459,663 521,642 Current liabilities held for sale $ 501,436 $ 877,755 (1) Includes an impairment charge of $500,000 of which $140,000 was recognized in the three months ended March 31, 2019, calculated as the net book value of assets held for sale prior to the impairment less the expected proceeds from the planned sale. The expected proceeds are based on the estimated fair value of the net assets held for sale less the estimated cost to sell the net assets held for sale. (2) The assets of the discontinued operations classified as held for sale are classified as current on the March 31, 2019 and December 31, 2018 balance sheets because it is probable that the sale will occur and proceeds will be collected within one year. The following is a reconciliation of the major classes of line items constituting loss on discontinued operations to loss on discontinued operations shown in the Statement of Operations: March 31, 2019 2018 Product revenue $ 113,500 $ 181,500 Cost of product revenue 98,768 334,963 Research and development 160,284 663,239 General and administrative 25,506 9,889 Sales and marketing 36,117 254,243 Impairment (1) 140,000 — Loss on discontinued operations $ (347,175 ) $ (1,080,834 )

Intangible Assets (Tables)

Intangible Assets (Tables)	3 Months Ended
	Mar. 31, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of intangible assets, net	Intangible assets, net consisted of the following: March 31, 2019 December 31, 2018 (unaudited) Patents $ 855,327 $ 824,004 Other intangible assets 732,175 732,175 1,587,502 1,556,179 Accumulated amortization (176,239 ) (159,770 ) $ 1,411,263 $ 1,396,409

Lease (Table)

Lease (Table)	3 Months Ended
	Mar. 31, 2019
Leases [Abstract]
Schedule of Future Minimum Rental Payments for Operating Leases	Future undiscounted minimum payments under the lease, as amended, are as follows: For the Year Ended December 31, Amount 2019 $ 142,893 2020 196,477 2021 83,149 Total future undiscounted minimum lease payments $ 422,519 Less: imputed interest (33,601 ) Total lease liability $ 388,918

Equity Incentive Plan (Tables)

Equity Incentive Plan (Tables)	3 Months Ended
	Mar. 31, 2019
Share-based Compensation, Stock Options, Activity	A summary of the Company’s stock option activity and related information is as follows: Stock Options Weighted Average Exercise Price Weighted Average Remaining Life (in years) Outstanding at December 31, 2018 1,470,447 $ 5.08 6.8 Granted — Forfeited/Expired/Exchanged (188,900 ) $ 5.61 Outstanding at March 31, 2019 1,281,547 $ 5.00 6.6 Exercisable at March 31, 2019 1,276,297 $ 4.99 6.6
Schedule of Nonvested Restricted Stock Units Activity	A summary of the Company’s restricted stock unit activity is as follows: Restricted Stock Units Outstanding at December 31, 2018 69,375 Granted — Vested — Forfeited (58,125 ) Outstanding at March 31, 2019 11,250

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details Textual) - USD ($)	3 Months Ended
	Mar. 31, 2019	Mar. 31, 2018	Dec. 31, 2018	Dec. 31, 2017
Net Income (Loss) Attributable to Parent	$ (1,040,899)	$ (2,056,162)
Working Capital	2,300,000
Cash and Cash Equivalents, at Carrying Value	2,228,664	$ 8,153,268	$ 3,258,077	$ 10,022,247
Net Cash Provided Used For Operating Activities	$ (1,000,000)

Discontinued Operations (Detail

Discontinued Operations (Details Textual) - USD ($)	Jan. 04, 2019	Mar. 31, 2019	Dec. 31, 2018
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill)		$ 140,000
Employee Involuntary Termination [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Restructuring Costs	$ 92,600
Intangible Asseets [Member]
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Asset Impairment Charges		$ 140,000	$ 500,000

Discontinued Operations - Dispo

Discontinued Operations - Disposal Groups, Including Discontinued Operations (Details) - USD ($)		Mar. 31, 2019	Dec. 31, 2018
Accounts receivable, net		$ 47,250	$ 270,768
Inventories, net		134,082	131,342
Prepayments and other current assets		17,336	22,322
Property and equipment, net		327,122	329,738
Intangible assets, net	[1]	202,153	342,153
Current assets held for sale	[2]	727,943	1,096,323
Accounts payable		41,773	356,113
Accrued expenses		459,663	521,642
Current liabilities held for sale		$ 501,436	$ 877,755
[1]	Includes an impairment charge of $500,000 of which $140,000 was recognized in the three months ended March 31, 2019, calculated as the net book value of assets held for sale prior to the impairment less the expected proceeds from the planned sale. The expected proceeds are based on the estimated fair value of the net assets held for sale less the estimated cost to sell the net assets held for sale.
[2]	The assets of the discontinued operations classified as held for sale are classified as current on the March 31, 2019 and December 31, 2018 balance sheets because it is probable that the sale will occur and proceeds will be collected within one year.

Discontinued Operations - Sched

Discontinued Operations - Schedule of disposal group including discontinued operations to loss (Details) - USD ($)		3 Months Ended
		Mar. 31, 2019	Mar. 31, 2018
Product revenue		$ 113,500	$ 181,500
Cost of product revenue		98,768	334,963
Research and development		160,284	663,239
General and administrative		25,506	9,889
Sales and marketing		36,117	254,243
Impairment	[1]	140,000	0
Loss on discontinued operations		$ (347,175)	$ (1,080,834)
[1]	For the three months ended March 31, 2019, includes an impairment charge of $140,000, calculated as the net book value of assets held for sale prior to the impairment less the expected proceeds from the planned sale. The expected proceeds are based on the estimated fair value of the net assets held for sale less the estimated cost to sell the net assets held for sale.

Intangible Assets (Details Text

Intangible Assets (Details Textual) - USD ($)	3 Months Ended		12 Months Ended
	Mar. 31, 2019	Mar. 31, 2018	Dec. 31, 2018
Finite-Lived Intangible Assets [Line Items]
Amortization expense	$ 16,469	$ 15,950
Amortization expense for 2019	49,543
Amortization expense for 2020	66,057
Amortization expense for 2021	66,057
Amortization expense for 2022	66,057
Amortization expense for 2023	66,057
Amortization expense for thereafter	717,148
Patents
Finite-Lived Intangible Assets [Line Items]
Capitalized costs for costs related to patents that have not been awarded	$ 380,344		$ 354,427

Intangible Assets - Schedule of

Intangible Assets - Schedule of Net Intangible Assets (Details) - USD ($)	Mar. 31, 2019	Dec. 31, 2018
Finite-Lived Intangible Assets [Line Items]
Gross intangible assets	$ 1,587,502	$ 1,556,179
Accumulated amortization	(176,239)	(159,770)
Intangible assets, net	1,411,263	1,396,409
Patents
Finite-Lived Intangible Assets [Line Items]
Gross intangible assets	855,327	824,004
Other intangible assets
Finite-Lived Intangible Assets [Line Items]
Gross intangible assets	$ 732,175	$ 732,175

Lease (Details Textual)

Lease (Details Textual)	3 Months Ended
	Mar. 31, 2019USD ($)	Jan. 01, 2019USD ($)	Dec. 31, 2018USD ($)	Apr. 20, 2018USD ($)ft²
Operating Lease, Right-of-Use Asset	$ 386,624		$ 0
Operating Lease, Liability			$ 388,918
Lessee, Operating Lease, Discount Rate		8.00%
Operating Lease, Payments	46,194
Operating Lease, Cost	$ 48,488
Operating Lease, Weighted Average Remaining Lease Term	26 months
Office And Laboratory Space [Member]
Square fee of office and laboratory space leased (in sq ft) | ft²				14,782
Annual base rent in first year				$ 184,775
Increase in base rent each succeeding year				$ 7,391
Accounting Standards Update 2016-02 [Member]
Operating Lease, Right-of-Use Asset		$ 422,819
Operating Lease, Liability		$ 427,131

Lease - Future minimum payments

Lease - Future minimum payments (Details)	Dec. 31, 2018USD ($)
2019	$ 142,893
2020	196,477
2021	83,149
Total future undiscounted minimum lease payments	422,519
Less: imputed interest	(33,601)
Total lease liability	$ 388,918

Commitments and Contingencies (

Commitments and Contingencies (Details Textual) - USD ($)	3 Months Ended		12 Months Ended
	Mar. 31, 2019	Mar. 31, 2018	Dec. 31, 2015
Other Commitments [Line Items]
Payment for each patent issued	$ 31,323	$ 33,561
Licensing agreements
Other Commitments [Line Items]
Payable for each patent filing pending			$ 10,000
Payment for each patent issued			$ 20,000
Period between December 21, 2017 and issuance of patent			20 days
Loss Contingency Accrual	$ 100,000

Common and Preferred Stock (Det

Common and Preferred Stock (Details Textual) - shares	Mar. 07, 2019	Feb. 21, 2019
Convertible Preferred Stock, Shares Issued upon Conversion		708,430
Conversion of Stock, Shares Converted		708,430
Description of Other Regulatory Limitations	On March 7, 2019, and following an initial notice of non-compliance from Nasdaq on September 7, 2018, the Company received a notice letter from Nasdaq indicating that it had not regained compliance with the minimum bid price requirement of $1 per share, as set forth in Nasdaq Listing Rule 5550(a)(2). However, Nasdaq determined that the Company was eligible for an additional 180-day period, or until September 3, 2019, to regain compliance based on the fact that it met the continued listing requirement for market value of publicly held shares and all other initial listing standards for the Nasdaq Capital Market, with the exception of the minimum bid price requirement, and it had provided written notice to Nasdaq of its intent to cure the deficiency during this second compliance period, by effecting a reverse stock split, if necessary. If the Company is unable to regain compliance with the Nasdaq’s minimum bid price requirement or with the continued listing requirements of The NASDAQ Stock Market, its common stock may be delisted in the future which could adversely affect its ability to raise additional capital.

Equity Incentive Plan (Details

Equity Incentive Plan (Details Textual) - USD ($)	3 Months Ended
	Mar. 31, 2019	Dec. 31, 2018
2013 Equity Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost related to non-vested share-based compensation arrangements	$ 106,421
Weighted average period for recognition	4 months 24 days
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number	119,000	119,000
Equity Incentive Plan [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares of common stock available for issuance under the Plan (in shares)		764,588

Equity Incentive Plan - Restric

Equity Incentive Plan - Restricted Stock Units Activity (Details) - Restricted Stock Units (RSUs) [Member]	3 Months Ended
	Mar. 31, 2019shares
Outstanding at January 1, 2018	69,375
Granted	0
Vested	0
Forfeited	(58,125)
Outstanding at December 31, 2018	11,250

Equity Incentive Plan - Summary

Equity Incentive Plan - Summary of Stock Option Activity and Related Information (Details) - Equity Incentive Plan [Member] - $ / shares	3 Months Ended	12 Months Ended
	Mar. 31, 2019	Dec. 31, 2018
Stock Options
Outstanding at January 1 (in shares)	1,470,447
Granted (in shares)	0
Forfeited (in shares)	(188,900)
Outstanding at March 31 (in shares)	1,281,547	1,470,447
Exercisable at March 31 (in shares)	1,276,297
Weighted Average Exercise Price
Outstanding at January 1 (in dollars per share)	$ 5.08
Forfeited (in dollars per share)	5.61
Outstanding at March 31 (in dollars per share)	5	$ 5.08
Exercisable at March 31 (in dollars per share)	$ 4.99
Weighted Average Remaining Life (in years)
Outstanding (in years)	6 years 7 months 6 days	6 years 9 months 18 days
Exercised	6 years 7 months 6 days

Warrants (Details Textual)

Warrants (Details Textual) - $ / shares	3 Months Ended
	Mar. 31, 2019	Dec. 31, 2018
Class of Warrant or Right [Line Items]
Class of Warrant or Right, Outstanding	7,128,176	7,136,078
Class of Warrant or Right, Exercise Price of Warrants or Rights	$ 2.62
Convertible Preferred Stock Maximum Beneficial Ownership Percentage	9.99%
Warrant [Member]
Class of Warrant or Right [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Expirations	7,902

Subsequent Events (Detail Textu

Subsequent Events (Detail Textual) - Subsequent Event [Member] - USD ($)	Apr. 11, 2019	Apr. 04, 2019
Involuntary termination benefits	$ 200,000
Percentage of Facility Subject to Sublease	80.00%
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures in Period		495,794
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period		250,000
Liabilities Assumed	$ 1,000,000
Minimum Purchase Obligation Term	3 years
Performance Shares [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period		119,000
Cash [Member] | Pathion Holdings Inc [Member]
Disposal Group Not Discontinued Operation Consideration Received	$ 500,000
Common Stock [Member] | Pathion Holdings Inc [Member]
Disposal Group Not Discontinued Operation Equity Interest Received	150,000