Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Sep. 30, 2015 | Nov. 13, 2015 | |
Document And Entity Information | ||
Entity Registrant Name | TETRIDYN SOLUTIONS INC | |
Entity Central Index Key | 827,099 | |
Current Fiscal Year End Date | --12-31 | |
Entity Well-known Seasoned Issuer | No | |
Entity Voluntary Filers | Yes | |
Entity Current Reporting Status | No | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 53,404,140 | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q3 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2015 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Sep. 30, 2015 | Dec. 31, 2014 |
Current Assets | ||
Cash | $ 4,236 | $ 178 |
Prepaid expenses | 2,500 | 0 |
Total Current Assets | 6,736 | 178 |
Total Assets | 6,736 | 178 |
Current Liabilities | ||
Accounts payable | 489,413 | 406,705 |
Accrued liabilities | 305,762 | 353,749 |
Customer deposits | 0 | 3,445 |
Notes payable, current portion | 299,612 | 299,612 |
Convertible note payable to related party, current portion | 423,269 | 320,246 |
Total Current Liabilities | 1,518,056 | 1,383,757 |
Long-Term Liabilities | ||
Total Liabilities | 1,518,056 | $ 1,383,757 |
COMMITMENTS AND CONTINGENCIES (See Note 7) | ||
STOCKHOLDERS' DEFICIT | ||
Preferred stock - $0.001 par value Authorized: 5,000,000 shares, issued and outstanding: 0 shares and 1,200,000 shares, respectively | 0 | $ 1,200 |
Common stock - $0.001 par value authorized: 100,000,000 shares, issued and outstanding: 53,404,140 shares and 24,031,863 shares, respectively | 53,404 | 24,032 |
Additional paid-in capital | 3,140,324 | 3,018,496 |
Accumulated deficit | (4,705,048) | (4,427,307) |
Total Stockholders' Deficit | (1,511,320) | (1,383,579) |
Total Liabilities and Stockholders' Deficit | $ 6,736 | $ 178 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Preferred Stock, Par Value | $ 0.001 | $ 0.001 |
Preferred Stock, Shares Authorized (in shares) | 5,000,000 | 5,000,000 |
Preferred Stock, Shares Issued (in shares) | 0 | 1,200,000 |
Preferred Stock, Shares Outstanding (in shares) | 0 | 1,200,000 |
Common Stock, Par Value (in dollars per share) | $ 0.001 | $ 0.001 |
Common Stock, Shares Authorized (in shares) | 100,000,000 | 100,000,000 |
Common Stock, Shares Issued (in shares) | 53,404,140 | 24,031,863 |
Common Stock, Shares Outstanding (in shares) | 53,404,140 | 24,031,863 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Income - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Income Statement [Abstract] | ||||
Revenue | $ 93 | $ 1,613 | $ 3,856 | $ 6,584 |
Cost of Revenue | 0 | 0 | 40 | 3,099 |
Gross Profit | 93 | 1,613 | 3,816 | 3,485 |
Operating Expenses | ||||
General and administrative | 19,508 | (214) | 45,838 | 19,387 |
Professional fees | 100,927 | 5,525 | 169,737 | 7,095 |
Research and development | 0 | 0 | 0 | 341 |
Total Operating Expenses | 120,435 | 5,311 | 215,575 | 26,823 |
Net Loss from Operations | (120,342) | (3,698) | (211,759) | (23,338) |
Other Expenses | ||||
Sale of securities | 0 | 75,000 | 0 | 75,000 |
Interest Expense | (43,300) | (13,217) | (65,982) | (39,751) |
Total Other Expenses | (43,300) | 61,783 | (65,982) | 35,249 |
Net Loss before Provision for Income Taxes | (163,642) | 58,085 | (277,741) | 11,911 |
Provision for Income Taxes | 0 | 0 | 0 | 0 |
Net Loss | $ (163,642) | $ 58,085 | $ (277,741) | $ 11,911 |
Total Basic and Diluted Loss Per Common Share | $ 0 | $ 0 | $ (0.01) | $ 0 |
Basic and Diluted Weighted-Average Common Shares Outstanding | 53,404,140 | 24,031,863 | 45,765,196 | 24,031,863 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Cash flows from operating activities: | ||
Net Loss | $ (277,741) | $ 11,911 |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation | 0 | 2,701 |
In-kind contribution of rent | 0 | 4,350 |
In-kind contribution of executive salaries | 0 | 12,394 |
Amortization of debt discount | 28,889 | 0 |
Gain on sale of securities | 0 | (75,000) |
Changes in operating assets and liabilities: | ||
Accounts receivable | 0 | 1,960 |
Prepaid expenses | 2,500 | 0 |
Accrued expenses | 26,147 | 28,818 |
Accounts payable | 82,708 | (26,112) |
Customer deposits | (3,445) | (3,424) |
Net Cash Used in Operating Activities | (145,942) | (42,402) |
Cash Flows from Investing Activities | ||
Proceeds from sale of securities | 0 | 75,000 |
Net Cash Provided by Investing Activities | 0 | 75,000 |
Cash Flows from Financing Activities | ||
Proceeds from related party note payable | 50,000 | 0 |
Proceeds from sale of common stock | 100,000 | 0 |
Net Cash Provided by Financing Activities | 150,000 | 0 |
Net Increase in Cash | 4,058 | 32,598 |
Cash at Beginning of Period | 178 | 11,458 |
Cash at End of Period | 4,236 | 44,056 |
Supplemental Disclosure of Cash Flow Information: | ||
Cash paid for income taxes | 0 | 0 |
Cash paid for interest expense and lines of credit | 12,741 | 10,814 |
Noncash Transactions: | ||
Convertible note payable issued in exchange for existing convertible notes payable | 394,380 | 0 |
Cancellation of preferred stock | 1,200 | 0 |
Beneficial conversion feature on a convertible note payable | $ 50,000 | $ 0 |
1. Nature of Business and Basis
1. Nature of Business and Basis of Presentation | 9 Months Ended |
Sep. 30, 2015 | |
Nature Of Business And Basis Of Presentation | |
Nature of Business and Basis of Presentation | TetriDyn Solutions, Inc. (the Company), optimizes business and information technology (IT) processes by using systems engineering methodologies, strategic planning, and system integration to develop radio-frequency identification products to address location tracking issues in the healthcare industry, including issues surrounding patient care; optimization of business processes for healthcare providers; improved reporting of incidents; and increased revenues for provided services. Prior to 2015, as the Companys marketing efforts were constrained by shortages of capital and management resources, it sought to obtain management and entrepreneurial services as well as new external funding as a bridge to marketing its Silver Key Solutions ChargeCatcher Silver Key Solutions ChargeCatcher Silver Key Solutions During 2015, the Company also focused on completing a possible acquisition of Ocean Thermal Energy Corporation, a Delaware corporation (OTE), which is developing deep-water hydrothermal technologies to provide renewable energy and drinkable water. See The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America, or GAAP, and the rules and regulations of the Securities and Exchange Commission for interim financial information. Accordingly, they do not include all the information necessary for a comprehensive presentation of financial position and results of operations. It is managements opinion, however, that all material adjustments (consisting of normal recurring adjustments) have been made that are necessary for a fair financial statements presentation. The results for the interim period are not necessarily indicative of the results to be expected for the year. The interim condensed consolidated financial statements should be read in conjunction with the Companys Annual Report on Form 10-K for the year ended December 31, 2014, including the financial statements and notes thereto. |
2. Organization and Summary of
2. Organization and Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2015 | |
Notes To Financial Statements | |
Organization and Summary of Significant Accounting Policies | Principles of Consolidation Business Segments Use of Estimates Cash and Cash Equivalents Revenue Recognition The Company had one and six customers that represented more than 10% of sales for the three- and nine-month periods ended September 30, 2015, respectively, and two and three customers that represented more than 10% of sales for the three- or nine-month periods ended September 30, 2014, as follows: Three Months Ended September 30, 2015 Nine Months Ended September 30, 2015 Three Months Ended September 30, 2014 Nine Months Ended September 30, 2014 Customer A -- 25% 76% 15% Customer B -- 17% 24% -- Customer C -- 14% -- 25% Customer D 100% 12% -- 56% Customer E -- 12% -- -- Customer F -- 11% -- -- Going Concern Income Taxes Income Taxes Fair Value of Financial Instruments Fair Value Measurements and Disclosures Level 1 Level 1 applies to assets or liabilities for which there are quoted prices in active markets for identical assets or liabilities. Level 2 Level 2 applies to assets or liabilities for which there are inputs other than quoted prices that are observable for the asset or liability such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical assets or liabilities in markets with insufficient volume or infrequent transactions (less active markets); or model-derived valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data. Level 3 Level 3 applies to assets or liabilities for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities. The Companys financial instruments consist of accounts receivable, prepaid expenses, accounts payable, accrued liabilities, customer deposits, notes payable, and related-party convertible notes payable. Pursuant to ASC 820, Fair Value Measurements and Disclosures Financial Instruments Property and Equipment Net Loss per Common Share Earnings Per Share Stock-Based Compensation Equity instruments issued to other than employees are recorded on the basis of the fair value of the instruments, as required by ASC 505, Share-Based Payment Accounting for Equity Instruments That Are Issued to Other Than Employees for Acquiring, or in Conjunction with Selling, Goods or Services, Effective January 1, 2006, the Company adopted the provisions of ASC 505 for its stock-based compensation plan. Under ASC 505, all employee stock-based compensation will be measured at the grant date, based on the fair value of the option or award, and will be recognized as an expense over the requisite service period, which is typically through the date the options or awards vest. Furthermore, compensation costs will also be recognized for the unvested portion over the remaining requisite service period, using the grant-date fair value measured under the provisions of ASC 505 for pro forma and disclosure purposes. |
3. Recent Accounting Pronouncem
3. Recent Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2015 | |
Recent Accounting Pronouncements | |
Recent Accounting Pronouncements | In September 2014, the FASB issued Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers Revenue Recognition Revenue RecognitionConstruction-Type and Production-Type Contracts In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial StatementsGoing Concern In April 2015, the FASB issued ASU No. 2015-03, Interest Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs, In April 2015, the FASB issued ASU No. 2015-05, Intangibles In August 2015, the FASB issued ASU No. 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date All other newly issued accounting pronouncements, but not yet effective, have been deemed either immaterial or not applicable. |
4. Accounts Payable and Accrued
4. Accounts Payable and Accrued Liabilities | 9 Months Ended |
Sep. 30, 2015 | |
Notes To Financial Statements | |
Accounts Payable and Accrued Liabilities | As of September 30, 2015, the Company had $489,413 in accounts payable, $261,609 of which was due on multiple revolving credit cards under the name of the Companys former chief executive officer (now deceased) or the name of the Companys current president. These amounts represent advances to the Company from funds borrowed on credit cards in the names of these officers as an accommodation to the Company at a time when it was unable to obtain advances on its own credit. The obligations bear varying rates of interest between 5.25% and 29.99%. The Company is responsible for reimbursing Dave Hempstead, its former chief executive officer, principal financial officer, and director, for personal credit card account expenditures on its behalf. The balance due on these credit card accounts was $261,609 as of the date of Mr. Hempsteads death on April 26, 2013. The credit card companies have not sought collection from assets owned jointly with Mr. Hempsteads surviving spouse, who in turn advised the Company on July 15, 2015, that she will not seek reimbursement from the Company unless the credit card companies hereafter seek payment. The full amount of this liability has been recorded and disclosed as part of accounts payable and will continue to be accrued until the statute of limitations has expired. As of September 30, 2015, the Company had $305,762 in accrued liabilities. The accrued liabilities included $213,436 in unpaid salaries to two of its officers, which were assigned by the officers to JPF Venture Group, Inc. (JPF), pursuant to an Investment Agreement dated March 12, 2015 ( see |
5. Convertible Notes Payable to
5. Convertible Notes Payable to Related Parties | 9 Months Ended |
Sep. 30, 2015 | |
Notes To Financial Statements | |
Convertible Notes Payable to Related Parties | In 2010, the Company borrowed $150,000 in three separate loans from two of its officers and directors, repayable pursuant to various convertible promissory notes. The terms of the notes are as follows: (a) no interest will accrue if the note is repaid within 60 days; (b) if the note is not repaid within 60 days, the Company is obligated to pay 10% for costs associated with securing the funds; (c) if the loan is repaid within one year, no annual interest rate will be charged; however, if the loan is not repaid within one year, the note will accrue interest at 6% per annum, beginning on the one-year anniversary date of the note; (d) the lenders are authorized to convert part or all of the note balance and accrued interest, if any, into the Companys common stock at its fair value at any time while the note is outstanding; and (e) the loans due date for full repayment is December 31, 2013. Since the loans were not paid within 60 days, the Company is obligated to pay $15,000 for costs associated with securing the funds and accrued interest. The notes were not paid when due. In 2011, the Company borrowed $125,000 in five separate loans from two of its officers and directors, repayable pursuant to various convertible promissory notes. The terms of the notes are as follows: (a) no interest will accrue if the note is repaid within 60 days; (b) if the note is not repaid within 60 days, the Company is obligated to pay 10% for costs associated with securing the funds; (c) if the loan is repaid within one year, no annual interest rate will be charged; however, if the loan is not repaid within one year, the note will accrue interest at 6% per annum, beginning on the one-year anniversary date of the note; (d) the lenders are authorized to convert part or all of the note balance and accrued interest, if any, into the Companys common stock at its fair value at any time while the note is outstanding; and (e) the loans due date for full repayment is December 31, 2014. Since the loans were not paid within 60 days, the Company is obligated to pay $12,500 for costs associated with securing the funds. The notes were not paid when due. In 2012, the Company borrowed $45,500 in three separate loans from two of its officers and directors, repayable pursuant to various convertible promissory notes. The terms of the notes are as follows: (a) no interest will accrue if the note is repaid within 60 days; (b) if the note is not repaid within 60 days, the Company is obligated to pay 10% for costs associated with securing the funds; (c) if the loan is repaid within one year, no annual interest rate will be charged; however, if the loan is not repaid within one year, the note will accrue interest at 6% per annum, beginning on the one-year anniversary date of the note; (d) the lenders are authorized to convert part or all of the note balance and accrued interest, if any, into the Companys common stock at its fair value at any time while the note is outstanding; and (e) the loans due date for full repayment is December 31, 2014. Since the loans were not paid within 60 days, the Company is obligated to pay $4,550 for costs associated with securing the funds. The notes were not paid when due. On March 19, 2015, the Company exchanged the above convertible notes payable to its officers and directors in the aggregate principal amount of $320,246, plus accrued but unpaid interest of $74,134, for an aggregate of $394,380 as of December 31, 2014, into a single, $394,380 consolidated convertible note dated December 31, 2014. The new consolidated convertible note has payment and other terms identical to the notes exchanged, except that the conversion provisions were changed from a conversion price to be equal to the stocks fair value as of the conversion date to a fixed conversion price under the consolidated note of $0.025 per share, the approximate market price of the Companys common stock as of the date of the issuance of the consolidated note in March 2015. The note is due and payable within 90 days after demand. On March 23, 2015, the officers and directors holding this consolidated note assigned it to JPF pursuant to the Investment Agreement. See On June 23, 2015, the Company agreed to borrow $50,000 from its principal stockholder, JPF, pursuant to a promissory note. The Company received $25,000 on July 31, 2015, and the remaining $25,000 on August 18, 2015. The terms of the note are as follows: (i) interest is payable at 6% per annum; (ii) the note is payable 90 days after demand; and (iii) payee is authorized to convert part or all of the note balance and accrued interest, if any, into shares of the Companys common stock at the rate of one share each for $0.03 of principal amount of the note. JPF is an investment entity that is majority-owned by Jeremy P. Feakins, a director, chief executive officer, and chief financial officer of the Company. As of September 30, 2015, the outstanding balance was $50,000, plus accrued interest of $433. The Company recorded a debt discount of $50,000 for the fair value of the beneficial conversion feature. As of September 30, 2015, the Company amortized $28,889 of the debt discount. |
6. Notes Payable in Default
6. Notes Payable in Default | 9 Months Ended |
Sep. 30, 2015 | |
Notes To Financial Statements | |
Notes Payable in Default | As of October 25, 2011, a loan from one economic development entity was in default. The loan principal was $50,000, with accrued interest of $12,538 through September 30, 2015. The Company plans to work with the entity to arrange for an extension on the loan. As of September 30, 2015, the Company was delinquent in payments on two loans to a second economic development entity. The Company owed this economic entity $73,470 in late payments, with an outstanding balance of $163,791 and accrued interest of $34,437 as of September 30, 2015. Both loans were guaranteed by two of the Companys officers. One loan is secured by liens on intangible software assets, and the other loan is secured by the officers personal property. The Company is working with this entity to bring the payments current as soon as cash flow permits. As of September 30, 2015, the Company was delinquent in payments on a loan to a third economic development entity. The Company owed the third economic entity $88,070 in late payments, with an outstanding balance of $85,821 and accrued interest of $20,532 as of September 30, 2015. This loan is secured by a junior lien on all the Companys assets and shares of the founders common stock. The Company is working with this entity to bring the payments current as soon as cash flow permits. |
7. Commitments and Contingencie
7. Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2015 | |
Notes To Financial Statements | |
Commitments and Contingencies | On March 1, 2015, the Company entered into a lease agreement with a company whose managing partner is the Companys Chief Executive Officer. Per the agreement, the Company rents space through February 28, 2016. The monthly rent is $2,500 per month and commenced on April 1, 2015, when the Company began occupying the space. Rent expense per this agreement is $15,000 for the nine months ended September 30, 2015. On March 23, 2015, the Company entered into an Agreement and Plan of Merger dated March 12, 2015 (the Merger Agreement) with OTE. Before entering into this agreement, there was no material relationship between the Company and its affiliates and OTE and its affiliates. Merger Terms Conditions to Completion of Merger The California application for a Fairness Hearing is now pending. The Fairness Hearing and permitting application are significant and quite technical, and the determination of whether the Merger will meet the California fairness requirements will be subject to the discretion of the hearing officer. No assurance can be given as to whether or not the hearing will result in the denial of the application, an adjustment of the terms of the Merger, the issuance of a permit meeting the conditions of Securities Act Section 3(a)(10) exemption, or other action. If California issues a permit availing the Company of the exemption under Securities Act Section 3(a)(10) and the other conditions to closing the Merger are met, the Merger will be completed promptly thereafter. If California does not issue the permit or the other Merger conditions are not satisfied: (i) the Merger Agreement will terminate; (ii) the Company and OTE will remain as separate companies; and (iii) JPF will continue as the 55% controlling stockholder of the Company as it seeks to advance commercialization of its technologies and pursue other opportunities. Completion of the Merger is also conditioned on the continuing accuracy of the representations and warranties of the respective parties to the Merger Agreement, the satisfaction of certain conditions, and other covenants, many of which may be waived by either party. Reverse Split to Facilitate Merger As a result of the Reverse Split, the Company will pay each record holder of less than 4.6972 shares of the Companys common stock immediately before the Reverse Split (the Minority Stockholders) cash in the amount of $0.03 per share of the Companys common stock, without interest (which amount includes a 20% premium over the fair market value of $0.025 per share as of March 3, 2015, as determined by the Companys board of directors), for each share of the Companys common stock held immediately before the Reverse Split, and the Minority Stockholders will no longer be stockholders of the Company. Each record holder of 4.6972 or more shares of the Companys common stock immediately before the Reverse Split will own approximately one-fifth of the number of shares of the Companys common stock held by such stockholder immediately before the Reverse Split. Post-Merger Business of OTE and the Company OTE is interested in the commercial potential of proprietary technologies being developed by the Company as opportunities for future business diversification. Further, OTE recognizes that the Companys status as a company that is subject to the periodic reporting requirements of Section 15(d) of the Securities Exchange Act of 1934, as amended (the Exchange Act), may enhance its access to the capital markets to fund future projects. After the Merger, the combined enterprise intends to continue opportunistically to develop the lines of business of both the Company and OTE as commercial opportunities are identified for one, the other, or both, after considering funding availability, potential financial returns, and related risks. Ownership of the Company Following the Merger and Reverse Split If the Merger is completed, the JPF Stock (as defined below) purchased pursuant to the Investment Agreement will be returned to the Company and cancelled, and the former OTE stockholders will own 95% of the Companys outstanding common stock (after giving effect to the exercise of OTE warrants and the conversion of OTE notes). The pre-Merger company shareholders will have a 5% interest in the post-Merger company, without giving effect to the conversion of the September 23, 2015, convertible note issued to JPF, and the officers and directors of OTE will be the officers and directors of the post-Merger company. JPF will also continue to be a principal creditor of the Company. |
8. Stockholder's Deficit
8. Stockholder's Deficit | 9 Months Ended |
Sep. 30, 2015 | |
Stockholders Deficit | |
Stockholder's Deficit | Investment Agreement Under the terms of the Investment Agreement, JPF purchased for $100,000 in cash 29,372,277 shares of the Companys common stock at $0.003405 per share (the JPF Stock) and a warrant to purchase up to 1,033,585 shares of the Companys common stock at an exercise price of $0.003 per share. JPF is an investment entity that is majority-owned by Jeremy P. Feakins, the Chairman and Chief Executive Officer of OTE. The JPF Stock represents a 55% ownership interest by JPF in the Company, without giving effect to the issuance of additional shares of the Companys common stock on the conversion of outstanding convertible notes. JPFs investment is being used principally to initiate and pursue an updated technical and commercialization review of the Companys intellectual properties with a view toward possible broadened marketing introduction and, in general, to advance the Companys business activities and to bring its regulatory filings current. The terms of the Investment Agreement provide that, if the Merger with OTE is consummated, 100% of the JPF Stock will be cancelled and returned to the status of authorized and unissued shares. The purpose of this intended cancellation is to ensure that the Companys current shareholders (excluding JPF) retain a 5% interest in the post-Merger company. If the Merger is not consummated, the JPF Stock will remain outstanding, and JPF will maintain its position as a 55% stockholder in the Company. Concurrently with the execution of the Investment Agreement, the Hempsteads, JPF, and Jeremy P. Feakins entered into an agreement whereby, among other things: (i) JPF agreed to execute supplemental guarantees for the Hempsteads in connection with certain debt obligations to economic development entities owed by the Company and guaranteed by the Hempsteads; (ii) the Hempsteads transferred to JPF the consolidated convertible note payable by the Company to the Hempsteads with an outstanding principal balance of $394,380 as of December 31, 2014, together with accrued and unpaid payroll of $213,436, for a total of $607,816; and (iii) the Hempsteads returned to the Company for cancellation 1,200,000 shares of Series A Preferred Stock. As required by the Investment Agreement, two designees of JPF, Jeremy P. Feakins and Peter Wolfson, were appointed as directors of the Company to replace incumbent directors Orville J. Hendrickson and Larry J. Ybarrondo, who resigned. Preferred Stock In-Kind Contribution |
9. Subsequent Events
9. Subsequent Events | 9 Months Ended |
Sep. 30, 2015 | |
Notes To Financial Statements | |
Subsequent Events | Letter of Intent with The Ameriglobal Senior Living Group On October 15, 2015, the Company entered into a letter of intent (LOI) with The Ameriglobal Senior Living Group, Inc. (ASLG). The principal terms of the LOI consist of the following two phases: Phase One: The Company and ASLG agree that ASLG will carry out a beta trial of the Companys Silver Key Solution Silver Key Solution Silver Key Solution Phase Two: Provided that the results of the beta trial of the Silver Key Solution Silver Key Solution Loans from JPF Venture Group On October 16, 2015, JPF loaned the Company $1,000, without a formal agreement. On October 29, 2015, JPF loaned the Company an additional $10,000, without a formal agreement. Both unsecured loans are due on demand, with 10% interest. JPF is an investment entity that is majority-owned by Jeremy P. Feakins, a director, chief executive officer, and chief financial officer of the Company. |
2. Organization and Summary o15
2. Organization and Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2015 | |
Organization And Summary Of Significant Accounting Policies Policies | |
Nature of Business | TetriDyn Solutions, Inc. (the Company), optimizes business and information technology (IT) processes by using systems engineering methodologies, strategic planning, and system integration to develop radio-frequency identification products to address location tracking issues in the healthcare industry, including issues surrounding patient care; optimization of business processes for healthcare providers; improved reporting of incidents; and increased revenues for provided services. Prior to 2015, as the Companys marketing efforts were constrained by shortages of capital and management resources, it sought to obtain management and entrepreneurial services as well as new external funding as a bridge to marketing its Silver Key Solutions ChargeCatcher Silver Key Solutions ChargeCatcher Silver Key Solutions During 2015, the Company also focused on completing a possible acquisition of Ocean Thermal Energy Corporation, a Delaware corporation (OTE), which is developing deep-water hydrothermal technologies to provide renewable energy and drinkable water. See The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America, or GAAP, and the rules and regulations of the Securities and Exchange Commission for interim financial information. Accordingly, they do not include all the information necessary for a comprehensive presentation of financial position and results of operations. It is managements opinion, however, that all material adjustments (consisting of normal recurring adjustments) have been made that are necessary for a fair financial statements presentation. The results for the interim period are not necessarily indicative of the results to be expected for the year. The interim condensed consolidated financial statements should be read in conjunction with the Companys Annual Report on Form 10-K for the year ended December 31, 2014, including the financial statements and notes thereto. |
Principles of Consolidation | Principles of Consolidation |
Business Segments | Business Segments |
Use of Estimates | Use of Estimates |
Cash and Cash Equivalents | Cash and Cash Equivalents |
Revenue Recognition | Revenue Recognition The Company had one and six customers that represented more than 10% of sales for the three- and nine-month periods ended September 30, 2015, respectively, and two and three customers that represented more than 10% of sales for the three- or nine-month periods ended September 30, 2014, as follows: Three Months Ended September 30, 2015 Nine Months Ended September 30, 2015 Three Months Ended September 30, 2014 Nine Months Ended September 30, 2014 Customer A -- 25% 76% 15% Customer B -- 17% 24% -- Customer C -- 14% -- 25% Customer D 100% 12% -- 56% Customer E -- 12% -- -- Customer F -- 11% -- -- |
Going Concern | Going Concern |
Income Taxes | Income Taxes Income Taxes |
Fair Value of Financial Instruments | Fair Value of Financial Instruments Fair Value Measurements and Disclosures Level 1 Level 1 applies to assets or liabilities for which there are quoted prices in active markets for identical assets or liabilities. Level 2 Level 2 applies to assets or liabilities for which there are inputs other than quoted prices that are observable for the asset or liability such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical assets or liabilities in markets with insufficient volume or infrequent transactions (less active markets); or model-derived valuations in which significant inputs are observable or can be derived principally from, or corroborated by, observable market data. Level 3 Level 3 applies to assets or liabilities for which there are unobservable inputs to the valuation methodology that are significant to the measurement of the fair value of the assets or liabilities. The Companys financial instruments consist of accounts receivable, prepaid expenses, accounts payable, accrued liabilities, customer deposits, notes payable, and related-party convertible notes payable. Pursuant to ASC 820, Fair Value Measurements and Disclosures Financial Instruments |
Property and Equipment | Property and Equipment |
Net Loss per Common Share | Net Loss per Common Share Earnings Per Share |
Stock-Based Compensation | Stock-Based Compensation Equity instruments issued to other than employees are recorded on the basis of the fair value of the instruments, as required by ASC 505, Share-Based Payment Accounting for Equity Instruments That Are Issued to Other Than Employees for Acquiring, or in Conjunction with Selling, Goods or Services, Effective January 1, 2006, the Company adopted the provisions of ASC 505 for its stock-based compensation plan. Under ASC 505, all employee stock-based compensation will be measured at the grant date, based on the fair value of the option or award, and will be recognized as an expense over the requisite service period, which is typically through the date the options or awards vest. Furthermore, compensation costs will also be recognized for the unvested portion over the remaining requisite service period, using the grant-date fair value measured under the provisions of ASC 505 for pro forma and disclosure purposes. |
2. Organization and Summary o16
2. Organization and Summary of Significant Accounting Policies (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Organization And Summary Of Significant Accounting Policies Tables | |
Summary of major customers | Three Months Ended September 30, 2015 Nine Months Ended September 30, 2015 Three Months Ended September 30, 2014 Nine Months Ended September 30, 2014 Customer A -- 25% 76% 15% Customer B -- 17% 24% -- Customer C -- 14% -- 25% Customer D 100% 12% -- 56% Customer E -- 12% -- -- Customer F -- 11% -- -- |
2. Organization and Summary o17
2. Organization and Summary of Significant Accounting Policies (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Customer A | ||||
Percentage of sale from major customer | 0.00% | 76.00% | 25.00% | 15.00% |
Customer B | ||||
Percentage of sale from major customer | 0.00% | 24.00% | 17.00% | 0.00% |
Customer C | ||||
Percentage of sale from major customer | 0.00% | 0.00% | 14.00% | 25.00% |
Customer D | ||||
Percentage of sale from major customer | 100.00% | 0.00% | 12.00% | 56.00% |
Customer E | ||||
Percentage of sale from major customer | 0.00% | 0.00% | 12.00% | 0.00% |
Customer F | ||||
Percentage of sale from major customer | 0.00% | 0.00% | 11.00% | 0.00% |
2. Organization and Summary o18
2. Organization and Summary of Significant Accounting Policies (Details Narrative) - USD ($) | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | |
Notes To Financial Statements | |||
Net Loss | $ (163,642) | $ (277,741) | |
Net Cash Provided by (Used in) Operating Activities | (145,942) | $ (42,402) | |
Working Capital | (1,511,320) | $ (1,383,579) | |
Stockholders' Equity Attributable to Parent | $ (1,511,320) | $ (1,383,579) |
4. Accounts Payable and Accru19
4. Accounts Payable and Accrued Liabilities (Details Narrative) - USD ($) | Sep. 30, 2015 | Dec. 31, 2014 |
Notes To Financial Statements | ||
Accounts payable, net | $ 489,413 | $ 406,705 |
Revolving Credit Arrangements | 261,609 | |
Accrued liabilities | $ 305,762 | $ 353,749 |
5. Convertible Notes Payable 20
5. Convertible Notes Payable to Related Party (Details Narrative) - USD ($) | Sep. 30, 2015 | Dec. 31, 2014 |
Notes To Financial Statements | ||
Convertible notes payable to related party | $ 423,269 | $ 320,246 |
Related Party Note Payables Accrued Interest | $ 12,642 | $ 74,134 |