Document and Entity Information
Document and Entity Information | 9 Months Ended |
Mar. 31, 2021 | |
Cover [Abstract] | |
Entity Registrant Name | Glimpse Group, Inc. |
Entity Central Index Key | 0001854445 |
Document Type | S-1/A |
Amendment Flag | true |
Amendment Description | Amendment No. 2 |
Entity Filer Category | Non-accelerated Filer |
Entity Small Business Flag | true |
Entity Emerging Growth Company | true |
Entity Ex-Transition Period | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Mar. 31, 2021 | Jun. 30, 2020 | Jun. 30, 2019 |
ASSETS | |||
Cash and cash equivalents | $ 2,403,774 | $ 1,034,846 | $ 1,203,396 |
Accounts receivable | 335,988 | 214,673 | 127,867 |
Deferred costs | 40,457 | 237,745 | 172,200 |
Prepaid expenses and other current assets | 390,824 | 468,747 | 390,363 |
Subscription receivable | 21,381 | ||
Total current assets | 3,192,424 | 1,956,011 | 1,893,826 |
Equipment, net | 40,170 | 41,224 | 28,786 |
Goodwill | 139,754 | ||
Total assets | 3,232,594 | 1,997,235 | 2,062,366 |
LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT) | |||
Accounts payable | 50,263 | 121,508 | 42,324 |
Accrued liabilities | 134,683 | 118,634 | 211,234 |
Deferred revenue | 204,789 | 330,362 | 267,929 |
Total current liabilities | 389,735 | 570,504 | 521,487 |
Long term liability | |||
Paycheck Protection Program (PPP 1) loan | 548,885 | ||
Paycheck Protection Program (PPP 2) loan | 623,828 | ||
Convertible promissory notes, net | 1,396,429 | 1,183,535 | |
Contingent long-term acquisition liability | 67,161 | ||
Total liabilities | 2,409,992 | 2,302,924 | 588,648 |
Commitments and contingencies | |||
Stockholders' Equity (Deficit) | |||
Preferred stock value | |||
Common stock value | 7,539 | 7,036 | 6,861 |
Additional paid-in capital | 20,087,384 | 15,710,996 | 12,497,228 |
Accumulated deficit | (19,272,321) | (16,023,721) | (11,030,371) |
Total stockholders' equity (deficit) | 822,602 | (305,689) | 1,473,718 |
Total liabilities and stockholders' equity (deficit) | $ 3,232,594 | $ 1,997,235 | $ 2,062,366 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Mar. 31, 2021 | Jun. 30, 2020 | Jun. 30, 2019 |
Statement of Financial Position [Abstract] | |||
Preferred stock, par value | $ 0.001 | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 20,000,000 | 20,000,000 | 20,000,000 |
Preferred stock, shares issued | 0 | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 | 0 |
Common stock, par value | $ 0.001 | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 300,000,000 | 300,000,000 | 300,000,000 |
Common stock, shares issued | 7,534,513 | 7,035,771 | 6,860,246 |
Common stock, shares outstanding | 7,534,513 | 7,035,771 | 6,860,246 |
Common stock, shares to be issued | 4,731 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) | 9 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Revenue | ||||
Total Revenue | $ 2,434,551 | $ 1,403,756 | $ 1,945,315 | $ 983,182 |
Cost of goods sold | 1,277,907 | 883,097 | 1,137,193 | 424,967 |
Gross Profit | 1,156,644 | 520,659 | 808,122 | 558,215 |
Operating expenses: | ||||
Research and development expenses | 1,994,523 | 1,739,657 | 2,430,752 | 2,565,277 |
General and administrative expenses | 1,343,532 | 1,312,823 | 1,835,147 | 2,393,968 |
Sales and marketing expenses | 1,012,851 | 1,028,156 | 1,462,701 | 1,182,240 |
Total operating expenses | 4,350,906 | 4,080,636 | 5,728,600 | 6,141,485 |
Net loss from operations before other income (expense) | (3,194,262) | (3,559,977) | (4,920,478) | (5,583,270) |
Other income (expense) | ||||
Forgiveness of Paycheck Protection Program (PPP1) loan | 548,885 | |||
Other income | 10,000 | |||
Interest income | 1,111 | 6,610 | 8,583 | 6,893 |
Interest expense | (98,436) | (29,643) | (81,455) | |
Loss on conversion of convertible notes | (515,464) | |||
Foreign exchange loss | (434) | |||
Total other expense, net | (54,338) | (23,033) | (72,872) | 6,893 |
Net Loss | $ (3,248,600) | $ (3,583,010) | $ (4,993,350) | $ (5,576,377) |
Basic and diluted net loss per share | $ (0.45) | $ (0.52) | $ (0.72) | $ (0.86) |
Weighted-average shares used to compute basic and diluted net loss per share | 7,157,762 | 6,896,318 | 6,923,506 | 6,477,273 |
Software Services [Member] | ||||
Revenue | ||||
Total Revenue | $ 2,126,025 | $ 1,260,153 | $ 1,777,447 | $ 921,765 |
Software License/Software as a Service [Member] | ||||
Revenue | ||||
Total Revenue | $ 308,526 | $ 143,603 | $ 167,868 | $ 61,417 |
Consolidated Statement of Stock
Consolidated Statement of Stockholders' Equity (Deficit) - USD ($) | Common Stock [Member] | Additional Paid-In Capital [Member] | Subscription Receivable [Member] | Accumulated Deficit [Member] | Total | |
Balance at Jun. 30, 2018 | $ 6,238 | $ 6,749,775 | $ (25,000) | $ (5,457,487) | $ 1,273,526 | |
Balance shares at Jun. 30, 2018 | 6,237,673 | |||||
Cumulative effect of change in accounting principle | 3,493 | 3,493 | ||||
Balance at restated at Jun. 30, 2018 | $ 6,238 | 6,749,775 | (25,000) | (5,453,994) | 1,277,019 | |
Balance shares at restated at Jun. 30, 2018 | 6,237,673 | |||||
Balance at Jul. 02, 2018 | $ 6,238 | 6,749,775 | (25,000) | (5,457,487) | 1,273,526 | |
Balance shares at Jul. 02, 2018 | 6,237,673 | |||||
Balance at Jun. 30, 2018 | $ 6,238 | 6,749,775 | (25,000) | (5,457,487) | 1,273,526 | |
Balance shares at Jun. 30, 2018 | 6,237,673 | |||||
Balance at restated at Jun. 30, 2018 | $ 6,238 | 6,749,775 | (25,000) | (5,453,994) | 1,277,019 | |
Balance shares at restated at Jun. 30, 2018 | 6,237,673 | |||||
Proceeds from subscription receivable | 25,000 | |||||
Net loss | (5,576,377) | |||||
Balance at Jun. 30, 2019 | $ 6,861 | 12,497,228 | (11,030,371) | 1,473,718 | ||
Balance shares at Jun. 30, 2019 | 6,860,246 | |||||
Balance at Jul. 02, 2018 | $ 6,238 | 6,749,775 | (25,000) | (5,457,487) | 1,273,526 | |
Balance shares at Jul. 02, 2018 | 6,237,673 | |||||
Balance at restated at Jul. 02, 2018 | $ 6,238 | 6,749,775 | (25,000) | (5,453,994) | 1,277,019 | |
Balance shares at restated at Jul. 02, 2018 | 6,237,673 | |||||
Proceeds from subscription receivable | 25,000 | 25,000 | ||||
Common stock issued to employees for compensation | $ 39 | 157,383 | 157,422 | |||
Common stock issued to employees for compensation, shares | 39,419 | |||||
Common stock issued to vendors for compensation | $ 47 | 162,221 | 162,268 | |||
Common stock issued to vendors for compensation, shares | 46,967 | |||||
Common stock issued to satisfy contingent liability | $ 23 | 90,645 | 90,668 | |||
Common stock issued to satisfy contingent liability, shares | 22,667 | |||||
Stock option-based compensation expense | 2,429,960 | 2,429,960 | ||||
Stock option-based board of directors expense | 897,391 | 897,391 | ||||
Sales of common stock to investors | $ 514 | 2,009,853 | 2,010,367 | |||
Sales of common stock to investors, shares | 513,520 | |||||
Net loss | (5,576,377) | (5,576,377) | ||||
Balance at Jun. 30, 2019 | $ 6,861 | 12,497,228 | (11,030,371) | 1,473,718 | ||
Balance shares at Jun. 30, 2019 | 6,860,246 | |||||
Common stock issued to vendors for compensation | $ 7 | 29,993 | 30,000 | |||
Common stock issued to vendors for compensation, shares | 7,500 | |||||
Stock option-based compensation expense | 1,115,352 | 1,115,352 | ||||
Stock option-based board of directors expense | 85,309 | 85,309 | ||||
Net loss | (2,383,214) | (2,383,214) | ||||
Balance at Dec. 31, 2019 | $ 6,868 | 13,727,882 | (13,413,585) | 321,165 | ||
Balance shares at Dec. 31, 2019 | 6,867,746 | |||||
Balance at Jun. 30, 2019 | $ 6,861 | 12,497,228 | (11,030,371) | 1,473,718 | ||
Balance shares at Jun. 30, 2019 | 6,860,246 | |||||
Common stock issued to convertible promissory note holders for prepaid interest | $ 53 | 237,090 | 237,143 | |||
Common stock issued to convertible promissory note holders for prepaid interest, shares | 51,081 | |||||
Common stock issued to convertible promissory note holders as additional consideration | $ 39 | 156,810 | 156,849 | |||
Common stock issued to convertible promissory note holders as additional consideration, shares | 38,762 | |||||
Common stock issued to vendors for compensation | $ 24 | 101,475 | 101,499 | |||
Common stock issued to vendors for compensation, shares | 23,681 | |||||
Stock option-based compensation expense | 1,624,761 | 1,624,761 | ||||
Stock option-based board of directors expense | 126,840 | 126,840 | ||||
Net loss | (3,583,010) | (3,583,010) | ||||
Balance at Mar. 31, 2020 | $ 6,977 | 14,744,204 | (14,613,381) | 137,800 | ||
Balance shares at Mar. 31, 2020 | 6,973,770 | |||||
Balance at Jun. 30, 2019 | $ 6,861 | 12,497,228 | (11,030,371) | 1,473,718 | ||
Balance shares at Jun. 30, 2019 | 6,860,246 | |||||
Cumulative effect of change in accounting principle | ||||||
Proceeds from subscription receivable | ||||||
Common stock issued to convertible promissory note holders for prepaid interest | $ 57 | 257,837 | 257,894 | |||
Common stock issued to convertible promissory note holders for prepaid interest, shares | 57,234 | |||||
Common stock issued to convertible promissory note holders as additional consideration | $ 45 | 173,726 | 173,771 | |||
Common stock issued to convertible promissory note holders as additional consideration, shares | 44,506 | |||||
Common stock issued to employees for compensation | $ 20 | 91,735 | 91,755 | |||
Common stock issued to employees for compensation, shares | 20,390 | |||||
Common stock issued to vendors for compensation | $ 24 | 101,475 | 101,499 | |||
Common stock issued to vendors for compensation, shares | 23,681 | |||||
Common stock issued to satisfy contingent liability | $ 28 | 126,683 | 126,711 | |||
Common stock issued to satisfy contingent liability, shares | 28,158 | |||||
Stock option-based compensation expense | 2,288,258 | 2,288,258 | ||||
Stock option-based board of directors expense | 167,055 | 167,055 | ||||
Sales of common stock to investors | $ 1 | 6,999 | 7,000 | |||
Sales of common stock to investors, shares | 1,556 | |||||
Net loss | (4,993,350) | (4,993,350) | ||||
Balance at Jun. 30, 2020 | $ 7,036 | 15,710,996 | (16,023,721) | (305,689) | ||
Balance shares at Jun. 30, 2020 | 7,035,771 | |||||
Common stock issued to vendors for compensation | $ 11 | 50,989 | 51,000 | |||
Common stock issued to vendors for compensation, shares | 11,333 | |||||
Stock option-based compensation expense | 1,431,815 | 1,431,815 | ||||
Stock option-based board of directors expense | 83,064 | 83,064 | ||||
Sales of common stock to investors | $ 53 | 238,422 | 238,475 | |||
Sales of common stock to investors, shares | 52,985 | |||||
Common stock issued for convertible notes conversion | $ 14 | 64,986 | 65,000 | |||
Common stock issued for convertible notes conversion, shares | 14,444 | |||||
Net loss | (2,018,412) | (2,018,412) | ||||
Balance at Dec. 31, 2020 | $ 7,114 | 17,580,272 | (18,042,133) | (454,747) | ||
Balance shares at Dec. 31, 2020 | 7,114,533 | |||||
Balance at Jun. 30, 2020 | $ 7,036 | 15,710,996 | (16,023,721) | (305,689) | ||
Balance shares at Jun. 30, 2020 | 7,035,771 | |||||
Common stock issued to convertible promissory note holders for prepaid interest | $ 30 | 147,470 | 147,500 | |||
Common stock issued to convertible promissory note holders for prepaid interest, shares | 29,500 | |||||
Common stock issued to convertible promissory note holders as additional consideration | $ 43 | 192,347 | 192,390 | |||
Common stock issued to convertible promissory note holders as additional consideration, shares | 44,250 | |||||
Common stock issued to vendors for compensation | $ 21 | 94,230 | 94,251 | |||
Common stock issued to vendors for compensation, shares | 20,789 | |||||
Stock option-based compensation expense | 1,984,075 | 1,984,075 | ||||
Stock option-based board of directors expense | 125,605 | 125,605 | ||||
Sales of common stock to investors | $ 77 | 345,933 | 346,010 | |||
Sales of common stock to investors, shares | 76,871 | |||||
Common stock issued for convertible notes conversion | $ 332 | 1,486,728 | 1,487,060 | |||
Common stock issued for convertible notes conversion, shares | 332,063 | |||||
Net loss | (3,248,600) | (3,248,600) | ||||
Balance at Mar. 31, 2021 | $ 7,539 | $ 20,087,384 | $ (19,272,321) | $ 822,602 | ||
Balance shares at Mar. 31, 2021 | [1] | 7,539,244 | ||||
[1] | Includes 4,731 shares of common stock to be issued upon receipt of stock subscription receivable |
Consolidated Statement of Sto_2
Consolidated Statement of Stockholders' Equity (Deficit) (Parenthetical) | 9 Months Ended |
Mar. 31, 2021shares | |
Statement of Stockholders' Equity [Abstract] | |
Common stock issued for stock subscription payable | 4,731 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 6 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Dec. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2019 | |
Cash flows from operating activities: | |||||||
Net loss | $ (2,018,412) | $ (2,383,214) | $ (3,248,600) | $ (3,583,010) | $ (4,993,350) | $ (5,576,377) | $ (5,576,377) |
Adjustments to reconcile net loss to net cash used in operating activities: | |||||||
Depreciation | 18,162 | 16,084 | 20,222 | 21,980 | |||
Amortization of paid in kind common stock interest on convertible notes | 98,436 | 29,642 | 81,456 | ||||
Impairment of goodwill | 139,754 | ||||||
Stock option based compensation for employees and board of directors | 2,241,907 | 1,827,449 | 2,550,521 | 2,909,985 | |||
Issuance of common stock to vendors as compensation | 94,251 | 101,499 | 101,499 | 252,936 | |||
Loss on conversion of convertible notes | 515,464 | ||||||
Forgiveness of Paycheck Protection Program (PPP 1) loan | (548,885) | ||||||
Issuance of common stock to employees as compensation to satisfy contingent liability | 91,755 | 157,383 | |||||
Issuance of common stock for additional cost to satisfy contingent liability | 39,311 | 73,718 | |||||
Changes in operating assets and liabilities: | |||||||
Accounts receivable | (121,316) | 17,703 | (86,805) | (16,558) | |||
Prepaid expenses and other current assets | (29,080) | (78,390) | (52,058) | (228,199) | |||
Deferred costs | 123,011 | (31,453) | 14,164 | 26,185 | |||
Accounts payable | (71,244) | (4,705) | 79,183 | (43,011) | |||
Accrued liabilities | 16,047 | 43,144 | (72,360) | 31,944 | |||
Deferred revenue | (125,573) | 137,670 | 62,433 | 251,379 | |||
Net cash used in operating activities | (1,037,420) | (1,524,367) | (2,024,275) | (2,138,635) | |||
Cash flow from investing activities: | |||||||
Purchases of equipment | (17,109) | (10,872) | (32,660) | (17,799) | |||
Net cash used in investing activities | (17,109) | (10,872) | (32,660) | (17,799) | |||
Cash flows from financing activities: | |||||||
Proceeds from subscription receivable | 25,000 | 25,000 | |||||
Proceeds from Paycheck Protection Program (PPP 2) loan | 623,828 | 548,885 | |||||
Proceeds from convertible promissory notes 1 | 1,202,500 | 1,332,500 | |||||
Proceeds from convertible promissory notes 2 | 1,475,000 | ||||||
Proceeds from issuance of common equity to investors | 324,629 | 7,000 | 2,010,366 | ||||
Net cash provided by financing activities | 2,423,457 | 1,202,500 | 1,888,385 | 2,035,366 | |||
Net change in cash and cash equivalents | 1,368,928 | (332,739) | (168,550) | (121,068) | |||
Cash and cash equivalents, beginning of year | $ 1,034,846 | $ 1,203,396 | 1,034,846 | 1,203,396 | 1,203,396 | 1,324,464 | |
Cash and cash equivalents, end of period | 2,403,774 | 870,657 | 1,034,846 | $ 1,203,396 | 1,203,396 | ||
Non-cash Investing and Financing activities: | |||||||
Conversion of convertible promissory notes 1 into common stock | 1,487,059 | ||||||
Convertible notes subscription receivable | 130,000 | ||||||
Forgiveness of Paycheck Protection Program (PPP 1) loan | 548,885 | ||||||
Common stock subscription receivable | 21,381 | ||||||
Issuance of common stock for satisfaction of contingent liability | 87,400 | 35,770 | |||||
Common stock issued to convertible note 2 holders as additional consideration | $ 339,890 | 173,771 | |||||
Common stock issued for interest paid in kind on convertible notes | $ 257,894 |
Description of Business
Description of Business | 9 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Jun. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Description of Business | NOTE 1. DESCRIPTION OF BUSINESS The Glimpse Group, Inc. (“Glimpse”) is a Virtual (VR) and Augmented (AR) Reality company, comprised of a diversified portfolio of VR and AR software and services companies. Glimpse’s nine wholly-owned operating subsidiaries (“Subsidiary Companies” or “Subsidiaries”) are: Adept Reality, LLC (dba Adept XR Learning), Kabaq 3D Technologies, LLC (dba QReal), KreatAR, LLC (dba PostReality), D6 VR, LLC, Immersive Health Group, LLC, Foretell Studios, LLC (dba Foretell Reality), Number 9, LLC (dba Pagoni VR), and Early Adopter, LLC; and one subsidiary in Turkey, Glimpse Group Yazilim ve ARGE Ticaret Anonim Sirketi (“Glimpse Turkey”). In addition, the Company has two inactive subsidiary companies: In-It VR, LLC (dba Mezmos) and MotionZone, LLC (collectively, the “Company” or “Glimpse”). Glimpse was incorporated as The Glimpse Group, Inc. in the State of Nevada, on June 15, 2016. Glimpse’s robust VR/AR ecosystem, collaborative environment and business model simplify the many challenges faced by companies in an emerging industry. Glimpse cultivates and manages business operations while providing a strong network of professional relationships, thereby allowing the subsidiary company entrepreneurs to maximize their time and resources in pursuit of mission-critical endeavors, reducing time to market, optimizing costs, improving product quality and leveraging joint go-to-market strategies, while simultaneously providing investors an opportunity to invest directly into the VR/AR industry via a diversified platform. Summary of Glimpse’s Active Subsidiary Companies Kabaq 3D Technologies, LLC (dba QReal) Adept Reality, LLC (dba Adept XR Learning) KreatAR, LLC (dba PostReality) D6 VR, LLC Immersive Health Group, LLC (IHG) Foretell Studios, LLC (dba Foretell Reality) Number 9, LLC (dba Pagoni VR) Early Adopter, LLC (EA) Glimpse Group Yazilim ve ARGE Ticaret Anonim Sirketi (“Glimpse Turkey”) | NOTE 1. DESCRIPTION OF BUSINESS The Glimpse Group, Inc. (“Glimpse”) is a Virtual (VR) and Augmented (AR) Reality company, comprised of a diversified portfolio of VR and AR software and services companies. Glimpse’s eight wholly-owned operating subsidiaries (“Subsidiary Companies” or “Subsidiaries”) are: Adept Reality, LLC, Kabaq 3D Technologies, LLC (dba QReal), KreatAR, LLC, D6 VR, LLC, Immersive Health Group, LLC, Foretell Studios, LLC (dba Foretell Reality), Number 9, LLC (dba Pagoni VR), and Early Adopter, LLC. In addition, the Company has two inactive subsidiary companies: In-It VR, LLC (dba Mezmos) and MotionZone, LLC; (collectively, the “Company” or “Glimpse”). Glimpse was incorporated as The Glimpse Group, Inc. in the State of Nevada, on June 15, 2016. Glimpse’s robust VR/AR ecosystem, collaborative environment and business model simplify the many challenges faced by entrepreneurs in an emerging industry. Glimpse cultivates and manages business operations while providing a strong network of professional relationships, thereby allowing the subsidiary company entrepreneurs to maximize their time and resources in pursuit of mission-critical endeavors, reducing time to market, optimizing costs, improving product quality and leveraging joint go-to-market strategies, while simultaneously providing investors an opportunity to invest directly into the VR/AR industry via a diversified platform. Summary of Glimpse’s Active Subsidiary Companies Kabaq 3D Technologies, LLC (dba QReal) Adept Reality, LLC KreatAR, LLC D6 VR, LLC Immersive Health Group, LLC (IHG) Foretell Studios, LLC (dba Foretell Reality) Number 9, LLC (dba Pagoni VR) Early Adopter, LLC (EA) |
Liquidity and Capital Resources
Liquidity and Capital Resources | 9 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Jun. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Liquidity and Capital Resources | NOTE 2. LIQUIDITY AND CAPITAL RESOURCES The Company incurred a loss of $3.25 million during the nine months ended March 31, 2021, compared to a loss of $3.58 million during the nine months ended March 31, 2020. The loss was incurred as the Company funded operational expenses, primarily research and development, general and administrative and sales and marketing. Net cash used in operating activities was $1.04 million during the nine months ended March 31, 2021, compared to $1.52 million during the nine months ended March 31, 2020. The Company has raised approximately $8.9 million through the issuance of common share and convertible debt financings since inception, of which approximately $1.80 million was raised during the nine months ended March 31, 2021 from the sale of common stock as disclosed in Note 6 and the issuance of convertible promissory notes as disclosed in Note 9. The Company had $2.40 million of cash as of March 31, 2021 compared to $1.03 million as of June 30, 2020. The Company generated $2.43 million of revenues during the nine months ended March 31, 2021, compared to $1.40 million during the nine months ended March 31, 2020. In addition, as disclosed in Note 10, during the year ended June 30, 2020 the Company received a $0.549 million Paycheck Protection Program 1 (“PPP 1”) loan and an additional $0.624 million Paycheck Protection Program 2 (“PPP 2”) loan in February 2021. The combination of operating losses since inception, cash expected to be used in operating activities in the future, uncertain conditions relating to additional capital raises and continued revenue growth created an uncertainty about the Company’s ability to continue as a going concern. However, as of the date that this financial statement was issued, the Company’s cash position was approximately $2.0 million and contracted revenue backlog to be collected over the short term exceeded $1.5 million. Taking into account conservative revenue projections that are well below the Company’s past revenue performance, the Company believes that it is sufficiently funded to meet its operational plan and future obligations well beyond the 12-month period from the date that this financial statement was issued. While Management believes it will be able to continue to grow the Company’s revenue base, there is no assurance. In parallel, Management continually monitors its capital structure and operating plans and evaluates various potential funding alternatives that may be needed in order to finance the Company’s research and development activities, general and administrative expenses and growth strategy. These alternatives include raising funds through public or private equity markets and either from institutional or retail investors. Although there is no assurance that, if needed, the Company will be successful with its fundraising initiatives, Management believes that the Company will be able to secure the necessary financing as a result of ongoing financing discussions with third party investors and existing shareholders. Given the above, doubt about the Company’s ability to continue as a going concern was alleviated in the audited financial statements for the year ended June 30, 2020. The accompanying consolidated financial statements have been prepared assuming the Company will continue as a going concern; however, the above conditions may change. | NOTE 2. LIQUIDITY AND CAPITAL RESOURCES The Company incurred a loss of $5.0 million during the year ended June 30, 2020, compared to a loss of $5.6 million during the year ended June 30, 2019. The loss was incurred as the Company funded operational expenses, primarily research and development, general and administrative and sales and marketing. Net cash used in operating activities was $2.02 million during the year ended June 30, 2020, compared to $2.14 million during the year ended June 30, 2019. The Company has raised $8.85 million through the issuance of common stock and convertible debt financings since inception, of which $1.34 million was raised during the year ended June 30, 2020 via a Convertible Promissory Note and the sale of common stock as disclosed in Notes 6 and 8. The Company had $1.03 million of cash as of June 30, 2020 compared to $1.20 million as of June 30, 2019, and subsequently raised additional capital as disclosed in Note 13. The Company generated $1.95 million of revenues during the year ended June 30, 2020, compared to $0.98 million during the year ended June 30, 2019. In addition, during the year ended June 30, 2020 the Company received a $0.549 million Paycheck Protection Program (“PPP 1”) loan as disclosed in Note 10 and, subsequently, an additional $0.632 million Paycheck Protection Program 2 (“PPP 2”) loan as disclosed in Note 13. The Company remains an early stage, growth technology company and had indicated doubt about its ability to continue as a going concern in past financial statements, including its most recent financial statement for the year ended June 30, 2019. The combination of operating losses since inception, cash expected to be used in operating activities in the future, uncertain conditions relating to additional capital raises and continued revenue growth create uncertainty about the Company’s ability to continue as a going concern. However, as of the date that this financial statement was issued, the Company’s cash position was approximately $2.5 million and contracted revenue backlog to be collected over the short term exceeded $1.1 million. Taking into account conservative revenue projections that are well below the Company’s past revenue performance, the Company believes that it is sufficiently funded to meet its operational plan and future obligations well beyond the 12-month period from the date that this financial statement was issued. While Management believes it will be able to continue to grow the Company’s revenue base, there is no assurance. In parallel, Management continually monitors its capital structure and operating plans and evaluates various potential funding alternatives that may be needed in order to finance the Company’s research and development activities, general and administrative expenses and growth strategy. These alternatives include raising funds through public or private equity markets and either from institutional or retail investors. Although there is no assurance that, if needed, the Company will be successful with its fundraising initiatives, Management believes that the Company will be able to secure the necessary financing as a result of ongoing financing discussions with third party investors and existing shareholders. Given the above, doubt about the Company’s ability to continue as a going concern was alleviated and the accompanying consolidated financial statements have been prepared assuming the Company will continue as a going concern; however, the above conditions may change. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Jun. 30, 2020 | |
Accounting Policies [Abstract] | ||
Summary of Significant Accounting Policies | NOTE 3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of presentation The unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information and the rules and regulations of the Securities and Exchange Commission. In the opinion of management, the unaudited consolidated financial statements have been prepared on the same basis as the annual consolidated financial statements and reflect all adjustments, which include only normal recurring adjustments, necessary to present fairly the financial position as of March 31, 2021 and the results of operations and cash flows for the nine months ended March 31, 2021 and 2020. The financial data and other information disclosed in these notes to the interim financial statements related to these periods are unaudited. The results for the nine months ended March 31, 2021 are not necessarily indicative of the results to be expected for the entire year ending June 30, 2021 or for any subsequent periods. The consolidated balance sheet at June 30, 2020 has been derived from the audited consolidated financial statements at that date. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted pursuant to the Securities and Exchange Commission’s rules and regulations. These unaudited consolidated financial statements should be read in conjunction with our audited consolidated financial statements and notes thereto for the year ended June 30, 2020. Principles of Consolidation The accompanying consolidated financial statements include the balances of Glimpse and its wholly owned subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. Use of Accounting Estimates The preparation of the accompanying consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”), requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the accompanying consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. The principal estimates relate to the valuation of allowance for doubtful accounts, common stock, stock options and cost of goods sold. Cash and Cash Equivalents Cash and cash equivalents consist of cash and deposits in bank checking accounts or money market funds with immediate access. Revenue Recognition Nature of Revenues The Company reports its revenues in two categories: ● Software Services: Virtual and Augmented Reality projects, solutions and consulting services. ● Software License and Software-as-a-Service (“SaaS”): Virtual and Augmented Reality software that is sold either as a license or as a SaaS subscription. The Company adopted the new accounting standard, ASC 606, Revenue from Contracts with Customers, (“ASC 606”) beginning on July 1, 2020 using the modified retrospective method for all open contracts and related amendments. The adoption did not result in an adjustment to the accumulated deficit as of June 30, 2020. The comparative information was not restated and continued to be reported under the accounting standards in effect for those periods. The adoption of ASC 606 did not have a material impact on reported sales to customers and net earnings (losses). The Company applies the following steps in order to determine the appropriate amount of revenue to be recognized as it fulfills its obligations under each of its agreements: ● identify the contract with a customer; ● identify the performance obligations in the contract; ● determine the transaction price; ● allocate the transaction price to performance obligations in the contract; ● recognize revenue as the performance obligation is satisfied; ● collection is reasonably assured Revenue is recognized when the Company satisfies its performance obligation under the contract by transferring the promised product to its customer that obtains control of the product and collection is reasonably assured. A performance obligation is a promise in a contract to transfer a distinct product to a customer. Most of the Company’s contracts have a single performance obligation, as the promise to transfer products or services is not separately identifiable from other promises in the contract and, therefore, not distinct. Any unrecognized portion of revenue and any corresponding unrecognized expenses are presented as deferred revenue and deferred costs, respectively, in the accompanying consolidated balance sheet. Deferred costs include cash and equity based payroll costs, and may include payments to vendors. Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring products or providing services. As such, revenue is recorded net of returns, allowances, customer discounts, and incentives. Sales taxes and other taxes are excluded from revenues. Significant Judgments Our contracts with customers often include promises to transfer multiple products/services. Determining whether products/services are considered distinct performance obligations that should be accounted for separately versus together may require significant judgment. Further, judgment may be required to determine the standalone selling price for each distinct performance obligation. Disaggregation of Revenue The Company generated revenue for the nine months ended March 31, 2021 and 2020 by delivering: (i) Software Services, consisting primarily of VR/AR software projects, solutions and consulting services, and (ii) Software Services, consisting primarily of VR and AR software licenses or SaaS. The Company currently generates its revenues primarily from customers in the United States. Revenue for Software Services projects and solutions is recognized at the point of time in which the customer obtains control of the project, customer accepts delivery and confirms completion of the project. Revenue for Software Services consulting services and website maintenance is recognized at the point of time in which the Company performs the services, typically on a monthly retainer basis. Revenue for Software License and SaaS is recognized at the point of time in which the Company delivers the software and customer accepts delivery. If there are contractually stated ongoing service obligations to be performed during the term of the Software License or SaaS contract, then revenues are recognized ratably over the term of the contract. As detailed in the Company’s Consolidated Statement of Operations, the following is a disaggregation of the Company’s revenue by major source for the nine months ended March 31, 2021 and 2020, respectively: For the Nine Months Ended March 31, 2021 2020 Software Services $ 2,126,025 $ 1,260,153 Software License and Software as a Service 308,526 143,603 Total $ 2,434,551 $ 1,403,756 Timing of Revenue As the Company began adopting ASC 606 in July 2020, the timing of revenue recognition for periods prior to the adoption is not required: Nine Months Ended March 31, 2021 Products transferred at a point in time $ 2,081,496 Products and services transferred over time 353,055 Total $ 2,434,551 Remaining Performance Obligations Timing of revenue recognition may differ from the timing of invoicing to customers. The Company records a receivable when revenue is recognized prior to invoicing, or deferred revenue when revenue is recognized subsequent to invoicing. For Software Services project contracts, the Company generally invoices customers after the project has been delivered and accepted by the customer. Software Service project contracts typically consist of designing and programming software for the customer. In most cases, there is only one performance obligation, and revenue is recognized upon completion, delivery and customer acceptance. In certain instances one contract may include multiple distinct projects that can each be implemented and operated independently of subsequent projects in the contract. In such cases, the Company accounts for these distinct projects as separate performance obligations and recognizes revenue upon the completion of each project or obligation, its delivery and customer acceptance. For Software Services consulting or retainer contracts, the Company generally invoices customers monthly at the beginning of each month in advance for services to be performed in the following month. The sole performance obligation is satisfied when the services are performed. Software Services consulting or retainer contracts typically consist of ongoing support for a customer’s software or specified business practices. For Software License or SaaS contracts, the Company generally invoices customers when the software has been delivered to and accepted by the customer, which is also when the performance obligation is satisfied. For multi-period Software License or SaaS contracts, the Company generally invoices customers annually at the beginning of each annual coverage period. Software License or SaaS contracts consist of providing clients with software designed by the Company. For Software License or SaaS contracts, there are generally no ongoing support obligations unless specified in the contract (becoming a Software Service). Deferred revenue is comprised mainly of software project contract performance obligations not completed. Unfulfilled performance obligations represent amounts expected to be earned by the Company on executed contracts. As of March 31, 2021, the Company had approximately $1.06 million in unfulfilled performance obligations. Accounts Receivable Accounts receivable consists primarily of amounts due from customers under normal trade terms. Allowances for uncollectible accounts are provided for based upon a variety of factors, including historical amounts written-off, an evaluation of current economic conditions, and assessment of customer collectability. As of March 31, 2021 and June 30, 2020 no allowance for doubtful accounts was recorded as all amounts were considered collectible. Customer Concentration and Credit Risk Two customers accounted for approximately 48% (32% and 16%, respectively) of the Company’s total gross revenues during the nine months ended March 31, 2021. Two different customers accounted for approximately 26% (16% and 10%, respectively) of the Company’s total gross revenues during the nine months ended March 31, 2020. No other customers exceeded 10% of gross revenues during either of the nine months ended March 31, 2021 or 2020. The Company believes that it will reduce the customer concentration risks by engaging new customers and increasing activity of other existing customers. The Company maintains cash in accounts that, at times, may be in excess of the Federal Deposit Insurance Corporation limit. The Company has not experienced any losses on such accounts. Equipment, net Equipment is stated at cost less accumulated depreciation (see Note 4). Depreciation is computed using the straight-line method over the estimated useful lives of the related assets. The costs of improvements and betterments are capitalized and expenditures for repairs and maintenance are expensed in the period incurred. The Company assesses the recoverability of equipment whenever events or changes in circumstances indicate that their carrying value may not be recoverable. There was no impairment of equipment for the periods presented. Employee Stock-Based Compensation The Company recognizes stock-based compensation expense related to grants to employees or service providers based on grant date fair values of common stock or the stock options, which are amortized over the requisite period, as well as forfeitures as they occur. The Company values the options using the Black-Scholes Merton (“Black Scholes”) method utilizing various inputs such as expected term, expected volatility and the risk-free rate. The expected term reflects the application of the simplified method, which is the weighted average of the contractual term of the grant and the vesting period for each tranche. Expected volatility is derived from a weighted average of volatility inputs for comparable software and technology service companies. The risk-free rate is based on the implied yield of U.S. Treasury notes as of the grant date with a remaining term approximately equal to the expected life of the award. Research and Development Costs Research and development expenses are expensed as incurred, and include payroll, employee benefits and stock-based compensation expense. Research and development expenses also include third-party development and programming costs. Given the emerging industry and uncertain market environment the Company operates in, research and development costs are not capitalized. Income Taxes The Company records income taxes using the asset and liability method. Deferred income tax assets and liabilities are recognized for the future tax effects attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective income tax bases, and operating loss and tax credit carryforwards. The Company establishes a valuation allowance if it is more likely than not that the deferred tax assets will not be recovered based on an evaluation of objective verifiable evidence. For tax positions that are more likely than not of being sustained upon audit, the Company recognizes the largest amount of the benefit that is greater than 50% likely of being realized. For tax positions that are not more likely than not of being sustained upon audit, the Company does not recognize any portion of the benefit. The Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 740, Income Taxes, or ASC 740, also clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements and prescribes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more-likely-than-not to be sustained upon examination by taxing authorities. ASC 740 also provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. Based on the Company’s evaluation, it has been concluded that there are no significant uncertain tax positions requiring recognition in the Company’s consolidated financial statements. The Company believes that its income tax positions and deductions would be sustained on audit and does not anticipate any adjustments that would result in material changes to its financial position. The Company’s policy for recording interest and penalties associated with audits is to record such expense as a component of income tax expense. There were no amounts accrued for penalties or interest for the nine months ended March 31, 2021 and 2020. Management is currently unaware of any issues under review that could result in significant payments, accruals or material deviations from its position. Goodwill The Company reviews goodwill for impairment annually or more frequently if current circumstances or events indicate that the fair value may be less than its carrying value. There was no goodwill impairment for the nine months ended March 31, 2021 and 2020. During the fiscal year ended June 30, 2020, the Company changed its method of accounting for goodwill from the private company method which had allowed for the amortization of goodwill on a straight-line basis over a 10 year period, and required impairment testing if there was a triggering event, as defined, to the method of not amortizing goodwill and testing goodwill for impairment on an annual basis. The Company changed its method of accounting because we have filed with a regulatory agency in preparation for a potential sale of equity securities on a public stock exchange. As a public entity, GAAP does not allow for the amortization of goodwill. Earnings Per Share Basic earnings per share (“EPS”) is computed based on the weighted average number of shares of common stock outstanding during the period. Diluted EPS is computed based on the weighted average number of shares of common stock plus the effect of dilutive potential shares of common stock outstanding during the period using the treasury stock method. Dilutive potential common shares include the issuance of potential shares of common stock for outstanding stock options and convertible debt. Fair Value of Financial Instruments The carrying amounts of the Company’s financial instruments, such as accounts receivable, accounts payable and accrued liabilities approximate fair value due to the short-term nature of these instruments. The Company’s convertible debt approximates fair value due to its short-term nature and market rate of interest. | NOTE 3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The summary of significant accounting policies presented below is designed to assist in understanding the Company’s consolidated financial statements. Principles of Consolidation The accompanying consolidated financial statements include the balances of Glimpse and its wholly owned subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. Use of Accounting Estimates The preparation of the accompanying consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the accompanying consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. The principal estimates relate to the valuation of allowance for doubtful accounts, common stock, stock options and cost of goods sold. Cash and Cash Equivalents Cash and cash equivalents consist of cash and deposits in bank checking accounts or money market funds with immediate access. Revenue Recognition Software Service Revenue The Company generates software related revenues from services performed for: Virtual and Augmented Reality projects, consulting retainers, and ongoing website maintenance and support. Software service revenue generated from Virtual and Augmented Reality projects is recognized after delivery of the project has occurred, when persuasive evidence of an arrangement exists, the fee is fixed or determinable, and collection is reasonably assured. Any unrecognized portion of project revenue and any corresponding unrecognized expenses are presented as deferred revenue and deferred costs, respectively, in the accompanying consolidated balance sheets. Deferred costs include cash and equity based payroll costs, and may include payments to vendors. Software service revenue generated from consulting retainers is typically billed in advance for services performed and is recognized when persuasive evidence of an arrangement exists, the fee is fixed or determinable, services have been performed, and collection is reasonably assured. Software service revenue generated from ongoing website maintenance and support services is typically billed in arrears for services performed and is recognized when persuasive evidence of an arrangement exists, the fee is fixed or determinable, and collection is reasonably assured. Software License and Software as a Service Revenue The Company derives revenue from software as-a-service subscriptions and software licenses. Upon delivery of the software to customers, revenue is recognized ratably over the term of the contract or arrangement. The unrecognized portion of this revenue and any corresponding unrecognized expenses are presented as deferred revenue and deferred costs, respectively, in the accompanying consolidated balance sheets. Accounts Receivable Accounts receivable consists primarily of amounts due from customers under normal trade terms. Allowances for uncollectible accounts are provided for based upon a variety of factors, including historical amounts written-off, an evaluation of current economic conditions, and assessment of customer collectability. As of June 30, 2020 and 2019, no allowance for doubtful accounts was recorded as all amounts were considered collectible. Customer Concentration and Credit Risk One customer accounted for approximately 12% of the Company’s total gross revenues during the year ended June 30, 2020 and a different customer accounted for approximately 19% of the Company’s total gross revenues during the year ended June 30, 2019. No other customers exceeded 10% of gross revenues during either of the years ended June 30, 2020 or 2019. The Company believes that it will continue to reduce the customer concentration risks by engaging new customers and increasing activity of other existing customers. The Company maintains cash in accounts that, at times, may be in excess of the Federal Deposit Insurance Corporation limit. The Company has not experienced any losses on such accounts. Equipment, net Equipment is stated at cost less accumulated depreciation (see Note 4). Depreciation is computed using the straight-line method over the estimated useful lives of the related assets. The costs of improvements and betterments are capitalized and expenditures for repairs and maintenance are expensed in the period incurred. The Company assesses the recoverability of equipment whenever events or changes in circumstances indicate that their carrying value may not be recoverable. There was no impairment of equipment for the periods presented. Employee Stock-Based Compensation The Company recognizes stock-based compensation expense related to grants to employees or service providers based on grant date fair values of common stock or the stock options, which are amortized over the requisite period, as well as forfeitures as they occur. The Company values the options using the Black-Scholes Merton (“Black Scholes”) method utilizing various inputs such as expected term, expected volatility and the risk-free rate. The expected term reflects the application of the simplified method, which is the weighted average of the contractual term of the grant and the vesting period for each tranche. Expected volatility is derived from a weighted average of volatility inputs for comparable software and technology service companies. The risk-free rate is based on the implied yield of U.S. Treasury notes as of the grant date with a remaining term approximately equal to the expected life of the award. Research and Development Costs Research and development expenses are expensed as incurred, and include payroll, employee benefits and stock-based compensation expense. Research and development expenses also include third-party development and programming costs. Given the emerging industry and uncertain market environment the Company operates in, research and development costs are not capitalized. Income Taxes The Company records income taxes using the asset and liability method. Deferred income tax assets and liabilities are recognized for the future tax effects attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective income tax bases, and operating loss and tax credit carryforwards. The Company establishes a valuation allowance if it is more likely than not that the deferred tax assets will not be recovered based on an evaluation of objective verifiable evidence. For tax positions that are more likely than not of being sustained upon audit, the Company recognizes the largest amount of the benefit that is greater than 50% likely of being realized. For tax positions that are not more likely than not of being sustained upon audit, the Company does not recognize any portion of the benefit. The Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 740, Income Taxes The Company’s policy for recording interest and penalties associated with audits is to record such expense as a component of income tax expense. There were no amounts accrued for penalties or interest for the years ended June 30, 2020 and 2019. Management is currently unaware of any issues under review that could result in significant payments, accruals or material deviations from its position. Goodwill The Company reviews goodwill for impairment annually or more frequently if current circumstances or events indicate that the fair value may be less than its carrying value. The Company recorded a goodwill impairment during the fiscal year ended June 30, 2020 (see Note 8). There was no goodwill impairment for the year ended June 30, 2019. During the fiscal year ended June 30, 2020, the Company changed its method of accounting for goodwill from the private company method which had allowed for the amortization of goodwill on a straight-line basis over a 10 year period, and required impairment testing if there was a triggering event, as defined, to the method of not amortizing goodwill and testing goodwill for impairment on an annual basis. The Company changed its method of accounting because it is preparing to file with a regulatory agency in preparation for a potential sale of equity securities on a public stock exchange. The effect of the change was to decrease amortization expense by $13,975 and net loss from continuing operations before interest income and expense and net loss for the year ended June 30, 2019 by $13,975 ($.00 per share). Accumulated deficit has been decreased accordingly in the amount of $3,493 as of July 1, 2018 for the effect of retroactive application of the new method. Earnings Per Share Basic earnings per share (“EPS”) is computed based on the weighted average number of shares of common stock outstanding during the period. Diluted EPS is computed based on the weighted average number of shares of common stock plus the effect of dilutive potential shares of common stock outstanding during the period using the treasury stock method. Dilutive potential common shares include the issuance of shares of common stock for outstanding stock options and convertible debt. Reclassification Certain accounts in the prior year financial statement have been reclassified for comparative purposes to conform with the presentation in the current year financial statement. Recently Issued Pronouncements Financial Instruments – Credit Losses In June 2016, the FASB issued a new standard to replace the incurred loss impairment methodology under current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates (Accounting Standards Codification – “ASC” 326). The Company will be required to use a forward-looking expected credit loss model for accounts receivable, loans, and other financial instruments. Credit losses relating to available-for-sale debt securities, if any, will also be recorded through an allowance for credit losses rather than as a reduction in the amortized cost basis of the securities. In anticipation of becoming an emerging growth company, as defined by the Securities and Exchange Commission (“SEC”), the Company does not expect to adopt this standard prior to July 1, 2023. Revenue from Contracts with Customers In May 2014, the FASB issued a new standard related to revenue recognition (ASC 606). Under this standard, revenue is recognized when a customer obtains control of promised goods or services in an amount that reflects the consideration the entity expects to receive in exchange for those goods or services. In addition, the standard requires disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. The standard will be effective for the Company beginning on July 1, 2020. The Company is currently evaluating the impact of this standard on it consolidated financial statements, including accounting policies, processes, and systems. |
Equipment, Net
Equipment, Net | 9 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Jun. 30, 2020 | |
Property, Plant and Equipment [Abstract] | ||
Equipment, Net | NOTE 4. EQUIPMENT, NET Equipment, primarily comprised of computers and hardware, consisted of the following: As of March 31, 2021 As of June 30, 2020 Value ($) Useful Life (Years) Value ($) Useful Life (Years) Equipment $ 122,347 3 $ 105,239 3 Less: Accumulated Depreciation (82,177 ) (64,015 ) Balance $ 40,170 $ 41,224 Depreciation expense was $18,162 and $16,084 during the nine months ended March 31, 2021 and 2020, respectively. | NOTE 4. EQUIPMENT, NET Equipment, primarily comprised of computers and hardware, consisted of the following: As of June 30, 2020 As of June 30, 2019 Value ($) Useful Life (Years) Value ($) Useful Life (Years) Equipment $ 105,239 3 $ 72,579 3 Less: accumulated depreciation (64,015 ) (43,793 ) Balance $ 41,224 $ 28,786 Depreciation expense was $20,222 and $21,980 during the years ended June 30, 2020 and 2019, respectively. |
Earnings Per Share
Earnings Per Share | 9 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Jun. 30, 2020 | |
Earnings Per Share [Abstract] | ||
Earnings Per Share | NOTE 5. EARNINGS PER SHARE The following table presents the computation of basic and diluted net loss per share of common stock: Nine Months Ended March 31, 2021 Nine Months Ended March 31, 2020 Numerator: Net loss $ (3,248,600 ) $ (3,583,010 ) Denominator: Weighted-average shares of common stock outstanding for basic and diluted net loss per share $ 7,157,762 $ 6,896,318 Basic and diluted net loss per share $ (0.45 ) $ (0.52 ) Potentially dilutive securities that were not included in the calculation of diluted net loss per share attributable to common stockholders because their effect would be anti-dilutive are as follows (in common equivalent shares): At March 31, 2021 At March 31, 2020 Stock Options 4,567,750 3,981,276 Convertible Notes 324,412 296,111 Total 4,892,162 4,277,387 | NOTE 5. EARNINGS PER SHARE The following table presents the computation of basic and diluted net loss per share of common stock: Year Ended June 30, 2020 Year Ended June 30, 2019 Numerator: Net loss attributable to common stockholders $ (4,993,350 ) $ (5,576,377 ) Denominator: Weighted-average shares of common stock outstanding for basic and diluted net loss per share $ 6,923,506 6,477,273 Basic and diluted net loss per share $ (0.72 ) $ (0.86 ) Potentially dilutive securities that were not included in the calculation of diluted net loss per share attributable to common stockholders because their effect would be anti-dilutive are as follows (in common equivalent shares): At At Stock Options 4,092,593 3,408,452 Convertible Note 296,111 - Total 4,388,704 3,408,452 |
Equity
Equity | 9 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Jun. 30, 2020 | |
Equity [Abstract] | ||
Equity | NOTE 6. EQUITY Common Stock and Preferred Stock As of March 31, 2021, the Company had authorized 300 million shares of common stock, $0.001 par value per share and 20 million shares of preferred stock; 7.53 million and 7.03 million shares of common stock were issued and outstanding as of March 31, 2021 and June 30, 2020, respectively. 0 shares of preferred stock were issued and outstanding as of March 31, 2021 and June 30, 2020, respectively. Sale of Common Stock Common stock sold to Investors During the nine months ended March 31, 2021, the Company sold approximately 76,900 shares of common stock to investors at a price of $4.50/share, for total proceeds of approximately $346,000 of which approximately $21,381 was a subscription receivable that was paid after March 31, 2021. Common stock issued to Investors During the nine months ended March 31, 2021, in connection with the conversion of convertible promissory notes, the Company issued approximately 332,000 shares of common stock (see Note 9). During the nine months ended March 31, 2021 and 2020, in connection with the issuance of new convertible promissory notes, the Company issued approximately 44,000 and 38,800 shares of common stock, respectively, as an original issue discount and approximately 29,500 and 51,000 shares of common stock, respectively, as a pre-payment of first year interest (see Note 9). Common stock issued to Vendors During the nine months ended March 31, 2021 and 2020, the Company issued approximately 20,800 and 23,700 shares of common stock, respectively, to various vendors for services performed and recorded share-based compensation of approximately $94,000 and $101,500. Employee Stock-Based Compensation In January 2021, the Company amended its 2016 Equity Incentive Plan (the “Plan”), increasing the amount of common stock reserved for issuance from 5 million to 10 million shares. As of March 31, 2021, there were 5.43 million shares available for issuance under the Plan. In addition, the share reserve will automatically increase on January 1 of each calendar year, for the period beginning on January 1, 2022 and ending on (and including) January 1, 2030 (each January 1, an “Evergreen Date”) in an amount equal to five percent (5%) of the total number of shares of the Company’s common stock outstanding on the December 31 immediately preceding the applicable Evergreen Date (the “Evergreen Increase”). Notwithstanding the foregoing, the Board may act prior to the Evergreen Date of a given year to provide that there will be no Evergreen Increase for such year, or that the Evergreen Increase for such year will be a lesser number of shares of the Company’s common stock than would otherwise occur pursuant to the aforementioned. Any shares of stock delivered under the Plan shall consist of authorized and unissued shares or treasury shares. There were no other changes to the incentive plan. The Company recognizes compensation expense relating to awards ratably over the requisite period, which is generally the vesting period. Stock options have been recorded at their fair value. The Black-Scholes option-pricing model assumptions used to value the issuance of stock options under the Plan are noted in the following table: Nine Months Ended March 31, 2021 Nine Months Ended March 31, 2020 Weighted average expected terms (in years) 5.2 5.2 Weighted average expected volatility 125.9 % 117.3 % Weighted average risk-free interest rate 0.4 % 1.5 % Expected dividend yield 0 % 0 % The grant date fair value, for options granted during the nine months ended March 31, 2021 was approximately $2.10 million. The grant date fair value, for options granted during the nine months ended March 31, 2020 was approximately $1.75 million. The following is a summary of the Company’s stock option activity for the nine months ended March 31, 2021 and 2020: Weighted Average Remaining Exercise Contractual Intrinsic Options Price Term (Yrs) Value Outstanding at July 1, 2019 3,408,452 $ 2.97 8.5 $ 3,721,339 Options Granted 639,543 4.22 9.6 $ 181,953 Options Exercised - - - - Options Forfeited / Cancelled (66,719 ) 3.73 9.5 (53,774 ) Outstanding at March 31, 2020 3,981,276 3.15 8.4 $ 5,553,916 Exercisable at March 31, 2020 3,370,366 $ 3.00 8.3 $ 5,362,387 Weighted Average Remaining Exercise Contractual Intrinsic Options Price Term (Yrs) Value Outstanding at July 1, 2020 4,092,593 $ 3.19 8.4 $ 5,553,916 Options Granted 576,408 4.55 9.8 $ 288,204 Options Exercised - - - - Options Forfeited / Cancelled (101,251 ) 4.20 8.8 (81,530 ) Outstanding at March 31, 2021 4,567,750 $ 3.34 8.5 $ 7,806,887 Exercisable at March 31, 2021 4,178,316 $ 3.24 8.4 $ 7,564,222 The Company’s stock option-based expense for the nine months ended March 31, 2021 and 2020 consisted of the following: Nine Months Ended March 31, 2021 Nine Months Ended March 31, 2020 Stock option-based expense : Research and development expenses $ 886,591 $ 931,796 General and administrative expenses 419,193 392,672 Sales and marketing expenses 310,710 170,259 Cost of goods sold 497,370 203,444 Board option expense 128,043 129,278 Total $ 2,241,907 $ 1,827,449 During the year ended June 30, 2019, certain Company advisors received $0.31 million worth of Company stock options with an exercise price of $5.25/share and a three-year term, for potential services to be performed over a three-year period. Of the $0.31 million, $0.17 million and $0.29 million was categorized as a prepaid expense at June 30, 2020 and 2019, respectively. During the nine months ended March 31, 2021 and 2020, the Company recognized approximately $58,000 for each period, as general and administration expense. At March 31, 2021, total unrecognized compensation expense to employees and vendors related to stock options was $1.46 million and is expected to be recognized over a weighted average period of 0.74 years. At March 31, 2020, total unrecognized compensation expense related to stock options was $1.49 million and was expected to be recognized over a weighted average period of 1.10 years. The intrinsic value of stock options as of March 31, 2021 was computed using a fair market value of the common stock of $5.00/share, as compared to $4.50/share for the nine months ended March 31, 2020. | NOTE 6. EQUITY Common Stock and Preferred Stock As of June 30, 2020, the Company had authorized 300 million shares of common stock, $0.001 par value per share and 20 million shares of preferred stock; 7.03 million and 6.86 million shares of common stock were issued and outstanding as of June 30, 2020 and 2019, respectively. 0 shares of preferred stock were issued and outstanding as of June 30, 2020 and 2019, respectively. Sale of Common Stock Common stock sold to Investors During the year ended June 30, 2020, the Company sold 1,556 shares of common stock to investors for total proceeds of $7,000. During the year ended June 30, 2019 the Company sold common stock in multiple tranches. In total for the year ended June 30, 2019, the Company sold approximately 514,000 shares of common stock to investors for total proceeds of approximately $2.0 million. Included in these sales of common stock were sales to related parties of approximately 30,000 shares and proceeds of $110,000. Common stock issued to Investors In connection with the sale of convertible promissory notes, the Company issued approximately 45,000 shares of common stock during the year ended June 30, 2020 (see Note 10). Further, in connection with the sale of convertible promissory notes, the Company issued approximately 57,000 shares of common stock to prepay interest on the notes (see Note 10). Common stock issued to Vendors During the year ended June 30, 2020, the Company issued approximately 24,000 shares of common stock to various vendors for services performed. The Company recorded share-based compensation of approximately $100,000. During the year ended June 30, 2019 the Company issued approximately 47,000 shares of common stock to various vendors for services performed. The Company recorded share-based compensation of approximately $160,000. Common stock issued to Employees During the year ended June 30, 2020, the Company issued approximately 20,000 shares of common stock to various employees for services performed or bonuses, and recorded share-based compensation of approximately $90,000. During the year ended June 30, 2019 the Company issued approximately 39,000 shares of common stock to various employees for services performed or bonuses, and recorded share-based compensation of approximately $160,000. Common stock issued to satisfy Contingent Liabilities During the year ended June 30, 2020 the Company issued approximately 28,000 shares of common stock to satisfy a contingent liability related to a prior acquisition with a fair market value of approximately $130,000 (see Note 7). During the year ended June 30, 2019 the Company issued approximately 23,000 shares of common stock to satisfy a contingent liability related to a prior acquisition with a fair market value of approximately $90,000 (see Note 7). Employee Stock-Based Compensation In October 2016, the Company’s Board of Directors and its stockholders adopted The Glimpse Group, Inc. 2016 Equity Incentive Plan (the “Plan”). Under the Plan, the Company grants stock options at exercise prices generally equal to the fair value of the common stock on the grant date. These options generally expire ten years after the grant date and vest, depending on the optionee, over a varying period of continuous service following the vesting commencement date of such option (ranging from zero to three years), unless the optionee’s continuous service with the Company is terminated earlier. Stock-based compensation expense is recognized evenly over the requisite service period. The Plan is administered by the Company’s Chief Executive Officer (“CEO”) and Chief Financial Officer (“CFO”), who determine the recipients and the terms of the awards granted, subject to the approval of the Company’s Board of Directors. The Plan provides that awards granted may be options, restricted stock, restricted stock units or other stock based awards (collectively the “Awards”). Stock option awards may be either incentive stock options or non-qualified options. The Awards may be granted to eligible employees, directors, service providers, consultants and advisers. As of June 30, 2020 an aggregate of up to 5 million shares of common stock were reserved for issuance under the Plan, with 0.91 million available for issuance. The Company recognizes compensation expense relating to awards ratably over the requisite period, which is generally the vesting period. Stock options have been recorded at their fair value. The Black-Scholes option-pricing model incorporates contractual terms, maturity, risk free rates and expected volatility. The Black-Scholes option-pricing model assumptions used to value the issuance of stock options under the Plan, are noted in the following table: Year Ended June 30, 2020 Year Ended June 30, 2019 Weighted average expected terms (in years) 5.3 4.7 Weighted average expected volatility 117 % 120 % Weighted average risk-free interest rate 1.4 % 2.5 % Expected dividend yield 0 % 0 % The grant date fair value, for options granted during the year ended June 30, 2020 was $2.7 million. The grant date fair value, for options granted during the year ended June 30, 2019, was $3.3 million. The following is a summary of the Company’s stock option activity for the years ended June 30, 2020 and 2019: Weighted Average Options Exercise Price Remaining Contractual Intrinsic Value Outstanding at July 1, 2018 2,492,006 $ 2.47 9.1 $ 1,937,593 Options Granted 1,060,557 4.19 8.6 - Options Exercised - - - - Options Forfeited / Cancelled (144,111 ) 3.41 9.2 (86,459 ) Outstanding at June 30, 2019 3,408,452 $ 2.97 8.5 $ 3,721,339 Exercisable at June 30, 2019 2,805,437 $ 2.87 8.4 $ 3,380,482 Weighted Average Options Exercise Price Remaining Contractual Term (Yrs) Intrinsic Value Outstanding at July 1, 2019 3,408,452 $ 2.97 8.5 $ 3,721,339 Options Granted 766,455 4.26 9.5 $ 182,328 Options Exercised - - - - Options Forfeited / Cancelled (82,314 ) 3.84 9.6 (53,977 ) Outstanding at June 30, 2020 4,092,593 $ 3.19 8.4 $ 5,553,916 Exercisable at June 30, 2020 3,581,514 $ 3.06 8.3 $ 5,365,512 The Company’s stock option-based expense for the years ended June 30, 2020 and June 30, 2019 consisted of the following: June 30, 2020 June 30, 2019 Stock option-based expense: Research and development expenses $ 1,266,911 $ 1,313,946 General and administrative expenses 570,765 470,748 Sales and marketing expenses 293,226 181,903 Cost of goods sold 236,825 58,182 Board option expense 182,794 885,206 Total $ 2,550,521 $ 2,909,985 During the year ended June 30, 2019, certain Company advisors received $0.31 million worth of Company stock options with an exercise price of $5.25/share and a three-year term, for potential services to be performed over a three-year period. Of the $0.31 million, $0.17 million and $0.29 million was categorized as a prepaid expense at June 30, 2020 and 2019, respectively. During the years ended June 30, 2020 and 2019, the Company recognized approximately $115,000 and $10,000, respectively, as general and administration expense. At June 30, 2020, total unrecognized compensation expense to employees and vendors related to stock options was $1.62 million and is expected to be recognized over a weighted average period of 1.02 years. At June 30, 2019, total unrecognized compensation expense related to stock options was $1.74 million and was expected to be recognized over a weighted average period of 1.54 years. The intrinsic value of stock options as of June 30, 2020 was computed using a fair market value of the common stock of $4.50/share, as compared to $4.00/share for the year ended June 30, 2019. |
Contingent Acquisition Liabilit
Contingent Acquisition Liability | 9 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Jun. 30, 2020 | |
Business Combinations [Abstract] | ||
Contingent Acquisition Liability | NOTE 7. CONTINGENT ACQUISITION LIABILITY In connection with the Company’s April 2018 asset acquisition of Early Adopter.Com (“EA”), the Company expected to pay additional contingent amounts, based on EA’s annual revenues (“contingent performance bonus”) as measured and paid in each of the first three anniversary dates after the closing of the acquisition, paid by the issuance of the Company’s common stock at a fixed price of $3.25/share. At March 31, 2021 and June 30, 2020, the total estimated contingent acquisition liability was approximately $47,000 due for the third anniversary, which is included in accrued liabilities. | NOTE 7. CONTINGENT ACQUISITION LIABILITY In connection with the Company’s 2018 asset acquisition of Early Adopter.Com (“EA”), the Company expected to pay additional contingent amounts, based on EA’s annual revenues (“contingent performance bonus”) as measured and paid in each of the first three anniversary dates after the closing of the acquisition, paid by the issuance of the Company’s common stock at a fixed price of $3.25/share. At June 30, 2020, the total estimated contingent acquisition liability was approximately $47,000 due for the third anniversary, which is included in accrued liabilities. At June 30, 2019, the total estimated contingent acquisition liability was approximately $134,000 due for the second and third anniversary, of which approximately $67,000 was included in accrued liabilities. For the years ended June 30, 2020 and 2019, the Company issued approximately 28,000 and 23,000 shares of common stock, with a fair value of $127,000 and $91,000, respectively, to satisfy the first and second anniversary payment requirements. The additional acquisition cost as a result of the underestimated shares of common stock issued and the increase in the fair value of the Company’s common stock was approximately $40,000 and $74,000, for the years ended June 30, 2020 and 2019, respectively. |
Goodwill
Goodwill | 9 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Jun. 30, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Goodwill | NOTE 8. GOODWILL Due to a significant decline in EA’s business, unsuccessful VR/AR product commercialization efforts and negative future growth prospects, the goodwill related to the EA acquisition was determined to be impaired and written down to $0 as of June 30, 2020. The Company has no other goodwill. | NOTE 8. GOODWILL At June 30, 2019, the Company’s goodwill relating to its acquisition of EA was approximately $140,000. Due to a significant decline in EA’s business, unsuccessful VR/AR product commercialization efforts and negative future growth prospects, the goodwill related to the EA acquisition was determined to be impaired and written down to $0 as of June 30, 2020. The Company has no other goodwill. |
Debt
Debt | 9 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Jun. 30, 2020 | |
Debt Disclosure [Abstract] | ||
Debt | NOTE 9. DEBT Convertible Promissory Notes 1 During the year ended June 30, 2020, the Company raised $1.33 million by the issuance of unsecured Convertible Promissory Notes with a three-year term (the “Note 1” or “Notes 1”), primarily from existing Company investors. The Notes 1 included participation by the Company’s executives and independent members of the Company’s Board in the amount of $0.2 million. The Note 1 holders received approximately 45,000 shares of common stock (at $4.50/share) in the aggregate, with a relative value of $170,000 at the time of issuance. As of June 30, 2020, the remaining original issue discount on the Notes 1 was approximately $149,000, which was to be amortized over the term of the Notes 1. Additional interest expense for the amortization of the original issue discount amounted to approximately $96,900 for the nine months ended March 31, 2020. The Notes 1 bore an interest rate of 10% per annum. The first two years of interest were prepaid with the issuance of the Company’s common stock (at $4.50/share), for an issuance of approximately 57,000 shares of common stock with a fair value of approximately $258,000. The Notes 1 were convertible by a Note 1 holder at any time during the term into common stock of the Company at a fixed price of $4.50/share, or approximately 295,000 shares of common stock upon full conversion. During the nine months ended March 31, 2021, Note 1 holders converted approximately $1.22 million of principal into approximately 0.30 million shares of common stock at a conversion price of $4.00/share. The original contracted conversion price was $4.50/share. In order to encourage early conversion, two years before the maturity of the Convertible Notes 1, the Company reduced the conversion price to $4.00/share. In addition to the reduced conversion price, the Note 1 holders received the third year interest (10%) on the Notes 1, totaling approximately $122,000, as additional consideration to convert early which was paid in the Company’s common stock, amounting to approximately 30,000 shares. In the aggregate, a loss of approximately $515,500 was recognized in January 2021, reflecting the reduction of the Notes 1 conversion price from $4.50/share to $4.00/share, the issuance of Year 3 Interest (10%) paid in common stock (at$4.00/share instead of $4.50/share), and the write-off of the remaining related pre-paid interest and original issue discount expenses. The holders of the remaining unconverted Notes 1, equating to approximately $113,800 (net of original discount of $11,179) of outstanding principal, amended their Notes 1 to allow for auto conversion upon the Company’s potential Initial Public Offering (“IPO”) event at a conversion price of $4.25/share. Convertible Promissory Notes 2 On March 5, 2021, the Company raised $1.475 million by the issuance of unsecured Convertible Promissory Notes with a two-year term (the “Notes 2”), to several investors. The Note 2 holders received approximately 44,000 shares of common stock (at $5.00/share) in the aggregate, with a relative fair value of approximately $192,000 at the time of issuance. Accordingly, the original issue discount on the Notes 2 will be amortized over its term. The Notes 2 bear an interest rate of 10% per annum. The first year of interest was prepaid with the issuance of the Company’s common stock (at $5.00/share), for an issuance of 29,500 shares of common stock with a fair value of $147,500. During the second year of the Notes 2, interest will be paid monthly in the Company’s common stock (at a fixed price of $5.00/share) on any unpaid principal outstanding. The Notes 2 are convertible by a Note 2 holder at any time during the term into common stock of the Company at a fixed price of $5.00/share, or 295,000 shares of common stock upon full conversion. The Notes 2 have a maturity date of March 5, 2023. Any outstanding amounts at the time of a potential Company IPO shall automatically convert at $5.00/share. The aggregate principal outstanding of Notes 2 totaled approximately $1.28 million (net of original issue discount of approximately $0.195 million). SBA Paycheck Protection Program Loans/EIDL In May 2020, the Company received a Small Business Administration (“SBA”) Paycheck Protection Program 1 (“PPP1”) loan in the amount of $0.55 million. The Company utilized the PPP 1 loan proceeds in full towards payroll and rent in accordance with the SBA guidelines. Pursuant to SBA guidelines, the Company’s PPP1 loan was fully forgiven in February 2021. In conjunction with the PPP1 loan, the Company also received an Economic Injury Disaster Loan (“EIDL”) advance of $0.01 million. As per the SBA guidelines, EIDL advances do not need to be repaid. In February 2021, the Company received a second Paycheck Protection Program 2 (“PPP2”) loan in the amount of $0.62 million. Similar to the PPP1 loan, the Company expects to utilize the loan proceeds in full toward payroll and rent in accordance with SBA guidelines. The PPP2 loan bears a fixed interest rate of 1% per annum and is due in February 2026. Pursuant to SBA guidelines, the Company expects to apply for full forgiveness of its PPP2 loan in June 2021. | NOTE 10. DEBT Convertible Promissory Note During the year ended June 30, 2020, the Company raised $1.33 million by the issuance of unsecured Convertible Promissory Notes with a three-year term (the “Note” or “Notes”), primarily from existing Company investors. The Notes included participation by the Company’s executives and independent members of the Company’s Board in the amount of $0.2 million. The Note holders received approximately 45,000 shares of common stock (at $4.50/share) in the aggregate, with a relative value of $170,000 at the time of issuance. As of June 30, 2020, the remaining original issue discount on the Notes was approximately $149,000, which will be amortized over the term of the Notes. Additional interest expense for the amortization of the original issue discount amounted to approximately $24,000 for the year ended June 30, 2020. The Notes bear an interest rate of 10% per annum. The first two years of interest were prepaid with the issuance of the Company’s common stock (at $4.50/share), for an issuance of approximately 57,000 shares of common stock with a fair value of approximately $258,000. During the third year of the Notes, interest will be paid monthly in either cash or Company common stock (at a fixed price of $4.50/share) at the Note holder’s option on any unpaid principal outstanding. The Notes are convertible by a Note holder at any time during the term into common stock of the Company at a fixed price of $4.50/share, or approximately 295,000 shares of common stock upon full conversion. Unconverted portions of the Notes are scheduled to amortize monthly commencing in January 2022, so that by the end of the term on December 31, 2022 (the “maturity date”) the Notes will have been fully paid back to the Note holders. Subsequent to the year ended June 30, 2020, $1.22 million of the $1.33 million of the Notes were converted by the Note holders (see Note 13). Paycheck Protection Program (PPP1) Loan/EIDL In May 2020, the Company received a PPP1 loan from Harvest Small Business Finance, LLC through the Paycheck Protection Program operated by the Small Business Administration (“SBA”) in the amount of $0.55 million. The Company utilized the PPP 1 loan proceeds in full towards payroll and rent in accordance with the SBA guidelines. Pursuant to SBA guidelines, the Company’s PPP1 loan was fully forgiven in February 2021 (See Note 13 Subsequent Events). In conjunction with the PPP1 loan, the Company also received an Economic Injury Disaster Loan (“EIDL”) advance of $0.01 million. As per the SBA guidelines, EIDL advances do not need to be repaid. |
Provision for Income Taxes
Provision for Income Taxes | 9 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Jun. 30, 2020 | |
Income Tax Disclosure [Abstract] | ||
Provision for Income Taxes | NOTE 10. PROVISION FOR INCOME TAXES There was no current or deferred income tax provision for the nine months ended March 31, 2021 and 2020. The Company’s deferred tax assets as of March 31, 2021 and 2020 consist of the following: As of March 31, As of March 31, 2021 2020 Deferred tax assets: Net-operating loss carryforward $ 3,204,726 $ 2,552,860 Stock-based compensation 536,865 334,246 Total Deferred Tax Assets 3,741,591 2,887,106 Valuation allowance (3,741,591 ) (2,887,106 ) Deferred Tax Asset, Net $ - $ - The Company maintains a valuation allowance on deferred tax assets due to the uncertainty regarding the ability to utilize these deferred tax assets in the future. At March 31, 2021, the Company had potential utilizable aggregate gross net operating loss carryforwards (“NOLs”) of approximately $9.2 million. NOLs for the periods ending June 30, 2018 and prior begin to expire in 2037. NOLs for the periods ending March 31, 2021 and 2020, in accordance with changes to the U.S. Internal Revenue Code, have no expiration. Section 382 of the U.S. Internal Revenue Code generally imposes an annual limitation on the amount of net operating loss carryforwards that might be used to offset taxable income when a corporation has undergone significant changes in stock ownership. The Company has not completed a Section 382 analysis of the NOL carryforwards. Consequently, the Company’s NOL carryforwards may be subject to annual limitations under Section 382. In assessing the realization of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income, and taxing strategies in making this assessment. As a result of the uncertainly in the realization of the Company’s deferred tax assets, the Company has provided a valuation allowance for the full amount of the deferred tax assets at March 31, 2021 and March 31, 2020. The Company’s valuation allowance during the nine months ended March 31, 2021 and 2020 increased by approximately $0.58 million and $0.73 million, respectively. The expected tax expense (benefit) based on the U.S. federal statutory rate is reconciled with actual tax expense (benefit) as follows: For the Nine Months Ended For the Nine Months Ended March 31, 2021 March 31, 2020 Statutory Federal Income Tax Rate (21.00 )% (21.00 )% State and Local Taxes, Net of Federal Tax Benefit (13.56 )% (13.56 )% Stock Based Compensation Expense (ISO) 19.00 % 14.10 % Change in Valuation Allowance 15.56 % 20.46 % Income Taxes Provision (Benefit) 0.00 0.00 | NOTE 11. PROVISION FOR INCOME TAXES There was no current or deferred income tax provision for the years ended June 30, 2020 and June 30, 2019. The Company’s deferred tax assets as of June 30, 2020 and 2019 consist of the following: As of June 30, As of June 30, 2020 2019 Deferred tax assets: Net-operating loss carryforward $ 2,811,156 $ 1,917,702 Stock-based compensation 348,013 241,360 Total Deferred Tax Assets 3,159,169 2,159,062 Valuation allowance (3,159,169 ) (2,159,062 ) Deferred Tax Asset, Net $ - $ - The Company maintains a valuation allowance on deferred tax assets due to the uncertainty regarding the ability to utilize these deferred tax assets in the future. At June 30, 2020, the Company had potential utilizable aggregate gross net operating loss carryforwards (“NOLs”) of approximately $8.1 million. NOLs for the periods ending June 30, 2018 and prior begin to expire in 2037. NOLs for the periods ending June 30, 2020 and 2019, in accordance with changes to the U.S. Internal Revenue Code, have no expiration. Section 382 of the U.S. Internal Revenue Code generally imposes an annual limitation on the amount of net operating loss carryforwards that might be used to offset taxable income when a corporation has undergone significant changes in stock ownership. The Company has not completed a Section 382 analysis of the NOL carryforwards. Consequently, the Company’s NOL carryforwards may be subject to annual limitations under Section 382. In assessing the realization of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income, and taxing strategies in making this assessment. As a result of the uncertainly in the realization of the Company’s deferred tax assets, the Company has provided a valuation allowance for the full amount of the deferred tax assets at June 30, 2020 and June 30, 2019. The Company’s valuation allowance increased by $1.0 million and $1.26 million during the years ended June 30, 2020 and 2019, respectively. The expected tax expense (benefit) based on the U.S. federal statutory rate is reconciled with actual tax expense (benefit) as follows: For the year ended For the year ended June 30, June 30, 2020 2019 Statutory Federal Income Tax Rate (21.00 )% (21.00 )% State and Local Taxes, Net of Federal Tax Benefit (13.56 )% (13.56 )% Stock Based Compensation Expense (ISO) 14.50 % 12.60 % Change in Valuation Allowance 20.06 % 21.96 % Income Taxes Provision (Benefit) 0.00 0.00 Upon completion of its 2020 U.S. income tax return in 2021, the Company may identify additional remeasurement adjustments. We will continue to assess our provision for income taxes as future guidance is issued, but do not currently anticipate significant revisions will be necessary. |
Foreign Operations
Foreign Operations | 9 Months Ended |
Mar. 31, 2021 | |
Foreign Operations | |
Foreign Operations | NOTE 11. FOREIGN OPERATIONS In March 2021, the Company established a development subsidiary in Turkey (“Glimpse Turkey”) to support the operations of Kabaq 3D Technologies (dba QReal). There are currently approximately 8 employees at this location, primarily 3D modelers and artists. Glimpse Turkey has no long-term obligations or operating leases and all salaries are denominated in U.S. dollars. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Jun. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | ||
Commitments and Contingencies | NOTE 12. COMMITMENTS AND CONTINGENCIES Operating Lease The Company entered into a 2-year lease commencing January 1, 2020 and ending on December 31, 2021. To secure the new lease, the Company paid a $75,000 security deposit. Rent expense was approximately $221,000 and $168,500 for the nine months ended March 31, 2021 and 2020, respectively. In January 2021, the Company prepaid approximately $150,000 to cover rent for the period of January 1, 2021 to June 30, 2021. There is approximately $180,000 due on the lease for the July-December 2021 period, prior to any potential discounts. Officers’ Employment Agreements In May 2021, the Company entered into employment agreements with its three corporate officers. The agreements provide for base salary (including increases linked to Company revenue thresholds), performance bonus, incentive bonus (including those based on capital raising thresholds), equity incentives, benefits and severance (including confidentiality and non-compete). The employment agreements will continue until terminated by either the Company or the respective officers. Potential Future Distributions Upon Divestiture or Sale Upon a divestiture or sale of a subsidiary company, the Company is contractually obligated to distribute up to 10% of the net proceeds from such divestiture or sale to the senior management team of the divested subsidiary company. As of March 31, 2021, there were no active discussions pertaining to a potential divestiture or sale of any of the Company’s subsidiaries. COVID-19 The Company’s business and operations have been adversely affected by the COVID-19 pandemic, as have the markets in which our customers operate. The COVID-19 pandemic has caused and continues to cause significant business and financial markets disruption worldwide and there is significant uncertainty around the duration of this disruption and its ongoing effects on our business. This has primarily manifested itself in prolonged sales cycles. Since March 2020, the Company has required substantially all of its employees to work remotely to minimize the risk of the virus. While working remotely has proven to be effective to this point, it may eventually inhibit the Company’s ability to operate its business effectively. The Company continues to closely monitor the situation and the effects on our business and operations. We do not yet know the full extent of potential impacts on our business and operations. Given the uncertainty, we cannot reasonably estimate the impact on our future results of operations, cash flows or financial condition. | NOTE 9. CONTINGENCIES Potential Future Distributions Upon Divestiture or Sale Upon a divestiture or sale of a subsidiary company, the Company is contractually obligated to distribute up to 10% of the net proceeds from such divestiture or sale to the senior management team of the divested subsidiary company. As of June 30, 2020 there were no active discussions pertaining to a potential divestiture or sale of any of the Company’s subsidiaries. COVID-19 The Company’s business’s business and operations have been adversely affected by the COVID-19 pandemic, as have the markets in which our customers operate. The COVID-19 pandemic has caused and continues to cause significant business and financial markets disruption worldwide and there is significant uncertainty around the duration of this disruption and its ongoing effects on our business. This has primarily manifested itself in prolonged sales cycles. Since March 2020, the Company has required substantially all of its employees to work remotely to minimize the risk of the virus. While working remotely has proven to be effective to this point, it may eventually inhibit the Company’s ability to operate its business effectively. The Company continues to closely monitor the situation and the effects on our business and operations. We do not yet know the full extent of potential impacts on our business and operations. Given the uncertainty, we cannot reasonably estimate the impact on our future results of operations, cash flows or financial condition. |
Operating Lease
Operating Lease | 12 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
Operating Lease | NOTE 12. OPERATING LEASE The Company entered into a 2-year lease commencing January 1, 2020 and ending on December 31, 2021. To secure the new lease, the Company paid a $75,000 security deposit. In January 2021, the Company prepaid approximately $150,000 to cover rent for the period of January 1, 2021 to June 30, 2021. There is approximately $180,000 due on the lease for the July-December 2021 period, prior to any potential discounts. Rent expense was approximately $250,000 and $130,000 for the years ended June 30, 2020 and 2019, respectively. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Jun. 30, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | NOTE 13. SUBSEQUENT EVENTS Convertible Promissory Note Conversion Commencing in December 2020, Note holders converted $1.22 million of the original $1.33 million of outstanding principal into approximately 304,000 shares of the Company’s common stock at a conversion price of $4.00/share. The original contracted conversion price was $4.50/share and in order to encourage early conversion, two years before the maturity of the Convertible Notes, the Company reduced the conversion price to $4.00/share. In addition, third year interest (10%) of approximately $122,000 was issued in advance to the converting Note holders for an approximately additional 30,000 shares of the Company’s common stock. The holders of the remaining unconverted Convertible Notes, equating to approximately $110,000 of outstanding principal, amended their Notes to allow for auto conversion upon the Company’s potential Initial Public Offering (“IPO”) event at a conversion price of $4.25/share. Convertible Promissory Note 2 On March 5, 2021, the Company raised $1.475 million by the issuance of unsecured Convertible Promissory Notes with a two-year term (the “Notes 2”), to several investors. The Notes 2 holders received approximately 44,000 shares of common stock (at $5.00/share) in the aggregate, with a relative fair value of approximately $222,000 at the time of issuance. Accordingly, the original issue discount on the Notes 2 will be amortized over its term. The Notes 2 bear an interest rate of 10% per annum. The first year of interest was prepaid with the issuance of the Company’s common stock (at $5.00/share), for an issuance of 29,500 shares of common stock with a fair value of $147,500. During the second year of the Notes 2, interest will be paid monthly in the Company’s common stock (at a fixed price of $5.00/share) on any unpaid principal outstanding. The Notes 2 are convertible by a Note holder at any time during the term into common stock of the Company at a fixed price of $5.00/share, or 295,000 shares of common stock upon full conversion. Notes 2 have a maturity date of March 5, 2023. Any outstanding amounts at the time of a potential Company IPO shall automatically convert at $5.00/share in the aggregate. The Glimpse Group, Inc. 2016 Equity Incentive Plan In January 2021, the Company amended its 2016 Equity Incentive Plan, increasing the amount of common stock reserved for issuance from 5 million to 10 million. Prior to the increase, there were approximately 0.6 million shares available for issuance. There were no other changes to the incentive plan. Subsequent to the year ended June 30, 2020, the Company issued approximately 0.56 million stock options with exercise prices ranging from $4.50-5.00/share, primarily to employees. These stock options had an aggregate grant fair value of approximately $2.07 million and vest, on average, over a period of 4.5 months. SBA Paycheck Protection Program 2 (“PPP2”) Loan In February 2021, the Company received a second Paycheck Protection Program loan (“PPP2”) in the amount of $0.62 million. Similar to its PPP1 loan, the Company expects to utilize the loan proceeds in full toward payroll and rent in accordance with SBA guidelines. The PPP2 loan bears a fixed interest rate of 1% per annum and is due in February 2026. However, pursuant to SBA guidelines, the Company expects its PPP2 loan to be fully forgiven in calendar year 2021. Interim Round III Equity Financing Round Since July 1, 2020, the Company has raised $0.35 million in its Interim Round III financing round by the issuance of shares of common stock at $4.50/share. To date, approximately 78,000 shares of common stock have been issued. Glimpse Turkey Subsidiary In March 2021, the Company established a development subsidiary in Turkey to support the operations of Kabaq 3D Technologies (dba QReal). There are approximately 7 employees at this location, primarily 3D modelers and artists. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 9 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Jun. 30, 2020 | |
Accounting Policies [Abstract] | ||
Basis of Presentation | Basis of presentation The unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information and the rules and regulations of the Securities and Exchange Commission. In the opinion of management, the unaudited consolidated financial statements have been prepared on the same basis as the annual consolidated financial statements and reflect all adjustments, which include only normal recurring adjustments, necessary to present fairly the financial position as of March 31, 2021 and the results of operations and cash flows for the nine months ended March 31, 2021 and 2020. The financial data and other information disclosed in these notes to the interim financial statements related to these periods are unaudited. The results for the nine months ended March 31, 2021 are not necessarily indicative of the results to be expected for the entire year ending June 30, 2021 or for any subsequent periods. The consolidated balance sheet at June 30, 2020 has been derived from the audited consolidated financial statements at that date. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted pursuant to the Securities and Exchange Commission’s rules and regulations. These unaudited consolidated financial statements should be read in conjunction with our audited consolidated financial statements and notes thereto for the year ended June 30, 2020. | Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The summary of significant accounting policies presented below is designed to assist in understanding the Company’s consolidated financial statements. |
Principles of Consolidation | Principles of Consolidation The accompanying consolidated financial statements include the balances of Glimpse and its wholly owned subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. | Principles of Consolidation The accompanying consolidated financial statements include the balances of Glimpse and its wholly owned subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. |
Use of Accounting Estimates | Use of Accounting Estimates The preparation of the accompanying consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”), requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the accompanying consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. The principal estimates relate to the valuation of allowance for doubtful accounts, common stock, stock options and cost of goods sold. | Use of Accounting Estimates The preparation of the accompanying consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the accompanying consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. The principal estimates relate to the valuation of allowance for doubtful accounts, common stock, stock options and cost of goods sold. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents consist of cash and deposits in bank checking accounts or money market funds with immediate access. | Cash and Cash Equivalents Cash and cash equivalents consist of cash and deposits in bank checking accounts or money market funds with immediate access. |
Revenue Recognition | Revenue Recognition Nature of Revenues The Company reports its revenues in two categories: ● Software Services: Virtual and Augmented Reality projects, solutions and consulting services. ● Software License and Software-as-a-Service (“SaaS”): Virtual and Augmented Reality software that is sold either as a license or as a SaaS subscription. The Company adopted the new accounting standard, ASC 606, Revenue from Contracts with Customers, (“ASC 606”) beginning on July 1, 2020 using the modified retrospective method for all open contracts and related amendments. The adoption did not result in an adjustment to the accumulated deficit as of June 30, 2020. The comparative information was not restated and continued to be reported under the accounting standards in effect for those periods. The adoption of ASC 606 did not have a material impact on reported sales to customers and net earnings (losses). The Company applies the following steps in order to determine the appropriate amount of revenue to be recognized as it fulfills its obligations under each of its agreements: ● identify the contract with a customer; ● identify the performance obligations in the contract; ● determine the transaction price; ● allocate the transaction price to performance obligations in the contract; ● recognize revenue as the performance obligation is satisfied; ● collection is reasonably assured Revenue is recognized when the Company satisfies its performance obligation under the contract by transferring the promised product to its customer that obtains control of the product and collection is reasonably assured. A performance obligation is a promise in a contract to transfer a distinct product to a customer. Most of the Company’s contracts have a single performance obligation, as the promise to transfer products or services is not separately identifiable from other promises in the contract and, therefore, not distinct. Any unrecognized portion of revenue and any corresponding unrecognized expenses are presented as deferred revenue and deferred costs, respectively, in the accompanying consolidated balance sheet. Deferred costs include cash and equity based payroll costs, and may include payments to vendors. Revenue is measured as the amount of consideration the Company expects to receive in exchange for transferring products or providing services. As such, revenue is recorded net of returns, allowances, customer discounts, and incentives. Sales taxes and other taxes are excluded from revenues. Significant Judgments Our contracts with customers often include promises to transfer multiple products/services. Determining whether products/services are considered distinct performance obligations that should be accounted for separately versus together may require significant judgment. Further, judgment may be required to determine the standalone selling price for each distinct performance obligation. Disaggregation of Revenue The Company generated revenue for the nine months ended March 31, 2021 and 2020 by delivering: (i) Software Services, consisting primarily of VR/AR software projects, solutions and consulting services, and (ii) Software Services, consisting primarily of VR and AR software licenses or SaaS. The Company currently generates its revenues primarily from customers in the United States. Revenue for Software Services projects and solutions is recognized at the point of time in which the customer obtains control of the project, customer accepts delivery and confirms completion of the project. Revenue for Software Services consulting services and website maintenance is recognized at the point of time in which the Company performs the services, typically on a monthly retainer basis. Revenue for Software License and SaaS is recognized at the point of time in which the Company delivers the software and customer accepts delivery. If there are contractually stated ongoing service obligations to be performed during the term of the Software License or SaaS contract, then revenues are recognized ratably over the term of the contract. As detailed in the Company’s Consolidated Statement of Operations, the following is a disaggregation of the Company’s revenue by major source for the nine months ended March 31, 2021 and 2020, respectively: For the Nine Months Ended March 31, 2021 2020 Software Services $ 2,126,025 $ 1,260,153 Software License and Software as a Service 308,526 143,603 Total $ 2,434,551 $ 1,403,756 Timing of Revenue As the Company began adopting ASC 606 in July 2020, the timing of revenue recognition for periods prior to the adoption is not required: Nine Months Ended March 31, 2021 Products transferred at a point in time $ 2,081,496 Products and services transferred over time 353,055 Total $ 2,434,551 Remaining Performance Obligations Timing of revenue recognition may differ from the timing of invoicing to customers. The Company records a receivable when revenue is recognized prior to invoicing, or deferred revenue when revenue is recognized subsequent to invoicing. For Software Services project contracts, the Company generally invoices customers after the project has been delivered and accepted by the customer. Software Service project contracts typically consist of designing and programming software for the customer. In most cases, there is only one performance obligation, and revenue is recognized upon completion, delivery and customer acceptance. In certain instances one contract may include multiple distinct projects that can each be implemented and operated independently of subsequent projects in the contract. In such cases, the Company accounts for these distinct projects as separate performance obligations and recognizes revenue upon the completion of each project or obligation, its delivery and customer acceptance. For Software Services consulting or retainer contracts, the Company generally invoices customers monthly at the beginning of each month in advance for services to be performed in the following month. The sole performance obligation is satisfied when the services are performed. Software Services consulting or retainer contracts typically consist of ongoing support for a customer’s software or specified business practices. For Software License or SaaS contracts, the Company generally invoices customers when the software has been delivered to and accepted by the customer, which is also when the performance obligation is satisfied. For multi-period Software License or SaaS contracts, the Company generally invoices customers annually at the beginning of each annual coverage period. Software License or SaaS contracts consist of providing clients with software designed by the Company. For Software License or SaaS contracts, there are generally no ongoing support obligations unless specified in the contract (becoming a Software Service). Deferred revenue is comprised mainly of software project contract performance obligations not completed. Unfulfilled performance obligations represent amounts expected to be earned by the Company on executed contracts. As of March 31, 2021, the Company had approximately $1.06 million in unfulfilled performance obligations. | Revenue Recognition Software Service Revenue The Company generates software related revenues from services performed for: Virtual and Augmented Reality projects, consulting retainers, and ongoing website maintenance and support. Software service revenue generated from Virtual and Augmented Reality projects is recognized after delivery of the project has occurred, when persuasive evidence of an arrangement exists, the fee is fixed or determinable, and collection is reasonably assured. Any unrecognized portion of project revenue and any corresponding unrecognized expenses are presented as deferred revenue and deferred costs, respectively, in the accompanying consolidated balance sheets. Deferred costs include cash and equity based payroll costs, and may include payments to vendors. Software service revenue generated from consulting retainers is typically billed in advance for services performed and is recognized when persuasive evidence of an arrangement exists, the fee is fixed or determinable, services have been performed, and collection is reasonably assured. Software service revenue generated from ongoing website maintenance and support services is typically billed in arrears for services performed and is recognized when persuasive evidence of an arrangement exists, the fee is fixed or determinable, and collection is reasonably assured. Software License and Software as a Service Revenue The Company derives revenue from software as-a-service subscriptions and software licenses. Upon delivery of the software to customers, revenue is recognized ratably over the term of the contract or arrangement. The unrecognized portion of this revenue and any corresponding unrecognized expenses are presented as deferred revenue and deferred costs, respectively, in the accompanying consolidated balance sheets. |
Accounts Receivable | Accounts Receivable Accounts receivable consists primarily of amounts due from customers under normal trade terms. Allowances for uncollectible accounts are provided for based upon a variety of factors, including historical amounts written-off, an evaluation of current economic conditions, and assessment of customer collectability. As of March 31, 2021 and June 30, 2020 no allowance for doubtful accounts was recorded as all amounts were considered collectible. | Accounts Receivable Accounts receivable consists primarily of amounts due from customers under normal trade terms. Allowances for uncollectible accounts are provided for based upon a variety of factors, including historical amounts written-off, an evaluation of current economic conditions, and assessment of customer collectability. As of June 30, 2020 and 2019, no allowance for doubtful accounts was recorded as all amounts were considered collectible. |
Customer Concentration and Credit Risk | Customer Concentration and Credit Risk Two customers accounted for approximately 48% (32% and 16%, respectively) of the Company’s total gross revenues during the nine months ended March 31, 2021. Two different customers accounted for approximately 26% (16% and 10%, respectively) of the Company’s total gross revenues during the nine months ended March 31, 2020. No other customers exceeded 10% of gross revenues during either of the nine months ended March 31, 2021 or 2020. The Company believes that it will reduce the customer concentration risks by engaging new customers and increasing activity of other existing customers. The Company maintains cash in accounts that, at times, may be in excess of the Federal Deposit Insurance Corporation limit. The Company has not experienced any losses on such accounts. | Customer Concentration and Credit Risk One customer accounted for approximately 12% of the Company’s total gross revenues during the year ended June 30, 2020 and a different customer accounted for approximately 19% of the Company’s total gross revenues during the year ended June 30, 2019. No other customers exceeded 10% of gross revenues during either of the years ended June 30, 2020 or 2019. The Company believes that it will continue to reduce the customer concentration risks by engaging new customers and increasing activity of other existing customers. The Company maintains cash in accounts that, at times, may be in excess of the Federal Deposit Insurance Corporation limit. The Company has not experienced any losses on such accounts. |
Equipment, Net | Equipment, net Equipment is stated at cost less accumulated depreciation (see Note 4). Depreciation is computed using the straight-line method over the estimated useful lives of the related assets. The costs of improvements and betterments are capitalized and expenditures for repairs and maintenance are expensed in the period incurred. The Company assesses the recoverability of equipment whenever events or changes in circumstances indicate that their carrying value may not be recoverable. There was no impairment of equipment for the periods presented. | Equipment, net Equipment is stated at cost less accumulated depreciation (see Note 4). Depreciation is computed using the straight-line method over the estimated useful lives of the related assets. The costs of improvements and betterments are capitalized and expenditures for repairs and maintenance are expensed in the period incurred. The Company assesses the recoverability of equipment whenever events or changes in circumstances indicate that their carrying value may not be recoverable. There was no impairment of equipment for the periods presented. |
Employee Stock-Based Compensation | Employee Stock-Based Compensation The Company recognizes stock-based compensation expense related to grants to employees or service providers based on grant date fair values of common stock or the stock options, which are amortized over the requisite period, as well as forfeitures as they occur. The Company values the options using the Black-Scholes Merton (“Black Scholes”) method utilizing various inputs such as expected term, expected volatility and the risk-free rate. The expected term reflects the application of the simplified method, which is the weighted average of the contractual term of the grant and the vesting period for each tranche. Expected volatility is derived from a weighted average of volatility inputs for comparable software and technology service companies. The risk-free rate is based on the implied yield of U.S. Treasury notes as of the grant date with a remaining term approximately equal to the expected life of the award. | Employee Stock-Based Compensation The Company recognizes stock-based compensation expense related to grants to employees or service providers based on grant date fair values of common stock or the stock options, which are amortized over the requisite period, as well as forfeitures as they occur. The Company values the options using the Black-Scholes Merton (“Black Scholes”) method utilizing various inputs such as expected term, expected volatility and the risk-free rate. The expected term reflects the application of the simplified method, which is the weighted average of the contractual term of the grant and the vesting period for each tranche. Expected volatility is derived from a weighted average of volatility inputs for comparable software and technology service companies. The risk-free rate is based on the implied yield of U.S. Treasury notes as of the grant date with a remaining term approximately equal to the expected life of the award. |
Research and Development Costs | Research and Development Costs Research and development expenses are expensed as incurred, and include payroll, employee benefits and stock-based compensation expense. Research and development expenses also include third-party development and programming costs. Given the emerging industry and uncertain market environment the Company operates in, research and development costs are not capitalized. | Research and Development Costs Research and development expenses are expensed as incurred, and include payroll, employee benefits and stock-based compensation expense. Research and development expenses also include third-party development and programming costs. Given the emerging industry and uncertain market environment the Company operates in, research and development costs are not capitalized. |
Income Taxes | Income Taxes The Company records income taxes using the asset and liability method. Deferred income tax assets and liabilities are recognized for the future tax effects attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective income tax bases, and operating loss and tax credit carryforwards. The Company establishes a valuation allowance if it is more likely than not that the deferred tax assets will not be recovered based on an evaluation of objective verifiable evidence. For tax positions that are more likely than not of being sustained upon audit, the Company recognizes the largest amount of the benefit that is greater than 50% likely of being realized. For tax positions that are not more likely than not of being sustained upon audit, the Company does not recognize any portion of the benefit. The Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 740, Income Taxes, or ASC 740, also clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements and prescribes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more-likely-than-not to be sustained upon examination by taxing authorities. ASC 740 also provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. Based on the Company’s evaluation, it has been concluded that there are no significant uncertain tax positions requiring recognition in the Company’s consolidated financial statements. The Company believes that its income tax positions and deductions would be sustained on audit and does not anticipate any adjustments that would result in material changes to its financial position. The Company’s policy for recording interest and penalties associated with audits is to record such expense as a component of income tax expense. There were no amounts accrued for penalties or interest for the nine months ended March 31, 2021 and 2020. Management is currently unaware of any issues under review that could result in significant payments, accruals or material deviations from its position. | Income Taxes The Company records income taxes using the asset and liability method. Deferred income tax assets and liabilities are recognized for the future tax effects attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective income tax bases, and operating loss and tax credit carryforwards. The Company establishes a valuation allowance if it is more likely than not that the deferred tax assets will not be recovered based on an evaluation of objective verifiable evidence. For tax positions that are more likely than not of being sustained upon audit, the Company recognizes the largest amount of the benefit that is greater than 50% likely of being realized. For tax positions that are not more likely than not of being sustained upon audit, the Company does not recognize any portion of the benefit. The Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 740, Income Taxes The Company’s policy for recording interest and penalties associated with audits is to record such expense as a component of income tax expense. There were no amounts accrued for penalties or interest for the years ended June 30, 2020 and 2019. Management is currently unaware of any issues under review that could result in significant payments, accruals or material deviations from its position. |
Goodwill | Goodwill The Company reviews goodwill for impairment annually or more frequently if current circumstances or events indicate that the fair value may be less than its carrying value. There was no goodwill impairment for the nine months ended March 31, 2021 and 2020. During the fiscal year ended June 30, 2020, the Company changed its method of accounting for goodwill from the private company method which had allowed for the amortization of goodwill on a straight-line basis over a 10 year period, and required impairment testing if there was a triggering event, as defined, to the method of not amortizing goodwill and testing goodwill for impairment on an annual basis. The Company changed its method of accounting because we have filed with a regulatory agency in preparation for a potential sale of equity securities on a public stock exchange. As a public entity, GAAP does not allow for the amortization of goodwill. | Goodwill The Company reviews goodwill for impairment annually or more frequently if current circumstances or events indicate that the fair value may be less than its carrying value. The Company recorded a goodwill impairment during the fiscal year ended June 30, 2020 (see Note 8). There was no goodwill impairment for the year ended June 30, 2019. During the fiscal year ended June 30, 2020, the Company changed its method of accounting for goodwill from the private company method which had allowed for the amortization of goodwill on a straight-line basis over a 10 year period, and required impairment testing if there was a triggering event, as defined, to the method of not amortizing goodwill and testing goodwill for impairment on an annual basis. The Company changed its method of accounting because it is preparing to file with a regulatory agency in preparation for a potential sale of equity securities on a public stock exchange. The effect of the change was to decrease amortization expense by $13,975 and net loss from continuing operations before interest income and expense and net loss for the year ended June 30, 2019 by $13,975 ($.00 per share). Accumulated deficit has been decreased accordingly in the amount of $3,493 as of July 1, 2018 for the effect of retroactive application of the new method. |
Earnings Per Share | Earnings Per Share Basic earnings per share (“EPS”) is computed based on the weighted average number of shares of common stock outstanding during the period. Diluted EPS is computed based on the weighted average number of shares of common stock plus the effect of dilutive potential shares of common stock outstanding during the period using the treasury stock method. Dilutive potential common shares include the issuance of potential shares of common stock for outstanding stock options and convertible debt. | Earnings Per Share Basic earnings per share (“EPS”) is computed based on the weighted average number of shares of common stock outstanding during the period. Diluted EPS is computed based on the weighted average number of shares of common stock plus the effect of dilutive potential shares of common stock outstanding during the period using the treasury stock method. Dilutive potential common shares include the issuance of shares of common stock for outstanding stock options and convertible debt. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The carrying amounts of the Company’s financial instruments, such as accounts receivable, accounts payable and accrued liabilities approximate fair value due to the short-term nature of these instruments. The Company’s convertible debt approximates fair value due to its short-term nature and market rate of interest. | |
Reclassification | Reclassification Certain accounts in the prior year financial statement have been reclassified for comparative purposes to conform with the presentation in the current year financial statement. | |
Recently Issued Pronouncements | Recently Issued Pronouncements Financial Instruments – Credit Losses In June 2016, the FASB issued a new standard to replace the incurred loss impairment methodology under current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates (Accounting Standards Codification – “ASC” 326). The Company will be required to use a forward-looking expected credit loss model for accounts receivable, loans, and other financial instruments. Credit losses relating to available-for-sale debt securities, if any, will also be recorded through an allowance for credit losses rather than as a reduction in the amortized cost basis of the securities. In anticipation of becoming an emerging growth company, as defined by the Securities and Exchange Commission (“SEC”), the Company does not expect to adopt this standard prior to July 1, 2023. Revenue from Contracts with Customers In May 2014, the FASB issued a new standard related to revenue recognition (ASC 606). Under this standard, revenue is recognized when a customer obtains control of promised goods or services in an amount that reflects the consideration the entity expects to receive in exchange for those goods or services. In addition, the standard requires disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. The standard will be effective for the Company beginning on July 1, 2020. The Company is currently evaluating the impact of this standard on it consolidated financial statements, including accounting policies, processes, and systems. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 9 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
Schedule of Disaggregation of Revenue | As detailed in the Company’s Consolidated Statement of Operations, the following is a disaggregation of the Company’s revenue by major source for the nine months ended March 31, 2021 and 2020, respectively: For the Nine Months Ended March 31, 2021 2020 Software Services $ 2,126,025 $ 1,260,153 Software License and Software as a Service 308,526 143,603 Total $ 2,434,551 $ 1,403,756 |
Schedule of Timing Revenue Recognition | As the Company began adopting ASC 606 in July 2020, the timing of revenue recognition for periods prior to the adoption is not required: Nine Months Ended March 31, 2021 Products transferred at a point in time $ 2,081,496 Products and services transferred over time 353,055 Total $ 2,434,551 |
Equipment, Net (Tables)
Equipment, Net (Tables) | 9 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Jun. 30, 2020 | |
Property, Plant and Equipment [Abstract] | ||
Schedule of Equipment, Net | Equipment, primarily comprised of computers and hardware, consisted of the following: As of March 31, 2021 As of June 30, 2020 Value ($) Useful Life (Years) Value ($) Useful Life (Years) Equipment $ 122,347 3 $ 105,239 3 Less: Accumulated Depreciation (82,177 ) (64,015 ) Balance $ 40,170 $ 41,224 | Equipment, primarily comprised of computers and hardware, consisted of the following: As of June 30, 2020 As of June 30, 2019 Value ($) Useful Life (Years) Value ($) Useful Life (Years) Equipment $ 105,239 3 $ 72,579 3 Less: accumulated depreciation (64,015 ) (43,793 ) Balance $ 41,224 $ 28,786 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Jun. 30, 2020 | |
Earnings Per Share [Abstract] | ||
Schedule of Computation of Basic and Diluted Net Loss Per Share | The following table presents the computation of basic and diluted net loss per share of common stock: Nine Months Ended March 31, 2021 Nine Months Ended March 31, 2020 Numerator: Net loss $ (3,248,600 ) $ (3,583,010 ) Denominator: Weighted-average shares of common stock outstanding for basic and diluted net loss per share $ 7,157,762 $ 6,896,318 Basic and diluted net loss per share $ (0.45 ) $ (0.52 ) | The following table presents the computation of basic and diluted net loss per share of common stock: Year Ended June 30, 2020 Year Ended June 30, 2019 Numerator: Net loss attributable to common stockholders $ (4,993,350 ) $ (5,576,377 ) Denominator: Weighted-average shares of common stock outstanding for basic and diluted net loss per share $ 6,923,506 6,477,273 Basic and diluted net loss per share $ (0.72 ) $ (0.86 ) |
Schedule of Potentially Dilutive Securities | Potentially dilutive securities that were not included in the calculation of diluted net loss per share attributable to common stockholders because their effect would be anti-dilutive are as follows (in common equivalent shares): At March 31, 2021 At March 31, 2020 Stock Options 4,567,750 3,981,276 Convertible Notes 324,412 296,111 Total 4,892,162 4,277,387 | Potentially dilutive securities that were not included in the calculation of diluted net loss per share attributable to common stockholders because their effect would be anti-dilutive are as follows (in common equivalent shares): At At Stock Options 4,092,593 3,408,452 Convertible Note 296,111 - Total 4,388,704 3,408,452 |
Equity (Tables)
Equity (Tables) | 9 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Jun. 30, 2020 | |
Equity [Abstract] | ||
Schedule of Black-Scholes Option-Pricing Model Assumptions | Stock options have been recorded at their fair value. The Black-Scholes option-pricing model assumptions used to value the issuance of stock options under the Plan, are noted in the following table: Nine Months Ended March 31, 2021 Nine Months Ended March 31, 2020 Weighted average expected terms (in years) 5.2 5.2 Weighted average expected volatility 125.9 % 117.3 % Weighted average risk-free interest rate 0.4 % 1.5 % Expected dividend yield 0 % 0 % | The Black-Scholes option-pricing model assumptions used to value the issuance of stock options under the Plan, are noted in the following table: Year Ended June 30, 2020 Year Ended June 30, 2019 Weighted average expected terms (in years) 5.3 4.7 Weighted average expected volatility 117 % 120 % Weighted average risk-free interest rate 1.4 % 2.5 % Expected dividend yield 0 % 0 % |
Summary of Stock Option Activity | The following is a summary of the Company’s stock option activity for the nine months ended March 31, 2021 and 2020: Weighted Average Remaining Exercise Contractual Intrinsic Options Price Term (Yrs) Value Outstanding at July 1, 2019 3,408,452 $ 2.97 8.5 $ 3,721,339 Options Granted 639,543 4.22 9.6 $ 181,953 Options Exercised - - - - Options Forfeited / Cancelled (66,719 ) 3.73 9.5 (53,774 ) Outstanding at March 31, 2020 3,981,276 3.15 8.4 $ 5,553,916 Exercisable at March 31, 2020 3,370,366 $ 3.00 8.3 $ 5,362,387 Weighted Average Remaining Exercise Contractual Intrinsic Options Price Term (Yrs) Value Outstanding at July 1, 2020 4,092,593 $ 3.19 8.4 $ 5,553,916 Options Granted 576,408 4.55 9.8 $ 288,204 Options Exercised - - - - Options Forfeited / Cancelled (101,251 ) 4.20 8.8 (81,530 ) Outstanding at March 31, 2021 4,567,750 $ 3.34 8.5 $ 7,806,887 Exercisable at March 31, 2021 4,178,316 $ 3.24 8.4 $ 7,564,222 | The following is a summary of the Company’s stock option activity for the years ended June 30, 2020 and 2019: Weighted Average Options Exercise Price Remaining Contractual Intrinsic Value Outstanding at July 1, 2018 2,492,006 $ 2.47 9.1 $ 1,937,593 Options Granted 1,060,557 4.19 8.6 - Options Exercised - - - - Options Forfeited / Cancelled (144,111 ) 3.41 9.2 (86,459 ) Outstanding at June 30, 2019 3,408,452 $ 2.97 8.5 $ 3,721,339 Exercisable at June 30, 2019 2,805,437 $ 2.87 8.4 $ 3,380,482 Weighted Average Options Exercise Price Remaining Contractual Term (Yrs) Intrinsic Value Outstanding at July 1, 2019 3,408,452 $ 2.97 8.5 $ 3,721,339 Options Granted 766,455 4.26 9.5 $ 182,328 Options Exercised - - - - Options Forfeited / Cancelled (82,314 ) 3.84 9.6 (53,977 ) Outstanding at June 30, 2020 4,092,593 $ 3.19 8.4 $ 5,553,916 Exercisable at June 30, 2020 3,581,514 $ 3.06 8.3 $ 5,365,512 |
Schedule of Stock Option-Based Expense | The Company’s stock option-based expense for the nine months ended March 31, 2021 and 2020 consisted of the following: Nine Months Ended March 31, 2021 Nine Months Ended March 31, 2020 Stock option-based expense : Research and development expenses $ 886,591 $ 931,796 General and administrative expenses 419,193 392,672 Sales and marketing expenses 310,710 170,259 Cost of goods sold 497,370 203,444 Board option expense 128,043 129,278 Total $ 2,241,907 $ 1,827,449 | The Company’s stock option-based expense for the years ended June 30, 2020 and June 30, 2019 consisted of the following: June 30, 2020 June 30, 2019 Stock option-based expense: Research and development expenses $ 1,266,911 $ 1,313,946 General and administrative expenses 570,765 470,748 Sales and marketing expenses 293,226 181,903 Cost of goods sold 236,825 58,182 Board option expense 182,794 885,206 Total $ 2,550,521 $ 2,909,985 |
Provision for Income Taxes (Tab
Provision for Income Taxes (Tables) | 9 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Jun. 30, 2020 | |
Income Tax Disclosure [Abstract] | ||
Schedule of Deferred Tax Assets | The Company’s deferred tax assets as of March 31, 2021 and 2020 consist of the following: As of March 31, As of March 31, 2021 2020 Deferred tax assets: Net-operating loss carryforward $ 3,204,726 $ 2,552,860 Stock-based compensation 536,865 334,246 Total Deferred Tax Assets 3,741,591 2,887,106 Valuation allowance (3,741,591 ) (2,887,106 ) Deferred Tax Asset, Net $ - $ - | The Company’s deferred tax assets as of June 30, 2020 and 2019 consist of the following: As of June 30, As of June 30, 2020 2019 Deferred tax assets: Net-operating loss carryforward $ 2,811,156 $ 1,917,702 Stock-based compensation 348,013 241,360 Total Deferred Tax Assets 3,159,169 2,159,062 Valuation allowance (3,159,169 ) (2,159,062 ) Deferred Tax Asset, Net $ - $ - |
Schedule of Expected Tax Expense (Benefit) Based on US Federal Statutory Rate | The expected tax expense (benefit) based on the U.S. federal statutory rate is reconciled with actual tax expense (benefit) as follows: For the Nine Months Ended For the Nine Months Ended March 31, 2021 March 31, 2020 Statutory Federal Income Tax Rate (21.00 )% (21.00 )% State and Local Taxes, Net of Federal Tax Benefit (13.56 )% (13.56 )% Stock Based Compensation Expense (ISO) 19.00 % 14.10 % Change in Valuation Allowance 15.56 % 20.46 % Income Taxes Provision (Benefit) 0.00 0.00 | The expected tax expense (benefit) based on the U.S. federal statutory rate is reconciled with actual tax expense (benefit) as follows: For the year ended For the year ended June 30, June 30, 2020 2019 Statutory Federal Income Tax Rate (21.00 )% (21.00 )% State and Local Taxes, Net of Federal Tax Benefit (13.56 )% (13.56 )% Stock Based Compensation Expense (ISO) 14.50 % 12.60 % Change in Valuation Allowance 20.06 % 21.96 % Income Taxes Provision (Benefit) 0.00 0.00 |
Liquidity and Capital Resourc_2
Liquidity and Capital Resources (Details Narrative) - USD ($) | 1 Months Ended | 6 Months Ended | 9 Months Ended | 12 Months Ended | 49 Months Ended | 58 Months Ended | ||||
Feb. 28, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2019 | Jun. 30, 2020 | Mar. 31, 2021 | |
Net loss | $ (2,018,412) | $ (2,383,214) | $ (3,248,600) | $ (3,583,010) | $ (4,993,350) | $ (5,576,377) | $ (5,576,377) | |||
Net cash used in operating activities | (1,037,420) | (1,524,367) | (2,024,275) | (2,138,635) | ||||||
Proceeds from issuance of common stock and convertible debt | 1,800,000 | 1,340,000 | $ 8,850,000 | $ 8,900,000 | ||||||
Cash | 2,400,000 | 1,030,000 | $ 1,200,000 | 1,200,000 | 1,030,000 | 2,400,000 | ||||
Revenues | 2,434,551 | 1,403,756 | 1,945,315 | 983,182 | ||||||
Proceeds from PPP loan | 623,828 | 548,885 | ||||||||
Cash position | 2,000,000 | 2,500,000 | $ 2,500,000 | $ 2,000,000 | ||||||
Contracted revenue backlog | $ 1,500,000 | 1,100,000 | ||||||||
Paycheck Protection Program One [Member] | ||||||||||
Proceeds from PPP loan | 549,000 | |||||||||
Paycheck protection program | 549,000 | |||||||||
Paycheck Protection Program Two [Member] | ||||||||||
Proceeds from PPP loan | $ 624,000 | $ 632,000 | ||||||||
Paycheck protection program | $ 624,000 |
Liquidity and Capital Resourc_3
Liquidity and Capital Resources (Details Narrative) (10-K) - USD ($) | 1 Months Ended | 6 Months Ended | 9 Months Ended | 12 Months Ended | 49 Months Ended | 58 Months Ended | ||||
Feb. 28, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2019 | Jun. 30, 2020 | Mar. 31, 2021 | |
Net loss | $ (2,018,412) | $ (2,383,214) | $ (3,248,600) | $ (3,583,010) | $ (4,993,350) | $ (5,576,377) | $ (5,576,377) | |||
Net cash used in operating activities | (1,037,420) | (1,524,367) | (2,024,275) | (2,138,635) | ||||||
Proceeds from issuance of common stock and convertible debt | 1,800,000 | 1,340,000 | $ 8,850,000 | $ 8,900,000 | ||||||
Cash | 2,400,000 | 1,030,000 | $ 1,200,000 | 1,200,000 | 1,030,000 | 2,400,000 | ||||
Revenues | 2,434,551 | 1,403,756 | 1,945,315 | 983,182 | ||||||
Proceeds from PPP loan | 623,828 | 548,885 | ||||||||
Cash position | 2,000,000 | 2,500,000 | $ 2,500,000 | $ 2,000,000 | ||||||
Contracted revenue backlog | $ 1,500,000 | 1,100,000 | ||||||||
Paycheck Protection Program One [Member] | ||||||||||
Proceeds from PPP loan | 549,000 | |||||||||
Paycheck Protection Program Two [Member] | ||||||||||
Proceeds from PPP loan | $ 624,000 | $ 632,000 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details Narrative) - USD ($) | 9 Months Ended | 12 Months Ended | |||
Mar. 31, 2021 | Mar. 31, 2020 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Unfulfilled performance obligations | $ 1,060,000 | ||||
Allowance for doubtful accounts | |||||
Concentration risk percentage | 12.00% | 19.00% | |||
Tax benefit realized upon settlement description | greater than 50% | greater than 50% | |||
Accrued for penalties or interest | |||||
Goodwill impairment | $ 139,754 | ||||
Intangible Assets useful life | 10 years | 10 years | |||
Other Customers [Member] | |||||
Concentration risk percentage | 10.00% | 10.00% | |||
Two Customers [Member] | |||||
Concentration risk percentage | 48.00% | 26.00% | |||
Customer One [Member] | |||||
Concentration risk percentage | 32.00% | 16.00% | |||
Customer Two [Member] | |||||
Concentration risk percentage | 16.00% | 10.00% |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Details Narrative) (10-K) - USD ($) | 9 Months Ended | 12 Months Ended | |||
Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jul. 02, 2018 | |
Allowance for doubtful accounts | |||||
Concentration risk percentage | 12.00% | 19.00% | |||
Tax benefit settlement description | greater than 50% | greater than 50% | |||
Accrued for penalties or interest | |||||
Goodwill impairment | $ 139,754 | ||||
Intangible Assets useful life | 10 years | 10 years | |||
Net loss per share | $ (0.45) | $ (0.52) | $ (0.72) | $ (0.86) | |
Accumulated deficit | $ (19,272,321) | $ (16,023,721) | $ (11,030,371) | ||
Change In Accounting Principle On Goodwill [Member] | |||||
Decrease amortization expense | 13,975 | ||||
Net loss from continuing operations before interest income and expense and net loss | $ 13,975 | ||||
Net loss per share | $ 0 | ||||
Accumulated deficit | $ 3,493 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Schedule of Disaggregation of Revenue (Details) - USD ($) | 9 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Total Revenue | $ 2,434,551 | $ 1,403,756 | $ 1,945,315 | $ 983,182 |
Software Services [Member] | ||||
Total Revenue | 2,126,025 | 1,260,153 | ||
Software License and Software as a Service [Member] | ||||
Total Revenue | $ 308,526 | $ 143,603 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Schedule of Timing Revenue Recognition (Details) - USD ($) | 9 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Total revenue | $ 2,434,551 | $ 1,403,756 | $ 1,945,315 | $ 983,182 |
Products Transferred at a Point in Time [Member] | ||||
Total revenue | 2,081,496 | |||
Products and Services Transferred Over Time [Member] | ||||
Total revenue | $ 353,055 |
Equipment, Net (Details Narrat
Equipment, Net (Details Narrative) - USD ($) | 9 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Property, Plant and Equipment [Abstract] | ||||
Depreciation expense | $ 18,162 | $ 16,084 | $ 20,222 | $ 21,980 |
Equipment, Net (Details Narr_2
Equipment, Net (Details Narrative) (10-K) - USD ($) | 9 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Property, Plant and Equipment [Abstract] | ||||
Depreciation expense | $ 18,162 | $ 16,084 | $ 20,222 | $ 21,980 |
Equipment, Net - Schedule of Eq
Equipment, Net - Schedule of Equipment, Net (Details) - USD ($) | 9 Months Ended | 12 Months Ended | |
Mar. 31, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Property, Plant and Equipment [Abstract] | |||
Equipment | $ 122,347 | $ 105,239 | $ 72,579 |
Less: Accumulated Depreciation | (82,177) | (64,015) | (43,793) |
Property plant and equipment net | $ 40,170 | $ 41,224 | $ 28,786 |
Property, Plant and Equipment, Useful Life | 3 years | 3 years | 3 years |
Equipment, Net - Schedule of _2
Equipment, Net - Schedule of Equipment, Net (Details) (10-K) - USD ($) | 9 Months Ended | 12 Months Ended | |
Mar. 31, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Property, Plant and Equipment [Abstract] | |||
Equipment | $ 122,347 | $ 105,239 | $ 72,579 |
Less: accumulated depreciation | (82,177) | (64,015) | (43,793) |
Property plant and equipment net | $ 40,170 | $ 41,224 | $ 28,786 |
Property, Plant and Equipment, Useful Life | 3 years | 3 years | 3 years |
Earnings Per Share - Schedule o
Earnings Per Share - Schedule of Computation of Basic and Diluted Net Loss Per Share (Details) - USD ($) | 6 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Dec. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |||||||
Net loss | $ (2,018,412) | $ (2,383,214) | $ (3,248,600) | $ (3,583,010) | $ (4,993,350) | $ (5,576,377) | $ (5,576,377) |
Weighted-average shares of common stock outstanding for basic and diluted net loss per share | 7,157,762 | 6,896,318 | 6,923,506 | 6,477,273 | |||
Basic and diluted net loss per share | $ (0.45) | $ (0.52) | $ (0.72) | $ (0.86) |
Earnings Per Share - Schedule_2
Earnings Per Share - Schedule of Computation of Basic and Diluted Net Loss Per Share (Details) (10-K) - USD ($) | 6 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Dec. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |||||||
Net loss attributable to common stockholders | $ (2,018,412) | $ (2,383,214) | $ (3,248,600) | $ (3,583,010) | $ (4,993,350) | $ (5,576,377) | $ (5,576,377) |
Weighted-average shares of common stock outstanding for basic and diluted net loss per share | 7,157,762 | 6,896,318 | 6,923,506 | 6,477,273 | |||
Basic and diluted net loss per share attributable to common stockholders | $ (0.45) | $ (0.52) | $ (0.72) | $ (0.86) |
Earnings Per Share - Schedule_3
Earnings Per Share - Schedule of Potentially Dilutive Securities (Details) - shares | 9 Months Ended | 12 Months Ended | |||
Mar. 31, 2021 | Mar. 31, 2020 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Total Potentially dilutive securities | 4,892,162 | 4,277,387 | 4,388,704 | 3,408,452 | |
Stock Options [Member] | |||||
Total Potentially dilutive securities | 4,567,750 | 3,981,276 | 4,092,593 | 3,408,452 | |
Convertible Notes [Member] | |||||
Total Potentially dilutive securities | 324,412 | 296,111 | 296,111 |
Earnings Per Share - Schedule_4
Earnings Per Share - Schedule of Potentially Dilutive Securities (Details) (10-K) - shares | 9 Months Ended | 12 Months Ended | |||
Mar. 31, 2021 | Mar. 31, 2020 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Total Potentially dilutive securities | 4,892,162 | 4,277,387 | 4,388,704 | 3,408,452 | |
Stock Options [Member] | |||||
Total Potentially dilutive securities | 4,567,750 | 3,981,276 | 4,092,593 | 3,408,452 | |
Convertible Note [Member] | |||||
Total Potentially dilutive securities | 324,412 | 296,111 | 296,111 |
Equity (Details Narrative)
Equity (Details Narrative) - USD ($) | Mar. 05, 2021 | Jul. 02, 2020 | Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 04, 2021 | Jan. 31, 2021 |
Common stock shares authorized | 300,000,000 | 300,000,000 | 300,000,000 | |||||
Common stock par value per share | $ 0.001 | $ 0.001 | $ 0.001 | |||||
Preferred stock shares authorized | 20,000,000 | 20,000,000 | 20,000,000 | |||||
Common stock shares issued | 7,534,513 | 7,035,771 | 6,860,246 | |||||
Common stock shares outstanding | 7,534,513 | 7,035,771 | 6,860,246 | |||||
Preferred stock shares issued | 0 | 0 | 0 | |||||
Preferred stock shares outstanding | 0 | 0 | 0 | |||||
Proceeds from sale of common stock | $ 324,629 | $ 7,000 | $ 2,010,366 | |||||
Common stock value available for issuance | $ 7,539 | $ 7,036 | $ 6,861 | |||||
Stock options exercise price per share | ||||||||
Prepaid expenses | $ 17,000 | $ 290,000 | ||||||
General and administration expense | $ 1,343,532 | $ 1,312,823 | 1,835,147 | 2,393,968 | ||||
Stock Options [Member] | ||||||||
General and administration expense | 58,000 | 58,000 | ||||||
Unrecognized compensation expense to employees and vendors | $ 1,460,000 | $ 1,490,000 | ||||||
Unrecognized compensation expenses recognition period | 8 months 26 days | 1 year 1 month 6 days | ||||||
Stock options intrinsic value per share | $ 5 | $ 4.50 | ||||||
2016 Equity Incentive Plan [Member] | ||||||||
Common stock value available for issuance | $ 5,430,000 | |||||||
Stock options granted, fair value | $ 2,100,000 | $ 1,750,000 | 2,700,000 | 3,300,000 | ||||
Prepaid expenses | 170,000 | 290,000 | ||||||
General and administration expense | 115,000 | 10,000 | ||||||
Unrecognized compensation expense to employees and vendors | $ 1,620,000 | $ 1,740,000 | ||||||
Unrecognized compensation expenses recognition period | 1 year 7 days | 1 year 6 months 14 days | ||||||
Stock options intrinsic value per share | $ 4.50 | $ 4 | ||||||
2016 Equity Incentive Plan [Member] | Minimum [Member] | ||||||||
Aggregate number of common stock shares reserved for future issuance | 5,000,000 | |||||||
2016 Equity Incentive Plan [Member] | Maximum [Member] | ||||||||
Aggregate number of common stock shares reserved for future issuance | 5,000,000 | 10,000,000 | ||||||
Convertible Promissory Notes [Member] | ||||||||
Stock issued during period shares | 44,000 | 332,000 | 45,000 | |||||
New Convertible Promissory Notes [Member] | ||||||||
Stock issued during period shares | 44,000 | 38,800 | ||||||
New Convertible Promissory Notes [Member] | Pre-payment of First Year Interest [Member] | ||||||||
Stock issued during period shares | 29,500 | 51,000 | ||||||
Subsequent Event [Member] | 2016 Equity Incentive Plan [Member] | ||||||||
Stock options granted, fair value | $ 2,070,000 | |||||||
Subsequent Event [Member] | 2016 Equity Incentive Plan [Member] | Minimum [Member] | ||||||||
Aggregate number of common stock shares reserved for future issuance | 5,000,000 | |||||||
Subsequent Event [Member] | 2016 Equity Incentive Plan [Member] | Maximum [Member] | ||||||||
Aggregate number of common stock shares reserved for future issuance | 10,000,000 | |||||||
Subsequent Event [Member] | Convertible Promissory Notes [Member] | ||||||||
Stock issued during period shares | 44,000 | |||||||
Investors [Member] | ||||||||
Stock issued during period shares | 76,900 | 1,556 | 510,000 | |||||
Share price per share | $ 4.50 | |||||||
Proceeds from sale of common stock | $ 346,000 | $ 7,000 | $ 2,000,000 | |||||
Investors [Member] | Subsequent Event [Member] | ||||||||
Subscription receivable | $ 21,381 | |||||||
Vendors [Member] | ||||||||
Stock issued during period shares for services | 20,800 | 23,700 | 24,000 | 47,000 | ||||
Share-based compensation expense | $ 94,000 | $ 101,500 | $ 100,000 | $ 160,000 | ||||
Employees [Member] | ||||||||
Stock issued during period shares for services | 20,000 | 39,000 | ||||||
Share-based compensation expense | $ 90,000 | $ 160,000 | ||||||
Stock based compensation description | The share reserve will automatically increase on January 1 of each calendar year, for the period beginning on January 1, 2022 and ending on (and including) January 1, 2030 (each, an "Evergreen Date") in an amount equal to five percent (5%) of the total number of shares of the Company's common stock outstanding on December 31st immediately preceding the applicable Evergreen Date (the "Evergreen Increase"). | |||||||
Advisors [Member] | ||||||||
Stock options granted during period value | $ 310,000 | |||||||
Stock options exercise price per share | $ 5.25 | |||||||
Stock options exercise period | 3 years | |||||||
Advisors [Member] | 2016 Equity Incentive Plan [Member] | ||||||||
Stock options exercise price per share | $ 5.25 | |||||||
Stock options exercise period | 3 years |
Equity (Details Narrative) (10-
Equity (Details Narrative) (10-K) - USD ($) | Mar. 05, 2021 | Dec. 31, 2020 | Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2019 | Jan. 31, 2021 |
Common stock shares authorized | 300,000,000 | 300,000,000 | 300,000,000 | 300,000,000 | ||||
Common stock par value per share | $ 0.001 | $ 0.001 | $ 0.001 | $ 0.001 | ||||
Preferred stock shares authorized | 20,000,000 | 20,000,000 | 20,000,000 | 20,000,000 | ||||
Common stock shares issued | 7,534,513 | 7,035,771 | 6,860,246 | 6,860,246 | ||||
Common stock shares outstanding | 7,534,513 | 7,035,771 | 6,860,246 | 6,860,246 | ||||
Preferred stock shares issued | 0 | 0 | 0 | 0 | ||||
Preferred stock shares outstanding | 0 | 0 | 0 | 0 | ||||
Proceeds from sale of common stock | $ 324,629 | $ 7,000 | $ 2,010,366 | |||||
Stock issued during period value | $ 238,475 | $ 346,010 | $ 7,000 | $ 2,010,367 | ||||
Stock options granted during period value | 576,408 | 639,543 | 766,455 | 1,060,557 | ||||
Stock options exercise price per share | ||||||||
Prepaid expenses | $ 17,000 | 290,000 | $ 290,000 | |||||
General and administration expense | $ 1,343,532 | $ 1,312,823 | $ 1,835,147 | 2,393,968 | ||||
2016 Equity Incentive Plan [Member] | ||||||||
Option expiration term | 10 years | |||||||
Stock available for issuance | 910,000 | |||||||
Stock options granted, fair value | $ 2,100,000 | $ 1,750,000 | $ 2,700,000 | 3,300,000 | ||||
Prepaid expenses | 170,000 | 290,000 | 290,000 | |||||
General and administration expense | 115,000 | 10,000 | ||||||
Unrecognized compensation expense to employees and vendors | $ 1,620,000 | $ 1,740,000 | $ 1,740,000 | |||||
Unrecognized compensation expenses recognition period | 1 year 7 days | 1 year 6 months 14 days | ||||||
Stock options intrinsic value per share | $ 4.50 | $ 4 | ||||||
2016 Equity Incentive Plan [Member] | Minimum [Member] | ||||||||
Vesting period | 0 years | |||||||
Aggregate number of common stock shares reserved for future issuance | 5,000,000 | |||||||
2016 Equity Incentive Plan [Member] | Maximum [Member] | ||||||||
Vesting period | 3 years | |||||||
Aggregate number of common stock shares reserved for future issuance | 5,000,000 | 10,000,000 | ||||||
To Satisfy Contingent Liabilities [Member] | ||||||||
Stock issued during period shares | 28,000 | 23,000 | ||||||
Stock issued during period value | $ 130,000 | $ 90,000 | ||||||
Convertible Promissory Notes [Member] | ||||||||
Stock issued during period shares | 44,000 | 332,000 | 45,000 | |||||
Stock issued during period value | $ 192,000 | $ 1,220,000 | $ 170,000 | |||||
Convertible Promissory Notes [Member] | Prepay Interest on Notes [Member] | ||||||||
Stock issued during period shares | 57,000 | |||||||
Investors [Member] | ||||||||
Stock issued during period shares | 76,900 | 1,556 | 510,000 | |||||
Proceeds from sale of common stock | $ 346,000 | $ 7,000 | $ 2,000,000 | |||||
Related Parties [Member] | ||||||||
Stock issued during period shares | 30,000 | |||||||
Proceeds from sale of common stock | $ 110,000 | |||||||
Vendors [Member] | ||||||||
Stock issued during period shares for services | 20,800 | 23,700 | 24,000 | 47,000 | ||||
Share-based compensation expense | $ 94,000 | $ 101,500 | $ 100,000 | $ 160,000 | ||||
Employees [Member] | ||||||||
Stock issued during period shares for services | 20,000 | 39,000 | ||||||
Share-based compensation expense | $ 90,000 | $ 160,000 | ||||||
Advisors [Member] | ||||||||
Stock options exercise price per share | $ 5.25 | |||||||
Stock options exercise period | 3 years | |||||||
Advisors [Member] | 2016 Equity Incentive Plan [Member] | ||||||||
Stock options granted during period value | 310,000 | |||||||
Stock options exercise price per share | $ 5.25 | |||||||
Stock options exercise period | 3 years |
Equity - Schedule of Black-Scho
Equity - Schedule of Black-Scholes Option-Pricing Model Assumptions (Details) | 9 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Equity [Abstract] | ||
Weighted average expected terms (in years) | 5 years 2 months 12 days | 5 years 2 months 12 days |
Weighted average expected volatility | 125.90% | 117.30% |
Weighted average risk-free interest rate | 0.40% | 1.50% |
Expected dividend yield | 0.00% | 0.00% |
Equity - Schedule of Black-Sc_2
Equity - Schedule of Black-Scholes Option-Pricing Model Assumptions (Details) (10-K) | 9 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Weighted average expected terms (in years) | 5 years 2 months 12 days | 5 years 2 months 12 days | ||
Weighted average expected volatility | 125.90% | 117.30% | ||
Weighted average risk-free interest rate | 0.40% | 1.50% | ||
Expected dividend yield | 0.00% | 0.00% | ||
2016 Equity Incentive Plan [Member] | ||||
Weighted average expected terms (in years) | 5 years 3 months 19 days | 4 years 8 months 12 days | ||
Weighted average expected volatility | 117.00% | 120.00% | ||
Weighted average risk-free interest rate | 1.40% | 2.50% | ||
Expected dividend yield | 0.00% | 0.00% |
Equity - Summary of Stock Optio
Equity - Summary of Stock Option Activity (Details) - USD ($) | 9 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Equity [Abstract] | ||||
Options Outstanding, Beginning balance | 4,092,593 | 3,408,452 | 3,408,452 | 2,492,006 |
Options, Granted | 576,408 | 639,543 | 766,455 | 1,060,557 |
Options, Exercised | ||||
Options, Forfeited/Cancelled | (101,251) | (66,719) | (82,314) | (144,111) |
Options Outstanding, Ending balance | 4,567,750 | 3,981,276 | 4,092,593 | 3,408,452 |
Options Exercisable, Ending balance | 4,178,316 | 3,370,366 | 3,581,514 | 2,805,437 |
Weighted Average Exercise Price, Outstanding, Beginning balance | $ 3.19 | $ 2.97 | $ 2.97 | $ 2.47 |
Weighted Average Exercise Price, Options Granted | 4.55 | 4.22 | 4.26 | 4.19 |
Weighted Average Exercise Price, Options Exercised | ||||
Weighted Average Exercise Price, Options Forfeited/Cancelled | 4.20 | 3.73 | 3.84 | 3.41 |
Weighted Average Exercise Price, Outstanding, Ending balance | 3.34 | 3.15 | 3.19 | 2.97 |
Weighted Average Exercise Price, Exercisable, Ending balance | $ 3.24 | $ 3 | $ 3.06 | $ 2.87 |
Weighted Average Remaining Contractual Term (Yrs), Outstanding Beginning | 8 years 4 months 24 days | 8 years 6 months | 8 years 6 months | 9 years 1 month 6 days |
Weighted Average Remaining Contractual Term (Yrs), Options Granted | 9 years 9 months 18 days | 9 years 7 months 6 days | 9 years 6 months | 8 years 7 months 6 days |
Weighted Average Remaining Contractual Term (Yrs), Options Forfeited/Cancelled | 8 years 9 months 18 days | 9 years 6 months | 9 years 7 months 6 days | 9 years 2 months 12 days |
Weighted Average Remaining Contractual Term (Yrs), Outstanding Ending | 8 years 6 months | 8 years 4 months 24 days | 8 years 4 months 24 days | 8 years 6 months |
Weighted Average Remaining Contractual Term (Yrs), Exercisable, Ending | 8 years 4 months 24 days | 8 years 3 months 19 days | 8 years 3 months 19 days | 8 years 4 months 24 days |
Intrinsic Value, Outstanding Beginning balance | $ 5,553,916 | $ 3,721,339 | $ 3,721,339 | $ 1,937,593 |
Intrinsic Value, Options Granted | 288,204 | 181,953 | 182,328 | |
Intrinsic Value, Options Forfeited/Cancelled | (81,530) | (53,774) | (53,977) | (86,459) |
Intrinsic Value, Outstanding Ending balance | 7,806,887 | 5,553,916 | 5,553,916 | 3,721,339 |
Intrinsic Value, Exercisable Ending balance | $ 7,564,222 | $ 5,362,387 | $ 5,365,512 | $ 3,380,482 |
Equity - Summary of Stock Opt_2
Equity - Summary of Stock Option Activity (Details) (10-K) - USD ($) | 9 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Equity [Abstract] | ||||
Options Outstanding, Beginning balance | 4,092,593 | 3,408,452 | 3,408,452 | 2,492,006 |
Options, Granted | 576,408 | 639,543 | 766,455 | 1,060,557 |
Options, Exercised | ||||
Options, Forfeited/Cancelled | (101,251) | (66,719) | (82,314) | (144,111) |
Options Outstanding, Ending balance | 4,567,750 | 3,981,276 | 4,092,593 | 3,408,452 |
Options Exercisable, Ending balance | 4,178,316 | 3,370,366 | 3,581,514 | 2,805,437 |
Weighted Average Exercise Price, Outstanding, Beginning balance | $ 3.19 | $ 2.97 | $ 2.97 | $ 2.47 |
Weighted Average Exercise Price, Options Granted | 4.55 | 4.22 | 4.26 | 4.19 |
Weighted Average Exercise Price, Options Exercised | ||||
Weighted Average Exercise Price, Options Forfeited/Cancelled | 4.20 | 3.73 | 3.84 | 3.41 |
Weighted Average Exercise Price, Outstanding, Ending balance | 3.34 | 3.15 | 3.19 | 2.97 |
Weighted Average Exercise Price, Exercisable, Ending balance | $ 3.24 | $ 3 | $ 3.06 | $ 2.87 |
Weighted Average Remaining Contractual Term (Yrs), Outstanding Beginning | 8 years 4 months 24 days | 8 years 6 months | 8 years 6 months | 9 years 1 month 6 days |
Weighted Average Remaining Contractual Term (Yrs), Options Granted | 9 years 9 months 18 days | 9 years 7 months 6 days | 9 years 6 months | 8 years 7 months 6 days |
Weighted Average Remaining Contractual Term (Yrs), Options Forfeited/Cancelled | 8 years 9 months 18 days | 9 years 6 months | 9 years 7 months 6 days | 9 years 2 months 12 days |
Weighted Average Remaining Contractual Term (Yrs), Outstanding Ending | 8 years 6 months | 8 years 4 months 24 days | 8 years 4 months 24 days | 8 years 6 months |
Weighted Average Remaining Contractual Term (Yrs), Exercisable, Ending | 8 years 4 months 24 days | 8 years 3 months 19 days | 8 years 3 months 19 days | 8 years 4 months 24 days |
Intrinsic Value, Outstanding Beginning balance | $ 5,553,916 | $ 3,721,339 | $ 3,721,339 | $ 1,937,593 |
Intrinsic Value, Options Granted | 288,204 | 181,953 | 182,328 | |
Intrinsic Value, Options Forfeited/Cancelled | (81,530) | (53,774) | (53,977) | (86,459) |
Intrinsic Value, Outstanding Ending balance | 7,806,887 | 5,553,916 | 5,553,916 | 3,721,339 |
Intrinsic Value, Exercisable Ending balance | $ 7,564,222 | $ 5,362,387 | $ 5,365,512 | $ 3,380,482 |
Equity - Schedule of Stock Opti
Equity - Schedule of Stock Option-Based Expense (Details) - USD ($) | 9 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Stock option-based expense | $ 2,241,907 | $ 1,827,449 | $ 2,550,521 | $ 2,909,985 |
Research and Development Expense [Member] | ||||
Stock option-based expense | 886,591 | 931,796 | 1,266,911 | 1,313,946 |
General and Administrative Expenses [Member] | ||||
Stock option-based expense | 419,193 | 392,672 | 570,765 | 470,748 |
Sales and Marketing Expenses [Member] | ||||
Stock option-based expense | 310,710 | 170,259 | 293,226 | 181,903 |
Cost of Goods Sold [Member] | ||||
Stock option-based expense | 497,370 | 203,444 | 236,825 | 58,182 |
Board Option Expense [Member] | ||||
Stock option-based expense | $ 128,043 | $ 129,278 | $ 182,794 | $ 885,206 |
Equity - Schedule of Stock Op_2
Equity - Schedule of Stock Option-Based Expense (Details) (10-K) - USD ($) | 9 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Stock option-based expense | $ 2,241,907 | $ 1,827,449 | $ 2,550,521 | $ 2,909,985 |
Research and Development Expense [Member] | ||||
Stock option-based expense | 886,591 | 931,796 | 1,266,911 | 1,313,946 |
General and Administrative Expense [Member] | ||||
Stock option-based expense | 419,193 | 392,672 | 570,765 | 470,748 |
Sales and Marketing Expense [Member] | ||||
Stock option-based expense | 310,710 | 170,259 | 293,226 | 181,903 |
Cost of Goods Sold [Member] | ||||
Stock option-based expense | 497,370 | 203,444 | 236,825 | 58,182 |
Board Option Expense [Member] | ||||
Stock option-based expense | $ 128,043 | $ 129,278 | $ 182,794 | $ 885,206 |
Contingent Acquisition Liabil_2
Contingent Acquisition Liability (Details Narrative) - Early Adopter.Com [Member] - USD ($) | Mar. 31, 2021 | Jun. 30, 2020 | Jun. 30, 2019 |
Business acqusition, share price | $ 3.25 | $ 3.25 | |
Contingent acquisition liability | $ 47,000 | $ 47,000 | $ 134,000 |
Contingent Acquisition Liabil_3
Contingent Acquisition Liability (Details Narrative) (10-K) - Early Adopter.Com [Member] - USD ($) | 12 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Mar. 31, 2021 | |
Business acqusition, share price | $ 3.25 | $ 3.25 | |
Contingent acquisition liability | $ 47,000 | $ 134,000 | $ 47,000 |
Accrured liabilities | $ 47,000 | $ 67,000 | |
Stock issued during peirod shares acquisitions | 28,000 | 23,000 | |
Stock issued during period value acquisitions | $ 127,000 | $ 91,000 | |
Increase in fair value of common stock | $ 40,000 | $ 74,000 |
Goodwill (Details Narrative)
Goodwill (Details Narrative) | Jun. 30, 2020USD ($) |
Early Adopter.Com [Member] | |
Goodwill impairment | $ 0 |
Goodwill (Details Narrative) (1
Goodwill (Details Narrative) (10-K) - USD ($) | 9 Months Ended | 12 Months Ended | |
Mar. 31, 2021 | Jun. 30, 2020 | Jun. 30, 2019 | |
Goodwill | $ 139,754 | ||
Goodwill impairment | $ 139,754 | ||
Early Adopter.Com [Member] | |||
Goodwill | 140,000 | ||
Goodwill impairment | $ 0 |
Contingencies (Details Narrativ
Contingencies (Details Narrative) (10-K) | 9 Months Ended | 12 Months Ended |
Mar. 31, 2021 | Jun. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | ||
Maximum distribution percentage of net proceeds from divestiture | 10.00% | 10.00% |
Debt (Details Narrative)
Debt (Details Narrative) - USD ($) | Mar. 05, 2021 | Feb. 28, 2021 | May 31, 2020 | Dec. 31, 2020 | Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2019 |
Stock issued during period value | $ 238,475 | $ 346,010 | $ 7,000 | $ 2,010,367 | |||||
Gain loss on debt | 548,885 | ||||||||
Proceeds from debt | 623,828 | 548,885 | |||||||
Convertible Promissory Notes [Member] | |||||||||
Proceeds from issuance of unsecured debt | $ 1,475,000 | $ 1,330,000 | |||||||
Debt instrument term | 2 years | 3 years | |||||||
Debt instrument face amount | $ 1,330,000 | ||||||||
Stock issued during period shares | 44,000 | 332,000 | 45,000 | ||||||
Share issued price per share | $ 5 | $ 4.50 | |||||||
Stock issued during period value | $ 192,000 | $ 1,220,000 | $ 170,000 | ||||||
Original issue discount on notes | $ 96,900 | $ 149,000 | |||||||
Debt instrument interest rate percentage | 10.00% | 10.00% | |||||||
Debt instrument conversion price per share | $ 5 | $ 4 | $ 4.50 | ||||||
Debt interest payment description | During the term into common stock of the Company at a fixed price of $4.50/share, or approximately 295,000 shares of common stock upon full conversion. | ||||||||
Debt conversion converted instrument shares | 295,000 | 295,000 | |||||||
Convertible promissory notes | $ 113,800 | ||||||||
Debt instrument maturity date | Mar. 5, 2023 | ||||||||
Convertible Promissory Notes [Member] | IPO [Member] | |||||||||
Original issue discount on notes | $ 111,779 | ||||||||
Debt instrument conversion price per share | $ 5 | $ 4.25 | |||||||
Convertible Promissory Notes [Member] | Maximum [Member] | |||||||||
Debt instrument conversion price per share | 4.50 | ||||||||
Convertible Promissory Notes [Member] | Minimum [Member] | |||||||||
Debt instrument conversion price per share | $ 4 | ||||||||
Convertible Promissory Notes [Member] | First Two Years of Interest Prepayment [Member] | |||||||||
Stock issued during period shares | 57,000 | ||||||||
Share issued price per share | $ 4.50 | ||||||||
Stock issued during period value | $ 258,000 | ||||||||
Convertible Promissory Notes [Member] | Third Year Interest [Member] | |||||||||
Debt instrument term | 3 years | ||||||||
Stock issued during period shares | 30,000 | ||||||||
Stock issued during period value | $ 122,000 | ||||||||
Debt instrument interest rate percentage | 10.00% | ||||||||
Debt interest payment description | January 2021, reflecting the reduction of the Notes conversion price from $4.50/share to $4.00/share, the issuance of Year 3 Interest (10%) paid in common stock (at$4.00/share instead of $4.50/share), and the write-off of the remaining related pre-paid interest and original issue discount expenses. | ||||||||
Gain loss on debt | $ 515,500 | ||||||||
Convertible Promissory Notes [Member] | First Year of Interest Prepayment [Member] | |||||||||
Stock issued during period shares | 29,500 | ||||||||
Share issued price per share | $ 5 | ||||||||
Stock issued during period value | $ 147,500 | ||||||||
Convertible Promissory Notes [Member] | Second Year of Notes [Member] | |||||||||
Share issued price per share | $ 5 | ||||||||
Original issue discount on notes | $ 195,000 | ||||||||
Convertible promissory notes | $ 1,280,000 | ||||||||
Convertible Promissory Notes [Member] | Executives and Independent Members [Member] | |||||||||
Debt instrument face amount | $ 200,000 | ||||||||
Paycheck Protection Program [Member] | |||||||||
Debt instrument interest rate percentage | 1.00% | ||||||||
Proceeds from debt | $ 620,000 | $ 550,000 | |||||||
Debt instrument maturity date, description | February 2026 | ||||||||
Economic Injury Disaster Loan [Member] | |||||||||
Proceeds from debt | $ 10,000 |
Debt (Details Narrative) (10-K)
Debt (Details Narrative) (10-K) - USD ($) | Mar. 05, 2021 | Jul. 02, 2020 | Feb. 28, 2021 | Dec. 31, 2020 | May 31, 2020 | Dec. 31, 2020 | Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2019 |
Stock issued during period value | $ 238,475 | $ 346,010 | $ 7,000 | $ 2,010,367 | |||||||
Proceeds from debt | 623,828 | 548,885 | |||||||||
Convertible Promissory Notes [Member] | |||||||||||
Proceeds from issuance of unsecured debt | $ 1,330,000 | ||||||||||
Debt instrument term | 3 years | ||||||||||
Stock issued during period shares | 45,000 | ||||||||||
Stock issued during period value | $ 170,000 | ||||||||||
Interest expense debt | $ 24,000 | ||||||||||
Debt interest payment description | During the third year of the Notes, interest will be paid monthly in either cash or Company common stock (at a fixed price of $4.50/share) at the Note holder's option on any unpaid principal outstanding. | ||||||||||
Debt conversion converted instrument shares | 295,000 | ||||||||||
Debt maturity date | Dec. 31, 2022 | ||||||||||
Convertible Promissory Notes [Member] | |||||||||||
Proceeds from issuance of unsecured debt | $ 1,475,000 | $ 1,330,000 | |||||||||
Debt instrument term | 2 years | 3 years | |||||||||
Debt instrument face amount | $ 1,330,000 | ||||||||||
Stock issued during period shares | 44,000 | 332,000 | 45,000 | ||||||||
Share issued price per share | $ 5 | $ 4.50 | |||||||||
Stock issued during period value | $ 192,000 | $ 1,220,000 | $ 170,000 | ||||||||
Original issue discount on notes | $ 96,900 | $ 149,000 | |||||||||
Debt instrument interest rate percentage | 10.00% | 10.00% | |||||||||
Debt instrument conversion price per share | $ 5 | $ 4 | $ 4.50 | ||||||||
Debt interest payment description | During the term into common stock of the Company at a fixed price of $4.50/share, or approximately 295,000 shares of common stock upon full conversion. | ||||||||||
Debt conversion converted instrument shares | 295,000 | 295,000 | |||||||||
Debt maturity date | Mar. 5, 2023 | ||||||||||
Convertible Promissory Notes [Member] | Subsequent Event [Member] | |||||||||||
Proceeds from issuance of unsecured debt | $ 1,475,000 | ||||||||||
Debt instrument term | 2 years | ||||||||||
Debt instrument face amount | $ 1,330,000 | $ 1,330,000 | |||||||||
Stock issued during period shares | 44,000 | ||||||||||
Share issued price per share | $ 5 | ||||||||||
Stock issued during period value | $ 222,000 | ||||||||||
Debt instrument interest rate percentage | 10.00% | ||||||||||
Debt instrument conversion price per share | $ 5 | $ 4 | $ 4 | ||||||||
Debt conversion converted instrument shares | 295,000 | 300,000 | |||||||||
Debt maturity date | Mar. 5, 2023 | ||||||||||
Debt conversion converted instrument amount | $ 1,220,000 | $ 1,220,000 | |||||||||
Convertible Promissory Notes [Member] | First Two Years of Interest Prepayment [Member] | |||||||||||
Stock issued during period shares | 57,000 | ||||||||||
Share issued price per share | $ 4.50 | ||||||||||
Stock issued during period value | $ 258,000 | ||||||||||
Convertible Promissory Notes [Member] | Executives and Independent Members [Member] | |||||||||||
Debt instrument face amount | $ 200,000 | ||||||||||
Paycheck Protection Program [Member] | |||||||||||
Debt instrument interest rate percentage | 1.00% | ||||||||||
Proceeds from debt | $ 620,000 | $ 550,000 | |||||||||
Paycheck Protection Program [Member] | Subsequent Event [Member] | |||||||||||
Debt instrument interest rate percentage | 1.00% | ||||||||||
Proceeds from debt | $ 620,000 | ||||||||||
Economic Injury Disaster Loan [Member] | |||||||||||
Proceeds from debt | $ 10,000 |
Provision for Income Taxes (Det
Provision for Income Taxes (Details Narrative) - USD ($) | 9 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Income Tax Disclosure [Abstract] | ||||
Operating loss carry forwards, net | $ 9,200,000 | $ 8,100,000 | ||
Operating loss carry forwards expiration date | NOLs for the periods ending June 30, 2018 and prior begin to expire in 2037. | NOLs for the periods ending June 30, 2018 and prior begin to expire in 2037. | ||
Valuation allowance | $ 580,000 | $ 730,000 | $ 1,000,000 | $ 1,260,000 |
Provision for Income Taxes (D_2
Provision for Income Taxes (Details Narrative) (10-K) - USD ($) | 9 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Income Tax Disclosure [Abstract] | ||||
Operating loss carry forwards, net | $ 9,200,000 | $ 8,100,000 | ||
Operating loss carry forwards expiration date | NOLs for the periods ending June 30, 2018 and prior begin to expire in 2037. | NOLs for the periods ending June 30, 2018 and prior begin to expire in 2037. | ||
Valuation allowance | $ 580,000 | $ 730,000 | $ 1,000,000 | $ 1,260,000 |
Provision for Income Taxes - Sc
Provision for Income Taxes - Schedule of Deferred Tax Assets (Details) - USD ($) | Mar. 31, 2021 | Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2019 |
Income Tax Disclosure [Abstract] | ||||
Net-operating loss carryforward | $ 3,204,726 | $ 2,811,156 | $ 2,552,860 | $ 1,917,702 |
Stock-based compensation | 536,865 | 334,246 | ||
Total Deferred Tax Assets | 3,741,591 | 3,159,169 | 2,887,106 | 2,159,062 |
Valuation allowance | (3,741,591) | (3,159,169) | (2,887,106) | (2,159,062) |
Deferred Tax Asset, Net |
Provision for Income Taxes - _2
Provision for Income Taxes - Schedule of Deferred Tax Assets (Details) (10-K) - USD ($) | Mar. 31, 2021 | Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2019 |
Income Tax Disclosure [Abstract] | ||||
Net-operationg loss carryforward | $ 3,204,726 | $ 2,811,156 | $ 2,552,860 | $ 1,917,702 |
Stock-based compensation | 348,013 | 241,360 | ||
Total Deferred Tax Assets | 3,741,591 | 3,159,169 | 2,887,106 | 2,159,062 |
Valuation allowance | (3,741,591) | (3,159,169) | (2,887,106) | (2,159,062) |
Deferred Tax Asset, Net |
Provision for Income Taxes - _3
Provision for Income Taxes - Schedule of Expected Tax Expense (Benefit) Based on US Federal Statutory Rate (Details) | 9 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Income Tax Disclosure [Abstract] | ||||
Statutory Federal Income Tax Rate | (21.00%) | (21.00%) | (21.00%) | (21.00%) |
State and Local Taxes, Net of Federal Tax Benefit | (13.56%) | (13.56%) | (13.56%) | (13.56%) |
Stock Based Compensation Expense (ISO) | 19.00% | 14.10% | 14.50% | 12.60% |
Change in Valuation Allowance | 15.56% | 20.46% | 20.06% | 21.96% |
Income Taxes Provision (Benefit) | 0.00% | 0.00% | 0.00% | 0.00% |
Provision for Income Taxes - _4
Provision for Income Taxes - Schedule of Expected Tax Expense (Benefit) Based on US Federal Statutory Rate (Details) (10-K) | 9 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | |
Income Tax Disclosure [Abstract] | ||||
Statutory Federal Income Tax Rate | (21.00%) | (21.00%) | (21.00%) | (21.00%) |
State and Local Taxes, Net of Federal Tax Benefit | (13.56%) | (13.56%) | (13.56%) | (13.56%) |
Stock Based Compensation Expense (ISO) | 19.00% | 14.10% | 14.50% | 12.60% |
Change in Valuation Allowance | 15.56% | 20.46% | 20.06% | 21.96% |
Income Taxes Provision (Benefit) | 0.00% | 0.00% | 0.00% | 0.00% |
Commitments and Contingencies (
Commitments and Contingencies (Details Narrative) - USD ($) | 9 Months Ended | 12 Months Ended | |||
Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jan. 31, 2021 | |
Lease term | 2 years | 2 years | |||
Lease commencing date | Jan. 1, 2020 | Jan. 1, 2020 | |||
Lease Expiration Date | Dec. 31, 2021 | Dec. 31, 2021 | |||
Security deposit | $ 75,000 | $ 75,000 | |||
Rent expense | $ 221,000 | $ 168,500 | $ 250,000 | $ 130,000 | |
Maximum distribution percentage of net proceeds from divestiture | 10.00% | 10.00% | |||
January-June 30, 2021 [Member] | |||||
Prepaid rent | $ 150,000 | ||||
July-December 2021 [Member] | |||||
Lease payments | $ 180,000 |
Operating Lease (Details Narrat
Operating Lease (Details Narrative) (10-K) - USD ($) | 9 Months Ended | 12 Months Ended | |||
Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jan. 31, 2021 | |
Lease term | 2 years | 2 years | |||
Lease commencing date | Jan. 1, 2020 | Jan. 1, 2020 | |||
Lease Expiration Date | Dec. 31, 2021 | Dec. 31, 2021 | |||
Security deposit | $ 75,000 | $ 75,000 | |||
Rent expense | $ 221,000 | $ 168,500 | 250,000 | $ 130,000 | |
January-June 30, 2021 [Member] | |||||
Prepaid rent | $ 150,000 | ||||
July-December 2021 [Member] | |||||
Lease payments due | $ 180,000 | ||||
Subsequent Event [Member] | January-June 30, 2021 [Member] | |||||
Prepaid rent | 150,000 | ||||
Subsequent Event [Member] | July-December 2021 [Member] | |||||
Lease payments due | $ 180,000 |
Subsequent Events (Details Narr
Subsequent Events (Details Narrative) (10-K) - USD ($) | Mar. 05, 2021 | Jul. 02, 2020 | Feb. 28, 2021 | Dec. 31, 2020 | May 31, 2020 | Dec. 31, 2020 | Mar. 31, 2021 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2019 | Jan. 31, 2021 |
Stock issued during period value | $ 238,475 | $ 346,010 | $ 7,000 | $ 2,010,367 | ||||||||
Stock options granted during period shares | 576,408 | 639,543 | 766,455 | 1,060,557 | ||||||||
Stock options granted exercises prices | $ 4.55 | $ 4.22 | $ 4.26 | $ 4.19 | ||||||||
Proceeds from debt | $ 623,828 | $ 548,885 | ||||||||||
2016 Equity Incentive Plan [Member] | ||||||||||||
Stock available for issuance | 910,000 | |||||||||||
Stock options granted, fair value | 2,100,000 | $ 1,750,000 | $ 2,700,000 | $ 3,300,000 | ||||||||
Maximum [Member] | 2016 Equity Incentive Plan [Member] | ||||||||||||
Aggregate number of common stock shares reserved for future issuance | 5,000,000 | 10,000,000 | ||||||||||
Stock options vesting period | 3 years | |||||||||||
Minimum [Member] | 2016 Equity Incentive Plan [Member] | ||||||||||||
Aggregate number of common stock shares reserved for future issuance | 5,000,000 | |||||||||||
Stock options vesting period | 0 years | |||||||||||
Subsequent Event [Member] | 2016 Equity Incentive Plan [Member] | ||||||||||||
Stock options granted during period shares | 560,000 | |||||||||||
Stock options granted, fair value | $ 2,070,000 | |||||||||||
Stock options vesting period | 4 years 6 months | |||||||||||
Subsequent Event [Member] | 2016 Equity Incentive Plan [Member] | ||||||||||||
Stock available for issuance | 600,000 | |||||||||||
Subsequent Event [Member] | Maximum [Member] | 2016 Equity Incentive Plan [Member] | ||||||||||||
Aggregate number of common stock shares reserved for future issuance | 10,000,000 | |||||||||||
Stock options granted exercises prices | $ 5 | |||||||||||
Subsequent Event [Member] | Minimum [Member] | 2016 Equity Incentive Plan [Member] | ||||||||||||
Aggregate number of common stock shares reserved for future issuance | 5,000,000 | |||||||||||
Stock options granted exercises prices | $ 4.50 | |||||||||||
Convertible Promissory Notes [Member] | ||||||||||||
Debt instrument face amount | $ 1,330,000 | |||||||||||
Debt conversion converted instrument shares | 295,000 | 295,000 | ||||||||||
Debt instrument conversion price per share | $ 5 | $ 4 | $ 4.50 | |||||||||
Debt instrument interest rate percentage | 10.00% | 10.00% | ||||||||||
Stock issued during period value | $ 192,000 | $ 1,220,000 | $ 170,000 | |||||||||
Stock issued during period shares | 44,000 | 332,000 | 45,000 | |||||||||
Convertible promissory notes | $ 113,800 | |||||||||||
Proceeds from issuance of unsecured debt | $ 1,475,000 | $ 1,330,000 | ||||||||||
Debt instrument term | 2 years | 3 years | ||||||||||
Share issued price per share | $ 5 | $ 4.50 | ||||||||||
Debt instrument maturity date | Mar. 5, 2023 | |||||||||||
Convertible Promissory Notes [Member] | IPO [Member] | ||||||||||||
Debt instrument conversion price per share | $ 5 | $ 4.25 | ||||||||||
Convertible Promissory Notes [Member] | Third Year Interest [Member] | ||||||||||||
Debt instrument interest rate percentage | 10.00% | |||||||||||
Stock issued during period value | $ 122,000 | |||||||||||
Stock issued during period shares | 30,000 | |||||||||||
Debt instrument term | 3 years | |||||||||||
Convertible Promissory Notes [Member] | First Year of Interest Prepayment [Member] | ||||||||||||
Stock issued during period value | $ 147,500 | |||||||||||
Stock issued during period shares | 29,500 | |||||||||||
Share issued price per share | $ 5 | |||||||||||
Convertible Promissory Notes [Member] | Second Year of Notes [Member] | ||||||||||||
Convertible promissory notes | $ 1,280,000 | |||||||||||
Share issued price per share | $ 5 | |||||||||||
Convertible Promissory Notes [Member] | Maximum [Member] | ||||||||||||
Debt instrument conversion price per share | $ 4.50 | |||||||||||
Convertible Promissory Notes [Member] | Minimum [Member] | ||||||||||||
Debt instrument conversion price per share | $ 4 | |||||||||||
Convertible Promissory Notes [Member] | Subsequent Event [Member] | ||||||||||||
Debt conversion converted instrument amount | $ 1,220,000 | $ 1,220,000 | ||||||||||
Debt instrument face amount | $ 1,330,000 | $ 1,330,000 | ||||||||||
Debt conversion converted instrument shares | 295,000 | 300,000 | ||||||||||
Debt instrument conversion price per share | $ 5 | $ 4 | $ 4 | |||||||||
Debt instrument interest rate percentage | 10.00% | |||||||||||
Stock issued during period value | $ 222,000 | |||||||||||
Stock issued during period shares | 44,000 | |||||||||||
Convertible promissory notes | $ 110,000 | $ 110,000 | ||||||||||
Proceeds from issuance of unsecured debt | $ 1,475,000 | |||||||||||
Debt instrument term | 2 years | |||||||||||
Share issued price per share | $ 5 | |||||||||||
Debt instrument maturity date | Mar. 5, 2023 | |||||||||||
Convertible Promissory Notes [Member] | Subsequent Event [Member] | IPO [Member] | ||||||||||||
Debt instrument conversion price per share | $ 5 | $ 4.25 | $ 4.25 | |||||||||
Convertible Promissory Notes [Member] | Subsequent Event [Member] | Third Year Interest [Member] | ||||||||||||
Debt instrument interest rate percentage | 10.00% | 10.00% | ||||||||||
Stock issued during period value | $ 122,000 | |||||||||||
Stock issued during period shares | 30,000 | |||||||||||
Convertible Promissory Notes [Member] | Subsequent Event [Member] | First Year of Interest Prepayment [Member] | ||||||||||||
Stock issued during period value | $ 147,500 | |||||||||||
Stock issued during period shares | 29,500 | |||||||||||
Share issued price per share | $ 5 | |||||||||||
Convertible Promissory Notes [Member] | Subsequent Event [Member] | Second Year of Notes [Member] | ||||||||||||
Share issued price per share | $ 5 | |||||||||||
Convertible Promissory Notes [Member] | Subsequent Event [Member] | Maximum [Member] | ||||||||||||
Debt instrument conversion price per share | $ 4.50 | $ 4.50 | ||||||||||
Convertible Promissory Notes [Member] | Subsequent Event [Member] | Minimum [Member] | ||||||||||||
Debt instrument conversion price per share | $ 4 | $ 4 | ||||||||||
Paycheck Protection Program [Member] | ||||||||||||
Debt instrument interest rate percentage | 1.00% | |||||||||||
Proceeds from debt | $ 620,000 | $ 550,000 | ||||||||||
Debt instrument maturity date, description | February 2026 | |||||||||||
Paycheck Protection Program [Member] | Subsequent Event [Member] | ||||||||||||
Debt instrument interest rate percentage | 1.00% | |||||||||||
Proceeds from debt | $ 620,000 | |||||||||||
Debt instrument maturity date, description | February 2026 | |||||||||||
Interim Round III Equity Financing Round [Member] | Subsequent Event [Member] | ||||||||||||
Stock issued during period shares | 78,000 | |||||||||||
Share issued price per share | $ 4.50 | |||||||||||
Proceeds from equity financing | $ 350,000 |