Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Jun. 30, 2018 | Aug. 10, 2018 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q2 | |
Entity Registrant Name | Guardion Health Sciences, Inc. | |
Entity Central Index Key | 1,642,375 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 40,329,475 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) | Jun. 30, 2018 | Dec. 31, 2017 |
Current assets | ||
Cash | $ 2,066,365 | $ 4,735,230 |
Accounts receivable | 29,843 | 72,771 |
Inventories | 412,357 | 154,730 |
Prepaid expenses | 25,830 | 117,164 |
Total current assets | 2,534,395 | 5,079,895 |
Deposits | 11,751 | 10,470 |
Property and equipment, net | 191,427 | 95,597 |
Intangible assets, net | 563,423 | 620,741 |
Goodwill | 1,563,520 | 1,563,520 |
Total assets | 4,864,516 | 7,370,223 |
Current liabilities | ||
Accounts payable and accrued liabilities | 457,438 | 311,236 |
Accrued expenses and deferred rent | 11,618 | 12,043 |
Line of credit | 0 | 30,535 |
Due to related parties | 117,473 | 146,133 |
Total current liabilities | 586,529 | 499,947 |
Commitments and contingencies | ||
Stockholders' Equity | ||
Preferred stock, $0.001 par value; 10,000,000 shares authorized | 0 | 0 |
Common stock, $0.001 par value; 90,000,000 shares authorized; 40,329,475 and 40,183,475 shares issued and outstanding at June 30, 2018 and December 31, 2017, respectively | 40,329 | 40,183 |
Additional paid-in capital | 35,246,639 | 33,696,049 |
Accumulated deficit | (31,008,981) | (26,865,956) |
Total stockholders' equity | 4,277,987 | 6,870,276 |
Total liabilities and stockholders' equity | $ 4,864,516 | $ 7,370,223 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2018 | Dec. 31, 2017 |
Preferred Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
Preferred Stock, Shares Authorized | 10,000,000 | 10,000,000 |
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 |
Common Stock, Shares Authorized | 90,000,000 | 90,000,000 |
Common Stock, Shares, Issued | 40,329,475 | 40,183,475 |
Common Stock, Shares, Outstanding | 40,329,475 | 40,183,475 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Revenue | $ 220,778 | $ 59,977 | $ 413,818 | $ 115,912 |
Cost of goods sold | 87,776 | 29,692 | 167,055 | 52,326 |
Gross profit | 133,002 | 30,285 | 246,763 | 63,586 |
Operating expenses | ||||
Research and development | 34,320 | 15,530 | 194,708 | 25,770 |
Sales and marketing | 378,750 | 101,598 | 984,464 | 178,333 |
General and administrative | 1,034,914 | 766,894 | 2,714,680 | 1,365,807 |
Total operating expenses | 1,447,984 | 884,022 | 3,893,852 | 1,569,910 |
Loss from operations | (1,314,982) | (853,737) | (3,647,089) | (1,506,324) |
Other expenses: | ||||
Interest expense | 710 | 1,924 | 1,545 | 18,355 |
Fair value of warrants - extension of expiration dates | 494,391 | 0 | 494,391 | 0 |
Total other expenses | 495,101 | 1,924 | 495,936 | 18,355 |
Net loss | (1,810,083) | (855,661) | (4,143,025) | (1,524,679) |
Adjustments related to Series A and Series B convertible preferred stock: | ||||
Accretion of deemed dividend | 0 | (53,675) | 0 | (85,517) |
Dividend declared | 0 | (45,106) | 0 | (81,183) |
Net loss attributable to common shareholders | $ (1,810,083) | $ (954,442) | $ (4,143,025) | $ (1,691,379) |
Net loss per common share – basic and diluted | $ (0.04) | $ (0.04) | $ (0.10) | $ (0.07) |
Weighted average common shares outstanding – basic and diluted | 40,329,475 | 25,470,418 | 40,322,215 | 25,287,759 |
Condensed Consolidated Stateme5
Condensed Consolidated Statement of Stockholders' Equity - 6 months ended Jun. 30, 2018 - USD ($) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] |
Beginning Balance at Dec. 31, 2017 | $ 6,870,276 | $ 40,183 | $ 33,696,049 | $ (26,865,956) |
Beginning Balance (in shares) at Dec. 31, 2017 | 40,183,475 | |||
Fair value of vested stock options | 1,054,885 | $ 0 | 1,054,885 | 0 |
Issuance of common stock – warrant exercises | 1,460 | $ 146 | 1,314 | 0 |
Issuance of common stock – warrant exercises (in shares) | 146,000 | |||
Fair value of warrants - extension of expiration dates | 494,391 | 494,391 | ||
Net loss | (4,143,025) | $ 0 | 0 | (4,143,025) |
Ending Balance at Jun. 30, 2018 | $ 4,277,987 | $ 40,329 | $ 35,246,639 | $ (31,008,981) |
Ending Balance (in shares) at Jun. 30, 2018 | 40,329,475 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows - USD ($) | 6 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Operating Activities | ||
Net loss | $ (4,143,025) | $ (1,524,679) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization | 148,560 | 31,331 |
Accrued interest expense included in notes payable | 0 | 13,746 |
Stock-based compensation | 1,054,885 | 405,918 |
Stock-based compensation - related parties | 0 | 108,051 |
Fair value of warrant modification | 494,391 | 0 |
(Increase) decrease in - | ||
Accounts receivable | 42,928 | 11 |
Inventories | (257,627) | (64,305) |
Deposits and prepaid expenses | 90,053 | 22,788 |
Increase (decrease) in - | ||
Accounts payable and accrued expenses | 146,202 | 57,442 |
Accrued and deferred rent costs | (425) | (73,624) |
Net cash used in operating activities | (2,424,058) | (1,023,321) |
Investing Activities | ||
Purchase of property and equipment | (137,073) | (5,500) |
Purchase of intellectual property | (50,000) | 0 |
Net cash used in investing activities | (187,073) | (5,500) |
Financing Activities | ||
Proceeds from issuance of promissory notes | 0 | 100,000 |
Payments on promissory notes | 0 | (14,000) |
Payments on line of credit | (30,535) | 0 |
Proceeds from issuance of preferred stock | 0 | 1,100,000 |
Proceeds from exercise of warrants | 1,460 | 0 |
(Decrease) increase in due to related parties | (28,659) | 77,837 |
Net cash (used in) provided by financing activities | (57,734) | 1,263,837 |
Cash: | ||
Net (decrease) increase | (2,668,865) | 235,016 |
Balance at beginning of period | 4,735,230 | 62,520 |
Balance at end of period | 2,066,365 | 297,536 |
Supplemental disclosure of cash flow information: | ||
Cash paid for - Interest | 0 | 1,500 |
Cash paid for - Income taxes | 0 | 0 |
Non-cash financing activities: | ||
Issuance of common stock dividends on preferred stock | $ 0 | $ 81,183 |
Organization and Business Opera
Organization and Business Operations | 6 Months Ended |
Jun. 30, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | 1. Organization and Business Operations Organization and Business Guardion Health Sciences, Inc. (the “Company”) was formed in December 2009 as a California limited liability company under the name P4L Health Sciences, LLC. On June 30, 2015, the Company converted from a California limited liability company to a Delaware corporation, changing its name from Guardion Health Sciences, LLC to Guardion Health Sciences, Inc. The Company is a specialty health sciences company and distributes condition-specific medical foods with an initial medical food product on the market under the brand name Lumega-Z ® The Company also developed a proprietary medical device called the MapcatSF ® On September 29, 2017, the Company completed its acquisition of substantially all of the assets and certain liabilities of VectorVision, Inc., a company that specializes in the standardization of contrast sensitivity, glare sensitivity, low contrast acuity, and ETDRS visual acuity testing. VectorVision develops, manufactures and sells equipment and supplies for standardized vision testing. The Company has had limited operations to date and has been primarily engaged in research and development, product commercialization and capital raising activities. Going Concern and Liquidity The financial statements have been prepared assuming the Company will continue as a going concern. The Company had a net loss of $4,143,025 and utilized cash in operating activities of $2,424,058 during the six months ended June 30, 2018. The Company expects to continue to incur net losses and negative operating cash flows in the near-term. As a result, management has concluded that there is substantial doubt about the Company’s ability to continue as a going concern within one year of the date that the financial statements are issued. The Company’s independent registered public accounting firm has also included explanatory language in their opinion accompanying the Company’s audited financial statements for the year ended December 31, 2017. The Company’s financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classifications of liabilities that may result from the possible inability of the Company to continue as a going concern. The Company will continue to incur significant expenses for continued commercialization activities related to Lumega-Z, the MapcatSF ® |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2018 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | 2. Summary of Significant Accounting Policies Basis of Presentation and Use of Estimates The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). The preparation of the financial statements in conformity with GAAP requires management to make certain 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 reported amounts of expenses during the reporting period. Actual results could differ from those estimates. Intangible Assets In connection with the VectorVision transaction, the Company identified and allocated estimated fair values to intangible assets including goodwill and customer relationships. In accordance with Accounting Standard Codification (“ASC”) 350 – Intangibles – Goodwill and Other, the Company determined whether these assets are expected to have indefinite (such as goodwill) or limited useful lives, and for those with limited lives, the Company established an amortization period and method of amortization. Its goodwill and other intangible assets are subject to periodic impairment testing. The Company utilized the services of an independent third-party valuation firm to assist in identifying intangible assets and in estimating their fair values. The useful lives for the Company’s intangible assets other than goodwill were estimated based on Management’s consideration of various factors, including assumptions that market participants might use about sales expectations as well as potential effects of obsolescence, competition, technological progress and the regulatory environment. Because the future pattern in which the economic benefits of these intangible assets may not be reliably determined, amortization expense is generally calculated on a straight-line basis. Amortization expense for the identifiable intangible assets associated with the VectorVision acquisition is approximately $54,000 per quarter and is included with general and administrative expenses in the Company’s Statements of Operations. Impairment of Long-Lived Assets The Company reviews long-lived assets, including property and equipment, identifiable intangible assets, and goodwill for impairment at each fiscal year end or when events or changes in circumstances indicate the carrying value of these assets may exceed their current fair values. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the estimated undiscounted future cash flows expected to be generated by the asset. If the carrying amount of an asset exceeds its estimated future cash flows, an impairment charge is recognized for the amount by which the carrying amount of the asset exceeds the fair value of the assets. Assets to be disposed of are separately presented in the balance sheet and reported at the lower of the carrying amount or fair value less costs to sell and are no longer depreciated. The Company has not historically recorded any impairment to its long-lived assets. In the future, if events or market conditions affect the estimated fair value to the extent that a long-lived asset is impaired, the Company will adjust the carrying value of these long-lived assets in the period in which the impairment occurs. As of June 30, 2018 and December 31, 2017, the Company had not deemed any long-lived assets as impaired and was not aware of the existence of any indicators of impairment at such dates. Segment Information The Company operates and manages its business as one reporting and operating segment, which is the business of developing and commercializing a variety of products that support the detection, intervention and monitoring of a range of eye diseases. The Company’s chief executive officer, who is the chief operating decision maker, reviews financial information on an aggregate basis for purposes of allocating resources and evaluating financial performance. Revenue Recognition The Company’s revenue is comprised of sales of medical foods and dietary supplements to consumers through a direct sales/credit card process. In addition, the Company sells medical device equipment and U.S. and internationally. In September 2014, the Financial Accounting Standards Board issued Accounting Standards Update No. 2014-09 (ASU No. 2014-09) regarding revenue recognition. The new standard provides authoritative guidance clarifying the principles for recognizing revenue and developing a common revenue standard for U.S. generally accepted accounting principles. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods and services to customers in an amount that reflects the consideration to which the entity expects to be entitled in the exchange for those goods or services. The ASU became effective January 1, 2018. Due to the nature of the products sold by the Company, the adoption of the new standard has had no quantitative effect on the financial statements. However, the guidance requires additional disclosures to help readers of financial statements better understand the nature, amount, timing, and uncertainty of revenue that is recognized. The Company previously recognized revenue when risk of loss transferred to its customers and collection of the receivable was reasonably assured, which generally occurs when the product is shipped. A product is not shipped without an order from the customer and credit acceptance procedures performed. The Company allows for returns within 30 days of purchase, although for all periods presented, returns have been insignificant. Under the new guidance, revenue is recognized when control of promised goods or services is transferred to the Company’s customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. The Company reviews its sales transactions to identify contractual rights, performance obligations, and transaction prices, including the allocation of prices to separate performance obligations, if applicable. Revenue and costs of sales are recognized once products are delivered to the customer’s control and performance obligations are satisfied. All products sold by the Company are distinct individual products and consist of medical foods, supplemental formulas, medical devices and related supplies. The products are offered for sale as finished goods only, and there are no performance obligations required post-shipment for customers to derive the expected value from them. Contracts with customers contain no incentives or discounts that could cause revenue to be allocated or adjusted over time. Control of products sold transfers to customers upon shipment from the Company’s facilities, and the Company’s performance obligations are satisfied at that time. Shipping and handling activities are performed before the customer obtains control of the goods and therefore represent a fulfillment activity rather than a promised service to the customer. Payment for sales of Lumega-Z is generally made by approved credit cards. Payments for medical device sales are generally made by check, credit card, or wire transfer. Historically the Company has not experienced any significant payment delays from customers. The Company provides a 30-day right of return to its retail Lumega-Z customers. A right of return does not represent a separate performance obligation, but because customers are allowed to return products, the consideration to which the Company expects to be entitled is variable. Upon evaluation of historical Lumega-Z and VectorVision product returns, the Company determined that less than one believes it is probable that such returns will not cause a significant reversal of revenue in the future. Due to the insignificant amount of historical returns as well as the standalone nature of the Company’s products and assessment of performance obligations and transaction pricing for the Company’s sales contracts, the Company does not currently maintain a contract asset or liability balance at this time. and the reasonableness of its conclusions on a quarterly basis. The following table presents the Company’s revenues disaggregated by product type: Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Lumega-Z and supplements $ 79,993 $ 59,977 $ 152,132 $ 115,912 VectorVision medical devices and supplies 140,785 - 261,686 - $ 220,778 $ 59,977 $ 413,818 $ 115,912 Research and Development Costs Research and development costs consist primarily of fees paid to consultants and outside service providers and other expenses relating to the acquisition, design, development and testing of the Company’s medical foods and related products. Research and development expenditures, which include stock compensation expense, are expensed as incurred and totaled $194,708 and $25,770 for the six months ended June 30, 2018 and 2017, respectively. Stock-Based Compensation The Company periodically issues stock-based compensation to officers, directors, contractors and consultants for services rendered. Such issuances vest and expire according to terms established at the issuance date. Stock-based payments to officers, directors, consultants, contractors, and employees, which include grants of employee stock options, are recognized in the financial statements based on their fair values. Stock option grants, which are generally time vested, will be measured at the grant date fair value and charged to operations on a straight-line basis over the vesting period. The fair value of stock options is determined utilizing the Black-Scholes option-pricing model, which is affected by several variables, including the risk-free interest rate, the expected dividend yield, the expected life of the equity award, the exercise price of the stock option as compared to the fair market value of the common stock on the grant date and the estimated volatility of the common stock over the term of the equity award. The Company accounts for stock option and warrant grants issued and vesting to non-employees in accordance with the authoritative guidance of the FASB whereby the value of the stock compensation is based upon the measurement date as determined at either a) the date at which a performance commitment is reached, or b) at the date at which the necessary performance to earn the equity instruments is complete. Non-employee stock-based compensation charges generally are amortized over the vesting period using a graded vesting basis. In certain circumstances where there are no future performance requirements by the non-employee, grants are immediately vested and the total stock-based compensation charge is recorded in the period of the measurement date. The Company recognizes stock compensation expense, on stock purchases at a price less than fair value, and for fully-vested stock issued to consultants and other service providers, for the excess of fair value of the stock over the price paid for the stock. The Company recognizes the fair value of stock-based compensation within its statements of operations with classification depending on the nature of the services rendered. The Company will issue new shares to satisfy stock option exercises. Net Loss per Share The Company’s computation of basic and diluted net loss per common share is measured as net loss divided by the weighted average common shares outstanding during the respective periods, excluding unvested restricted common stock, if applicable. Shares of restricted stock are included in the basic weighted average number of common shares outstanding from the time they vest. Potential common shares such as from unexercised warrants, options, and shares of common stock issuable upon conversion of convertible debt and convertible preferred stock outstanding that have an anti-dilutive effect are excluded from the calculation of diluted net loss per share. The Company’s basic and diluted net loss per share is the same for all periods presented because all shares of common stock issuable upon exercise of warrants, options, and conversion of convertible debt and convertible preferred stock outstanding are anti-dilutive as they decrease loss per share. The following table sets forth the number of shares excluded from the computation of diluted loss per share, as their inclusion would have been anti-dilutive: June 30, 2018 2017 Warrants 2,656,423 2,983,666 Options 2,625,000 - Estimated shares issuable upon conversion of convertible notes payable - 31,250 Shares issuable upon conversion of convertible preferred stock - 4,308,600 5,281,423 7,323,516 Recent Accounting Pronouncements In February 2016, the FASB issued Accounting Standards Update No. 2016-02 (ASU 2016-02), Leases (Topic 842). ASU 2016-02 requires a lessee to record a right-of-use asset and a corresponding lease liability, initially measured at the present value of the lease payments, on the balance sheet for all leases with terms longer than 12 months, as well as the disclosure of key information about leasing arrangements. ASU 2016-02 requires recognition in the statement of operations of a single lease cost, calculated so that the cost of the lease is allocated over the lease term, generally on a straight-line basis. ASU 2016-02 requires classification of all cash payments within operating activities in the statement of cash flows. Disclosures are required to provide the amount, timing and uncertainty of cash flows arising from leases. A modified retrospective transition approach is required for lessees for capital and operating leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements, with certain practical expedients available. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early application is permitted. The Company has not yet evaluated the impact of the adoption of ASU 2016-02 on the Company’s financial statement presentation or disclosures. In July 2017, the FASB issued Accounting Standards Update No. 2017-11, Earnings Per Share (Topic 260); Distinguishing Liabilities from Equity (Topic 480); Derivatives and Hedging (Topic 815): (Part I) Accounting for Certain Financial Instruments with Down Round Features; (Part II) Replacement of the Indefinite Deferral for Mandatorily Redeemable Financial Instruments of Certain Nonpublic Entities and Certain Mandatorily Redeemable Noncontrolling Interests with a Scope Exception (“ASU 2017-11”). ASU 2017-11 allows companies to exclude a down round feature when determining whether a financial instrument (or embedded conversion feature) is considered indexed to the entity’s own stock. As a result, financial instruments (or embedded conversion features) with down round features may no longer be required to be accounted for as derivative liabilities. A company will recognize the value of a down round feature only when it is triggered and the strike price has been adjusted downward. For equity-classified freestanding financial instruments, an entity will treat the value of the effect of the down round as a dividend and a reduction of income available to common shareholders in computing basic earnings per share. For convertible instruments with embedded conversion features containing down round provisions, entities will recognize the value of the down round as a beneficial conversion discount to be amortized to earnings. ASU 2017-11 is effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Early adoption is permitted. The guidance in ASU 2017-11 is to be applied using a full or modified retrospective approach. The adoption of ASU 2017-11 is not currently expected to have any impact on the Company’s financial statement presentation or disclosures. In June 2018, the FASB issued Accounting Standards Update 2018-07, Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting (“ASU 2018-07”). ASU 2018-07 expands the scope of Topic 718 to include share-based payment transactions for acquiring goods and services from nonemployees. ASU 2018-07 also clarifies that Topic 718 does not apply to share-based payments used to effectively provide (1) financing to the issuer or (2) awards granted in conjunction with selling goods or services to customers as part of a contract accounted for under Revenue from Contracts with Customers (Topic 606). ASU 2018-07 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption is permitted. The Company will adopt the provisions of ASU 2018-07 in the quarter beginning January 1, 2019. The adoption of ASU 2018-07 is not expected to have any impact on the Company’s financial statement presentation or disclosures. The Company’s management does not believe that any other recently issued, but not yet effective, authoritative guidance, if currently adopted, would have a material impact on the Company’s financial statement presentation or disclosures. |
VectorVision Acquisition
VectorVision Acquisition | 6 Months Ended |
Jun. 30, 2018 | |
Business Combinations [Abstract] | |
Business Combination Disclosure [Text Block] | 3. VectorVision Acquisition On September 29, 2017, the Company, through a wholly-owned subsidiary, completed the acquisition of substantially all of the assets and certain liabilities of VectorVision, Inc., an Ohio corporation (“VectorVision”), in exchange for 3,050,000 shares of the Company’s common stock, valued at $2,287,500, pursuant to the terms of an Asset Purchase and Reorganization Agreement dated September 29, 2017 (the “VectorVision Agreement”). The VectorVision Agreement was entered into on an arm’s-length basis. The wholly-owned subsidiary that acquired the business is called VectorVision Ocular Health, Inc., a Delaware corporation, doing business as VectorVision. With respect to the 3,050,000 shares of common stock, 250,000 shares are held back by the Company through November 28, 2019 as security for VectorVision’s indemnification obligations to the Company and the remaining 2,800,000 shares were issued to VectorVision at the closing of the transaction were subsequently distributed to the two VectorVision shareholders in proportion to their shareholdings in VectorVision. The shares represented approximately 11% of the Company’s issued and outstanding common stock immediately following consummation of the transaction . The shares held back as security are included in the Company’s weighted average common shares outstanding for per-share calculations. VectorVision develops, manufactures and sells equipment and supplies for standardized vision testing for use by eye doctors in clinical trials, for real-world vision evaluation, and industrial vision testing. VectorVision specializes in the standardization of contrast sensitivity, glare sensitivity, low contrast acuity, and ETDRS (Early Treatment Diabetic Retinopathy Study) visual acuity testing. VectorVision developed and commercialized its CSV-1000 medical device to conduct contrast sensitivity testing and it developed and commercialized its ESV-3000 medical device to conduct ETDRS visual acuity testing. The patented standardization system provides the practitioner or researcher with the ability to delineate very small changes in visual capability, either as compared to the population or from visit to visit. The Company believes VectorVision’s CSV-1000 device to be the standard of care for clinical trials. The VectorVision transaction expanded the Company’s technical portfolio and the Company believes it further established the Company’s position at the forefront of early detection, intervention and monitoring of a range of eye diseases. In accordance with ASC 805, the Company utilized the acquisition method of accounting, whereby the purchase consideration is allocated to specific tangible and intangible assets at their estimated fair values on the date of acquisition. The following table summarizes the allocation of preliminary fair values of the purchase consideration to the assets and liabilities assumed: Fair Values Common stock consideration $ 2,287,500 Liabilities assumed 108,722 Total purchase consideration 2,396,222 Cash (4,895 ) Accounts receivable (50,105 ) Inventory (93,293 ) Prepaid assets (551 ) Property and equipment (9,458 ) Intangible assets (674,400 ) Goodwill $ 1,563,520 Goodwill is calculated as the excess of the consideration transferred over the net assets recognized and represents the expected revenue and benefits of the combined company. The following unaudited pro forma financial information gives effect to the Company’s acquisition of VectorVision as if the acquisition had occurred on January 1, 2017 and had been included in the Company’s consolidated statements of operations during the three and six-month periods ended June 30, 2017: Three Months Ended June 30, Six Months Ended June 30, 2017 2017 Pro forma net revenues $ 121,622 $ 366,793 Pro forma net loss attributable to common shareholders $ (1,088,909 ) $ (1,825,640 ) Pro forma net loss per share $ (0.04 ) $ (0.06 ) |
Inventories
Inventories | 6 Months Ended |
Jun. 30, 2018 | |
Inventory Disclosure [Abstract] | |
Inventory Disclosure [Text Block] | 4. Inventories Inventories consisted of the following: June 30, December 31, 2018 2017 Raw materials $ 380,899 $ 133,354 Finished goods 31,458 21,376 $ 412,357 $ 154,730 |
Property and Equipment, net
Property and Equipment, net | 6 Months Ended |
Jun. 30, 2018 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment Disclosure [Text Block] | 5. Property and Equipment, net Property and equipment consisted of the following: June 30, December 31, 2018 2017 Leasehold improvements $ 98,357 $ 98,357 Testing equipment 169,552 150,603 Furniture and fixtures 145,411 50,300 Computer equipment 39,476 16,464 Office equipment 8,193 8,193 460,989 323,917 Less accumulated depreciation and amortization (269,562 ) (228,320 ) $ 191,427 $ 95,597 For the six months ended June 30, 2018 and 2017, depreciation expense was $41,242 and $31,331, respectively, of which $15,376 and $14,650 were included in research and development expense, $4,138 and $0 were included in sales and marketing expense, and $21,728 and $16,861 were included in general and administrative expense, respectively. |
Acquisition of Intellectual Pro
Acquisition of Intellectual Property | 6 Months Ended |
Jun. 30, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets Disclosure [Text Block] | 6. Acquisition of Intellectual Property On January 26, 2018, the Company acquired the rights to the trademark GLAUCO-HEALTH as well as the name “International Eye Wellness Institute” (together, the “IP Assets”) from an unrelated third party. The purchase included all rights, title, and interest in and to the IP Assets, including (a) the right to register and use the IP Assets; (b) all goodwill associated with the IP Assets; (c) all income, royalties, and damages hereafter due or payable with respect to the IP Assets; (d) all rights to sue for past, present, and future infringements or misappropriations of the IP Assets; and (e) and all other intellectual property rights owned or claimed by the seller or embodied in the IP Assets. In exchange for these rights, the Company paid the seller $50,000 in cash. ASC 350-30-20 defines a defensive intangible asset as an acquired intangible asset in a situation in which an entity does not intend to actively use the asset but intends to hold (lock up) the asset to prevent others from obtaining access to the asset. The Company determined that the acquired intangible asset met the definition of a defensive intangible asset. The Company accounted for the $50,000 payment as an acquired intangible asset as of the closing of the agreement. As the Company can renew the underlying rights to the IP Assets indefinitely at nominal cost, the assets have been classified as a non-amortizable intangible asset on the Company’s balance sheet at June 30, 2018. The Company will evaluate the status of the assets for impairment annually or more frequently if warranted. On January 26, 2018 the Company entered into a consulting agreement with the principal of the seller to assist with the development of the IP Assets and other assets acquired by the Company in the transaction. In conjunction with the consulting agreement, the Company granted a stock option on January 26, 2018 to the consultant to purchase a total of 500,000 shares of the common stock of the Company (see Note 8). |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2018 | |
Related Party Transactions [Abstract] | |
Related Party Transactions Disclosure [Text Block] | 7. Related Party Transactions Due to and from related parties represents unreimbursed expenses and compensation incurred on behalf of, and amounts loaned to the Company by, Michael Favish, the Company’s Chief Executive Officer, as well as other stockholders. The advances are unsecured, non-interest bearing and are due on demand. As of June 30, 2018 and December 31, 2017, the Company had $117,473 and $146,133, respectively, due to related parties. |
Stockholders' Equity
Stockholders' Equity | 6 Months Ended |
Jun. 30, 2018 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity Note Disclosure [Text Block] | 8. Stockholders’ Equity Preferred Stock Series A During 2016, the Company sold 1,170,000 shares of the Company's Series A Senior Convertible Preferred Stock (the "Series A Preferred Stock") to various investors. The purchase price of the Series A Preferred Stock was $1.00 per share, for an aggregate purchase price of $1,170,000. In addition, during 2016, the Company issued 535,154 shares of its Series A Preferred Stock with a fair value of $784,888 upon conversion of $535,149 of notes payable and accrued interest. The Series A Preferred Stock had a stated value of $1.00 per share and accrued an annual dividend at the rate of 8% of the stated value, calculated quarterly, paid in shares of common stock at the rate of $0.60 per share. During the six months ended June 30, 2017, the Company declared dividends of $67,646 on its Series A Preferred Stock which were satisfied in full through the issuance of an aggregate of 112,759 shares of common stock. Series B Beginning in March 2017 and through September 30, 2017, the Company sold 3,105,000 shares of the Company's Series B Convertible Preferred Stock (the "Series B Preferred Stock") to various investors. The purchase price of the Series B Preferred Stock was $1.00 per share, for an aggregate purchase price of $3,105,000. The Series B Preferred Stock had a stated value of $1.00 per share and accrued an annual dividend at the rate of 6% of the stated value, calculated quarterly, paid in shares of common stock at the rate of $0.75 per share. During the six months ended June 30, 2017, the Company declared dividends of $13,537 on its Series B Preferred Stock which were satisfied in full through the issuance of an aggregate of 18,054 shares of common stock. On November 3, 2017, the Company completed the issuance and sale of an aggregate of 4,347,827 shares of common stock (see below). The completion of the private placement triggered, at the Company's election, the automatic conversion of the referred Stock into shares of common stock. Accordingly, immediately following the completion of the private placement, the Company effected the conversion of all outstanding shares of Series A Preferred Stock and the Series B Preferred Stock into 6,981,938 shares of common stock (excluding accrued but unpaid dividends) effective November 3, 2017. On April 26, 2018, the Company filed a Certificate of Elimination with the 10,000,000 authorized shares of preferred stock available for issuance. Common Stock On November 3, 2017, the Company completed the issuance and sale of an aggregate of 4,347,827 shares of common stock, par value $0.001 per share, at a purchase price of $1.15 per share. Total gross proceeds were $5,000,001. These shares were sold in a private placement to certain purchasers pursuant to a Stock Purchase Agreement dated as of November 3, 2017. Pursuant to the agreement, the purchasers have customary preemptive rights to participate in future equity and equity-linked issuances by the Company up to the extent necessary to maintain such purchaser’s pro rata ownership percentage in the Company’s securities, subject to customary exceptions. The preemptive rights terminate at the earlier of (i) , (ii) such time as the Purchasers hold less than five percent (5%) of the issued and outstanding shares of the Company’s common stock, or (iii) such time as the shares of common stock of the Company shall become listed or approved for listing on a national securities exchange. Warrants A summary of the Company’s warrant activity is as follows: Shares December 31, 2017 2,983,666 Granted - Forfeitures - Expirations (181,243 ) Exercised (146,000 ) June 30, 2018, all exercisable 2,656,423 In January 2018, an investor exercised warrants for 146,000 shares of common stock. The warrants were exercisable for $0.01 per share, and the Company received $1,460 in cash. The Company issued the shares and recorded the cash received as additional equity. On April 30, 2018, The Company offered a one-month exercise period extension to stockholders who held warrants to purchase shares of common stock of the Company that were scheduled to expire on May 1, 2018. Pursuant to the terms of a Note and Warrant Purchase Agreement entered into by the Company and such holders, such warrants were issued upon the conversion of certain promissory notes into common stock on May 1, 2015. Four of the warrant holders did not extend their warrants, resulting in the expiration of 151,006 warrants on May 1, 2018. Six warrant holders elected to extend the term of an aggregate of 403,085 warrants by one month to June 1, 2018. The exercise price of such warrants is $1.00 per share. On May 31, 2018, the six warrant holders noted above were offered a further extension of the exercise period for their warrants. One holder did not extend, resulting in the expiration of 30,237 warrants on June 1, 2018. Five warrant holders elected to extend the term of an aggregate of 372,848 warrants. These warrants are now scheduled to expire on the earlier of (a) May 31, 2019 or (b) sixty days following the date on which the common stock of the Company becomes listed or approved for listing on a national securities exchange. The exercise price of such warrants remains unchanged at $1.00 per share, but cashless exercise provisions have been eliminated from such warrants. Management applied the guidance in ASC 718 – Compensation-Stock Compensation which indicates that a modification to the terms of an award should be treated as an exchange of the original award for a new award with the resulting total compensation cost equal to the grant-date fair value of the original award plus the incremental value of the modification to the award. Under ASC 718, the calculation of the incremental value is based on the excess of the fair value of the new (modified) award based on current circumstances over the fair value of the original award measured immediately before its terms are modified based on current circumstances. The Company recognized expense of $494,391 relating to the extension of the exercise period of the warrants based upon a Black-Scholes option-pricing model using a stock price of $1.15, volatility of 118%, and an average risk-free rate of 2.61. The expense is reflected as Fair value of warrants - extension of expiration dates in the Company’s statements of operations. As of June 30, 2018, the Company had an aggregate of 2,656,423 outstanding warrants to purchase shares of its common stock with a weighted average exercise price of $0.43, weighted average remaining life of 0.7 years and aggregate intrinsic value of $1,905,475, based upon a stock valuation of $1.15 per share. The intrinsic value is calculated as the difference between the market value of the underlying common stock and the exercise price of the warrants. Stock Options A summary of the Company’s stock option activity is as follows: Shares December 31, 2017 2,125,000 Granted 500,000 Forfeitures - Exercised - June 30, 2018, outstanding 2,625,000 June 30, 2018, exercisable 2,225,000 On September 30, 2017, the Company entered into a consulting agreement pursuant to which the Company granted a total of 1,250,000 common stock options. 650,000 of the options with a fair value of $486,070 vested immediately, and the remaining 600,000 options vest ratably over twelve months on a quarterly basis with compensation cost measured as the fair value at the end of each reporting period. The options are non-qualified, have an exercise price of $1.00 per share, and will expire 5 years from the grant date. As of December 31, 2017, the Company had recognized compensation cost of $658,383 relating to the vesting of 800,000 options. During the six months ended June 30, 2018, the Company recognized stock compensation costs of $256,962 related to the vesting of 450,000 options based upon a graded vesting schedule. As of June 30, 2018, the remaining 150,000 options to vest were valued at $172,388 based upon a Black-Scholes option-pricing model. On December 30, 2017, the Company entered into a consulting agreement pursuant to which the Company granted a total of 750,000 common stock options. 250,000 of the options with a fair value of $312,275 vested immediately, and the remaining 500,000 of $1.25 per share, and will expire . On January 26, 2018, the Company entered into an agreement with a consultant to develop products based on certain intellectual property owned by the Company (see Note 6). In conjunction with the consulting agreement, the Company granted a stock option to the consultant to purchase a total of 500,000 shares of the common stock of the Company. 250,000 shares of the option with a fair value of $287,500 vested immediately, 125,000 shares vest on December 31, 2018 and the remaining 125,000 shares vest on December 31, 2019 provided the consultant is still an active service provider. As of June 30, 2018, the 250,000 options that remain to vest were valued in total at $287,365 based upon a Black-Scholes option-pricing model. Compensation cost is measured as the fair value at the end of each reporting period and cost is amortized based upon a graded vesting schedule. The options are non-qualified, have an exercise price of $1.25 per share, and will expire 5 years . As of June 30, 2018, options were valued based upon the Black-Scholes option-pricing model, with a stock price of $1.15, volatility of 120%, and an average risk-free rate of 2.65%. As of June 30, 2018, the Company had an aggregate of 400,000 remaining unvested options outstanding, with estimated fair value of $459,754. The Company remeasures unvested options for non-employees to fair value at the end of each reporting period. The aggregate intrinsic value of options outstanding as of June 30, 2018 was $187,500. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | 9. Commitments and Contingencies The Company is periodically the subject of various pending or threatened legal actions and claims arising out of its operations in the normal course of business. In the opinion of management of the Company, adequate provision has been made in the Company’s condensed financial statements at June 30, 2018 with respect to such matters, including the matter noted below. On or about July 26, 2017, the Company received a payment demand from a former consultant to the Company alleging that the consultant is owed approximately $192,000 for services rendered. The Company has disputed this demand and attempts to resolve this matter were unsuccessful. On January 29, 2018, the Company filed a lawsuit against the consultant and its related entities in the United States District Court for the Southern District of California (Case No. 18CV200-W-KSC) seeking declaratory relief regarding advisory fees and ownership interest in the Company. On March 6, 2018, the consultant and its related entities filed counterclaims against the Company, seeking payment for services rendered and seeking declaratory relief regarding ownership interest in the Company. |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | 10. Subsequent Events On July 25, 2018, the Board of Directors approved the Company entering into a product development consulting agreement with a product development company to design and create a working prototype device, named AcQviz, intended to embody the inventions described in US Patent No. 10,022,045 and US Patent Application 15/277,849, each of which the Company owns. Under this agreement, the product development company is to create a prototype device using sensor circuitry and communication software/firmware unique to the product development company, oversee the integration of the prototype circuitry design into a commercial product, develop specifications for the Company to mass produce a commercial product based on the prototype and integrate the communication channel for the device into various vision testing software programs. In conjunction with the product development agreement, the Board of Directors of the Company also approved a stock option grant to the product development company to purchase 100,000 shares of the common stock of the Company based on certain performance metrics set forth in the product development agreement and stock option agreement. |
Summary of Significant Accoun17
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2018 | |
Accounting Policies [Abstract] | |
Basis Of Presentation And Use Of Estimates Policy [Policy Text Block] | Basis of Presentation and Use of Estimates The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). The preparation of the financial statements in conformity with GAAP requires management to make certain 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 reported amounts of expenses during the reporting period. Actual results could differ from those estimates. |
Goodwill and Intangible Assets, Intangible Assets, Policy [Policy Text Block] | Intangible Assets In connection with the VectorVision transaction, the Company identified and allocated estimated fair values to intangible assets including goodwill and customer relationships. In accordance with Accounting Standard Codification (“ASC”) 350 – Intangibles – Goodwill and Other, the Company determined whether these assets are expected to have indefinite (such as goodwill) or limited useful lives, and for those with limited lives, the Company established an amortization period and method of amortization. Its goodwill and other intangible assets are subject to periodic impairment testing. The Company utilized the services of an independent third-party valuation firm to assist in identifying intangible assets and in estimating their fair values. The useful lives for the Company’s intangible assets other than goodwill were estimated based on Management’s consideration of various factors, including assumptions that market participants might use about sales expectations as well as potential effects of obsolescence, competition, technological progress and the regulatory environment. Because the future pattern in which the economic benefits of these intangible assets may not be reliably determined, amortization expense is generally calculated on a straight-line basis. Amortization expense for the identifiable intangible assets associated with the VectorVision acquisition is approximately $54,000 per quarter and is included with general and administrative expenses in the Company’s Statements of Operations. |
Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block] | Impairment of Long-Lived Assets The Company reviews long-lived assets, including property and equipment, identifiable intangible assets, and goodwill for impairment at each fiscal year end or when events or changes in circumstances indicate the carrying value of these assets may exceed their current fair values. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the estimated undiscounted future cash flows expected to be generated by the asset. If the carrying amount of an asset exceeds its estimated future cash flows, an impairment charge is recognized for the amount by which the carrying amount of the asset exceeds the fair value of the assets. Assets to be disposed of are separately presented in the balance sheet and reported at the lower of the carrying amount or fair value less costs to sell and are no longer depreciated. The Company has not historically recorded any impairment to its long-lived assets. In the future, if events or market conditions affect the estimated fair value to the extent that a long-lived asset is impaired, the Company will adjust the carrying value of these long-lived assets in the period in which the impairment occurs. As of June 30, 2018 and December 31, 2017, the Company had not deemed any long-lived assets as impaired and was not aware of the existence of any indicators of impairment at such dates. |
Segment Reporting, Policy [Policy Text Block] | Segment Information The Company operates and manages its business as one reporting and operating segment, which is the business of developing and commercializing a variety of products that support the detection, intervention and monitoring of a range of eye diseases. The Company’s chief executive officer, who is the chief operating decision maker, reviews financial information on an aggregate basis for purposes of allocating resources and evaluating financial performance. |
Revenue Recognition, Policy [Policy Text Block] | Revenue Recognition The Company’s revenue is comprised of sales of medical foods and dietary supplements to consumers through a direct sales/credit card process. In addition, the Company sells medical device equipment and U.S. and internationally. In September 2014, the Financial Accounting Standards Board issued Accounting Standards Update No. 2014-09 (ASU No. 2014-09) regarding revenue recognition. The new standard provides authoritative guidance clarifying the principles for recognizing revenue and developing a common revenue standard for U.S. generally accepted accounting principles. The core principle of the guidance is that an entity should recognize revenue to depict the transfer of promised goods and services to customers in an amount that reflects the consideration to which the entity expects to be entitled in the exchange for those goods or services. The ASU became effective January 1, 2018. Due to the nature of the products sold by the Company, the adoption of the new standard has had no quantitative effect on the financial statements. However, the guidance requires additional disclosures to help readers of financial statements better understand the nature, amount, timing, and uncertainty of revenue that is recognized. The Company previously recognized revenue when risk of loss transferred to its customers and collection of the receivable was reasonably assured, which generally occurs when the product is shipped. A product is not shipped without an order from the customer and credit acceptance procedures performed. The Company allows for returns within 30 days of purchase, although for all periods presented, returns have been insignificant. Under the new guidance, revenue is recognized when control of promised goods or services is transferred to the Company’s customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. The Company reviews its sales transactions to identify contractual rights, performance obligations, and transaction prices, including the allocation of prices to separate performance obligations, if applicable. Revenue and costs of sales are recognized once products are delivered to the customer’s control and performance obligations are satisfied. All products sold by the Company are distinct individual products and consist of medical foods, supplemental formulas, medical devices and related supplies. The products are offered for sale as finished goods only, and there are no performance obligations required post-shipment for customers to derive the expected value from them. Contracts with customers contain no incentives or discounts that could cause revenue to be allocated or adjusted over time. Control of products sold transfers to customers upon shipment from the Company’s facilities, and the Company’s performance obligations are satisfied at that time. Shipping and handling activities are performed before the customer obtains control of the goods and therefore represent a fulfillment activity rather than a promised service to the customer. Payment for sales of Lumega-Z is generally made by approved credit cards. Payments for medical device sales are generally made by check, credit card, or wire transfer. Historically the Company has not experienced any significant payment delays from customers. The Company provides a 30-day right of return to its retail Lumega-Z customers. A right of return does not represent a separate performance obligation, but because customers are allowed to return products, the consideration to which the Company expects to be entitled is variable. Upon evaluation of historical Lumega-Z and VectorVision product returns, the Company determined that less than one believes it is probable that such returns will not cause a significant reversal of revenue in the future. Due to the insignificant amount of historical returns as well as the standalone nature of the Company’s products and assessment of performance obligations and transaction pricing for the Company’s sales contracts, the Company does not currently maintain a contract asset or liability balance at this time. and the reasonableness of its conclusions on a quarterly basis. The following table presents the Company’s revenues disaggregated by product type: Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Lumega-Z and supplements $ 79,993 $ 59,977 $ 152,132 $ 115,912 VectorVision medical devices and supplies 140,785 - 261,686 - $ 220,778 $ 59,977 $ 413,818 $ 115,912 |
Research and Development Expense, Policy [Policy Text Block] | Research and Development Costs Research and development costs consist primarily of fees paid to consultants and outside service providers and other expenses relating to the acquisition, design, development and testing of the Company’s medical foods and related products. Research and development expenditures, which include stock compensation expense, are expensed as incurred and totaled $194,708 and $25,770 for the six months ended June 30, 2018 and 2017, respectively. |
Compensation Related Costs, Policy [Policy Text Block] | Stock-Based Compensation The Company periodically issues stock-based compensation to officers, directors, contractors and consultants for services rendered. Such issuances vest and expire according to terms established at the issuance date. Stock-based payments to officers, directors, consultants, contractors, and employees, which include grants of employee stock options, are recognized in the financial statements based on their fair values. Stock option grants, which are generally time vested, will be measured at the grant date fair value and charged to operations on a straight-line basis over the vesting period. The fair value of stock options is determined utilizing the Black-Scholes option-pricing model, which is affected by several variables, including the risk-free interest rate, the expected dividend yield, the expected life of the equity award, the exercise price of the stock option as compared to the fair market value of the common stock on the grant date and the estimated volatility of the common stock over the term of the equity award. The Company accounts for stock option and warrant grants issued and vesting to non-employees in accordance with the authoritative guidance of the FASB whereby the value of the stock compensation is based upon the measurement date as determined at either a) the date at which a performance commitment is reached, or b) at the date at which the necessary performance to earn the equity instruments is complete. Non-employee stock-based compensation charges generally are amortized over the vesting period using a graded vesting basis. In certain circumstances where there are no future performance requirements by the non-employee, grants are immediately vested and the total stock-based compensation charge is recorded in the period of the measurement date. The Company recognizes stock compensation expense, on stock purchases at a price less than fair value, and for fully-vested stock issued to consultants and other service providers, for the excess of fair value of the stock over the price paid for the stock. The Company recognizes the fair value of stock-based compensation within its statements of operations with classification depending on the nature of the services rendered. The Company will issue new shares to satisfy stock option exercises. |
Earnings Per Share, Policy [Policy Text Block] | Net Loss per Share The Company’s computation of basic and diluted net loss per common share is measured as net loss divided by the weighted average common shares outstanding during the respective periods, excluding unvested restricted common stock, if applicable. Shares of restricted stock are included in the basic weighted average number of common shares outstanding from the time they vest. Potential common shares such as from unexercised warrants, options, and shares of common stock issuable upon conversion of convertible debt and convertible preferred stock outstanding that have an anti-dilutive effect are excluded from the calculation of diluted net loss per share. The Company’s basic and diluted net loss per share is the same for all periods presented because all shares of common stock issuable upon exercise of warrants, options, and conversion of convertible debt and convertible preferred stock outstanding are anti-dilutive as they decrease loss per share. The following table sets forth the number of shares excluded from the computation of diluted loss per share, as their inclusion would have been anti-dilutive: June 30, 2018 2017 Warrants 2,656,423 2,983,666 Options 2,625,000 - Estimated shares issuable upon conversion of convertible notes payable - 31,250 Shares issuable upon conversion of convertible preferred stock - 4,308,600 5,281,423 7,323,516 |
New Accounting Pronouncements, Policy [Policy Text Block] | Recent Accounting Pronouncements In February 2016, the FASB issued Accounting Standards Update No. 2016-02 (ASU 2016-02), Leases (Topic 842). ASU 2016-02 requires a lessee to record a right-of-use asset and a corresponding lease liability, initially measured at the present value of the lease payments, on the balance sheet for all leases with terms longer than 12 months, as well as the disclosure of key information about leasing arrangements. ASU 2016-02 requires recognition in the statement of operations of a single lease cost, calculated so that the cost of the lease is allocated over the lease term, generally on a straight-line basis. ASU 2016-02 requires classification of all cash payments within operating activities in the statement of cash flows. Disclosures are required to provide the amount, timing and uncertainty of cash flows arising from leases. A modified retrospective transition approach is required for lessees for capital and operating leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements, with certain practical expedients available. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early application is permitted. The Company has not yet evaluated the impact of the adoption of ASU 2016-02 on the Company’s financial statement presentation or disclosures. In July 2017, the FASB issued Accounting Standards Update No. 2017-11, Earnings Per Share (Topic 260); Distinguishing Liabilities from Equity (Topic 480); Derivatives and Hedging (Topic 815): (Part I) Accounting for Certain Financial Instruments with Down Round Features; (Part II) Replacement of the Indefinite Deferral for Mandatorily Redeemable Financial Instruments of Certain Nonpublic Entities and Certain Mandatorily Redeemable Noncontrolling Interests with a Scope Exception (“ASU 2017-11”). ASU 2017-11 allows companies to exclude a down round feature when determining whether a financial instrument (or embedded conversion feature) is considered indexed to the entity’s own stock. As a result, financial instruments (or embedded conversion features) with down round features may no longer be required to be accounted for as derivative liabilities. A company will recognize the value of a down round feature only when it is triggered and the strike price has been adjusted downward. For equity-classified freestanding financial instruments, an entity will treat the value of the effect of the down round as a dividend and a reduction of income available to common shareholders in computing basic earnings per share. For convertible instruments with embedded conversion features containing down round provisions, entities will recognize the value of the down round as a beneficial conversion discount to be amortized to earnings. ASU 2017-11 is effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years. Early adoption is permitted. The guidance in ASU 2017-11 is to be applied using a full or modified retrospective approach. The adoption of ASU 2017-11 is not currently expected to have any impact on the Company’s financial statement presentation or disclosures. In June 2018, the FASB issued Accounting Standards Update 2018-07, Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting (“ASU 2018-07”). ASU 2018-07 expands the scope of Topic 718 to include share-based payment transactions for acquiring goods and services from nonemployees. ASU 2018-07 also clarifies that Topic 718 does not apply to share-based payments used to effectively provide (1) financing to the issuer or (2) awards granted in conjunction with selling goods or services to customers as part of a contract accounted for under Revenue from Contracts with Customers (Topic 606). ASU 2018-07 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption is permitted. The Company will adopt the provisions of ASU 2018-07 in the quarter beginning January 1, 2019. The adoption of ASU 2018-07 is not expected to have any impact on the Company’s financial statement presentation or disclosures. The Company’s management does not believe that any other recently issued, but not yet effective, authoritative guidance, if currently adopted, would have a material impact on the Company’s financial statement presentation or disclosures. |
Summary of Significant Accoun18
Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Accounting Policies [Abstract] | |
Disaggregation of Revenue [Table Text Block] | The following table presents the Company’s revenues disaggregated by product type: Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Lumega-Z and supplements $ 79,993 $ 59,977 $ 152,132 $ 115,912 VectorVision medical devices and supplies 140,785 - 261,686 - $ 220,778 $ 59,977 $ 413,818 $ 115,912 |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block] | The following table sets forth the number of shares excluded from the computation of diluted loss per share, as their inclusion would have been anti-dilutive: June 30, 2018 2017 Warrants 2,656,423 2,983,666 Options 2,625,000 - Estimated shares issuable upon conversion of convertible notes payable - 31,250 Shares issuable upon conversion of convertible preferred stock - 4,308,600 5,281,423 7,323,516 |
VectorVision Acquisition (Table
VectorVision Acquisition (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Business Combinations [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | The following table summarizes the allocation of preliminary fair values of the purchase consideration to the assets and liabilities assumed: Fair Values Common stock consideration $ 2,287,500 Liabilities assumed 108,722 Total purchase consideration 2,396,222 Cash (4,895 ) Accounts receivable (50,105 ) Inventory (93,293 ) Prepaid assets (551 ) Property and equipment (9,458 ) Intangible assets (674,400 ) Goodwill $ 1,563,520 |
Business Acquisition, Pro Forma Information [Table Text Block] | The following unaudited pro forma financial information gives effect to the Company’s acquisition of VectorVision as if the acquisition had occurred on January 1, 2017 and had been included in the Company’s consolidated statements of operations during the three and six-month periods ended June 30, 2017: Three Months Ended June 30, Six Months Ended June 30, 2017 2017 Pro forma net revenues $ 121,622 $ 366,793 Pro forma net loss attributable to common shareholders $ (1,088,909 ) $ (1,825,640 ) Pro forma net loss per share $ (0.04 ) $ (0.06 ) |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory, Current [Table Text Block] | Inventories consisted of the following: June 30, December 31, 2018 2017 Raw materials $ 380,899 $ 133,354 Finished goods 31,458 21,376 $ 412,357 $ 154,730 |
Property and Equipment, net (Ta
Property and Equipment, net (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment [Table Text Block] | Property and equipment consisted of the following: June 30, December 31, 2018 2017 Leasehold improvements $ 98,357 $ 98,357 Testing equipment 169,552 150,603 Furniture and fixtures 145,411 50,300 Computer equipment 39,476 16,464 Office equipment 8,193 8,193 460,989 323,917 Less accumulated depreciation and amortization (269,562 ) (228,320 ) $ 191,427 $ 95,597 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 6 Months Ended |
Jun. 30, 2018 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Stockholders' Equity Note, Warrants or Rights [Table Text Block] | A summary of the Company’s warrant activity is as follows: Shares December 31, 2017 2,983,666 Granted - Forfeitures - Expirations (181,243 ) Exercised (146,000 ) June 30, 2018, all exercisable 2,656,423 |
Share-based Compensation, Stock Options, Activity [Table Text Block] | A summary of the Company’s stock option activity is as follows: Shares December 31, 2017 2,125,000 Granted 500,000 Forfeitures - Exercised - June 30, 2018, outstanding 2,625,000 June 30, 2018, exercisable 2,225,000 |
Organization and Business Ope23
Organization and Business Operations (Details Textual) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Net Cash Provided by (Used in) Operating Activities | $ (2,424,058) | $ (1,023,321) | ||
Net Income (Loss) Attributable to Parent, Total | $ (1,810,083) | $ (855,661) | $ (4,143,025) | $ (1,524,679) |
Summary of Significant Accoun24
Summary of Significant Accounting Policies (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Revenues | $ 220,778 | $ 59,977 | $ 413,818 | $ 115,912 |
Lumega-Z and supplements [Member] | ||||
Revenues | 79,993 | 59,977 | 152,132 | 115,912 |
VectorVision medical devices and supplies [Member] | ||||
Revenues | $ 140,785 | $ 0 | $ 261,686 | $ 0 |
Summary of Significant Accoun25
Summary of Significant Accounting Policies (Details 1) - shares | 6 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2017 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 5,281,423 | 7,323,516 |
Convertible Debt Securities [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 0 | 31,250 |
Conversion of Preferred Stock [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 0 | 4,308,600 |
Employee Stock Option [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 2,625,000 | 0 |
Warrant [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 2,656,423 | 2,983,666 |
Summary of Significant Accoun26
Summary of Significant Accounting Policies (Details Textual) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Research and Development Expense | $ 34,320 | $ 15,530 | $ 194,708 | $ 25,770 |
Amortization of Intangible Assets | $ 54,000 |
VectorVision Acquisition (Detai
VectorVision Acquisition (Details) - USD ($) | 9 Months Ended | ||
Sep. 29, 2017 | Jun. 30, 2018 | Dec. 31, 2017 | |
Goodwill | $ 1,563,520 | $ 1,563,520 | |
VectorVision Inc [Member] | |||
Common stock consideration | $ 2,287,500 | ||
Liabilities assumed | 108,722 | ||
Total purchase consideration | 2,396,222 | ||
Cash | (4,895) | ||
Accounts receivable | (50,105) | ||
Inventory | (93,293) | ||
Prepaid assets | (551) | ||
Property and equipment | (9,458) | ||
Intangible assets | (674,400) | ||
Goodwill | $ 1,563,520 |
VectorVision Acquisition (Det28
VectorVision Acquisition (Details 1) - USD ($) | 3 Months Ended | 6 Months Ended |
Jun. 30, 2017 | Jun. 30, 2017 | |
Pro forma net revenues | $ 121,622 | $ 366,793 |
Pro forma net loss attributable to common shareholders | $ (1,088,909) | $ (1,825,640) |
Pro forma net loss per share | $ (0.04) | $ (0.06) |
VectorVision Acquisition (Det29
VectorVision Acquisition (Details Textual) | 9 Months Ended |
Sep. 29, 2017USD ($)shares | |
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | shares | 3,050,000 |
Business Acquisition, Equity Interest Issued or Issuable, Description | With respect to the 3,050,000 shares of common stock, 250,000 shares are held back by the Company through November 28, 2019 as security for VectorVision's indemnification obligations to the Company and the remaining 2,800,000 shares were issued to VectorVision at the closing of the transaction. Per the VectorVision Agreement, the 2,800,000 shares were subsequently distributed to the two VectorVision shareholders in proportion to their shareholdings in VectorVision. |
Equity Method Investment, Ownership Percentage | 11.00% |
VectorVision Inc [Member] | |
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable | $ | $ 2,287,500 |
Inventories (Details)
Inventories (Details) - USD ($) | Jun. 30, 2018 | Dec. 31, 2017 |
Raw materials | $ 380,899 | $ 133,354 |
Finished goods | 31,458 | 21,376 |
Inventory, Net | $ 412,357 | $ 154,730 |
Property and Equipment, net (De
Property and Equipment, net (Details) - USD ($) | Jun. 30, 2018 | Dec. 31, 2017 |
Property, Plant and Equipment, Gross, Total | $ 460,989 | $ 323,917 |
Less accumulated depreciation and amortization | (269,562) | (228,320) |
Property, Plant and Equipment, Net, Total | 191,427 | 95,597 |
Office Equipment [Member] | ||
Property, Plant and Equipment, Gross, Total | 8,193 | 8,193 |
Computer Equipment [Member] | ||
Property, Plant and Equipment, Gross, Total | 39,476 | 16,464 |
Testing equipment [Member] | ||
Property, Plant and Equipment, Gross, Total | 169,552 | 150,603 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment, Gross, Total | 98,357 | 98,357 |
Furniture and Fixtures [Member] | ||
Property, Plant and Equipment, Gross, Total | $ 145,411 | $ 50,300 |
Property and Equipment, net (32
Property and Equipment, net (Details Textual) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | Jun. 30, 2017 | |
Depreciation, Depletion and Amortization, Nonproduction, Total | $ 148,560 | $ 31,331 | ||
Research and Development Expense | $ 34,320 | $ 15,530 | 194,708 | 25,770 |
General and Administrative Expense, Total | 1,034,914 | 766,894 | 2,714,680 | 1,365,807 |
Selling and Marketing Expense, Total | $ 378,750 | $ 101,598 | 984,464 | 178,333 |
Property, Plant and Equipment [Member] | ||||
Depreciation, Depletion and Amortization, Nonproduction, Total | 41,242 | 31,331 | ||
Research and Development Expense | 15,376 | 14,650 | ||
General and Administrative Expense, Total | 21,728 | 16,861 | ||
Selling and Marketing Expense, Total | $ 4,138 | $ 0 |
Acquisition of Intellectual P33
Acquisition of Intellectual Property (Details Textual) - USD ($) | 1 Months Ended | 6 Months Ended | |
Jan. 26, 2018 | Jun. 30, 2018 | Jun. 30, 2017 | |
Payments to Acquire Intangible Assets | $ 50,000 | $ 0 | |
Intellectual Property [Member] | |||
Stock Issued During Period, Shares, Issued for Services | 500,000 |
Related Party Transactions (Det
Related Party Transactions (Details Textual) - USD ($) | Jun. 30, 2018 | Dec. 31, 2017 |
Related Party Transaction [Line Items] | ||
Due to Officers or Stockholders, Current | $ 117,473 | $ 146,133 |
Stockholders' Equity (Details)
Stockholders' Equity (Details) | 6 Months Ended |
Jun. 30, 2018shares | |
Class of Warrant or Right [Line Items] | |
Membership Units or Shares, Balance | 2,983,666 |
Membership Units or Shares, Granted | 0 |
Membership Units or Shares, Forfeitures | 0 |
Membership Units or Shares,Expirations | (181,243) |
Membership Units or Shares, Exercised | (146,000) |
Membership Units or Shares, Balance | 2,656,423 |
Stockholders' Equity (Details 1
Stockholders' Equity (Details 1) | 6 Months Ended |
Jun. 30, 2018shares | |
Class of Warrant or Right [Line Items] | |
Beginning Balance | 2,125,000 |
Granted | 500,000 |
Forfeitures | 0 |
Exercised | 0 |
Ending Balance | 2,625,000 |
June 30, 2018, exercisable | 2,225,000 |
Stockholders' Equity (Details T
Stockholders' Equity (Details Textual) | Nov. 03, 2017USD ($)$ / sharesshares | May 31, 2019 | May 31, 2018USD ($)$ / sharesshares | May 31, 2018$ / sharesshares | Jan. 31, 2018USD ($)$ / sharesshares | Jan. 26, 2018USD ($)$ / sharesshares | Dec. 30, 2017USD ($)$ / sharesshares | Sep. 30, 2017USD ($)$ / sharesshares | Jun. 01, 2018$ / shares | Jun. 30, 2018USD ($)$ / sharesshares | Jun. 30, 2017USD ($) | Jun. 30, 2018USD ($)$ / sharesshares | Sep. 30, 2017USD ($)$ / sharesshares | Jun. 30, 2017USD ($)shares | Dec. 31, 2016USD ($)$ / sharesshares | May 01, 2018$ / shares | Apr. 30, 2018shares | Apr. 26, 2018shares | Dec. 31, 2017USD ($)$ / sharesshares |
Class of Warrant or Right [Line Items] | |||||||||||||||||||
Common Stock, Par or Stated Value Per Share | $ / shares | $ 0.001 | $ 0.001 | $ 0.001 | ||||||||||||||||
Shares Issued, Price Per Share | $ / shares | $ 1 | $ 1 | |||||||||||||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares | $ 0.01 | ||||||||||||||||||
Class of Warrant or Right, Outstanding | 2,656,423 | 2,656,423 | 2,983,666 | ||||||||||||||||
Warrants Intrinsic Value | $ | $ 1,905,475 | ||||||||||||||||||
Share Price | $ / shares | $ 1.15 | $ 1.15 | $ 1.15 | $ 1.15 | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Number of Shares | 256,962 | ||||||||||||||||||
Debt Conversion, Original Debt, Amount | $ | $ 535,149 | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 2.65% | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 120.00% | ||||||||||||||||||
Stock Issued | $ | $ 0 | $ 81,183 | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested in Period, Fair Value | $ | $ 287,500 | $ 459,754 | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Number | 500,000 | 400,000 | 400,000 | 800,000 | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Aggregate Intrinsic Value | $ | $ 287,365 | $ 287,365 | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 500,000 | ||||||||||||||||||
Stock Issued During Period, Shares Warrants Exercised | 146,000 | ||||||||||||||||||
Stock Issued During Period, Value Warrants Exercised | $ | $ 1,460 | $ 1,460 | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares | 600,000 | 250,000 | 250,000 | 600,000 | |||||||||||||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options | $ | $ 450,000 | $ 450,000 | $ 658,383 | ||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | $ / shares | $ 1.25 | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 5 years | 5 years | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value | $ | 187,500 | 187,500 | |||||||||||||||||
Preferred Stock, Capital Shares Reserved for Future Issuance | 10,000,000 | ||||||||||||||||||
Number Of Warrants Expired | 30,237 | 151,006 | |||||||||||||||||
Number Of Warrants Subject To Term Extension | 372,848 | 372,848 | 403,085 | ||||||||||||||||
Investment Warrants, Exercise Price | $ / shares | $ 1 | ||||||||||||||||||
Investment Warrants Expiration Date | May 31, 2019 | ||||||||||||||||||
Warrant Expiration Date Description | These warrants are now scheduled to expire on the earlier of (a) May 31, 2019 or (b) sixty days following the date on which the common stock of the Company becomes listed or approved for listing on a national securities exchange. | ||||||||||||||||||
Fair Value Adjustment of Warrants | $ | $ 494,391 | 494,391 | $ 0 | 494,391 | $ 0 | ||||||||||||||
Stock or Unit Option Plan Expense | $ | 384,046 | ||||||||||||||||||
Measurement Input, Price Volatility [Member] | |||||||||||||||||||
Class of Warrant or Right [Line Items] | |||||||||||||||||||
Warrants and Rights Outstanding, Measurement Input | 118 | 118 | |||||||||||||||||
Measurement Input, Risk Free Interest Rate [Member] | |||||||||||||||||||
Class of Warrant or Right [Line Items] | |||||||||||||||||||
Warrants and Rights Outstanding, Measurement Input | 2.61 | 2.61 | |||||||||||||||||
Non Qualified Stock Options [Member] | |||||||||||||||||||
Class of Warrant or Right [Line Items] | |||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Number of Shares | 650,000 | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Aggregate Intrinsic Value | $ | $ 172,388 | $ 172,388 | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 1,250,000 | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares | 150,000 | 150,000 | |||||||||||||||||
Non Qualified Stock Options [Member] | Consultant [Member] | |||||||||||||||||||
Class of Warrant or Right [Line Items] | |||||||||||||||||||
Share Price | $ / shares | $ 1.25 | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Number of Shares | 250,000 | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested in Period, Fair Value | $ | $ 312,275 | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 750,000 | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Terms of Award | 5 years | ||||||||||||||||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options | $ | $ 413,877 | $ 413,877 | |||||||||||||||||
Warrant [Member] | |||||||||||||||||||
Class of Warrant or Right [Line Items] | |||||||||||||||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares | $ 0.43 | $ 0.43 | $ 1 | ||||||||||||||||
Warrants Weighted Average Remaining Life | 8 months 12 days | ||||||||||||||||||
Share-based Compensation Award, Tranche One [Member] | |||||||||||||||||||
Class of Warrant or Right [Line Items] | |||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Number of Shares | 250,000 | ||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested in Period, Fair Value | $ | $ 486,070 | ||||||||||||||||||
Share-based Compensation Award, Tranche Two [Member] | |||||||||||||||||||
Class of Warrant or Right [Line Items] | |||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Number of Shares | 125,000 | ||||||||||||||||||
Share-based Compensation Award, Tranche Three [Member] | |||||||||||||||||||
Class of Warrant or Right [Line Items] | |||||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Number of Shares | 125,000 | ||||||||||||||||||
Common Stock [Member] | |||||||||||||||||||
Class of Warrant or Right [Line Items] | |||||||||||||||||||
Stock Issued During Period, Shares, Issued for Services | 4,347,827 | ||||||||||||||||||
Stock Issued During Period, Shares Warrants Exercised | 146,000 | ||||||||||||||||||
Stock Issued During Period, Value Warrants Exercised | $ | $ 146 | ||||||||||||||||||
Preferred Stock [Member] | |||||||||||||||||||
Class of Warrant or Right [Line Items] | |||||||||||||||||||
Debt Conversion, Converted Instrument, Shares Issued | 535,154 | ||||||||||||||||||
Stock Issued | $ | $ 784,888 | ||||||||||||||||||
Private Placement [Member] | |||||||||||||||||||
Class of Warrant or Right [Line Items] | |||||||||||||||||||
Common Stock, Par or Stated Value Per Share | $ / shares | $ 0.001 | ||||||||||||||||||
Stock Issued During Period, Shares, Issued for Services | 4,347,827 | ||||||||||||||||||
Shares Issued, Price Per Share | $ / shares | $ 1.15 | ||||||||||||||||||
Share Price | $ / shares | $ 1.15 | ||||||||||||||||||
Proceeds from Issuance of Private Placement | $ | $ 5,000,001 | ||||||||||||||||||
Series A Preferred Stock [Member] | |||||||||||||||||||
Class of Warrant or Right [Line Items] | |||||||||||||||||||
Shares Issued, Price Per Share | $ / shares | $ 1 | ||||||||||||||||||
Share Price | $ / shares | $ 1 | ||||||||||||||||||
Stock Issued During Period, Shares, New Issues | 1,170,000 | ||||||||||||||||||
Stock Issued During Period, Value, New Issues | $ | $ 1,170,000 | ||||||||||||||||||
Preferred Stock, Dividend Rate, Percentage | 8.00% | ||||||||||||||||||
Preferred Stock, Dividends Per Share, Declared | $ / shares | $ 0.60 | ||||||||||||||||||
Common Stock Dividends, Shares | 112,759 | ||||||||||||||||||
Dividends, Preferred Stock, Stock | $ | $ 67,646 | ||||||||||||||||||
Series B Preferred Stock [Member] | |||||||||||||||||||
Class of Warrant or Right [Line Items] | |||||||||||||||||||
Share Price | $ / shares | $ 1 | $ 1 | |||||||||||||||||
Stock Issued During Period, Shares, New Issues | 3,105,000 | ||||||||||||||||||
Stock Issued During Period, Value, New Issues | $ | $ 3,105,000 | ||||||||||||||||||
Preferred Stock, Dividend Rate, Percentage | 6.00% | ||||||||||||||||||
Preferred Stock, Dividends Per Share, Declared | $ / shares | $ 0.75 | ||||||||||||||||||
Common Stock Dividends, Shares | 18,054 | ||||||||||||||||||
Convertible Preferred Stock, Shares Issued upon Conversion | 6,981,938 | ||||||||||||||||||
Series B Preferred Stock [Member] | Dividend Declared [Member] | |||||||||||||||||||
Class of Warrant or Right [Line Items] | |||||||||||||||||||
Dividends, Preferred Stock, Stock | $ | $ 13,537 |
Commitments and Contingencies (
Commitments and Contingencies (Details Textual) | 6 Months Ended |
Jun. 30, 2018USD ($) | |
Loss Contingency, Damages Sought, Value | $ 192,000 |
Subsequent Events (Details Text
Subsequent Events (Details Textual) | 1 Months Ended |
Jul. 31, 2018shares | |
Subsequent Event [Member] | |
Subsequent Event [Line Items] | |
Stock Issued During Period, Shares, Issued for Services | 100,000 |