YogaWorks (YOGAQ) 10-Q 14 Aug 18 2018 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2018	Jul. 31, 2018
Document And Entity Information [Abstract]
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
Trading Symbol	YOGA
Entity Registrant Name	YogaWorks, Inc.
Entity Central Index Key	1,703,497
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		16,466,526

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($)	Jun. 30, 2018	Dec. 31, 2017
Current assets
Cash and cash equivalents	$ 15,465,549	$ 22,095,216
Inventories	1,222,960	1,212,608
Prepaid expenses and other current assets	2,075,346	1,145,067
Total current assets	18,763,855	24,452,891
Property and equipment, net	9,856,627	10,418,203
Intangible assets, net	19,442,521	22,142,275
Goodwill	10,782,063	12,768,773
Other non-current assets	1,314,362	1,224,179
Total assets	60,159,428	71,006,321
Current liabilities
Accounts payable and accrued expenses	2,452,232	3,794,569
Accrued compensation	1,735,092	1,947,134
Deferred revenue	7,545,300	7,187,948
Current portion of deferred rent	106,802	122,607
Total current liabilities	11,839,426	13,052,258
Deferred rent, net of current portion	3,517,807	3,418,886
Deferred tax liability	12,641
Total liabilities	15,369,874	16,471,144
Commitments and Contingencies (Note 14)
Stockholders’ equity
Common stock $0.001 par value; 50,000,000 shares authorized, 16,595,513 issued and 16,460,501 outstanding at June 30, 2018 and 50,000,000 shares authorized, 16,435,505 issued and 16,332,510 outstanding at December 31, 2017	16,461	16,333
Additional paid in capital	112,516,233	111,650,415
Accumulated deficit	(67,743,140)	(57,131,571)
Total stockholders’ equity	44,789,554	54,535,177
Total liabilities and stockholders’ equity	$ 60,159,428	$ 71,006,321

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2018	Dec. 31, 2017
Statement Of Financial Position [Abstract]
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	50,000,000	50,000,000
Common stock, shares issued	16,595,513	16,435,505
Common stock, shares outstanding	16,460,501	16,332,510

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
Income Statement [Abstract]
Net revenues	$ 14,870,362	$ 12,493,461	$ 30,400,175	$ 26,483,555
Cost of revenues and operating expenses
Cost of revenues	5,755,974	4,805,637	11,679,823	9,934,389
Center operations	7,061,573	5,583,228	13,833,489	11,269,866
General and administrative expenses	4,054,012	4,094,443	8,458,945	7,104,829
Depreciation and amortization	2,218,271	2,167,877	4,597,028	4,369,462
Goodwill impairment	2,474,819		2,474,819
Total cost of revenues and operating expenses	21,564,649	16,651,185	41,044,104	32,678,546
Loss from operations	(6,694,287)	(4,157,724)	(10,643,929)	(6,194,991)
Interest (income) expense, net	(44,142)	248,874	(50,272)	810,506
Net loss before provision for income taxes	(6,650,145)	(4,406,598)	(10,593,657)	(7,005,497)
Provision for income taxes	528	41,107	17,912	59,006
Net loss	(6,650,673)	(4,447,705)	(10,611,569)	(7,064,503)
Less preferred rights dividend on redeemable preferred stock				(995,743)
Net loss attributable to common stockholders	$ (6,650,673)	$ (4,447,705)	$ (10,611,569)	$ (8,060,246)
Basic and diluted net loss per share attributable to common stockholders	$ (0.41)	$ (0.50)	$ (0.65)	$ (1.66)
Weighted-average number of shares used in calculating loss per share attributable to common stockholders:
Basic and diluted common shares	16,382,505	8,908,188	16,367,796	4,857,160

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Stockholders' Equity - 6 months ended Jun. 30, 2018 - USD ($)	Total	Common Stock	Additional Paid-in Capital	Accumulated Deficit
Beginning balance at Dec. 31, 2017	$ 54,535,177	$ 16,333	$ 111,650,415	$ (57,131,571)
Beginning balance, Shares at Dec. 31, 2017		16,332,510
Vesting of restricted stock units	0	$ 161	(161)
Vesting of restricted stock units, Shares		160,533
Repurchase of shares to satisfy tax withholding	(83,663)	$ (33)	(83,630)
Repurchase of shares to satisfy tax withholding, Shares		(32,542)
Stock-based compensation	949,609		949,609
Net loss	(10,611,569)			(10,611,569)
Ending balance at Jun. 30, 2018	$ 44,789,554	$ 16,461	$ 112,516,233	$ (67,743,140)
Ending balance, Shares at Jun. 30, 2018		16,460,501

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows - USD ($)	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Cash flows from operating activities
Net loss	$ (10,611,569)	$ (7,064,503)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	4,597,028	4,369,462
Goodwill impairment	2,474,819
Deferred tax	12,641	44,865
Paid-in-kind interest expense capitalized to convertible note		259,087
Beneficial conversion feature		147,877
Amortization of debt issuance cost		55,437
Stock-based compensation expense	949,609	825,145
Changes to operating assets and liabilities
Tenant improvement allowances received	47,530
Inventories	(6,386)	69,605
Prepaid expenses and other current assets	(930,279)	(595,180)
Other non-current assets	(52,751)	(42,220)
Accounts payable and accrued expenses	(857,643)	644,590
Accrued compensation	(212,042)	(104,331)
Deferred revenue	2,739	508,070
Deferred rent and other non-current liabilities	35,586	60,446
Net cash used in operating activities	(4,550,718)	(821,650)
Cash flows from investing activities
Purchases of property, equipment, and intangible assets	(629,662)	(470,046)
Acquisition earnout and holdback payments	(643,694)
Cash paid for acquisitions, net of earnouts	721,930
Net cash used in investing activities	(1,995,286)	(470,046)
Cash flows from financing activities
Repurchase of shares to satisfy tax withholding	(83,663)
Principal payment on term loans		(87,500)
Principal payment on subordinated notes		(200,000)
Proceeds from issuance of convertible note		3,200,000
Proceeds from issuance of common stock		13,800
Net cash (used in) provided by financing activities	(83,663)	2,926,300
Increase (decrease) in cash and cash equivalents	(6,629,667)	1,634,604
Cash and cash equivalents, beginning of period	22,095,216	1,912,421
Cash and cash equivalents, end of period	15,465,549	3,547,025
Cash paid during the year for:
Interest paid		277,151
Investing activities
Purchase consideration liabilities related to acquisitions	$ 159,000
Financing activities
Dividends on preferred redeemable stock accrued		995,743
Paid-in-kind interest expense capitalized to convertible note		259,087
Conversion of convertible notes to equity		11,825,774
Conversion of preferred redeemable stock to equity		$ 62,388,567

Organization and Basis of Prese

Organization and Basis of Presentation	6 Months Ended
	Jun. 30, 2018
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Organization and Basis of Presentation	1. Organization and Basis of Presentation General YogaWorks, Inc., a Delaware corporation, and its wholly-owned subsidiary Yoga Works, Inc., a California corporation (together referred to as “we”, “us”, “our”, and the “Company”), are primarily engaged in operating yoga studios. YogaWorks, Inc. was formerly known as YWX Holdings, Inc. and we changed our name to YogaWorks, Inc. on April 10, 2017. We operate under the brand names YogaWorks, Yoga Tree and certain other local brands for a period of time following the acquisition of studios. We primarily offer yoga classes, workshops, teacher training programs and yoga-related retail merchandise across our studios. In addition to our studio locations, we offer online yoga instruction and programming through our MyYogaWorks.com web platform, which provides subscribers with a highly curated library of over 1,100 yoga classes. Initial Public Offering On August 16, 2017, we completed our initial public offering (“IPO”) whereby we sold 7,300,000 shares of our common stock (“Common Stock”) registered at a price of $5.50 per share. Our shares of our Common Stock are traded on the NASDAQ Global Market. We received proceeds from our IPO of $37.6 million after deducting underwriters' discounts and commissions of $2.5 million, but before deducting offering costs of $2.6 million. Certain IPO-related costs of $5.1 million were recorded as a reduction to additional paid-in capital in 2017. Markets We operate in regional markets across the United States (“U.S.”). As a result of the clustering of our studios in key geographic markets, and the flexibility offered to students to use different studios in a regional market, we do not report net revenues on an individual studio basis or report same studio sales. We prefer to analyze financial results on a regional market basis. Given the focus on acquisitions, we may acquire studios in an existing regional market to capture more regional market share, which may take some market share from our existing studios. As of June 30, 2018, we owned and operated 71 yoga studios in nine regional markets. The following table illustrates the studio locations by regional market: Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Regional Market Number of Studios(1) Percentage of Net Revenues(2) Number of Studios(1) Percentage of Net Revenues(2) Number of Studios(1) Percentage of Net Revenues(2) Number of Studios(1) Percentage of Net Revenues(2) Los Angeles 17 34 % 17 42 % 17 34 % 17 41 % Orange County (California) 4 6 % 4 8 % 4 6 % 4 8 % Northern California 13 21 % 13 25 % 13 22 % 13 25 % Houston(3) 7 9 % — — 7 9 % — — Atlanta(3) 4 5 % — — 4 4 % — — Washington, D.C.(4) 6 4 % 1 1 % 6 4 % 1 1 % Baltimore(4) 7 6 % 7 7 % 7 6 % 7 7 % New York City 5 10 % 5 14 % 5 11 % 5 14 % Boston(5) 8 5 % 3 3 % 8 4 % 3 4 % Total Studios 71 50 71 50 (1) Number of studios as of June 30, 2018 and 2017. (2) For the three and six months ended June 30, 2018 and 2017. Assumes that any net revenues for teacher training, workshops and MyYogaWorks.com for such period are allocated to the regional markets on a proportional basis based on the market’s share of total studio net revenues for such period. (3) Reflects seven Houston area studios acquired in October 2017 and four Atlanta area studios acquired in November 2017. (4) Reflects five Washington, D.C./Baltimore-area studios acquired in the second half of 2017. The regions were then split into two separate areas as a result of the acquisitions. (5) Reflects Boston area studios acquired in the second quarter of 2018. We operate in a number of regional operating segments; however, we meet the aggregation criteria of Accounting Standards Codification (“ASC”) 280, Segment Reporting, and therefore report as one reportable segment Basis of Presentation The accompanying unaudited condensed consolidated financial statements included herein have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and the rules and regulations of the Securities and Exchange Commission (“SEC”). In the opinion of management, normal recurring adjustments considered necessary for a fair presentation have been reflected in these condensed consolidated financial statements. The consolidated balance sheet as of December 31, 2017 has been derived from the audited financial statements for the fiscal year then ended included in our Annual Report on Form 10-K filed with the SEC pursuant to Rule 424(b) under the Securities Act of 1933, as amended, on April 3, 2018 (the “10-K”), but does not include all of the information and notes required by GAAP for complete financial statements. The financial information included in this quarterly report on Form 10-Q should be read in conjunction with the consolidated financial statements as of and for the fiscal year ended December 31, 2017 and the related notes thereto included in the 10-K. There have been no significant changes in our accounting policies from those disclosed in the 10-K.

Recent Accounting Pronouncement

Recent Accounting Pronouncements	6 Months Ended
	Jun. 30, 2018
Accounting Changes And Error Corrections [Abstract]
Recent Accounting Pronouncements	2. Under the JOBS Act, emerging growth companies can delay adopting new or revised accounting standards until such time as those standards apply to private companies. We have availed ourselves of this exemption from new or revised accounting standards. The effective dates of the recent accounting pronouncements noted below reflect the private company transition date. In June 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2018-07, Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting. The amendments in this ASU provide guidance on accounting for share-based payment transactions for acquiring goods and services from nonemployees. This ASU is effective for fiscal years beginning after December 15, 2018. Early adoption is permitted, but no earlier than an entity’s adoption date of Topic 606. We are evaluating the impact of implementing this update on our consolidated financial statements. In May 2017, the FASB issued ASU 2017-09, Compensation – Stock Compensation (Topic 718): Scope of Modification Accounting. The amendments in this ASU will provide guidance about which changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting in Topic 718. This ASU was effective for fiscal years beginning after December 15, 2017. We adopted this ASU as of January 1, 2018 noting no material impact to the consolidated financial statements. In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business. The amendments in this ASU provide a robust framework to use in determining when a set of assets and activities is a business. This ASU is effective for fiscal years beginning after December 15, 2018. Early adoption is permitted and the standard should be applied prospectively. We early adopted this ASU as of January 9, 2018 and this standard was applied on all acquisitions during the second quarter of 2018 (See Note 3). In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments. The update provides guidance on classification for cash receipts and payments related to eight specific issues. The update is effective for fiscal years beginning after December 15, 2018, with early adoption permitted. We are evaluating the impact of implementing this update on our consolidated financial statements. In March 2016, the FASB issued ASU 2016-04, Liabilities – Extinguishments of Liabilities (Subtopic 405-20): Recognition of Breakage for Certain Prepaid Stored-Value Products. This update addresses the current and potential future diversity in practice related to the derecognition of a prepaid stored-value product liability. This ASU was effective for fiscal years beginning after December 15, 2017. We adopted this ASU as of January 1, 2018 noting no material impact to the consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842). The new standard establishes a right-of-use (“ROU”) model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. The new standard is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Although early adoption is permitted, we anticipate adopting these provisions in the first quarter of 2020. 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. We had $51.2 million of operating lease obligations as of December 31, 2017, and upon adoption of this standard we will record a ROU asset and lease liability equal to the present value of these leases, which will have a material impact on the consolidated balance sheet. However, the recognition of lease expense in the consolidated statement of operations is not expected to change from the current methodology. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606). This ASU supersedes the revenue recognition requirements in ASU Topic 605, Revenue Recognition, and requires the recognition of revenue when promised goods or services are transferred to customers in an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. Topic 606 is effective for our Company in fiscal years beginning after December 15, 2018, with early adoption permitted. The standard permits the use of either the retrospective or modified retrospective (cumulative effect) transition method. Our Company primarily generates revenues by selling yoga classes in the form of memberships or class packages. Our implementation efforts included the identification of revenue streams within the scope of the guidance, evaluation of the revenue contracts and existing revenue recognition policies. We anticipate that we will adopt the new standard on January 1, 2019 and our evaluation remains preliminary because we are still in the process of evaluating the impact.

Acquisitions

Acquisitions	6 Months Ended
	Jun. 30, 2018
Business Combinations [Abstract]
Acquisitions	3. Acquisitions Our Company uses acquisitions as our primary strategy to grow our market share, quickly gain students and build on the operating momentum of the acquired businesses. We completed two acquisitions during the quarter ended June 30, 2018, paying total consideration of $721,930, excluding earnouts of $159,000 . On April 30, 2018, we acquired Prana Power Yoga (three studios) The acquisitions were accounted for as a business acquisition in accordance with ASC 805, Business Combinations (“ASC 805”). Under the acquisition method of accounting, the total purchase price was allocated to the net tangible and intangible assets acquired and liabilities assumed, based on their estimated fair values. Any excess amount paid over identifiable assets is recorded as goodwill. The associated goodwill is deductible for tax purposes. The process for estimating the fair values of the acquired studios involves the use of significant estimates and assumptions, including estimating average industry purchase price multiple and estimating future cash flows. The condensed consolidated statement of operations since the date of each acquisition through June 30, 2018 and the condensed consolidated balance sheet as of June 30, 2018 include the results of operations and the acquired assets and assumed liabilities related to all 2018 acquisitions. For the three months ended June 30, 2018, these acquisitions contributed $150,166 to our Company’s revenues. Net income contributed by these acquisitions was not separately identifiable due to our integration activities and the impact of corporate-level expenses and is impracticable to provide. Acquisition-related costs, including legal fees and all related professional fees, were expensed. There were no acquisitions in six months ended June 30, 2017. The total purchase price consideration was allocated to the acquired assets and liabilities as follows: Amount Inventories $ 3,966 Property and equipment 410,060 Intangible assets 295,976 Goodwill 488,109 Other non-current assets 37,432 Total assets acquired 1,235,543 Deferred revenue 354,613 Total liabilities assumed 354,613 Net assets acquired $ 880,930 The purchase price allocations are preliminary and are based on information existing at the acquisition dates. Accordingly, the purchase price allocations are subject to change. These acquisitions are not material to our Company's results of operations, individually or in the aggregate. As a result, no pro forma financial information is provided.

Property and Equipment

Property and Equipment	6 Months Ended
	Jun. 30, 2018
Property Plant And Equipment [Abstract]
Property and Equipment	4. Property and Equipment The major classes of property and equipment are as follows: As of June 30, 2018 As of December 31, 2017 Computer equipment and purchased software $ 1,232,305 $ 1,130,653 Furniture and fixtures 3,755,408 3,633,677 Leasehold improvements 26,109,939 25,367,841 Other equipment 192,970 174,885 Construction-in-progress 30,863 — Total property and equipment 31,321,485 30,307,056 Less accumulated depreciation and amortization (21,464,858 ) (19,888,853 ) $ 9,856,627 $ 10,418,203 We incurred depreciation expense of $753,884 and $633,842 for the three months ended June 30, 2018 and 2017, respectively, and $1,576,005 and $1,294,644 for the six months ended June 30, 2018 and 2017, respectively, which is included in depreciation and amortization expense in the Statement of Operations.

Goodwill

Goodwill	6 Months Ended
	Jun. 30, 2018
Goodwill And Intangible Assets Disclosure [Abstract]
Goodwill	5. The changes in the carrying amount of goodwill are as follows: As of June 30, 2018 As of December 31, 2017 Goodwill, beginning of period $ 12,768,773 $ 17,746,570 Goodwill acquired during the year 488,109 2,510,602 Total goodwill 13,256,882 20,257,172 Less impairment (2,474,819 ) (7,488,399 ) Goodwill, end of period $ 10,782,063 $ 12,768,773 In the second quarter of 2018, our Company performed a goodwill impairment test which found goodwill to be impaired primarily due to the continued decrease in the Company’s market capitalization. We recorded an impairment to goodwill of $2.5 million and $7.5 million in the second quarter of 2018 and fourth quarter of 2017, respectively. During the quarter ended June 30, 2018, we completed acquisitions which resulted in the addition of $0.5 million in goodwill (See Note 3).

Deferred Revenue

Deferred Revenue	6 Months Ended
	Jun. 30, 2018
Deferred Revenue Disclosure [Abstract]
Deferred Revenue	6. Deferred Revenue The following is a reconciliation of the changes in deferred revenue for the three months and six months ended June 30, 2018 and 2017: For the three months ended June 30, For the six months ended June 30, 2018 2017 2018 2017 Deferred revenue at beginning of period $ 7,382,888 $ 4,478,318 $ 7,187,948 $ 4,593,076 Cash receipts before deferred revenue 14,686,356 13,109,905 30,475,200 27,025,298 Net revenue for the period (14,870,362 ) (12,493,461 ) (30,400,175 ) (26,483,555 ) Deferred revenue from acquisitions 354,613 - 354,613 - Change in gift card liabilities (8,195 ) 6,384 (72,286 ) (33,673 ) Deferred revenue at end of period $ 7,545,300 $ 5,101,146 $ 7,545,300 $ 5,101,146

Related Party

Related Party	6 Months Ended
	Jun. 30, 2018
Related Party Transactions [Abstract]
Related Party	7. Related Party We paid expense reimbursement fees to an affiliate of Great Hill Equity Partners V, L.P. and Great Hill Investors, LLC (collectively, “Great Hill Partners” or “GHP”), the owners of a majority of our Common Stock, in the amount of $25,000 for the three months ended June 30, 2017 and $50,000 for the six months ended June 30, 2017. In connection with our IPO, the Expense Reimbursement Agreement that we entered into with Great Hill Partners was terminated. On March 27, 2017, we issued new convertible notes (the “New Convertible Notes”) to Great Hill Partners, in the aggregate principal amount of $3.2 million, which were convertible, at the option of the holder, into shares of our Common Stock at a conversion price of $8.40 per share (see Note 8). In connection with the IPO, the New Convertible Notes were repaid in full.

Debt

Debt	6 Months Ended
	Jun. 30, 2018
Debt Disclosure [Abstract]
Debt	8. Debt Long-term Debt In July 2015, we obtained a 5-year $20 million senior secured term loan facility with Deerpath Funding LP (the “Deerpath Facility”). We borrowed $5 million in July 2015 (the “Initial Term Loan”), and had the ability, upon meeting certain conditions, to borrow up to an additional $15 million. Borrowings under the Deerpath Facility carried an annual interest rate of LIBOR + 7%. The proceeds from the Initial Term Loan were used to pay all of the outstanding indebtedness under our credit facility with a previous lender. In December 2015, we borrowed an additional $2 million under the Deerpath Facility for general corporate purposes, thereby increasing the principal amount of the loans and reducing the incremental borrowing availability under the Deerpath Facility, in each case, by an equivalent amount. As of June 30, 2017, there remained $13.1 million of incremental borrowing capacity under the Deerpath Facility. Interest expense for the three months and six months ended June 30, 2017 related to the aggregate amount of outstanding indebtedness under the Deerpath Facility was $156,183 and $347,995, respectively. On August 16, 2017, in connection with the consummation of our IPO, the Deerpath Facility was repaid in full and immediately cancelled thereafter. Convertible Note Due to Related Party On March 27, 2017, we issued the New Convertible Notes to Great Hill Partners, in the aggregate principal amount of $3.2 million, which were convertible, at the option of the holder, into shares of our Common Stock at a conversion rate of $8.40 per share. The New Convertible Notes consisted of a Subordinated Convertible Promissory Note, dated March 27, 2017, made by us in favor of Great Hill Equity Partners V, L.P., in the principal amount of $3,189,350, and a Subordinated Convertible Promissory Note, dated March 27, 2017, made by us in favor of Great Hill Investors, LLC, in the principal amount of $10,650. Each New Convertible Note had a maturity date of March 27, 2018 and bore interest at an annual rate of 8%. Interest expense for the three months and six months ended June 30, 2017 was $65,061 and $407,074, respectively. On August 16, 2017, in connection with the consummation of our IPO, the New Convertible Notes were repaid in full.

Common Stock

Common Stock	6 Months Ended
	Jun. 30, 2018
Equity [Abstract]
Common Stock	9. Common Stock Initial Public Offering On August 16, 2017, we completed our IPO whereby we sold 7,300,000 shares of our Common Stock registered at a price of $5.50 per share. We received proceeds from our IPO of $37.6 million after deducting underwriters' discounts and commissions of $2.5 million, but before deducting offering costs of $2.6 million. Conversion of Amended and Restated 2015 GHP convertible promissory notes and redeemable preferred stock On March 24, 2017, we engaged in a series of transactions to convert certain of our outstanding indebtedness and all of the Company’s outstanding redeemable preferred stock into shares of Common Stock. The aggregate amount of principal and accrued interest under that certain Second Amended and Restated Subordinated Convertible Promissory Note made by us in favor of Great Hill Equity Partners V, L.P., dated March 24, 2017, and that certain Second Amended and Restated Subordinated Convertible Promissory Note made by us in favor of Great Hill Investors, LLC, dated March 24, 2017 (collectively, the “Amended and Restated 2015 GHP Convertible Promissory Notes”), was converted into 1,407,632 shares of Common Stock based on the conversion price per share of Common Stock as set forth in such notes of $8.40. Concurrently, all of the outstanding shares of redeemable preferred stock were converted into shares of Common Stock, with the number of shares of Common Stock issuable upon such conversion computed by dividing the Preferred Share Liquidation Preference (as defined in the Amended and Restated 2015 GHP Convertible Promissory Notes) per share by a conversion price per share of Common Stock of $8.40, resulting in 7,426,169 newly issued shares of Common Stock. Immediately after the conversion of the Amended and Restated 2015 GHP Convertible Promissory Notes and the redeemable preferred stock into shares of Common Stock, we effected a 1-for-10 reverse stock split of the Common Stock. Accordingly, except as otherwise indicated, all share and per share amounts have been adjusted to reflect the 1-for-10 reverse stock split as though it had occurred at the beginning of the initial period presented. In connection with the foregoing transactions, we also increased our total number of shares of authorized Common Stock to 14,131,017 shares. Following the 1-for-10 reverse stock split, our Board of Directors (“Board”) amended our 2014 Stock Option and Grant Plan to increase the shares of Common Stock reserved for issuance thereunder to 1,695,484. In addition, our Board approved the grant of options to purchase 1,425,641 shares of Common Stock to certain employees and consultants. On July 14, 2017, we effectuated a 1-for-1.333520 reverse stock split (the “1-for- 1.333520 Reverse Split”). Under the terms of the 1-for-1.333520 Reverse Split, each share of Common Stock, issued and outstanding as of such effective date, was automatically reclassified and split into 0.749895 shares of Common Stock, without any further action by the stockholders. Fractional shares were rounded down to the nearest whole share. Accordingly, except as otherwise indicated, all share and per share amounts have been adjusted to reflect the 1-for-1.333520 Reverse Split for all periods presented in this quarterly report.

Preferred Stock

Preferred Stock	6 Months Ended
	Jun. 30, 2018
Equity [Abstract]
Preferred Stock	10. Preferred Stock Redeemable Preferred Stock On March 24, 2017, we engaged in a series of transactions to convert certain of our outstanding indebtedness and all of the outstanding redeemable preferred stock into shares of Common Stock. Because Great Hill Equity Partners V, L.P. and Great Hill Investors, LLC held all of the redeemable preferred stock and owned a substantial majority of the Common Stock both before and after the conversion of the redeemable preferred stock on March 24, 2017, there is no impact on earnings per share as a result of this conversion.

Loss per Share Attributable to

Loss per Share Attributable to Common Stockholders	6 Months Ended
	Jun. 30, 2018
Earnings Per Share [Abstract]
Loss per Share Attributable to Common Stockholders	11. Loss per Share Attributable to Common Stockholders The components of basic and diluted loss per share attributable to common stockholders are as follows (in thousands, except share and per share data): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Numerator for basic and diluted loss per share attributable to common stockholders: Net loss $ (6,650,673 ) $ (4,447,705 ) $ (10,611,569 ) $ (7,064,503 ) Dividend attributable to participating securities — — — (995,743 ) Net loss attributable to YogaWorks, Inc. common stockholders $ (6,650,673 ) $ (4,447,705 ) $ (10,611,569 ) $ (8,060,246 ) Denominator: Weighted-average outstanding shares of common stock 16,382,505 8,908,188 16,367,796 4,857,160 Net loss per share attributable to common stockholders: Basic and diluted $ (0.41 ) $ (0.50 ) $ (0.65 ) $ (1.66 ) For the period ended June 30, 2018, and 2017, there were outstanding options to purchase 1,414,720 and 1,289,007 shares of Common Stock outstanding, respectively, which were excluded from the computation of diluted loss per share because it would be anti-dilutive.

Accounting for Stock-Based Comp

Accounting for Stock-Based Compensation	6 Months Ended
	Jun. 30, 2018
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Accounting for Stock-Based Compensation	12. Accounting for Stock-Based Compensation 2014 Plan In July 2014, our Company adopted the 2014 Stock Option and Grant Plan (the “2014 Plan”). Upon adoption of the 2014 Plan, the maximum aggregate number of shares issuable thereunder was 7,499 shares post-reverse split. In March 12, 2017, our Board amended the 2014 Plan to increase the shares of Common Stock reserved for issuance thereunder to 1,695,484. As of June 30, 2018, no shares were issuable under the 2014 Plan. 2017 Plan In connection with our IPO, we adopted the 2017 Incentive Award Plan (the “2017 Plan”), effective as of August 9, 2017. The aggregate number of shares of Common Stock reserved for issuance pursuant to awards granted under the 2017 Plan equals: (i) 2,263,213, plus (ii) any shares which, as of the effective date of the 2017 Plan, subject to awards under the 2014 Plan which forfeited or lapsed unexercised following the effective date of the 2017 Plan, plus (iii) an annual increase on the first day of each calendar year beginning on January 1, 2018 and ending on and including January 1, 2027 equal to the lesser of (a) 5% of the shares outstanding (on an as-converted basis) on the final day of the immediately preceding calendar year, or (b) such smaller number of shares as determined by our Board. The 2017 Plan permits the grant of incentive stock options, restricted stock, restricted stock units, stock appreciation rights, performance-based awards to our employees, directors and consultants. Shares issued pursuant to awards under the 2017 Plan that are settled for cash by our Company or that expire or are forfeited will become available for future grant or sale. Shares used to pay the exercise price of an award or to satisfy the minimum tax withholding obligations related to an award will not be available for future grants under the 2017 Plan. As of June 30, 2018, 2,107,421 shares remained available for issuance under the 2017 Plan. With the exception of accelerated options, our typical options vest over four years from the grant date, with 25% of the award vesting on the first anniversary of the grant date and the remainder vesting over the next 36 months. Stock compensation expense related to these equity awards was recorded based upon the estimated fair value of the shares amortized over the vesting period. Shares Weighted- Average Exercise Price Weighted- Average Remaining Contractual Life (in Years) Aggregate Intrinsic Value (1) Outstanding at December 31, 2017 1,527,768 $ 7.74 9.29 $ — Granted 125,500 2.78 9.92 — Exercised — — — — Cancelled (238,548 ) 8.13 — — Outstanding at June 30, 2018 1,414,720 7.24 8.98 — Exercisable at June 30, 2018 794,125 7.82 8.79 — (1) Based on our Company’s closing stock price of $1.80 on June 29, 2018. Unamortized stock-based compensation expense relating to stock options was $1.0 million at June 30, 2018, which is expected to be recognized over a weighted-average period of 2.8 years. Valuation We use the Black-Scholes option pricing model to calculate the fair value of each option grant. The expected volatility is based on historical volatility of the stock price of comparable public companies. We estimate the expected term based upon the historical exercise behavior of employees. The risk-free interest rate is based on U.S. Treasury zero-coupon issues with a term equal to the expected term of the option assumed at the date of grant. We estimated a zero-forfeiture rate for these stock option grants as the awards have short vesting terms and have a low probability of forfeiture based on the recipients of the stock options. The fair values of stock options granted have been estimated utilizing the following assumptions: Six Months Ended June 30, 2018 2017 Fair value of common stock $ 2.78 $ 5.88 Exercise price of common stock option 2.78 8.40 Risk-free interest rate 2.38 % 2.10 % Expected term (in years) 10.00 5.95 Dividend yield 0.00 % 0.00 % Expected volatility 49 % 40 % Restricted Stock Units Our Company granted 300,000 Restricted Stock Units (“RSU”) to our Company’s officers during the six months ended June 30, 2018. All RSU grants vest on the satisfaction of only a service-based condition. As of June 30, 2018, there were 445,873 shares of our Common Stock issuable upon the vesting of outstanding RSU. Unrecognized compensation expenses related to shares of our Common Stock subject to unvested RSU was $1.8 million at June 30, 2018, which is expected to be recognized as expense over the weighted-average period of 3.6 years. The service conditions are generally satisfied for the RSU granted to our officers and Board over four years starting from such person’s hiring date and the earlier to occur of the first anniversary of the grant date or the annual meeting of stockholders, respectively. For the six months ended June 30, 2018, our Company withheld 32,542 shares of Common Stock (“Net Settlement”) and remitted $83,630 in cash to meet the related tax withholding requirements on behalf of our officers. We will continue to evaluate the Net Settlement of RSU that vest in the future. Stock-Based Compensation Expense Our Company recognized stock-based compensation expense related to stock options and RSU, included in general and administrative expenses as follows: Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Stock-based compensation $ 497,433 $ 286,273 $ 949,609 $ 825,145

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2018
Income Tax Disclosure [Abstract]
Income Taxes	13. Income Taxes Our effective income tax rate for the six months ended June 30, 2018 and 2017 was (0.22)% and (0.84)%, respectively. Our effective income tax rate is evaluated and adjusted at each interim period as facts and circumstances warrant. The difference between federal income taxes computed at the federal statutory rate and reported income taxes for the six months ended June 30, 2018 and 2017 was primarily related to the impact of the valuation allowance and state income taxes. The FASB issued ASU 2018-05, Income Taxes (Topic 740): “Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin (“SAB”) No. 118” to address the application of GAAP in situations when a registrant does not have the necessary information available, prepared, or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the Tax Cuts and Jobs Act (the “Act”). The Act was enacted on December 22, 2017. Among other changes for tax years beginning January 1, 2018, the Act reduces the U.S. federal corporate tax rate from 34% to 21%, the deductibility of entertainment expenses and fringe benefits, and the limitations on excessive employee remuneration under Internal Revenue Code (“IRC”) Section 162(m). At June 30, 2018, the Company has not completed its accounting for all of the tax effects of the Act and has not made an adjustment to the provisional tax benefit recorded under SAB 118 at December 31, 2017. We have estimated our provision for income taxes in accordance with the Act and guidance available as of the date of this filing. Our estimated annual effective tax rate may be adjusted in subsequent interim periods, due to, among other things, additional analysis, changes in interpretations and assumptions we have made, and additional regulatory guidance that may be issued. At June 30, 2018, we had no unrecognized tax benefits. We believe that there are no uncertain tax positions for which it is reasonably possible that will produce a material effect to the financial statements over the next 12 months. We recognize interest and penalties on taxes, if any, related to unrecognized tax benefits as income tax expense. As of June 30, 2018 and 2017, we had no material uncertain tax positions to be accounted for in the financial statements; accordingly, no interest or penalties on taxes were recognized for the six months ended June 30, 2018 and for the same period in 2017. Pursuant to IRC Sections 382 and 383, annual use of our net operating loss carryforwards may be limited in the event a cumulative change in ownership of more than 50% occurred within a three-year period. We have not completed an IRC Section 382 and 383 analysis regarding the limitation of net operating loss carryforwards. As there is a full valuation allowance applied to the deferred taxes, a Section 382 limitation will not have an effect on the deferred taxes or the income tax rate. During the second quarter of 2018, the Company completed the examination of the federal income tax return filed for the 2015 tax year by the Internal Revenue Service, which resulted in no change. We are currently not under examination by federal, state and local tax authorities.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2018
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	14. Commitments and Contingencies Legal Matters On June 5, 2017, a letter was sent to the California Labor & Workforce Development Agency alleging our itemized wage statements did not comply with the California Labor Code, which we refer to herein as the Wage Statement Claim. On August 7, 2017, we agreed to a class wide settlement for a maximum amount of $865,000 with respect to the Wage Statement Claim, which would include settlement of all penalties under the Private Attorneys General Act of 2004 and California Labor Code section 226, attorneys’ fees and costs, class representative enhancements and claims administration fees. The class wide settlement, including the maximum settlement amount of $865,000, remains subject to court approval. As of June 30, 2018, we have reserved for the entire amount under accrued expenses. In addition to the Wage Statement Claim, from time to time, we may become involved in legal proceedings arising in the ordinary course of business. There can be no assurance with respect to the outcome of any legal proceeding, and we could suffer monetary liability from the outcome of the Wage Statement Claim described above or other claims that may be made in the future that could be material to our results of operations. Other than the Wage Statement Claim, we believe there are no pending lawsuits or claims that may have a material adverse effect on our business, capital resources or results of operations.

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2018
Subsequent Events [Abstract]
Subsequent Events	15. Subsequent Events Piece-Rate Employee Claims On July 2, 2018, a former California employee (“Plaintiff”) filed a complaint against us in the Superior Court of the State of California for the County of Los Angeles (the “Complaint”). Plaintiff’s Complaint is filed pursuant to the California Labor Code purportedly on behalf of all Pilates instructors, yoga instructors and other employees who worked for us in California on a piece-rate basis within the four years preceding the date of the Complaint. The Complaint alleges that certain of our payroll-related practices with respect to California-based employees paid on a piece-rate did not comply with the California Labor Code. The Complaint seeks penalties under the Private Attorneys General Act of 2004 and relevant sections of the California Labor Code on behalf of the State of California and allegedly aggrieved employees. Neither the outcome of the alleged claims, nor the amount and range of potential damages or exposure associated with the allegations can be assessed with certainty, and any damage award could be substantial. Appointment of Sky Meltzer to the Board On August 8, 2018, the Board appointed Sky Meltzer (“Mr. Meltzer”) as a director of the Company to fill a newly created seat on the Board. Pursuant to the Company’s Bylaws, Mr. Meltzer will serve as a Class III Director and shall hold office until the Company’s annual meeting of stockholders held in 2020. Mr. Meltzer was also appointed as a member of the Audit Committee and the Compensation Committee of the Board, serving as an independent Board member on each. Mr. Meltzer has significant experience in the yoga industry. He most recently served as Chief Executive Officer of Manduka, a brand of premium yoga equipment and apparel, where he led the company’s global expansion from 2008 to 2016. From 2004 to 2007, he held the position of YogaWorks’ Vice President of Marketing and Business Development and was responsible for managing the creative direction of the brand, expanding the teacher training program and supporting studio operations. Prior to his time with YogaWorks and Manduka, Mr. Meltzer spent 10 years working in the finance, technology and media sectors where he held a variety of positions including investment banking analyst for Soundview Financial Group and brand manager for MGM Studios. Mr. Meltzer graduated from Stanford University with a B.A. in Economics. He currently serves on the Board of Directors of Manduka and Pear Sports and is an investor and advisor to several companies in the health and wellness sector. Mr. Meltzer will be granted restricted stock units with a value of $86,537 (representing the pro-rated 2018 stock grant awarded to non-employee directors), in accordance with our non-employee director compensation program as described in our definitive proxy statement filed with the Securities and Exchange Commission on April 30, 2018. There are no arrangements or understandings between Mr. Meltzer and any other person pursuant to which Mr. Meltzer was selected as a director of the Company. Mr. Meltzer is not a participant in, nor is he to be a participant in, any related-person transaction or proposed related-person transaction required to be disclosed by Item 404(a) of Regulation S-K under the Securities Exchange Act of 1934, as amended. Other than the Company’s formal plan for compensating its independent directors for their services approved by the Board, there are no plans, contracts or arrangements or amendments to any plans, contracts or arrangements entered into with Mr. Meltzer, or any grants or awards made to Mr. Meltzer, in connection with his election to the Board.

Recent Accounting Pronounceme22

Recent Accounting Pronouncements (Policies)	6 Months Ended
	Jun. 30, 2018
Accounting Changes And Error Corrections [Abstract]
Recent Accounting Pronouncements	Recent Accounting Pronouncements Under the JOBS Act, emerging growth companies can delay adopting new or revised accounting standards until such time as those standards apply to private companies. We have availed ourselves of this exemption from new or revised accounting standards. The effective dates of the recent accounting pronouncements noted below reflect the private company transition date. In June 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2018-07, Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting. The amendments in this ASU provide guidance on accounting for share-based payment transactions for acquiring goods and services from nonemployees. This ASU is effective for fiscal years beginning after December 15, 2018. Early adoption is permitted, but no earlier than an entity’s adoption date of Topic 606. We are evaluating the impact of implementing this update on our consolidated financial statements. In May 2017, the FASB issued ASU 2017-09, Compensation – Stock Compensation (Topic 718): Scope of Modification Accounting. The amendments in this ASU will provide guidance about which changes to the terms or conditions of a share-based payment award require an entity to apply modification accounting in Topic 718. This ASU was effective for fiscal years beginning after December 15, 2017. We adopted this ASU as of January 1, 2018 noting no material impact to the consolidated financial statements. In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business. The amendments in this ASU provide a robust framework to use in determining when a set of assets and activities is a business. This ASU is effective for fiscal years beginning after December 15, 2018. Early adoption is permitted and the standard should be applied prospectively. We early adopted this ASU as of January 9, 2018 and this standard was applied on all acquisitions during the second quarter of 2018 (See Note 3). In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments. The update provides guidance on classification for cash receipts and payments related to eight specific issues. The update is effective for fiscal years beginning after December 15, 2018, with early adoption permitted. We are evaluating the impact of implementing this update on our consolidated financial statements. In March 2016, the FASB issued ASU 2016-04, Liabilities – Extinguishments of Liabilities (Subtopic 405-20): Recognition of Breakage for Certain Prepaid Stored-Value Products. This update addresses the current and potential future diversity in practice related to the derecognition of a prepaid stored-value product liability. This ASU was effective for fiscal years beginning after December 15, 2017. We adopted this ASU as of January 1, 2018 noting no material impact to the consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842). The new standard establishes a right-of-use (“ROU”) model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. The new standard is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. Although early adoption is permitted, we anticipate adopting these provisions in the first quarter of 2020. 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. We had $51.2 million of operating lease obligations as of December 31, 2017, and upon adoption of this standard we will record a ROU asset and lease liability equal to the present value of these leases, which will have a material impact on the consolidated balance sheet. However, the recognition of lease expense in the consolidated statement of operations is not expected to change from the current methodology. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606). This ASU supersedes the revenue recognition requirements in ASU Topic 605, Revenue Recognition, and requires the recognition of revenue when promised goods or services are transferred to customers in an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services. Topic 606 is effective for our Company in fiscal years beginning after December 15, 2018, with early adoption permitted. The standard permits the use of either the retrospective or modified retrospective (cumulative effect) transition method. Our Company primarily generates revenues by selling yoga classes in the form of memberships or class packages. Our implementation efforts included the identification of revenue streams within the scope of the guidance, evaluation of the revenue contracts and existing revenue recognition policies. We anticipate that we will adopt the new standard on January 1, 2019 and our evaluation remains preliminary because we are still in the process of evaluating the impact.

Organization and Basis of Pre23

Organization and Basis of Presentation (Tables)	6 Months Ended
	Jun. 30, 2018
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Summary of Studio Locations by Regional Market	The following table illustrates the studio locations by regional market: Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Regional Market Number of Studios(1) Percentage of Net Revenues(2) Number of Studios(1) Percentage of Net Revenues(2) Number of Studios(1) Percentage of Net Revenues(2) Number of Studios(1) Percentage of Net Revenues(2) Los Angeles 17 34 % 17 42 % 17 34 % 17 41 % Orange County (California) 4 6 % 4 8 % 4 6 % 4 8 % Northern California 13 21 % 13 25 % 13 22 % 13 25 % Houston(3) 7 9 % — — 7 9 % — — Atlanta(3) 4 5 % — — 4 4 % — — Washington, D.C.(4) 6 4 % 1 1 % 6 4 % 1 1 % Baltimore(4) 7 6 % 7 7 % 7 6 % 7 7 % New York City 5 10 % 5 14 % 5 11 % 5 14 % Boston(5) 8 5 % 3 3 % 8 4 % 3 4 % Total Studios 71 50 71 50 (1) Number of studios as of June 30, 2018 and 2017. (2) For the three and six months ended June 30, 2018 and 2017. Assumes that any net revenues for teacher training, workshops and MyYogaWorks.com for such period are allocated to the regional markets on a proportional basis based on the market’s share of total studio net revenues for such period. (3) Reflects seven Houston area studios acquired in October 2017 and four Atlanta area studios acquired in November 2017. (4) Reflects five Washington, D.C./Baltimore-area studios acquired in the second half of 2017. The regions were then split into two separate areas as a result of the acquisitions. (5) Reflects Boston area studios acquired in the second quarter of 2018.

Acquisitions (Tables)

Acquisitions (Tables)	6 Months Ended
	Jun. 30, 2018
Business Combinations [Abstract]
Schedule of Acquired Assets and Liabilities	The total purchase price consideration was allocated to the acquired assets and liabilities as follows: Amount Inventories $ 3,966 Property and equipment 410,060 Intangible assets 295,976 Goodwill 488,109 Other non-current assets 37,432 Total assets acquired 1,235,543 Deferred revenue 354,613 Total liabilities assumed 354,613 Net assets acquired $ 880,930

Property and Equipment (Tables)

Property and Equipment (Tables)	6 Months Ended
	Jun. 30, 2018
Property Plant And Equipment [Abstract]
Summary of Major Classes of Property and Equipment	The major classes of property and equipment are as follows: As of June 30, 2018 As of December 31, 2017 Computer equipment and purchased software $ 1,232,305 $ 1,130,653 Furniture and fixtures 3,755,408 3,633,677 Leasehold improvements 26,109,939 25,367,841 Other equipment 192,970 174,885 Construction-in-progress 30,863 — Total property and equipment 31,321,485 30,307,056 Less accumulated depreciation and amortization (21,464,858 ) (19,888,853 ) $ 9,856,627 $ 10,418,203

Goodwill (Tables)

Goodwill (Tables)	6 Months Ended
	Jun. 30, 2018
Goodwill And Intangible Assets Disclosure [Abstract]
Changes in Carrying Amount of Goodwill	The changes in the carrying amount of goodwill are as follows: As of June 30, 2018 As of December 31, 2017 Goodwill, beginning of period $ 12,768,773 $ 17,746,570 Goodwill acquired during the year 488,109 2,510,602 Total goodwill 13,256,882 20,257,172 Less impairment (2,474,819 ) (7,488,399 ) Goodwill, end of period $ 10,782,063 $ 12,768,773

Deferred Revenue (Tables)

Deferred Revenue (Tables)	6 Months Ended
	Jun. 30, 2018
Deferred Revenue Disclosure [Abstract]
Reconciliation of Changes in Deferred Revenue	The following is a reconciliation of the changes in deferred revenue for the three months and six months ended June 30, 2018 and 2017: For the three months ended June 30, For the six months ended June 30, 2018 2017 2018 2017 Deferred revenue at beginning of period $ 7,382,888 $ 4,478,318 $ 7,187,948 $ 4,593,076 Cash receipts before deferred revenue 14,686,356 13,109,905 30,475,200 27,025,298 Net revenue for the period (14,870,362 ) (12,493,461 ) (30,400,175 ) (26,483,555 ) Deferred revenue from acquisitions 354,613 - 354,613 - Change in gift card liabilities (8,195 ) 6,384 (72,286 ) (33,673 ) Deferred revenue at end of period $ 7,545,300 $ 5,101,146 $ 7,545,300 $ 5,101,146

Loss per Share Attributable t28

Loss per Share Attributable to Common Stockholders (Tables)	6 Months Ended
	Jun. 30, 2018
Earnings Per Share [Abstract]
Components of Basic and Diluted Loss per Share Attributable to Common Stockholders	The components of basic and diluted loss per share attributable to common stockholders are as follows (in thousands, except share and per share data): Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Numerator for basic and diluted loss per share attributable to common stockholders: Net loss $ (6,650,673 ) $ (4,447,705 ) $ (10,611,569 ) $ (7,064,503 ) Dividend attributable to participating securities — — — (995,743 ) Net loss attributable to YogaWorks, Inc. common stockholders $ (6,650,673 ) $ (4,447,705 ) $ (10,611,569 ) $ (8,060,246 ) Denominator: Weighted-average outstanding shares of common stock 16,382,505 8,908,188 16,367,796 4,857,160 Net loss per share attributable to common stockholders: Basic and diluted $ (0.41 ) $ (0.50 ) $ (0.65 ) $ (1.66 )

Accounting for Stock-Based Co29

Accounting for Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2018
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Schedule of Stock Option Activity	Shares Weighted- Average Exercise Price Weighted- Average Remaining Contractual Life (in Years) Aggregate Intrinsic Value (1) Outstanding at December 31, 2017 1,527,768 $ 7.74 9.29 $ — Granted 125,500 2.78 9.92 — Exercised — — — — Cancelled (238,548 ) 8.13 — — Outstanding at June 30, 2018 1,414,720 7.24 8.98 — Exercisable at June 30, 2018 794,125 7.82 8.79 — 1. Based on our Company’s closing stock price of $1.80 on June 29, 2018.
Schedule of Estimated Fair Values of Stock Options Granted	The fair values of stock options granted have been estimated utilizing the following assumptions: Six Months Ended June 30, 2018 2017 Fair value of common stock $ 2.78 $ 5.88 Exercise price of common stock option 2.78 8.40 Risk-free interest rate 2.38 % 2.10 % Expected term (in years) 10.00 5.95 Dividend yield 0.00 % 0.00 % Expected volatility 49 % 40 %
Summary of Stock-Based Compensation Expense Related to Stock Options and Restricted Stock Units	Our Company recognized stock-based compensation expense related to stock options and RSU, included in general and administrative expenses as follows: Three Months Ended June 30, Six Months Ended June 30, 2018 2017 2018 2017 Stock-based compensation $ 497,433 $ 286,273 $ 949,609 $ 825,145

Organization and Basis of Pre30

Organization and Basis of Presentation - Additional Information (Details) $ / shares in Units, $ in Millions	Aug. 16, 2017USD ($)$ / sharesshares	Jun. 30, 2018YogaClassYogaStudioMarketsegment	Jun. 30, 2017YogaStudio
Basis Of Presentation [Line Items]
Number of yoga classes provided | YogaClass		1,100
Number of studios owned and operated | YogaStudio		71	50
Number of regional markets | Market		9
Accounting Standards Codification (“ASC”) 280
Basis Of Presentation [Line Items]
Number of reportable segments | segment		1
Initial Public Offering
Basis Of Presentation [Line Items]
Common stock, shares sold | shares	7,300,000
Common stock, sold per share | $ / shares	$ 5.50
Proceeds from sale of common stock	$ 37.6
Underwriting discounts and commissions	2.5
Offering costs	2.6
Offering related costs recorded as reduction to additional paid-in capital	$ 5.1

Organization and Basis of Pre31

Organization and Basis of Presentation - Summary of Studio Locations by Regional Market (Details) - YogaStudio	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Basis Of Presentation [Line Items]
Number of Studios	71	50	71	50
Los Angeles
Basis Of Presentation [Line Items]
Number of Studios	17	17	17	17
Los Angeles | Sales Revenue Net | Geographic Concentration Risk
Basis Of Presentation [Line Items]
Percentage of Net Revenues	34.00%	42.00%	34.00%	41.00%
Orange County (California)
Basis Of Presentation [Line Items]
Number of Studios	4	4	4	4
Orange County (California) | Sales Revenue Net | Geographic Concentration Risk
Basis Of Presentation [Line Items]
Percentage of Net Revenues	6.00%	8.00%	6.00%	8.00%
Northern California
Basis Of Presentation [Line Items]
Number of Studios	13	13	13	13
Northern California | Sales Revenue Net | Geographic Concentration Risk
Basis Of Presentation [Line Items]
Percentage of Net Revenues	21.00%	25.00%	22.00%	25.00%
Houston
Basis Of Presentation [Line Items]
Number of Studios	7		7
Houston | Sales Revenue Net | Geographic Concentration Risk
Basis Of Presentation [Line Items]
Percentage of Net Revenues	9.00%		9.00%
Atlanta
Basis Of Presentation [Line Items]
Number of Studios	4		4
Atlanta | Sales Revenue Net | Geographic Concentration Risk
Basis Of Presentation [Line Items]
Percentage of Net Revenues	5.00%		4.00%
Washington D.C.
Basis Of Presentation [Line Items]
Number of Studios	6	1	6	1
Washington D.C. | Sales Revenue Net | Geographic Concentration Risk
Basis Of Presentation [Line Items]
Percentage of Net Revenues	4.00%	1.00%	4.00%	1.00%
Baltimore
Basis Of Presentation [Line Items]
Number of Studios	7	7	7	7
Baltimore | Sales Revenue Net | Geographic Concentration Risk
Basis Of Presentation [Line Items]
Percentage of Net Revenues	6.00%	7.00%	6.00%	7.00%
New York City
Basis Of Presentation [Line Items]
Number of Studios	5	5	5	5
New York City | Sales Revenue Net | Geographic Concentration Risk
Basis Of Presentation [Line Items]
Percentage of Net Revenues	10.00%	14.00%	11.00%	14.00%
Boston
Basis Of Presentation [Line Items]
Number of Studios	8	3	8	3
Boston | Sales Revenue Net | Geographic Concentration Risk
Basis Of Presentation [Line Items]
Percentage of Net Revenues	5.00%	3.00%	4.00%	4.00%

Organization and Basis of Pre32

Organization and Basis of Presentation - Summary of Studio Locations by Regional Market (Parenthetical) (Details)	6 Months Ended
	Jun. 30, 2018StudioArea
Basis Of Presentation [Line Items]
Number of areas separated | Area	2
Houston
Basis Of Presentation [Line Items]
Number of studios acquired	7
Atlanta
Basis Of Presentation [Line Items]
Number of studios acquired	4
Washington D.C./Baltimore
Basis Of Presentation [Line Items]
Number of studios acquired	5
Boston
Basis Of Presentation [Line Items]
Number of studios acquired	5

Recent Accounting Pronounceme33

Recent Accounting Pronouncements - Additional Information (Details) $ in Millions	Dec. 31, 2017USD ($)
Accounting Changes And Error Corrections [Abstract]
Operating lease obligations	$ 51.2

Acquisitions - Additional Infor

Acquisitions - Additional Information (Details)	May 24, 2018Studio	Apr. 30, 2018Studio	Jun. 30, 2018USD ($)Studio	Jun. 30, 2017USD ($)	Jun. 30, 2018USD ($)	Jun. 30, 2017USD ($)
Business Acquisition [Line Items]
Number of acquisitions | Studio			2
Cash paid for acquisitions, net of earnouts			$ 721,930		$ 721,930
Purchase consideration liabilities related to acquisitions			159,000		159,000
Net revenues			14,870,362	$ 12,493,461	30,400,175	$ 26,483,555
Prana Power
Business Acquisition [Line Items]
Number of studios acquired | Studio		3
Inner Strength
Business Acquisition [Line Items]
Number of studios acquired | Studio	2
Prana Power and Inner Strength
Business Acquisition [Line Items]
Net revenues			$ 150,166		$ 0

Acquisitions - Schedule of Acqu

Acquisitions - Schedule of Acquired Assets and Liabilities (Details) - USD ($)	Jun. 30, 2018	Dec. 31, 2017	Dec. 31, 2016
Business Acquisition [Line Items]
Goodwill	$ 10,782,063	$ 12,768,773	$ 17,746,570
Prana Power and Inner Strength
Business Acquisition [Line Items]
Inventories	3,966
Property and equipment	410,060
Intangible assets	295,976
Goodwill	488,109
Other non-current assets	37,432
Total assets acquired	1,235,543
Deferred revenue	354,613
Total liabilities assumed	354,613
Net assets acquired	$ 880,930

Property and Equipment - Summar

Property and Equipment - Summary of Major Classes of Property and Equipment (Details) - USD ($)	Jun. 30, 2018	Dec. 31, 2017
Property Plant And Equipment [Line Items]
Total property and equipment	$ 31,321,485	$ 30,307,056
Less accumulated depreciation and amortization	(21,464,858)	(19,888,853)
Property plant and equipment, net	9,856,627	10,418,203
Computer Equipment and Purchased Software
Property Plant And Equipment [Line Items]
Total property and equipment	1,232,305	1,130,653
Furniture and Fixtures
Property Plant And Equipment [Line Items]
Total property and equipment	3,755,408	3,633,677
Leasehold Improvements
Property Plant And Equipment [Line Items]
Total property and equipment	26,109,939	25,367,841
Other Equipment
Property Plant And Equipment [Line Items]
Total property and equipment	192,970	$ 174,885
Construction in Progress
Property Plant And Equipment [Line Items]
Total property and equipment	$ 30,863

Property and Equipment - Additi

Property and Equipment - Additional Information (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Property Plant And Equipment [Abstract]
Depreciation expense	$ 753,884	$ 633,842	$ 1,576,005	$ 1,294,644

Goodwill - Changes in Carrying

Goodwill - Changes in Carrying Amount of Goodwill (Details) - USD ($)	3 Months Ended	6 Months Ended	12 Months Ended
	Jun. 30, 2018	Jun. 30, 2018	Dec. 31, 2017
Goodwill And Intangible Assets Disclosure [Abstract]
Goodwill, beginning of period		$ 12,768,773	$ 17,746,570
Goodwill acquired during the year	$ 500,000	488,109	2,510,602
Total goodwill	13,256,882	13,256,882	20,257,172
Less impairment	(2,474,819)	(2,474,819)	(7,488,399)
Goodwill, end of period	$ 10,782,063	$ 10,782,063	$ 12,768,773

Goodwill - Additional Informati

Goodwill - Additional Information (Details)	3 Months Ended		6 Months Ended	12 Months Ended
	Jun. 30, 2018USD ($)Studio	Dec. 31, 2017USD ($)	Jun. 30, 2018USD ($)	Dec. 31, 2017USD ($)
Goodwill And Intangible Assets Disclosure [Abstract]
Goodwill impairment	$ 2,474,819	$ 7,500,000	$ 2,474,819
Number of acquisitions | Studio	2
Additional goodwill acquired	$ 500,000		$ 488,109	$ 2,510,602

Deferred Revenue - Reconciliati

Deferred Revenue - Reconciliation of Changes in Deferred Revenue (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Deferred Revenue Disclosure [Abstract]
Deferred revenue at beginning of period	$ 7,382,888	$ 4,478,318	$ 7,187,948	$ 4,593,076
Cash receipts before deferred revenue	14,686,356	13,109,905	30,475,200	27,025,298
Net revenue for the period	(14,870,362)	(12,493,461)	(30,400,175)	(26,483,555)
Deferred revenue from acquisitions	354,613		354,613
Change in gift card liabilities	(8,195)	6,384	(72,286)	(33,673)
Deferred revenue at end of period	$ 7,545,300	$ 5,101,146	$ 7,545,300	$ 5,101,146

Related Party (Additional Infor

Related Party (Additional Information) (Details) - Great Hill Partners - USD ($)	3 Months Ended	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2017	Mar. 27, 2017
Related Party Transaction [Line Items]
Reimbursement fee expense	$ 25,000	$ 50,000
New Convertible Notes
Related Party Transaction [Line Items]
Convertible promissory note principal amount			$ 3,200,000
Convertible promissory notes conversion price per share			$ 8.40

Debt - Additional Information (

Debt - Additional Information (Details) - USD ($)	1 Months Ended		3 Months Ended	6 Months Ended
	Dec. 31, 2015	Jul. 31, 2015	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017	Mar. 27, 2017
Debt Instrument [Line Items]
Convertible promissory notes interest percentage						8.00%
Debt instrument maturity date				Mar. 27, 2018
Great Hill Equity Partners, V, L.P.
Debt Instrument [Line Items]
Subordinated convertible promissory note principal amount						$ 3,189,350
Great Hill Investors, LLC
Debt Instrument [Line Items]
Subordinated convertible promissory note principal amount						10,650
Term loan paid on August 16, 2017 | Deerpath Facility
Debt Instrument [Line Items]
Debt instrument, term		5 years
Debt instrument face amount		$ 20,000,000	$ 13,100,000		$ 13,100,000
Amount borrowed	$ 2,000,000	5,000,000
Additional borrowing facility		$ 15,000,000
Line of Credit
Debt Instrument [Line Items]
Interest expense related to aggregate amount of outstanding indebtedness			156,183		347,995
New Convertible Notes | Great Hill Partners
Debt Instrument [Line Items]
Convertible promissory note principal amount						$ 3,200,000
Convertible promissory notes conversion price per share						$ 8.40
Convertible Debt
Debt Instrument [Line Items]
Interest expense related to aggregate amount of outstanding indebtedness			$ 65,061		$ 407,074
LIBOR | Term loan paid on August 16, 2017 | Deerpath Facility
Debt Instrument [Line Items]
Debt instrument LIBOR plus rate		7.00%

Common Stock - Additional Infor

Common Stock - Additional Information (Details) $ / shares in Units, $ in Millions	Aug. 16, 2017USD ($)$ / sharesshares	Jul. 14, 2017	Mar. 24, 2017$ / sharesshares	Jun. 30, 2018shares	Dec. 31, 2017shares
Common Stock [Line Items]
Common stock, shares authorized				50,000,000	50,000,000
Amended 2014 Stock Option and Grant Plan | Employee Stock Option
Common Stock [Line Items]
Common stock shares reserved for issuance			1,695,484
Amended 2014 Stock Option and Grant Plan | Employees and Consultants
Common Stock [Line Items]
Options granted to purchase common stock			1,425,641
Common Stock
Common Stock [Line Items]
Common stock, shares issued and sold			7,426,169
Conversion of common stock			1,407,632
Convertible promissory notes conversion price per share | $ / shares			$ 8.40
Description of reverse stock split		1-for-1.333520		1-for-10
Stock split, conversion ratio		0.749895	0.1
Common stock, shares authorized			14,131,017
Initial Public Offering
Common Stock [Line Items]
Common stock, shares issued and sold	7,300,000
Common stock, sold per share | $ / shares	$ 5.50
Proceeds from sale of common stock | $	$ 37.6
Underwriting discounts and commissions | $	2.5
Offering costs | $	$ 2.6

Loss per Share Attributable t44

Loss per Share Attributable to Common Stockholders - Components of Basic and Diluted Loss Per Share Attributable to Common Stockholders (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Numerator for basic and diluted loss per share attributable to common stockholders:
Net loss	$ (6,650,673)	$ (4,447,705)	$ (10,611,569)	$ (7,064,503)
Dividend attributable to participating securities				(995,743)
Net loss attributable to common stockholders	$ (6,650,673)	$ (4,447,705)	$ (10,611,569)	$ (8,060,246)
Denominator:
Weighted-average outstanding shares of common stock	16,382,505	8,908,188	16,367,796	4,857,160
Net loss per share attributable to common stockholders:
Basic and diluted	$ (0.41)	$ (0.50)	$ (0.65)	$ (1.66)

Loss per Share Attributable t45

Loss per Share Attributable to Common Stockholders - Additional Information (Details) - shares	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Earnings Per Share [Abstract]
Antidilutive securities excluded from computation of earnings per share	1,414,720	1,289,007

Accounting for Stock-Based Co46

Accounting for Stock-Based Compensation - Additional Information (Details) - USD ($)	Aug. 09, 2017	Jun. 30, 2018	Mar. 12, 2017	Jul. 31, 2014
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of common stock withheld, net settlement		32,542
Tax withholding remitted amount		$ 83,630
Restricted Stock Units
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period		4 years
Stock-based compensation expense, expected weighted average period for recognition		3 years 7 months 6 days
Number of common stock issuable upon nonvested shares		445,873
Unrecognized compensation expenses		$ 1,800,000
Restricted Stock Units | Officer
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Number of shares granted		300,000
2014 Stock Option And Grant Plan | Employee Stock Option
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options granted to purchase common stock		0		7,499
Common stock reserved for issuance			1,695,484
2017 Incentive Award Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Common stock reserved for issuance		2,107,421
2017 Incentive Award Plan | IPO
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Common stock reserved for issuance	2,263,213
Annual increase in shares on first day of each calendar year, start date	Jan. 1, 2018
Annual increase in shares on first day of each calendar year, end date	Jan. 1, 2027
Proportion of shares outstanding	5.00%
Common stock reserved for issuance description		In connection with our IPO, we adopted the 2017 Incentive Award Plan (the “2017 Plan”), effective as of August 9, 2017. The aggregate number of shares of Common Stock reserved for issuance pursuant to awards granted under the 2017 Plan equals: (i) 2,263,213, plus (ii) any shares which, as of the effective date of the 2017 Plan, subject to awards under the 2014 Plan which forfeited or lapsed unexercised following the effective date of the 2017 Plan, plus (iii) an annual increase on the first day of each calendar year beginning on January 1, 2018 and ending on and including January 1, 2027 equal to the lesser of (a) 5% of the shares outstanding (on an as-converted basis) on the final day of the immediately preceding calendar year, or (b) such smaller number of shares as determined by our Board.
2017 Incentive Award Plan | Employee Stock Option
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Vesting period		4 years
Shares of common stock options awarded, remaining vesting period		36 months
Unamortized stock-based compensation expense		$ 1,000,000
Stock-based compensation expense, expected weighted average period for recognition		2 years 9 months 18 days
2017 Incentive Award Plan | Employee Stock Option | First Anniversary of Grant Date
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Percentage of awards vested		25.00%

Accounting for Stock-Based Co47

Accounting for Stock-Based Compensation - Schedule of Stock Option Activity (Details) - $ / shares	6 Months Ended	12 Months Ended
	Jun. 30, 2018	Dec. 31, 2017
Shares
Shares, Beginning balance	1,527,768
Shares, Granted	125,500
Shares, Cancelled	(238,548)
Shares, Ending balance	1,414,720	1,527,768
Shares, Exercisable	794,125
Weighted-Average Exercise Price
Weighted average exercise price, Beginning balance	$ 7.74
Weighted average exercise price, Granted	2.78
Weighted average exercise price, Cancelled	8.13
Weighted average exercise price, Ending balance	7.24	$ 7.74
Weighted average exercise price, Exercisable	$ 7.82
Weighted-Average Remaining Contractual Life (in Years) and Aggregate Intrinsic Value
Weighted average remaining contractual life (in years), Outstanding	8 years 11 months 23 days	9 years 3 months 14 days
Weighted average remaining contractual life (in years), Granted	9 years 11 months 1 day
Weighted average remaining contractual life (in years), Exercisable	8 years 9 months 14 days

Accounting for Stock-Based Co48

Accounting for Stock-Based Compensation - Schedule of Stock Option Activity (Parenthetical) (Details)	Jun. 29, 2018$ / shares
2017 Incentive Award Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Aggregate intrinsic value, Closing stock price	$ 1.80

Accounting for Stock-Based Co49

Accounting for Stock-Based Compensation - Schedule of Estimated Fair Values of Stock Options Granted (Details) - Employee Stock Option - $ / shares	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Fair value of common stock	$ 2.78	$ 5.88
Exercise price of common stock option	$ 2.78	$ 8.40
Risk-free interest rate	2.38%	2.10%
Expected term (in years)	10 years	5 years 11 months 12 days
Dividend yield	0.00%	0.00%
Expected volatility	49.00%	40.00%

Accounting for Stock-Based Co50

Accounting for Stock-Based Compensation - Summary of Stock-Based Compensation Expense Related to Stock Options and Restricted Stock Units (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
General and Administrative Expense
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation	$ 497,433	$ 286,273	$ 949,609	$ 825,145

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details) - USD ($)	6 Months Ended		12 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Income Tax Disclosure [Line Items]
U.S. federal corporate tax rate	21.00%		34.00%
Effective income tax rate	(0.22%)	(0.84%)
Net operating loss carryforwards, limitation	Pursuant to IRC Sections 382 and 383, annual use of our net operating loss carryforwards may be limited in the event a cumulative change in ownership of more than 50% occurred within a three-year period.
Unrecognized tax benefits	$ 0
Uncertain tax positions	0	$ 0
Interest or penalties on taxes	$ 0	$ 0
Internal​ Revenue ​Service | Tax Year 2015
Income Tax Disclosure [Line Items]
Period of examination on federal income tax return	2,015

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Details)	Aug. 07, 2017USD ($)	Jun. 30, 2018Claim
Loss Contingencies [Line Items]
Number of pending lawsuits or claims | Claim		0
Wage Statement Claim
Loss Contingencies [Line Items]
Maximum litigation settlement amount	$ 865,000
Judicial Ruling
Loss Contingencies [Line Items]
Maximum litigation settlement amount	$ 865,000

Subsequent Events - Additional

Subsequent Events - Additional Information (Details)	Aug. 08, 2018USD ($)
Restricted Stock Units | Non-Employee Directors | Subsequent Event
Subsequent Event [Line Items]
Restricted stock granted value	$ 86,537