Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2020 | Aug. 07, 2020 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | ANDREA ELECTRONICS CORP | |
Entity Central Index Key | 0000006494 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2020 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2020 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 68,104,957 | |
Entity Interactive Data Current | Yes | |
Entity Current Reporting Status | Yes | |
Entity Incorporation, State or Country Code | NY | |
Entity File Number | 001-04324 | |
Document Quarterly Report | true | |
Document Transition Report | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) | Jun. 30, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash | $ 411,836 | $ 335,790 |
Accounts receivable, net of allowance for doubtful accounts of $4,789 | 123,588 | 378,179 |
Inventories, net | 163,713 | 210,161 |
Prepaid expenses and other current assets | 50,084 | 42,446 |
Total current assets | 749,221 | 966,576 |
Property and equipment, net | 23,215 | 26,160 |
Intangible assets, net | 220,783 | 231,123 |
Other assets, net | 38,044 | 65,612 |
Total assets | 1,031,263 | 1,289,471 |
Current liabilities: | ||
Trade accounts payable and other current liabilities | 290,374 | 390,558 |
Current portion of long-term debt | 53,461 | |
Accrued Series C Convertible Preferred Stock Dividends | 19,168 | 19,168 |
Total current liabilities | 363,003 | 409,726 |
Lease liabilities payable | 9,673 | 15,221 |
Long-term debt | 2,060,290 | 1,827,509 |
Total liabilities | 2,432,966 | 2,252,456 |
Series B Redeemable Convertible Preferred Stock, $.01 par value; authorized: 1,000 shares; issued and outstanding: 0 shares | 2,432,966 | 2,252,456 |
Commitments and contingencies | ||
Shareholders' deficit: | ||
Preferred stock, $.01 par value; authorized: 2,497,500 shares; none issued and outstanding | ||
Common stock, $.01 par value; authorized: 200,000,000 shares; issued and outstanding: 68,104,957 shares | 681,050 | 681,050 |
Additional paid-in capital | 78,086,910 | 78,086,910 |
Accumulated deficit | (80,178,735) | (79,740,017) |
Total shareholders' deficit | (1,401,703) | (962,985) |
Total liabilities and shareholders' deficit | 1,031,263 | 1,289,471 |
Series C Convertible Preferred Stock [Member] | ||
Shareholders' deficit: | ||
Preferred stock, $.01 par value; authorized: 2,497,500 shares; none issued and outstanding | ||
Total shareholders' deficit | ||
Series D Convertible Preferred Stock [Member] | ||
Shareholders' deficit: | ||
Preferred stock, $.01 par value; authorized: 2,497,500 shares; none issued and outstanding | 9,072 | 9,072 |
Total shareholders' deficit | $ 9,072 | $ 9,072 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) | Jun. 30, 2020 | Dec. 31, 2019 |
Allowance for doubtful accounts | $ 4,789 | $ 4,789 |
Series B Redeemable Convertible Preferred Stock, par value | $ 0.01 | $ 0.01 |
Series B Redeemable Convertible Preferred Stock, shares authorized | 1,000 | 1,000 |
Series B Redeemable Convertible Preferred Stock, shares issued | 0 | 0 |
Series B Redeemable Convertible Preferred Stock, shares outstanding | 0 | 0 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 2,497,500 | 2,497,500 |
Preferred stock, shares issued | ||
Preferred stock, shares outstanding | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares issued | 68,104,957 | 68,104,957 |
Common stock, shares outstanding | 68,104,957 | 68,104,957 |
Series C Convertible Preferred Stock [Member] | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 1,500 | 1,500 |
Preferred stock, shares issued | 11.5 | 11.5 |
Preferred stock, shares outstanding | 11.5 | 11.5 |
Preferred stock, liquidation value | $ 114,692 | $ 114,692 |
Series D Convertible Preferred Stock [Member] | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 2,500,000 | 2,500,000 |
Preferred stock, shares issued | 907,144 | 907,144 |
Preferred stock, shares outstanding | 907,144 | 907,144 |
Preferred stock, liquidation value | $ 907,144 | $ 907,144 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Revenues | ||||
Net product revenues | $ 208,327 | $ 552,449 | $ 586,082 | $ 975,129 |
License and service related revenues | 46,988 | 12,684 | 51,884 | 27,844 |
Total revenues | 255,315 | 565,133 | 637,966 | 1,002,973 |
Cost of product revenues | 46,468 | 152,413 | 132,340 | 291,855 |
Gross margin | 208,847 | 412,720 | 505,626 | 711,118 |
Patent Monetization expenses | 49,538 | 74,080 | 88,928 | 113,273 |
Research and development expenses | 147,245 | 145,176 | 299,866 | 286,360 |
General, administrative and selling expenses | 238,033 | 249,679 | 521,089 | 547,936 |
Operating loss | (225,969) | (56,215) | (404,257) | (236,451) |
Interest expense, net | (16,429) | (17,238) | (33,896) | (33,950) |
Loss from operations before provision for income taxes | (242,398) | (73,453) | (438,153) | (270,401) |
Provision for income taxes | 59 | 782 | 565 | 1,322 |
Net loss | $ (242,457) | $ (74,235) | $ (438,718) | $ (271,723) |
Basic and diluted weighted average shares | 68,104,957 | 68,104,957 | 68,104,957 | 68,104,957 |
Basic and diluted net loss per share | $ 0 | $ 0 | $ (0.01) | $ 0 |
Condensed Consolidated Statem_2
Condensed Consolidated Statement of Shareholders' Deficit (Unaudited) - USD ($) | Series C Convertible Preferred Stock [Member] | Series D Convertible Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] | Total |
Beginning Balance at Dec. 31, 2018 | $ 9,072 | $ 681,050 | $ 78,069,200 | $ (79,191,451) | $ (432,129) | |
Beginning Balance, shares at Dec. 31, 2018 | 11.469249 | 907,144 | 68,104,957 | |||
Stock-based Compensation Expense related to Stock Option Grants | 4,836 | 4,836 | ||||
Net loss | (197,488) | (197,488) | ||||
Ending Balance at Mar. 31, 2019 | $ 9,072 | $ 681,050 | 78,074,036 | (79,388,939) | (624,781) | |
Ending Balance, shares at Mar. 31, 2019 | 11.469249 | 907,144 | 68,104,957 | |||
Beginning Balance at Dec. 31, 2018 | $ 9,072 | $ 681,050 | 78,069,200 | (79,191,451) | (432,129) | |
Beginning Balance, shares at Dec. 31, 2018 | 11.469249 | 907,144 | 68,104,957 | |||
Net loss | (271,723) | |||||
Ending Balance at Jun. 30, 2019 | $ 9,072 | $ 681,050 | 78,078,872 | (79,463,174) | (694,180) | |
Ending Balance, shares at Jun. 30, 2019 | 11.469249 | 907,144 | 68,104,957 | |||
Beginning Balance at Mar. 31, 2019 | $ 9,072 | $ 681,050 | 78,074,036 | (79,388,939) | (624,781) | |
Beginning Balance, shares at Mar. 31, 2019 | 11.469249 | 907,144 | 68,104,957 | |||
Stock-based Compensation Expense related to Stock Option Grants | 4,836 | 4,836 | ||||
Net loss | (74,235) | (74,235) | ||||
Ending Balance at Jun. 30, 2019 | $ 9,072 | $ 681,050 | 78,078,872 | (79,463,174) | (694,180) | |
Ending Balance, shares at Jun. 30, 2019 | 11.469249 | 907,144 | 68,104,957 | |||
Beginning Balance at Dec. 31, 2019 | $ 9,072 | $ 681,050 | 78,086,910 | (79,740,017) | (962,985) | |
Beginning Balance, shares at Dec. 31, 2019 | 11.469249 | 907,144 | 68,104,957 | |||
Net loss | (196,261) | (196,261) | ||||
Ending Balance at Mar. 31, 2020 | $ 9,072 | $ 681,050 | 78,086,910 | (79,936,278) | (1,159,246) | |
Ending Balance, shares at Mar. 31, 2020 | 11.469249 | 907,144 | 68,104,957 | |||
Beginning Balance at Dec. 31, 2019 | $ 9,072 | $ 681,050 | 78,086,910 | (79,740,017) | (962,985) | |
Beginning Balance, shares at Dec. 31, 2019 | 11.469249 | 907,144 | 68,104,957 | |||
Net loss | (438,718) | |||||
Ending Balance at Jun. 30, 2020 | $ 9,072 | $ 681,050 | 78,086,910 | (80,178,735) | (1,401,703) | |
Ending Balance, shares at Jun. 30, 2020 | 11.469249 | 907,144 | 68,104,957 | |||
Beginning Balance at Mar. 31, 2020 | $ 9,072 | $ 681,050 | 78,086,910 | (79,936,278) | (1,159,246) | |
Beginning Balance, shares at Mar. 31, 2020 | 11.469249 | 907,144 | 68,104,957 | |||
Net loss | (242,457) | (242,457) | ||||
Ending Balance at Jun. 30, 2020 | $ 9,072 | $ 681,050 | $ 78,086,910 | $ (80,178,735) | $ (1,401,703) | |
Ending Balance, shares at Jun. 30, 2020 | 11.469249 | 907,144 | 68,104,957 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Cash flows from operating activities: | ||
Net loss | $ (438,718) | $ (271,723) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization | 32,530 | 42,102 |
Stock based compensation expense | 9,672 | |
Inventory net realizable adjustment | (3,348) | (703) |
Provision for income tax withholding | 565 | 1,322 |
Right-of-use assets | 27,568 | 19,779 |
PIK interest, net | 35,467 | 37,513 |
Change in: | ||
Accounts receivable | 254,026 | 20,939 |
Inventories | 49,796 | 39,343 |
Prepaid expenses and other current assets | (7,638) | (38,592) |
Trade accounts payable and other current liabilities and lease liabilities payable | (105,732) | (84,872) |
Net cash used in operating activities | (155,484) | (225,220) |
Cash flows from investing activities: | ||
Purchases of property and equipment | (5,989) | |
Payments for patents and trademarks | (13,256) | (4,958) |
Net cash used in investing activities | (19,245) | (4,958) |
Cash flows from financing activities: | ||
Proceeds from PPP loans | 142,775 | |
Proceeds from SBA loan | 8,000 | |
Proceeds from long-term notes | 100,000 | 200,000 |
Net cash provided by financing activities | 250,775 | 200,000 |
Net increase (decrease) in cash | 76,046 | (30,178) |
Cash, beginning of year | 335,790 | 486,521 |
Cash, end of period | 411,836 | 456,343 |
Cash paid for: | ||
Income Taxes | $ 888 | $ 1,330 |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | [Placeholder] |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2020 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | [Placeholder] |
Revenue Sharing, Note Purchase
Revenue Sharing, Note Purchase Agreement and Long-Term Debt | 6 Months Ended |
Jun. 30, 2020 | |
Revenue Sharing, Note Purchase Agreement and Long-Term Debt [Abstract] | |
Revenue Sharing, Note Purchase Agreement and Long-Term Debt | [Placeholder] |
Long-Term Debt
Long-Term Debt | 6 Months Ended |
Jun. 30, 2020 | |
Long-term Debt, Unclassified [Abstract] | |
Long-Term Debt | [Placeholder] |
Series C Redeemable Convertible
Series C Redeemable Convertible Preferred Stock | 6 Months Ended |
Jun. 30, 2020 | |
Series C Convertible Preferred Stock [Abstract] | |
Series C Redeemable Convertible Preferred Stock | [Placeholder] |
Series D Redeemable Convertible
Series D Redeemable Convertible Preferred Stock | 6 Months Ended |
Jun. 30, 2020 | |
Series D Convertible Preferred Stock [Abstract] | |
Series D Redeemable Convertible Preferred Stock | [Placeholder] |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments And Contingencies | [Placeholder] |
Stock Plans and Stock Based Com
Stock Plans and Stock Based Compensation | 6 Months Ended |
Jun. 30, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Stock Plans and Stock Based Compensation | [Placeholder] |
Segment Information
Segment Information | 6 Months Ended |
Jun. 30, 2020 | |
Segment Reporting [Abstract] | |
Segment Information | [Placeholder] |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2020 | |
Accounting Policies [Abstract] | |
Loss Per Share | [Placeholder] |
Cash | [Placeholder] |
Concentration of Credit Risk | [Placeholder] |
Allowance for Doubtful Accounts | [Placeholder] |
Inventories | [Placeholder] |
Long-Lived Assets | [Placeholder] |
Trade accounts payable and other current liabilities | [Placeholder] |
Revenue Recognition | [Placeholder] |
Income Taxes | [Placeholder] |
Stock-Based Compensation | [Placeholder] |
Use of Estimates | [Placeholder] |
Leases | [Placeholder] |
Subsequent Events | [Placeholder] |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Accounting Policies [Abstract] | |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | [Placeholder] |
Schedule of Concentration of Credit Risk, Customer as a Percentage of Total Revenues | [Placeholder] |
Schedule of Inventories | [Placeholder] |
Schedule of Trade Accounts Payable and Other Current Liabilities | [Placeholder] |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Long-term Debt, Unclassified [Abstract] | |
Schedule of Long-term Debt | [Placeholder] |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Operating Leases | [Placeholder] |
Schedule of Maturities of Operating Lease Liabilities | [Placeholder] |
Stock Plans and Stock Based C_2
Stock Plans and Stock Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of Stock Option Activity | [Placeholder] |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Segment Reporting [Abstract] | |
Schedule of Selected Consolidated Financial Information for Andrea's Segments | [Placeholder] |
Schedule of Total Revenues and Accounts Receivable by Geographic Area | [Placeholder] |
Basis of Presentation (Details)
Basis of Presentation (Details) - USD ($) | Jul. 13, 2020 | May 08, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 |
Basis of Presentation (Textual) | ||||||||
Loss before provision income taxes | $ 242,398 | $ 73,453 | $ 438,153 | $ 270,401 | ||||
Interest, depreciation and amortization expenses | 34,000 | 68,000 | ||||||
Cash | 411,836 | 456,343 | 411,836 | 456,343 | $ 335,790 | $ 486,521 | ||
Working capital | 386,218 | $ 386,218 | ||||||
Maturity date of loan | Aug. 31, 2022 | |||||||
Revenues | $ 255,315 | $ 565,133 | $ 637,966 | $ 1,002,973 | ||||
U.S. Small Business Administration Loan [Member] | Subsequent Event [Member] | ||||||||
Basis of Presentation (Textual) | ||||||||
Proceeds from loan | $ 150,000 | |||||||
Loan Term | 30 years | |||||||
Interest rate of loan | 3.75% | |||||||
Maturity date of loan | Jul. 13, 2050 | |||||||
PPP Loan [Member] | ||||||||
Basis of Presentation (Textual) | ||||||||
Proceeds from loan | $ 142,775 | |||||||
Loan Term | 2 years | |||||||
Maturity date of loan | May 8, 2022 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Narrative) (Details) - USD ($) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2020 | Dec. 31, 2019 | |
Summary of Significant Accounting Policies (Textual) | ||
Deferred revenue | $ 12,288 | |
Concentration of credit risk, customers accounted | 10% or more | |
Customer A [Member] | Accounts Receivable [Member] | ||
Summary of Significant Accounting Policies (Textual) | ||
Concentration risk percentage | 12.00% | 17.00% |
Customer B [Member] | Accounts Receivable [Member] | ||
Summary of Significant Accounting Policies (Textual) | ||
Concentration risk percentage | 21.00% | |
Customer C [Member] | Accounts Receivable [Member] | ||
Summary of Significant Accounting Policies (Textual) | ||
Concentration risk percentage | 33.00% | 39.00% |
Customer D [Member] | Accounts Receivable [Member] | ||
Summary of Significant Accounting Policies (Textual) | ||
Concentration risk percentage | 23.00% | |
Customer F [Member] | Accounts Receivable [Member] | ||
Summary of Significant Accounting Policies (Textual) | ||
Concentration risk percentage | 31.00% |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Schedule of Antidilutive Securities Earnings Per Share) (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Summary of antidilutive securities excluded from computation of earnings per share | ||||
Total potentially dilutive common shares | 12,253,812 | 14,161,313 | 12,253,812 | 14,161,313 |
Series C Convertible Preferred Stock [Member] | ||||
Summary of antidilutive securities excluded from computation of earnings per share | ||||
Total potentially dilutive common shares | 524,736 | 524,736 | 524,736 | 524,736 |
Series D Convertible Preferred Stock [Member] | ||||
Summary of antidilutive securities excluded from computation of earnings per share | ||||
Total potentially dilutive common shares | 3,628,576 | 3,628,576 | 3,628,576 | 3,628,576 |
Stock Compensation Plan [Member] | ||||
Summary of antidilutive securities excluded from computation of earnings per share | ||||
Total potentially dilutive common shares | 8,100,500 | 10,008,001 | 8,100,500 | 10,008,001 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies (Schedule of Concentration of Credit Risk, Percentage of Total Revenues) (Details) - Sales Revenue, Goods, Net [Member] | 3 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |||||
Customer A [Member] | ||||||||
Summary of concentration of credit risk, customer as a percentage of total revenues | ||||||||
Concentration risk percentage | 21.00% | 12.00% | 21.00% | 13.00% | ||||
Customer B [Member] | ||||||||
Summary of concentration of credit risk, customer as a percentage of total revenues | ||||||||
Concentration risk percentage | 19.00% | [1] | [1] | [1] | ||||
Customer C [Member] | ||||||||
Summary of concentration of credit risk, customer as a percentage of total revenues | ||||||||
Concentration risk percentage | 16.00% | 53.00% | 31.00% | 54.00% | ||||
Customer D [Member] | ||||||||
Summary of concentration of credit risk, customer as a percentage of total revenues | ||||||||
Concentration risk percentage | 11.00% | [1] | [1] | [1] | ||||
Customer E [Member] | ||||||||
Summary of concentration of credit risk, customer as a percentage of total revenues | ||||||||
Concentration risk percentage | 12.00% | [1] | [1] | [1] | ||||
Customer F [Member] | ||||||||
Summary of concentration of credit risk, customer as a percentage of total revenues | ||||||||
Concentration risk percentage | [1] | 17.00% | 21.00% | 14.00% | ||||
[1] | Amounts are less than 10% |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies (Schedule of Inventories) (Details) - USD ($) | Jun. 30, 2020 | Dec. 31, 2019 |
Accounting Policies [Abstract] | ||
Raw materials | $ 23,672 | $ 22,254 |
Finished goods | 140,041 | 187,907 |
Inventories, net | $ 163,713 | $ 210,161 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies (Schedule of Trade Accounts Payable and Other Current Liabilities) (Details) - USD ($) | Jun. 30, 2020 | Dec. 31, 2019 |
Other Current Liabilities | ||
Trade accounts payable | $ 14,507 | $ 87,524 |
Payroll and related expenses | 25,778 | 7,788 |
Patent monetization expenses | 118,851 | 107,605 |
Current lease liabilities | 24,179 | 47,364 |
Deferred revenue | 12,288 | |
Professional and other service fees | 94,771 | 140,277 |
Total trade accounts payable and other current liabilities | $ 290,374 | $ 390,558 |
Revenue Sharing, Note Purchas_2
Revenue Sharing, Note Purchase Agreement and Long-Term Debt (Narrative) (Details) - USD ($) | 6 Months Ended | ||
Jun. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2016 | |
Debt Instrument [Line Items] | |||
Advance from revenue sharing agreement | $ 3,500,000 | ||
Additional notes outstanding | $ 1,784,422 | $ 1,684,422 | |
Percentage of monetization revenue applied for payment of accrued and unpaid interest | 100.00% | ||
Additional notes an aggregate amount | $ 11,500,000 | 7,500,000 | |
Maturity date for notes | Aug. 31, 2022 | ||
PIK interest | $ 178,554 | $ 143,087 | |
Maximum [Member] | |||
Debt Instrument [Line Items] | |||
Percentage of revenue allocated to revenue participants | 50.00% | ||
Minimum [Member] | |||
Debt Instrument [Line Items] | |||
Percentage of revenue allocated to revenue participants | 20.00% |
Long-Term Debt (Details)
Long-Term Debt (Details) - USD ($) | Jul. 13, 2020 | May 08, 2020 | Jun. 30, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | ||||
Maturity date for notes | Aug. 31, 2022 | |||
Note issued | $ 100,000 | $ 200,000 | ||
Remaining amount of Additional Notes | $ 3,800,000 | |||
London Interbank Offered Rate (LIBOR) [Member] | ||||
Debt Instrument [Line Items] | ||||
Annual interest rate | 2.00% | |||
Description of interest rate | The unpaid principal amount of the Additional Notes (including any PIK Interest) has an interest rate equal to LIBOR (as defined in the Revenue Sharing Agreement) plus 2% per annum, (totaling 3.45% and 4.10% at June 30, 2020 and December 31, 2019, respectively); provided that upon and during the continuance of an Event of Default (as set forth in the Revenue Sharing Agreement), the interest rate will increase an additional 2% per annum. | |||
U.S. Small Business Administration Loan [Member] | Subsequent Event [Member] | ||||
Debt Instrument [Line Items] | ||||
Proceeds from loan | $ 150,000 | |||
Maturity date for notes | Jul. 13, 2050 | |||
Maturity period | 30 years | |||
Interest rate of loan | 3.75% | |||
PPP Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Proceeds from loan | $ 142,775 | |||
Annual interest rate | 1.00% | |||
Maturity date for notes | May 8, 2022 | |||
Maturity period | 2 years |
Long-Term Debt (Schedule of Lon
Long-Term Debt (Schedule of Long-term Debt) (Details) - USD ($) | Jun. 30, 2020 | Dec. 31, 2019 |
Additional Notes | $ 1,784,422 | $ 1,684,422 |
PIK interest | 178,554 | 143,087 |
Total long-term debt | 2,113,751 | 1,827,509 |
Less: current maturities of long-term debt | 53,461 | |
Long-term debt, net of current maturities | 2,060,290 | 1,827,509 |
PPP Loan [Member] | ||
Total long-term debt | 142,775 | |
SBA Loan Advance [Member] | ||
Total long-term debt | $ 8,000 |
Series C Redeemable Convertib_2
Series C Redeemable Convertible Preferred Stock (Details) - USD ($) | Jun. 30, 2020 | Dec. 31, 2019 |
Series C Redeemable Convertible Preferred Stock (Textual) | ||
Preferred stock | ||
Accrued series C Preferred Stock Dividends | 19,168 | $ 19,168 |
Series C Convertible Preferred Stock [Member] | ||
Series C Redeemable Convertible Preferred Stock (Textual) | ||
Preferred stock | 10,000 | |
Increase in stated value of preferred stock | $ 1,671 | |
Stock, conversion price | $ 0.2551 | |
Shares, outstanding | 11.469249 | |
Accrued series C Preferred Stock Dividends | $ 19,168 | |
Accrued series C Preferred Stock Dividends, Shares | 524,736 |
Series D Redeemable Convertib_2
Series D Redeemable Convertible Preferred Stock (Details) - $ / shares | 6 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | |
Series D Redeemable Convertible Preferred Stock (Textual) | ||
Preferred stock, shares outstanding | ||
Series D Convertible Preferred Stock [Member] | ||
Series D Redeemable Convertible Preferred Stock (Textual) | ||
Conversion price | $ 0.25 | |
Description of registration delay payment | This payment is to be paid in cash and is equal to the product of (i) the stated value of such shares of Series D Convertible Preferred Stock multiplied by (ii) the product of (1) .0005 multiplied by (2) the number of days that sales cannot be made pursuant to the Registration Statement | |
Preferred stock, shares outstanding | 907,144 | |
Number of common stock shares conversion of preferred stock | 3,628,576 |
Commitments and Contingencies_2
Commitments and Contingencies (Narrative) (Details) - USD ($) | 1 Months Ended | ||
Aug. 31, 2014 | Nov. 11, 2008 | Jun. 30, 2020 | |
Commitments and Contingencies (Textual) | |||
Employment agreements, description | The Company entered into an amended and restated change in control agreement with Corisa L. Guiffre, Vice President, Chief Financial Officer and Assistant Corporate Secretary of the Company. The change in control agreement provides Ms. Guiffre with a severance benefit upon termination in connection with a change in control (as defined in the agreement). If Ms. Guiffre is terminated following a change in control, the Company will pay Ms. Guiffre a sum equal to three times Ms. Guiffre's average annual compensation for the five preceding taxable years. All restrictions on any restricted stock will lapse immediately and incentive stock options and stock appreciation rights, if any, will become immediately exercisable in the event of a change in control of the Company. Additionally, life, medical, dental and disability coverage and payments will be continued for 36 full calendar months following the date of termination. | ||
Assets and corresponding operating lease liabilities | $ 77,547 | ||
Lease terms | 15 months | ||
Mr. Andrea [Member] | |||
Commitments and Contingencies (Textual) | |||
Term of employment agreement | The effective date of the original employment agreement was August 1, 2014 and it currently expires on January 31, 2021, subject to renewal as approved by the Compensation Committee of the Board of Directors. | ||
Annual base salary | $ 216,000 | ||
Percentage of quarterly bonus | 5.00% | ||
Maximum quarterly bonus | $ 12,500 | ||
Percentage of annual bonus | 9.00% | ||
Annual pre-bonus net after tax earnings, Minimum | $ 300,000 | ||
Annual pre-bonus net after tax earnings, Maximum | $ 3,000,000 | ||
Percentage of adjusted pre-annual bonus | 3.00% | ||
Annual pre-bonus adjusted net after tax earnings, Maximum | $ 3,000,000 | ||
Description of employment agreement with Mr. Andrea | Mr. Andrea is entitled to a change in control payment equal to twelve months of Mr. Andrea's most recent Base Salary plus a pro-rated portion of Mr. Andrea's most recent annual and four quarterly bonuses paid immediately preceding the change in control, continuation of health and medical benefits for twelve months and immediate vesting of all stock options in the event of a change in control during the term of his agreement and subsequent termination of his employment within twelve months following the change in control. In the event of his termination without cause or resignation with the Company’s consent, Mr. Andrea is entitled to a severance payment equal to two months of his base salary, plus the two months pro-rated portion of his most recent annual and quarterly bonuses, payment of $12,500, the un-paid bonus for the quarter ended September 30, 2017 and a continuation of health insurance coverage for Mr. Andrea and his dependents for 6 months. | ||
Future minimum cash commitments | $ 126,000 | ||
Minimum [Member] | Property, Plant and Equipment [Member] | |||
Commitments and Contingencies (Textual) | |||
Lease terms | 1 year | ||
Maximum [Member] | Property, Plant and Equipment [Member] | |||
Commitments and Contingencies (Textual) | |||
Lease terms | 2 years |
Commitments and Contingencies_3
Commitments and Contingencies (Schedule of Operating Leases) (Details) - USD ($) | Jun. 30, 2020 | Dec. 31, 2019 |
Commitments and Contingencies Disclosure [Abstract] | ||
Other Assets | $ 32,794 | |
Trade accounts payable and other current liabilities | 24,179 | $ 47,364 |
Lease liabilities payable non-current | 9,673 | |
Total operating lease liabilities | $ 33,852 | |
Weighted-average remaining lease term | 15 months | |
Weighted-average discount rate | 7.10% |
Commitments and Contingencies_4
Commitments and Contingencies (Schedule of Maturities of Operating Lease Liabilities) (Details) | Jun. 30, 2020USD ($) |
Maturities of operating lease liabilities | |
2020 (July 1 - December 31) | $ 19,257 |
2021 | 11,970 |
2022 | 3,990 |
Total | 35,217 |
Less: interest | (1,365) |
Total Lease Payments | $ 33,852 |
Stock Plans and Stock Based C_3
Stock Plans and Stock Based Compensation (Narrative) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Aug. 31, 2019 | Oct. 31, 2006 | |
Stock Plans and Stock-Based Compensation (Textual) | ||||||
Total compensation expense recognized related to stock option awards | $ 0 | $ 4,836 | $ 0 | $ 9,672 | ||
Selling, General and Administrative Expenses [Member] | ||||||
Stock Plans and Stock-Based Compensation (Textual) | ||||||
Total compensation expense recognized related to stock option awards | 4,269 | 8,538 | ||||
Research and Development Expense [Member] | ||||||
Stock Plans and Stock-Based Compensation (Textual) | ||||||
Total compensation expense recognized related to stock option awards | $ 567 | $ 1,134 | ||||
Option [Member] | ||||||
Stock Plans and Stock-Based Compensation (Textual) | ||||||
Stock option exercisable | 8,100,500 | 8,100,500 | ||||
Common stock fair value | $ 0.03 | |||||
Option outstanding aggregated intrinsic value | $ 8,100,500 | $ 8,100,500 | ||||
Stock Compensation Plan One [Member] | ||||||
Stock Plans and Stock-Based Compensation (Textual) | ||||||
Stock options vesting periods | 4 years | |||||
Stock options contractual terms | 10 years | |||||
Stock option exercisable | 10,000,000 | 18,000,000 |
Stock Plans and Stock Based C_4
Stock Plans and Stock Based Compensation (Schedule of Stock Option Activity) (Details) - 2006 Plan [Member] | 6 Months Ended |
Jun. 30, 2020$ / sharesshares | |
Summary of stock options activity | |
Options Outstanding, Beginning balance | shares | 8,100,500 |
Options Outstanding, Ending balance | shares | 8,100,500 |
Options Outstanding, Weighted Average Exercise Price, Beginning balance | $ 0.07 |
Options Outstanding, Weighted Average Exercise Price, Ending balance | 0.07 |
Options Outstanding, Weighted Average Fair Value, Beginning balance | 0.07 |
Options Outstanding, Weighted Average Fair Value, Ending balance | $ 0.07 |
Options Outstanding, Weighted Average Remaining Contractual Life, Beginning balance | 4 years 9 months 18 days |
Options Outstanding, Weighted Average Remaining Contractual Life, Ending balance | 4 years 3 months 19 days |
Options Exercisable, Beginning balance | shares | 8,100,500 |
Options Exercisable, Ending balance | shares | 8,100,500 |
Options Exercisable, Weighted Average Exercise Price, Beginning balance | $ 0.07 |
Options Exercisable, Weighted Average Exercise Price, Ending balance | 0.07 |
Options Exercisable, Weighted Average Fair Value, Beginning balance | 0.07 |
Options Exercisable, Weighted Average Fair Value, Ending balance | $ 0.07 |
Options Exercisable, Weighted Average Remaining Contractual Life, Beginning balance | 4 years 9 months 18 days |
Options Exercisable, Weighted Average Remaining Contractual Life, Ending balance | 4 years 3 months 19 days |
Segment Information (Narrative)
Segment Information (Narrative) (Details) - Segments | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Segment Information (Textual) | ||||
Number of operating segments | 2 | |||
Percentage of net revenues | 17.00% | 10.00% | 10.00% | 10.00% |
Segment Information (Schedule o
Segment Information (Schedule of Selected Consolidated Financial Information for Andrea's Segments) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Summary of condensed consolidated interim financial information for Andrea's segments | |||||
Net product revenues | $ 208,327 | $ 552,449 | $ 586,082 | $ 975,129 | |
Service related revenues | 43,200 | 5,760 | 43,200 | 13,560 | |
License revenues | 46,988 | 12,684 | 51,884 | 27,844 | |
Operating (loss) income | (225,969) | (56,215) | (404,257) | (236,451) | |
Depreciation and amortization | 16,999 | 20,235 | 32,530 | 42,102 | |
Assets | 1,031,263 | 1,031,263 | $ 1,289,471 | ||
Total long lived assets | 276,792 | 276,792 | 317,645 | ||
Purchases of property and equipment | 5,989 | ||||
Payments for patents and trademarks | 7,038 | 867 | 13,256 | 4,958 | |
Patent Monetization [Member] | |||||
Summary of condensed consolidated interim financial information for Andrea's segments | |||||
Net product revenues | |||||
Service related revenues | |||||
License revenues | 163 | 155 | 302 | 537 | |
Operating (loss) income | (95,411) | (119,994) | (184,543) | (217,451) | |
Depreciation and amortization | 6,283 | 6,501 | 11,800 | 13,819 | |
Assets | 274,863 | 274,863 | 257,685 | ||
Total long lived assets | 110,381 | 110,381 | 115,562 | ||
Purchases of property and equipment | |||||
Payments for patents and trademarks | 3,519 | 433 | 6,628 | 2,479 | |
Andrea DSP Microphone and Audio Software Products [Member] | |||||
Summary of condensed consolidated interim financial information for Andrea's segments | |||||
Net product revenues | 208,327 | 552,449 | 586,082 | 975,129 | |
Service related revenues | 43,200 | 5,760 | 43,200 | 13,560 | |
License revenues | 3,625 | 6,769 | 8,382 | 13,747 | |
Operating (loss) income | (130,558) | 63,779 | (219,714) | (19,000) | |
Depreciation and amortization | 10,716 | 13,734 | 20,730 | 28,283 | |
Assets | 756,400 | 756,400 | 1,031,786 | ||
Total long lived assets | 166,411 | 166,411 | $ 202,083 | ||
Purchases of property and equipment | 5,989 | ||||
Payments for patents and trademarks | $ 3,519 | $ 434 | $ 6,628 | $ 2,479 |
Segment Information (Schedule_2
Segment Information (Schedule of Total Revenues and Accounts Receivable by Geographic Area) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||||||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |||||
Summary of total revenues and accounts receivable by geographic area | |||||||||
Total Revenues | $ 255,315 | $ 565,133 | $ 637,966 | $ 1,002,973 | |||||
Accounts Receivable [Member] | |||||||||
Summary of total revenues and accounts receivable by geographic area | |||||||||
Accounts receivable | 123,588 | 123,588 | $ 378,179 | ||||||
United States | Net Revenue [Member] | |||||||||
Summary of total revenues and accounts receivable by geographic area | |||||||||
Total Revenues | 175,190 | 417,789 | 463,528 | 801,051 | |||||
United States | Accounts Receivable [Member] | |||||||||
Summary of total revenues and accounts receivable by geographic area | |||||||||
Accounts receivable | 103,084 | 103,084 | 218,935 | ||||||
Foreign Country Segment [Member] | Net Revenue [Member] | |||||||||
Summary of total revenues and accounts receivable by geographic area | |||||||||
Total Revenues | 80,125 | [1] | $ 147,344 | [1] | 174,438 | [2] | $ 201,922 | [2] | |
Foreign Country Segment [Member] | Accounts Receivable [Member] | |||||||||
Summary of total revenues and accounts receivable by geographic area | |||||||||
Accounts receivable | $ 20,504 | $ 20,504 | $ 159,244 | ||||||
[1] | Net revenues to People's Republic of China represented 17% of total net revenues for the three months ended June 30, 2020. Net revenues to any one foreign country did not exceed 10% for the three months ended June 30, 2019. | ||||||||
[2] | Net revenues to any one foreign country did not exceed 10% for the six months ended June 30, 2020 or June 30, 2019. |