Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2015 | Nov. 13, 2015 | |
Document And Entity Information | ||
Entity Registrant Name | LIFEAPPS DIGITAL MEDIA INC. | |
Entity Central Index Key | 1,510,247 | |
Document Type | 10-Q | |
Trading Symbol | IFAP | |
Document Period End Date | Sep. 30, 2015 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Entity a Well-known Seasoned Issuer | No | |
Entity a Voluntary Filer | No | |
Entity's Reporting Status Current | Yes | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 298,772,885 | |
Document Fiscal Period Focus | Q3 | |
Document Fiscal Year Focus | 2,015 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) | Sep. 30, 2015 | Dec. 31, 2014 |
Current assets: | ||
Cash | $ 5,367 | $ 19,941 |
Accounts receivable | 3,652 | 3,652 |
Other current assets | 940 | 345 |
Total current assets | 9,959 | 23,938 |
Fixed assets, net of depreciation | 1,288 | 3,206 |
Intangible asset, net of amortization | 18,986 | 46,069 |
Total Assets | 30,233 | 73,213 |
Current liabilities: | ||
Accounts payable and accrued expenses | 148,571 | 120,893 |
Amount due to related party | 265,114 | 166,364 |
Total current liabilities | $ 413,685 | 287,257 |
Convertible notes payable, net of debt discount | 10,120 | |
Derivative liability on long term convertible note payable | 63,564 | |
Total liabilities | $ 413,685 | $ 360,941 |
Stockholders' (Deficit) | ||
Preferred stock, $0.001 par value, 10,000,000 authorized, none issued or outstanding as of September 30, 2015 and 2014 | ||
Common stock, $0.001 par value, 300,000,000 shares authorized, 298,772,885 and 91,530,000 shares issued and outstanding, as of September 30, 2015 and December 31, 2014, respectively | $ 298,773 | $ 91,530 |
Additional paid in capital | 1,815,170 | 1,527,730 |
Accumulated (deficit) | (2,497,395) | (1,906,988) |
Total stockholders' (deficit) | (383,452) | (287,728) |
Total Liabilities and Stockholders' Equity (Deficit) | $ 30,233 | $ 73,213 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares | Sep. 30, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, authorized | 10,000,000 | 10,000,000 |
Preferred stock, issued | ||
Preferred stock, outstanding | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, issued | 298,772,885 | 91,530,000 |
Common stock, outstanding | 298,772,885 | 91,530,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Condensed Consolidated Statements Of Operations | ||||
Revenue | $ 19,260 | $ 83,724 | $ 129,262 | $ 288,606 |
Cost of revenue | 26,411 | 75,320 | 106,485 | 238,945 |
Gross profit (loss) | (7,151) | 8,404 | 22,777 | 49,661 |
Operating expenses: | ||||
General and administrative | 56,532 | 143,865 | 254,895 | 291,262 |
Depreciation and amortization | 9,668 | 9,667 | 29,001 | 29,000 |
Total operating expenses | 66,200 | 153,532 | 283,896 | 320,262 |
Operating loss | $ (73,351) | (145,128) | (261,119) | (270,601) |
Other income and expenses: | ||||
Change in derivative liability | $ 26,875 | 189,660 | $ 27,201 | |
Loss on debt conversion | $ 63,462 | 110,962 | ||
Interest (income) expense | 571 | $ 13,637 | 28,666 | $ 88,938 |
Total other income and expenses | 64,033 | 40,512 | 329,288 | 116,139 |
Net (loss) | $ (137,384) | $ (185,640) | $ (590,407) | $ (386,740) |
Per share information - basic and fully diluted: | ||||
Weighted average shares outstanding (in shares) | 217,675,460 | 76,068,478 | 161,851,619 | 76,022,826 |
Net (loss) per share (in dollars per share) | $ 0 | $ 0 | $ 0 | $ (0.01) |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Condensed Consolidated Statements Of Cash Flows | ||
Net cash used in operations | $ (87,324) | $ (132,335) |
Cash flow from investing activities: | ||
Net Cash used in investing activities | ||
Cash flow from financing activities: | ||
Issuance of convertible notes for cash | $ 75,000 | |
Advances from related party | $ 79,550 | 37,487 |
Repayments of advances from related party | (6,800) | (16,110) |
Net cash(used) provided by financing activities | 72,750 | 96,377 |
Net (decrease) increase in cash | (14,574) | (35,958) |
Cash at beginning of period | 19,941 | 36,876 |
Cash at end of period | $ 5,367 | $ 918 |
Cash paid during the period for: | ||
Interest | ||
Taxes | ||
Supplemental disclosure of non-cash financing activities: | ||
97,627,500 shares issued for settlement of $96,054 convertible notes payable and accrued interest | $ 297,471 | |
109,615,385 shares issued for settlement of $86,250 due to related parties | $ 197,212 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows (Parenthetical) - USD ($) | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Condensed Consolidated Statements Of Cash Flows | ||
Number of shares issued for settlement (in shares) | 97,627,500 | |
Shares issued for settlement in amount | $ 96,054 | |
Number of shares issued for settlement due to related party (in shares) | 109,615,385 | |
Shares issued for settlement in amount due to related party | $ 86,250 |
Nature of Business
Nature of Business | 9 Months Ended |
Sep. 30, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Business | Note 1. Nature of Business Throughout this report, the terms our, we, us, and the Company refer to LifeApps Digital Media Inc., including its subsidiaries. We are building health, fitness and sports communities across multiple digital platforms including mobile apps, digital sports and fitness publications, sports and fitness products, sporting events, gateway platforms, online websites and social media. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note 2. Summary of Significant Accounting Policies Going Concern The accompanying financial statements have been prepared in conformity with GAAP, which contemplates our continuation as a going concern. We have incurred losses to date of $2,497,395. To date we have funded our operations through advances from related parties, issuance of convertible debt, and the sale of our common stock. We intend to raise additional funding through third party equity or debt financing. There is no certainty that funding will be available as needed. These factors raise substantial doubt about our ability to continue operating as a going concern. Our ability to continue our operations as a going concern, realize the carrying value of our assets, and discharge our liabilities in the normal course of business is dependent upon our ability to raise capital sufficient to fund our commitments and ongoing losses, and ultimately generate profitable operations. Unaudited Interim Financial Statements The accompanying unaudited condensed consolidated financial statements of LifeApps Digital Media Inc. at September 30, 2015 and 2014 have been prepared in accordance with generally accepted accounting principles (GAAP) for interim financial statements, instructions to Form 10-Q, and Regulation S-X. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted. These condensed consolidated financial statements should be read in conjunction with the financial statements and notes thereto included in our annual report on Form 10-K for the year ended December 31, 2014. In management's opinion, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair presentation to make our financial statements not misleading have been included. The results of operations for the periods ended September 30, 2015 and 2014 presented are not necessarily indicative of the results to be expected for the full year. The December 31, 2014 balance sheet has been derived from our audited financial statements included in our annual report on Form 10-K for the year ended December 31, 2014. Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Company and our wholly owned subsidiaries, LifeApps Inc. and Sports One Group Inc. All material inter-company transactions and balances have been eliminated in consolidation. Use of Estimates The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities in the balance sheets and revenues and expenses during the years reported. Actual results may differ from these estimates. Accounts Receivable A significant majority of our sales are through credit cards and other electronic payment methods. When we do grant credit to our customers it is generally in the form of short term accounts receivables, normally due in 30 days. The credit worthiness of the customer is evaluated prior to the sale. During the year ended December 31, 2014 we recorded a reserve for doubtful accounts of $5,109. No adjustment to the reserve was deemed appropriate during the three months and nine months ended September 30, 2015. Intangibles Intangibles, which include websites and databases acquired, internet domain name costs, and customer lists, are being amortized over the expected useful lives which we estimate to be three to five years. In accordance with ASC Topic 350 Intangibles Goodwill and Other Fixed Assets Fixed assets are stated at cost less accumulated depreciation and accumulated impairment loss, if any. Depreciation is calculated on a straight line basis over the estimated useful lives of the assets. The estimated useful lives used for financial statement purposes are: Furniture and equipment: 3 years Derivative Financial Instruments: We do not use derivative instruments to hedge exposures to cash flow, market or foreign currency risks. We evaluate all of our financial instruments to determine if such instruments are derivatives or contain features that qualify as embedded derivatives. For derivative financial instruments that are accounted for as liabilities, the derivative instrument is initially recorded at its fair value and is then re-valued at each reporting date, with changes in the fair value reported in the statements of operations. For stock-based derivative financial instruments, we used a Black Scholes valuation model to value the derivative instruments at inception and on subsequent valuation dates. The classification of derivative instruments, including whether such instruments should be recorded as liabilities or as equity, is evaluated at the end of each reporting period. Derivative liabilities are classified in the balance sheet as current or non-current based on whether or not net-cash settlement or conversion of the instrument could be required within 12 months of the balance sheet date. Revenue Recognition Revenue is derived primarily from the sale of sports and fitness apparel and equipment, and software applications designed for use on mobile devices such as smart phones and tablets. Revenue is recognized only when persuasive evidence of an arrangement exists, the fee is fixed or determinable, the product or service has been delivered, and collectability is reasonably assumed. We sell our software directly via Internet download through third party agents. We recognize revenue when payment is received from the agent. Payment is received net of commission paid to the agent, usually 70% to us and 30% to the agent. We record the net amount received as revenue. We also publish and sell digital magazines through the internet. Magazines can be purchased as individual volumes or as a subscription. To date we have not had any subscription sales. Cost of Revenue Cost of revenue includes the cost of amounts paid for articles, photography, editorial and production cost of the magazine and ongoing web hosting costs. Cost of revenue related to product sales includes the direct cost of those products sold. Research and development, Website Development Costs, and Software Development Costs All research and development costs are expensed as incurred. Software development costs eligible for capitalization under ASC 350-50, Website Development Cost, and ASC 985-20, Software-Costs of Software to be Sold, Leased or Marketed, were not material to our financial statements for the three and nine months ended September 30, 2015 and 2014. Research and development expenses amounted to $16,504 for the three months ended September 30, 2014 and $7,797 and $19,065 for nine months ended September 30, 2015 and 2014, respectively. There were no research and development expenses incurred during the quarter ended September 30, 2015. Research and development expenses were included in general and administrative expenses. Advertising Costs We recognize advertising expense when incurred. Advertising expense was $185 and $438 for the three months ended September 30, 2015 and 2014, respectively, and $3,036 and $1,035 for the nine months ended September 30, 2015 and 2014, and, respectively. Rent Expense We recognizes rent expense on a straight-line basis over the reasonably assured lease term as defined in ASC Topic 840, Leases (ASC 840). Our lease is short term and will be renewed on a month-to-month basis. Rent expense was $1,252 and $1,934 for the three months ended September 30, 2015 and 2014, respectively, and for the nine months ended September 30, 2015 and 2014, was $4,606 and $4,831, respectively. Equity-Based Compensation Stock-based compensation is presented in accordance with the guidance of ASC Topic 718, Compensation Stock Compensation In prior periods we issued options to purchase our common stock to employees under our 2012 Equity Incentive Plan which is a qualified stock option plan. We used the Black-Scholes option-pricing model (Black-Scholes model) to determine fair value. The determination of fair value of share-based payment awards on the date of grant using an option-pricing model is affected by our stock price as well as assumptions regarding a number of highly complex and subjective variables. These variables include, but are not limited to, our expected stock price volatility over the term of the awards, and actual and projected employee stock option exercise behaviors. Although the fair value of employee stock options is determined in accordance with ASC 718 using an option-pricing model, that value may not be indicative of the fair value observed in a willing buyer/willing seller market transaction. There were no options granted during the three months and nine months ended September 30, 2015 or 2014. Total compensation expense of all stock based compensation recognized under ASC 718 was $0 and $0 for the three months ended September 30, 2015 and 2014, respectively, and for the nine months ended September 30, 2015 and 2014 was $0 and $14,876, respectively. Income Taxes The provision for income taxes is determined in accordance with the provisions of ASC Topic 740, Accounting for Income Taxes (ASC 740). Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted income tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Any effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. ASC 740 prescribes a comprehensive model for how companies should recognize, measure, present, and disclose in their financial statements, uncertain tax positions taken or expected to be taken on a tax return. Under ASC 740, tax positions must initially be recognized in the financial statements when it is more likely than not the position will be sustained upon examination by the tax authorities. Such tax positions must initially and subsequently be measured as the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the tax authority assuming full knowledge of the position and relevant facts. For the three and nine months ended September 30, 2015 and 2014 we did not have any interest and penalties or any significant unrecognized uncertain tax positions. Recent Pronouncements From time to time, new accounting pronouncements are issued that we adopt as of the specified effective date. We believe that the impact of recently issued standards that are not yet effective may have an impact on our results of operations and financial position. ASU Update 2014-15 Presentation of Financial Statements-Going Concern (Sub Topic 205-40) issued August 27, 2014 by FASB defines managements responsibility to evaluate whether there is substantial doubt about an organizations ability to continue as a going concern. The additional disclosure requirement is effective after December 15, 2016 and will be evaluated as to impact and implemented accordingly. |
Intangible Assets
Intangible Assets | 9 Months Ended |
Sep. 30, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | Note 3. Intangible Assets At September 30, 2015 and December 31, 2014, intangible assets consist of the following: September 30, 2015 December 31, 2014 Internet domain names $ 58,641 $ 58,641 Less accumulated amortization (51,247 ) (38,851 ) $ 7,394 $ 19,790 Website and data bases $ 56,050 $ 56,050 Less accumulated amortization (46,708 ) (32,696 ) $ 9,342 $ 23,354 Customer and supplier lists $ 4,500 $ 4,500 Less accumulated amortization (2,250 ) (1,575 ) $ 2,250 $ 2,925 Total intangibles $ 119,191 $ 119,191 Less accumulated amortization (100,206 ) (73,123 ) $ 18,986 $ 46,069 The amount charged to amortization expense for all intangibles was $9,027 for the three months ended September 30, 2015 and 2014, respectively and $27,082 for the nine months ended September 30, 2015 and 2014, respectively. Estimated future amortization expense related to the intangibles as of September 30, 2015 is as follows: Year Ended December 31, 2015 (three months remaining) $ 8,712 2016 9,149 2017 900 2018 225 $ 18,986 |
Amount Due Related Parties
Amount Due Related Parties | 9 Months Ended |
Sep. 30, 2015 | |
Related Party Transactions [Abstract] | |
Amount Due Related Parties | Note 4. Amount Due Related Parties Parties, which can be a corporation or an individual, are considered to be related if we have the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operating decisions. Companies are also considered to be related if they are subject to common control or common significant influence. Amount due related party represents cash advances, salary accruals and amounts paid on our behalf by an officer and shareholder of the Company. These advances are non-interest bearing, short term in nature and due on demand. The balance at September 30, 2015 and December 31, 2014 was $265,114 and $166,364 respectively. On March 25, 2015, we entered into a debt conversion agreement with our CEO and principal stockholder, Robert Gayman. The agreement provided Mr. Gayman with the right to convert $31,250 owed to him for working capital loans made to the Company for 25,000,000 restricted shares of our common stock. The conversion price was based on the following formula - equal to the lesser of $0.068 or 60% of the lowest trade price ($0.0025) in the 25 trading days previous to the conversion. (In the event that Conversion Shares are not deliverable by DWAC, an additional 10% discount shall apply; if the shares are ineligible for deposit into the DTC system and only eligible for Xclearing deposit, an additional 5% discount shall apply; and in the case of both, an additional cumulative 15% discount shall apply.) The conversion price as calculated was $0.00125 per share. We recognized a loss on conversion of $47,500, the difference between the conversion price and the closing trading price on the date of the conversion. On September 15, 2015, we entered into a debt conversion agreement with a director and stockholder, Lawrence Roan. Between August 6, 2014 and September 10, 2015, Mr. Roan loaned the Company a total of $55,000 (the Loan Amount) for working capital purposes. On September 15, 2015, the Board resolved that Mr. Roan be granted the right to convert the Loan Amount into 84,615,385 shares (the Conversion Shares) of the Companys common stock in accordance with the provisions of the Debt Conversion Agreement. The conversion price used to calculate the number of Conversion Shares was set at $0.00065 based on the following formula: the conversion price will be equal to the lesser of $0.068 or 60% of the lowest trade price in the 25 trading days prior to the conversion. Because the Conversion Shares are not deliverable by DWAC, an additional 10% discount applies to the calculation. Following issuance of the Conversion Shares, Mr. Roan owns 28.3% of the 298,772,885 outstanding shares of the Companys common stock. We recognized a loss on conversion of $63,462, the difference between the conversion price and the closing trading price on the date of the conversion. |
Convertible Notes Payable
Convertible Notes Payable | 9 Months Ended |
Sep. 30, 2015 | |
Debt Disclosure [Abstract] | |
Convertible Notes Payable | Note 5. Convertible Notes Payable During 2014, we executed a Promissory Note (the Note) and received three draws totaling $135,000. The Note was due March 17, 2016 and provided for an original issue discount of $15,185, to be amortized over 24 months, and face interest rate of 12% per annum. The lender had the right, at any time at its election to convert all or part of the outstanding and unpaid principal and accrued interest into shares of our common stock. The conversion price is the lesser of $0.0485 or 50% of the lowest trading price in the 25 trading days prior the conversion. The Note provided for additional penalties if we could not deliver the underlying common stock on a timely basis. The Note also provided that the principal amount could be increased, with the consent of the lender to $445,000. We evaluated the terms of the conversion features of the convertible debenture in accordance with ASC Topic No. 815 - 40, Derivatives and Hedging - Contracts in Entity's Own Stock and determined it is indexed to the Company's common stock and that the conversion features meet the definition of a liability and therefore bifurcated the conversion feature and accounted for it as a separate derivative liability. We valued the conversion feature at origination of all draws at $230,408 using the Black Scholes valuation model with the following assumptions: dividend yield of zero, 1.25 to 2 years to maturity, risk free interest rate of 0.38% to 0.58% and annualized volatility of 97.34% to 146%. $135,000 of the value assigned to the derivative liability was recognized as a debt discount on the convertible debenture. The debt discount was recorded as reduction (contra-liability) to the convertible debenture and is being amortized over the life of the convertible debenture. The balance of $95,408 of the value assigned to the derivative liability was recognized as origination interest on the derivative liability and expensed on origination. We valued the derivative liability and at the end of each accounting period the difference in value is recognized as gain or loss. At June 30, 2015 (the final accounting period during which the liability was outstanding), we determined the valuation using the Black-Sholes valuation model with the following assumptions: dividend yield of zero, 0.96 years to maturity, risk free interest rate of 0.56% and annualized volatility of 167%. We recognized $0 and $26,875 for the three months ended September 30, 2015 and 2014, and $189,660 and $27,201 of expense for the change in value of the derivative for the nine months ended September 30, 2015 and 2014, respectively. During the nine months ended September 30, 2015, the lender converted $96,054 of the principal and accrued interest of the Note into 97,627,500 shares of our $0.001 par value common stock and, as a result of this conversion, the Note along with accrued interest has been repaid in full and is no longer outstanding. During September 2014, the lender converted $10,500 of the principal of the Note into 700,000 shares of our $0.001 common stock. The balance at December 31, 2014 was comprised of: 2014 Convertible notes payable $ 78,029 Unamortized original issue discount and debt discount (67,909 ) $ 10,120 |
Shareholders' Equity
Shareholders' Equity | 9 Months Ended |
Sep. 30, 2015 | |
Stockholders' Equity Note [Abstract] | |
Shareholders' Equity | Note 6. Shareholders Equity During the nine months ended September 30, 2015 we issued 207,242,885 shares of common stock as a result of conversion of debt. As more fully described in Notes 4 and 5 above, of the shares issued 97,627,500 were to an unrelated note holder and 109,615,385 were to officers and/or directors of the Company. |
Stock Based Compensation
Stock Based Compensation | 9 Months Ended |
Sep. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock Based Compensation | Note 7. Stock Based Compensation In prior periods, our Board of Directors adopted the 2012 Equity Incentive Plan (2012 Plan), which was approved by our shareholders. The 2012 Plan provides for the issuance of up to 10,000,000 shares of our common stock. The plan provides for the award of options, stock appreciation rights, performance share awards, and restricted stock and stock units. The plan is administered by the Board of Directors. Pursuant to the 2012 Plan our Board of Directors granted options to purchase 6,275,000 shares of our common stock. Subsequent to the grant 300,000 options were cancelled. No options were granted during the three months and nine months ended September 30, 2015 and 2014. The fair value of the options previously granted, $215,628, was estimated at the date of grant using the Black-Scholes option pricing model, with the following assumptions: Expected life (in years) 3 Volatility (based on a comparable company) 117 % Risk Free interest rate 0.36 - 0.48 % Dividend yield (on common stock) - Amounts charged to expense for the options granted to employees was $0 for the three month periods ended September 30, 2015 and 2014, and $0 and $13,473 for the nine months ended September 30, 2015 and 2014, respectively. Amounts charged to expense for the options granted to non-employees was $0 for the three month periods ended September 30, 2015 and 2014, and $0 and $1,403 for the nine months ended September 30, 2015 and 2014, respectively. The following is a summary of stock option issued to employees and directors: Options Weighted Weighted Aggregate Outstanding January 1, 2015 4,950,000 $ 0.047 - - Granted - $ - - - Exercised - $ - - - Cancelled - $ - - - Outstanding September 30, 2015 4,950,000 $ 0.047 1.56 $ - Exercisable September 30, 2015 4,950,000 $ 0.047 1.56 $ - There will be no additional compensation expense recognized in future periods. The following is a summary of stock options issued to non-employees: Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value at date of grant Outstanding January 1, 2015 1,025,000 $ 0.058 - - Granted - $ - - - Exercised - $ - - - Cancelled - $ - - - Outstanding September 30, 2015 1,025,000 $ 0.058 1.39 $ - Exercisable September 30, 2015 1,025,000 $ 0.058 1.39 $ - There will be no additional compensation expense recognized in future periods. |
Outstanding Warrants
Outstanding Warrants | 9 Months Ended |
Sep. 30, 2015 | |
Outstanding Warrants | |
Outstanding Warrants | Note 8. Outstanding Warrants There were no warrants issued during the three months and nine months ended September 30, 2015 or 2014. The following is a summary of outstanding warrants as of September 30, 2015: Number of warrants Exercise price per share Average remaining term in years Aggregate intrinsic value at date of grant Warrants issued in connection with private placement of units in 2012 6,000,000 $ 1.00 3.28 $ - |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 9. Income Taxes As previously stated, we account for income taxes in interim periods in accordance with ASC Topic 740, Income Taxes |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2015 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 10. Earnings Per Share We calculate earnings per share in accordance with ASC Topic 260 Earnings Per Share |
Business Segments
Business Segments | 9 Months Ended |
Sep. 30, 2015 | |
Segment Reporting [Abstract] | |
Business Segments | Note 11. Business Segments We currently have two business segments; (i) the sale of physical products and (ii) digital publishing. There was only one active business segment, sale of physical products, in the three months and nine months ended September 30, 2015 and 2014. The accounting policies of the segments are the same as those described in the summary of significant accounting policies. The publishing segment does not meet the quantitative threshold for disclosure as outlined ASC Topic 280 Segment Reporting. All of our revenue is generated in the United States and accordingly no geographic segment reporting is included. No customer accounted for 10% percent of our revenues in the three months and the nine months ended September 30, 2015 and 2014. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 12. Subsequent Events During October 2015 the Companys Board of Directors adopted the following resolutions regarding the name and capital structure of the Company: (i) to change the name of the Corporation to LifeApps Brands Inc.; (ii) to increase the number of authorized shares of capital stock of the Corporation to 510,000,000 shares (500,000,000 shares of common stock, par value $0.001 per share, and 10,000,000 shares of blank check preferred stock, par value $0.001 per share); and (iii) to reduce the number of outstanding shares of the Corporations common stock by means of one-for-fifteen (1:15) reverse stock split (the Reverse Stock Split); and (iv) to increase the number of shares issuable under the LifeApps Digital Media Inc. 2012 Equity Incentive Plan from 10,000,000 to 20,000,000, on a post-Reverse Stock Split basis. These changes are expected to become effective during the quarter ended December 31, 2015. The proposed changes have not been reflected in the foregoing financial statements and notes thereto. On November 9, 2015, the Company borrowed $25,000 for working capital purposes from an unrelated individual. The terms of the loan stipulate that the principal amount of the loan and all accrued interest shall be due and payable no later than March 21, 2016, 120 days from Nov. 15, 2015. Interest on the loan shall accrue at a rate of ten percent (10%) per annum. Additionally, the holder may convert the principal of, and accrued interest on, the loan into shares of the Companys $0.001 par value common stock at the rate of $.05 per share at any time subsequent to the effective date of the Companys proposed reverse stock split. |
Summary of Significant Accoun19
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Going Concern | Going Concern The accompanying financial statements have been prepared in conformity with GAAP, which contemplates our continuation as a going concern. We have incurred losses to date of $2,497,395. To date we have funded our operations through advances from related parties, issuance of convertible debt, and the sale of our common stock. We intend to raise additional funding through third party equity or debt financing. There is no certainty that funding will be available as needed. These factors raise substantial doubt about our ability to continue operating as a going concern. Our ability to continue our operations as a going concern, realize the carrying value of our assets, and discharge our liabilities in the normal course of business is dependent upon our ability to raise capital sufficient to fund our commitments and ongoing losses, and ultimately generate profitable operations. |
Unaudited Interim Financial Statements | Unaudited Interim Financial Statements The accompanying unaudited condensed consolidated financial statements of LifeApps Digital Media Inc. at September 30, 2015 and 2014 have been prepared in accordance with generally accepted accounting principles (GAAP) for interim financial statements, instructions to Form 10-Q, and Regulation S-X. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted. These condensed consolidated financial statements should be read in conjunction with the financial statements and notes thereto included in our annual report on Form 10-K for the year ended December 31, 2014. In management's opinion, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair presentation to make our financial statements not misleading have been included. The results of operations for the periods ended September 30, 2015 and 2014 presented are not necessarily indicative of the results to be expected for the full year. The December 31, 2014 balance sheet has been derived from our audited financial statements included in our annual report on Form 10-K for the year ended December 31, 2014. |
Principles of Consolidation | Principles of Consolidation The accompanying consolidated financial statements include the accounts of the Company and our wholly owned subsidiaries, LifeApps Inc. and Sports One Group Inc. All material inter-company transactions and balances have been eliminated in consolidation. |
Use of Estimates | Use of Estimates The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities in the balance sheets and revenues and expenses during the years reported. Actual results may differ from these estimates. |
Accounts Receivable | Accounts Receivable A significant majority of our sales are through credit cards and other electronic payment methods. When we do grant credit to our customers it is generally in the form of short term accounts receivables, normally due in 30 days. The credit worthiness of the customer is evaluated prior to the sale. During the year ended December 31, 2014 we recorded a reserve for doubtful accounts of $5,109. No adjustment to the reserve was deemed appropriate during the three months and nine months ended September 30, 2015. |
Intangibles | Intangibles Intangibles, which include websites and databases acquired, internet domain name costs, and customer lists, are being amortized over the expected useful lives which we estimate to be three to five years. In accordance with ASC Topic 350 Intangibles Goodwill and Other |
Fixed Assets | Fixed Assets Fixed assets are stated at cost less accumulated depreciation and accumulated impairment loss, if any. Depreciation is calculated on a straight line basis over the estimated useful lives of the assets. The estimated useful lives used for financial statement purposes are: Furniture and equipment: 3 years |
Derivative Financial Instruments: | Derivative Financial Instruments: We do not use derivative instruments to hedge exposures to cash flow, market or foreign currency risks. We evaluate all of our financial instruments to determine if such instruments are derivatives or contain features that qualify as embedded derivatives. For derivative financial instruments that are accounted for as liabilities, the derivative instrument is initially recorded at its fair value and is then re-valued at each reporting date, with changes in the fair value reported in the statements of operations. For stock-based derivative financial instruments, we used a Black Scholes valuation model to value the derivative instruments at inception and on subsequent valuation dates. The classification of derivative instruments, including whether such instruments should be recorded as liabilities or as equity, is evaluated at the end of each reporting period. Derivative liabilities are classified in the balance sheet as current or non-current based on whether or not net-cash settlement or conversion of the instrument could be required within 12 months of the balance sheet date. |
Revenue Recognition | Revenue Recognition Revenue is derived primarily from the sale of sports and fitness apparel and equipment, and software applications designed for use on mobile devices such as smart phones and tablets. Revenue is recognized only when persuasive evidence of an arrangement exists, the fee is fixed or determinable, the product or service has been delivered, and collectability is reasonably assumed. We sell our software directly via Internet download through third party agents. We recognize revenue when payment is received from the agent. Payment is received net of commission paid to the agent, usually 70% to us and 30% to the agent. We record the net amount received as revenue. We also publish and sell digital magazines through the internet. Magazines can be purchased as individual volumes or as a subscription. To date we have not had any subscription sales. |
Cost of Revenue | Cost of Revenue Cost of revenue includes the cost of amounts paid for articles, photography, editorial and production cost of the magazine and ongoing web hosting costs. Cost of revenue related to product sales includes the direct cost of those products sold. |
Research and development, Website Development Costs, and Software Development Costs | Research and development, Website Development Costs, and Software Development Costs All research and development costs are expensed as incurred. Software development costs eligible for capitalization under ASC 350-50, Website Development Cost, and ASC 985-20, Software-Costs of Software to be Sold, Leased or Marketed, were not material to our financial statements for the three and nine months ended September 30, 2015 and 2014. Research and development expenses amounted to $16,504 for the three months ended September 30, 2014 and $7,797 and $19,065 for nine months ended September 30, 2015 and 2014, respectively. There were no research and development expenses incurred during the quarter ended September 30, 2015. Research and development expenses were included in general and administrative expenses. |
Advertising Costs | Advertising Costs We recognize advertising expense when incurred. Advertising expense was $185 and $438 for the three months ended September 30, 2015 and 2014, respectively, and $3,036 and $1,035 for the nine months ended September 30, 2015 and 2014, and, respectively. |
Rent Expense | Rent Expense We recognizes rent expense on a straight-line basis over the reasonably assured lease term as defined in ASC Topic 840, Leases (ASC 840). Our lease is short term and will be renewed on a month-to-month basis. Rent expense was $1,252 and $1,934 for the three months ended September 30, 2015 and 2014, respectively, and for the nine months ended September 30, 2015 and 2014, was $4,606 and $4,831, respectively. |
Equity-Based Compensation | Equity-Based Compensation Stock-based compensation is presented in accordance with the guidance of ASC Topic 718, Compensation Stock Compensation In prior periods we issued options to purchase our common stock to employees under our 2012 Equity Incentive Plan which is a qualified stock option plan. We used the Black-Scholes option-pricing model (Black-Scholes model) to determine fair value. The determination of fair value of share-based payment awards on the date of grant using an option-pricing model is affected by our stock price as well as assumptions regarding a number of highly complex and subjective variables. These variables include, but are not limited to, our expected stock price volatility over the term of the awards, and actual and projected employee stock option exercise behaviors. Although the fair value of employee stock options is determined in accordance with ASC 718 using an option-pricing model, that value may not be indicative of the fair value observed in a willing buyer/willing seller market transaction. There were no options granted during the three months and nine months ended September 30, 2015 or 2014. Total compensation expense of all stock based compensation recognized under ASC 718 was $0 and $0 for the three months ended September 30, 2015 and 2014, respectively, and for the nine months ended September 30, 2015 and 2014 was $0 and $14,876, respectively. |
Income Taxes | Income Taxes The provision for income taxes is determined in accordance with the provisions of ASC Topic 740, Accounting for Income Taxes (ASC 740). Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. Deferred tax assets and liabilities are measured using enacted income tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Any effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. ASC 740 prescribes a comprehensive model for how companies should recognize, measure, present, and disclose in their financial statements, uncertain tax positions taken or expected to be taken on a tax return. Under ASC 740, tax positions must initially be recognized in the financial statements when it is more likely than not the position will be sustained upon examination by the tax authorities. Such tax positions must initially and subsequently be measured as the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the tax authority assuming full knowledge of the position and relevant facts. For the three and nine months ended September 30, 2015 and 2014 we did not have any interest and penalties or any significant unrecognized uncertain tax positions. |
Recent Pronouncements | Recent Pronouncements From time to time, new accounting pronouncements are issued that we adopt as of the specified effective date. We believe that the impact of recently issued standards that are not yet effective may have an impact on our results of operations and financial position. ASU Update 2014-15 Presentation of Financial Statements-Going Concern (Sub Topic 205-40) issued August 27, 2014 by FASB defines managements responsibility to evaluate whether there is substantial doubt about an organizations ability to continue as a going concern. The additional disclosure requirement is effective after December 15, 2016 and will be evaluated as to impact and implemented accordingly. |
Intangible Assets (Tables)
Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of intangible assets | At September 30, 2015 and December 31, 2014, intangible assets consist of the following: September 30, 2015 December 31, 2014 Internet domain names $ 58,641 $ 58,641 Less accumulated amortization (51,247 ) (38,851 ) $ 7,394 $ 19,790 Website and data bases $ 56,050 $ 56,050 Less accumulated amortization (46,708 ) (32,696 ) $ 9,342 $ 23,354 Customer and supplier lists $ 4,500 $ 4,500 Less accumulated amortization (2,250 ) (1,575 ) $ 2,250 $ 2,925 Total intangibles $ 119,191 $ 119,191 Less accumulated amortization (100,206 ) (73,123 ) $ 18,986 $ 46,069 |
Schedule of estimated future amortization expense related to the intangibles | Estimated future amortization expense related to the intangibles as of September 30, 2015 is as follows: Year Ended December 31, 2015 (three months remaining) $ 8,712 2016 9,149 2017 900 2018 225 $ 18,986 |
Notes Payable (Tables)
Notes Payable (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Debt Disclosure [Abstract] | |
Schedule of convertible notes payable | The balance at December 31, 2014 was comprised of: 2014 Convertible notes payable $ 78,029 Unamortized original issue discount and debt discount (67,909 ) $ 10,120 |
Stock Based Compensation (Table
Stock Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of fair value of the options of grant using the Black-Scholes option pricing model | The fair value of the options previously granted, $215,628, was estimated at the date of grant using the Black-Scholes option pricing model, with the following assumptions: Expected life (in years) 3 Volatility (based on a comparable company) 117 % Risk Free interest rate 0.36 - 0.48 % Dividend yield (on common stock) - |
Schedule of stock option issued employees and directors | The following is a summary of stock option issued to employees and directors: Options Weighted Weighted Aggregate Outstanding January 1, 2015 4,950,000 $ 0.047 - - Granted - $ - - - Exercised - $ - - - Cancelled - $ - - - Outstanding September 30, 2015 4,950,000 $ 0.047 1.56 $ - Exercisable September 30, 2015 4,950,000 $ 0.047 1.56 $ - |
Schedule of stock option issued to non employees | The following is a summary of stock options issued to non-employees: Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value at date of grant Outstanding January 1, 2015 1,025,000 $ 0.058 - - Granted - $ - - - Exercised - $ - - - Cancelled - $ - - - Outstanding September 30, 2015 1,025,000 $ 0.058 1.39 $ - Exercisable September 30, 2015 1,025,000 $ 0.058 1.39 $ - |
Outstanding Warrants (Tables)
Outstanding Warrants (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Outstanding Warrants | |
Schedule of outstanding warrants | There were no warrants issued during the three months and nine months ended September 30, 2015 or 2014. The following is a summary of outstanding warrants as of September 30, 2015: Number of warrants Exercise price per share Average remaining term in years Aggregate intrinsic value at date of grant Warrants issued in connection with private placement of units in 2012 6,000,000 $ 1.00 3.28 $ - |
Summary of Significant Accoun24
Summary of Significant Accounting Policies (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | |
Accumulated (deficit) | $ (2,497,395) | $ (2,497,395) | $ (1,906,988) | ||
Accounts receivables due | 30 days | ||||
Reserve for doubtful accounts | $ 5,109 | ||||
Furniture and equipment estimated useful lives | 3 years | ||||
Research and development expenses | 0 | $ 16,504 | $ 7,797 | $ 19,065 | |
Advertising expense | 185 | 438 | 3,036 | 1,035 | |
Rent expense | 1,252 | 1,934 | 4,606 | 4,831 | |
Compensation expense | $ 0 | $ 0 | $ 0 | $ 14,876 | |
Minimum [Member] | |||||
Intangibles assets estimated useful life | 3 years | ||||
Maximum [Member] | |||||
Intangibles assets estimated useful life | 5 years |
Intangible Assets (Details Narr
Intangible Assets (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Amortization expense | $ 9,027 | $ 9,027 | $ 27,082 | $ 27,082 |
Intangible Assets (Details)
Intangible Assets (Details) - USD ($) | Sep. 30, 2015 | Dec. 31, 2014 |
Gross intangibles | $ 119,191 | $ 119,191 |
Less accumulated amortization | (100,206) | (73,123) |
Total intangibles | 18,986 | 46,069 |
Internet Domain Names [Member] | ||
Gross intangibles | 58,641 | 58,641 |
Less accumulated amortization | (51,247) | (38,851) |
Total intangibles | 7,394 | 19,790 |
Website And Database Rights [Member] | ||
Gross intangibles | 56,050 | 56,050 |
Less accumulated amortization | (46,708) | (32,696) |
Total intangibles | 9,342 | 23,354 |
Customer And Supplier Lists [Member] | ||
Gross intangibles | 4,500 | 4,500 |
Less accumulated amortization | (2,250) | (1,575) |
Total intangibles | $ 2,250 | $ 2,925 |
Intangible Assets (Details 1)
Intangible Assets (Details 1) | Sep. 30, 2015USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2015 (three months remaining) | $ 8,712 |
2,016 | 9,149 |
2,017 | 900 |
2,018 | 225 |
Estimated future amortization expense | $ 18,986 |
Amount Due Related Parties (Det
Amount Due Related Parties (Details Narrative) | Sep. 15, 2015USD ($)Number$ / sharesshares | Mar. 25, 2015USD ($)Number$ / shares | Sep. 30, 2015USD ($)Numbershares | Dec. 31, 2014USD ($)shares |
Amount due to related party | $ 265,114 | $ 166,364 | ||
Number of shares isssued for conversion | Number | 207,242,885 | |||
Common stock, outstanding | shares | 298,772,885 | 91,530,000 | ||
Mr. Robert Gayman [Member] | ||||
Debt conversion type of equity security | Restricted common shares | |||
Debt beneficial conversion feature | $ 31,250 | |||
Number of shares isssued for conversion | Number | 25,000,000 | 109,615,385 | ||
Debt conversion price (in dollars per shares) | $ / shares | $ 0.00125 | |||
Description of conversion price | The conversion price was based on the following formula - equal to the lesser of $0.068 or 60% of the lowest trade price ($0.0025) in the 25 trading days previous to the conversion. (In the event that Conversion Shares are not deliverable by DWAC, an additional 10% discount shall apply; if the shares are ineligible for deposit into the DTC system and only eligible for Xclearing deposit, an additional 5% discount shall apply; and in the case of both, an additional cumulative 15% discount shall apply.) | |||
Loss on conversion debt | $ 47,500 | |||
Mr. Lawrence Roan [Member] | ||||
Debt beneficial conversion feature | $ 55,000 | |||
Number of shares isssued for conversion | Number | 84,615,385 | |||
Debt conversion price (in dollars per shares) | $ / shares | $ 0.00065 | |||
Description of conversion price | The conversion price will be equal to the lesser of $0.068 or 60% of the lowest trade price in the 25 trading days prior to the conversion. Because the Conversion Shares are not deliverable by DWAC, an additional 10% discount applies to the calculation. | |||
Loss on conversion debt | $ 63,462 | |||
Common stock, outstanding | shares | 298,772,885 |
Convertible Notes Payable (Deta
Convertible Notes Payable (Details Narrative) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2015USD ($)$ / shares | Sep. 30, 2014USD ($)$ / shares | Sep. 30, 2015USD ($)Number$ / shares | Sep. 30, 2014USD ($)Number$ / shares | Dec. 31, 2014USD ($)Number$ / shares | |
Increase (decrease) in derivative liabilities | $ 26,875 | $ 189,660 | $ 27,201 | ||
Number of shares isssued for conversion | Number | 207,242,885 | ||||
Common stock, par value (in dollars per share) | $ / shares | $ 0.001 | $ 0.001 | $ 0.001 | ||
Unrelated Note Holder [Member] | |||||
Debt beneficial conversion feature | $ 96,054 | $ 10,500 | |||
Number of shares isssued for conversion | Number | 97,627,500 | 700,000 | |||
Common stock, par value (in dollars per share) | $ / shares | $ 0.001 | $ 0.001 | $ 0.001 | $ 0.001 | |
12% Convertible Promissory Note Due 2016-03-17 [Member] | |||||
Number of draws | Number | 3 | ||||
Note face amount | $ 135,000 | ||||
Unamortized debt discount | $ 15,185 | ||||
Debt term | 24 months | ||||
Decsription of conversion terms | The conversion price is the lesser of $0.0485 or 50% of the lowest trading price in the 25 trading days prior the conversion. | ||||
Debt beneficial conversion feature | $ 230,408 | ||||
Dividend yield | 0.00% | 0.00% | |||
Expected term | 11 months 16 days | ||||
Risk free interest rate | 0.56% | ||||
Volatility rate | 167.00% | ||||
Derivative liabilities | $ 95,408 | ||||
Increase (decrease) in derivative liabilities | $ 0 | $ 26,875 | $ 189,660 | $ 27,201 | |
12% Convertible Promissory Note Due 2016-03-17 [Member] | Maximum [Member] | |||||
Expected term | 2 years | ||||
Risk free interest rate | 0.58% | ||||
Volatility rate | 146.00% | ||||
12% Convertible Promissory Note Due 2016-03-17 [Member] | Minimum [Member] | |||||
Expected term | 1 year 3 months | ||||
Risk free interest rate | 0.38% | ||||
Volatility rate | 97.34% | ||||
Convertible Debenture [Member] | |||||
Unamortized debt discount | $ 135,000 |
Convertible Notes Payable (De30
Convertible Notes Payable (Details) - USD ($) | Sep. 30, 2015 | Dec. 31, 2014 |
Convertible notes payable, net of debt discount | $ 10,120 | |
12% Convertible Promissory Note Due 2016-03-17 [Member] | ||
Carrying amount | 78,029 | |
Unamortized original issue discount and debt discount | (67,909) | |
Convertible notes payable, net of debt discount | $ 10,120 |
Shareholders' Equity (Details N
Shareholders' Equity (Details Narrative) - Number | Mar. 25, 2015 | Sep. 30, 2015 | Sep. 30, 2014 |
Number of shares isssued for conversion | 207,242,885 | ||
Unrelated Note Holder [Member] | |||
Number of shares isssued for conversion | 97,627,500 | 700,000 | |
Mr. Robert Gayman [Member] | |||
Number of shares isssued for conversion | 25,000,000 | 109,615,385 |
Stock Based Compensation (Detai
Stock Based Compensation (Details Narrative) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Compensation expense | $ 0 | $ 0 | $ 0 | $ 14,876 |
2012 Equity Incentive Plan [Member] | ||||
Number of options authorized | 10,000,000 | 10,000,000 | ||
Number of options to purchase | 6,275,000 | |||
Number of options cancelled | 300,000 | |||
Fair value of options | $ 215,628 | |||
2012 Equity Incentive Plan [Member] | Non Employees [Member] | ||||
Compensation expense | $ 0 | 0 | 0 | 1,403 |
2012 Equity Incentive Plan [Member] | Employees [Member] | ||||
Compensation expense | $ 0 | $ 0 | $ 0 | $ 13,473 |
Stock Based Compensation (Det33
Stock Based Compensation (Details) | 9 Months Ended |
Sep. 30, 2015 | |
Expected life | 3 years |
Volatility (based on a comparable company) | 117.00% |
Dividend yield (on common stock) | 0.00% |
Minimum [Member] | |
Risk Free interest rate | 0.36% |
Maximum [Member] | |
Risk Free interest rate | 0.48% |
Stock Based Compensation (Det34
Stock Based Compensation (Details 1) | 9 Months Ended |
Sep. 30, 2015USD ($)$ / sharesshares | |
Employees [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |
Outstanding Beginning | shares | 4,950,000 |
Granted | shares | |
Exercised | shares | |
Cancelled | shares | |
Outstanding Ending | shares | 4,950,000 |
Exercisable Ending | shares | 4,950,000 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | |
Outstanding Beginning | $ 0.047 |
Granted | |
Exercised | |
Cancelled | |
Outstanding Ending | $ 0.047 |
Exercisable Ending | $ 0.047 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term [Abstract] | |
Outstanding | 1 year 6 months 22 days |
Exercisable Ending | 1 year 6 months 22 days |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Aggregate Intrinsic Value [Abstract] | |
Outstanding Beginning | $ | |
Granted | |
Exercised | $ | |
Cancelled | |
Outstanding Ending | $ | |
Exercisable Ending | $ | |
Non Employees [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |
Outstanding Beginning | shares | 1,025,000 |
Granted | shares | |
Exercised | shares | |
Cancelled | shares | |
Outstanding Ending | shares | 1,025,000 |
Exercisable Ending | shares | 1,025,000 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | |
Outstanding Beginning | $ 0.058 |
Granted | |
Exercised | |
Cancelled | |
Outstanding Ending | $ 0.058 |
Exercisable Ending | $ 0.058 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term [Abstract] | |
Outstanding | 1 year 4 months 20 days |
Exercisable Ending | 1 year 4 months 20 days |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Aggregate Intrinsic Value [Abstract] | |
Outstanding Beginning | $ | |
Granted | |
Exercised | $ | |
Cancelled | |
Outstanding Ending | $ | |
Exercisable Ending | $ |
Outstanding Warrants (Details)
Outstanding Warrants (Details) - Warrant [Member] | 9 Months Ended |
Sep. 30, 2015USD ($)$ / sharesshares | |
Number of warrants | shares | 6,000,000 |
Exercise price per share (in dollars per share) | $ / shares | $ 1 |
Average remaining term in years | 3 years 3 months 11 days |
Aggregate intrinsic value at date of grant |
Income Taxes (Details Narrative
Income Taxes (Details Narrative) | 9 Months Ended |
Sep. 30, 2015 | |
Income Tax Disclosure [Abstract] | |
Estimated effective tax rate | 0.00% |
Business Segments (Details Narr
Business Segments (Details Narrative) - Number | 3 Months Ended | 9 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Product Information [Line Items] | ||||
Number of reportable segments | 2 | |||
Revenue [Member] | ||||
Product Information [Line Items] | ||||
Percentage of customers accounted revenues | 10.00% | 10.00% | 10.00% | 10.00% |
Subsequent Events (Details Nara
Subsequent Events (Details Narative) - USD ($) | 1 Months Ended | |||
Oct. 31, 2015 | Nov. 09, 2015 | Sep. 30, 2015 | Dec. 31, 2014 | |
common stock, shares | 298,772,885 | 91,530,000 | ||
common stock, par value | $ 0.001 | $ 0.001 | ||
preferred stock, shares | ||||
preferred stock, par value | $ 0.001 | $ 0.001 | ||
Subsequent Event [Member] | ||||
common stock, par value | $ 0.001 | |||
Borrowings for working capital | $ 25,000 | |||
Interest rate | 10.00% | |||
Conversion rate per share | $ 0.05 | |||
Subsequent Event [Member] | 2012 Equity Incentive Plan [Member] | ||||
Increase in the number of authorized shares | 20,000,000 | |||
LifeApps Brands Inc [Member] | Subsequent Event [Member] | ||||
Increase in the number of authorized shares | 510,000,000 | |||
common stock, shares | 500,000,000 | |||
common stock, par value | $ 0.001 | |||
preferred stock, shares | 10,000,000 | |||
preferred stock, par value | $ 0.001 | |||
Description of reverse stock split | To reduce the number of outstanding shares of the Corporations common stock by means of one-for-fifteen (1:15) reverse stock split (the Reverse Stock Split). |