Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2015 | Aug. 14, 2015 | |
Document and Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2015 | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q2 | |
Entity Registrant Name | Powerstorm Holdings, Inc. | |
Entity Central Index Key | 1,558,294 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 22,395,809 |
Balance Sheets
Balance Sheets - USD ($) | Jun. 30, 2015 | Dec. 31, 2014 |
Current Assets | ||
Cash and cash equivalents | $ 48,965 | $ 495 |
Prepaid expenses | 2,479 | 2,276 |
Total current assets | 51,444 | 2,771 |
Fixed assets, net | 49,704 | 4,555 |
Trademarks and patents | 11,200 | 8,965 |
Other assets | 2,500 | 2,500 |
TOTAL ASSETS | 114,848 | 18,791 |
Current Liabilities | ||
Accounts payable | $ 102,731 | 61,141 |
Advances from related party | $ 33,045 | |
Accrued expenses | $ 196,200 | |
Common stock payable | 44,591 | |
Capital lease obligation - short term | 13,753 | |
Promissory note to related party | 34,526 | |
Convertible debt, net of discount of $80,710 | 6,290 | |
Derivative liability | 121,195 | |
Total current liabilities | 519,286 | $ 94,186 |
Capital lease obligation - long-term | 36,792 | |
TOTAL LIABILITIES | $ 556,078 | $ 94,186 |
Commitments and Contingencies | ||
Stockholders' Deficit | ||
Preferred stock, par value $0.01 per share, 5,000,000 shares authorized; 0 issued and outstanding | ||
Common stock, par value $0.001 per share, 300,000,000 shares authorized; 22,295,809 and 21,506,195 shares issued and outstanding | $ 22,296 | $ 21,506 |
Additional paid-in capital | 5,119,420 | 4,137,610 |
Accumulated deficit | (5,582,946) | (4,234,511) |
TOTAL STOCKHOLDERS' DEFICIT | (441,230) | (75,395) |
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT | $ 114,848 | $ 18,791 |
Balance Sheets (Parenthetical)
Balance Sheets (Parenthetical) - USD ($) | Jun. 30, 2015 | Dec. 31, 2014 |
Balance Sheets [Abstract] | ||
Convertible debt, discount | $ 80,710 | |
Preferred stock, par value per share | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value per share | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 22,295,809 | 21,506,195 |
Common stock, shares outstanding | 22,295,809 | 21,506,195 |
Statements of Operations
Statements of Operations - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Statements of Operations [Abstract] | ||||
Revenues - related party | $ 13,900 | $ 13,455 | $ 28,130 | $ 26,305 |
Operating expenses | ||||
General and administrative | 960,486 | 73,909 | 1,314,809 | 145,858 |
Depreciation expense | 11,002 | 310 | 11,482 | 620 |
Total operating expenses | 971,488 | 74,219 | 1,326,291 | 146,478 |
Loss from operations | $ (957,588) | $ (60,764) | $ (1,298,161) | (120,173) |
Gain on forgiveness of debt | $ 14,025 | |||
Interest expense | $ (9,079) | $ (9,079) | ||
Unrealized loss on derivative liability | (41,195) | (41,195) | ||
Net loss | $ (1,007,862) | $ (60,764) | $ (1,348,435) | $ (106,148) |
Loss per common share - basic and diluted | $ (0.05) | |||
Weighted average number of common shares outstanding - basic and diluted | 21,584,829 | 20,852,901 | 21,560,113 | 20,490,745 |
Statements of Cash Flows
Statements of Cash Flows - USD ($) | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Cash flows from operating activities | ||
Net loss | $ (1,348,435) | $ (106,148) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Share-based compensation | 760,855 | $ 1,855 |
Amortization of debt discount | 6,290 | |
Depreciation expense | 11,482 | $ 620 |
Unrealized loss on derivative liability | $ 41,195 | |
Gain on forgiveness of debt | $ (14,025) | |
Changes in operating assets and liabilities: | ||
Prepaid expenses | $ (203) | 403 |
Accounts payable | 41,590 | $ 8,799 |
Accrued expenses | 240,791 | |
Net cash used in operating activities | (246,435) | $ (108,496) |
Cash flow from investing activities | ||
Purchases of fixed assets | (2,967) | |
Payments for trademarks and patents | (2,235) | $ (905) |
Net cash used in investing activities | (5,202) | $ (905) |
Cash flow from Financing Activities | ||
Payments of capital lease obligations | (3,119) | |
Proceeds from issuance of convertible debt | 80,000 | |
Advances from related party | 223,226 | $ 108,151 |
Net cash provided by financing activities | 300,107 | 108,151 |
Net change in cash and cash equivalents | 48,470 | (1,250) |
Cash and cash equivalents - beginning of period | 495 | 7,543 |
Cash and cash equivalents - end of period | $ 48,965 | $ 6,293 |
Supplemental disclosure of cash flows information: | ||
Cash paid during the period for: Interest | ||
Cash paid during the period for: Income taxes | ||
Non-cash investing and financing activities: | ||
Issuance of common stock for related party advances | $ 221,229 | $ 73,652 |
Capital lease obligations on fixed assets | $ 53,664 | |
Capital contribution from shareholder through payment of accounts payable on behalf of the Company | $ 12,000 | |
Issuance of promissory note for related party advances | $ 34,526 | |
Debt discount | $ 87,000 |
GENERAL ORGANIZATION AND BUSINE
GENERAL ORGANIZATION AND BUSINESS OPERATIONS | 6 Months Ended |
Jun. 30, 2015 | |
GENERAL ORGANIZATION AND BUSINESS OPERATIONS [Abstract] | |
GENERAL ORGANIZATION AND BUSINESS OPERATIONS | NOTE 1 GENERAL ORGANIZATION AND BUSINESS OPERATIONS Powerstorm Capital Corp. was formed on October 11, 2011 in the state of Delaware. On February 25, 2015, Powerstorm Capital Corp. filed a Certificate of Amendment to the Certificate of Incorporation changing its name to Powerstorm Holdings, Inc. (we, Powerstorm or the Company). The Company intends to be a manufacturer of hybrid energy storage systems that provides reliable off-grid solutions to: a) service providers such as telecom tower operators, managed network operators (MNOs), data centers, mining companies, hospitals, b) rural communities within the emerging markets and, c) the residential/home use and serves disaster recovery requirements. |
BASIS OF PRESENTATION AND SUMMA
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Jun. 30, 2015 | |
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | |
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 2 BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying interim unaudited financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) for interim financial information and on the same basis as the annual audited financial statements. In the opinion of management, these financial statements include all adjustments, which, unless otherwise disclosed, are of a normal recurring nature, necessary for a fair presentation of the financial position, results of operations, and cash flows for the periods presented. The results of interim periods are not necessarily indicative of results for the entire year. The balance sheet at December 31, 2014 has been derived from audited financial statements; however, the notes to the financial statements do not include all of the information and notes required by GAAP for complete financial statements. The accompanying interim unaudited financial statements should be read in conjunction with the financial statements and notes thereto for the period ended December 31, 2014, included in the Form 10-K filed with the SEC on April 8, 2015. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Reclassifications Certain accounts in the prior period were reclassified to conform to the current period financial statement presentation. Cash and Cash Equivalents The Company considers all highly liquid, short-term investments purchased with an original maturity of three months or less to be cash equivalents. These investments are carried at cost, which approximates fair value. Intangible Assets The Company's intangible assets consist of patents and trademarks with indefinite lives. The Company capitalizes the filing and legal fees related to the patent and trademark registrations, which totaled $ 11,200 8,965 The Company reviews its indefinite-lived intangible assets for impairment whenever events or circumstances indicate that the carrying amount of an asset may not be recoverable. The Company assesses recoverability by reference to future cash flows from the products underlying these intangible assets. If these estimates change in the future, the Company may be required to record impairment charges for these assets. As of June 30, 2015 and December 31, 2014, no impairment was recorded. Fixed Assets Furniture and office equipment is stated at cost and depreciated using the straight-line method over 7 5 6 Accounting for Derivative Liabilities The Company evaluates stock options, stock warrants or other contracts to determine if those contracts or embedded components of those contracts qualify as derivatives to be separately accounted for under the relevant sections of ASC Topic 815-40, Derivative Instruments and Hedging: Contracts in Entity's Own Equity Income Taxes The Company uses the asset and liability method in accounting for income taxes. Under this method, deferred tax assets and liabilities are determined based on differences between financial reporting and income tax carrying amounts of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. The Company reviews deferred tax assets for a valuation allowance based upon whether it is more likely than not that the deferred tax asset will be fully realized. A valuation allowance, if necessary, is provided against deferred tax assets, based upon management's assessment as to their realization. Revenue Recognition The Company's revenue generated consisted of revenues from consulting services from a related party. Revenue is recognized at the time when a price is fixed and determinable, persuasive evidence of an arrangement exists, the service has been rendered, and collectability is assured. Share-Based Compensation The Company amortizes the cost of services received in exchange for equity instruments based on the grant date fair value of such instruments over the service period. Equity instruments issued to parties other than employees for acquiring goods or services are recorded at either the fair value of the consideration received or the fair value of the instruments issued in exchange for such services, whichever is more reliably measurable. Fair Value Measurements As defined in FASB ASC Topic No. 820 10, fair value is the price that would be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. FASB ASC Topic No. 820 10 requires disclosure that establishes a framework for measuring fair value and expands disclosure about fair value measurements. The statement requires fair value measurements be classified and disclosed in one of the following categories: Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. The Company considers active markets as those in which transactions for the assets or liabilities occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 2: Quoted prices in markets that are not active, or inputs which are observable, either directly or indirectly, for substantially the full term of the asset or liability. This category includes those derivative instruments that the Company values using observable market data. Substantially all of these inputs are observable in the marketplace throughout the term of the derivative instruments, can be derived from observable data, or supported by observable levels at which transactions are executed in the marketplace. Level 3: Measured based on prices or valuation models that require inputs that are both significant to the fair value measurement and less observable from objective sources (i.e. supported by little or no market activity). The Company's valuation models are primarily industry standard models. Level 3 instruments include derivative warrant instruments. The Company does not have sufficient corroborating evidence to support classifying these assets and liabilities as Level 1 or Level 2. As required by FASB ASC Topic No. 820 10, financial assets and liabilities are classified based on the lowest level of input that is significant to the fair value measurement. The Company's assessment of the significance of a particular input to the fair value measurement requires judgment, and may affect the valuation of the fair value of assets and liabilities and their placement within the fair value hierarchy levels. The estimated fair value of the variable feature convertible debt instrument was calculated using the black scholes model. Net Loss per Common Share Basic net loss per common share is computed by dividing net loss by the weighted-average number of common shares outstanding during the period. Diluted net loss per common share is determined using the weighted-average number of common shares outstanding during the period, adjusted for the dilutive effect of common stock equivalents. In periods when losses are reported, the diluted weighted-average number of common shares outstanding excludes common stock equivalents because their inclusion would be anti-dilutive. At June 30, 2015, the Company had 2,243,616 431,976 Recent Accounting Pronouncements Recently issued or adopted accounting pronouncements are not expected to, or did not have, a material impact on our financial position, results of operations or cash flows. Subsequent Events The Company evaluates subsequent events through the date when financial statements are issued for disclosure consideration. |
GOING CONCERN
GOING CONCERN | 6 Months Ended |
Jun. 30, 2015 | |
GOING CONCERN [Abstract] | |
GOING CONCERN | NOTE 3 GOING CONCERN The accompanying financial statements were prepared in conformity with GAAP, which contemplates continuation of the Company as a going concern and depends upon the Company's ability to establish itself as a profitable business. The Company is an early stage company and has incurred an accumulated loss of $ 5, 467,842 The Company is planning to obtain financing either through the issuance of equity or debt. To the extent that funds generated from any private placements, public offerings, and/or bank financings are insufficient, the Company will have to raise additional working capital through other sources. |
FIXED ASSETS
FIXED ASSETS | 6 Months Ended |
Jun. 30, 2015 | |
FIXED ASSETS [Abstract] | |
FIXED ASSETS | NOTE 4 FIXED ASSETS June 30, 2015 December 31, 2014 Furniture and equipment $ 18,913 $ 5,608 Computers and software 38,979 2,183 Leasehold improvements 6,530 - Less: accumulated depreciation (14,718 ) (3,236 ) Fixed assets, net $ 49,704 $ 4,555 During the six months ended June 30, 2015 and 2014, the Company recorded depreciation expense of $ 11,482 620 . |
CONVERTIBLE NOTE PAYABLE
CONVERTIBLE NOTE PAYABLE | 6 Months Ended |
Jun. 30, 2015 | |
CONVERTIBLE NOTE PAYABLE [Abstract] | |
CONVERTIBLE NOTE PAYABLE | NOTE 5 CONVERTIBLE NOTE PAYABLE On June 16, 2015, the Company issued a convertible note to a third party in the principal amount of $ 87,000 80,000 7,000 10 43 The Company has the right to redeem the outstanding convertible note at a redemption price of: (i) 125 130 135 140 The Company evaluated the terms of the convertible note in accordance with ASC 815 40, Derivatives and Hedging - Contracts in Entity's Own Stock 80,000 As of June 30, 2015, the amount of discount amortized for these notes was $ 6,290 |
PROMISSORY NOTE PAYABLE
PROMISSORY NOTE PAYABLE | 6 Months Ended |
Jun. 30, 2015 | |
PROMISSORY NOTE PAYABLE [Abstract] | |
PROMISSORY NOTE PAYABLE | NOTE 6 PROMISSORY NOTE PAYABLE On June 30, 2015, the Company entered into a $ 34,526 8 |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 6 Months Ended |
Jun. 30, 2015 | |
RELATED PARTY TRANSACTIONS [Abstract] | |
RELATED PARTY TRANSACTIONS | NOTE 7 RELATED PARTY TRANSACTIONS On March 31, 2015, the Company issued 33,045 33,045 33,045 On May 18, 2015, the Company issued 217,402 108,701 110,875 2,174 On June 30, 2015, the Company issued 266,667 80,000 106,667 26,667 As of June 30, 2015 and December 31, 2014, the Company had a related party liability due to KeyMedia Management, Inc. of $ 0 33,045 During the six months ended June 30, 2015 and 2014, the Company collected and recorded revenues of $ 28,130 26,305 |
CAPITAL LEASES
CAPITAL LEASES | 6 Months Ended |
Jun. 30, 2015 | |
CAPITAL LEASES [Abstract] | |
CAPITAL LEASES | NOTE 8 - CAPITAL LEASES The Company entered into a capital lease agreements with third parties during the six months ended June 30, 2015 to rent office equipment. The capital leases contain a bargain purchase option at the end of the leases. The future minimum lease payments required under the capital lease obligations and the present value of the minimum lease payments as of June 30, 2015 are as follows: For the year ending June 30, 2016 $ 21,276 2017 21,276 2018 17,652 2019 5,650 Total minimum lease payments 65,854 Less: amount representing interest (15,309 ) Present value of net minimum lease obligations 50,545 Less: current maturities of capital lease obligations (13,753 ) Long-term capital lease obligations $ 36,792 |
DERIVATIVE LIABILITIES
DERIVATIVE LIABILITIES | 6 Months Ended |
Jun. 30, 2015 | |
DERIVATIVE LIABILITIES [Abstract] | |
DERIVATIVE LIABILITIES | NOTE 9 - DERIVATIVE LIABILITIES Activity for derivative liability related to the variable conversion feature on convertible debt during the six months ended June 30, 2015 was as follows: Balance at December 31, 2014 Initial valuation of derivative liability upon issuance of variable feature convertible note Change in fair value of derivative liability Balance at June 30, 2015 Convertible debt $ - $ 80,000 $ 41,195 $ 121,195 Total $ - $ 80,000 $ 41,195 $ 121,195 The fair value of the derivative was valued on the date of the issuance of the convertible debt using the Black-Scholes option pricing model with the following weighted average assumptions: (1) risk free interest rate 1 0.67 155 0 0.51 The fair value of the derivative was valued on June 30, 2015 using the Black-Scholes option pricing model with the following weighted average assumptions: (1) risk free interest rate 1 0.63 155 0 0.40 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 6 Months Ended |
Jun. 30, 2015 | |
COMMITMENTS AND CONTINGENCIES [Abstract] | |
COMMITMENTS AND CONTINGENCIES | NOTE 10 COMMITMENTS AND CONTINGENCIES Operating Lease On October 18, 2013, the Company entered into a lease agreement with a third party to rent office premises. The lease commencement date was November 1, 2013 and ends on December 31, 2016. The Company entered into a lease addendum on February 20, 2015. Pursuant to the lease addendum, the monthly lease payment is $ 2,600 4,800 Rent expense was for the six months ending June 30, 2015 and 2014 was $ 15,600 15,000 Employment Agreements CEO employment agreement On January 1, 2014, the Company entered into an employment agreement with its CEO, effective through December 31, 2016. Pursuant to the agreement, the CEO shall receive a minimum annualized salary of $ 300,000 150,000 CFO employment agreement On December 31, 2014, the Company entered into an employment agreement with its CFO, effective through March 31, 2018, in which the CFO will provide consulting services to the Company. Pursuant to the agreement, the CFO shall receive an annualized salary of $ 208,000 50 50 40,108 In addition to a salary, the CFO will be provided with a 3 three 1 44,591 |
EQUITY
EQUITY | 6 Months Ended |
Jun. 30, 2015 | |
EQUITY [Abstract] | |
EQUITY | NOTE 11 EQUITY The Company is authorized to issue 305,000,000 300,000,000 0.001 5,000,000 0.01 Issuance of common stock During June 2015, the Company issued 266,667 80,000 During June 2015, the Company issued 50,000 75,000 During May 2015, the Company issued 217,402 108,701 During May 2015, the Company issued 100,000 145,000 During May 2015, the Company issued 22,500 16,775 During April 2015, the Company entered into a consulting agreement for Business Development and Marketing services with a third party. The agreement is effective through December 31, 2015. In exchange for the services the Company agreed to a consulting fee of $ 2,000 100,000 400,000 150,933 During March 2015, the Company issued 33,045 33,045 Stock Options A summary of the Company's option activities for the six months ended June 30, 2015 is as follows: Options Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term Weighted- Average Grant Date Fair Value Options Outstanding, December 31, 2014 1,690,616 $ 0.51 9.84 $ 1.47 Options granted 653,000 $ 0.43 10.00 $ 0.73 Options exercised $ - $ - Options forfeited (100,000 ) $ 0.43 - $ 1.49 Options Outstanding at June 30, 2015 2,243,616 $ 0.49 9.57 $ 1.25 Options Vested and Exercisable at June 30, 2015 1,483,763 0.54 9.52 $ 1.47 The aggregate intrinsic value of stock options outstanding at June 30, 2015 was $ 21,000 During the year ended December 31, 2014, the Company appointed seven new members to its Board of Advisors and granted 10,000 70,000 one 10 0.10 0.10 2.15 2.47 3.00 156 159 74,313 24,346 1,973 On December 31, 2014, the Company granted 259,706 10 0.43 1.50 2.17 156 386,724 one 100,000 238,034 119,017 79,853 119,017 On April 9, 2015, the Company granted 213,000 10 0.43 1.50 1.97 156 163,770 43,000 20,000 150,000 97,133 66,637 On April 10, 2015, the Company granted 400,000 10 0.43 0.78 1.96 156 307,532 102,511 205,021 On May 4, 2015, the Company granted 40,000 10 0.43 0.10 2.05 2.16 155 3,897 1,299 2,598 |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 6 Months Ended |
Jun. 30, 2015 | |
FAIR VALUE MEASUREMENTS [Abstract] | |
FAIR VALUE MEASUREMENTS | NOTE 12 -FAIR VALUE MEASUREMENTS The following table sets forth, by level within the fair value hierarchy, the Company's financial assets and liabilities that were accounted for at fair value on a recurring basis as of June 30, 2015: Quoted Prices In Active Significant Total Markets for Other Significant Carrying Identical Observable Unobservable Value as of Assets Inputs Inputs June 30, Description (Level 1) (Level 2) (Level 3) 2015 Variable conversion features - convertible debt derivatives $ 121,195 $ 121,195 Total $ - $ - $ 121,195 $ 121,195 The following table sets forth a reconciliation of changes in the fair value of financial liabilities classified as level 3 in the fair value hierarchy: Significant Unobservable Inputs Three Months Ended June 30, 2015 2014 Beginning balance $ - $ - Additions 80,000 - Change in fair value 41,195 - Ending balance $ 121,195 $ - Change in unrealized loss included in earnings $ 41,195 $ - |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 6 Months Ended |
Jun. 30, 2015 | |
SUBSEQUENT EVENTS [Abstract] | |
SUBSEQUENT EVENTS | NOTE 13 SUBSEQUENT EVENTS On July 1, 2015 the Company issued 100,000 On July 14, 2015 the Company entered into a capital lease agreement with a third party to rent equipment. As per the lease term, the monthly payment is $ 724 60 1 |
BASIS OF PRESENTATION AND SUM19
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policy) | 6 Months Ended |
Jun. 30, 2015 | |
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying interim unaudited financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) for interim financial information and on the same basis as the annual audited financial statements. In the opinion of management, these financial statements include all adjustments, which, unless otherwise disclosed, are of a normal recurring nature, necessary for a fair presentation of the financial position, results of operations, and cash flows for the periods presented. The results of interim periods are not necessarily indicative of results for the entire year. The balance sheet at December 31, 2014 has been derived from audited financial statements; however, the notes to the financial statements do not include all of the information and notes required by GAAP for complete financial statements. The accompanying interim unaudited financial statements should be read in conjunction with the financial statements and notes thereto for the period ended December 31, 2014, included in the Form 10-K filed with the SEC on April 8, 2015. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Reclassifications | Reclassifications Certain accounts in the prior period were reclassified to conform to the current period financial statement presentation. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all highly liquid, short-term investments purchased with an original maturity of three months or less to be cash equivalents. These investments are carried at cost, which approximates fair value. |
Intangible Assets | Intangible Assets The Company's intangible assets consist of patents and trademarks with indefinite lives. The Company capitalizes the filing and legal fees related to the patent and trademark registrations, which totaled $ 11,200 8,965 The Company reviews its indefinite-lived intangible assets for impairment whenever events or circumstances indicate that the carrying amount of an asset may not be recoverable. The Company assesses recoverability by reference to future cash flows from the products underlying these intangible assets. If these estimates change in the future, the Company may be required to record impairment charges for these assets. As of June 30, 2015 and December 31, 2014, no impairment was recorded. |
Fixed Assets | Fixed Assets Furniture and office equipment is stated at cost and depreciated using the straight-line method over 7 5 6 |
Accounting for Derivative Liabilities | Accounting for Derivative Liabilities The Company evaluates stock options, stock warrants or other contracts to determine if those contracts or embedded components of those contracts qualify as derivatives to be separately accounted for under the relevant sections of ASC Topic 815-40, Derivative Instruments and Hedging: Contracts in Entity's Own Equity |
Income Taxes | Income Taxes The Company uses the asset and liability method in accounting for income taxes. Under this method, deferred tax assets and liabilities are determined based on differences between financial reporting and income tax carrying amounts of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. The Company reviews deferred tax assets for a valuation allowance based upon whether it is more likely than not that the deferred tax asset will be fully realized. A valuation allowance, if necessary, is provided against deferred tax assets, based upon management's assessment as to their realization. |
Revenue Recognition | Revenue Recognition The Company's revenue generated consisted of revenues from consulting services from a related party. Revenue is recognized at the time when a price is fixed and determinable, persuasive evidence of an arrangement exists, the service has been rendered, and collectability is assured. |
Share-Based Compensation | Share-Based Compensation The Company amortizes the cost of services received in exchange for equity instruments based on the grant date fair value of such instruments over the service period. Equity instruments issued to parties other than employees for acquiring goods or services are recorded at either the fair value of the consideration received or the fair value of the instruments issued in exchange for such services, whichever is more reliably measurable. |
Fair Value Measurements | Fair Value Measurements As defined in FASB ASC Topic No. 820 10, fair value is the price that would be received upon the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. FASB ASC Topic No. 820 10 requires disclosure that establishes a framework for measuring fair value and expands disclosure about fair value measurements. The statement requires fair value measurements be classified and disclosed in one of the following categories: Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. The Company considers active markets as those in which transactions for the assets or liabilities occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 2: Quoted prices in markets that are not active, or inputs which are observable, either directly or indirectly, for substantially the full term of the asset or liability. This category includes those derivative instruments that the Company values using observable market data. Substantially all of these inputs are observable in the marketplace throughout the term of the derivative instruments, can be derived from observable data, or supported by observable levels at which transactions are executed in the marketplace. Level 3: Measured based on prices or valuation models that require inputs that are both significant to the fair value measurement and less observable from objective sources (i.e. supported by little or no market activity). The Company's valuation models are primarily industry standard models. Level 3 instruments include derivative warrant instruments. The Company does not have sufficient corroborating evidence to support classifying these assets and liabilities as Level 1 or Level 2. As required by FASB ASC Topic No. 820 10, financial assets and liabilities are classified based on the lowest level of input that is significant to the fair value measurement. The Company's assessment of the significance of a particular input to the fair value measurement requires judgment, and may affect the valuation of the fair value of assets and liabilities and their placement within the fair value hierarchy levels. The estimated fair value of the variable feature convertible debt instrument was calculated using the black scholes model. |
Net Loss per Common Share | Net Loss per Common Share Basic net loss per common share is computed by dividing net loss by the weighted-average number of common shares outstanding during the period. Diluted net loss per common share is determined using the weighted-average number of common shares outstanding during the period, adjusted for the dilutive effect of common stock equivalents. In periods when losses are reported, the diluted weighted-average number of common shares outstanding excludes common stock equivalents because their inclusion would be anti-dilutive. At June 30, 2015, the Company had 2,243,616 431,976 |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Recently issued or adopted accounting pronouncements are not expected to, or did not have, a material impact on our financial position, results of operations or cash flows. |
Subsequent Events | Subsequent Events The Company evaluates subsequent events through the date when financial statements are issued for disclosure consideration. |
FIXED ASSETS (Tables)
FIXED ASSETS (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
FIXED ASSETS [Abstract] | |
Schedule of Furniture and Office Equipment, Net | June 30, 2015 December 31, 2014 Furniture and equipment $ 18,913 $ 5,608 Computers and software 38,979 2,183 Leasehold improvements 6,530 - Less: accumulated depreciation (14,718 ) (3,236 ) Fixed assets, net $ 49,704 $ 4,555 |
CAPITAL LEASES (Tables)
CAPITAL LEASES (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
CAPITAL LEASES [Abstract] | |
Schedule of Future Minimum Payments | The future minimum lease payments required under the capital lease obligations and the present value of the minimum lease payments as of June 30, 2015 are as follows: For the year ending June 30, 2016 $ 21,276 2017 21,276 2018 17,652 2019 5,650 Total minimum lease payments 65,854 Less: amount representing interest (15,309 ) Present value of net minimum lease obligations 50,545 Less: current maturities of capital lease obligations (13,753 ) Long-term capital lease obligations $ 36,792 |
DERIVATIVE LIABILITIES (Tables)
DERIVATIVE LIABILITIES (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
DERIVATIVE LIABILITIES [Abstract] | |
Schedule of Derivative Liability Activity | Balance at December 31, 2014 Initial valuation of derivative liability upon issuance of variable feature convertible note Change in fair value of derivative liability Balance at June 30, 2015 Convertible debt $ - $ 80,000 $ 41,195 $ 121,195 Total $ - $ 80,000 $ 41,195 $ 121,195 |
EQUITY (Tables)
EQUITY (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
EQUITY [Abstract] | |
Schedule of Stock Option Activity | Options Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term Weighted- Average Grant Date Fair Value Options Outstanding, December 31, 2014 1,690,616 $ 0.51 9.84 $ 1.47 Options granted 653,000 $ 0.43 10.00 $ 0.73 Options exercised $ - $ - Options forfeited (100,000 ) $ 0.43 - $ 1.49 Options Outstanding at June 30, 2015 2,243,616 $ 0.49 9.57 $ 1.25 Options Vested and Exercisable at June 30, 2015 1,483,763 0.54 9.52 $ 1.47 |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
FAIR VALUE MEASUREMENTS [Abstract] | |
Schedule of Assets and Liabilities Measured on a Recurring Basis | Quoted Prices In Active Significant Total Markets for Other Significant Carrying Identical Observable Unobservable Value as of Assets Inputs Inputs June 30, Description (Level 1) (Level 2) (Level 3) 2015 Variable conversion features - convertible debt derivatives $ 121,195 $ 121,195 Total $ - $ - $ 121,195 $ 121,195 |
Schedule of Changes in Fair Value | Significant Unobservable Inputs Three Months Ended June 30, 2015 2014 Beginning balance $ - $ - Additions 80,000 - Change in fair value 41,195 - Ending balance $ 121,195 $ - Change in unrealized loss included in earnings $ 41,195 $ - |
BASIS OF PRESENTATION AND SUM25
BASIS OF PRESENTATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment [Line Items] | ||
Capitalized costs for intangible assets | $ 11,200 | $ 8,965 |
Employee Stock Option [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Potentially dilutive securities | 2,243,616 | |
Convertible Debt Securities [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Potentially dilutive securities | 431,976 | |
Furniture and equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful life | 7 years | |
Computers and software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful life | 5 years | |
Office leasehold improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated useful life | 6 years |
GOING CONCERN (Details)
GOING CONCERN (Details) | Jun. 30, 2015USD ($) |
GOING CONCERN [Abstract] | |
Deficit accumulated during the development stage | $ 5,582,946 |
Working capital | $ (467,842) |
FIXED ASSETS (Details)
FIXED ASSETS (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Property, Plant and Equipment [Line Items] | |||||
Less: accumulated depreciation | $ (14,718) | $ (14,718) | $ (3,236) | ||
Fixed assets, net | 49,704 | 49,704 | 4,555 | ||
Depreciation expense | 11,002 | $ 310 | 11,482 | $ 620 | |
Furniture and equipment [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Fixed assets, gross | 18,913 | 18,913 | 5,608 | ||
Computers and software [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Fixed assets, gross | 38,979 | 38,979 | $ 2,183 | ||
Leasehold improvements [Member] | |||||
Property, Plant and Equipment [Line Items] | |||||
Fixed assets, gross | $ 6,530 | $ 6,530 |
CONVERTIBLE NOTE PAYABLE (Detai
CONVERTIBLE NOTE PAYABLE (Details) - USD ($) | 6 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 16, 2015 | Dec. 31, 2014 | |
Debt Instrument [Line Items] | ||||
Face amount | $ 87,000 | |||
Proceeds from issuance of convertible debt | $ 80,000 | |||
Convertible debt, discount | $ 80,710 | 7,000 | ||
Interest rate | 10.00% | |||
Maturity date | Feb. 16, 2016 | |||
Conversion price percentage | 43.00% | |||
Derivative liability | $ 80,000 | |||
Convertible debt | $ 6,290 | |||
30 Days [Member] | ||||
Debt Instrument [Line Items] | ||||
Redemption percentage | 125.00% | |||
31-60 Days [Member] | ||||
Debt Instrument [Line Items] | ||||
Redemption percentage | 130.00% | |||
61-90 Days [Member] | ||||
Debt Instrument [Line Items] | ||||
Redemption percentage | 135.00% | |||
91-180 Days [Member] | ||||
Debt Instrument [Line Items] | ||||
Redemption percentage | 140.00% |
PROMISSORY NOTE PAYABLE (Detail
PROMISSORY NOTE PAYABLE (Details) - USD ($) | Jun. 30, 2015 | Jun. 16, 2015 |
Debt Instrument [Line Items] | ||
Face amount | $ 87,000 | |
Interest rate | 10.00% | |
Promissory Note [Member] | ||
Debt Instrument [Line Items] | ||
Face amount | $ 34,526 | |
Interest rate | 8.00% |
RELATED PARTY TRANSACTIONS (Det
RELATED PARTY TRANSACTIONS (Details) - USD ($) | 1 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2015 | May. 31, 2015 | May. 18, 2015 | Apr. 30, 2015 | Mar. 31, 2015 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Related Party Transaction [Line Items] | ||||||||
Shares issued as reimbursement for advances and payments made on behalf of the Company | 266,667 | 217,402 | 33,045 | |||||
Value of shares issued as reimbursement for advances and payments made on behalf of the Company | $ 80,000 | $ 108,701 | $ 33,045 | |||||
Advances from related party | $ 33,045 | |||||||
Revenue from related party | $ 28,130 | $ 26,305 | ||||||
Share-based compensation | $ 150,933 | 760,855 | $ 1,855 | |||||
Affiliated Entity [Member] | ||||||||
Related Party Transaction [Line Items] | ||||||||
Shares issued as reimbursement for advances and payments made on behalf of the Company | 266,667 | 217,402 | 33,045 | |||||
Value of shares issued as reimbursement for advances and payments made on behalf of the Company | $ 106,667 | $ 110,875 | $ 33,045 | |||||
Advances from related party | 80,000 | 108,701 | $ 33,045 | $ 80,000 | ||||
Share-based compensation | $ 26,667 | $ 2,174 |
CAPITAL LEASES (Details)
CAPITAL LEASES (Details) - USD ($) | Jun. 30, 2015 | Dec. 31, 2014 |
For the year ending June 30, | ||
2,016 | $ 21,276 | |
2,017 | 21,276 | |
2,018 | 17,652 | |
2,019 | 5,650 | |
Total minimum lease payments | 65,854 | |
Less: amount representing interest | (15,309) | |
Present value of net minimum lease obligations | 50,545 | |
Less: current maturities of capital lease obligations | (13,753) | |
Long-term capital lease obligations | $ 36,792 |
DERIVATIVE LIABILITIES (Schedul
DERIVATIVE LIABILITIES (Schedule of Derivative Liability Activity) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Derivatives, Fair Value [Line Items] | ||||
Balance at December 31, 2014 | ||||
Initial valuation of derivative liability upon issuance of variable feature convertible note | $ 80,000 | |||
Change in fair value of derivative liability | $ 41,195 | 41,195 | ||
Balance at June 30, 2015 | 121,195 | $ 121,195 | ||
Convertible Debt [Member] | ||||
Derivatives, Fair Value [Line Items] | ||||
Balance at December 31, 2014 | ||||
Initial valuation of derivative liability upon issuance of variable feature convertible note | $ 80,000 | |||
Change in fair value of derivative liability | 41,195 | |||
Balance at June 30, 2015 | $ 121,195 | $ 121,195 |
DERIVATIVE LIABILITIES (Narrati
DERIVATIVE LIABILITIES (Narrative) (Details) - $ / shares | 1 Months Ended | 6 Months Ended |
Jun. 16, 2015 | Jun. 30, 2015 | |
DERIVATIVE LIABILITIES [Abstract] | ||
Risk free interest rate | 1.00% | 1.00% |
Term | 8 months 1 day | 7 months 17 days |
Expected stock volatility | 155.00% | 155.00% |
Expected dividend rate | 0.00% | 0.00% |
Common stock price | $ 0.51 | $ 0.40 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details) - USD ($) | 1 Months Ended | 6 Months Ended | |
Apr. 30, 2015 | Jun. 30, 2015 | Jun. 30, 2014 | |
Operating Leased Assets [Line Items] | |||
Rent expense | $ 15,600 | $ 15,000 | |
Related Party Transaction [Line Items] | |||
Share-based compensation | $ 150,933 | 760,855 | $ 1,855 |
Chief Executive Officer [Member] | |||
Related Party Transaction [Line Items] | |||
Annual salary | 300,000 | ||
Compensation recognized | 150,000 | ||
Chief Financial Officer [Member] | |||
Related Party Transaction [Line Items] | |||
Annual salary | 208,000 | ||
Compensation recognized | $ 40,108 | ||
Ownership interest | 3.00% | ||
Vesting period | 3 years | ||
Vesting percentage | 1.00% | ||
Share-based compensation | $ 44,591 | ||
Chief Financial Officer [Member] | Cash [Member] | |||
Related Party Transaction [Line Items] | |||
Vesting percentage | 50.00% | ||
Chief Financial Officer [Member] | Employee Stock Option [Member] | |||
Related Party Transaction [Line Items] | |||
Vesting percentage | 50.00% | ||
First Half [Member] | |||
Operating Leased Assets [Line Items] | |||
Monthly rent | $ 2,600 | ||
Second Half [Member] | |||
Operating Leased Assets [Line Items] | |||
Monthly rent | $ 4,800 |
EQUITY (Narrative) (Details)
EQUITY (Narrative) (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||||||
Jun. 30, 2015 | May. 31, 2015 | May. 04, 2015 | Apr. 30, 2015 | Apr. 10, 2015 | Apr. 09, 2015 | Mar. 31, 2015 | Jun. 30, 2015 | Jun. 30, 2015 | Jun. 30, 2014 | Dec. 31, 2014 | |
Stockholders Equity Note [Line Items] | |||||||||||
Capital stock authorized | 305,000,000 | 305,000,000 | 305,000,000 | ||||||||
Preferred stock, shares authorized | 5,000,000 | 5,000,000 | 5,000,000 | 5,000,000 | |||||||
Common stock, shares authorized | 300,000,000 | 300,000,000 | 300,000,000 | 300,000,000 | |||||||
Common stock, par value per share | $ 0.001 | $ 0.001 | $ 0.001 | $ 0.001 | |||||||
Preferred stock, par value per share | $ 0.01 | $ 0.01 | $ 0.01 | $ 0.01 | |||||||
Shares issued as reimbursement for advances and payments made on behalf of the Company | 266,667 | 217,402 | 33,045 | ||||||||
Value of shares issued as reimbursement for advances and payments made on behalf of the Company | $ 80,000 | $ 108,701 | $ 33,045 | ||||||||
Options granted | 400,000 | 653,000 | |||||||||
Exercise price | $ 0.43 | ||||||||||
Share-based compensation | $ 150,933 | $ 760,855 | $ 1,855 | ||||||||
Stock issued for services, shares | 50,000 | ||||||||||
Stock issued for services | $ 75,000 | $ 2,000 | |||||||||
Forfeited | 100,000 | ||||||||||
Options outstanding, intrinsic value | 21,000 | $ 21,000 | $ 21,000 | ||||||||
Share-based Compensation Award, Tranche One [Member] | |||||||||||
Stockholders Equity Note [Line Items] | |||||||||||
Stock issued for services, shares | 100,000 | ||||||||||
Share-based Compensation Award, Tranche Two [Member] | |||||||||||
Stockholders Equity Note [Line Items] | |||||||||||
Options granted | 100,000 | ||||||||||
Share-based Compensation Award, Tranche Three [Member] | |||||||||||
Stockholders Equity Note [Line Items] | |||||||||||
Options granted | 100,000 | ||||||||||
Share-based Compensation Award, Tranche Four [Member] | |||||||||||
Stockholders Equity Note [Line Items] | |||||||||||
Options granted | 100,000 | ||||||||||
Equity Issuance Transaction One [Member] | |||||||||||
Stockholders Equity Note [Line Items] | |||||||||||
Options granted | 70,000 | ||||||||||
Vesting period | 1 year | ||||||||||
Expected term | 10 years | ||||||||||
Exercise price | $ 0.10 | ||||||||||
Grant date fair value | $ 74,313 | ||||||||||
Share-based compensation | 24,346 | ||||||||||
Unrecognized compensation cost | 1,973 | 1,973 | 1,973 | ||||||||
Stock issued for services, shares | 100,000 | ||||||||||
Stock issued for services | $ 145,000 | ||||||||||
Equity Issuance Transaction One [Member] | Each Advisor [Member] | |||||||||||
Stockholders Equity Note [Line Items] | |||||||||||
Options granted | 10,000 | ||||||||||
Equity Issuance Transaction One [Member] | Minimum [Member] | |||||||||||
Stockholders Equity Note [Line Items] | |||||||||||
Stock price | $ 0.10 | ||||||||||
Risk-free interest rate | 2.47% | ||||||||||
Expected volatility | 156.00% | ||||||||||
Equity Issuance Transaction One [Member] | Maximum [Member] | |||||||||||
Stockholders Equity Note [Line Items] | |||||||||||
Stock price | $ 2.15 | ||||||||||
Risk-free interest rate | 3.00% | ||||||||||
Expected volatility | 159.00% | ||||||||||
Equity Issuance Transaction Two [Member] | |||||||||||
Stockholders Equity Note [Line Items] | |||||||||||
Options granted | 259,706 | ||||||||||
Vesting period | 1 year | ||||||||||
Expected term | 10 years | ||||||||||
Exercise price | $ 0.43 | ||||||||||
Stock price | $ 1.50 | ||||||||||
Risk-free interest rate | 2.17% | ||||||||||
Expected volatility | 156.00% | ||||||||||
Grant date fair value | 238,034 | $ 386,724 | |||||||||
Share-based compensation | 119,017 | ||||||||||
Unrecognized compensation cost | 119,017 | 119,017 | $ 119,017 | ||||||||
Options vested | 79,853 | ||||||||||
Stock issued for services, shares | 22,500 | ||||||||||
Stock issued for services | $ 16,775 | ||||||||||
Forfeited | 100,000 | ||||||||||
Equity Issuance Transaction Three [Member] | |||||||||||
Stockholders Equity Note [Line Items] | |||||||||||
Options granted | 213,000 | ||||||||||
Expected term | 10 years | ||||||||||
Exercise price | $ 0.43 | ||||||||||
Stock price | $ 1.50 | ||||||||||
Risk-free interest rate | 1.97% | ||||||||||
Expected volatility | 156.00% | ||||||||||
Grant date fair value | $ 163,770 | ||||||||||
Share-based compensation | $ 97,133 | ||||||||||
Unrecognized compensation cost | $ 66,637 | $ 66,637 | $ 66,637 | ||||||||
Options vested | 43,000 | ||||||||||
Equity Issuance Transaction Three [Member] | Share-based Compensation Award, Tranche One [Member] | |||||||||||
Stockholders Equity Note [Line Items] | |||||||||||
Expected to vest | 20,000 | 20,000 | 20,000 | ||||||||
Equity Issuance Transaction Three [Member] | Share-based Compensation Award, Tranche Two [Member] | |||||||||||
Stockholders Equity Note [Line Items] | |||||||||||
Expected to vest | 150,000 | 150,000 | 150,000 | ||||||||
Equity Issuance Transaction Four [Member] | |||||||||||
Stockholders Equity Note [Line Items] | |||||||||||
Options granted | 400,000 | ||||||||||
Expected term | 10 years | ||||||||||
Exercise price | $ 0.43 | ||||||||||
Stock price | $ 0.78 | ||||||||||
Risk-free interest rate | 1.96% | ||||||||||
Expected volatility | 156.00% | ||||||||||
Grant date fair value | $ 307,532 | ||||||||||
Share-based compensation | $ 102,511 | ||||||||||
Unrecognized compensation cost | $ 205,021 | $ 205,021 | 205,021 | ||||||||
Equity Issuance Transaction Five [Member] | |||||||||||
Stockholders Equity Note [Line Items] | |||||||||||
Options granted | 40,000 | ||||||||||
Expected term | 10 years | ||||||||||
Exercise price | $ 0.43 | ||||||||||
Stock price | $ 0.10 | ||||||||||
Expected volatility | 155.00% | ||||||||||
Grant date fair value | $ 3,897 | ||||||||||
Share-based compensation | 1,299 | ||||||||||
Unrecognized compensation cost | $ 2,598 | $ 2,598 | $ 2,598 | ||||||||
Equity Issuance Transaction Five [Member] | Minimum [Member] | |||||||||||
Stockholders Equity Note [Line Items] | |||||||||||
Risk-free interest rate | 2.05% | ||||||||||
Equity Issuance Transaction Five [Member] | Maximum [Member] | |||||||||||
Stockholders Equity Note [Line Items] | |||||||||||
Risk-free interest rate | 2.16% |
EQUITY (Schedule of Stock Optio
EQUITY (Schedule of Stock Option Activity) (Details) - $ / shares | 1 Months Ended | 6 Months Ended | 12 Months Ended |
Apr. 30, 2015 | Jun. 30, 2015 | Dec. 31, 2014 | |
Options | |||
Options Outstanding, December 31, 2014 | 1,690,616 | ||
Options granted | 400,000 | 653,000 | |
Options forfeited | (100,000) | ||
Options Outstanding at June 30, 2015 | 2,243,616 | 1,690,616 | |
Options Vested and Exercisable at June 30, 2015 | 1,483,763 | ||
Weighted-Average Exercise Price | |||
Options Outstanding, December 31, 2014 | $ 0.51 | ||
Options granted | $ 0.43 | ||
Options exercised | |||
Options forfeited | $ 0.43 | ||
Options Outstanding at June 30, 2015 | 0.49 | $ 0.51 | |
Options Vested and Exercisable at June 30, 2015 | $ 0.54 | ||
Weighted-Average Remaining Contractual Term | |||
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsOutstandingWeightedAverageRemainingContractualTerm2 | 9 years 6 months 25 days | 9 years 10 months 2 days | |
Options granted | 10 years | ||
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsOutstandingWeightedAverageRemainingContractualTerm2 | 9 years 6 months 25 days | 9 years 10 months 2 days | |
Options Vested and Exercisable at June 30, 2015 | 9 years 6 months 7 days | ||
Weighted-Average Grant Date Fair Value | |||
Options Outstanding, December 31, 2014 | $ 1.47 | ||
Options granted | $ 0.73 | ||
Options exercised | |||
Options forfeited | $ 1.49 | ||
Options Outstanding at June 30, 2015 | 1.25 | $ 1.47 | |
Options Vested and Exercisable at June 30, 2015 | $ 1.47 |
FAIR VALUE MEASUREMENTS (Schedu
FAIR VALUE MEASUREMENTS (Schedule of Assets and Liabilities Measured on a Recurring Basis) (Details) | Jun. 30, 2015USD ($) |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Liabilities, fair value | $ 121,195 |
Convertible Debt [Member] | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Liabilities, fair value | $ 121,195 |
Level 1 [Member] | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Liabilities, fair value | |
Level 2 [Member] | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Liabilities, fair value | |
Level 3 [Member] | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Liabilities, fair value | $ 121,195 |
Level 3 [Member] | Convertible Debt [Member] | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Liabilities, fair value | $ 121,195 |
FAIR VALUE MEASUREMENTS (Sche38
FAIR VALUE MEASUREMENTS (Schedule of Changes in Fair Value) (Details) - USD ($) | 3 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
FAIR VALUE MEASUREMENTS [Abstract] | ||
Beginning balance | ||
Additions | $ 80,000 | |
Change in fair value | 41,195 | |
Ending balance | 121,195 | |
Change in unrealized loss included in earnings | $ 41,195 |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) - USD ($) | 1 Months Ended | |
Jul. 31, 2015 | Jun. 30, 2015 | |
Subsequent Event [Line Items] | ||
Stock issued for services, shares | 50,000 | |
Subsequent Event [Member] | ||
Subsequent Event [Line Items] | ||
Stock issued for services, shares | 100,000 | |
Monthly payment | $ 724 | |
Capital lease term | 60 months | |
Bargain purchase option | $ 1 |