Celcuity (CELC) 10-Q 7 May 20 2020 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2020	May 01, 2020
Document and Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2020
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q1
Entity Registrant Name	Celcuity Inc.
Entity Interactive Data Current	Yes
Entity Incorporation, State or Country Code	DE
Entity File Number	001-38207
Entity Current Reporting Status	Yes
Entity Central Index Key	0001603454
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		10,258,666
Entity Emerging Growth Company	true
Entity Ex Transition Period	true
Entity Small Business	true

Condensed Balance Sheets

Condensed Balance Sheets - USD ($)	Mar. 31, 2020	Dec. 31, 2019
Current Assets:
Cash and cash equivalents	$ 16,854,359	$ 18,735,002
Deposits	22,009	22,009
Deferred transaction costs	34,870	28,743
Payroll tax receivable	190,000	190,000
Prepaid assets	337,251	274,600
Total current assets	17,438,489	19,250,354
Property and equipment, net	795,676	833,463
Operating lease right-of-use assets	158,666	196,983
Total assets	18,392,831	20,280,800
Current Liabilities:
Accounts payable	68,104	142,773
Finance lease liabilities	5,780	5,769
Operating lease liabilities	176,600	178,466
Accrued expenses	614,462	584,319
Total current liabilities	864,946	911,327
Finance lease liabilities	12,660	14,109
Operating lease liabilities	0	57,793
Total liabilities	877,606	983,229
Stockholders' Equity:
Preferred stock, $0.001 par value: 2,500,000 shares authorized; 0 shares issued and outstanding as of March 31, 2020 and December 31, 2019	0	0
Common stock, $0.001 par value: 25,000,000 shares authorized; 10,253,988 shares issued and outstanding as of March 31, 2020 and December 31, 2019	10,254	10,254
Additional paid-in capital	36,599,372	36,134,723
Accumulated deficit	(19,094,401)	(16,847,406)
Total stockholders' equity	17,515,225	19,297,571
Total liabilities and stockholders' equity	$ 18,392,831	$ 20,280,800

Condensed Balance Sheets (Paren

Condensed Balance Sheets (Parenthetical) - $ / shares	Mar. 31, 2020	Dec. 31, 2019
Statement of Financial Position [Abstract]
Preferred stock, par or stated value per share	$ 0.001	$ 0.001
Preferred stock, shares authorized	2,500,000	2,500,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par or stated value per share	$ 0.001	$ 0.001
Common stock, shares authorized	25,000,000	25,000,000
Common stock, shares issued	10,253,988	10,253,988
Common stock, shares outstanding	10,253,988	10,253,988

Condensed Statements of Operati

Condensed Statements of Operations - USD ($)	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Operating expenses:
Research and development	$ 1,847,414	$ 1,590,958
General and administrative	463,399	383,545
Total operating expenses	2,310,813	1,974,503
Loss from operations	(2,310,813)	(1,974,503)
Other income (expense)
Interest expense	(33)	(43)
Interest income	63,851	128,638
Other income (expense), net	63,818	128,595
Net loss before income taxes	(2,246,995)	(1,845,908)
Income tax benefits	0	0
Net loss	$ (2,246,995)	$ (1,845,908)
Net loss per share, basic and diluted	$ (0.22)	$ (0.18)
Weighted average common shares outstanding, basic and diluted	10,253,988	10,198,461

Condensed Statements of Changes

Condensed Statements of Changes in Stockholders' Equity - USD ($)	Common Stock	Additional Paid In Capital	Retained Earnings	Total
Beginning balance (in shares) at Dec. 31, 2018	10,186,382
Beginning balance at Dec. 31, 2018	$ 10,186	$ 34,827,467	$ (9,488,042)	$ 25,349,611
Stock-based compensation		184,645		184,645
Exercise of common stock options, net of shares withheld for exercise price (in shares)	22,733
Exercise of common stock options, net of shares withheld for exercise price	$ 23	174,934		174,957
Net loss			(1,845,908)	(1,845,908)
Ending balance (in shares) at Mar. 31, 2019	10,209,115
Ending balance at Mar. 31, 2019	$ 10,209	35,187,046	(11,333,950)	23,863,305
Beginning balance (in shares) at Dec. 31, 2019	10,253,988
Beginning balance at Dec. 31, 2019	$ 10,254	36,134,723	(16,847,406)	19,297,571
Stock-based compensation		464,649		464,649
Net loss			(2,246,995)	(2,246,995)
Ending balance (in shares) at Mar. 31, 2020	10,253,988
Ending balance at Mar. 31, 2020	$ 10,254	$ 36,599,372	$ (19,094,401)	$ 17,515,225

Condensed Statements of Cash Fl

Condensed Statements of Cash Flows - USD ($)	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Cash flows from operating activities:
Net loss	$ (2,246,995)	$ (1,845,908)
Adjustments to reconcile net loss to net cash used for operations:
Depreciation	94,792	76,168
Stock-based compensation	464,649	184,645
Non-cash interest income, net of cash received	0	7,963
Changes in operating assets and liabilities:
Prepaid assets and deposits	(62,651)	(17,825)
Accounts payable	(92,197)	13,309
Accrued expenses	30,143	12,278
Non-cash operating lease, net	(21,342)	(20,661)
Net cash used for operating activities	(1,833,601)	(1,590,031)
Cash flows from investing activities:
Proceeds from sale of investments	0	245,000
Purchases of property and equipment	(45,604)	(47,641)
Net cash provided by (used for) investing activities	(45,604)	197,359
Cash flows from financing activities:
Proceeds from exercise of employee stock options	0	174,957
Payments for secondary registration statement costs	0	(1,300)
Payments for finance leases	(1,438)	(1,428)
Net cash provided by (used for) financing activities	(1,438)	172,229
Net change in cash, cash equivalents, and restricted cash	(1,880,643)	(1,220,443)
Cash, cash equivalents, and restricted cash:
Beginning of period	18,735,002	15,944,609
End of period	$ 16,854,359	$ 14,724,166

Condensed Statements of Cash _2

Condensed Statements of Cash Flows (Parenthetical) - USD ($)	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Statement of Cash Flows [Abstract]
Cash and cash equivalents	$ 16,854,359
Total	16,854,359	$ 14,724,166
Supplemental disclosures of non-cash investing and financing activities:
Property and equipment included in accounts payable	14,101	101,154
Registration statement costs included in accounts payable	$ 6,127	$ 0

Organization

Organization	3 Months Ended
	Mar. 31, 2020
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization	Nature of Business Celcuity Inc., a Delaware corporation (the “Company”), is a clinical stage biotechnology company translating discoveries of new cancer sub-types into pioneering companion diagnostics and new therapeutic options for cancer patients. The Company’s proprietary CELsignia diagnostic platform analyzes living tumor cells to untangle the complexity of the cellular activity driving a patient’s cancer. This allows us to discover new cancer sub-types molecular diagnostics cannot detect. We are driven to improve outcomes for patients and to transform how pharmaceutical companies define the patient populations for their targeted therapies. The Company was co-founded in 2012 by Brian F. Sullivan and Dr. Lance G. Laing and is based in Minnesota. The Company has not generated any revenues to date.

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2020
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Basis of Presentation The accompanying unaudited financial statements include the accounts of the Company and have been prepared in accordance with Article 10 of Regulation S-X promulgated by the Securities and Exchange Commission (“SEC”). Accordingly, as permitted by Article 10, the unaudited financial statements do not include all of the information required by accounting principles generally accepted in the United States (“U.S. GAAP”). The balance sheet at December 31, 2019 was derived from the audited financial statements at that date and does not include all the disclosures required by U.S. GAAP. In the opinion of management, all adjustments which are of a normal recurring nature and necessary for a fair presentation have been reflected in the financial statements. These unaudited condensed financial statements should be read in conjunction with the audited financial statements as of and for the year ended December 31, 2019 and the related footnotes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019. Operating results for the three months ended March 31, 2020 are not necessarily indicative of the results to be expected during the remainder of the current year or for any future period. Accounting Estimates Management uses estimates and assumptions in preparing these unaudited condensed financial statements in accordance with U.S. GAAP. Those estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. Actual results could differ from those estimates and the difference could be material. Significant items subject to such estimates and assumptions include the valuation of stock-based compensation and prepaid or accrued clinical trial costs. Risks and Uncertainties The Company is subject to risks common to companies in the development stage including, but not limited to, dependency on the clinical and commercial success of its diagnostic tests, ability to obtain regulatory approval of its diagnostic tests, the need for substantial additional financing to achieve its goals, uncertainty of broad adoption of its approved products, if any, by physicians and consumers, and significant competition. Clinical Trial Costs The Company records prepaid assets or accrued expenses for prepaid or estimated clinical trial costs conducted by third-party service providers, which includes the conduct of preclinical studies and clinical trials. These costs can be a significant component of the Company’s research and development expenses. The Company accrues for these costs based on factors such as estimates of the work completed and in accordance with service agreements with its third-party service providers. The Company makes significant judgments and estimates in determining the accrued liabilities balance in each reporting period. As actual costs become known, the Company adjusts its prepaid assets or accrued expenses. The Company has not experienced any material differences between accrued costs and actual costs incurred. However, the status and timing of actual services performed, number of patients enrolled, and the rate of patient enrollments may vary from the Company’s estimates, resulting in an adjustment to expense in future periods. Changes in these estimates that result in material changes to the Company’s prepaid assets or accrued expenses could materially affect the Company’s results of operations. Application of New or Revised Accounting Standards Pursuant to the Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”), a company constituting an “emerging growth company” is, among other things, entitled to rely upon certain reduced reporting requirements. The Company is an emerging growth company but has irrevocably elected not to take advantage of the extended transition period afforded by the JOBS Act for the implementation of new or revised accounting standards. As a result, the Company will comply with new or revised accounting standards on the relevant dates on which adoption of such standards is required for public companies that are not emerging growth companies. Recently Adopted Accounting Pronouncements Effective January 1, 2019, the Company adopted Accounting Standards Update (“ASU”) No. 2016-02, Leases (Topic 842),

Net Loss Per Common Share

Net Loss Per Common Share	3 Months Ended
	Mar. 31, 2020
Earnings Per Share [Abstract]
Net Loss Per Common Share	Basic and diluted net loss per common share is determined by dividing net loss attributable to common stockholders by the weighted-average common shares outstanding during the period. For all periods presented, the common shares underlying the options and warrants have been excluded from the calculation because their effect would be anti-dilutive. Therefore, the weighted-average shares outstanding used to calculate both basic and diluted loss per common share are the same. For the three months ended March 31, 2020 and 2019, potentially dilutive securities excluded from the computations of diluted weighted-average shares outstanding were options to purchase 630,889 and 388,965 shares of common stock, respectively, warrants to purchase 353,585 and 353,980 shares of common stock, respectively, and 0 and 2,571 shares of restricted common stock, respectively.

Commitments

Commitments	3 Months Ended
	Mar. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
Commitments	Operating and Finance Leases The Company leases its corporate space in Minneapolis, Minnesota. In September 2017, the Company entered into a non-cancelable operating lease agreement for building space. The new lease commenced, and the Company moved to the facility, in May 2018, in conjunction with the termination of its then existing lease. Rent expense is recorded on a straight-line basis over the lease term. The new lease agreement extends through April 2021 and provides for monthly rent, real estate taxes and operating expenses. The lease agreement includes the option to extend the term for two periods of one year each. The option to extend is at the Company’s discretion and because it has not been determined if the option to extend will be exercised, the extended lease terms are not included in the ROU assets and lease liabilities. The Company regularly evaluates the renewal options and when they are reasonably certain of exercise, the Company includes the renewal period in its lease term. In May 2018, the Company entered into a non-cancelable finance lease agreement for office equipment with a five-year term. The underlying assets are included in furniture and equipment. The lease contains a bargain purchase option at the end of the lease. When an implicit rate is not provided, the Company uses its incremental borrowing rate based on the information available at the lease commencement date in determining the present value of the lease payments. Supplemental balance sheet information consisted of the following at March 31, 2020: Operating Lease Right-of-use assets $ 158,666 Operating lease liability $ 176,600 Less: short term portion (176,600 ) Long term portion $ - Finance Lease Furniture and equipment $ 28,932 Less: Accumulated depreciation (10,608 ) Net book value of property and equipment under finance lease $ 18,324 Finance lease liability $ 18,440 Less: short term portion (5,780 ) Long term portion $ 12,660 Maturity analysis under lease agreements consisted of the following as of March 31, 2020: Operating Leases Finance Leases 2020 $ 129,881 $ 5,441 2021 64,940 7,255 2022 - 7,255 2023 - 3,023 Total minimum lease payments 194,821 22,974 Less: Present value discount (18,221 ) (208 ) Less amount representing services - (4,326 ) Present value of net minimum lease payments $ 176,600 $ 18,440 Weighted Average Remaining Lease Term Discount Rate Operating lease 1.1 years 5.5 % Finance lease 3.2 years 1.0 % Lease costs for the period ended March 31, 2020: Three-month Period Operating lease cost $ 41,063 Finance lease cost: Amortization 1,447 Interest 33 Variable lease cost 24,365 $ 66,908 Supplemental cash flow information related to leases for the period ended March 31, 2020: Three-month Period Cash paid for amounts included in operating and finance leases: Operating cash outflow from operating leases $ 94,589 Operating cash outflow from finance leases 33 Financing cash outflow from finance leases 1,438 $ 96,060 Clinical Research Studies In May 2017, the Company entered into an agreement with a clinical research organization to conduct a clinical research study. The Company made payments of $50,000, $200,000 and $350,000 in 2019, 2018 and 2017, respectively. Additional payments will be due as certain milestones are met and clinical sites are added. The maximum amount of these additional payments is estimated to be approximately $2,690,000 over the course of the agreement. In October 2018, the Company entered into an agreement with a biopharmaceutical company and a cancer research center to conduct a clinical research study. The Company made payments of approximately $70,000 in 2019. Additional payments of approximately $112,000 will be due as certain milestones are met.

Stock-Based Compensation

Stock-Based Compensation	3 Months Ended
	Mar. 31, 2020
Share-based Payment Arrangement [Abstract]
Stock-Based Compensation	The following table summarizes the activity for all stock options outstanding for the three months ended March 31: 2020 2019 Shares Weighted Average Exercise Price Shares Weighted Average Exercise Price Options outstanding at beginning of year 585,215 $ 14.37 478,503 $ 9.73 Granted 57,500 10.17 250 22.22 Exercised - - (22,733 ) 7.69 Forfeited (11,826 ) 10.60 (67,055 ) 9.37 Balance at March 31 630,889 $ 14.06 388,965 $ 9.91 Options exercisable at March 31: 274,267 $ 9.65 253,719 $ 7.09 Weighted Average Grant Date Fair Value for options granted during the period: $ 6.59 $ 15.53 The following table summarizes additional information about stock options outstanding and exercisable at March 31, 2020: Options Outstanding Options Exercisable Options Outstanding Weighted Average Remaining Contractual Life Weighted Average Exercise Price Aggregate Intrinsic Value Options Exercisable Weighted Average Exercise Price Aggregate Intrinsic Value 630,889 8.07 $ 14.06 $ 233,614 274,267 $ 9.65 $ 233,614 The Company recognized stock-based compensation expense for stock options of $450,664 and $162,829 for the three months ended March 31, 2020 and 2019, respectively. The Black-Scholes option-pricing model was used to estimate the fair value of equity-based awards with the following weighted-average assumptions for the three months ended March 31: 2020 2019 Risk-free interest rate 1.35% - 1.66 % 2.47 % Expected volatility 73.3 % 80.0 % Expected life (years) 5.5 to 6.1 6.05 Expected dividend yield 0 % 0 % The inputs for the Black-Scholes valuation model require management’s significant assumptions. Prior to the Company’s initial public offering, the price per share of common stock was determined by the Company’s board based on recent prices of common stock sold in private offerings. Subsequent to the initial public offering, the price per share of common stock is determined by using the closing market price on the Nasdaq Capital Market on the grant date. The risk-free interest rates are based on the rate for U.S. Treasury securities at the date of grant with maturity dates approximately equal to the expected life at the grant date. The expected life is based on the simplified method in accordance with the SEC Staff Accounting Bulletin Nos. 107 and 110. The expected volatility is estimated based on historical volatility information of peer companies that are publicly available in combination with the Company’s calculated volatility since being publicly traded. All assumptions used to calculate the grant date fair value of non-employee options are generally consistent with the assumptions used for options granted to employees. In the event the Company terminates any of its consulting agreements, the unvested options issued in connection with the agreements would also be cancelled. Unvested non-employee options were marked-to-market through April 1, 2018, the date that the Company adopted ASU No. 2018-07, Improvements to Non-employee Share-Based Payment Accounting. No restricted stock awards were granted during the three months ended March 31, 2020 and 2019. The Company had 0 and 2,571 shares of restricted stock outstanding as of March 31, 2020 and 2019, respectively, and 0 shares of restricted stock vested during the three months ended March 31, 2020 and 2019. The Company recognized stock-based compensation expense for restricted stock of $0 and $12,786 for the three months ended March 31, 2020 and 2019, respectively. The Company initially reserved a maximum of 750,000 shares of common stock for issuance under the 2017 Stock Incentive Plan (the “2017 Plan”). The number of shares reserved for issuance was automatically increased by 102,540 shares on January 1, 2020 and will increase automatically on January 1 of each of 2021 through 2027 by the number of shares equal to 1.0% of the aggregate number of outstanding shares of Company common stock as of the immediately preceding December 31. However, the board may reduce the amount of the increase in any particular year. The total remaining shares available for grant under the Company’s 2017 Plan as of March 31, 2020 is 433,668. Total unrecognized compensation cost related to stock options and restricted stock is estimated to be recognized as follows: 2020 $ 910,860 2021 1,008,493 2022 870,596 2023 530,290 2024 91,505 Total estimated compensation cost to be recognized $ 3,411,744 The Company recognized stock-based compensation expense related to its employee stock purchase plan of $13,985 and $9,030 for the three months ended March 31, 2020 and 2019, respectively. The Company initially reserved a total of 100,000 shares for issuance under the employee stock purchase plan. The number of shares reserved for issuance was automatically increased by 51,270 shares on January 1, 2020 and will increase automatically on each subsequent January 1 by the number of shares equal to 0.5% of the total outstanding number of shares of Company common stock as of the immediately preceding December 31. However, the board may reduce the amount of the increase in any particular year. The total remaining shares available for issuance under the employee stock purchase plan as of March 31, 2020 is 124,634. The Company recognized total stock-based compensation expense as follows for the three months ended March 31: Three Months Ended March 31, 2020 2019 Stock-based compensation expense in operating expenses: Research and development $ 293,116 $ 100,257 General and administrative 171,533 84,388 Total $ 464,649 $ 184,645

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2020
Accounting Policies [Abstract]
Basis of Presentation	The accompanying unaudited financial statements include the accounts of the Company and have been prepared in accordance with Article 10 of Regulation S-X promulgated by the Securities and Exchange Commission (“SEC”). Accordingly, as permitted by Article 10, the unaudited financial statements do not include all of the information required by accounting principles generally accepted in the United States (“U.S. GAAP”). The balance sheet at December 31, 2019 was derived from the audited financial statements at that date and does not include all the disclosures required by U.S. GAAP. In the opinion of management, all adjustments which are of a normal recurring nature and necessary for a fair presentation have been reflected in the financial statements. These unaudited condensed financial statements should be read in conjunction with the audited financial statements as of and for the year ended December 31, 2019 and the related footnotes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019. Operating results for the three months ended March 31, 2020 are not necessarily indicative of the results to be expected during the remainder of the current year or for any future period.
Accounting Estimates	Management uses estimates and assumptions in preparing these unaudited condensed financial statements in accordance with U.S. GAAP. Those estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. Actual results could differ from those estimates and the difference could be material. Significant items subject to such estimates and assumptions include the valuation of stock-based compensation and prepaid or accrued clinical trial costs.
Risks and Uncertainties	The Company is subject to risks common to companies in the development stage including, but not limited to, dependency on the clinical and commercial success of its diagnostic tests, ability to obtain regulatory approval of its diagnostic tests, the need for substantial additional financing to achieve its goals, uncertainty of broad adoption of its approved products, if any, by physicians and consumers, and significant competition.
Clinical Trial Costs	The Company records prepaid assets or accrued expenses for prepaid or estimated clinical trial costs conducted by third-party service providers, which includes the conduct of preclinical studies and clinical trials. These costs can be a significant component of the Company’s research and development expenses. The Company accrues for these costs based on factors such as estimates of the work completed and in accordance with service agreements with its third-party service providers. The Company makes significant judgments and estimates in determining the accrued liabilities balance in each reporting period. As actual costs become known, the Company adjusts its prepaid assets or accrued expenses. The Company has not experienced any material differences between accrued costs and actual costs incurred. However, the status and timing of actual services performed, number of patients enrolled, and the rate of patient enrollments may vary from the Company’s estimates, resulting in an adjustment to expense in future periods. Changes in these estimates that result in material changes to the Company’s prepaid assets or accrued expenses could materially affect the Company’s results of operations.
Application of New or Revised Accounting Standards	Pursuant to the Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”), a company constituting an “emerging growth company” is, among other things, entitled to rely upon certain reduced reporting requirements. The Company is an emerging growth company but has irrevocably elected not to take advantage of the extended transition period afforded by the JOBS Act for the implementation of new or revised accounting standards. As a result, the Company will comply with new or revised accounting standards on the relevant dates on which adoption of such standards is required for public companies that are not emerging growth companies.
Recently Adopted Accounting Pronouncements	Effective January 1, 2019, the Company adopted Accounting Standards Update (“ASU”) No. 2016-02, Leases (Topic 842),

Commitments (Tables)

Commitments (Tables)	3 Months Ended
	Mar. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
Schedule of supplemental balance sheet information related to leases	Supplemental balance sheet information consisted of the following at March 31, 2020: Operating Lease Right-of-use assets $ 158,666 Operating lease liability $ 176,600 Less: short term portion (176,600 ) Long term portion $ - Finance Lease Furniture and equipment $ 28,932 Less: Accumulated depreciation (10,608 ) Net book value of property and equipment under finance lease $ 18,324 Finance lease liability $ 18,440 Less: short term portion (5,780 ) Long term portion $ 12,660
Schedule of maturity analysis under lease agreements	Operating Leases Finance Leases 2020 $ 129,881 $ 5,441 2021 64,940 7,255 2022 - 7,255 2023 - 3,023 Total minimum lease payments 194,821 22,974 Less: Present value discount (18,221 ) (208 ) Less amount representing services - (4,326 ) Present value of net minimum lease payments $ 176,600 $ 18,440
Schedule of weighted average discount rate	Weighted Average Remaining Lease Term Discount Rate Operating lease 1.1 years 5.5 % Finance lease 3.2 years 1.0 % Lease costs for the period ended March 31, 2020:
Schedule of lease costs for the period	Three-month Period Operating lease cost $ 41,063 Finance lease cost: Amortization 1,447 Interest 33 Variable lease cost 24,365 $ 66,908
Schedule of supplemental cash flow information related to leases	Three-month Period Cash paid for amounts included in operating and finance leases: Operating cash outflow from operating leases $ 94,589 Operating cash outflow from finance leases 33 Financing cash outflow from finance leases 1,438 $ 96,060

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2020
Share-based Payment Arrangement [Abstract]
Schedule of activity for all stock options outstanding	2020 2019 Shares Weighted Average Exercise Price Shares Weighted Average Exercise Price Options outstanding at beginning of year 585,215 $ 14.37 478,503 $ 9.73 Granted 57,500 10.17 250 22.22 Exercised - - (22,733 ) 7.69 Forfeited (11,826 ) 10.60 (67,055 ) 9.37 Balance at March 31 630,889 $ 14.06 388,965 $ 9.91 Options exercisable at March 31: 274,267 $ 9.65 253,719 $ 7.09 Weighted Average Grant Date Fair Value for options granted during the period: $ 6.59 $ 15.53
Schedule of stock options outstanding	Options Outstanding Options Exercisable Options Outstanding Weighted Average Remaining Contractual Life Weighted Average Exercise Price Aggregate Intrinsic Value Options Exercisable Weighted Average Exercise Price Aggregate Intrinsic Value 630,889 8.07 $ 14.06 $ 233,614 274,267 $ 9.65 $ 233,614
Schedule of fair value of equity-based awards	2020 2019 Risk-free interest rate 1.35% - 1.66 % 2.47 % Expected volatility 73.3 % 80.0 % Expected life (years) 5.5 to 6.1 6.05 Expected dividend yield 0 % 0 %
Schedule of unrecognized compensation cost	2020 $ 910,860 2021 1,008,493 2022 870,596 2023 530,290 2024 91,505 Total estimated compensation cost to be recognized $ 3,411,744
Schedule of stock-based compensation expense	Three Months Ended March 31, 2020 2019 Stock-based compensation expense in operating expenses: Research and development $ 293,116 $ 100,257 General and administrative 171,533 84,388 Total $ 464,649 $ 184,645

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details Narrative) - USD ($)	Mar. 31, 2020	Dec. 31, 2019
Accounting Policies [Abstract]
Operating lease, right-of-use asset	$ 158,666	$ 196,983

Net Loss Per Common Share (Deta

Net Loss Per Common Share (Details Narrative) - shares	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Employee Stock Option
Antidilutive securities excluded from computation of earnings per share	630,889	388,965
Restricted Stock
Antidilutive securities excluded from computation of earnings per share	0	2,571
Warrants to Purchase
Antidilutive securities excluded from computation of earnings per share	353,585	353,980

Commitments (Details)

Commitments (Details) - USD ($)	Mar. 31, 2020	Dec. 31, 2019
Commitments and Contingencies Disclosure [Abstract]
Right-of-use asset	$ 158,666	$ 196,983
Operating lease liability	176,600
Less: short term portion	(176,600)	(178,466)
Long term portion	0	57,793
Furniture and equipment	28,932
Less: accumulated depreciation	(10,608)
Net book value of property and equipment under finance lease	18,324
Finance lease liability	18,440
Less: short term portion	(5,780)	(5,769)
Long term portion	$ 12,660	$ 14,109

Commitments (Details 1)

Commitments (Details 1)	Mar. 31, 2020USD ($)
Commitments and Contingencies Disclosure [Abstract]
2020	$ 129,881
2021	64,940
2022	0
2023	0
Total minimum lease payments	194,821
Less: present value discount	(18,221)
Less amount representing services	0
Present value of net minimum lease payments	176,600
2020	5,441
2021	7,255
2022	7,255
2023	3,023
Total minimum capital lease payments	22,974
Less: present value discount	(208)
Less amount representing services	(4,326)
Present value of net minimum lease payments	$ 18,440

Commitments (Details 2)

Commitments (Details 2)	Mar. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
Operating lease, weighted average remaining lease term	1 year 1 month 6 days
Operating lease, weighted average discount rate, percent	5.50%
Finance lease, weighted average remaining lease term	3 years 2 months 12 days
Finance lease, weighted average discount rate, percent	1.00%

Commitments (Details 3)

Commitments (Details 3)	3 Months Ended
	Mar. 31, 2020USD ($)
Commitments and Contingencies Disclosure [Abstract]
Operating lease cost	$ 41,063
Finance lease cost:
Amortization	1,447
Interest	33
Variable lease cost	24,365
Total lease cost	$ 66,908

Commitments (Details 4)

Commitments (Details 4)	3 Months Ended
	Mar. 31, 2020USD ($)
Cash paid for amounts included in operating and finance leases:
Operating cash outflow from operating leases	$ 94,589
Operating cash outflow from finance leases	33
Financing cash outflow from finance leases	1,438
Total cash paid for amounts included in operating and finance leases	$ 96,060

Commitments (Details Narrative)

Commitments (Details Narrative) - USD ($)	12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Dec. 31, 2017	Mar. 31, 2020
Commitments and Contingencies Disclosure [Abstract]
Payments to acquire in process research and development	$ 50,000	$ 200,000	$ 350,000
Maximum amount of payments over the course of the agreement				$ 2,690,000
Payments to acquire in process research and development to a biopharmaceutical company	$ 70,000
Future payments required upon certain milestones being met				$ 112,000

Stock-Based Compensation (Detai

Stock-Based Compensation (Details) - Employee Stock Option - $ / shares	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Shares, options outstanding, beginning	585,215	478,503
Shares, granted	57,500	250
Shares, exercised	0	(22,733)
Shares, forfeited	(11,826)	(67,055)
Shares, options outstanding, ending	630,889	388,965
Shares, options exercisable	274,267	253,719
Weighted average exercise price, options outstanding, beginning	$ 14.37	$ 9.73
Weighted average exercise price, granted	10.17	22.22
Weighted average exercise price, exercised	0	7.69
Weighted average exercise price, forfeited	10.60	9.37
Weighted average exercise price, options outstanding, ending	14.06	9.91
Weighted average exercise price, options exercisable	9.65	7.09
Weighted average grant date fair value for options granted during the period	$ 6.59	$ 15.53

Stock-Based Compensation (Det_2

Stock-Based Compensation (Details 1) - Employee Stock Option - USD ($)	3 Months Ended
	Mar. 31, 2020	Dec. 31, 2019	Mar. 31, 2019	Dec. 31, 2018
Options outstanding	630,889	585,215	388,965	478,503
Options outstanding, weighted average remaining contractual life	8 years 25 days
Options outstanding, weighted average exercise price	$ 14.06	$ 14.37	$ 9.91	$ 9.73
Options outstanding, aggregate intrinsic value	$ 233,614
Options exercisable	274,267		253,719
Options exercisable, weighted average exercise price	$ 9.65		$ 7.09
Options exercisable, aggregate intrinsic value	$ 233,614

Stock-Based Compensation (Det_3

Stock-Based Compensation (Details 2)	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Risk-free interest rate		2.47%
Expected volatility	73.30%	80.00%
Expected life (years)		6 years 18 days
Expected dividend yield	0.00%	0.00%
Minimum
Risk-free interest rate	1.35%
Expected life (years)	5 years 6 months
Maximum
Risk-free interest rate	1.66%
Expected life (years)	6 years 1 month 6 days

Stock-Based Compensation (Det_4

Stock-Based Compensation (Details 3)	Mar. 31, 2020USD ($)
Share-based Payment Arrangement [Abstract]
2020	$ 910,860
2021	1,008,493
2022	870,596
2023	530,290
2024	91,505
Total estimated compensation cost to be recognized	$ 3,411,744

Stock-Based Compensation (Det_5

Stock-Based Compensation (Details 4) - USD ($)	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Stock-based compensation expense	$ 464,649	$ 184,645
Research And Development Expense
Stock-based compensation expense	293,116	100,257
General And Administrative Expense
Stock-based compensation expense	$ 171,533	$ 84,388

Stock-Based Compensation (Det_6

Stock-Based Compensation (Details Narrative) - USD ($)	3 Months Ended
	Mar. 31, 2020	Mar. 31, 2019
Restricted stock outstanding	0	2,571
Restricted stock vested	0	0
Share-based compensation	$ 464,649	$ 184,645
Shares available for grant under the 2017 Plan	433,668
Restricted Stock
Share-based compensation	$ 0	12,786
Employee Stock Option
Share-based compensation	13,985	9,030
2017 Stock Incentive Plan
Share-based compensation	$ 450,664	$ 162,829