AfterMaster (AFTM) 10-Q/A 20 Nov 13 2014 Q1 Quarterly report (amended) Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Sep. 30, 2013	Nov. 19, 2013
Document And Entity Information	'	'
Entity Registrant Name	'STUDIO ONE MEDIA, INC.	'
Entity Central Index Key	'0000836809	'
Document Type	'10-Q	'
Document Period End Date	30-Sep-13	'
Amendment Flag	'false	'
Current Fiscal Year End Date	'--06-30	'
Is Entity a Well-known Seasoned Issuer?	'No	'
Is Entity a Voluntary Filer?	'No	'
Is Entity's Reporting Status Current?	'Yes	'
Entity Filer Category	'Smaller Reporting Company	'
Entity Common Stock, Shares Outstanding	'	55,942,494
Document Fiscal Period Focus	'Q1	'
Document Fiscal Year Focus	'2014	'

Consolidated_Balance_Sheets

Consolidated Balance Sheets (USD $)	Sep. 30, 2013	Jun. 30, 2013
ASSETS	'	'
Cash	$143,843	$165,258
Other Receivable	19,867	16,240
Other Current Assets	34,191	19,547
Total Current Assets	197,901	201,045
Property and Equipment, net	257,044	326,242
Property and Equipment, yet to be placed in service	93,357	93,357
Intangible Assets, net	21,332	16,689
Other Assets	'	'
Deposits	99,007	161,229
Total Other Long-Term Assets	99,007	161,229
Total Assets	668,641	798,562
Current Liabilities	'	'
Accounts Payable and Accrued Expenses	917,134	753,115
Accrued Expenses	56,456	50,725
Deferred Revenue	3,500	24,182
Accrued Director Compensation	109,154	167,659
Lease Payable	29,649	21,743
Notes Payable - Related Party	575,000	575,000
Notes Payable	40,488	40,488
Convertible Notes Payable - Related Party	2,159,511	2,096,416
Convertible Notes payable	384,204	306,366
Total Current Liabilities	4,275,096	4,035,694
Long-Term Liabilities	'	'
Lease Payable, net of current portion	65,228	73,134
Convertible related party notes payable, net of discount of $3,867 and $321,300, respectively	1,725,000	1,724,439
Total Liabilities	6,065,324	5,833,267
Stockholders' Deficit	'	'
Convertible Preferred stock, Series A; $0.001 par value; 100,000 shares authorized, 15,500 shares issued and outstanding	16	16
Convertible Preferred stock, Series A-1; $0.001 par value; 3,000,000 shares authorized, 696,000 shares issued and outstanding	696	696
Convertible Preferred stock, Series B; $0.001 par value; 200,000 shares authorized, 3,500 shares issued and outstanding	3	3
Convertible Preferred stock, Series C; $0.001 par value; 1,000,000 shares authorized, 13,404 shares issued and outstanding	13	13
Convertible Preferred stock, Series D; $0.001 par value; 375,000 shares authorized, 130,000 shares issued and outstanding	130	130
Convertible Preferred stock, Series E; $0.001 par value; 1,000,000 shares authorized, 275,000 shares issued and outstanding	275	275
Convertible Preferred stock, Series P; $0.001 par value; 600,000 shares authorized, 86,640 shares issued and outstanding	87	87
Convertible Preferred stock, Series S; $0.001 par value; 50,000 shares authorized, -0- shares issued and outstanding	'	'
Common Stock, authorized 100,000,000 shares, par value $0.001; 55,952,494 and 51,244,242 shares issued	55,953	51,243
Additional Paid-In Capital	37,492,045	36,564,046
Accumulated Deficit	-42,945,901	-41,651,214
Total Stockholders' Deficit	-5,396,683	-5,034,705
Total Liabilities and Stockholders' Deficit	$668,641	$798,562

Consolidated_Balance_Sheets_Pa

Consolidated Balance Sheets (Parenthetical) (USD $)	Sep. 30, 2013	Jun. 30, 2013
LIABILITIES AND STOCKHOLDERS' EQUITY	'	'
Common stock, par value	$0.00	$0.00
Common stock, authorized shares	100,000,000	100,000,000
Common stock, issued shares	55,952,494	51,244,242
Common stock, outstanding shares	55,952,494	51,244,242
Series A Convertible Preferred stock	'	'
LIABILITIES AND STOCKHOLDERS' EQUITY	'	'
Convertible preferred stock, par value	$0.00	$0.00
Convertible preferred stock, authorized shares	100,000	100,000
Convertible preferred stock, issued shares	15,500	15,500
Convertible preferred stock, outstanding shares	15,500	15,500
Series A-1 Convertible Preferred stock	'	'
LIABILITIES AND STOCKHOLDERS' EQUITY	'	'
Convertible preferred stock, par value	$0.00	$0.00
Convertible preferred stock, authorized shares	3,000,000	3,000,000
Convertible preferred stock, issued shares	696,000	696,000
Convertible preferred stock, outstanding shares	696,000	696,000
Series B Convertible Preferred stock	'	'
LIABILITIES AND STOCKHOLDERS' EQUITY	'	'
Convertible preferred stock, par value	$0.00	$0.00
Convertible preferred stock, authorized shares	200,000	200,000
Convertible preferred stock, issued shares	3,500	3,500
Convertible preferred stock, outstanding shares	3,500	3,500
Series C Convertible Preferred stock	'	'
LIABILITIES AND STOCKHOLDERS' EQUITY	'	'
Convertible preferred stock, par value	$0.00	$0.00
Convertible preferred stock, authorized shares	1,000,000	1,000,000
Convertible preferred stock, issued shares	13,404	13,404
Convertible preferred stock, outstanding shares	13,404	13,404
Series D Convertible Preferred stock	'	'
LIABILITIES AND STOCKHOLDERS' EQUITY	'	'
Convertible preferred stock, par value	$0.00	$0.00
Convertible preferred stock, authorized shares	375,000	375,000
Convertible preferred stock, issued shares	130,000	130,000
Convertible preferred stock, outstanding shares	130,000	130,000
Series E Convertible Preferred stock	'	'
LIABILITIES AND STOCKHOLDERS' EQUITY	'	'
Convertible preferred stock, par value	$0.00	$0.00
Convertible preferred stock, authorized shares	1,000,000	1,000,000
Convertible preferred stock, issued shares	275,000	275,000
Convertible preferred stock, outstanding shares	275,000	275,000
Series P Convertible Preferred stock	'	'
LIABILITIES AND STOCKHOLDERS' EQUITY	'	'
Convertible preferred stock, par value	$0.00	$0.00
Convertible preferred stock, authorized shares	600,000	600,000
Convertible preferred stock, issued shares	86,640	86,640
Convertible preferred stock, outstanding shares	86,640	86,640
Series S Convertible Preferred stock	'	'
LIABILITIES AND STOCKHOLDERS' EQUITY	'	'
Convertible preferred stock, par value	$0.00	$0.00
Convertible preferred stock, authorized shares	50,000	50,000
Convertible preferred stock, issued shares	0	0
Convertible preferred stock, outstanding shares	0	0

Consolidated_Statements_of_Ope

Consolidated Statements of Operations (USD $)	3 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
REVENUES	'	'
Session Revenues	$20,682	$8,325
Advertising Revenues	'	2,000
AfterMaster Revenues	34,434	10,900
Total Revenues	55,116	21,225
COSTS AND EXPENSES	'	'
Cost of Revenues (Exclusive of Depreciation and Amortization)	84,942	124,646
Depreciation and Amortization Expense	27,914	27,420
General and Administrative Expenses	788,080	879,604
Total Costs and Expenses	900,936	1,031,670
Loss from Operations	-845,820	-1,010,445
Other Income (Expense)	'	'
Interest Expense	-403,191	-331,168
Gain (loss) on Extinguishment of Debt	-45,676	'
Total Other Income (Expense)	-448,867	-331,168
Loss Before Income Taxes	-1,294,687	-1,341,613
NET LOSS	-1,294,687	-1,341,613
Preferred Stock Accretion and Dividends	-17,016	-17,016
NET LOSS ATTRIBUTABLE TO COMMON SHAREHOLDERS	($1,311,703)	($1,358,629)
Basic and Diluted Loss Per Share of Common Stock	($0.02)	($0.04)
Weighted Average Number of Common Shares Outstanding	52,803,773	37,694,181

Consolidated_Statements_of_Cas

Consolidated Statements of Cash Flows (USD $)	3 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
OPERATING ACTIVITIES	'	'
Net Loss	($1,294,687)	($1,341,613)
Adjustments to reconcile to cash from operating activities:	'	'
Depreciation and amortization	27,914	27,420
Share-based compensation - Common Stock	167,139	391,398
Share-based compensation - warrants	47,469	4,910
Common stock issued for services and rent	86,771	'
Amortization of debt discount and issuance costs	113,494	192,737
(Gain)/Loss on extinguishment of debt	45,676	'
Changes in Operating Assets and Liabilities:	'	'
Other receivables	-3,625	-5,300
Other assets	75,578	136,651
Lease payable	'	'
Accounts payable and accrued expenses	291,826	15,879
Net Cash Used in Operating Activities	-442,445	-577,918
INVESTING ACTIVITIES	'	'
Purchase of property and equipment	-9,035	'
Net Cash Used in Investing Activities	-9,035	'
FINANCING ACTIVITIES	'	'
Common Stock issued for cash, net of offering costs of $15,935 and $3,300, respectively	276,065	52,904
Proceeds from notes payable - related party	'	106,700
Proceeds from convertible notes payable - related party	'	100,000
Proceeds from convertible notes payable	160,000	85,000
Repayments of convertible notes payable	-6,000	'
Net Cash Provided by Financing Activities	430,065	344,604
NET CHANGE IN CASH AND CASH EQUIVALIENTS	-21,415	-233,314
CASH AT BEGINNING OF PERIOD	165,258	99,637
CASH AT END OF PERIOD	143,843	-133,677
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:	'	'
Cash paid for interest	612	'
NON CASH FINANCING ACTIVITIES:	'	'
Common Stock and warrants issued for prepaid services	28,000	11,433
Common Stock and warrants issued for interest	201,265	133,677
Warrants and beneficial conversion feature on issuance of convertible debt	$126,000	$49,682

1_CONDENSED_FINANCIAL_STATEMEN

1. CONDENSED FINANCIAL STATEMENTS	3 Months Ended
	Sep. 30, 2013
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'
1. CONDENSED FINANCIAL STATEMENTS	'
	The accompanying financial statements have been prepared by the Company without audit.  In the opinion of management, all adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position, results of operations, and cash flows at September 30, 2013, and for all periods presented herein, have been made.
	Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted.  It is suggested that these condensed financial statements be read in conjunction with the financial statements and notes thereto included in the Company's September 30, 2013 audited financial statements.  The results of operations for the periods ended September 30, 2013 and June 2012 are not necessarily indicative of the operating results for the full years.

2_GOING_CONCERN

2. GOING CONCERN	3 Months Ended
	Sep. 30, 2013
Text Block [Abstract]	'
2. GOING CONCERN	'
	The Company's financial statements are prepared using generally accepted accounting principles in the United States of America applicable to a going concern which contemplates the realization of assets and liquidation of liabilities in the normal course of business. The Company has incurred losses since inception of $42,945,901 and currently has revenues which are insufficient to covering its operating costs which raises substantial doubt about its ability to continue as a going concern. The Company has not yet established an ongoing source of revenues sufficient to cover its operating costs and allow it to continue as a going concern.
	The future of the Company as an operating business will depend on its ability to (1) obtain sufficient capital contributions and/or financing as may be required to sustain its operations and (2) to achieve adequate revenues from its MyStudio and AfterMaster businesses. Management's plan to address these issues includes, (a) continued exercise of tight cost controls to conserve cash, (b) obtaining additional financing, and (c) place in service additional personal recording kiosks.
	The ability of the Company to continue as a going concern is dependent upon its ability to successfully accomplish the plans described in the preceding paragraph and eventually secure other sources of financing and attain profitable operations. The accompanying financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern. If the Company is unable to obtain adequate capital, it could be forced to cease operations.

3_SUMMARY_OF_SIGNIFICANT_ACCOU

3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	3 Months Ended
	Sep. 30, 2013
Notes to Financial Statements	'
3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	'
	Use of Estimates
	The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements and the reported amounts of revenue and expenses during the reporting periods. Significant estimates are made in relation to the allowance for doubtful accounts and the fair value of certain financial instruments.  Actual results could differ from those estimates.
	Principles of Consolidation
	The consolidated financial statements include the accounts of Studio One Media, Inc. and its subsidiaries. All significant inter-company accounts and transactions have been eliminated.
	Fair Value Instruments
	Cash is the Company’s only financial asset or liability required to be recognized at fair value and is measured using quoted prices for active markets for identical assets (Level 1 fair value hierarchy).  The carrying amounts reported in the balance sheets for notes receivable and accounts payable and accrued expenses approximate their fair market value based on the short-term maturity of these instruments.
	The fair value of the Company’s notes payable at September 30, 2013 is approximately $5,044,888 (carrying value of $4,884,203).  Market prices are not available for the Company’s loans due to related parties or its other notes payable, nor are market prices of similar loans available.  The Company determined that the fair value of the notes payable based on its amortized cost basis due to the short term nature and current borrowing terms available to the Company for these instruments.
	Income Taxes
	There is no income tax provision for the three months ended September 30, 2013 and 2012 due to net operating losses for which there is no benefit currently available.
	At September 30, 2013, the Company had deferred tax assets associated with state and federal net operating losses. The Company has recorded a corresponding full valuation allowance as it is more likely than not that some portion of all of the deferred tax assets will not be realized.
	Recent Accounting Pronouncements
	Management has considered all recent accounting pronouncements issued since the last audit of our consolidated financial statements. The Company’s management believes that these recent pronouncements will not have a material effect on the Company’s consolidated financial statements.
	Reclassification
	Certain amounts disclosed in prior periods have been reclassified to conform to current presentation. Such reclassifications are for presentation purposes only and have no effect on the Company’s net loss or financial position in any of the periods presented. The Company has made adjustments to the Balance Sheet and Cashflows Statement in payables and common stock issued for services and rent, respectively.

4_NOTES_PAYABLE

4. NOTES PAYABLE	3 Months Ended
	Sep. 30, 2013
Notes Payable [Abstract]	'
4. NOTES PAYABLE	'
	Convertible Notes Payable
	Convertible notes payable consisted of the following as of September 30, 2013 and June 30, 2013, respectively:
	Convertible Notes Payable – Related Parties
		September 30,			June 30,
		2013			2013
	$250,000 face value, issued in February 2010, interest rate of 12%, matures in February 2013, net of unamortized discount of $0 and $0 at September 30, 2013 and June 30,2013, respectively.		$	250,000	$	250,000
	$250,000 face value, issued in May 2010, interest rate of 12%, matures in May 2013, net of unamortized discount of $0 and $0 at September 30, 2013 and June 30,2013, respectively.			250,000		250,000
	$250,000 face value, issued in August 2010, interest rate of 12%, matures in August 2013, net of unamortized discount of $0 and $24,559 at September 30, 2013 and June 30,2013, respectively.			250,000		225,441
	$250,000 face value, issued in December 2010, interest rate of 12%, matures in December 2013, net of unamortized discount of $19,163 and $40,148 at September 30, 2013 and June 30,2013, respectively.			230,837		209,852
	$250,000 face value, issued in November 2011, interest rate of 15%, matures in November 2012, net of unamortized discount of $0 and $0 as of September 30, 2013 and June 30,2013, respectively.			250,000		250,000
	$250,000 face value, issued in December 2011, interest rate of 15%, matures in June 2013, net of unamortized discount of $0 and $0 as of September 30, 2013 and June 30,2013, respectively.			250,000		250,000
	$100,000 face value, issued in December 2011, interest rate of 15%, matures in June 2013, net of unamortized discount of $0 and $0 as of September 30, 2013 and June 30,2013, respectively.			100,000		100,000
	$300,000 face value, issued in December 2011, interest rate of 15%, matures in June 2013, net of unamortized discount of $0 and $0 as of September 30, 2013 and June 30,2013, respectively.			300,000		300,000
	$100,000 face value, issued in February 2012, interest rate of 15%, matures in August 2013, net of unamortized discount of $0 and $1,168 as of September 30, 2013 and June 30,2013, respectively.			100,000		98,832
	$100,000 face value, issued in February 2012, interest rate of 15%, matures in August 2013, net of unamortized discount of $0 and $1,514 as of September 30, 2013 and June 30,2013, respectively.			100,000		98,486
	$150,000 face value, issued in March 2012, interest rate of 15%, matures in September 2013, net of unamortized discount of $0 and $1,111 as of September 30, 2013 and June 30,2013, respectively.			150,000		148,889
	$200,000 face value, issued in March 2012, interest rate of 15%, matures in September 2013, net of unamortized discount of $0 and $1,814 as of September 30, 2013 and June 30,2013, respectively.			200,000		198,186
	$200,000 face value, issued in April 2012, interest rate of 10%, matures in October 2013, net of unamortized discount of $383 and $2,450 as of September 30, 2013 and June 30,2013, respectively.			199,617		197,550
	$150,000 face value, issued in May 2012, interest rate of 10%, matures in November 2013, net of unamortized discount of $453 and $1,682 as of September 30, 2013 and June 30,2013, respectively.			149,547		148,318
	$125,000 face value, issued in June 2012, interest rate of 10%, matures in December 2013, net of unamortized discount of $793 and $1,897 as of September 30, 2013 and June 30,2013, respectively.			124,207		123,103
	$125,000 face value, issued in June 2012, interest rate of 10%, matures in December 2013, net of unamortized discount of 1,034 and $2,208 as of September 30, 2013 and June 30,2013, respectively.			123,966		122,792
	$50,000 face value, issued in August 2012, interest rate of 10%, matures in February 2014, net of unamortized discount of $0  and $0 as of September 30, 2013 and June 30, 2013.			50,000		50,000
	$50,000 face value, issued in September 2012, interest rate of 10%, matures in March 2014, net of unamortized discount of $0  and $0 as of September 30, 2013 and June 30, 2013.			50,000		50,000
	$100,000 face value, issued in October 2012, interest rate of 10%, matures in April 2014, net of unamortized discount of $1800  and $2,662 as of September 30, 2013 and June 30, 2013.			98,200		97,338
	$100,000 face value, issued in October 2012, interest rate of 10%, matures in April 2014, net of unamortized discount of $1,905  and $2,786 as of September 30, 2013 and June 30, 2013.			98,095		97,214
	$50,000 face value, issued in October 2012, interest rate of 10%, matures in April 2014, net of unamortized discount of $825 and $1,192 as of September 30,2013 and June 30, 2013.			49,175		48,808
	$75,000 face value, issued in November 2012, interest rate of 10%, matures in May 2014, net of unamortized discount of $1,280 and $1,804 as of September 30, 2013 and June 30, 2013.			73,720		73,196
	$25,000 face value, issued in November 2012, interest rate of 10%, matures in May 2014, net of unamortized discount of $833 and $1,159 as of September 30, 2013 and June 30, 2013.			24,167		23,841
	$50,000 face value, issued in November 2012, interest rate of 10%, matures in May 2014, net of unamortized discount of $1,705 and $2,358 as of September 30, 2013 and June 30, 2013.			48,295		47,642
	$50,000 face value, issued in December 2012, interest rate of 10%, matures in June 2014, net of unamortized discount of $1,848 and $2,502 as of September 30, 2013 and June 2013.			48,152		47,498
	$75,000 face value, issued in January 2013, interest rate of 10%, matures in July 2014, net of unamortized discount of $1,579 and $2,111 as of September 30, 2013 and  June 30, 2013.			73,421		72,889
	$25,000 face value, issued in January 2013, interest rate of 10%, matures in July 2014, net of unamortized discount of $477 and $637 as of September 30, 2013 and June 30, 2013.			24,523		24,363
	$35,000 face value, issued in January 2013, interest rate of 10%, matures in July 2014, net of unamortized discount of $822 and $1,099 as of September 30, 2013 and June 30, 2013.			34,178		33,901
	$5,000 face value, issued in February 2013, interest rate of 10%, matures in August 2014, net of unamortized discount of $117 and $156 as of September 30, 2013 and June 30, 2013.			4,883		4,844
	$10,000 face value, issued in February 2013, interest rate of 10%, matures in August 2014, net of unamortized discount of $280 and $374 as of September 30, 2013 and  June 30, 2013.			9,720		9,626
	$50,000 face value, issued in February 2013, interest rate of 10%, matures in August 2014, net of unamortized discount of $1,717 and $2,296 as of September 30, 2013 and June 30, 2013.			48,283		47,704
	$50,000 face value, issued in March 2013, interest rate of 10%, matures in September 2014, net of unamortized discount of $1,309 and $1,746 as of September 30, 2013 and June 30, 2013.			48,691		48,254
	$75,000 face value, issued in April 2013, interest rate of 10%, matures in October 2014, net of unamortized discount of $2,166 and $2,712 as of September 30, 2013 and June 30, 2013.			72,834		72,288
	Total convertible notes payable – related parties			3,884,511		3,820,855
	Less current portion			2,159,511		2,096,416
	Convertible notes payable – related parties, long-term		$	1,725,000	$	1,724,439
	On November 3, 2011, the Company issued a convertible note to a related party for $250,000 that matures one year after issuance. The note bears an interest rate of 15% per annum and is convertible, along with all accrued interest, into shares of the Company’s Common Stock at $0.40 per share. This note includes the following priority repayment provisions: 1) the Company agrees to apply 50% of the first $600,000 of capital raised by the Company in the near term toward all outstanding notes the lender has outstanding with the Company; 2) the Company agrees to apply the first $825,000 of proceeds raised beyond the $600,000 to any outstanding notes the lender has outstanding with the Company; and 3) if the Company is unable to raise additional capital but a large marketing or sales agreement is entered into which provide for revenue in excess of $50,000, all funds received above $50,000 shall be applied to any notes the lender has outstanding with the Company at the time. As of the date of the filing of this report, this note is in default.
	In conjunction with the note, the Company issued detachable warrants to purchase 60,000 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of BCF recorded was $118,455 and the debt discount related to the attached warrants was $24,705, for a total debt discount of $143,160.
	On December 2, 2011, the Company issued a convertible note to a related party for $250,000 that matures in June 2013. The note bears an interest rate of 15% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share. In the event the Company enters into a revenue sharing agreement as specified in the note, the holder, at its option, may accelerate payment of the note up to 50% of the gross revenues received by the Company under the revenue sharing agreement. As of the date of the filing of this report, this note is in default.
	In conjunction with the note, the Company issued detachable warrants to purchase 112,500 shares of the Company’s Common Stock. The warrant has an exercise price of $0.50 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $61,998 and the debt discount related to the attached warrants was $41,998, for a total debt discount of $103,996.
	On December 15, 2011, the Company issued a convertible note to a related party for $100,000 that matures in June 2013. The note bears an interest rate of 15% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share. In the event the Company enters into a revenue sharing agreement as specified in the note, the holder, at its option, may accelerate payment of the note up to 50% of the gross revenues received by the Company under the revenue sharing agreement. As of the date of the filing of this report, this note is in default.
	In conjunction with the note, the Company issued detachable warrants to purchase 50,000 shares of the Company’s Common Stock. The warrant has an exercise price of $0.50 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $24,020 and the debt discount related to the attached warrants was $18,020, for a total debt discount of $40,040.
	On December 30, 2011, the Company issued a convertible note to a related party for $300,000 that matures in June 2013. The note bears an interest rate of 15% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share. In the event the Company enters into a revenue sharing agreement as specified in the note, the holder, at its option, may accelerate payment of the note up to 50% of the gross revenues received by the Company under the revenue sharing agreement. The convertible note is in default and has been reclassified as current.
	In conjunction with the note, the Company issued detachable warrants to purchase 150,000 shares of the Company’s Common Stock. The warrant has an exercise price of $0.50 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $54,934 and the debt discount related to the attached warrants was $51,934, for a total debt discount of $106,868.
	On February 3, 2012, the Company issued a convertible note to a related party for $100,000 that matures in August 2013. The note bears an interest rate of 15% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share. In the event the Company enters into a revenue sharing agreement as specified in the note, the holder, at its option, may accelerate payment of the note up to 50% of the gross revenues received by the Company under the revenue sharing agreement. The convertible note is in default and has been reclassified as current.
	In conjunction with the note, the Company issued detachable warrants to purchase 25,000 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $9,400 and the debt discount related to the attached warrants was $9,400, for a total debt discount of $18,800.
	On February 16, 2012, the Company issued a convertible note to a related party for $100,000 that matures in August 2013. The note bears an interest rate of 15% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share. In the event the Company enters into a revenue sharing agreement as specified in the note, the holder, at its option, may accelerate payment of the note up to 50% of the gross revenues received by the Company under the revenue sharing agreement. The convertible note is in default and has been reclassified as current.
	In conjunction with the note, the Company issued detachable warrants to purchase 25,000 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $8,310 and the debt discount related to the attached warrants was $9,310, for a total debt discount of $17,620.
	On March 2, 2012, the Company issued a convertible note to a related party for $150,000 that matures in September 2013. The note bears an interest rate of 15% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share. In the event the Company enters into a revenue sharing agreement as specified in the note, the holder, at its option, may accelerate payment of the note up to 50% of the gross revenues received by the Company under the revenue sharing agreement. The convertible note is in default and has been reclassified as current.
	In conjunction with the note, the Company issued detachable warrants to purchase 37,500 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $9,525, for a total debt discount of $9,525.
	On March 16, 2012, the Company issued a convertible note to a related party for $200,000 that matures in September 2013. The note bears an interest rate of 15% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share. In the event the Company enters into a revenue sharing agreement as specified in the note, the holder, at its option, may accelerate payment of the note up to 50% of the gross revenues received by the Company under the revenue sharing agreement. The convertible note is in default and has been reclassified as current.
	In conjunction with the note, the Company issued detachable warrants to purchase 50,000 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $12,761, for a total debt discount of $12,761.
	On April 17, 2012, the Company issued a convertible note to a related party for $200,000 that matures in October 2013. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
	In conjunction with the note, the Company issued detachable warrants to purchase 25,000 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $12,315, for a total debt discount of $12,315.
	On May 3, 2012, the Company issued a convertible note to a related party for $150,000 that matures in November 2013. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
	In conjunction with the note, the Company issued detachable warrants to purchase 25,000 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $7,331, for a total debt discount of $7,331.
	On June 5, 2012, the Company issued a convertible note to a related party for $125,000 that matures in December 2013. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
	In conjunction with the note, the Company issued detachable warrants to purchase 25,000 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $6,577, for a total debt discount of $6,577.
On June 20, 2012, the Company issued a convertible note to a related party for $125,000 that matures in December 2013. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
In conjunction with the note, the Company issued detachable warrants to purchase 25,000 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $6,993, for a total debt discount of $6,993.
On August 9, 2012, the Company issued a convertible note to a related party for $50,000 that matures in February 9, 2014. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
In conjunction with the note, the Company issued detachable warrants to purchase 50,000 shares of the Company’s Common Stock. The warrant has an exercise price of $0.25 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $2,356 and the debt discount related to the attached warrants was $2,356, for a total debt discount of $4,712.
On September 10, 2012, the Company issued a convertible note to a related party for $50,000 that matures in March 10, 2014. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
In conjunction with the note, the Company issued detachable warrants to purchase 50,000 shares of the Company’s Common Stock. The warrant has an exercise price of $0.25 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $17,060 and the debt discount related to the attached warrants was $3,505, for a total debt discount of $20,120.
On October 10, 2012, the Company issued a convertible note to a related party for $100,000 that matures in April 10, 2014. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
In conjunction with the note, the Company issued detachable warrants to purchase 25,000 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $5,126, for a total debt discount of $5,126.
On October 17, 2012, the Company issued a convertible note to a related party for $100,000 that matures in April 17, 2014. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
In conjunction with the note, the Company issued detachable warrants to purchase 25,000 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $5,236, for a total debt discount of $5,236.
On October 25, 2012, the Company issued a convertible note to a related party for $50,000 that matures in April 25, 2014. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
In conjunction with the note, the Company issued detachable warrants to purchase 12,500 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $2,181, for a total debt discount of $2,181.
On November 13, 2012, the Company issued a convertible note to a related party for $75,000 that matures in May 13, 2014. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
In conjunction with the note, the Company issued detachable warrants to purchase 18,750 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $3,107, for a total debt discount of $3,107.
On November 23, 2012, the Company issued a convertible note to a related party for $25,000 that matures in May 23, 2014. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
In conjunction with the note, the Company issued detachable warrants to purchase 6,250 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $1,936, for a total debt discount of $1,936.
On November 28, 2012, the Company issued a convertible note to a related party for $50,000 that matures in May 28, 2014. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
In conjunction with the note, the Company issued detachable warrants to purchase 12,500 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $3,877, for a total debt discount of $3,877.
On December 17, 2012, the Company issued a convertible note to a related party for $50,000 that matures in June 17, 2014. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
In conjunction with the note, the Company issued detachable warrants to purchase 12,500 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $3,886, for a total debt discount of $3,886.
On January 14, 2013, the Company issued a convertible note to a related party for $75,000 that matures in July 14, 2014. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
In conjunction with the note, the Company issued detachable warrants to purchase 18,750 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $3,158, for a total debt discount of $3,158.
On January 23, 2013, the Company issued a convertible note to a related party for $25,000 that matures in July 14, 2014. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
In conjunction with the note, the Company issued detachable warrants to purchase 6,250 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $953, for a total debt discount of $953.
On January 31, 2013, the Company issued a convertible note to a related party for $35,000 that matures in July 31, 2014. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
In conjunction with the note, the Company issued detachable warrants to purchase 8,750 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $1,644, for a total debt discount of $1,644.
On February 5, 2013, the Company issued a convertible note to a related party for $5,000 that matures in August 5, 2014. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
In conjunction with the note, the Company issued detachable warrants to purchase 1,250 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $234, for a total debt discount of $234.
On February 14, 2013, the Company issued a convertible note to a related party for $10,000 that matures in August 14, 2014. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
In conjunction with the note, the Company issued detachable warrants to purchase 2,500 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $0 and the debt discount related to the attached warrants was $559, for a total debt discount of $559.
On February 22, 2013, the Company issued a convertible note to a related party for $50,000 that matures in August 22, 2014. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
In conjunction with the note, the Company issued detachable warrants to purchase 18,750 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $3,434, for a total debt discount of $3,434.
On March 6, 2013, the Company issued a convertible note to a related party for $50,000 that matures in September 6, 2013. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share. The convertible note is in default and has been reclassified as current.
In conjunction with the note, the Company issued detachable warrants to purchase 18,750 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $2,605, for a total debt discount of $2,605.
On April 8, 2013, the Company issued a convertible note to a related party for $75,000 that matures in October 8, 2014. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the Company’s Common Stock at $0.50 per share.
In conjunction with the note, the Company issued detachable warrants to purchase 18,750 shares of the Company’s Common Stock. The warrant has an exercise price of $0.40 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $-0- and the debt discount related to the attached warrants was $3,252, for a total debt discount of $3,252.
On April 18, 2013, the Company issued a convertible note to a related party for $30,000 that matures in September 18, 2014. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, after 180 days into shares of the In May, 2013 the company repaid the full amount of the note and accrued interest.
Convertible Notes Payable - Non-Related Parties
Convertible notes payable due to non-related parties consisted of the following as of September 30, 2013 and June 30, 2013, respectively:
		September 30,		June 30,
		2013		2013
$100,000 face value, issued in September 2011, interest rate of 10%, originally matured in December 2011, extended to September 2013, net of unamortized discount of $0 and  $4,064 as of September 30, 2013 and June 30,2013.		$	100,000	$	95,936
$10,000 face value, of which $6,000 has been paid back,issued in October 2011, interest rate of 10%, matures in June 2012, net of unamortized discount of $-0- as of September 30, 2013 and June 30,2013.			4,000		10,000
$15,000 face value, issued in October 2011, interest rate of 10%, matures in June 2012, net of unamortized discount of $-0- as of September 30, 2013 and June 30,2013.			15,000		15,000
$75,000 face value, issued in January 2012, interest rate of 12%, originally matured in June 2013, extended to September 2013, net of unamortized discount of $0 and $3,017 as of September 30, 2013 and June 30,2013.			75,000		71,984
$50,000 face value, of which $9,600 has been paid back, issued in August 2012, interest rate of 10%, matures in February 2013, net of unamortized discount of $-0- as of June 30, 2013.			50,000		50,000
$10,000 face value,  issued in Sepember 2012, interest rate of 10%, matures in March 2013, net of unamortized discount of $-0- as of September 30, 2013 and June 30,2013.			10,000		10,000
$50,000 face value of which $9,600 was converted leaving a $40,400 face value, issued in November 2012, interest rate of -0-%, matures in November 2013, net of unamortized discount of $5,387 and $13,789 as of September 30, 2013 and June 30, 2013.			35,013		26,611
$30,000 face value, issued in February 2013, interest rate of -0-%, matures in November 2013, net of unamortized discount of $4,098 and $10,487 as of September 30, 2013 and June 30, 2013.			25,902		19,513
$20,000 face value, issued in April 2013, interest rate of -0-%, matures in October 2013, net of unamortized discount of $2,623 and $12,678 as of September 30, 2013 and June 30, 2013.			17,377		7,322
$60,000 face value, issued in July 2013, interest rate of 6%, matures in September 2013, net of unamortized discount of $8,088 as of September 30, 2013.			51,912		-
$100,000 face value, issued in September 2013, interest rate of -0-%, matures in February 2014, net of unamortized discount of $100,000 as of September 30, 2013.			-		-
Total convertible notes payable – non-related parties			384,204		306,366
Less current portion			384,204		306,366
Convertible notes payable – non-related parties, long-term		$	-	$	-
On September 29, 2011, the Company issued a convertible note for $100,000 with an original maturity date 90 days after issuance. All or any amount of the principal amount of the note together with the accrued interest may be converted into shares of the Company’s Common Stock at a conversion price of $0.50 per share. In lieu of interest payments during the 90 day term, the Company issued to the holder a warrant to purchase 50,000 shares of the Company’s Common Stock. The warrant has an exercise price of $0.50 per share and a contractual life of 5 years from the issuance date. At the option of the Company, the due date of this note could be extended for three consecutive thirty-day periods. In lieu of interest during the extension periods, the Company was required to grant the holder 16,667 five year warrants with a $0.50 exercise price. The value of the BCF recorded was $57,845 and the debt discount relate to the attached warrants was $21,844, for a total debt discount of $79,689. As of the date of the filing of this report, this note is in default.
Prior to December 29, 2011, the Company elected to extend the maturity date of the note in accordance with the extension provisions which extended the due date to March 28, 2012. On April 1, 2012, the Company negotiated an extension on the note to July 28, 2012. On September 29, 2012, the Company negotiated an extension on the note to May 1, 2013. In accordance with ASC 470-50, the Company performed an analysis of the note extension to determine if the note was substantially modified and therefore requires debt extinguishment accounting, or if the due date extension is to be accounted for as modification. The Company determined that there is less than a 10 percent difference between the present value of the future cash flows associated with the modified note and the original note. Thus the Company has recorded the modification as a debt modification.
On October 5, 2011, the Company issued a convertible note for $100,000 that matures 90 days after issuance. The maturity date of the note can be extended, at the option of the holder, for a single 90 day period. The note bears an interest rate of 12% per annum and is convertible, along with all accrued interest, into shares of the Company’s Common Stock at $0.50 per share. The value of the BCF recorded was $26,000.
On October 13, 2011, the Company issued a convertible note for $10,000 that matures 90 days after issuance. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, into shares of the Company’s Common Stock at $0.50 per share. The maturity date of the note can be extended, at the option of the holder, for two consecutive 30 day periods in exchange for a warrant equal to 20% of the initial amount of the note issued with a strike price of $0.50 per share for 5 years. As additional compensation, the Company issued to the holder a warrant to purchase 5,000 shares of the Company’s Common Stock. The warrant has an exercise price of $0.50 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $3,970 and the debt discount related to the attached warrants was $1,970, for a total debt discount of $5,940. As of the date of the filing of this report, this note is in default. In September, 2013, the company paid 6,000 of the note.
On April 1, 2012, the note holder agreed to extend the maturity date of the note to June 30, 2012. The Company evaluated amendment under ASC 470, “Debt - Modification and Extinguishment”, and concluded that the extension did not result in significant and consequential changes to the economic substance of the debt and thus resulted in a modification of the debt and not extinguishment of the debt.
On October 13, 2011, the Company issued a convertible note for $15,000 that matures 90 days after issuance. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, into shares of the Company’s Common Stock at $0.50 per share. The maturity date of the note can be extended, at the option of the holder, for two consecutive 30 day periods in exchange for a warrant equal to 20% of the initial amount of the note issued with a strike price of $0.50 per share for 5 years. As additional compensation, the Company issued to the holder a warrant to purchase 7,500 shares of the Company’s Common Stock. The warrant has an exercise price of $0.50 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $5,956 and the debt discount related to the attached warrants was $2,956, for a total debt discount of $8,912. As of the date of the filing of this report, this note is in default.
On April 1, 2012, the note holder agreed to extend the maturity date of the note to June 30, 2012. The Company evaluated amendment under ASC 470, “Debt - Modification and Extinguishment”, and concluded that the extension did not result in significant and consequential changes to the economic substance of the debt and thus resulted in a modification of the debt and not extinguishment of the debt.
On December 9, 2011, the Company issued a convertible note to an unrelated individual for $15,000 that matures 90 days after issuance. The note bears an interest rate of 12% per annum and is convertible, along with all accrued interest, into shares of the Company’s Common Stock at $0.50 per share. The maturity date of the note can be extended, at the option of the holder, for a single 90 day period. As additional compensation, the Company issued to the holder a warrant to purchase 7,500 shares of the Company’s Common Stock. The warrant has an exercise price of $0.50 per share and a contractual life of five (5) years from the issuance date. The value of the beneficial conversion feature recorded was $2,003 and the debt discount relate to the attached warrants was $1,703, for a total debt discount of $3,706. As of the date of the filing of this report, this note is in default.
On February 29, 2012, the note holder agreed to extend the maturity date of the note to May 29, 2012. The note holder elected to convert the note and accrued interest on June 6, 2013.
On December 14, 2011, the Company issued a convertible note for $10,000 that matures 90 days after issuance. The note bears an interest rate of 12% per annum and is convertible, along with all accrued interest, into shares of the Company’s Common Stock at $0.50 per share. The maturity date of the note can be extended, at the option of the holder, for a single 90 day period. As additional compensation, the Company issued to the holder a warrant to purchase 5,000 shares of the Company’s Common Stock. The warrant has an exercise price of $0.50 per share and a contractual life of 5 years from the issuance date. The value of the BCF recorded was $1,222 and the debt discount related to the attached warrants was $1,122, for a total debt discount of $2,344. As of the date of the filing of this report, this note is in default.
On March 15, 2012, the note holder agreed to extend the maturity date of the note to June 13, 2012. The note holder elected to convert the note and accrued interest on June 6, 2013.
On January 6, 2012, the Company issued a convertible note for $75,000 that matures 90 days after issuance. In lieu of interest payments during the 90 day term, the Company issued to the holder a warrant to purchase 37,500 shares of the Company’s Common Stock. The warrant has an exercise price of $0.50 per share and a contractual life of 5 years from the issuance date. At the option of the Company, the due date of this note may be extended for three consecutive thirty-day periods by issuing a warrant to purchase 12,500 shares of the Company’s Common Stock. The warrant will have an exercise price of $0.50 per share and a contractual life of 5 years from the issuance date. The value of the warrants issued was $15,477 and has been capitalized as prepaid interest expense to be amortized over the 90 day life of the note. As of the date of the filing of this report, this note is in default.
On October 1, 2012, the note holder agreed to extend the maturity date of the note to June 30, 2013 The Company evaluated amendment under ASC 470-50, “Debt - Modification and Extinguishment”, and concluded that the extension did not result in significant and consequential changes to the economic substance of the debt and thus resulted in a modification of the debt and not extinguishment of the debt.
On August 16, 2012, the Company issued a convertible note to an unrelated individual for $10,000 that matures 30 days after issuance. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, into shares of the Company’s Common Stock at $0.50 per share. The maturity date of the note can be extended, at the option of the holder, for a single 30 day period.
As additional compensation, the Company issued to the holder 10,000 shares of restricted Common Stock. The note holder elected to convert the note and accrued interest on November 14, 2012. The value of the debt discount relate to the attached common stock was $2,063.
On August 21, 2012, the Company issued a convertible note to an unrelated individual for $50,000 that matures six months after issuance. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, into shares of the Company’s Common Stock at $0.50 per share. The maturity date of the note can be extended, at the option of the holder, for a single 30 day period.
As additional compensation, the Company issued to the holder 50,000 shares of restricted Common Stock. The value of the debt discount related to the attached Common Stock was $10,000.
On September 4, 2012, the Company issued a convertible note to an unrelated individual for $15,000 that matures six months after issuance. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, into shares of the Company’s Common Stock at $0.25 per share. The maturity date of the note can be extended, at the option of the holder, for a single 30 day period.
As additional compensation, the Company issued to the holder 15,000 shares of restricted Common Stock. The value of debt discount relate to the attached common stock was $3,889.
On September 4, 2012, the Company issued a convertible note to an unrelated individual for $10,000 that matures six months after issuance. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, into shares of the Company’s Common Stock at $0.50 per share. The maturity date of the note can be extended, at the option of the holder, for a single 30 day period.
As additional compensation, the Company issued to the holder 10,000 shares of restricted common stock. The value of the debt discount relate to the attached Common Stock was $2,481.
On November 28, 2012, the Company issued a convertible note to an unrelated individual for $50,000 that matures one year after issuance. The note bears an interest rate of 0% for the first 90 days and 10% after 90 days per annum and is convertible, along with all accrued interest, into shares of the Company’s Common Stock at the lesser of $0.18 per share or 60% of the lowest trade price in the 25 trading days previous to conversion. The maturity date of the note can be extended, at the option of the holder, for a single 30 day period. The value of the BCF recorded was $33,333. The note holder elected to convert the note and accrued interest on June 3, 2013.
On February 13, 2013, the Company issued a convertible note to an unrelated individual for $30,000 that matures on November 28, 2013. The note bears an interest rate of 0% for the first 90 days and 10% after 90 days per annum and is convertible, along with all accrued interest, into shares of the Company’s Common Stock at the lesser of $0.18 per share or 60% of the lowest trade price in the 25 trading days previous to conversion. The maturity date of the note can be extended, at the option of the holder, for a single 30 day period. The value of the BCF recorded was $30,000.
On March 7, 2013, the Company issued a convertible note to an unrelated individual for $65,000 that matures 60 days after issuance. The note bears an interest rate of 10% per annum and is convertible, along with all accrued interest, into shares of the Company’s Common Stock at $0.25 per share. The maturity date of the note can be extended, at the option of the holder, for a single 30 day period.
As additional compensation, the Company issued to the holder 65,000 shares of restricted common stock. The value of the debt discount relate to the attached Common Stock was $8,376.
On June 5, 2013, the company paid the full balance of the note and $1,603 of accrued interest related to the note.
On April 24, 2013, the Company issued a convertible note to an unrelated individual for $20,000 that matures on October 24, 2013. The note bears an interest rate of 0% for the first 90 days and 10% after 90 days per annum and is convertible, along with all accrued interest, into shares of the Company’s Common Stock at the lesser of $0.18 per share or 60% of the lowest trade price in the 25 trading days previous to conversion. The maturity date of the note can be extended, at the option of the holder, for a single 30 day period. The value of the BCF recorded was$20,000.
On July 30, 2013, the Company issued a convertible note to an unrelated individual for $60,000 that matures on September 30, 2013. The note bears an interest rate of 6% per annum and is convertible, along with all accrued interest, into shares of the Company’s Common Stock at $0.15 per share. The maturity date of the note can be extended, at the option of the holder, for a single 30 day period. The value of the BCF recorded was $26,000. Subsequent to period end on October 1, 2013, the Company paid the note and interest in full.
On September 30, 2013, the Company issued a convertible note to an unrelated individual for $100,000 that matures on February 28, 2014. The note bears an interest rate of 0% per annum and is convertible into shares of the Company’s Common Stock at $0.10 per share. The maturity date of the note can be extended, at the option of the holder, for a single 30 day period. The value of the BCF recorded was $100,000.
Non-convertible Notes Payable
Non-convertible notes payable due to related parties consisted of the following as of September 30, 2013 and June 30, 2013:
	September 30,			June 30,
	2013			2013
Face value of $200,000, issued in April 2011, original maturity date of August 2011 extended to June 2013, 30,000 warrants per month were granted in lieu of interest through June 2011, warrants increased to 50,000 shares per month through August 2011, from September until maturity, the note bears interest at 12%.		$	200,000	$	200,000
Face value of $250,000, issued in September 2011, matures in September 2012, 25,000 warrants per month issued for first 90 days, note bears interest at 15% from December 2011 through maturity.			250,000		250,000
Face value of $125,000, issued in October 2011, matures in October 2012, 30,000 warrants issued in lieu of interest through December 2011, note bears interest at 15% from December 2011 through maturity.			125,000		125,000
Total non-convertible notes payable – related parties			575,000		575,000
Less current portion			575,000		575,000
Non-convertible notes payable - related parties, long term		$	-	$	-
In April 2011, the Company executed a $200,000 note payable with a related party that matured 90 days following the date of the note. This note includes the following priority repayment provisions: 1) the Company agrees to apply 50% of the first $600,000 of capital raised by the Company in the near term toward all outstanding notes the lender has outstanding with the Company; 2) the Company agrees to apply the first $200,000 of proceeds raised beyond the $600,000 to any outstanding notes the lender has outstanding with the Company; and 3) if the Company is unable to raise additional capital but a large marketing or sales agreement is entered into which provide for revenue in excess of $50,000, all funds received above $50,000 shall be applied to any notes the lender has outstanding with the Company at the time. As of the date of the filing of this report, this note is in default.
The note provides for no interest but required the Company to issue to the lender, for each thirty day period of the original term, a warrant to purchase 30,000 shares of the Company’s common stock at a price of $0.60 per share over a contractual life of five years. The Company may also elect, at its option, to extend the maturity date for two 30-day periods upon notice of such election to the lender and the issuance of a warrant to purchase up to 50,000 shares of the Company’s Common Stock at a price of $0.60 per share with a contractual life of 5 years for each such extension. The note is not convertible and no warrant was issued in connection with the issuance of the note so there is no beneficial conversion feature value or debt discount applicable to the origination of the note.
On June 30, 2011 and July 30, 2011, the Company exercised its options on the above notes to extend the maturity dates, each time for 30 days, pursuant to the provision contained in the original financing agreement. Upon final maturity of the note payable at August 29, 2011, the Company and lender agreed to amend the original financing agreement in which the maturity date was extended to June 30, 2012 with an interest rate of 12% per annum. The lender could choose to have the accrued interest outstanding on the note be repaid in shares of the Company’s common stock in lieu of cash. For each instance where such election was made, the number of shares of the Company’s common stock to be issued was to be calculated at a discount based on seventy-five percent (75%) of the average of the closing prices of the Company’s Common Stock as reported by Bloomberg, L.P., or other independent reporting services acceptable to the lender and the Company for 10 trading days prior to the date such payment was due.
The Company evaluated the above amendment to extend the maturity date from August 29, 2011 to June 30, 2012 under the guidance of ASC 470-50, “Debt - Modification and Extinguishment”, and concluded that such extension of the maturity date of the note did not result in a 10% or more change in the present value of the cash flow, and thus did not result in an extinguishment of the note.
On October 12, 2012, the note holder agreed to extend the maturity date of the note to June 30, 2013. No consideration was paid to extend the maturity date. As of September 30, 2013, the note is in default.
In September 2011, the Company entered into a one-year note payable for $250,000 with a related party. The note provided for 0% interest per annum for the first 90 days. In lieu of interest for the first 90 days, the Company granted the lender a warrant to purchase 25,000 shares of Company’s Common Stock at an exercise price of $0.40 for a contractual period of 5 years for each 30 days or portion thereof the note remains outstanding. If the note remained outstanding beyond the first 90 days, the note provided for an interest rate of 15% per annum. This note includes the following priority repayment provisions: 1) the Company agrees to apply 50% of the first $600,000 of capital raised by the Company in the near term toward all outstanding notes the lender has outstanding with the Company; 2) the Company agrees to apply the first $450,000 of proceeds raised beyond the $600,000 to any outstanding notes the lender has outstanding with the Company; and 3) if the Company is unable to raise additional capital but a large marketing or sales agreement is entered into which provide for revenue in excess of $50,000, all funds received above $50,000 shall be applied to any notes the lender has outstanding with the Company at the time.
The Company was also required to provide to the lender or its representative online access, for viewing purposes only, to the accounting and financial data maintained by the Company. Online access shall be terminated once the loan and other funds advanced by the lender to the Company, including any accrued interest, have been fully paid.
Further, per the terms of the agreement, if the note was not fully repaid by October 31, 2011, which was subsequently extended to November 15, 2011, and the Company had not deployed and made operational certain designated studios, the Company would be obligated to issue to the lender a warrant to purchase 25,000 shares of the Company’s Common Stock at an exercise price of $0.40 per share with a contractual life of 5 years. Such warrant were issued in accordance with the terms of the note.
On October 1, 2012, the note holder agreed to extend the maturity date of the note to June 30, 2013. No consideration was paid to extend the maturity date. As of September 30, 2013, the note is in default
In October 2011, the Company entered into a one-year note payable for $125,000 with a related party. The note provided for 0% interest per annum for the first 45 days. In lieu of interest for the first 45 days, the Company granted the lender a warrant to purchase 30,000 shares of Company’s Common Stock at an exercise price of $0.40 for a contractual period of 5 years. Effective December 1, 2011, the note bears interest of 15% per annum until paid.
This note includes the following priority repayment provisions: 1) the Company agrees to apply 50% of the first $600,000 of capital raised by the Company in the near term toward all outstanding notes the lender has outstanding with the Company; 2) the Company agrees to apply the first $575,000 of proceeds raised beyond the $600,000 to any outstanding notes the lender has outstanding with the Company; and 3) if the Company is unable to raise additional capital but a large marketing or sales agreement is entered into which provide for revenue in excess of $50,000, all funds received above $50,000 shall be applied to any notes the lender has outstanding with the Company at the time.
Non-Convertible Notes Payable – Non-Related Parties
Non-convertible notes payable due to non-related parties consisted of the following as of September 30, 2013 and June 30, 2013:
	September 30,			June 30,
	2013			2013
Various term notes with total face value of $40,488 due upon demand, interest rates range from 12% to 14%.		$	40,488	$	40,488
Total non-convertible note payable – non-related parties			40,488		40,488
Less current portion			40,488		40,488
Non-convertible notes payable – non-related parties, long-term		$	-	$	-

5_CONVERTIBLE_PREFERRED_STOCK

5. CONVERTIBLE PREFERRED STOCK	3 Months Ended
	Sep. 30, 2013
Equity [Abstract]	'
5. CONVERTIBLE PREFERRED STOCK	'
	The Company has authorized 10,000,000 shares of $0.001 par value per share Preferred Stock, of which the following were issued outstanding:
		Shares		Shares		Liquidation
		Allocated		Outstanding		Preference
	Series A Convertible Preferred		100,000		15,500		-
	Series A-1 Convertible Preferred		3,000,000		671,000		773,115
	Series B Convertible Preferred		200,000		3,500		79,099
	Series C Convertible Preferred		1,000,000		13,404		-
	Series D Convertible Preferred		375,000		130,000		130,000
	Series E Convertible Preferred		1,000,000		275,000		275,000
	Series P Convertible Preferred		600,000		86,640		-
	Series S Convertible Preferred		50,000		-		-
	Total Preferred Stock		6,325,000		1,195,044	$	1,257,214
	The Company's Series A Convertible Preferred Stock ("Series A Preferred") is convertible into Common Stock at the rate of 0.025 share of Common stock for each share of the Series A Preferred. Dividends of $0.50 per share annually from date of issue, are payable from retained earnings, but have not been declared or paid.
	The Company’s Series A-1 Senior Convertible Redeemable Preferred Stock (“Series A-1 Preferred”) is convertible at the rate of 2 shares of Common Stock per share of Series A-1 Preferred. The dividend rate of the Series A-1 Senior Convertible Redeemable Preferred Stock is 6% per share per annum in cash, or commencing on June 30, 2009 in shares of the Company’s Common Stock (at the option of the Company).
	Due to the fact that the Series A-1 Preferred has certain features of debt and is redeemable, the Company analyzed the Series A-1 Preferred in accordance with ASC 480 and ASC 815 to determine if classification within permanent equity was appropriate. Based on the fact that the redeemable nature of the stock and all cash payments are at the option of the Company, it is assumed that payments will be made in shares of the Company’s Common Stock and therefore, the instruments are afforded permanent equity treatment.
	The Company's Series B Convertible 8% Preferred Stock ("Series B Preferred") is convertible at the rate of 0.067 share of Common Stock for each share of Series B Preferred. Dividends from date of issue are payable on June 30 from retained earnings at the rate of 8% per annum but have not been declared or paid.
	The Company's Series C Convertible Preferred Stock ("Series C Preferred") is convertible at a rate of 0.007 share of Common Stock per share of Series C Preferred. Holders are entitled to dividends only to the extent of the holders of the Company’s Common Stock receive dividends.
	The Company's Series D Convertible Preferred Stock ("Series D Preferred") is convertible at a rate of 0.034 share of Common Stock per share of Series D Preferred. Holders are entitled to a proportionate share of any dividends paid as though they were holders of the number of shares of Common Stock of the Company into which their shares of are convertible as of the record date fixed for the determination of the holders of Common Stock of the Company entitled to receive such distribution.
	The Company's Series E Convertible Preferred Stock ("Series E Preferred") is convertible at a rate of 0.034 share of Common Stock per share of Series E Preferred. Holders are entitled to a proportionate share of any dividends paid as though they were holders of the number of shares of Common Stock of the Company into which their shares of are convertible as of the record date fixed for the determination of the holders of Common Stock of the Company entitled to receive such distribution.
	The Company's Series P Convertible Preferred Stock ("Series P Preferred") is convertible at a rate of 0.007 share of Common Stock for each share of Series P Preferred. Holders are entitled to dividends only to the extent of the holders of the Company’s Common Stock receive dividends.
	In the event of a liquidation, dissolution or winding up of the affairs of the Company, holders of Series A Preferred Stock, Series P Convertible Preferred Stock, Series C Convertible Preferred Stock have no liquidation preference over holders of the Company’s Common Stock. Holders of Second Series B Preferred Stock have a liquidation preference over holders of the Company’s Common Stock and the Company’s Series A Preferred Stock. Holders of Series D Preferred Stock are entitled to receive, before any distribution is made with respect to the Company’s Common Stock, a preferential payment at a rate per each whole share of Series D Preferred Stock equal to $1.00. Holders of Series E Preferred Stock are entitled to receive, after the preferential payment in full to holders of outstanding shares of Series D Preferred Stock but before any distribution is made with respect to the Company’s Common Stock, a preferential payment at a rate per each whole share of Series E Preferred Stock equal to $1.00. Holders of Series A-1 Preferred Stock are superior in rank to the Company’s Common Stock and to all other series of Preferred Stock heretofore designated with respect to dividends and liquidation.
	The activity surrounding the issuances of the Preferred Stock is as follows:
	During the three months ended September 30, 2013 and the fiscal year ended June 30, 2013, the Company issued -0- shares of Series A-1 Preferred Stock for $-0- in cash, net of $-0- of issuance costs, respectively.
	During the fiscal year ended June 30, 2011, 1,187,000 shares of Series A-1 Preferred Stock, and the dividends accrued thereon, were converted into 206,099 shares of Common Stock. In conjunction with this issuance, the Company recognized an associated beneficial conversion feature based on the convertibility of the Preferred Shares into Common Shares at a ratio of 2 to 1. This resulted in an effective exercise price of $0.50 per share. The value of the BCF was determined based on the stock price on the day of commitment, the number of convertible shares, and the difference between the effective conversion price and the fair value of the Common Stock on the dates of issuance and is capped at the face value of the offering, in this case $1,187,000. The conversion feature was recorded in additional paid-in capital and the Preferred Stock was accreted to face value over six months, the first date the note holder could convert the security. As of June 30, 2012, the BCF was fully amortized.
	During the fiscal year ended June, 2012, the Company converted 416,000 shares of Convertible Preferred Stock and accrued dividends of $23,071 into 877,550 shares of Common Stock.
	During the fiscal year ended June 30, 2013, the outstanding Preferred Stock accumulated $17,016 in dividends.
	During the three months ended September 30, 2013, the outstanding Preferred Stock accumulated $17,016 in dividends; in three months ended September 30, 2013 it accumulated $17,016 in dividends on outstanding Preferred Stock. The cumulative dividends in arrears through September 30, 2013 were approximately $620,099.

6_COMMON_STOCK

6. COMMON STOCK	3 Months Ended
	Sep. 30, 2013
Text Block [Abstract]	'
6. COMMON STOCK	'
	The Company has authorized 100,000,000 shares of $0.001 par value per share Common Stock, of which 55,952,494 were issued outstanding as of September 30, 2013.  The activity surrounding the issuances of the Common Stock is as follows:
	For the Three Months Ended September 30, 2013
	The Company issued 2,920,000 common shares for net cash proceeds of 276,065.  The Company paid as offering costs $15,935 in cash offering costs. Offering costs have been recorded as reductions to additional paid-in capital from common stock proceeds and an increase in professional fees. Attached to the Common Shares, the Company issued 196,804 warrants to purchase shares of the Company’s Common Stock. The Company recognized $47,469 in employee stock option expense and for the amortization of warrants issued in prior periods.
	The Company also issued 122,500 shares of Common Stock as incentive to notes valued at $32,425 to extend terms on two convertible notes payable and  recorded $126,000 in beneficial conversion features related to new issuances of debt.
	The Company issued 211,318 shares of Common Stock as payment for services and rent valued at $54,346 and issued 100.000 shares in advance for services valued at $28,000.
	As share-based compensation to employees and non-employees, the Company issued 622,563 shares of common stock valued at $167,139, based on the market price of the stock on the date of issuance.   As interest expense on outstanding notes payable, the Company issued 731,871 shares of common stock valued at $201,265 based on the market price on the date of issuance.
	For the Three Months Ended September 30, 2012
	The Company issued 450,800 common shares for net cash proceeds of $106,700.  The Company paid as offering costs $3,300 in cash offering costs. Offering costs have been recorded as reductions to additional paid-in capital from common stock proceeds.
	As share-based compensation to employees and non-employees, the Company issued 1,275,000 shares of common stock valued at $391,398, based on the market price of the stock on the date of issuance.   As interest expense on outstanding notes payable, the Company issued 396,806 shares of common stock valued at $133,677 based on the market price on the date of issuance.

7_STOCK_PURCHASE_OPTIONS_AND_W

7. STOCK PURCHASE OPTIONS AND WARRANTS	3 Months Ended
	Sep. 30, 2013
Notes to Financial Statements	'
7. STOCK PURCHASE OPTIONS AND WARRANTS	'
	The Board of Directors on June 10, 2009 approved the 2009 Long-Term Stock Incentive Plan. The purpose of the 2009 Long-term Stock Incentive Plan is to advance the interests of the Company by encouraging and enabling acquisition of a financial interest in the Company by employees and other key individuals. The 2009 Long-Term Stock Incentive Plan is intended to aid the Company in attracting and retaining key employees, to stimulate the efforts of such individuals and to strengthen their desire to remain with the Company. A maximum of 1,500,000 shares of the Company's Common Stock is reserved for issuance under stock options to be issued under the 2009 Long-Term Stock Incentive Plan. The Plan permits the grant of incentive stock options, nonstatutory stock options and restricted stock awards. The 2009 Long-Term Stock Incentive Plan is administered by the Board of Directors or, at its direction, a Compensation Committee comprised of officers of the Company.
	Stock Purchase Options
	During the three months ended September 30, 2013, the Company issued 25,000 any stock purchase options for a value of $6,045. The Company did recognize $8,046 in employee stock option expense during the quarter ended September 30, 2013 for options vested during the period that were issued in prior periods.
	During the fiscal year ended June 30, 2013, the Company did not issue any stock purchase options. The Company did recognize $10,914 in employee stock option expense during the three months ended September 30, 2012 for options vested during the period that were issued in prior periods.
	Stock Purchase Warrants
	During the three months ended September 30, 2013, the Company issued warrants to purchase a total of 196,804 and expired 0 shares of the Company’s Common Stock. The Company issued 29,400 warrants  in conjunction to a default clause in a convertible note payable and issued 167,404 warrants in conjunction to a consulting agreement entered into in July 2013. The warrants were valued using the Black-Scholes pricing model under the assumptions noted below. The Company apportioned value to the warrants based on the relative fair market value of the Common Stock and warrants.
	During the fiscal year ended June 30, 2013, the Company issued warrants to purchase a total of 1,395,732 and expired 395,000 shares of the Company’s Common Stock. As described in Note 6, the Company issued 495,000 warrants attached to Common Stock. The warrants were valued using the Black-Scholes pricing model under the assumptions noted below. The Company apportioned value to the warrants based on the relative fair market value of the Common Stock and warrants.
	An additional 231,250 warrants were issued in conjunction with related party convertible notes payable. The warrants were valued using the Black-Scholes pricing model under the assumptions noted below. The fair market value of the warrants has been accounted for as debt discount.
	An additional 574,482 warrants valued at $108,660, were issued in for services to be expensed as services were performed.
	An additional 95,000 warrants valued at $19,521, were issued in advance for services to be amortized over the term of the service period.
	The following table presents the assumptions used to estimate the fair values of the stock warrants and options granted:
		2013
	Expected volatility		113 – 129	%
	Expected dividends		0	%
	Expected term	2 – 10 years
	Risk-free interest rate		0.35 – 1.72	%
	The following table summarizes the changes in warrants outstanding issued to employees and non-employees of the Company during the fiscal year ended June 30, 2013.
	Date Issued	Number of Warrants			Weighted Average Exercise Price		Weighted Average Grant Date Fair Value		Expiration Date (yrs)		Value if Exercised
	Balance  June 30, 2013		7,530,063		$	0.67	$	2.45		4.17	$	4,770,713
	Granted		154,574			0.25		0.23		5		55,137
	Cancelled/Expired		10,058			-		-		-		-
	Outstanding as of September 30, 2013		7,694,695		$	4.68	$	0.76		2.24	$	5,010,664

8_COMMITMENTS_AND_CONTINGENCIE

8. COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Sep. 30, 2013
Commitments and Contingencies Disclosure [Abstract]	'
8. COMMITMENTS AND CONTINGENCIES	'
	Legal Proceedings
	The Company may become involved in certain legal proceedings and claims which arise in the normal course of business. In addition, from time to time, third parties may assert intellectual property infringement claims against the Company in the form of letters and other forms of communication. If an unfavorable ruling were to occur, there exists the possibility of a material adverse impact on the Company’s results of operations, prospects, cash flows, financial position and brand.
	The Company was a defendant in a lease agreement with Westfield Century City with an outstanding balance of $90,000 for unpaid rent plus $68,615 in interest per the rent agreement. Westfield has not taken any legal actions to collect this debt as of September 30, 2013.
	The Company was a defendant in a suit brought by one if its suppliers. The Company has defended the claim alleging that the vendor failed to deliver the goods and services contracted for. A tentative settlement agreement has been negotiated pursuant to which, if executed, will result in the Company paying the vendor approximately $74,000 in equal payments, without interest, over a period of eighteen months.
	In November 2012, the Company’s former Chief Financial Officer, Joseph Desiderio, signed a promissory note (“Note”) on behalf of the Company in favor of JMJ Financial or its Assignees. The Note provided, among other things, for the right on the part of the Lender to convert part of the debt to stock. Subsequently, the parties have disagreed on the validity and terms of the agreement. The Lender has filed suit in the state court in Dade County, Florida, seeking to enforce the agreement. The Company disputes the Lender’s position on the grounds that (1) the Note contains provisions that violate Florida’s usury laws, (2) there has been no default by Company under the Note, and (3) some provisions of the Note are void and unenforceable. The Company expects the matter to be resolved to its satisfaction. Except as described in the preceding paragraph, to the best knowledge of our management, there are no material litigation matters pending or threatened against us.
	Lease Agreements
	Pursuant to a lease originally dated January 2006, we currently occupy approximately 11,800 square feet of office space located at 7650 E. Evans Rd., Suite C, Scottsdale, Arizona on a month-to-month basis. The total lease expense is approximately $9,600 per month, payable in cash and Common Stock of the Company.
	We are leasing office space on a month-to-month basis in West Hollywood, California. We also lease an office in Los Angeles for use by our audio team in connection with our AfterMaster product under a lease expiring on August 31, 2013. The total lease expense for both facilities is approximately $4,305 per month, after which, the Company has agreed to lease on a month to month basis, and the total remaining obligations under these leases at June 30, 2013 were approximately $8,610.
	We lease space at mall locations for MyStudio generally pursuant to one-year leases. The monthly rent for these spaces is at market rates commensurate with other kiosk operations. As we expand, we will continue to secure space for our recording studios at various venues and locations throughout the country.
	Rent expense for the three months ended September 30, 2013 was $39,640, of which $16,684 was paid in cash and $20,128 was paid in Common Stock. Rent expense for the three months ended September 30, 2012 was $43,513, of which $21,481 was paid in cash and $22,032 was paid in Common Stock.
	Below is a table summarizing the annual operating lease obligations over the next 5 years:
	Year	Lease Payments
	2014	$	73,620
	2013	$	33,600
	Thereafter	$	-
	Total	$	107,220

9_SUBSEQUENT_EVENTS

9. SUBSEQUENT EVENTS	3 Months Ended
	Sep. 30, 2013
Subsequent Events [Abstract]	'
9. SUBSEQUENT EVENTS	'
	In accordance with ASC 855 Company management reviewed all material events through the date of this filing and determined that there are no material subsequent events to report.

3_SUMMARY_OF_SIGNIFICANT_ACCOU1

3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	3 Months Ended
	Sep. 30, 2013
Notes to Financial Statements	'
Use of Estimates	'
	The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements and the reported amounts of revenue and expenses during the reporting periods. Significant estimates are made in relation to the allowance for doubtful accounts and the fair value of certain financial instruments.  Actual results could differ from those estimates.
Principles of Consolidation	'
	The consolidated financial statements include the accounts of Studio One Media, Inc. and its subsidiaries. All significant inter-company accounts and transactions have been eliminated.
Fair Value Instruments	'
	Cash is the Company’s only financial asset or liability required to be recognized at fair value and is measured using quoted prices for active markets for identical assets (Level 1 fair value hierarchy).  The carrying amounts reported in the balance sheets for notes receivable and accounts payable and accrued expenses approximate their fair market value based on the short-term maturity of these instruments.
	The fair value of the Company’s notes payable at September 30, 2013 is approximately $5,044,888 (carrying value of $4,884,203).  Market prices are not available for the Company’s loans due to related parties or its other notes payable, nor are market prices of similar loans available.  The Company determined that the fair value of the notes payable based on its amortized cost basis due to the short term nature and current borrowing terms available to the Company for these instruments.
Income Taxes	'
	There is no income tax provision for the three months ended September 30, 2013 and 2012 due to net operating losses for which there is no benefit currently available.
	At September 30, 2013, the Company had deferred tax assets associated with state and federal net operating losses. The Company has recorded a corresponding full valuation allowance as it is more likely than not that some portion of all of the deferred tax assets will not be realized.
Recent Accounting Pronouncements	'
	Management has considered all recent accounting pronouncements issued since the last audit of our consolidated financial statements. The Company’s management believes that these recent pronouncements will not have a material effect on the Company’s consolidated financial statements.
Reclassification of Financial Statement Accounts	'
	Certain amounts disclosed in prior periods have been reclassified to conform to current presentation. Such reclassifications are for presentation purposes only and have no effect on the Company’s net loss or financial position in any of the periods presented. The Company has made adjustments to the Balance Sheet and Cashflows Statement in payables and common stock issued for services and rent, respectively.

4_NOTES_PAYABLE_Tables

4. NOTES PAYABLE (Tables)	3 Months Ended
	Sep. 30, 2013
Debt Disclosure [Abstract]	'
Schedule of Convertible Notes Payable-Related Parties	'
	Convertible Notes Payable – Related Parties
		September 30,			June 30,
		2013			2013
	$250,000 face value, issued in February 2010, interest rate of 12%, matures in February 2013, net of unamortized discount of $0 and $0 at September 30, 2013 and June 30,2013, respectively.		$	250,000	$	250,000
	$250,000 face value, issued in May 2010, interest rate of 12%, matures in May 2013, net of unamortized discount of $0 and $0 at September 30, 2013 and June 30,2013, respectively.			250,000		250,000
	$250,000 face value, issued in August 2010, interest rate of 12%, matures in August 2013, net of unamortized discount of $0 and $24,559 at September 30, 2013 and June 30,2013, respectively.			250,000		225,441
	$250,000 face value, issued in December 2010, interest rate of 12%, matures in December 2013, net of unamortized discount of $19,163 and $40,148 at September 30, 2013 and June 30,2013, respectively.			230,837		209,852
	$250,000 face value, issued in November 2011, interest rate of 15%, matures in November 2012, net of unamortized discount of $0 and $0 as of September 30, 2013 and June 30,2013, respectively.			250,000		250,000
	$250,000 face value, issued in December 2011, interest rate of 15%, matures in June 2013, net of unamortized discount of $0 and $0 as of September 30, 2013 and June 30,2013, respectively.			250,000		250,000
	$100,000 face value, issued in December 2011, interest rate of 15%, matures in June 2013, net of unamortized discount of $0 and $0 as of September 30, 2013 and June 30,2013, respectively.			100,000		100,000
	$300,000 face value, issued in December 2011, interest rate of 15%, matures in June 2013, net of unamortized discount of $0 and $0 as of September 30, 2013 and June 30,2013, respectively.			300,000		300,000
	$100,000 face value, issued in February 2012, interest rate of 15%, matures in August 2013, net of unamortized discount of $0 and $1,168 as of September 30, 2013 and June 30,2013, respectively.			100,000		98,832
	$100,000 face value, issued in February 2012, interest rate of 15%, matures in August 2013, net of unamortized discount of $0 and $1,514 as of September 30, 2013 and June 30,2013, respectively.			100,000		98,486
	$150,000 face value, issued in March 2012, interest rate of 15%, matures in September 2013, net of unamortized discount of $0 and $1,111 as of September 30, 2013 and June 30,2013, respectively.			150,000		148,889
	$200,000 face value, issued in March 2012, interest rate of 15%, matures in September 2013, net of unamortized discount of $0 and $1,814 as of September 30, 2013 and June 30,2013, respectively.			200,000		198,186
	$200,000 face value, issued in April 2012, interest rate of 10%, matures in October 2013, net of unamortized discount of $383 and $2,450 as of September 30, 2013 and June 30,2013, respectively.			199,617		197,550
	$150,000 face value, issued in May 2012, interest rate of 10%, matures in November 2013, net of unamortized discount of $453 and $1,682 as of September 30, 2013 and June 30,2013, respectively.			149,547		148,318
	$125,000 face value, issued in June 2012, interest rate of 10%, matures in December 2013, net of unamortized discount of $793 and $1,897 as of September 30, 2013 and June 30,2013, respectively.			124,207		123,103
	$125,000 face value, issued in June 2012, interest rate of 10%, matures in December 2013, net of unamortized discount of 1,034 and $2,208 as of September 30, 2013 and June 30,2013, respectively.			123,966		122,792
	$50,000 face value, issued in August 2012, interest rate of 10%, matures in February 2014, net of unamortized discount of $0  and $0 as of September 30, 2013 and June 30, 2013.			50,000		50,000
	$50,000 face value, issued in September 2012, interest rate of 10%, matures in March 2014, net of unamortized discount of $0  and $0 as of September 30, 2013 and June 30, 2013.			50,000		50,000
	$100,000 face value, issued in October 2012, interest rate of 10%, matures in April 2014, net of unamortized discount of $1800  and $2,662 as of September 30, 2013 and June 30, 2013.			98,200		97,338
	$100,000 face value, issued in October 2012, interest rate of 10%, matures in April 2014, net of unamortized discount of $1,905  and $2,786 as of September 30, 2013 and June 30, 2013.			98,095		97,214
	$50,000 face value, issued in October 2012, interest rate of 10%, matures in April 2014, net of unamortized discount of $825 and $1,192 as of September 30,2013 and June 30, 2013.			49,175		48,808
	$75,000 face value, issued in November 2012, interest rate of 10%, matures in May 2014, net of unamortized discount of $1,280 and $1,804 as of September 30, 2013 and June 30, 2013.			73,720		73,196
	$25,000 face value, issued in November 2012, interest rate of 10%, matures in May 2014, net of unamortized discount of $833 and $1,159 as of September 30, 2013 and June 30, 2013.			24,167		23,841
	$50,000 face value, issued in November 2012, interest rate of 10%, matures in May 2014, net of unamortized discount of $1,705 and $2,358 as of September 30, 2013 and June 30, 2013.			48,295		47,642
	$50,000 face value, issued in December 2012, interest rate of 10%, matures in June 2014, net of unamortized discount of $1,848 and $2,502 as of September 30, 2013 and June 2013.			48,152		47,498
	$75,000 face value, issued in January 2013, interest rate of 10%, matures in July 2014, net of unamortized discount of $1,579 and $2,111 as of September 30, 2013 and  June 30, 2013.			73,421		72,889
	$25,000 face value, issued in January 2013, interest rate of 10%, matures in July 2014, net of unamortized discount of $477 and $637 as of September 30, 2013 and June 30, 2013.			24,523		24,363
	$35,000 face value, issued in January 2013, interest rate of 10%, matures in July 2014, net of unamortized discount of $822 and $1,099 as of September 30, 2013 and June 30, 2013.			34,178		33,901
	$5,000 face value, issued in February 2013, interest rate of 10%, matures in August 2014, net of unamortized discount of $117 and $156 as of September 30, 2013 and June 30, 2013.			4,883		4,844
	$10,000 face value, issued in February 2013, interest rate of 10%, matures in August 2014, net of unamortized discount of $280 and $374 as of September 30, 2013 and  June 30, 2013.			9,720		9,626
	$50,000 face value, issued in February 2013, interest rate of 10%, matures in August 2014, net of unamortized discount of $1,717 and $2,296 as of September 30, 2013 and June 30, 2013.			48,283		47,704
	$50,000 face value, issued in March 2013, interest rate of 10%, matures in September 2014, net of unamortized discount of $1,309 and $1,746 as of September 30, 2013 and June 30, 2013.			48,691		48,254
	$75,000 face value, issued in April 2013, interest rate of 10%, matures in October 2014, net of unamortized discount of $2,166 and $2,712 as of September 30, 2013 and June 30, 2013.			72,834		72,288
	Total convertible notes payable – related parties			3,884,511		3,820,855
	Less current portion			2,159,511		2,096,416
	Convertible notes payable – related parties, long-term		$	1,725,000	$	1,724,439
Schedule of Convertible Notes Payable-Non-Related Parties	'
			September 30,		June 30,
			2013		2013
	$100,000 face value, issued in September 2011, interest rate of 10%, originally matured in December 2011, extended to September 2013, net of unamortized discount of $0 and  $4,064 as of September 30, 2013 and June 30,2013.		$	100,000	$	95,936
	$10,000 face value, of which $6,000 has been paid back,issued in October 2011, interest rate of 10%, matures in June 2012, net of unamortized discount of $-0- as of September 30, 2013 and June 30,2013.			4,000		10,000
	$15,000 face value, issued in October 2011, interest rate of 10%, matures in June 2012, net of unamortized discount of $-0- as of September 30, 2013 and June 30,2013.			15,000		15,000
	$75,000 face value, issued in January 2012, interest rate of 12%, originally matured in June 2013, extended to September 2013, net of unamortized discount of $0 and $3,017 as of September 30, 2013 and June 30,2013.			75,000		71,984
	$50,000 face value, of which $9,600 has been paid back, issued in August 2012, interest rate of 10%, matures in February 2013, net of unamortized discount of $-0- as of June 30, 2013.			50,000		50,000
	$10,000 face value,  issued in Sepember 2012, interest rate of 10%, matures in March 2013, net of unamortized discount of $-0- as of September 30, 2013 and June 30,2013.			10,000		10,000
	$50,000 face value of which $9,600 was converted leaving a $40,400 face value, issued in November 2012, interest rate of -0-%, matures in November 2013, net of unamortized discount of $5,387 and $13,789 as of September 30, 2013 and June 30, 2013.			35,013		26,611
	$30,000 face value, issued in February 2013, interest rate of -0-%, matures in November 2013, net of unamortized discount of $4,098 and $10,487 as of September 30, 2013 and June 30, 2013.			25,902		19,513
	$20,000 face value, issued in April 2013, interest rate of -0-%, matures in October 2013, net of unamortized discount of $2,623 and $12,678 as of September 30, 2013 and June 30, 2013.			17,377		7,322
	$60,000 face value, issued in July 2013, interest rate of 6%, matures in September 2013, net of unamortized discount of $8,088 as of September 30, 2013.			51,912		-
	$100,000 face value, issued in September 2013, interest rate of -0-%, matures in February 2014, net of unamortized discount of $100,000 as of September 30, 2013.			-		-
	Total convertible notes payable – non-related parties			384,204		306,366
	Less current portion			384,204		306,366
	Convertible notes payable – non-related parties, long-term		$	-	$	-
Schedule of Non-Convertible Notes Payable-Related Parties	'
		September 30,			June 30,
		2013			2013
	Face value of $200,000, issued in April 2011, original maturity date of August 2011 extended to June 2013, 30,000 warrants per month were granted in lieu of interest through June 2011, warrants increased to 50,000 shares per month through August 2011, from September until maturity, the note bears interest at 12%.		$	200,000	$	200,000
	Face value of $250,000, issued in September 2011, matures in September 2012, 25,000 warrants per month issued for first 90 days, note bears interest at 15% from December 2011 through maturity.			250,000		250,000
	Face value of $125,000, issued in October 2011, matures in October 2012, 30,000 warrants issued in lieu of interest through December 2011, note bears interest at 15% from December 2011 through maturity.			125,000		125,000
	Total non-convertible notes payable – related parties			575,000		575,000
	Less current portion			575,000		575,000
	Non-convertible notes payable - related parties, long term		$	-	$	-
Schedule of Non-Convertible Notes Payable-Non-Related Parties	'
		September 30,			June 30,
		2013			2013
	Various term notes with total face value of $40,488 due upon demand, interest rates range from 12% to 14%.		$	40,488	$	40,488
	Total non-convertible note payable – non-related parties			40,488		40,488
	Less current portion			40,488		40,488
	Non-convertible notes payable – non-related parties, long-term		$	-	$	-

5_CONVERTIBLE_PREFERRED_STOCK_

5. CONVERTIBLE PREFERRED STOCK (Tables)	3 Months Ended
	Sep. 30, 2013
Convertible Preferred Stock Tables	'
Schedule of Preferred Stock	'
		Shares		Shares		Liquidation
		Allocated		Outstanding		Preference
	Series A Convertible Preferred		100,000		15,500		-
	Series A-1 Convertible Preferred		3,000,000		671,000		773,115
	Series B Convertible Preferred		200,000		3,500		79,099
	Series C Convertible Preferred		1,000,000		13,404		-
	Series D Convertible Preferred		375,000		130,000		130,000
	Series E Convertible Preferred		1,000,000		275,000		275,000
	Series P Convertible Preferred		600,000		86,640		-
	Series S Convertible Preferred		50,000		-		-
	Total Preferred Stock		6,325,000		1,195,044	$	1,257,214

7_STOCK_PURCHASE_OPTIONS_AND_W1

7. STOCK PURCHASE OPTIONS AND WARRANTS (Tables)	3 Months Ended
	Sep. 30, 2013
Notes to Financial Statements	'
Schedule of Estimated Fair Value of Stock Warrants and Options	'
		2013
	Expected volatility		113 – 129	%
	Expected dividends		0	%
	Expected term	2 – 10 years
	Risk-free interest rate		0.35 – 1.72	%
Schedule of Warrants	'
	Date Issued	Number of Warrants			Weighted Average Exercise Price		Weighted Average Grant Date Fair Value		Expiration Date (yrs)		Value if Exercised
	Balance  June 30, 2013		7,530,063		$	0.67	$	2.45		4.17	$	4,770,713
	Granted		154,574			0.25		0.23		5		55,137
	Cancelled/Expired		10,058			-		-		-		-
	Outstanding as of September 30, 2013		7,694,695		$	4.68	$	0.76		2.24	$	5,010,664

8_COMMITMENTS_AND_CONTINGENCIE1

8. COMMITMENTS AND CONTINGENCIES (Tables)	3 Months Ended
	Sep. 30, 2013
Commitments and Contingencies Disclosure [Abstract]	'
Schedule of Operating Lease Obligations	'
	Year	Lease Payments
	2014	$	73,620
	2013	$	33,600
	Thereafter	$	-
	Total	$	107,220

3_SUMMARY_OF_SIGNIFICANT_ACCOU2

3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) (USD $)	Sep. 30, 2013
Summary Of Significant Accounting Policies Details Narrative	'
Fair value of notes payable	$5,044,888
Carrying value of notes payable	$4,884,203

4_NOTES_PAYABLE_Details

4. NOTES PAYABLE (Details) (USD $)	Sep. 30, 2013	Sep. 30, 2012
Notes Payable Details	'	'
Various term notes with total face value of $40,488 due upon demand, interest rates range from 12% to 14%.	$40,488	$40,488
Total non-convertible note payable b non-related parties	40,488	40,488
Less current portion	40,488	40,488
Non-convertible notes payable b non-related parties, long-term	'	'

5_CONVERTIBLE_PREFERRED_STOCK_1

5. CONVERTIBLE PREFERRED STOCK (Details)	Sep. 30, 2013
Shares Allocated	'
Series A Convertible Preferred	100,000
Series A-1 Convertible Preferred	3,000,000
Series B Convertible Preferred	200,000
Series C Convertible Preferred	1,000,000
Series D Convertible Preferred	375,000
Series E Convertible Preferred	1,000,000
Series P Convertible Preferred	600,000
Series S Convertible Preferred	50,000
Total Preferred Stock	6,325,000
Shares Outstanding	'
Series A Convertible Preferred	15,500
Series A-1 Convertible Preferred	671,000
Series B Convertible Preferred	3,500
Series C Convertible Preferred	13,404
Series D Convertible Preferred	130,000
Series E Convertible Preferred	275,000
Series P Convertible Preferred	86,640
Series S Convertible Preferred	'
Total Preferred Stock	1,195,044
Liquidation Preference	'
Series A Convertible Preferred	'
Series A-1 Convertible Preferred	773,115
Series B Convertible Preferred	79,099
Series C Convertible Preferred	'
Series D Convertible Preferred	130,000
Series E Convertible Preferred	275,000
Series P Convertible Preferred	'
Series S Convertible Preferred	'
Total Preferred Stock	1,257,214

7_STOCK_PURCHASE_OPTIONS_AND_W2

7. STOCK PURCHASE OPTIONS AND WARRANTS (Details)	3 Months Ended
	Sep. 30, 2013
Stock Purchase Options And Warrants Details	'
Expected volatility, minimum	113.00%
Expected volatility, maximum	129.00%
Expected dividends	0.00%
Expected term, minimum	'2 years
Expected term, maximum	'10 years
Risk-free interest rate, minimum	0.35%
Risk-free interest rate, maximum	1.72%

7_STOCK_PURCHASE_OPTIONS_AND_W3

7. STOCK PURCHASE OPTIONS AND WARRANTS (Details 1) (USD $)	3 Months Ended
	Sep. 30, 2013
Stock Purchase Options And Warrants Details 1	'
Number of Warrants Outstanding, Beginning	7,530,063
Number of Warrants Granted	154,574
Number of Warrants Canceled/Expired	10,058
Number of Warrants Outstanding, Ending	7,694,695
Weighted Average Exercise Price Outstanding, Beginning	$0.67
Weighted Average Exercise Price Granted	$0.25
Weighted Average Exercise Price Outstanding, Ending	$4.68
Weighted Average Grant Date Fair Value Outstanding beginning	$2.45
Weighted Average Grant Date Fair Value Outstanding, granted	$0.23
Weighted Average Grant Date Fair Value Outstanding, ending	$0.76
Expiration Date outstanding, beginning	'4 years 2 months 1 day
Expiration Date, granted	'5 years
Expiration Date, ending	'2 years 2 months 26 days
Weighted Average Grant Date Fair Value outstanding, beginning	$4,770,713
Weighted Average Grant Date Fair Value, granted	55,137
Weighted Average Grant Date Fair Value outstanding ending	$5,010,664

8_COMMITMENTS_AND_CONTINGENCIE2

8. COMMITMENTS AND CONTINGENCIES (Details) (USD $)	Sep. 30, 2013
Commitments And Contingencies Details	'
2014	$73,620
2013	33,600
Thereafter	'
Total	$107,220